As a company, we've been around since the late 1990's. We've done our best to treat our customers right, and now that times are tough, we have an OUTSTANDING grass-root customer base. We're doing fine.
Granted, we've had to make changes. We've made a few cut-backs, have fewer employee's, and really have to be smart about how we do business. I look at this as a HUGE plus. When a company is forced to look harder within, you're forced to see where your weaknesses are. Even the most sound aspect of your business, now takes on a totally different light.
I would like to think that by doing this for as long as I have, I have the base to make smart choices. What shocks me are the companies that think that they have the magic idea that's going to shield them from difficult times. Some think that bigger is "always" better. They think that if they're open 7 days a week, extend their hours, or attend every event, that the additional cash flow will justify the expense. "I'm not going to crawl into a hole like others..! I'm going to expand at all costs..!"
First, being smart about where money ends up isn't "crawling into a hole." While expanding (if done smart) can be good, it's easy to forget where you came from, and how much expansion costs. It's also a given that employee's are the single largest expense most companies have. Many employee's don't understand that, so the owner better.
Secondly, it's way to easy for owners to think that if they expand hours, attend every event, or have 3 people sitting around waiting for the next customer, these efforts equal positive cash flow. They can, but often the end result isn't completely positive.
So why do a blog, that might be taken by some as a "what not to do" memo to other smaller companies? The fact is, those companies that involve themselves in these beliefs are going to do it anyway. One day employee's will come to work, and there will be a CLOSED sign on the front door.
My concern is for those customers who purchase from them, and have no idea what state these companies are in. They make a purchase, wait a week for their goodies to arrive, make a call when it doesn't, and only then find out that there is a closed sign on the door. I can't tell you how many times this has already happened, and it's just the beginning. The winter months are typically the slowest times (even with Christmas). Like my long time distributor Rep stated, "I have 4 major accounts that won't see Spring..".
My advise; just be careful. If you have a relationship with a company, and in the past have been treated right, give it a lot of thought before you jump ship. While price is important in these times, there's also a value associated with a smooth transaction....
