The South African small business landscape is one of opportunity, resilience, and innovation, but it also comes with its fair share of challenges. Navigating economic uncertainties like limited resources, load shedding, inflation, and fluctuating demand requires a deep level of understanding of the core characteristics of resilient businesses. Here, we will explore the seven traits of successful businesses that help them not only survive, but thrive. With customer success stories from U Can Store clients and insight from the U Can Store Director, Nick Teixeira, we will explore small business resilience in South Africa so your business can rise above these challenges.
Small businesses in South Africa often struggle with over-reliance on one product or service to meet a market niche. However, this can leave you vulnerable during market shifts––which are not uncommon! Diversification is when you expand your products or services so you don’t rely solely on one income stream. Diversification is a fundamental trait of successful businesses and ensures sustainable growth by spreading risk across multiple offerings.
Mudita Brands is a fantastic example of a resilient business that used diversification to rise above market shifts. They offer multiple uniform solutions to different clients, reducing overreliance on only one client or clothing type. To streamline this end-to-end uniform solution service, they segmented production and storage of their offering by using multiple storage facilities at U Can Store––another local small business. This allowed Mudita Brands to have dedicated space for each of its offerings as well as its production processes , such as spaces for manufacturing for different clients, and more for storage of end products––improving organisational efficiency while allowing for growth of each diverse product! This shows how crucial diversification can be in characteristics of resilient businesses.
South African markets are competitive, so one of the core successful business traits is employing customer-centric practices. Exceptional customer service boosts customer retention and positive word-of-mouth marketing.
A huge benefit of partnering with other local small businesses, like U Can Store, is that they understand the importance of these characteristics for your business success. Plumbers on Call partnered with U Can Store for a secure storage solution, but have also benefited from word-of-mouth marketing by being able to brand and customise their facility, making their brand and business visible to passersby and other businesses/individuals operating in the U Can Store premises. These personal touches boost brand identity and show U Can Store’s dedication to prioritising your business image, which is itself a customer-centric practice. Partnering with U Can Store will improve your customer-centric practices as they provide easy access to existing and potential clientele, a secure operation and storage environment, and the flexibility and freedom to make the space your own!
Poor financial management is one of the main reasons small businesses fail. Maintaining a clear budget, forecasting, smart investments, and managing cash flow are fundamental characteristics of resilient businesses.
When Mudita Brands made the decision to invest in storage rental facilities with U Can Store, they carefully weighed up the pros and cons, including supply and demand in the fluctuating markets and overall cost. Based on this, U Can Store created a tailored rental agreement to suit their needs and budget. One of U Can Store’s biggest selling points is its flexible rental agreements––month-to-month rentals mean business owners only pay for the space they need that given month, allowing for seasonal adjustments and therefore assisting with cash flow! This unique offering from U Can Store allows small business storage and operating costs to go from fixed to variable, freeing up valuable budgets in times of need and urgency. So, not only was this a smart investment for Mudita Brands, but it also allowed them to exhibit traits of successful businesses with the aid of helpful peers who understand the importance of strong financial management.
The ability to pivot in response to evolving customer demands or industry disruptions is an essential characteristic of resilient businesses, especially in South Africa where we are all too familiar with changing landscapes! Getting up to speed with things like generative AI and the introduction of global e-commerce stores will become essential for small business resilience in South Africa.
U Can Store’s core ethos of flexible rental agreements embeds adaptability into the foundations of its business model. It understands the importance of being able to respond quickly to market shifts, and adjust cash outflow timeously. Month-to-month agreements with the option to choose from storage facilities of varying sizes means business owners can tailor their spending depending on market demand––and never be caught out paying more than they need to! U Can Store has also invested heavily in its own adaptability by implementing the latest security technologies at all of its storage facilities across Johannesburg to stay ahead of the game and respond to increased levels of crime in the metropole. This investment not only supports operational efficiency but also provides an essential service for existing and new customers.
Many small business owners operate in isolation, missing opportunities to learn from and partner with others that understand what it takes to be a successful business in South Africa. Collaborations and networking can open new revenue streams, foster innovation, and build credibility, and this is one of the biggest goals of U Can Store!
Mudita Brands and Plumbers on Call have both benefited from the collaborative, supportive partnerships offered by U Can Store. From one small business to another, these relationships aim to foster support, prioritise information-sharing, and ensure mutually beneficial collaboration. Small business resilience in South Africa can be drastically improved through this mutual upliftment.
Retaining and nurturing skilled employees is a challenge, especially for businesses that have limited or fluctuating budgets. Investing in training and support, and workspaces that are customisable, secure, and pleasant places to operate from, shows employees they are valued, which enhances productivity and loyalty. Employees are the core characteristic of resilient businesses.
Mudita Brands’ decision to invest in dedicated manufacturing, packaging, and distribution spaces for their employees showed a dedication to its team and an actionable step towards creating a mutually beneficial workspace––secure and comfortable for the employees, and customisable and affordable for the business. This division of spaces and steps in their manufacturing process allows employees to focus on their tasks in a neat, bright workspace. And even better, all of U Can Store’s facilities are located along main transport lines throughout Johannesburg, ensuring easy commutability for employees––keeping them happy and safe! This shows how beneficial it can be to partner with another small business that understands the importance of retaining talent!
A strong connection with the local community can enhance goodwill and brand reputation. Customers are more likely to support businesses they see collaborating with other local enterprises and thereby uplifting the local economy. This is the final core trait needed for a successful small business, and is particularly important in the local South African landscape.
Plumbers on Call aims to serve all individuals in the local community of Sandton CBD and residential surrounds, saving the day when emergencies occur and providing an essential service. By having an affordable, centralised, and accessible operating hub at a U Can Store facility, they are close to their clients when duty calls and have easy access to all vehicles, tools, and equipment to tackle any challenges quickly and efficiently without breaking their bank for a costly office building. Their mobile units are fully equipped and kept safe and secure at the local U Can Store vehicle storage space directly next to their operating hub, massively improving their efficiency. This speedy response increases their customer’s trust in their services and positions them as top service providers in the local area, growing their small business resilience in South Africa.
Operating a small business in South Africa is not without its hurdles, but embracing these seven characteristics of resilient businesses can help entrepreneurs overcome common challenges. Whether it's diversifying offerings, building stronger customer relationships, or prioritising small business collaboration, these strategies enable small businesses to thrive in a dynamic and often volatile landscape. By employing these tried-and-tested characteristics, such as learning from others, investing in people, and staying adaptable, the journey to long-term success becomes clearer and more achievable.
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