Gold Coast/Tweed Networking

Fighting the recession with positive thinking

 In these difficult times we need to keep a positive focus. Thanks to “The Australian” and Peter Switzer- well respected marketing and financial guru- we have re-printed the recent article below which is well worth reading in these turbulent times.

Fight the recession with positive thinking

by Peter Switzer – The Australian March 30, 2009 12:00am

AS the old saying goes: when the going gets tough, the tough get going. But the smart get thinking, and

that has to be the best response for business owners trying to combat the economic downturn that looks to

be turning into a recession.

A largely unexpected fall in economic growth in the December quarter has dashed the chances of

Australia just dodging an official recession, The Australian reported.

The hope was that the December quarter would be barely positive, the March quarter would be negative

for sure and by the June quarter the combined hit of the $42 billion stimulus package and the 4 per cent

cut in interest rates might turn the economy slightly positive.

The official definition of recession is six months of negative growth. This still has not happened but media

outlets are running hard with recession headlines, which is bound to hinder consumer and business

confidence. That is the main reason I hoped we would have only one quarter of negative growth so we

could leverage off a possible “no recession” headline.

This is not outrageously optimistic thinking as the February National Australia Bank business survey

shows that business confidence, while still negative, improved substantially over the month.

However, if business owners must deal with the added weight of recession talk everywhere we go, the

best response is to fight negativity with realistic positiveness. Every business has to pull out the greatest

marketing effort imaginable and it has to be done at effective cost. Some companies take risks and

actually increase their marketing spend, but that takes courage and great cash flow.

Others recognise that through good times when revenue came flooding through the front door, there was

insufficient lateral thinking or outside-the-square strategising going on.

I have mentioned this before but Edward de Bono says the great business competitors are also great

lateral thinkers. This is the time to get your team together and think about ways to increase sales as well

as drive down costs.

Michael Eisner, the former boss of Disney, used to have weekend brainstorming sessions that included

people from all parts of the business. Marketing executives got together with ticket collectors to see what

innovations were possible.

Eisner believed the guy on the amusement rides often knew stuff about Disney customers that executives,

armed with their folders of marketing research, did not.

Lots of businesses forget that often 80 per cent of business is generated from 20 per cent of their

customer base. These great customers should be targeted in these tough times. Thinking about your

customers’ needs is the best way to come up with moneymaking innovation.

This is also the time to look at your costs, line by line, and see if you have accepted bills from suppliers

that were struck when everyone was busy and revenue flowed freely.

Your staff should be included in your cost reduction drive as they could be the ones that go for high priced,

immediate courier services for packages or documents that possibly don’t need to be sent urgently.

This is the time for innovation and leadership: they go hand in hand. It is the testing material of leaders and

their teams. Creating a oneness in your assault on the recession threat could create a much better

business, which will shift into the fast lane when the economy improves.

Recently, I came across a British restaurant that took on the recession there by creating an all-you-can-eat

deal provided customers paid £5 for alcohol. It has worked a treat and the restaurant has even attracted

television stories, such that a business commentator in Australia is talking about the business.

Sponsorship of Business Excellence is the best way to market you product or services.

Peter Switzer’s article stresses to need to market NOW more than ever. For over 15 years John Hurd’s Business Excellence Marketing and Promotions business has been assisting Tweedand Gold Coast businesses to market sucessfully their products and services. Print out a sponsorship form now (see right side column) or phone/email John as shown in the website.

The benefits obtained from Gold Sponsorship are many and are proven to be very cost effective.

Next Business Breakfast Wednesday 15th April 2009- Dynamic Speaker & Author Karen Schmidt.

We are delighted to have Karen Schmidt present at the Business Excellence Breakfast at Tweed Heads on the 15th April at 7am. No DST for six months – so hope more Queenslanders can take advantage of out return to a sane same time zone.

Karen never fails to deliver the very latest business news and tips as she moves around corporate Australia speaking to businesses both large and small. For the full flyer and details see “next breakfast”- just click on- or email : john@businessexcellence.net.au .

Next week we will return with more business and networking articles for your information.

All the best

John Hurd