Yes, it’s that time of year, and we trust any suggestion from James Brown!
So, here come the resolutions and pledges to improve over last year’s successes or shortcomings. This is the time of year we always reflect and strive to do better in the coming year, pledging to fix the inconsistencies in our business that slowly erode profits.
Humorously, it really is a great time to stop and reflect on what worked well or what didn’t work as well as we thought it would in the previous year. Consider these few thoughts; hopefully, they may guide you to a profitable year ahead, and get your business “on the good foot.”
1. Take some time to reflect on the 2015 economy and what it means for you in 2016.
If you thought that in 2015 the marketplace seemed to be in flux, you might be on the right track. If you thought, “maybe I need to take a hard look at how my company is positioned in a morphing marketplace,” then consider yourself forward-thinking.
But, if you believe that oil will never sell below 50.00 a barrel or that polyester is a classic fabric, or that what you hear about the economy in an election year is true, then I suggest you Google the conservative American economist, Larry Kudlow. You can see by his quote below that he doesn’t agree with the Fed’s decision to hike interest rates, “Because business investment has slumped (it never really recovered), various measures of middle-class take-home pay remain below peak level …Even this tepid, 2 percent, so-called recovery may be running out of steam.”
2. Keep your ear to the ground.
As reported by music dealers across the country in December’s MMR “Fifty Dealer/ Fifty State” article, many dealers have indicated that they had a healthy and productive year in 2015, and that’s the good news. But the most telling quote in that article is from the president of Easy Music in Hawaii, Peter Dods. Peter has an extensive background in finance and has worked on Wall St. as an investment-banking analyst.
To quote from the “Fifty Dealer/Fifty State” article,
In your opinion, what was the single most significant development in the world of MI in 2015?
“Fender Musical Instrument’s decision to sell online to customers direct. I would say that is the most significant move from a major player in the past decade actually, not just in 2015.”
So when you blend all the angles together, you can see that no one thinks the economy is automatic or entirely trustworthy – much less bankable. The smartest thing you can do is listen to how your competitors are doing, regardless of location, and take their experiences into consideration for your own business. What helps someone in New York might hurt you in North Dakota.
3. Learn when to say, “Yes, yes, yes!” when something works and “No, no, no!” when something doesn’t.
I am a firm believer that if something is really working, you can feel it, and to expand upon that idea is sound thinking. If something in your business resonates with everyone, and everyone is solid in getting that idea, product or service embraced by your customers, then throw gasoline on it and …Run, Forrest, Run.
But what about the products and programs and ideas that used to work but now are producing less than inspirational results? If they were your #1 big idea three years ago, what do you do with that scenario?
If you listen to the advice from good accountants, they say actively pursue cleaning house, and 2016 may be just the right starting point. You need to say, “Enough… that doesn’t work anymore.”
There was a time when I believed vision outranked conservatism. And although many times I was right, and my belief netted healthy results, a good house cleaning is your friend and can be very liberating, not to mention productive to your bottom line.
4. In 2016, let’s try something new.
While I believe it is the best time of year to clean house, it’s also the very best time to take a healthy look at new ideas. Think about it – we are musicians and playing the same tunes over and over makes us certifiably neurotic. So don’t be afraid to let your inner musician suggest “new material” or take a solo in the song of your store. If your shop isn’t speaking to you, it probably isn’t speaking to your customers either. Re-arrange the look of your store, or commit to a new idea that is a bit scary to you. Maybe consider attending a few sessions at the NAMM Idea Center, or TEC Tracks. Let your inner rock star out of the box. Show your clients how you got to be a big shot in the first place. If you are daring, maybe they will be too, and buy that instrument they have been waiting to buy but have been putting off.
Go ahead, lead the way, and “Get on the Good Foot” in 2016!
