Growing Revenue in a Recessionary Economy. Growing Revenue in a Recessionary Economy… In economics, a recession is a business cycle contraction, a general.

Growing Revenue in a Recessionary Economy

Growing Revenue in a Recessionary Economy…

In economics, a recession is a business cycle contraction, a

general slowdown in economic activity.


Where did the money go?


10.45%


15.61%


11.15%


6.37%


12.99%


34.43%


3.52%


•Step 1: Find hidden savings•Step 2: Invest in efficiency •Step 3: Scalability •Step 3: Additional revenue streams


Opportunities?

http://andthatswhyyouresingle.com/wp-content/uploads/2011/07/confused-full11.jpg


Weak competitorsHard assets may cost lessSoft assets may cost less

Financing can be more favorableReevaluate business plan

Reevaluate marketMutual opportunities

Look for new opportunities – leveraging existing assets


Existing assets –

– Fleet– Property

Assets or liabilities?


“REAL” ASSETS• Management

– Marketing• Current market presence• Missing market

– Financial• Pricing strategy• Strong negotiating skills • Good cash flow management• Good credit• Recruiting v. hiring


– Safety• Training• Supervision • Retraining• Recruiting v. hiring

– Maintenance • Skilled shop employees • Low vehicle out-of-service rate• Good cash flow management• Good credit• Recruiting v. hiring


– Logistics management• Strong utilization of:

– Manpower– Equipment

• Value to client– Favorable pricing– Seen as having expertise– Profitable



What was Circuit City’s assets?–Management

»Finance»Creditworthy »Lease Departments»Marketing»Logistics»Real Estate

Viacom - $8.2 Billion

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http://en.wikipedia.org/wiki/File:Waste_Management_Logo.svg

http://en.wikipedia.org/wiki/File:Blockbuster_logo.svg


What was former Waste Management Executive’s assets?

–Management»Finance»Creditworthy »Lease Departments»Marketing»Logistics»Real Estate

http://3.bp.blogspot.com/_yARtXhRykvY/S0rdijA86SI/AAAAAAAABDs/mrwFwKeig30/s1600-h/p_00175.jpg

http://www.flickr.com/photos/11581147@N06/6208705517/in/pool-bordersbooks

http://en.wikipedia.org/wiki/File:Logo_builders_square.png

http://en.wikipedia.org/wiki/File:OfficeMaxLogo.svg

http://en.wikipedia.org/wiki/File:Paylessdrugstores.png

http://en.wikipedia.org/wiki/File:Sports_Authority_logo2011.jpg

http://en.wikipedia.org/wiki/File:Kmart_logo.svg

http://1.bp.blogspot.com/_Ei2Ik5quiI0/SBfTCQDya5I/AAAAAAAAA6g/MKQ8fFGDnHc/s1600-h/kmart+chef+ext+1967.jpg

http://3.bp.blogspot.com/_Ei2Ik5quiI0/SBfS8wDya4I/AAAAAAAAA6Y/tD0N8kSTlGY/s1600-h/kmart+chef+int+1967.jpg

http://3.bp.blogspot.com/_Ei2Ik5quiI0/SBfS2wDya3I/AAAAAAAAA6Q/NxRa_37F4Nk/s1600-h/kmart+gasoline+1967+a.jpg


Greyhound Financial Capital Corporation

PREMIER CRUISE LINE

http://www.greyhound.com/default.aspx


“REAL” ASSETS• Management

– Marketing• Current market presence• Missing market

– Financial• Pricing strategy• Strong negotiating skills • Good cash flow management• Good credit• Recruiting v. hiring


– Safety• Training• Supervision • Retraining• Recruiting v. hiring

– Maintenance • Skilled shop employees • Low vehicle out-of-service rate• Good cash flow management• Good credit• Recruiting v. hiring


• Venues– Cable– Internet– Specialty periodicals– Salesperson– Conventions– Social groups, PTA,

etc.

Marketing


• Service• Executives• Corporate• Employee shuttle• Paratransit• Transit• School

• Specialty• New• Activity

Marketing

• Current market presence

• Missing market


Financial

• Pricing strategy• Strong negotiating

skills • Good cash flow

management• Good credit• Recruiting v. hiring

Company Acquisition• Similar• DifferentVehicle Acquisition• Buy – Sell• Operationally Investment• Short-term• Longer –termEmployees• Management

• Safety• Financial

• Drivers• Better PSPs• Metter MVRs• Customer Skills


Leverage safety record• Better insurance rates• Larger deductibles• Captive

Better Recruiting• Drivers want to work

Safety

• Training• Supervision • Retraining• Recruiting v. hiring


Accept outside work• Other operators• Transit• Other government

Parts inventory• Salvage• Discontinued

Training• Other operators

Recruit• Better mechanics

• Improved shop management

Maintenance

• Skilled shop employees

• Low vehicle out-of-service rate

• Good cash flow management

• Good credit• Recruiting v. hiring


Special events

Convention planning

Government planning

Logistics management• Strong utilization of:

– Manpower– Equipment


1.It causes you to get more creative.

2.It forces you to make the tough decisions.

3.It thins out the competition.

4.It makes you realize you can’t take anything for granted.

5.It reminds you that real wealth isn’t about the stuff you own.


6. It fosters out-of-the-box thinking.

7. It makes it easier to abandon business-

as-usual.

8. It brings you back to the basics.

9. It accelerates change.

10. It causes you to be less wasteful.


The goal of a business during an economic recession should be to evolve during and come out on the other side stronger and less susceptible.

Thank you!

Growing Revenue in a Recessionary Economy. Growing Revenue in a Recessionary Economy… In economics, a recession is a business cycle contraction, a general.

Documents

growing revenue

recessionary economy

hiring slide

marketing slide

ine slide

existing assets slide

expertise profitable

additional revenue streams