With the Christmas spending season fast approaching and new data revealing that 4.7 million Brits are looking to spend more on presents this year, small business owners will be looking to utilise these increased festive spends and boost their profits.
With this in mind, small business credit card company, Capital on Tap, has shared expert tips to help small businesses make the most of the lucrative festive period.
Understand how the season will impact your business – Carry out research to understand how seasonal fluctuations impact businesses in your industry. In the short term, creating a cash flow model can help you further understand what money is coming in, and out, of the company.
Hire temporary workers – The lead-up to Christmas can be a very busy time, so you may need to employ more staff to help cope with the increase in demand. Consider hiring temporary workers to give flexibility over your expenses. Aligning your workforce with your business needs will allow you to optimise your resources and adapt to the changing demand.
Learn from your competitors – Keep an eye on what your competitors are doing. This will help you develop an understanding of what works, and what doesn’t, and give you areas of improvement to consider in your own business.
Utilise social media- Social media continues to be a useful tool to market your business, but with the majority of businesses promoting their products in the lead-up to Christmas, it’s important to stand out. You can do to create engaging content, and, more importantly, build a community.
Offer your customers purchase incentives – While Christmas can bring a surge in demand, you’ll also find a surge in competition. Offering discounts can attract new customers and further help you stand out from the crowd.
Invest wisely – Last year the average Brit spent £642 over the Christmas period. Whilst this can give a big influx to your business, it’s important to consider what you do with this extra money. Putting this aside to help you through the potentially quieter months of January and February can help set you up for financial stability throughout 2024.