How Startups Can Make Huge Sales In Nigeria This Festive Period Despite High Prices Of Commodities
So over the weekend, I sat with some of my friends who happen to be entrepreneurs as we hung out at Nkiru’s Chill Spot in Alapere to chat about the tough times caused by high prices of things in the market. Originally i just wanted to have a discussion about StartupsVibes and it’s Community with them, but Chubby, who owns a Fashion Startup, had already done a rough estimate on what it would cost us to have an end of the year get-together, but the price of things in the market was at an extreme.
From the list Chubby had curated, we noticed that a bag of rice now sells for around N55,000 as opposed to N48,000 in October. The prices of frozen fish, chicken and turkey had more than doubled in the last two months also.
Awwal was of the notion that some of the items on the list be struck out. Fisayo was neither in nor out, he remained uninterested at what was being discussed.
As the conversation continued, the topic began to slightly tilt towards a way out and then, we all shared our thoughts on how small businesses can still make lots of sales during the festive season despite the expensive cost of things.
Chubby, the fashion expert, kicked things off. She talked about how understanding what people like during the festive season helped her fashion business. Chubby said that giving people special deals and discounts really got them interested in buying more.
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Ayo, the tech guy, then spoke up. Sipping on his drink, he told everyone about teaming up with local popular people online to help sell his tech stuff. Ayo thought it was important to get people to trust his products by working with folks they already know.
Nkiru, who runs the Chill-In Lounge we had all gathered in, shared her tips too. She said that letting customers pay in different ways and making sure they have a great time at her lounge was key to keeping them happy. Nkiru also talked about the importance of treating customers well.
I added my thoughts on telling good stories about products and services. I said that being online and working with nearby businesses could help get the word out about what you’re selling. I also talked about how Social media was a big necessity for Startups and why people needed to have a good Social Media partner like XDeputy if they had their hands full with other activities.
In Case You Missed It: Check Out How XDeputy is Putting Smiles On The Face Of Social Media Managers
After the chat, I decided to write about it for StartupsVibes. I wanted to share how these business owners were not just sitting back and complaining about high prices; instead, they were finding smart ways to be successful during tough times.
To dive deeper into the topic, I reached out to a few more startup owners to learn their secrets to making sales despite the inflation in the economy. Keep reading for more insights from these entrepreneurs who are navigating the challenges of the market with creativity and resilience.
Continuing the exploration of how Nigerian startups are overcoming economic challenges, I reached out to some more startup owners – Morenikeji of Moren’s Hair, Amanda of TripnOff, James Habila of SEMAJIC Creatives, Bldr Niyi Oluokun, Mr. Agabi Musa Isa and more for their perspectives on making sales despite the high commodity prices.
Morenikeji shared that she opted for a reduction in the prices of some of her hair products. When questioned about the impact on her sales, she confidently replied, “Not at all. At least it would bring more customers. The main point is awareness.”
Amanda, another startup owner, echoed a similar sentiment. She explained that she implemented festive sales and discounts to maintain her customer base during challenging times.
Mrs. Konyinsola of Thrift Quarters revealed that she had already carried out a market survey of what her customers wanted and she did that early enough so as to beat rush hour and upscale prices. She also laid emphasis on ads promotions to reach her target market. She concluded that there are some products she had bought before the festive season at cheaper prices that she would be putting up for sale this season at reasonable prices.
James Habila of SEMAJIC Creatives took a different approach. He emphasized the importance of maintaining interpersonal relationships, particularly with family and friends. According to him, these close connections are crucial for support during tough times. “The simple strategy is to patronize them so that they can patronize you,” he concluded.
Bldr. Niyi Oluokun, a project manager with Peachland, manages multiple startups and shared insights into his survival strategy. He highlighted the significance of trust built over time and recommendations from satisfied clients. Despite the slowdown in business, he mentioned that his customers readily reach out and recommend his services.
Mr. Agabi Musa Isa, the founder of MANILEH KITS, provided a unique strategy to stay afloat during the festive season. He has implemented a referral benefit system, offering discount vouchers to customers who refer others. According to him, this strategy not only encourages repeat business but also attracts new customers through word-of-mouth referrals.
I also reached out to Ms. Oyarebu Adulphus Gladys Who runs ‘Colours and Gene’, an Urban Fashion Startup outside Lagos and she said, “What we did was early promotions, we took early orders until we got fully occupied for the rest of the month we even had to stop taking orders for the rest of the year. We kept in mind that things are already expensive and will get even more expensive as the festive period gets closer and clients will begin to prioritize what they spend their money on. So we started our rally and promos for sales early November, orders started coming in and customers were pleased they had their festive outfits budget sorted out on time.”
As I continued my research, it became evident that these entrepreneurs were not just navigating challenges; they were innovatively strategizing to thrive despite economic inflation. The varied approaches, from price reductions to interpersonal relationships and referral programs, showcase the resilience and creativity of Nigerian startups in the face of adversity. Stay tuned for more insights as I delve deeper into the entrepreneurial landscape during these trying times.
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In Conclusion: How Nigerian Startups Can Beat High Prices This Festive Season
So far, from the contribution of everyone who shared their strategies, below is a list of how Nigerian startups can beat high prices this festive season:
- Understanding Consumer Preferences:
- Tailor your products or services to match the preferences of consumers during the festive season.
- Special Deals and Discounts:
- Implement special promotions and discounts to attract price-sensitive customers, creating a sense of urgency.
- Leveraging Local Influencers:
- Collaborate with local influencers and bloggers to amplify your brand’s visibility and build trust.
- Flexible Payment Options:
- Offer flexible payment plans to accommodate a diverse customer base, making your products more accessible.
- Emphasis on Quality and Value:
- Communicate the quality and value of your offerings to justify pricing and differentiate from competitors.
- Online Presence and Digital Marketing:
- Leverage social media platforms and online advertising to reach a wider audience and promote festive offers.
- Community Engagement and Partnerships:
- Engage in local partnerships with nearby businesses for cross-promotions and sponsor community events.
- Excellent Customer Service:
- Provide exceptional customer service to build trust and loyalty, addressing inquiries and concerns promptly.
- Diversification of Sales Strategies:
- Consider diverse strategies such as reduction in product prices, festive sales, and discounts to maintain customer interest.
- Interpersonal Relationships and Recommendations:
- Build and maintain interpersonal relationships, especially with family and friends, as they can provide crucial support during tough times.
- Referral Benefit System:
- Implement referral benefit systems, such as discount vouchers, to encourage repeat business and attract new customers through word-of-mouth referrals.
As I continue my research, more insights will be shared from entrepreneurs navigating the challenges of the market with creativity and resilience. Stay tuned for further strategies on how startups in Nigeria can not only survive but thrive in the face of economic uncertainties.
