The recession is bad for most BtoB businesses, however some industries will prosper thanks to the recession: Yin Yang. These are the industries you should favor to sell to.
If you can generate leads from these recession proof industries, it is more likely to close sales and to have customers that actually will pay your invoices.
Thus knowing what industries or businesses will flourish and grow, and thus have demands and needs, is interesting to know for you in Sales.
Spending more time and focus on these industries will eventually bring more revenue and profit for you and your company.
1. Law firms
Many companies will file for Chapter 11, thus in order to work out all these bankruptcies law firms will have more work and revenue.
As the shares prices on the stock market are many times lower than one year ago, the decreased market capitalizations of many companies have made them attractive to be acquired. Thus many acquisitions are to be expected, which all need due diligence providing work for law firms.
2. Repair and maintenance companies
As companies will be investing less in new equipment and appliances, the need to repair and maintain appliances in the offices and on the work floor will increase.
Thus repair and maintenance enterprises will increase their business.
3. Software as a service – web services – cloud computing companies
Instead of investing in software and setting up a server to run the software, most solutions for businesses are now available on the Internet as a web service, which is also called cloud computing.
The advantages are:
- The lack of any investment
- The pay as you go pricing
- The possibility to stop the service at any one time.
Here is a list of 270+ tools for running a business online in order to give you an idea.
4. Alternative energy companies
Alternative energy businesses will get more interest as there is a tendency from governments to increase the alternative energy solutions by subsidizing the research and development as well as the investments for installing these alternative energies in homes and factories.
5. Infrastructure and major building companies
In order to keep people at work, governments will spend money on large infrastructures, public buildings and other public works.
These companies will employ many people and thus will have demands.
6. The equipment suppliers for infrastructure and major building companies
In order to build and construct infrastructures and public buildings equipment is required.
The companies supplying the tools, machines and appliances for these works will have good revenue.
7. Internet infrastructure companies
President Obama has the ambitious plan to improve the Internet infrastructure in the US.
This will increase sales for companies in markets like broadband chips, broadband appliances, optical fibers, Wifi, …
8. Market research
When the economy is growing, developing, marketing and selling a product or solution that fails will not be life threatening for the company.
In case of a recession, developing and marketing a product or solution that fails, the company will be hit harder.
Thus the increased need to have a market research, before starting the development investments.
There should be an increase in market research in these uncertain times as companies don’t want to launch the wrong product on the market.
9. Consulting companies
As always when markets go down, business goes down too, then companies will call upon consultants to solve their problems.
Even though the board of directors, upper management and middle management all know the solution or remedy, it is easier to have a third party to paint the picture and tell the bad story.
That’s where consultants fit in. Hence the expected rise of revenue for the consulting companies.
10. Internet advertising companies
The most efficient marketing tools are using the Internet for advertising and branding.
Thus companies providing services and systems related to Internet advertising will generate more business.
11. Web design and website development
As companies will be spending less on travel, lodging for visiting trade shows and conferences, companies will still require finding leads and new customers.
The Internet presence of a company will become even more important.
12. Home entertainment companies
In all previous recessions people have been spending even more on entertainment.
As travel and lodging will be expensive, going theaters or cinemas will cost too much and a gambling trip to Las Vegas even more, thus the entertainment will be at home.
Like video games and other home entertainment, in most cases using an online connection.
Even online lotteries and gaming could benefit from the recession.
13. Discount retailers
People will care less about brands but more about pricing: getting the most at the least price.
Hence discount retailers are likely to increase their revenue and their demand for products and services.
14. Incasso – Debt collectors
Many companies and traders will be delaying their payments, while at the same time the suppliers and vendors will be in need for money.
Incasso and debt collector agencies will emerge again.
15. Virtual server remote disaster recovery/backup services
The trend for servers is towards virtualization.
Once the company has switched over to virtualization, it becomes much easier to move or sync your servers to an off-site datacenter.
A business proposition for lead generation and selling to these industries
In order for you to sell better, try to picture how companies in these industries could use or benefit from your products, solutions or services.
Write a business proposition with the benefits and advantages or draft a business plan for every industry that could benefit from your offerings.
Generate leads by addressing companies in these recession proof industries in order to become yourself successful during this recession.
Help completing the list
As it is difficult to predict the real magnitude and the effect of a recession, thus there will be probably other industries not on this list, that will see their revenue and profit grow.
Please do make suggestions if you know other industries that will benefit from this recession.