by Bola Badmus
Reports in recent times have shown an inflationary gap across the global economy. Small businesses in Canada are far from recovering from the adverse effects of the Covid-19 pandemic, yet, they are already facing new challenges relating to rising interest rates, low supply of labor, and high cost of operations. Business owners now need to redesign their strategies to compete and thrive in the new world without growth barriers, whereby, even in severe recessions and economic downturns, they gain an advantage and grow consistently. Entrepreneurs must understand that they are no longer just running company operations anymore but building the right business ecosystems that can
mitigate the effect of structural obstacles and economic policies.
CEOs, especially for small businesses, should learn to coordinate their strategies to align with the global economic trend, focusing on developing long-term, sustainable impact across the entire value chain with measurable indicators. A company without a great strategy will end up
unprofitable, in massive debt, and eventually closing the business.
Some executives launch strategies that need to be simplified for the team to execute. Sometimes, they focus only on the short term rather than mapping out long-term plans that will ultimately sustain the company’s vision. Here are five critical tips for building a more effective business strategy and framework to build long-term value in the new real world:
- Target your market:
Your business is not for everyone. It’s very critical to find your products’ real customers and know the clients for your services. You should clearly define your target audience to shape your business goals and develop a strategy that positions your company for tremendous success. The implementation of this strategy should subsequently show how to reach and convert the prospective clients into paying clients, which may include asking essential questions, such as:
“what media do my customers use.”
“What complementary products do they use.”
“What providers currently serve them” and
“what can I do better to persuade them to become my
customers instead?”
The most effective way to target your market directly in recent times is digital marketing through Artificial Intelligence and Search Engine Optimization. Building strategic partnerships within a resourceful business ecosystem are also a verifiable way to target your clients effectively. - Create a comprehensive strategic plan:
A tremendous Corporate Strategy should be clear on the vision and concise with your business
goals. Executives may create a workflow and set action items that align new activities with the company’s mission statement and organizational policies. - Take out extraneous components:
Often, we see strategies fail because of so many complexities. Small business owners typically overwhelm their processes with tasks and deliverables that are not practicable at the time or require plenty of resources for validation. My professional advice- please take it out.
It’s crucial to look at all aspects of your strategy and ensure your roadmap is approachable, optimized, and straightforward. - Focus on the brand:
An excellent brand tells your company’s story everywhere, which is a crucial component of an effective business strategy. Developing a great brand goes beyond naming just a product or service; it encompasses your work culture, mission, and core values and how they are projected
to your target market. Your brand persona should reflect these business values across all your client-facing platforms, including digital marketing communications and customer services. - See the bigger picture – play long-term:
The best way to ensure consistent profitability, business longevity, and sustainability is to review your corporate strategy periodically. I mean, if you want your business to always stay ahead of an inclined curve, then it is best to adopt new strategies that align with the global
industry trend and keep it relevant in old-fashioned methodologies.
Customer retention and loyalty are also viable to ensure repeat business
and strengthen your market share in the long run. This could be achieved with various sales strategies like subscription models, promotions, discounts, etc. It is imperative to scale your business and continually evolve your strategy.
To some, scaling your business means adopting a digital automation strategy and software management system
to optimize your output. To others, deploying resources for some aspects of your business, such as back-office functions, so that your team can focus on the core areas.