Opinions - Business outlook for 2010

[Not your average framer]

Well, that's almost another year gone and we haven't done too badly, inspite of my earlier concerns and lower expectations. On less turnover we made more profit, but it has not been so easy at times and nothing about the last years business patterns has been the same as previous years.

During the last couple of months, I have had to take on a new part time member of staff to help me get all the work done, but with increasing overheads and customers being more careful how they spend their cash, everthing needs to be planned and managed with more care than previously. Normally quiet months have been busy and some, (but not all), normally busy months have been less busy. We've done a lot more needlework framing jobs this year, but I don't know why or if this will continue.

My own expectations for next year, are that people will be more careful how they spend their cash than previously. As per usual I will continue to target the upper end of the market, as my natural market position, but I have made a start in offering some lower priced options to try and keep those customers who now need to spend less than before.

I expect a slow start to the year, as the big store's sales will draw more customers away from smaller towns like mine for the duration of the sales. This is an effect which I haven't particulerly noticed in previous years, but it's quite noticeable this year. After the sales I expect some customers will have less cash to spend, while their finances recover.

While I am not too worried about the year ahead, I don't think I can afford to drop my guard. Any recovery, (when it comes), is likely to be gradual and fragile. I expect to continue to face price resistance from more customers and need to be willing to give a little extra, to encourage customers to spend a little more and I have some particular plans to implement is this regard.