Tips for selling more in a difficult economy (and why it pays to stand strong)

Well let’s start with some good news. In March 2024, The Guardian reported that recent growth figures suggest that, “The economy is emerging from a short and shallow recession. Surveys of consumer and business sentiment have been more upbeat since the beginning of the year. More houses are changing hands and property prices have started to rise.”¹ This all bodes well for our businesses.

However while there are glimmers of hope, there’s no doubt that the economic climate has played havoc with consumer confidence (as no doubt, you’ll be all too aware). It’s hit many small businesses hard, but there are some things you can try, to navigate this challenging time (and do read our article on 6 things to try when sales are low which gives further tips too).

Growing your revenue needs your greatest asset — entrepreneurial spirit

The key point to remember is that low sales can churn up a whole host of emotions, from intense anxiety or fear, to sheer exhaustion. Yet the one thing that will most likely help you right now, is the thing you’re actually best at — showing entrepreneurial spirit. So don’t give up (at least not before you’ve tried the following!).

1. Do an audit of your business and how it sits in the wider market

In order to deal with low sales, you need to really understand the reasons behind them. Yes there’s a recession on — but are you still giving customers what they need now that they have less money to play with? Do you have more competitors now and need to do more to stand out maybe? And is it external issues or internal ones? Let’s be honest, it’s easy to blame the algorithm for example, but until you do a sales autopsy you can’t be sure what the real issues are. Start by gathering and analysing your sales data over a period of time. Look for trends, patterns or any times when your sales significantly dropped. Try to see if the decline is consistent across all your products or services, or in certain areas. Are your expenses now too high in relation to your new revenue figures? Look for any way to streamline operations and improve your profitability.

2. Step into your customers’ shoes to help jumpstart sales

What does your customer feedback tell you? Who else is a real hit with people at the moment and why? What do people need more or less of and how can you deliver that (supported by exceptional customer service of course)? If you can afford to do any market analysis or explore any trend reports, now might be a good time. Try to see what others are doing successfully (from products or marketing, to innovative sales techniques). How can you better appeal to people in this climate? How can you stand out? It’s worth creating a content calendar to tap into topics of interest too. look at the year ahead and identify the key seasonal selling points for your business. Then work backwards. You should be launching your seasonal campaigns or products at least a month before the big event but getting them on your website as soon as possible will help you benefit from SEO. We know people are shopping earlier for Christmas for example, so think about being ready in October. Once you have your seasonal moment, think about what people are searching for during the rest of the year and how you can tap into that.

3. Consider how you can attract new customers and broaden your reach

What have you changed about your marketing in the last three months? If the answer is ‘nothing’, why is that? Testing and learning different tactics is vital if you want to see what’s resonating or what isn’t. Whether it’s your brand messaging, who you’re targeting, the channel mix you’re using… you’re more likely to increase sales if you reach more people. How could you tap into new markets or customer groups? Could something like a collaboration help? Brainstorm all the ideas you can with friends.

4. Relook at your product range to give sales a boost

The cost of living crisis means that people might absolutely adore what you make, but they simply can’t afford a big purchase right now. So with that in mind, could you develop more entry-level products to let them into your world? Or perhaps it’s about expanding your bestsellers. Or just seeing if you can introduce a new range or trial new ideas to really explore what works (if it helps, read our article How to stay creative and resourceful under pressure for thought starters).

5. Use quiet moments to develop yourself and your business

There are so many amazing free resources out there (including the rest of our Business Advice and our Conversations of Inspiration podcast). Remember all those times you’ve said, “I wish I had time to…”? Seize the opportunity, and learn as much as you possibly can now that might help your business in the future.

6. To help increase your sales, review your sales strategies

Does your pricing need adjustment or is it worth exploring discounts for new email subscribers or review leavers, for example? Can you focus more activity around payday when people are more likely to have available income? Can you offer complimentary services or add-ons to help diversify your revenue streams? This doesn’t just need to be to customers either. More and more founders are now offering to coach other small businesses to share their knowledge for a small fee. Plus, it’s worth investigating how much it’s costing you to acquire new customers or whether it’s more profitable for you to retain existing ones — or use more cost-effective marketing channels to reach them. Overall, the cost of acquiring new customers was found to be around five times higher than the cost of retaining existing customers so focusing more on retention and loyalty might be well worth considering.²

7. Adopt a growth mindset to benefit your business

When we’ve been going for a number of years it’s easy to fall into the, “Well, this always worked in the past!” mindset. However it’s holding onto your entrepreneurial spirit and being open to growth that’s more likely to increase your sales. From staying innovative, agile and flexible, to remaining optimistic, here are some points to remember:

• The blame game won’t get us anywhere — yes, the algorithm is annoying, but what can we actively do to benefit our businesses?
• When we first started out, we were constantly testing and learning. It’s time to bring that back as that’s the quickest way to improve..
• Are we being curious enough? Do we know what our competitors are doing? What can we learn from them?
• Let’s stay resilient — this isn’t personal so we shouldn’t take it personally. Knowledge is power so let’s view failure as feedback and let it help us grow.

Jumpstarting your sales: key takeaways…

To help jumpstart sales and keep hold of your entrepreneurial spirit, try the following. We wish you all the luck.

1. Do an audit of your business
2. See what your customers need
3. Broaden your reach
4. Relook at your product range
5. Use your downtime wisely
6. Review your sales strategies
7. Adopt a growth mindset