Since the economic collapse virtually every business has been taking quick and dramatic action to survive the drop in consumer spending and the tight capital markets. What have they been doing? Of course, businesses across the board are cutting costs--eliminating all wasteful and unnecessary spending and going without many of the perks and indulgences they had become accustomed to. Frivolous advertising and sponsorships have been axed. Cushy retainer relationships are canceled.
What else? Well, everyone is concerned with giving customers the best value, resulting in lower-prices and value-oriented promotions. New products that delivered more sizzle than steak have all but disappeared. Meaningless line extensions that were little more than marketing filler aren't being funded. Only real innovations with game-changing potential are still capturing the excitement and imagination of retailers and consumers.
More? Casual dining and upscale restaurants--a category hit as hard as any--are all talking about customer service. And I just read that new Toyota CEO Akio Toyoda emphasized that the one of the keys to the company's turnaround will be the ability to refocus on the needs of the customer.
And it strikes me that all of this is pretty basic stuff--time-honored principles for success that have been around for centuries. Maybe we need a recession every now and then to remind us of these principles of how best to conduct our business, or perhaps to reinforce their importance.
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