Post Covid-19: Are You Challenged? 5 Strategies to Reinvent your Business Model
Covid Strategist #2
Since March 2020 more than 100,000 SME’S in USA have gone bankrupt. Covid -19 has put at risk the of closing 3.5 million small businesses in the next two months … 7.5 million in the next 5 months.
Are you looking for a path to survive ? Bankruptcy is not the choice! Choose to survive!
First, you need to be committed to “reinvent” yourself and your business.
1. Challenge your assumptions and old beliefs “what is your business” and “what your customers expect and value.”
2. Actively Listen to your customers and employees and other stakeholders to incorporate their perceptions and expectations.
3. Transform your business model by expanding your vision of the business, reinventing how you message and deliver your products and services.
Second, here are five survival strategies that transformed traditional business models in Post Covid environment.
1. Reinvent your delivery model
· Restaurant beyond take-out — Offer high-quality selections to your existing market with good profit margins.
When Ristorante i Ricchi in Washington D.C., had to keep business going after the March shutdown, it launched the I Ricchi Food Club, featuring a curated four-course Italian dinner available for order-ahead and pickup. The price is below $49 per person per meal, with a 20% discount if customers sign up for a once-a-week, four-week subscription. Each meal comes with a candle, optional wine pairing and personal travel notes relating to that night’s “culinary journey.”
Christianne Ricchi reports that “About 80% of people signed up for all four weeks.” The Food Club continues to generate revenue and keep expenses in check as orders tell me how much food to order each week, how many meals to prepare and how much staff to enlist.”
· Use underutilized facilities to deliver your product/service
Marc Rebillet was supposed to be on tour this summer, playing electronic music at festivals throughout the United States and Europe. His scheduled tour was cancelled due to the pandemic learned about a musician who begin successfully playing concerts in Germany at drive-in theaters. He adopted this new delivery model using headphones to walk around to each car interacting with attendees in a Covid clean venue. He’s now totally booked this spring and summer at drive-ins movies
2. Re-use your assets to create a new business model
· Reinvent your Offering
At a recent meeting, a fellow board member shared a story about a California goat and llama farmer whose business evaporated because of the pandemic. Her model was based on people visiting her farm. But then she put herself in the place of her clients, who are stuck at home, often homeschooling kids and having one Zoom meeting after another. She decided to offer a service called Goat 2 Meeting, where for $100 companies or individuals can request a cameo appearance of a llama or goat. It has been wildly successful because for a company to shell out $100 to surprise their clients with a cute farm tour in the middle of a boring pitch meeting on Zoom, and really delivers joy during a dark time.
· Rethink your Value
A professional videographer in New York City was locked down during Covid19. He was looking for work. A professional colleague needed help to present herself in zoom environment; she approached this videographer who gave her pointers on low-cost ways to quickly have great lighting.
She encouraged him to step out of his videographer role to offer personal photographic sessions, based on empathy — ‘think like they might about where their hurt is right now.” “He conjured up five ways he could contribute to them and let the client know that he cares deeply about what they shared.
The transformation is where opportunity lies — “To step outside our ‘professional’ armor and into the raw intimacy of empathy with each other. You just have to make yourself vulnerable enough to step into the other’s shoes and explore what mutual value you can create together.”
The videographer turned photographer built a new business based on empathy.
3. Use technology to transform the patient experience
Occupational therapy for children is traditionally a one-on-one activity between a therapist and a child without parents present. With clinics closed, eliminating one-on-one therapy sessions, they were forced to use Telehealth Zoom calls to interact with the child and a parent. Now the therapist gave one-on-one instruction in which the parent was involved. It created a better bond between the child and the parents, increased the performance of the child who got regular interactions with the parent. The outcome- generated additional therapy visits, one via telehealth and one office visit per week; thus, increasing potential revenue from the client. Finally, it significantly reduced losses from cancelled appointments.
4. Use an integrated learning platform to deliver an engaging learning experience
For 40 years Global Youth Village, an international program, has been bringing youth from 100+ different countries to interact in a summer camp experience. Covid-19 eliminated face-to-face participation, so the camp created an integrated learning platform for a 3 week summer program which attracted some 90 participants from 15 countries. This platform will be refined for a more engaging and scalable global experience increasing future revenue and impact on their target population.
5. Transform branding from your company image to “what the consumer expects”
Customers have high expectations of a socially responsible company so a brand reset is a necessity to attract their business. Brand experts suggest “There has been a big shift toward being more human in everything marketers do. You have to scrutinize activities through the lens of how marketing can help rather than sell. ”Below are five examples of significantly changing expectations of consumers during Covid. Successful businesses must pivot their brands to meet these expectations and create a global standard. 2020 Brand Trust Report
Brand Trust drives purchases. Compare your efforts to build Brand Trust with the global survey .
· 60% said that they are turning to brands that they absolutely can trust.
· “71% agree that if they perceive that a brand is putting profit over people, they will lose trust in that brand forever.”
· “54% are not paying attention to new products at present unless they are designed to help with their pandemic-related life challenges.
· “65% said that a brand’s response in the crisis will have a huge impact on their likelihood of purchasing it in the future.”
· “33% have already stopped using a brand that they think did not respond appropriately during the pandemic.”
Send us your story about your adapted business model; we’ll feature it on an upcoming COVID STRATEGIST.
Our Covid Strategist Team provides the tools and insights to maximize your transition from Stage One to Stage Two.
Are you ready for transformation?
To help you get started, our Team offers you a complimentary assessment and strategy …
1. Free Post Covid Assessment (60 minutes) Click Here to Register
2. Free Post Covid Strategy Outline (30 minutes )
3. Top Be Discussed- Post Covid Strategy Design & Implementation (weekly coaching)
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Covid Strategist is a service of www.Transformation Academy.co
Members of Transformation Academy Covid Strategist Team include:
Ira Kaufman: Transformation Strategist, CEO, Social Entrepreneur and Educator. Ira’s 45 years of management experience spans three worlds: business, nonprofit and education. He challenges leaders, entrepreneurs, and owners to reflect on their assumptions and resistances to discover new sustainable solutions and fuel growth. His company, Entwine Digital, works with small, midsize organizations and multinationals to design values-based digital marketing strategies. His Transformation Academy co-creates with teams strategies to face crisis and uncertainty and build transformative business models.. He co-authored Digital Marketing: Integrating Strategy, Tactics with Values (now in 2nd edition) and Strategic Harmony… Fixing the Broken World (2020).
Jean AbiNader: With decades of experience in communications, business development, public affairs/advocacy, international marketing, education and training, and project management, I founded AbiNader Advisory Services to help companies and organizations in transition manage change with training and education. We work with corporate, government, and NGO clients around the world in a wide range of sectors such as defense, renewable energies, and technology, and service areas including health and education, and trade and investment promotion.
Parvez Khan: He empowers leaders and top talent to see and effectively run their organization or businesses. His Sage Consulting Services differentiates business results by unlocking and supporting the unique potential of every employee. With more than 20 years of solution delivery experience across multiple industries, Parvez’s specializations include optimizing teams and behaviors across project management, process improvement and solution stabilization.
