We have officially made it to 2021. It’s a year that will bring innovation for businesses all over the world. 2020 brought us the challenge of the COVID-19 pandemic. Due to this, business owners may think that 2021 will be a breeze in comparison.
However, the world is forever changed by the crisis. As a result, 2021 will present new challenges for business owners across all industries. It’s important to inform yourself of these obstacles so you can develop strategies to handle them.
Here are three challenges your business will face in 2021, as well as the ways you can overcome them.
Navigating an Economic Recession
The pervasive nature of COVID-19 and the lockdown prompted the global economy into a severe contraction. In June 2020, the World Bank predicted that the global economy would shrink by roughly 5.2%. These economic consequences will continue into 2021, presenting many challenges to business owners.
To slow the effects of the recession on your business, think creatively about how to distinguish your brand in a post-pandemic marketplace. You need to think strategically about how to utilize digital channels. This includes social media channels, as they represent a cost-effective method of reaching customers around the world.
You also need to check out some tips and tricks for cutting costs and boosting your profits in 2021. By applying these strategies, you will ensure that your business weathers the economic storm caused by COVID-19.
Building Resilience In a Volatile Market
The global marketplace has experienced increased change. This is not only due to the COVID-19 pandemic. It’s also due to the recession, the Black Lives Matter protests, and the U.S. presidential election. As a result, businesses may struggle to stay resilient in such an unpredictable market.
As a business owner, there many strategies you can implement to overcome this challenge. One is to consistently educate yourself on key market trends, changes to your demographic, and new tools that can help your business. Platforms like Solution Scout are excellent for this. Their guides will help you manage and grow your business.
Knowledge is power, so be sure to grow your own.
Ensuring the wellness of your employees is always important. However, it is not always prioritized. In fact, an employee care report released in early 2020 revealed that only 31% of employees agreed strongly that their employers genuinely cared about them as individuals.
Following the COVID-19 pandemic, wellness has come to the forefront of people’s minds. In 2020, the global community was forced to unite in taking measures to stop the spread of the virus. Given that COVID-19 has yet to be eradicated, those priorities will remain prevalent in 2021. As a result, it’s essential for business owners to prioritize wellness in their operations. Most businesses are already taking note of this: in a recent survey, 91% of respondents stated that health and hygiene concerns will play a role in their 2021 marketing strategies.
In the current landscape, this is often easier said than done, particularly for certain businesses. After all, doing an overhaul of your marketing initiatives as well as other processes can be expensive.
For small and medium-sized enterprises that have limited funds, it may seem out of reach. Additionally, many businesses focus on defining a mission statement and a strategy. Therefore, factoring in the human element of health and wellness may seem difficult to implement.
To overcome these challenges, it’s vital that business owners demonstrate flexibility and empathy in 2021. Even if you don’t have the financial resources to remodel your marketing strategies, integrate other strategies that prioritize employee wellness. This can include flexible work arrangements, offering support during work hours, and paid sick days.
While 2021 remains a promising year full of opportunities for growth, it will come with its challenges. You will have to navigate a recession and prioritize wellness. So, it’s important to educate yourself on the nature of these challenges as well some solutions. In doing so, you will set your business on the path to success in 2021.