The post-COVID era has brought a serious conundrum to the fore.
Food shortages, rising inflation, supply chain challenges and disruptions and the increasing presence of war mean that worldwide consumers are facing serious and differing challenges.
Some consumer considerations may include when and if to buy, if so, how much and the ability to find their favourite items when next they shop. Consumers are also considering brand loyalty. Is it still important in this situation? Will price come to the fore as more of a consideration than quality?
These serious issues however present opportunities for entrepreneurs to produce more in-demand products, provide services that solve immediate problems and come to the market with new products based on the new tastes and demands of the varying customer groups.
In the era of scarce resources and rising costs, however, this may be a
challenge.
As with the pre-COVID era, businesses are being challenged even more
frequently to respond to the dynamics of the current environment. It is a
constant balancing act but businesses that are determined to remain productive
must find ways to serve the market effectively within this conundrum.
The following are five suggestions:
Niching – This is the act of serving a smaller, specific and more defined group of customers who demand what your business provides. Note that the size of the market does not dictate the profitability of the business but your business’s ability to produce on time will be tested especially if the inputs are from external sources.
Use local resources - Instead of sourcing raw materials and inputs from overseas markets, identify local resources that can supply according to your production demand. Use multiple sources if necessary. That way your raw material demand can always be met.
Use secondary marketing information – Instead of investing in new customer research, explore existing customer information that has been gathered in the post-COVID era (and there is a lot). For primary information, use less expensive resources such as social media and word-of-mouth to capture new information.
Offer alternatives – Especially for businesses that produce several lines of a specific product type, offer the less visible line as an alternative. This will serve two purposes, to increase awareness of the alternate brand, and provide it easily adopted into the market, increasing consumption and resulting in an additional income line.
Provide multiple channels/methods for accessing goods & services – Post-COVID is even more fast-paced than life before March 2020. Increasing customer access through multiple channels may mean collaborating with other business owners to achieve mutual goals. Engage technology as well. Every day new technologies come to the fore to make businesses more productive, more efficient and more effective. Make use of the tools available to serve your customers.
