We have drafted this article to share with you some strategies that you can implement to use shifts in customer spending in your favour. To know what are these changes in customer behaviour, you can have a look at this article. We understand neither these times, nor realigning your company would be easy, but Metric has your back. We are here to help you tackle these challenges and adapt to shifts in customer behaviour.
Ideal Response to Shift in Consumer Spending with Metric’s Insights
Now that we know a few shifts in consumer mindset and behaviour, how can a business manoeuvre their product to do better with this knowledge? Here are a few tips and tricks your business can implement to not only keep yourself afloat but to prosper amidst inflation.
- Change Marketing
We noticed that all products are not disdained by consumers in an economic crisis. Beauty, home, and sports products saw a hike during covid, local brands sold more during inflation and import bans, and similarly, every crisis is a high time for some category of products. To capitalize on this type of product demand, you may need to change up your marketing.
Your business might be offering a product that customers can get interested in. To keep up with consumer spending in 2022, you need to refresh the way you appeal to your target market. Inclusivity, involving customers in advertising, and keeping up with the social trends are some of the ways to stay relevant and desirable for the customer.
Metric provides assistance to new businesses struggling to make the right marketing decisions. The app offers strategic insights based on your business’s financial outlook. These insights facilitate you to make confident marketing decisions to grow your business.
- Offer Discounts
Restricted consumer spending might lead you to a surplus product stock and limited cash flow. This is the best opportunity to offer discounted pricing. However, don’t let the discount lead you to loss. Decide a discount amount that gives profits, specify a discount period and advertise a lot preferably on social and digital platforms. This will not only keep your cash flowing but also lets you get rid of existing stock so you can invest in introducing more crisis-relevant products.
Metric analyzes similar businesses in the region and strategies of other businesses to deal with a situation to provide you customized insights. These insights include appropriate times to offer discounts and sales. Since Metric Insights are data-driven, they have a high chance of yielding the required results.
- Cut Internal Costs
These changes in marketing strategies might work, or might not. At the end of the day, it’s an inflation period and low demand is assured. Amidst trying new strategies, your business must focus on cutting internal costs. Metric provides accurate data on your financial situation, enabling you to analyze costs that could be temporarily or permanently cut. You can refer to our article “How to deal with Inflation” to see more tips on surviving inflation financially.
- Optimize Speed of Orders
Economic crisis and inflation affects business in two ways regarding Speed of Orders. Either the low demand leaves the business in surplus inventory or people shift to your product but you can’t manage the sudden demand and fail. The way to deal with this unprecedented situation is to optimize the speed of manufacturing according to real-time data of products sold. Metric’s cloud-based software provides minute-by-minute data of your transactions thus letting you be on top of your business.
As briefly discussed, a mass shift to your product could be an opportunity or loss based on your reaction. If the price hike makes customers shift to your product in large numbers, and you are unable to entertain the demand ending up out of stock most of the time, you’ve lost a golden opportunity. These are not your loyal customers who would wait for you to restock. These customers are on the look for cheaper available alternatives. In order to keep these customers you have to speed up your production massively and make these converts loyal to your brand.
- Convey Value
The purpose-driven customers expect the brands they buy from, to bring value to the world. Small initiatives like employing transgenders, maintaining an equal gender representation in your company, dedicating a part of your profit to a cause, depicting inclusivity in terms of culture, race, gender and social backgrounds, being eco-friendly, promoting positivity, and raising awareness on mental health or other causes are some of the many ways you can show your values and incorporate it in your business vision. Metric can help in this domain by keeping you aware of what your competitors are doing and what are the popular trends these days. You can also benefit from Metric’s network regarding strategically incorporating values into your marketing and vision.
- Use analytics to drive personalization
To grow your business you must have a detailed understanding of customers, creating moments that matter for them through personalization. Metric through its advanced analytics to identify the interests and behaviour of your customers. The forecasting models of Metric would enable you to locate the growing buying power of customers so you can timely act to capture demand, win new customers, and reinforce the trust and loyalty of existing ones.
- Reexamine your ecosystem
Rethinking ecosystems and partnerships are crucial for dealing with the pace of change, complexity, and disruptions necessary to achieve extraordinary impact. Build your ecosystem on a foundation of trust, where systems and processes are integrated to make decisions dynamically.
Whether you’re a product-based business or a service-based, these steps can help you be relatable, reliable and available to your existing consumers while gaining new ones even through crisis. Metric can enhance your growth in more ways than by providing business insights. Head over to our website to know all the features metric app provides, and get on to a growth journey with us.