What to Expect in 2009

Ready to Play Leapfrog?

By Roy H. Williams (The Wizard of Ads)

The coming year will be fun, adventure-filled and profitable for people who have their wits about them.

A number of small business owners are positioning themselves to overtake their much larger rivals.

Will one of these companies be yours?

Not many years ago, General Motors and Circuit City were the dominant players in their categories. Today they’re both on their knees, having made the same mistakes:

1. They took their fingers off the pulse of the customer.
When you believe your marketing pipeline will allow you to dictate what the customer will buy, you’re in danger of being leapfrogged. In 1960, General Motors sold nearly 60 percent of all new cars. Today, even though Chevrolet maintains 4,200 dealerships, Toyota sells more cars than all 5 GM brands combined through just 1,400 locations.
LESSON: Having the right product is more important than heritage and convenience.

2. They quit taking risks.
When companies achieve success, they usually quit innovating and become guardians of the status quo. But yesterday’s perfect processes are obsolete tomorrow. Vinyl records were replaced by 8-track tapes. 8-tracks were replaced by cassettes. Cassettes were replaced by CDs. And now CD’s are being replaced by MP3 players. The same is happening with business practices.

LESSON: Success, like failure, is a temporary condition. Never assume you’ve arrived.
The leaders are going into hunker-down mode. They’re cutting back their advertising, assuming that everyone else will cut back as well.

When a leapfrogger sees a leader’s brake lights, he hits the accelerator. Are you beginning to see what I meant when I said, “fun, adventure-filled and profitable?”

Here are the trends to watch in 2009:
1. Frivolous purchases are being delayed.
We’re wearing our clothes longer and keeping the cars we’ve got. We’ll buy what we need, but only after asking whether we really need it.

2. We’re buying fewer things, but better things.
More attention is being paid to quality. Only the poorest are choosing by price alone. Information is king. Details are power. This is good news for makers of better products.

3. “Sustainable” is a concept that will grow in power for at least 10 years.
The lifestyle of the 80’s and 90’s was “upwardly mobile” and its leaders were marked by “conspicuous consumption.” But the chosen lifestyle of the next generation will be “sustainable,” meaning that we’ll strive to live within our means and embrace practices that are environmentally responsible.

Note from Tim: Roy Williams has been tracking societal trends and how they affect business for several decades. He has developed a system of predicting upcoming cycles that has been 100% correct. The coming trend of quality over quantity and more conservative buying habits is nothing new, it is just time for it to occur again in the pendulum of the U.S. business cycle.
Now is the time to consider how you can position your company to provide the kind of quality product and service to leap frog over your competitors.

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Tech Tips

Is your computer getting REALLY slow? Think it’s just too full and maybe time for a new one? Don’t give up yet! Chances are that your computer is running slow due to several factors.

First up: adware, spyware and all that Internet junk! Ad-Aware is probably the best software available today for removing spyware. (Download here) It is free software - upgrade for more features available, but you don’t really need it. Also, you should download the Microsoft Windows Defender to help protect you from future infections.

Next, you need to be sure to delete all of your temporary Internet files and download the FireFox web browser. Firefox is far more secure and will protect from future infections.

Lastly, run the System Tool Defragmenter. This will speed up your hard drive after you have cleaned it all up.

Be sure to do you homework and understand the steps you are taking!

Happy computing.