More publicity… Less competition… Talent waiting to be scooped up… Here’s why starting up in a recessed economy may give your business a better shot. Do you have one good reason to start your business right now?Regardless of what people around you (including the media) may say, right now is the best time to get into business. Here are our Top 10 reasons you should start your business now-despite the current downturn:
1. Everything is Cheaper
Let’s face it – There is great value now in economic markets. This is the right time for fantastic deals in virtually every category, from land and equipment to commercial office space, personnel and fit outs. Some people have waited years to find value in these markets – and now that time has come.
2. Qualified People Are Hungry For Jobs
Having highly qualified people is the lynch pin of success in any business but it is an area where start-ups can fall. Start-ups are often unwilling and always unable to spend enough to get the highest level team to ensure the success of the business. This all changes in a recession. There are people now available willing to accept lower remuneration and keen to get a slice of the pie in a start up. Mindsets change in a recession too – those individuals who would normally never consider working in a small start-up are changing their focus on work directions. This all means that you will be able to source a really strong team at the outset for a fraction of what it would cost you in a growth environment.
3. Great PR By Going Against The Trend
The media loves a good story, and if you are optimistic by expanding,re-branding or getting into business now, you will find yourself and your new business in that category. Great PR like this will go a long way towards launching or branding your new business without it being seen as “Selling”.
4. Suppliers Are Giving Better Credit
Because the credit markets have virtually shut down, the B2B credit flows are keeping money circulating out of sheer necessity. That means a bullish outlook for companies looking for good terms on stock and inventories. When everyone is looking to survive, great deals can be had.
5. Believe it or Not There is Still Finance Out There
Individuals, family and friends who traditionally invested in stocks and shares will be less enthusiastic to do so at the moment but they’ll still want to put money into ventures likely to show revenue streams and eventually profits. That means they may be willing to finance a portion of your new venture, or the expansion of an enterprise that has proven itself over time. If you have a solid business plan that delivers real numbers, your chances of raising the capital you need increase exponentially.
6. Businesses Are Changing Suppliers
Everything is now on the table. As a smart Start-up if you can come in with greater value and an understanding of where your prospect is hurting you have a good chance of winning new business. You also have the advantage of being the “new kid on the block” when it comes to pitching your products and services. Many companies are desperate to find new partnerships with new businesses that have a different, better or more innovative way of delivering those products and services.
7. You Can Buy Everything You Need at Auction
In addition to everything being less expensive, you can find great deals at auctions, especially in terms of any large equipment and office furnishings. Auctions are also a great place to find hardly used or “gently” used restaurant and bar supplies at great prices. It’s an opportunity for you to get set up for a fraction of the price it would cost you in a growth market.
8. Ownership Equals Tax Incentives
Business ownership offers a variety of tax benefits that aren’t available to employees. While taxes should never be the sole reason to go into business for yourself, it should be one reason to add to you “benefits of business ownership” list.
9. You Can Find Great “Low Money” or “No Money” Deals
Many current business owners want out at any cost, meaning you can negotiate great win-win deals that allow the current owners to exit while giving you an opportunity to turn around what could be, if run right, a very viable business.And finally . . .
10. You’ve Lost Your Job, and You Have To Do Something
Sometimes, the best business decision is the one you are forced into, and the incentive (as well as need) for income is often enough to push you to go out on your own. It is also a great opportunity for you to strike out in area in which you have always been interested but had not considered part of your planned career.
There you have it:
Redstorm’s top 10 reasons to start your business in a recession. There’s no better time to start than now. Give us a call on +353 1 2360909 if you’d like to chat through any opportunities you are considering.
Choosing a name for your e-business requires just as much time and effort as naming a brick-and-mortar store. Here’s how to get started.Q: I’m opening an online store and was wondering how important the name of an online business really is. Should the name reflect what the business sells, or is it better to come up with something catchy and easy to remember?A: What’s in a name? When it comes to your business, a lot more than you might think. Deciding on a name for an online business is no less important than deciding on a name for a brick-and-mortar business. In each case, coming up with the business name is one of the most important decisions you’ll ever make. The right business name can help you rise above the crowd, while the wrong business name can leave you trampled in the rush. With the economy in a slump and competition on the rise, now more than ever it is important that you put considerable thought into coming up with the perfect name for your business.Unfortunately, this is a task that is easier said than done. We live in an age when a business called “The Body Shop” might repair wrecked cars or sell bath products to teenagers, so before you send your letterhead to the printer, consider the following points to help you select the business name that’s right for you.The first thing you should do is determine if the name is already in use by someone else. You’d be surprised at how many entrepreneurs forget to research this point and open a business with a name that is already in use. If the name you choose is available, you should immediately reserve the name and apply for legal ownership.Another important thing to consider, especially for an online business, is the domain name for your business. The domain name is the Web site address (or URL) a customer will use to find you on the Web. Is the domain name for your business name available? If not, is there a domain similar to the business name you’re considering?You’ll undoubtedly discover that securing a suitable domain name is actually harder than choosing a business name. Most logical domain names are already reserved, but you might get lucky. Keep in mind that domain names should be short and descriptive. Whatever you do, don’t use a domain name that is a confusing amalgam of letters and numbers that’s hard to remember and even harder for your customer to type.One good way to approach the task of naming a business is to do so from your customers’ point of view. Your business name should clearly define your offering and communicate your message to customers. Put yourself in your customers’ shoes for a moment. If you were looking for a business that provides your product or service, what would you expect that business to be called? The name of your business can also spark subconscious reactions in customers that may drive them to you or drive them away.Finally, let’s talk about things to avoid. Experts agree that you should avoid using generic terms like enterprise, corporation, partners and unlimited as part of your everyday business name. These terms are fine for the legal business entity name, but are often too unclear for everyday use.Here’s to your success.
You have a great idea for a new business, you have a plan for how you’ll go about it, you may even have funding, customers and a web site design… Now you’re only stuck on one thing – choosing a name!We’ve spoken to entrepreneurs, marketers, strategists, branding experts and design gurus to get some structure on how to go about picking a name that will last, that you’ll still love in 10 years time and that will come to hold value in the mind of your customers.
1. How Do I Start?
Initially, begin by brainstorming a list of keywords that relate to your product/service, company or blog. Then hit the reference materials, look at dictionaries, thesaurus and online for more options around your chosen theme. Try to think of all different types of names, compound words like “Facebook”, blend together words like “RedStorm”, add affixes “coComment”, make up words like “Squidoo” or even phrases such as “StumbleUpon” or “GoToMeeting”Once you’ve got a healthy list, start cutting it all back. Begin by asking yourself:
2. Does It Mean Something?
Names can be classified on a continuum based on how they communicate to consumers. There’s a spectrum from descriptive names which speak directly to a product benefit or attribute, “Organic Supermarket” to empty vessel names, where it doesn’t mean anything about the product “RedHat Linux”.Descriptive names, such as “Murphy’s Ice Cream”, immediately convey information about what you do. They are simple, intuitive and help consumers easily identify the mission of your business.The downside? They can sound generic and boring, and the accompanying domain name is usually taken. They are also limiting in a fast-moving industry like technology, where what you do now might not be what you’ll be doing in a few years. Don’t forget, a name can be a prison… it can restrict what you offer and to whom you offer it as you move through the phases of development.
3. Or Does It Mean Nothing?
Empty Vessel Names can be completely made-up words (Kodak or Squidoo), words in another language “Hulu” which roughly translates both to “holder of precious things” and “interactive recording” in Mandarin), or those whose meaning is so obscure that people interpret it as an invented word “Google” (sparked from “googol,” the name for the number consisting of a one followed by a hundred zeros).Empty vessel names can be fun to say, can separate you from the crowd, and can be subtler than descriptive ones.But you may need to put in more money to get the word out initially. And a word to the wise: Check to see if the word means something in another language — you don’t want unintended meanings to make a mockery of your carefully crafted name.If neither descriptive nor empty vessel names appeal, try a suggestive name, which lies somewhere in between. Names like Apple which indirectly alludes to the simplistic and perfectionist values for which the brand would like to be known.
4. Will It Work Online?
Nothing kills a name faster than finding out someone else already has it, a competitor or even an totally unrelated business — and in the online hunt for domain names, it sometimes seems like every possible option is taken.More and more, search engine issues and domain availability are affecting the style of names businesses can launch with. Some people consciously try to create names with unique keywords so theirs will be the only result in targeted Google searches. Although it can be dangerous to go down this road as keyword incorporation can be viewed as spam by search engines.
5. Is It Sticky?
Amidst all the search engine and domain name drama, consider that names are memorable when they sound good. Names like “Bebo” and “Yahoo” are great sounding memorable names.You can also use poetic devices to ensure the names stick. Names based on rhymes (TopShop, HotSpot), repetition (Bebo,LaLa), and alliteration (FireFox,BlackBerry) tend to be memorable.For the advanced namers out there, try what’s called the “Part of Speech Test.” Look at whether potential names can be used in multiple parts of speech. These are stronger because people will use them in speech more often. LinkedIn, for instance, can be used as a noun “We connected on LinkedIn”, as an adjective “Did you look at her LinkedIn profile?”, and as a verb “I am going to LinkIn with him”. When a name passes the Part of Speech test, it becomes pervasive.
6. Is It Simple?
Any name should be easy to pronounce, easy to understand, easy to spell when you hear it, and easy to know the pronunciation when you see it written down. However, you can mitigate confusion by also holding domain names with likely misspellings and redirecting users to your correct site. Remember, although almost all single word domain names are gone, try to keep your name short as it has to appear in email addresses and on business cards as a www.Punctuation is trickier. Although adding hyphens to domain names or underscores to Twitter handles may allow you to get the name you wanted, people are likely to accidentally leave them out, especially when typing on mobile devices. You’re better off avoiding punctuation if you can.
7. Forget the Rules
If a name is really meaningful to you, it might work even if it doesn’t quite meet all the other criteria. So don’t be intimidated by the rules — just grab your thesaurus and get going. Check with friends, ask them to describe what type of business the name suggests, can they spell it? Pronounce it? And can they remember it a week later?
Remember social media networking takes time, the more involved in it you and your organisation become, the more time it will take. The more successful you become within the social media world, the more interactivity you encourage, the more successful you will become but it will take still more time. So, the key success factors for any strategy come into play with social media – know what you want, have a clear end goal and then find myriad ways to achieve it.
Begin with the End in Mind
Strategy isn’t the end goal – It’s the path you take to get to that end goal. So, first you need to think about setting some goals for your Social Media work. What do you want to achieve (end goal) by getting involved in social media. Remember, social media is highly measurable, but also include softer goals such as building a strong community, loyalty, trust and interactivity around your brand. Don’t measure your Social Media strategy solely in terms of percentages or ROI.So, let’s look at some basic goals you can achieve through Social Media:
• Increase customer base
• Generate leads
• Drive sales
• Build awareness
• Make money from your content
• Establish thought leadership
• Educate customers
• Reach new channels of customers
• Improve internal communication
Questions Before the Strategy
Before you go too far down any one path, you need to ask some basic questions:
• Are your key customer groups or influencer groups likely to be online?
• How are you going to add value through their online contact with you?
• How do you plan to engage them online through your new social media platform? Interactivity is key to repeat visits but it’s not all about selling.
• How well suited is your brand to the Social Media environment?
• Which Social Media platforms are you planning to include in your strategy? LinkedIn, Facebook, Blogging, Podcasting, Twitter etc
• What measures will you use to determine the success or failure of your strategy?
• How long are you going run with this new strategy before you call it a success or failure?
• Who has overall responsibility for each area? It’s critical that each message you send out to the market is aligned with your brand story and that you react to any feedback/comments/queries quickly.
• How will you incorporate this into people’s daily jobs getting them actively enthused?
• Are you ready to handle negativity? Platforms like blogs, podcasts and videos allow for external comments, not all of which will be good, and some company cultures aren’t ready to engage with those opinions.
Even looking at those few questions will tell you a lot about your business and whether or not Social Media is actually a good fit for you and your internal capabilities at this stage.
Where are you going? How are you going to get there? How do you know you’ve arrived? Simple?If you’re going to put a social media strategy into place, you need to know where you’re going (end goal), align and develop the paths you’re going to take (which platforms, who’s responsible, how to engage), measure the journey (what factors signify success or failure) and funnel all this back into the original strategy as you proceed, to make it more robust, better targeted and more effective as you move forward.
First Step to Social Media Success
Listen…!Seriously, before you start developing a Social Media strategy for your organisation – Listen…Listen to what’s going on in your market – who’s playing in Social Media?What are they saying? What platforms are they using? How are they bringing value to their communities? How are their brands represented and their stories told? What are they doing and how can you do it better?Also, have a listen to what the market is saying about you – even before you begin to court feedback through actively engaging in Social Media the market may be talking about you – you need to know what people are saying.
Have a look a couple of basic listening tools:
Google Reader and Google Alerts – set these up on your iGoogle home page so you can instantly see when someone mentions you. Don’t just set your alerts for your company name; use your own name, names of people on your team, directors, influencers, clients etc. Set up alerts for business areas where you are the leader, events that you run – anything that will relate to your organisation and will give you feedback on market reactions.
Technorati – Go to www.Technorati.com, search for your company (again using product, brand, personal names) in the search bar, and see what people are saying about you. Note the little orange RSS subscription button in the upper right. Copy that link location (Right click the link and say “Copy Link” or however your browser words that). Now, put that into Google Reader as one of your listening searches. Repeat this for your competitor’s name, brand, individuals, and some industry terms (make them succinct).
Google Blogsearch – Go to Google Blogsearch and do the same thing. Sure there will be some overlap, but it’s important to capture both. The subscription to searches link is on the left hand side about 1/3 down the page.
Try Summize – if you’re thinking about using social networks and social media, it’s likely that some of your customers are using Twitter. If so, go to Summize and put in your search terms there, too. Input as many searches as you need, copying the RSS feeds and putting them into Google Reader as above. Build a strong catalog of searches initially, you can prune the bad or ineffective ones after you have tried it for a while.
About You!What do you think? What else should we work into this “Starting a Social Media Strategy” piece to make it more useful to your needs?