No doubt we’re all starting to feel the effects of the current recession (as of December 2022, experts stated that a recession began over the summer).
As more news of a recession or slowdown breaks, you may start to think about how you can protect your business and keep up cash flow during a downturned economy. But before you start panicking, know that making a decent income is still possible — even when it’s just you, yourself, and your emotional support blanket from Target.
A recession doesn’t mean people don’t want to buy anything. We’ve seen that through the 2008 recession. It just means that people will want to spend their money differently.
So before you go pull the plug on every single expense you have just to save a buck or two, check out some great ways to make money, even during a recession.
During an “up” economy, there are still a lot of people who can’t afford to pay the total cost of your offers upfront, especially the higher ticket items like a course or membership. But during a down-turned economy, that will likely include your lower ticket offers, too.
Offering extended payment plans on your products makes them more accessible to potential customers by helping them feel more secure purchasing them. That way, they know that even if they don’t have the money for it right away, they can still buy it if they can pay it off over time.
Because a lot of people are going to forego the higher-price point items in favor of smaller ‘luxuries” (read about this concept, called the lipstick index, here [DECEMBER 8 BLOG]), this is a great time to start thinking about how your more expensive offers could be repurposed into smaller ones.
This gives your customers a way to still work without feeling like they need to break the bank to do it. If and when the economy comes back up, they’ll already be a warm lead when opportunities to work with you via courses, coaching, or membership become available.
Constantly working off of a 1:1 business model is going to get exhausting. But you don’t have to make that your only offer. If you need another way to supplement your income, why not consider done-for-you services?
True, they do tend to be more expensive, but a lot of small business owners are going to be searching for ways they can hustle and bring in more money — meaning they will need help with things like creating content, scheduling it, reaching out to clients, etc.
And with so much on their mind, they’re still going to be happy paying someone else to do it for them so they can focus on what can boost their income. It’s a win-win situation!
Don’t keep doing the same thing over and over again if it’s not bringing in sales. Yes, a recession seems scary, but when you keep your focus on things that will bring in that extra money, you can start to see a light at the end of the tunnel (or at least some cushion money).
But if you still haven’t set up any passive income products for your biz, or are just now starting to think about it, go ahead and watch the video below! I break down the difference between D-Commerce® and e-commerce, shout out some of the benefits, and most importantly, how to know which one is right for your business.