Nobody ever thought that the world would come to a standstill because of a virus. Developing economies thought some diseases are meant for third world countries.
Similarly, developing economies thought COVID was a disease that was far from their vicinity.
All these were fallacies; Coronavirus disease is a global disease effective all.
The business sector is the worst affected during this pandemic times. If there is a time your business wisdom is put to the test then it’s during this lockdown period.
When everyone is advised to stay at home, what do you do with your stock?
Food businesses are smiling to the bank since people must eat and drink. When there is a looming lockdown, everyone rushes to the grocery store to stock food, lest they stay hungry.
What of non-essential services like crafty beer business? All is not lost. You can still make profits despite the situation.
Arm yourself with the following tips to remain relevant in the competitive business market.
1. Consider home deliveries
People are at home, but that doesn’t mean they don’t need a bottle of their favorite craft beers.
Since people fear going out to catch the virus, take the services their doorstep. If you haven’t thought of an online shop, this will be the time to start and market it.
As you do, those consider the following factors?
- Run market research to prove that they need the service
- Focus on realistic marketing strategies to reach to your customers
- Follow health protocols during delivery to gain trust from your customers
- Run financial analysis and proves it’s worth the trial
- Map out delivery areas and plan well to consolidate them to reduce expenses
2. Reduce business operation expenses
When you have a reduced influx of customers to your business, it’s time to go back to the drawing board and only spend on what is necessary.
Cut down on costs as much as possible to maximize on the profits as much as possible. As you do this, talk to your employees and let them understand the abnormal times.
Don’t do this at once; give them time to prepare since they may also be psychologically affected, according to the International Labor Organization, ILO.
3. Cut down on employee wages
As part of reducing expenses, employees must take a pay cut or even stop employment or, in the worst cases, stop their services.
When they are employed under permanent and pensionable terms, then things are different.
You may face several legal battles when you fire them. You can now decide to reduce their salaries in line with the employment act that governs them.
The contract staff is easy to handle. However, if you are to retain them, look for one with additional skills relevant to your business.
For example, one with woodworking skills comes in handy to help you renovate when you have less traffic.
4. Opt for wine shops on truck
During Covid 19 lockdowns, it’s time to take services to the people. Let then have it at the doorstep.
Your transport truck can be turned to a portable wine kiosk to help in-home deliveries. Now, the contractual staffs with woodworking skills are of great help here as it can have less cost compared to buying things when it can done makeshift with woods and some tools.
You only need to invest in woodwork tools to support his services. With their assistance, you can choose them in order of priority.
A planer is a must-have device for the purpose. Since you are trying to save money as much as possible, get planer reviews at each price point to make the right decision.
5. Take to credit manager to reconsider loaning rates
You can break in with the few sales you make, but it may be tight with loans to pay.
It’s time to talk to the credit manager and readjust your repayment plans to avoid auctioning or straining to pay, yet you aren’t making good sales as before the Covid-19.
6. Stock fast-moving beer brands
This is not the time to show your might in several beer brands that stock the shelves with no customers.
You are here to break even or make some profits. Therefore, run a market analysis and check on the fast-moving products and capitalize on that.
You may notice that you can make sales out of that rather than the expensive brand with minimal customers.
Use the bigger number-more-profit principle to stay afloat.
7. Diversify in service delivery
Apart from walk-in customers, what else can you offer? You are in craft beer business, why not try a YouTube channel and get students to teach them at a fee?
Let your employees get involved in this program also to feel part of the system.
8. Call customers to inform them of your products and services
Whatever marketing strategy you use, ensure your customers are aware of your current business status.
Let them know your opening times and the kind of products in stock. Please don’t leave them to make guesswork whether you are opening or not. Obviously, they may think you’ve closed shops.
9. Follow government directives of reopening
All in all, lockdowns are a result of a global pandemic.
Despite the stay-at-home orders government directives on reopening and running of essential services during this time is vital. You lose customers when you don’t adhere to the health protocols.
Closing the shop is not an option. Look at what your fellow craft beer entrepreneurs are doing and copy what is relevant to you to maintain your business status quo.