The country’s economy has started getting back on track slowly months after WHO declared Covid-19 as a pandemic. The fear of a second wave that could make authorities declare lockdowns in the future still exists but from all that we see around us, it seems like the economy is in its early stage of recovery.
While businesses are permitted to reopen, they still have many hurdles to cross. Many consumers are hardly showing a willingness to return to crowded places like brick-and-mortar stores. The unemployment rates also remain high. As of now, the demand is still low even though it will recover in the future. There is a chance that it remains at the same level for a while.
B2C companies have to implement the smartest business strategies throughout the rest of 2020. Here is how B2C companies have to conduct business for the rest of this year taking in consideration the state of the economy and the challenges it puts forward.
Audit Your Spending And Look For Places You Can Introduce Cuts
The least you can do is to take a close look at your current investments and decide whether all of them are essential. If possible, delay or cut down on fixed costs.
You may have to cut back on the incentives or freeze the payment of employees but consider letting them go as a final resort. When you choose to let employees go by aiming for short-term monetary gains, the cost of lost expertise and finding replacements will cost you more than what you gained.
Prepare Your Organization To Face Continual Supply Chain Disruptions
Around the world, manufacturing and logistics have got back online but another wave of Covid-19 or new restrictions coming into effect can easily affect the supply chain at least on a small scale.
Having a good supply chain management procedure in place will help you identify the possible risks and establish strong bonds between businesses and suppliers. Supply chain auditing and mapping are beneficial for larger companies as well. Adopting these approaches helps identify the weaknesses of your suppliers and the parties they rely upon. This will help you determine the countries around the world that could disrupt your supply chain. This information is crucial in your decision to diversify your suppliers in an attempt to build a responsive supply chain.
Put Off New Investments
It is advisable that most businesses except the ones that found the economic condition after the onset of the pandemic favorable for their growth should freeze new hiring and put off large investments for a while. There is no way to predict how the process of recovery would be. For some companies, demand may return quickly while for some it may be slow. The businesses have to prepare themselves to survive the low growth or no growth period prior to demand returning to normal levels.
You may be already ready to return to business as usual. But it is advisable to move things slowly especially in the first few months after reopening.
Prepare Yourself For Emergencies
If you are reopening a physical location, keep in mind that you might have to address many emergency costs. Commercial generators that haven’t been used for a long time may short circuit due to the buildup of dust on windings. HVAC systems that didn’t undergo any maintenance during lockdown may also have some issues.
Prepare yourself for unexpected costs like generator repair or HVAC maintenance and also ensure that all your equipment is functioning well and is ready for reopening.
Offering Aggressive Discounts May Not Be A Good Idea
Many B2C companies consider launching major deals over the past months in an attempt to cope with the decrease in demand. There is no doubt these discounts might have helped save a lot of businesses but there is a chance that they may drag you down at this point.
It is better to try returning to the average order value from pre-COVID times. Limit the discounts you offer but that does not mean you have to eliminate it altogether. Instead, you should start bringing down the discount amounts to bring back the average order value to normal levels.
Retain E-Commerce Platforms And WFH
To remain functional during COVID-19, many businesses have conducted business using e-commerce stores and WFH tech. People have begun returning to public spaces but e-commerce stores and WFH tech is going to remain relevant even after the world is freed from the wrath of the pandemic.
Retaining e-commerce platforms and WFH tech contributes to better running of B2C businesses.
Get Back Lost Customers And Retain New Ones
There is a chance that your business has lost some loyal customers due to the unpredictable changes in the business operations during the lockdown implemented in response to COVID-19. Try to get them back by launching email campaigns, introducing attractive deals, and notifying on product availability.
New customers who shopped with you during the pandemic may not necessarily stick around. Try retaining them and turning them into loyal customers.
Take Your Digital Marketing Strategy To The Next Level
Focusing on your digital marketing strategies will help you attract more customers during the early days of reopening. Adapt to the changes that COVID-19 has brought in the online marketing landscape.
Realize The Power Of Communication
Keep in touch with your customers regularly. Update them about new products and stock. Also, notify them about store hours and policies.
Be Prepared For Recovery
The demand could reach normal levels at some point. You have to be prepared to manage the possible rise in demand. Launch new advertising campaigns and keep high-demand products in stock.