Revenue is the vitality for any company, but when the power of consumers to spend has slowed, business could quickly experience the negative effects.
In addition, with the crisis in cost of living with record inflation, escalating prices for energy and many other things all converged at once, the future is a challenge for entrepreneurs.
I’ve been creating brands in blue-chip consumer goods companies and driving smaller SMEs to multi-million-pound sales for more than a decade and half. This includes Phil Smith Be Gorgeous, a Phil Smith Be Gorgeous haircare collection that was launched in the middle of 2007. It has grown by a whopping PS1.5 million and then PS5 million in Sainsbury’s within 3 years.
Experienced both sides of the spectrum of business during difficult economic times has given me a lot of lessons. As I prepare to grow my company Bullet & Bone during a similar time of uncertainty I am reminded of the times of my youth and what I would have learned at the time.
Bullet & Bone is a premium skincare brand created to improve fitness and sports performance. It was launched in the year 2019, weeks before the pandemic outbreak has hit, we’ve benefited from many aspects that are both outside and within of our control. These factors make our B2C business a strong foundation for the future and that I would like for anyone who is running or considering starting the same type of business as my own.
Product Strategy
A strong product strategy and one that creates loyalty needs to be the main focus of any consumer goods company looking to increase their the resilience of their business. Each product has an answer and making that solution efficient and universal is a sure way to be greeted with the loyalty of customers, encouragement, and important purchase repeats.
Every item in our Bullet & Bone range serves an important function before or after exercise. We are clear about our use of pure natural ingredients, backed by solid research. This has led to an excellent rate of repeat purchases and recurring revenue, as well as the stability to grow.
Knowing your clients is the ideal starting point. Because entrepreneurs are able to resolve problems near to home Start by asking yourself what you’re looking for beyond a few fanciful products. You can use this personal experience to begin conversations and discussions with your customers.
Endorsements And Validation
We’ve backed our strategy for product development by securing endorsements. These are essential to establishing trust. The value of social proof should not be undervalued.
Customers want to be assured that the product they purchase is of high-quality and, at a moment when everything is scrutinised, worthwhile to spend money on.
I’m thankful to have this information from prominent figures such as celebrities and top international athletes and teams However, this could also come from your regular client. Making sure you get as many positive reviews and testimonials from each client will go a far way. The older the testimonial the better. Hence, keep up to date.
Route To Market
The internet is expected to be one of the ways you get to market. It’s never been easier to create an online store or easier to manage one. This high-margin channel opens the doors to customers from new areas easily, supply plenty of data that is tangible while making it easy for consumers to buy products any location.
As per Squarespace research it’s a fundamental element of modern business and in the future:
- 57% of people believe that a well-designed and user-friendly online shop or site is far more essential for a company to have than a brick-and-mortar store
- Seventy-six percent of Generation Y and 64 percent of Gen Zers specifically, will always visit the website of a company (e.g. a restaurant, store, etc.) prior to shopping, going out and eating at the establishment, in comparison to the 65% in Generation X and 49 percent of the Baby Boomers
- Seven out of 10 people are in agreement that if local businesses have an attractive website, they’re more likely to visit in person
In the current Bullet & Bone investment round that we have completed, we’re investing in our website to make user experiences as easy as is possible. It’s among our primary routes to market, and is our most profitable and high-margin channels, therefore improving it is an important major priority. With a pipeline of upcoming products and a growing list of customers, capturing, owning and understanding the key metrics generated through the information you collect from your website will assist you in your conversations with investors, prospects and customers, and aid in your decisions on marketing and the development of future products.
If you’re able to get into with top-quality distributors and retailers the other aspect of your journey to market is protected in a way. Large companies have larger resources that they can deploy to protect their businesses and keep flow of traffic high, which you will profit from. However, they’ll be more attentive to your performance too, and whatever you can do to influence their performance will extend your time with them. Additionally, it gives you an endorsement from a trusted retailer, providing the same amount of confidence as a well-known celebrity.
Growing Your Business
It is tempting to be focused on survival for the short-term but crises aren’t permanent. By nature entrepreneurs are always thinking of growing, and don’t let uncertainty influence this.
As customers consider the cost of every dollar spent and weighing the same. Prior to expanding your business, make sure that it comes from a stable base by taking a look at every operational expense, as well as any operational efficiency you could make and also consider how your suppliers work. Our products are manufactured in the UK and we have reduce the cost of import and shipping costs and invest it in improving profits. You can also go further and source local suppliers whenever you can to cut down on transport costs and lower the carbon footprint.
If you are confident about your long-term growth potential, you should consider getting financing by way of a loan or an equity investment. The financial backing will allow you time to plan and think ahead as well as the possibility to invest in advertising, marketing and other areas to increase revenues, and investors who are well-connected are often able to open doors for you. One of the options we’ve selected is the equity crowdfunding platform Seders. This allows us to finish our round, raise awareness, and try out the market all at once.
Looking Forwards
Through my fifteen years of working in the field of personal care sectors like health, wellness, and personal products like perfumes, cosmetics, or even perfumes retain a certain amount of resiliency.
A good illustration of how a large corporation has succeeded has been Dove’s Real Beauty campaign launched in 2004. They’ve been a part of since then and brought it up to date with various variations over the years. A huge success since it appeals to every person’s desire to feel beautiful, and appeals to our desire to feel more confident about ourselves. When we are in a state of doubt,, these small lifts can mean lots, so take note of the impact your communications have on your clients their emotional state through your communication.
When we start to see the brighter side of the tunnel crucial to think about the long-term changes in consumer behavior that have been wrought through this difficult moment and how you will are aligned with those changes. Above all take note of your evolving attitudes and behaviors as an entrepreneur whose company has adapted and flourished under challenging circumstances. And then, adopt the best practices that allowed you to achieve this.