Friday, May 07, 2010

Keeping Your Business Profitable in Tough Times

While the economy is slowly starting to improve, many small businesses are getting creative to turn a profit. CNN Money discusses one such creative florist who stopped selling flowers to retail customers. Instead she opted to serve wedding and event planners exclusively. How could reducing her customer pool keep her profitable? By focusing her business, this florist reduced her wasted inventory, only ordering what was needed for each event.

No matter what kind of product you are selling, your first order of business is to get customers to the store. Don’t be afraid to step up your advertising or promotions during rocky economic times. Customers today want value. They want to know they are getting their money’s worth, so smart sales and freebies can go a long way in increasing your profit. (Remember, smart is the key word, you can’t make money giving away the store!)

It will also pay to become technically savvy--whether using point-of-sale software to collect customer information or using social media to get the word out about the promotion you chose. Some businesses even choose to go entirely virtual, eliminating brick and mortar stores and the overhead that comes with it. No matter what your business, you can benefit from harnessing technology to increase your profitability.

Read more on CNN Money.

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