Be Prepared: Create a Contingency Plan For Your Business
If you’re an SME owner looking to optimise your pricing strategy without losing customers, there are a few things you can do to increase your profitability. However, it’s important to have a contingency plan in place to ensure your business remains successful during unexpected events, such as natural disasters, cyber-attacks, or economic downturns. Here are some tips to help you supercharge your pricing strategy:
▶️ Develop a Business Continuity Plan
Create a plan that outlines the steps you need to take in case of an emergency or disaster. Identify potential risks, develop strategies to mitigate them, and establish procedures for an appropriate response. This includes ensuring employee safety, backing up your data, and having alternative methods of operation in place.
▶️ Build Financial Reserves
Make sure you have a financial reserve to sustain your business during a crisis. Set aside enough cash to cover your expenses for at least 3–6 months, including rent, payroll, and other operating costs.
▶️ Check Your Insurance Coverage
Make sure you have the right type and level of insurance cover to protect your business. Review your policies and make sure you have adequate coverage for several years beyond closing the business down.
▶️ Have a Communication Plan in Place
Have a clear chain of command and know which channels will be used to maintain a dialogue with your staff, customers, and suppliers during a crisis.
▶️ Create a Remote Work Policy
Include procedures for working from home, communication protocols, and cybersecurity measures to keep your data safe. This policy should be regularly reviewed and updated as circumstances change.
By implementing these strategies, you can supercharge your pricing strategy while also ensuring your business remains resilient during unexpected events. Remember to tailor your plan to your specific business needs and regularly review and update it as circumstances change.
