Accounting, Scaling Businesses
Reshaping Your Product Line
Apr 2, 2020
Apr 2, 2020
For example, the video conferencing platform Zoom, now part of the country’s collective lexicon, has seen its stock rise. In addition, a Manchester garden furniture retailer has reported soaring sales during the Covid-19 lockdown. Gardening related products in some instances are seeing strong growth as companies rethink how to market their products.
So how are they doing it? At Aspreys, we came up with some pointers for you:
Moda, which specialises in rattan garden furniture, saw online revenues rise 177% in April. This is compared with the same month last year, with £1.3m spent over the Easter weekend alone! They attributed this to good weather, a recent website upgrade – and garden lovers “keen to ease the pain of the enforced restrictions”.
With its headquarters in Eastlands, Moda said it has seen “significant online growth”. Over the past six years, Moda implemented an eCommerce website and promoted it with a comprehensive digital marketing strategy. Which is now paying off handsomely.
Scottish firm Kabloom, which sells wildflower “seedboms”, says it has seen its sales soar tenfold since the end of March. Its starch-based, compostable, hand-grenade shaped plantable containers are full of compost and seeds. Recognising that consumers would want to garden more, they leapt at the opportunity and reinvented their product offering.
The British Honey Company offset a drop in spirits sales with revenues from alcohol sanitiser products in recent weeks. A reduction in sales of the core drinks products drove the “Drip+Drop” alcohol sanitiser product introduction. And the result has been a “fast and successful start”.
Launched in the last week of March, sales have “considerably exceeded management expectations”. The company says it has more than offset the decline in revenues from its core product offering. That’s definitely reshaping your product line!
In some cases, holiday bookings in the UK have soared. Pitchupo.com, the online outdoor accommodation search engine, reported that UK bookings have surged. As of May 13, the company recorded 23 times more bookings than this time last year! Dan Yates, the founder, believes with many holiday makers uncertain about travel and international safety, holidays are now shifting to domestic travel. So we think Reshaping the domestic travel product offerings will certainly pay dividends in the months ahead.
While these examples are certainly heartwarming, we know that they are not the norm. Many small businesses are struggling in these challenging times . So if ever you prided yourself on your creativity, now is the time to let it shine. Rack your brains for every way that you could reinvent your existing product line while minimising customer contact. Some examples include:
One thing all businesses can do is expand their social media presence because this is where your customers are now. Engage with them, remind them you are here, and work together to find out if there is a way you can still serve them. Your customers have never been more ready to adapt their own behaviour. So what can you do to meet them halfway?
In conclusion, communicate clearly and regularly. Let customers know exactly what you are doing during this crisis. We are all in this together. And based on the examples shared, reshaping your product line could drive future success.