The Shifting Market – What to watch as you reposition your business

It sounds trite to repeat the old adage that “the only constant in life is change”, but it’s true. For entrepreneurs, the ability to manage changing markets, consumer expectations, legislative environments, and other external catalysts is critical to achieving success. Let’s quickly cover some things you need to watch as the environment shifts:

1. Cost of Goods- Changes in imports/exports can cause rapid alterations in product costs. If your business isn’t actively tracking prices of your inputs and then adjusting retail prices accordingly, your margins can disappear. Track and then use “psychological pricing” strategies to sell more effectively.
2. The Value Proposition- Businesses often concentrate exclusively on what they sell, or price points of items without asking themselves the question: “Why should consumers buy from me?” The most common value props are: making life easier for the customer, making life better for the customer, or allowing the customer to experience new things. If your relationship with the consumer is exclusively transactional, your business is replaceable. If you understand and develop your value proposition you can improve loyalty and visit frequency.
3. Differentiation- People can buy products anywhere. What makes your business different? Why do you stand out (in a good way) that resonates with your customer? Being the first, only, best, or award winning in a business category can help if your customers care about the differentiating factor and if they actually know about it. When you think about your business, what makes you unique in comparison to your competitors? How do you communicate that uniqueness to your customers?
4. Unique Products- The Fabrication Lab 3D printed eggs were a test case to show the public the power of locally made unique products. Our lab became an egg factory for several weeks to keep up with demand, but the basics behind the surge in interest are available to anyone. The Fabrication Lab can help you design, develop, and (in small quantities) produce unique items that you can use to drive traffic to your business. If you become the “only spot in the world for” whatever your unique product is, you can use your unique position to drive awareness for your business. Make an appointment with the Lab, and let’s talk through options for your local business.
5. Proximity Drivers- Most small businesses can drive more traffic more often when they have an understanding of other collaborative businesses or activities in the area. An example that has popped up recently is Simple Simon Pizza (in the Axe Shedd) taking the opportunity to cater to the after bar crowd that exist in proximity to their business. As upcoming events hit the area, businesses can alter their marketing to attract event visitors. Understanding your potential partners and the activities occurring around your business can help you adjust your messaging.
6. Need-based Marketing- Solving problems for consumers can encourage sales even with a skittish buying public. Have a large scale event in town? Highlight local merchandise and souvenirs. Graduation quickly approaching? Highlight the perfect gift or party facility? People are finally getting outside? Showcase gardening books or outdoor enhancements for sale. Weather is heating up? Point out the products you have to keep cool this summer. People’s vacation plans dented by economic shifts? Show some “staycation” options with fun things the public can do with your business on a budget. If you know your target market and the conduits they use for communication, you can enhance traffic and sales through need-based marketing efforts.
   Yes, the market is fluid. But, with some solid strategy and implementation you can gain customer loyalty and sales. If you are struggling with analysis and/or strategy, contact Emporia Main Street. We are here to help!