Small retailers are in for some tough time this year and 2009 seems way too difficult for the usual mom-and-pop kind of retailers. Mostly, people would be unwilling to spend much and those that used to buy in bulk may never come back again. The ones that bought in bulk and used credit to do so shouldn’t be given preference and instead, encouraging customers who buy in small quantities but keep coming back must be seen as a future customer base.
Unconventional wisdom may also play a part in the success of small retailers and those who will stick to age old methods may lose the race. Having a strong presence online may be a good thing because survival needs online presence. Moreover, it has been noticed that most people would spend online this year.
Revealing credit crunches and cash strapped conditions to creditors before hand would be a good idea and waiting till defaulting wouldn’t be a great idea. Small retailers would definitely need to consider their strengths and weaknesses and plan the year accordingly. However, a little intelligence and wisdom and a certain open mindedness would take small businesses a long way in 2009.
Via: Forbes
