Small businesses are in for another exciting year in 2023. Doom and gloom as the economic climate continue, but there are still many opportunities for your business to succeed in the coming months. Gaining insight into upcoming Top Business Trends will only increase your chances of success.
Every year around this time, we take out our Small Business BC crystal ball and make predictions for the coming year. Take a look back at our predictions for small business trends in 2022. How are we doing? Many of the trends we’ve predicted continue to shape small businesses, but we’re happy to admit that we’ve missed the mark with virtual events.
As always, we asked our in-house SBBC experts for their thoughts on small business trends for 2023. Let’s get started.
Over time, many companies have adopted the desire for remote or hybrid work arrangements quickly and at the onset of this disease. Statistics Canada reports that 37 percent of Canadians will work from home between 2020 and 2022. Campaigns by employers are asking employees to return to the workplace and -meeting and welcoming employees, most of them are not ready to give up the flexibility and comfort of their work. They are used to it.
In fact, working remotely is one of the top benefits employers look for when job hunting. This year, get ready to answer questions from future employers about remote work options. If you can offer it, but choose not to, your business may be missing out on skilled workers. Many companies have revamped their system just like Tradekey.com.
Canada’s inflation rate will hit a staggering 7% by the end of 2022. Small businesses are among the first to be hit by rising prices, with costs of goods and services rising while markets fall, consumers and – also remove their wallets. The good news is that there are many steps you can take to protect your business from the worst effects of inflation.
- Review your business plan – A business plan is not only useful for startups. It should be a green leaf to look at every few years as the business environment changes. In times of rising prices, it can provide a path to future success.
- Protect your profit margin – Do your best to keep your profit margin at the current level by improving your efficiency. In practice, this may include reducing staff hours, focusing on your core business and eliminating unnecessary parts, or finding automation that can save you time.
- Simplify your product offering – You can simplify your product offering in many ways. First, narrow down the types of products you offer. This will reduce security and other costs. Second, you can reduce the volume of your product, by paying the same amount for a small amount.
Supply chain problem
One lesson many business owners learned in 2022 is that global supply chains are not as tight as we think. As China continues to feel the impact of COVID-19, our supply chain problems will continue into 2023. Another major cause of supply chain disruption is rising prices. What can companies do to protect themselves from these crises?
Small businesses have different ways to deal with this issue. Creating your supply chain and removing distance from the equation is a successful way to strengthen your business in the global conflict. If that is not possible, another way to solve the problem is to expand your supply chain and spread the risk.
It is all about talent
Between “quiet resignations” and “big resignations,” few business sectors have been discussed as widely as the workforce of 2022. The relationship between employers and talent has changed dramatically since 2020. Employees now have many choices about when and where they want to work, and employers are still finding ways to accommodate those demands while working flexibly.
At the end of the day, employees don’t want good pay or promotions. They want to be happy at work, and that happiness obviously affects their productivity. Taking steps to improve team morale and engagement will help you retain top talent and help you attract new employees.
Generation Z has arrived
Gen Z is starting a business, and they’re looking to disrupt traditional business practices. A recent Microsoft survey found that 62% of Gen Zers have started or are planning to start their own business. Of those who start their own business, 91 percent work from home in addition to the traditional 9-5. As their numbers grow, this group will rewrite the way business is done in ways we never thought possible.
In the workplace, Gen Z employees want more flexibility and are not afraid to speak up on work-related issues. As young talent enters the workplace, get ready to use this power to your business advantage.