Disruption happens, either your business evolves/adapts or you will eventually be extinct. (Darwinism?)
Disruption affects more categories each year. But a crisis accelerates change, disrupting normal patterns not like a wave, but more like a tsunami. This crisis is historical. The impact is worldwide – social and economic. While this will eventually pass through, we all will be changed. How will your business adapt?
In this pandemic there is a huge difference in the changes of staples and discretionary products. Businesses providing “Survival Dependent” items are thriving – Grocery, pharmacy, home improvement, Wal-Mart, Dollar General. As the virus spreads, only “essential services” are being allowed to remain open. Are you essential?
Discretionary products are affected both from social (distancing) and economic impacts (recession). Realistically, many companies will not survive this tsunami. You should take this time to review, reflect, and refine your business model to 1) ensure cash flow is sufficient to survive this event and 2) be poised to thrive once this is over (most probably a slow revival).
Financially, be lean, as much as possible. Cash is King, project your cash flow! However, make sure you are budgeting for marketing/promotion as soon as it is viable. Market share will be priority in a depressed market.
Identify your key staff. Unfortunately, you most likely can’t take care of everyone, but you can ID the key people who drive your success, try to find ways to keep them on your team. The government stimulus has several programs to help you. Find out how you can take part these to keep your core team together.
Finally, how is your Customer Experience? Consumers/customers are rightfully frustrated right now. Be sure your business model shows the understanding their motivations and needs. What can you do better to make their interaction with your business, to make it easy to say ‘yes’? The companies that best support these feelings will be the winners.
Be Safe, Be Strong, Be Strategic.