In the present market, lower prices may influence the spending patterns of a few, but are unlikely to produce significant additional volume of sales across the industry.

By contrast, competing suppliers bidding low prices to retain sales volumes, will so reduce already stretched profit margins, that many well run, but vulnerable, business will go to the wall.

hose that survive will then have to face a bright new world where ever increasing public demands for security in transaction, coupled with long term and self inflicted public expectations of low prices, will require a radical change of business methods and negatively impact on profit and consumer choice.

The better approach must be to concentrate on reducing overheads. Reduce your stock levels, don’t order replacements, renegotiate stock finance arrangements, or seek extended manufacturers credit stock orders.

Review your staffing levels. Wages are one of the greatest overheads, so consider part timers, or self employed contractors. Objectively review every aspect of spending. Reduce your credit and chase your unpaid debts.

Remember; all these costs come straight off the bottom line, so every pound you save in taking the above steps probably represents at least £10 worth of sales.

You may be surprised at what you can achieve.