For any business, succession planning is important. But for family-owned businesses, it’s even more crucial. They face issues that other businesses do not. First, is there a family member who is to assume the leadership role? Many times there are multiple children or family members ready to take on the responsibilities as a partnership and the family dynamic in general can be challenging. Secondly, there are costs associated with the transfer of the ownership that must be accounted for. In addition, customers may leave if there is a feeling of uncertainty.
This is where marketing has a huge opportunity to calm the fears of long-term, existing clients and position the business evolution favorably for the next generation. Here are the 3 ways engaging in digital marketing will add value to your succession plan:
- It strengthens the brand. Many businesses, especially manufacturers, who have been owned and lead by the same individual for 20+ years face the stigma of being stagnant and out of touch with how the next generation works, engages and buys online. By embracing digital marketing, the business has a huge opportunity to strengthen their brand presence online with social media. It will position the business as a thought leader looking to improve their product and maintain a competitive presence within their industry. It shows that the ownership of the business is accepting of change and wants to evolve with their buyers.
- It engages millennials and calms existing clients. Nothing is more unsettling for an existing customer than to get word that your business is in a transition mode. They need to be reassured that, not only will business as usual continue, but any changes that result will be in their favor. This can be done by being transparent about the succession and position the new leader(s) as experts on social media channels. In addition, next generation buyers, suppliers and potential partners will seek to do business with you if they can find you online. They will follow your transition, talk to current customers about how the service has been through the process and if they plan to stay. They will look for clues that you are positioning your business for long-term success and feel better about going into business with you.
- It positions the business for growth. We’ve hit the turning point where businesses of all types are learning they can no longer ignore digital marketing. Not only are your potential customers, suppliers and partners using the web everyday to connect with people and businesses, so are your employees and new leaders. According to the 2014 State of B2B Procurement study from the Acquity Group, 94 percent of business buyers do some form of online research:
- 77 percent use Google search
- 84.3 percent check business websites
- 34 percent visit 3rd party websites
- 41 percent read user reviews
By engaging in social media and having a solid digital marketing strategy, your business will be able to keep its pipeline full of new opportunities and embrace the way next generation buyers are engaging online. This makes the succession transition easier for your successors to manage...and sleep a little better at night.
