SUMMARY: Professor David K. Ewen of Forest Academy, a business owner since 1994, and lecturer since 2004 in New York and New England warns that small businesses will collapse if they don’t respond to today’s restricted level of consumer confidence before it’s too late.
DETAIL: The Great Recession of December 2007 to June 2009 lasted one and a half years, however there are those who still feel the recessionary pinch. It started only 6 years after the previous recession. The government responded with an unprecedented $700 billion bank bailout and $787 billion fiscal stimulus package. The GDP decline was -4.3% and is the largest decline since the 11 month recession of 1958 when the GDP decline was -3.7% and unemployment was 7.5%, however that recession only lasted less than a year.
The Unemployment rate of 10% during the Great Recession nearly match the 1981-1982 Recession when the unemployment rate reached 10.8%. The Great Recession surpases the GDP decline of 1958 and the nearly matches the unemployment rate during the recession of 1981-82.
Consumers have been victims to unemployment, lost savings, housing foreclosure, and loss of educational opportunities. During the extended slow paced recovery, consumer confidence has remained struggling resulting in small businesses unable to support a booming comeback as in previous recessions.
The lengthy recession and recovery has redefined how America manages their finances. They manage it with less consumer confidence. America has come to expect the media regularly reporting on new unemployment filings and the unemployment rate. Periodically a focus on jobs outlook is found online, in newspapers and magazines. The economy resides on not only consumer's minds, but also businesses trying to win those consumers.
Businesses must respond to today's level of consumer confidence if they are to survive. The marketing methods of yesteryear do not work in today's recovering economy. The methods require building consumer trust in a way that didn't have to happen before. A new way of thinking is required. Before, business marketing was exposure. Today, marketing is building trust. The difference is how businesses interact and communicate with the consumer population. Without knowing how to respond to the necessary communication changes, small businesses fail today even as the economy slowly recovers. It doesn't have to be that way. Professor Ewen has been touring the seven states of New York and New England working with new and businesses as part of an effort to save small business.
Professor Ewen says that needed evolutionary business communication will enable businesses to gain trust of consumers and make them not only survive, but grow. Ignoring the change in thinking will cause businesses to collapse.
David K. Ewen, M.Ed. runs a publishing house, film production company, and album recording studio. He is the founder of Forest Academy www.ForestAcademy.org. As a business owner, he has been touring New York and New England sharing consumer confidence solutions for business owners. He is the author of several books that build consumer confidence and strengthen business communication:
- Business Success Techniques: Your Guide To Profitability
- Journey To Success: Attracting Customers and Closing the Sale
- Economic Recovery For Business Owners: Professor Lecture Series
- Economic Recovery & Success For Any Business:
- Operating In Today's Economic Climate and Taking Advantage of Technology Trends
- Publicity Made Simple: Success With Media Relations
- Effective Publicity Using Media