WFH is here to stay. But what does this mean for small businesses?
Every business has been massively impacted by changing working patterns. And although some things have gone back to normal, for millions, the world of work is anything but. Whether you’re an online, bricks and mortar or a hybrid SME, understanding the implications of these changes will help you plan your next move.
The rise in online shopping: Does Work From Home mean Shop From Home?
Online shopping is certainly still growing post-pandemic, although growth is slowing. And this behaviour change is likely to be permanent. With at-home workers eager to make the case for staying put at their domestic desks, they’re often working longer hours than ever, with limited opportunities to pop out to the shops. Price-sensitive shoppers have got used to being able to shop 24/7 and compare prices easily. And the astounding proliferation of home delivery and rising costs of fuel and parking mean it’s sometimes easier just to stay home. Savvy small businesses will be adjusting their behaviour around the resultant changes in peak shopping hours and finding new ways to ensure they’re engaging with their customers online. Convenience stores and petrol stations will be taking steps to capitalize on WFH by offering return and collection services.
Changes in what consumers are buying:
Millions have changed where they spend the bulk of their time. So, people aren’t just changing how they buy, but also what they buy. WFH has persisted in part because people are prioritising work-life balance, so sales of sports and leisure equipment are buoyant. As people spend more time at home, they’re investing more on home décor and furnishings. Not being in the public eye so much means clothes shopping isn’t the priority it once was. Those working from home tend to have lunch at home too. So, grocery bills are rising whilst spending at restaurants is falling. People are buying different quantities too. Some may go for bigger pack sizes because their groceries are being delivered. Others might be buying smaller quantities more often because storage space has never been more precious, thanks to the rise of home offices.
Benefiting from the changes
Many small food businesses were quick to pivot to online at the start of the pandemic. And in many cases the investments on responding to new consumer needs with enhanced digital infra-structure, social media marketing, packaging and 3rd party delivery vendors have enabled them to thrive. Emerging dining trends and consumer behaviours mean there are many ways WFH has enhanced profitability for those agile enough to respond.
Even businesses like those in the food, hospitality and manufacturing sectors who naturally rely on most staff being on premises, might still be able to have a small proportion of staff WFH.
Increased competition
Small businesses have had to get used to competing with the whole world. This season’s coat may be cheaper when purchased from a vendor in a different country. Suddenly the sandwich shop or burger joint right by the office must compete with the sushi bar a few miles away. This holds true when you’re competing for staff too. When candidates aren’t tied to a particular city, region or even country, it can make it more difficult to recruit.
Getting the balance right with your own staff: Increasing productivity, work-life balance and reducing costs
Most people like working from home at least some of the time and many will even accept pay cuts in exchange for the privilege. Your staff will benefit from increased work life balance. And business owners can stand to increase margins because of reduced overheads and the increased productivity that comes with staff not having to spend hours commuting.
In a climate where recruitment is more difficult than ever, it’s important to be open to new flexible ways of working to recruit top candidates. The good news is that if you do implement or continue WFH in your business, you can now recruit from anywhere. You might find that WFH makes it easier to implement your I&D strategy too as home working often supports a greater diversity of candidates because it’s more inviting to those who might have accessibility needs or family responsibilities, for example.
Focusing on team building and organisational culture is more important than ever if you’re not all together on a daily basis. Be sure to make time for in person brainstorming, training, team building and fun.
To benefit from the changing nature of work, small businesses need to be agile and responsive, fostering a culture of innovation, openness and flexibility. Monitor your operations to keep track of how WFH could change your infrastructure, technology and software operations and you might find you too can Profit From Home.
