How to ensure the season is merry for your business

The festive season is the busiest time of the year for many businesses, but it can also be really challenging.

The retail and tourism sectors are set to ring to the tune of jingling tills. But renovators and hairdressers will also be busy with last-minute makeovers, and mechanics servicing or fixing cars in time for holiday trips.

The rush is already starting for some firms and, with just weeks until Christmas, owners need to prepare now to seize the opportunity. There are also special challenges amid the festive cheer, including managing stock, staff, and cash flow through big peaks and troughs in demand, while providing for holiday pay and the provisional tax bill due for many in mid-January.

Here are some tips to make it a festive season for your business:

 

Planning is the key to maximising sales. 

Stock up to sustain your business into the New Year. Many suppliers shut down over Christmas; double-check your stock will be delivered when you need it.

Brush up on customer service. Holidays and Christmas shopping are stressful for many people. Support your staff by offering customer service refresher training, and revisit your disputes resolution and customer credit policies.

Maximise staff resources for the spike in demand. Write a Christmas roster. Consider hiring temporary staff. You could offer extra hours over the New Year period to cover staff leave and holidays.

 

If your turnover rises, you'll want to maximise sales while managing demand and supply. Here are some proven ways to boost sales:

Make it easy to buy from you. Customers will want speed and convenience. Consider expanding hours over the festive season, offering flexible payment options, and posting special offers on your website. If your site doesn’t show up-to-date contact details, opening hours, and a good description of what you offer, fix that now!

Pull in new customers. Regular customers are great, but new ones can become new regulars. Think about improving your business signage, designs, and logo; offer free or reduced-rate shipping for online sales; or after-sales support, such as three free services when you sell a bike.

New products or services.  Think about your product range. Do you mainly sell big ticket items, or do you stock a range of products for a variety of budgets? You could boost sales by bundling bigger items with accessories at a discount. For example, if selling smart phones you might offer a screen protector, case and car charger at a discounted rate.

 

The holidays can be a cash flow rollercoaster. Sales often peak with the merriment, followed by a hangover as revenue slows in the New Year. Think about the seasonal effect on your turnover and costs, and manage your cash flow carefully. Last year's figures should give an idea. Put together a cash flow forecast to help manage your spending.

 

If you hit a New Year slowdown, don’t despair. At other times you probably crave time to put back into your business. While customers are away, use downtime to plan for repairs, renovations or makeovers. Think about planning, product development or future development. But also allow time to put your feet up – you deserve a rest and it’ll help recharge your batteries for another busy year!