Shifting with the Economy

As life looks continuingly uncertain on the macro economic front, it's important to take a close look at your business and make the shifts that can help minimize the impact.

• Sell globally, write locally I've mentioned in the past how a weak dollar can mean improved overseas markets. The dollar has strengthened some, but that doesn't mean it's time to look only at domestic work. Yes, there is turmoil the world over, but it's particualrly intense at the moment in the US. So consider how you might diversify your business portfolio. As a personal example, I'm now working on a custom publishing project for a large Indian company. The project may run through a US firm, but the source of cash is a well financed client overseas, which helps spread risk from various geographic economic weaknesses. It's no guarantee of safety, but does help reduce the issue of having all my eggs in one basket.


• Don't Do Panicked Price Drops I know some writers are getting the "we'll no longer need your services" communications. But I think it's a mistake to react by immediately lowering prices. Now, to be fair, it may be that you might get pressure to drop prices. However, if you're dealing with relativelyh strong clients, they're doing that as a negotiating tactic. Particularly if you're doing corporate work (and a lot of editorial is essential that, as you're writing for big comapnies), the amount you get as a writer is really pretty insignificant in terms of overall budgets. That doesn't mean you can simply demand what you've always gotten. Instead, you have to show the benefit you offer them. Some clients may bottom fish for price, and they tend not to be valuable clients in the long run. Those that appreciate value are more likely to continue paying reasonable amounts to those who can deliver.


• Spend Money to Make Even More When things seem tight, you don't want to spend money. I can appreciate that. Heck, I don't like spending money if I can avoid it anyway. However, as the old saw goes, you can be penny wise and pound foolish. Recently we finally got broadband into the rural area where I live and work. I could have put off the additional amount a month, but it would have made no sense. For the $30 or so I spend a month, I'll be saving hours a week. Save say three hours a week and you have 12 hours at the end of the month, enough to fit in at least a short that would pay hundreds. If you write a 300 word piece even at $1 a word, that's a 900 percent return on your investment (figuring that the additional revenue over the cost is $270). Not a return to sneeze at.


• Drop Duds Now is not when to sink time into clients that sink your business. Go out and find replacements, which will probably increase your revenue and decrease your irritation.


• Market a Lot This should be pretty predictable. You always have to market. But you're at an odd advantage here. When thigns get tight, many businesses, including writing businesses, pull back on marketing activities because they don't want to incur the expenses. That means you've suddenly got less competition. So go to the trade show or attend the seminar where you might meet potential clients, because you're stand out if, for no other reason, by being one of the few writers there.


• Be Ready to Build If things do slow down, you'll find yourself with more time on your hands. So invest the time. Try creating a new specialty that you've been unable to establish before because you were too busy. Pick up some knowledge in an up and coming technology that will affect writers, such as HTML coding or video. Then when companies are ready to invest more, you're in a better position to get the work.