Quality And Good Deals Are In, Frugality Is Chic
As the recession locks its bear trap-like teeth around everyone’s wallet, excess spending has all but come to a cold stop. Small business owners have been forced to deal with the economic downturn, handling reduced revenues by reducing overhead, working out debt and reinventing themselves to maximize opportunity despite reduced demand and revenue.
Presumably, most of you have succeeded in making these necessary emergency moves to prevent failure. Now it is time to recognize the next step in your new path to success. The marketplace has changed and we must once again absorb the new direction it is taking.
We are no longer seeing consumer demand and spending contract out of fear, although plenty of this remains and will continue for a while longer. What we are seeing is real systemic change in the market attitude and this is an extremely important factor to be recognized and reflected in your business equation. People are no longer shopping just to shop. People are adopting a new manta – less is better. Frugality is in. Minimalism is the trend and it is here to stay for a long while.
Even those who remain well-off with jobs intact and future bright (there are some that fill this category) are not spending as they did before. People are becoming frugal and it’s even becoming hip. It’s an attitude change and you must recognize it and use it to your own advantage.
The new trend is to buy less but to buy higher quality and take advantage of good deals. Purchasing is now value-driven, based on a judgment and perception of value. This needs to be absorbed into your sales and marketing strategies, your manufacturing strategies, your advertising messages, your sales approach, your product and service selections, etc.
Perceived value is the watchword, quality and value the driving forces. Even for a high ticket item, as long as the marketing message and the perceived value equate to quality it will be considered a good deal.
This is an important distinction which, if understood, will be a very valuable tool to begin returning your business to profitability. Think about it and then implement the changes required to reflect this new attitude.
