2020 taught me three things as I watched the marketplace dissolve into fear and panic throughout this pandemic.
Firstly: It is never the situation but how you react to it that matters. As the gravity of COVID-19 hit marketplaces worldwide, some businesses bunkered down and hoped things would get better. Others were able to drive rapid change in months that would have taken years otherwise. There is always opportunity in adversity.
Secondly: Just how important customers are. This is particularly so when they just disappear as they did for some during the pandemic. Loving the customer has never been more important than now in such a fear-driven marketplace.
Thirdly: Cash is king and deep pockets matter. Strong balance sheets matter when a crisis like this hits. Knowing your business model and how your business converts revenue to cash in the bank has never been more important than now.
Right now a lot of companies and individuals are cashed up. This is due to a number of factors:
- Many lifestyle expenses are no longer options such as travel, going to restaurants.
- Many governments around the world have provided stimulus to both businesses and individuals.
- In some cases if demand did not completely drop off a cliff, they have experienced growth – or certainly no decline.
For these reasons I say get ready for the ‘Roaring 20s’ – boom time is coming!