Ae recently exhibited for the first time at the Herald Sun Careers Fair in Melbourne.  We launched our face to face short courses in wedding and event planning there.  While the response was fantastic and it was great to see such a wide variety of interest from girls as young as 15 to older women looking to re-enter the workforce or change their career, and even a fella or two, there was one question that we got asked that set me to thinking.  The question was whether tougher economic times meant that people wouldn't be prepared to pay for a wedding planner?

So, I started talking to our members and doing a lot of reading on both Australian and International data and opinions.  I came across a great webinar by The Knot's Market Intelligence team and I highly recommend you invest and hour of your time and listen to it.   You can access it here.

The overall impression that I'm left with is that while wedding planning may be reasonably recession proof, a down turn in the economy can hurt your business.  But, if you're smart, it can also be a great opportunity to grow your business.

The Knot's survey of brides showed that 76% were concerned about the economy however 63% said that their wedding plans were not affected, and the 17% who said they were cutting back were doing so in areas such as decor and the honeymoon.  Similar statistics are not available for Australian couples, however I think it's a pretty safe bet that our clients would have similar thoughts. 

So, as the economy slows and everyone speculates whether we are going into a recession or not, here's some things that you can to do prepare yourself and your business to take advantage of that opportunity if it arises.  Oh, and they'll still do you good anyway event if things turn around tomorrow!

First, understand what makes your business unique and ensure that your value proposition is clear in everything you do and at every point you connect with a client.  Your value proposition is what makes your business different from other wedding planning businesses, and if well carried out in all that you do, is the reason a couple decides to engage your services and not someone else's.  It's your experience, style, team, services etc.  It's NOT your price.

Second, understand your financial requirements.  How much income do you need to generate to meet your financial commitments and make your targeted profit?  What does your cash flow cycle look like?  Know the difference between expenses (rent, phone, electricity, printing etc.) and investments (advertising, networking, website, client meetings etc.) and find ways to decrease your expenses, NOT your investments.

Next, take a good hard look at your business from your client's perspective.  Know what they experience at every point they come into contact with you - your website, print ads, online ads, telephone contact, emails, SMS, face to face meetings, proposals etc.  Review everything!  Make sure your value proposition is clear throughout every type of contact you have with your clients, from the way you dress when you meet with them to the style of your website and advertising. 

It also pays to know who your client's are, and how they find you.  Many brides will spend their lunch hour online researching their wedding vendors.  Make your website compelling, and contact details easy to find and use.  The average age of today's couples tells us that most of them fall into Generation X, so do some research on how to communicate with this group.  However, don't neglect the future of your business while trying to succeed today.  Within 5 years, the Gen Y will be reaching that average age, so they will be your client's very soon.  Overall, they shop, communicate and generally behave quite differently to Generation X, and you'll need to know how to communicate with and win them if you want their business.  There's about 6% more Gen Y'ers than Gen X'ers, which means there'll be more weddings and more clients, so it will pay to spend some time reading up on your future clients and planning now how you'll work with them.

If you feel that a tightening economy will affect your income, are there other services that you can develop which would fill the gap?  If you only do full end to end wedding co-ordination, could you break this down and offer other packages which would sell for less, but still meet your required margins and contribute to your overall income without compromising your value proposition?  This could be an on the day co-ordination only package, a venue finding & negotiating service, a style consultation with appropriate vendor contacts ... or any number of other things depending on your business.

Think long and hard before you cut your marketing and advertising spend.  If your competitors are doing this, then you have the advantage of being the one that brides see.  But also, with most couples now planning their wedding throughout their 12 month plus engagement, if you cut your presence now, it could affect your business for up to 2 years.

Find smart ways to generate more business: 

·         Ask you past clients for referrals (and be sure to thank them for any received)

·         Remind them of additional services you offer such as birthday parties or other personal celebrations

·         Network with your highest referral sources as well as where your clients are networking

·         Make it easy for clients to contact you by their preferred method, not yours

Aim to work smarter, not harder, and a tightening economy might just see your business flourish, not shrink!