Covid-19, and the Government’s response, has posed the most severe peacetime challenge to the UK economy in living memory. But real and sustained growth is attainable for the prepared business.
Whilst the latest Office for National Statistics data indicates that the UK economy is 4.4% smaller, in GDP terms, than it was prior to COVID-19, in Q1 2021 GDP increased by 4.8%, continuing a trend in the preceding 2 out of 3 Quarters. Q3 2020 GDP alone increased by 16.9%.
Read the tips below to see how businesses maximise growth in this economic climate…
- Know the client
A business that has looked inwardly during the Pandemic is less likely to grow than a business that considers the impact COVID-19 has had on its clients and customers.
- Have you maintained your links with your client during and after lockdown?
- Have you supported them during their struggle through the Pandemic?
- Do you know their new and future business needs and business plan, as opposed to what they needed 2 years ago?
A growth-oriented business will be able to answer yes to all three questions.
- Product Innovation
The maxim ‘To stand still is to fall behind’ has never been more true than in the current economic climate. A growth-oriented business will have a ‘Product Innovation’ culture, looking to enhance its products’ qualities or applications.
A Prime example is Amazon. The company grew from a book distributor, through Product Innovation, to then develop a whole new e-book market through its Kindle. As in this case, Product Innovation can create internal competition that drives products to surpass earlier designs or modes of operation.
A growth business will not be afraid to innovate, but in order to do so, it must first know the client’s needs!
- Product Delivery and technology
Bill Gates is famed for stating that a business without the internet is no business at all. Pandemic lockdowns have removed any doubt as to the truth of this statement.
A growth-oriented business will know what product the client needs and will have developed their offering against the client’s current and future specifications. Using all available technological advantages they take the product to market in a scalable and client-centric manner.
Technology has made it easier than ever to distribute a product to the largest geographical market, particularly, if all systems (including back-office through to sales functions) are online and delivered with an intuitive customer interface.
4. Be a Leader
The difference between leadership and management is that the former travels through change, whereas the latter fights it.
A growth-oriented business will embrace the inevitable change and take its clients and workforce through it to achieve a new vision. Whilst Tips 1 – 3 are client-centric, businesses that grow do so because they do not lose sight of the staff side concerns, particularly during a public health emergency. They will also encourage leadership at every level of the business and be truly adaptable without losing functioning hierarchy and governance integrity.
Richard Branson is quoted as saying “If you take care of your employees, they will take care of the clients”, and “Train people well enough so they can leave, treat them well enough so they don’t want to”, and the Virgin brand is now galactic.
- Develop Financial Intelligence
Businesses that grow understand their financial strengths and weaknesses and adapt to changing economic circumstances accordingly.
- Increased expenditure on IT and communication systems, to facilitate hybrid working patterns, can release savings on overheads such as office space, whilst at the same time increasing revenue through improved sales figures.
- Investing in a social media marketing strategy may pay for itself quickly if it suits the business’s target audience.
- A crisis management plan designed around a business’ current and target financial positions will mitigate the impact of future emergencies and political, financial, and social crises.
Retaining the services of financial experts such as Accsys Accountants will support a growing business to implement sound financial practices to accelerate growth.
Accsys Accountants has actively supported its clients through COVID-19 and beyond, with a broad range of service specifications tailored to your needs. Contact us by email info@accsysltd.co.uk or call 01622 671835 to find out how we can meet your accounting needs.
