If you are an entrepreneur that has survived the last few years in business, you deserve a big congratulations for surmounting what has undeniably been difficult times. Though the prospects seemed gloomy from the economic forecasts, you weathered many storms before, and your business is still afloat. If you have been thrown under the tides but are choosing to emerge with greater resilience, this post is to help you with navigating what the year 2023 may bring. The Entrepreneur Weekly will in two parts inform you of the trends you can look out for as an entrepreneur this year and how these trends can help your business.
Investing in Technology
The world is never going back to the stone ages and businesses and individuals should always be looking to increase efficiency and productivity. In 2023 it is projected that there will be more investment in technology. According to CPA Practice Advisors “Companies will continue to invest in new technology that can improve their efficiency and services. Even as the threat of a recession looms, investment in technology will remain strong. Worldwide IT predicts a 5.1 percent increase in IT spending, for a total of about $4.6 trillion in 2023.”
There is no way to go around spending money to improve your business and entrepreneurs must get comfortable with that idea. According to CPA Practice Advisors “Automation, cloud services, and other technology cost money to implement, but it is also an investment that can increase profits and reduce expenses.” Continuing, CPA said “Even as companies prepare for a possible recession, allocating more money to technology allows them to have tools in place to keep up with changes in product demand, supply chain issues, and other disruptions that may arise.” Investing in technology means that companies using these systems have the ability to become more adaptable and agile as they benefit from deeper analysis of their processes.
Entrepreneurs must continue the search for technologies that assist in the effectiveness of their business. Some productivity tools for 2023 include Litmus, Hubspot Sales, Hootsuite and Quickbooks. Forbes Magazine shared in an article titled Technologies That Could Have an Exciting Impact on Business in 2023, that entrepreneurs can look forward to utilising more advanced cloud technologies, comprehensive digital finance tools and artificial intelligence for content creation.
The times are shifting fast and if you want to remain at the head of the game, innovation has to be a core value for your business. Entrepreneurs that are always looking for ways to enhance their product or service are those who remain on the cutting edge. According to CPA Practice Advisors, entrepreneurs will see “businesses putting innovation at the forefront, especially as they look for ways to weather economic storms on the horizon. Businesses may need to create new products that speak to customers in the new economic reality or rebuild themselves to adapt to changing needs.”
There is an increasing awareness of the state and effects of climate change globally. Forbes Magazine says that this realisation means “investors and consumers prefer businesses with the right environmental and social credentials, and buying trends are increasingly being driven by conscious consumers.” These consumers who prioritise ecological impact and sustainability when choosing who to buy from or do business with will increase this year.
In 2023, companies need to make sure that their environmental, social, and governance (ESG) processes become more of a focus than ever. This includes environmentally friendly operations, packaging and products. The entrepreneur in 2023 must consider sustainability as a large part of their business strategy and model.
Increasingly Niche Markets
Finance Online shared that “Most people want to be unique. This is a universally shared preference. After all, nobody wants to wear the same clothes as the other person does at a party. Moreover, an increasing number of people want highly-specific and sometimes customisable products.” In 2023, experts say we can look forward to more customer-centric approaches and this sort of customer-centricity is the breeding ground for more niche markets.
The food industry is one example of a niche market, where business owners are catering to specific groups and preferences. In the United States, we are seeing food giants are targeting niche groups like vegans and vegetarians. As you embark on business in 2023, it might be worthwhile if your business plans incorporated targeting niche markets and explored what products or services you now have that can become more unique and targeted.
JBDC and Innovation
Jamaica Business Development Corporation’s (JBDC), Deputy Chief Executive Officer, Mr. Harold Davis says, “Digital innovation is here to stay and MSMEs must leverage it as we see digital technologies as business drivers and enablers.”
With the JBDC’s thrust to encourage the use of technology and innovation as fundamental elements for business transformation, the agency has partnered with the Organisation of American States (OAS) through its Development Cooperation Fund (DCF). A grant of US$100,000 has been approved to support the JBDC with its project to accelerate the growth of MSMEs in Jamaica through innovation and technology. The JBDC’s overall aim with this project is to improve access and dissemination of technological and non-technological tools and resources to ultimately support the reactivation of the economy. Read more https://www.jbdc.net/project/accelerating-msmes-growth-through-innovation-technology/.
Next week, we will explore four more trends to look for in 2023 and how these trends have the capacity to enhance your business or simply give you more perspective on the terrains you are traversing.