If you own a seasonal business, you’re always looking for a way to either avoid seasonal sales entirely or find a way to boost your client base and even out sales dips during the off season. If only it were that simple though.
At Tradepay, we see a lot of seasonal businesses sign up for our platform in an effort to not only avoid seasonal sales but get the most out of their available funds during the off-season. We’ve learned a lot about their needs and would love to share some tips and advice if you’re in a seasonal business.
What is a Seasonal Business?
A seasonal business is any business that sees a major change in revenue and productivity during a season, whether it be weather-related, holiday driven, or focused on major events like the end of the summer school break.
You might be trying to avoid seasonal sales but these peaks of revenue can’t be ignored. As the saying goes, what goes up must come down. How you manage your downtime in a seasonal business will ultimately determine the overall success of your company.
The Perks and Problems of Seasonal Businesses
There’s no such thing as the perfect business. But having seasonal fluctuations in business isn’t always a terrible thing. Take a look at these pros and cons of having a business that rises and dips based on the calendar.
Perks
- Time Off – Here’s an obvious perk. When business booms in the summer, you get to relax and stay warm indoors during the winter. Or if you spend the winter working from the early hours until late at night, you get to enjoy most of the summer without the pressures of work. Even though you might swear the busy season is too tough, you have to admit it’s nice to have the slow time.
- Prep Time – Part of your time off should be spent prepping for the next busy season. While this can get in the way of your extra-long vacation, it’s definitely considered a perk. Most businesses would do anything to have more time to prep their marketing or work on their branding without the demands of daily business.
- Seasonal Workers – If you don’t need help all year long, taking advantage of seasonal workers has its advantages. Payroll doesn’t get out of control and depending on your industry and location, there are programs or temporary employment agencies that can match you up with the best workers.
Problems
- Employee Retention – Not every employee can handle seasonal work. Some seasonal businesses find themselves trying to figure out how to stop a revolving door of employees. Finding good help is always difficult but it can be nearly impossible in seasonal industries.
- Irregular Income – Here’s the obvious flaw with seasonal work. You can find yourself running out of capital (and even your own income) when you can’t avoid seasonal sales. Check out our previous blog on handling problems with cash flow for some great advice.
Tradepay Helps Year-Round
In some industries, there’s no way to avoid seasonal sales. For example, if you own a holiday card company, you’re never going to match your December sales with your July sales. But there are a few things you can to help even out your revenue, and they can all be done through Tradepay! We can help you:
- Sell to areas where your product is needed all year. A holiday card company could sell their cards to businesses that are either stocking up for the next year or just so happen to be specialty year-round holiday shops. Tradepay offers a great search function that will help you find your ideal business to sell to and make the deal happen. If you have excess seasonal inventory, you can check out our tips on managing it here.
- Get inventory during the off season at a steep discount. Tradepay uses an innovative payment model that makes it easy to secure products at a great price. No matter what your business needs, you can either find it on Tradepay or invite a supplier of that product to work through Tradepay and pay with 60% cash and 40% Trade Dollars, Tradepay’s virtual currency. You’ll save nearly half on your supplies and extend the life of your working capital.
- Secure marketing/branding. After you’ve stocked up on supplies, you can also start working on your marketing and branding strategy for the next season. And if you secure your services on Tradepay, you’ll enjoy the same 60/40 payment method along with the great savings. This either saves you money or allows you to market a little deeper than you have in the past.
Tips for Growing Seasonal Businesses
Once you’re signed up on Tradepay, you can start doing your best to avoid seasonal sales that make the rest of the year difficult to manage. Here are some other tips you can try to boost business and keep employees busy during slow times.
- Focus on Database All Year – Don’t just focus on your mailing list or leads when it’s the busy season. Stay in the back of their minds by reaching out the entire year. When it is time to buy, you’ll be the first name that pops into their heads.
- Keep Up on Content – Just as you shouldn’t stop marketing during the off season, you should also stay current with your content. Whether you have a blog or just a news section on your website, make sure you’re updating it regularly so that visitors don’t think they’ve come across a business that’s no longer in operation.
- Get Reviews- Reviews help potential customers know that you’re the real deal. Ask past customers from your busy season for a review that you can use to draw in new clients during the slow season.
- Stay Connected – If you’re using at least one social media account, which you should be, make sure that you’re regularly engaging and interacting with your followers. Don’t let them think you’ve forgotten about them.
Hopefully you can see that it’s not so much about trying to avoid seasonal sales as it is about trying to make the most out of your productivity, no matter how you’re going about it. Whether you’re selling, marketing, branding, or networking, give it your all, all year round. You’ll find that with time, the lines between seasons will begin to blur more as your income evens out. Make sure you visit Tradepay to learn more about how the platform can help you eliminate your slow season for good.
