Siloam Springs Herald Leader

Crash course on successful business strategies

- John Newby

Running a small or local business isn’t for the faint of heart, it is never easy. There is no doubt that traditiona­l retail, local restaurant­s and the shop-local model are under attack. Consumer habits are rapidly shifting to the ease of online and their options is forever expanding. The methods of reaching consumers through advertisin­g and marketing is becoming more fragmented each year. The odds of success in the hyper-local arena of locally owned and operated business are certainly decreasing.

Changing the consumer mindset toward local amidst the full-on Internet blitzkrieg being waged against local business is tough. Local businesses must become more consumer focused, friendly, provide new and unique experience­s and greater customer service to blunt this new competitio­n. Equally important, they must come face to face with the realities of this everchangi­ng marketplac­e.

What are some these realities? Here are just a few:

1) 70 percent of all retail transactio­ns occur after 6 p.m. Additional­ly, most people with spendable income work. When a local business closes before 6 p.m., they are missing out on 70 percent of their potential business.

2) Businesses must adopt and provide over-the-top customer service, something lacking in the cookie-cutter world of retail and online.

3) Businesses must have an inviting façade and appearance to lure potential consumers through their front doors.

4) Businesses must provide products consumers are seeking, understand­ing that product lines change from year to year, or even month to month. Consumers spend more on local products if provided what they want and need.

The United States has added retail space at five times the rate of consumer spending. We have nearly four times the amount of retail square footage per person than Europe. These numbers indicate the retail competitio­n is fierce. This places hyper-local businesses under siege. Many in the big box and chain sectors are also taking on water just as badly and are at risk of implosion as well.

All the above aren’t opinions, this is the reality facing the retail world and it won’t get any easier. Knowing this, communitie­s and hyperlocal businesses wishing to thrive in lieu of simply surviving, need to be taking huge strides in turning around or slowing these trends. How might this happen?

Both community and local businesses must act as if time is of the essence, because it is. Both must stop taking mini steps and lengthen their strides as those relate to actions. While those strides will vary depending on the community or business, nonetheles­s, they must figure what those steps are and boldly move forward. Now isn’t the time for communitie­s to embark on more time-consuming focus groups and studies or withholdin­g community and personal resources waiting for better days. Better days won’t come with inaction.

Communitie­s must create the uniqueness that brings high interest and awareness. They can do this by investing in their downtown, assuring that they are the heart and soul of their community. They must spend what it takes to attract those competitiv­e tourism dollars. They must take on projects enhancing economic vitality such as gathering spaces, retail options, bike paths, walking trails, roads and attraction­s. Waiting shouldn’t be an option.

If local businesses want residents to spend more for items than they might otherwise spend with a national chain, they need to assure their places of business are attractive, inviting and customer friendly. They need to instill a better sense of pride through over-the-top customer service. Groups of businesses need to adjust their hours of operation to match the shopping habits of their consumers. In conjunctio­n with that, they need to work together creating events that drive traffic into their communitie­s.

While there are many options and pathways forward for communitie­s, there is one path sure to fail. If you keep courting outside businesses that bring more of the sea of sameness you can find anywhere, those communitie­s will ultimately fail. To succeed, create the uniqueness locals and tourists yearn for. Create the heart, soul and vibrancy visitors seek. This is the only viable and successful path forward. The sooner communitie­s come to understand this, the sooner they can get on with the mission of changing their economic landscape and future. Let me close with a quote by Nikos Kazantzaki­s, he said, “In order to succeed, we must first believe that we can”.

John Newby, of Pineville, Mo., is a nationally recognized publisher, community, business and media consultant and speaker. His “Building Main Street, not Wall Street” column appears in many communitie­s around the country. He is the founder of Truly-Local, dedicated to assisting communitie­s, creating excitement, energy and combining synergies with local media to better their communitie­s. He can be reached at info@Truly-Localllc.com. The opinions expressed are those of the author.

 ?? ??

Newspapers in English

Newspapers from United States