Small Business vs. Inflation... A David and Goliath Story

 Monty Wyne

What’s the one word on the minds of today’s consumers? Inflation. It’s as if everything converged at once. The pandemic, our global supply chain, sanctions, rising interest rates­– each has impacted our economy, manufacturing, production, and above all...your business.

As a result of these changes, much larger brands and companies are redetermining their fair prices for goods and services while you’re left wondering what to do. After all, you’re a small business that doesn’t have deep pockets, and customers are watching every dollar they spend.

So, how can you attract shoppers who convert despite inflation-conscious spending and behavior changes? What will it take to give it your best shot?

That’s the $64,000 question. Our economy is currently in its 23rd month of inflation, and consumers continue to cut back on their purchases, while keeping an eye out for deals. That said, here’s your chance to identify ways to connect with customers, emphasizing the value your brand offers them.

Consider bumping up your media spend, while competitors might be cutting back. This is an opportunity for you to own and gain market share with less competition. Avoid cutting prices or making discounts. This devalues your brand and could make it more difficult to attract customers once the economy bounces back. 

Maybe it’s time to look at payment options or rewards programs if they’re not already in place. The value of buy now and pay later says “we understand money is tight, and we want to help.” Rewards or loyalty programs are also a way to show customers how much their patronage means to you and your brand, offering them added value.

Don’t forget the two things that are essential to your brand’s future growth: consistency and visibility. Keep these in the forefront and you’ll defeat the proverbial giant. Your brand loyalty will continue to grow and your business thrive. And finally, always stay in touch with your market. Follow trends, innovations, consumer behavior and opinions, as well as your customers’ perceptions.

Inflation won’t be around forever, but your business can be if you keep the above in mind. To discover more ways to build a solid foundation for your brand or business, contact John Wagoner or Adam Bledsoe, Maycreate’s account supervisors, or give us a call at (423) 634.0123.