-
-
-
-
Home > > Firms look to marketing to drive business
Firms look to marketing to drive business
10 March 2010
Increasing numbers of smaller businesses are boosting their sales and marketing efforts in order to speed recovery in the aftermath of the recession, a new study has found.
Following months in which costs have been pared down, firms, it appears, are now recruiting sales staff and beefing up marketing budgets as a way of combating difficult trading conditions.
The survey, conducted by the Forum of Private Business (FPB), revealed that over half of respondents (56 per cent) are optimistic about the future and expect turnover to grow in 2010.
The research formed part of the first of the FPB's Economy Watch panels, designed to test the waters of recovery as experienced by smaller firms.
The snapshot picture provided by the survey was upbeat in tone.
Only 13 per cent of respondents are still planning cost-cutting measures, while eight out of ten reported that the cost of borrowing was "affordable".
However, many businesses still envisage a rocky road to recovery. Six out of ten said they anticipated a rise in business costs this year, and three-quarters expect tax increases.
Thomas Parry, the FPB's research manager, commented: "We appear to be seeing an upturn in confidence among SMEs and, by investing in sales and marketing strategies, small business owners are showing determination and entrepreneurial flair."
But Mr Parry warned that much of the optimism was based on the hope of a recovering economy and increased business and consumer confidence.
He continued: "Political, economic and currency stability are all important too, with a proportion of businesses suffering from the weak pound. Also, the difficulty for businesses in terms of planning is indicated by the fact that almost one in five businesses are uncertain about the support they may want in the next month."
Mr Parry went on to point out that funding may still yet be a serious issue for small firms.
Many businesses have a relatively high level of debt, although the low base rate has made the cost of finance relatively affordable for the time being. However, those firms that described borrowing as affordable also expressed concerns that, when economic growth becomes more sustainable, the cost of credit is likely to increase.
Spotlight - Credit Crunch
-
29 July 2010
Savers not being told about interest rate changes -
29 July 2010
Self-employment declarations should be respected -
28 July 2010
Prospect of rise in energy costs for business -
27 July 2010
Banks under pressure to increase small business lending -
27 July 2010
Companies urged to publish up-to-date financial information
Financial Crisis - Banks - Lending & Saving
-
29 July 2010
Savers not being told about interest rate changes -
27 July 2010
Banks under pressure to increase small business lending -
19 July 2010
Government to push for greater use of equity finance -
16 July 2010
Banks to investigate small business lending -
13 July 2010
Business credit still tight despite drop in loan refusal rate
Financial Crisis - Effect on Small Business
-
29 July 2010
Self-employment declarations should be respected -
28 July 2010
Prospect of rise in energy costs for business -
27 July 2010
Banks under pressure to increase small business lending -
27 July 2010
Companies urged to publish up-to-date financial information -
26 July 2010
Government asks employers for views on skills training
Financial Crisis - The Economy
-
23 July 2010
UK economy shows quarterly surge in growth -
21 July 2010
All start-ups should get NIC holiday as confidence stays fragile -
14 July 2010
Jobs outlook could be hit if growth falters marginally -
12 July 2010
New businesses can boost recovery, says report -
6 July 2010
Economy growing but concerns remain
-
29 July 2010
Our Latest News
- Increase in risk of a second recession, says think-tank
The chances of the UK economy entering a second recession next year have risen, according to the National Institute for Economic and Social Research (NIESR).
- more
- UK skills training needs radical overhaul
The British economy could find itself facing a period of decline if the skill levels of the workforce do not show marked improvement, it has been claimed.
- more
- Compulsory retirement age to be retired
The government is proposing to scrap the default retirement age of 65 by October 2011.
- more
- Savers not being told about interest rate changes
Many banks and building societies are failing to keep savers properly informed about changes to the interest rates on their accounts, comsumer group Which? has claimed.
- more
- Self-employment declarations should be respected
With thousands of people predicted to start up their own micro-businesses as unemployment rises, a business group has called on the tax authorities to respect their employment status.
- more
- Government publishes a raft of tax consultations
The Treasury has issued nine consultation papers on various aspects of the personal and business tax system in what amounts to a far-reaching overhaul of the entire regime.
- more
- Prospect of rise in energy costs for business
Businesses have been warned that they could see a steep rise in energy costs over the coming years.
- more
- Banks under pressure to increase small business lending
Banks could face possible tax sanctions if they fail to boost lending to smaller businesses.
- more
Harrison Young,
First Floor,
1 Gatton Road,
London
SW17 0EX
TEL: 0208 767 0151
FAX: 020 8767 5359
Click to email us
Harrison Young is a trading style of Ashley Ross Limited, Registered in England no. 05717229 and whose registered office is at 1 Gatton Road, London SW17 0EX.and is registered as Auditors by The Association of Chartered Certified Accountants. Read our Disclaimer.