How ambitious leaders use downturns to get ahead of their rivals.
- How traditional downturn strategies hold back ambitious leaders.
- Why downturns offer opportunities for businesses to get ahead of their rivals.
- How to take advantage of downturn opportunities by outsourcing to the Philippines.
- What others say about how their Philippines team members in the Philippines are treated (no modern slavery).
How traditional downturn strategies hold back ambitious leaders.
Downturns can be frustrating for business leaders that want to pursue growth. Businesses often turn inwards, focusing upon margin protection and budget savings. They reduce investment in activities that underpin future sales.
Summary percentage budget cuts, hiring freezes; losing contractors, marketing cuts, investment reductions all sit at odds with driving positive progress. And yet 2024’s global economy provides proven options for ambitious business leaders to protect margins and deliver budget cuts, all while staying growth focused.
So, let’s explore how leaders that think beyond local economic conditions can get ahead of their rivals.
Why downturns offer opportunities for businesses to get ahead of their rivals.
The smartest business leaders know that economic slowdowns aren’t all bad news. They offer:
Less Competition – when competitors reduce marketing budgets, they make it easier for your business’s voice to be heard. Research shows that those that continue to market during a downturn become the strongest players when the good times return. Psychological advantage is gained over rivals because prospects see that your business remains ‘in market’ and strong.
Chance to become a prominent brand – The vast majority of us prefer to buy from familiar brands as we perceive them to be lower risk choices than those that we’ve only recently heard of.
A downturn offers the opportunity to build brand familiarity for less budget because others have cut their marketing spend.
Chance to innovate and adjust direction – Economies, market sectors, and buyers that come out of downturns are often different to those that went into them. Downturns can be catalysts for innovation as businesses seek to meet buyers’ changed circumstances. They can free up time to assess market opportunities and competitors’ capabilities. They offer a chance to change and tap into new growth.
How savvy leaders fund marketing and innovation in a downturn.
What’s changed in 2024 is that even in stagnant or downturn afflicted economies key technology and accounting skills remain scarce and expensive. Candidates retain the upper hand. Staff churn rates remain stubbornly high. This makes budget savings and margin protection strategies hard to deliver.
Accessing the marketing and innovation opportunities that downturns offer requires new resourcing strategies.
Even with the USA predicted to be on the brink of a recession demand for IT Managed Service Providers (MSPs) to expected to double by 2030!
Increasingly, business leaders are accepting that they need to look beyond their own shores – to be open to adding remote employees to their teams – in order to find the talent that they need AND free up budget for other activities.
How progressive leaders are outsourcing to the Philippines to find talent and free up budget.
Yempo’s clients explain how they’ve adopted outsourcing to the Philippines so they can stop chasing scarce talent and free budget for other activities:
“Yempo provides a necessary response to the shortage of quality, Australian, labour. Yempo’s fully integrated model means they are an extension of our local team. Our clients don’t know difference. Cost is simply an added benefit.” – Simon J, Director, SDJA
“Yempo provides access to high quality candidates. Australian talent is in very short supply.” – Kirsten F, CEO, Accounting for Good
“We wanted to find local staff but couldn’t. Yempo gives us the senior IT expertise that other outsourcers cannot provide.” – Ron R, Director, The IT Agency
“A lower cost base allows us to offer services to clients at reasonable prices: clients feel like they get value for money.” – Jacki M, Owner, We Are Lumen
Summary
In both good and bad economic times Australian, UK, and USA- based business leaders can no longer resource IT and accounting roles from within their local talent pools. Growth- focused leaders fix these problems by adding remote employees in the Philippinnes to their teams. They save up to 70% on salary costs vs. local hires. They gain the well- treated quality talent that they need to take advantage of the opportunities that downturns present.
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