Ask an Expert: Economy to drive small business trends

ByABC News
December 29, 2008, 3:48 AM

— -- What a difference a year makes!

A year ago, my annual "Top 10 Trends in Small Business" was full of ideas spawned by big changes in technology and the Internet, with things like smart phones and SEO dominating the list.

This year?

While the Web and technology certainly make an appearance, it will be no surprise that many of the dominant trends right now relate to the economy.

And, while I will note again that this is not a prediction column, I should report that my No. 4 trend last year was eerily prophetic: "2008 looks to be a year dominated by the ripple effects of the sub-prime mortgage crisis: A sluggish economy and probably a recession. For the small business, the effects are substantial. .. the overall belt-tightening means doing business all around will be more of a challenge."

This year, the economic prognostications are even worse, and small business trends generally reflect that. That said, it's most certainly not all bad news. There is a lot of good going on out there, and plenty of opportunity for those who seek it.

Top 10 Small Business Trends, 2009

10. Money doesn't grow on sprees:In this era of belt-tightening, reduced budgets, unemployment, and fear, it is easy to see why one of the most obvious trends out there affecting small business is the desire of consumers and customers to save a buck, spend less, and get a bargain.

Even high-end brands are feeling the effect of this trend; the lavish Bellagio Hotel in Las Vegas for instance, a resort that usually commands at least $300 a night, has lately been offering rooms for about half that amount.

Taking advantage: If people are looking for a bargain, give them one. Discount poplar products. Bundle services for less. Negotiate.

9. The O-conomy:The election of Barack Obama signifies many things, but for our purposes here, a main one is that government spending and budgets will be headed in a new direction, and it would behoove the smart entrepreneur to get ready to take advantage of these new priorities.