We’ve all heard before that the enterprising world is built upon firm foundations of supply and demand. These respective scales must even out for a lucrative economy to take shape.
These days, that desire for balance is greater than ever, mostly because it’s largely absent. We’ve seen supply shortages hamper some of the UK’s largest supermarkets, and other sectors are affected too. Whether it’s a low intake of vegetables or an abysmal ‘haul’ of automobile parts, supply is greater than demand today.
SMEs hoping to weigh in on the supply scene could be in a perfect position to fill some gaps and generate lucrative business prospects. Though they face an uphill struggle, optimism and proactivity will help them ascend further than many think possible.
What do the newest suppliers need to consider to succeed here? Does being based in London influence matters at all? We’ll unpack all of this and more below.
Ways London’s Newest Suppliers Can Hit The Ground Running
1. Ensure Compliance First
Legal work, paperwork, and general busywork might seem like the very antithesis of ‘hitting the ground running’. However, compliance is essential, and tending to these details now will ensure new suppliers are not wrapped up in time and resource-consuming legal proceedings later.
London suppliers will need licenses to operate lawfully. Other regulations will also be in place, particularly around sustainable business concerns, tax obligations, and health and safety responsibilities. Overlooking these details can heavily damage a supplier’s prospects or trigger outright business closure. Worker abuse can be prevalent in supply chains, so new suppliers to the London scene have to ensure they have strong ethical foundations.
Some of a London supplier’s research will also lead them to interesting revelations too. For example, the government introduced a new bill that streamlined four previous sets of laws into one. It was aimed at taking advantage of post-Brexit opportunities and excluded unethical suppliers (thus eliminating some competition) from applying for government work. It’s also been developed so that suppliers who are SMEs will have more time to bid for contracts.
2. Explore Government Tenders
Many struggling entrepreneurs understandably blame Westminster for some of their woes. However, trying to repair bridges is a much better use of time than wasting it fruitlessly pointing fingers. We’ve mentioned government contracts beneath the last heading, so let’s explore that topic more.
London’s newest suppliers would do well to explore opportunities with government tenders. These are contracts they can bid for to supply government projects and agencies. The benefits here are many, including:
· Enjoying long-term contracts from the offset.
· Netting in a reliable income for the SME.
· Building a sense of credibility for reputable and consistent work.
The Supply2Gov service can help up-and-coming suppliers in the UK bid for the latest and most promising contracts in the public sector. They have opportunities for firms of all sizes, but they have lower value opportunities that are also great platforms for firms to begin their journey as reliable suppliers. The process is transparent and fair, and it’s a matter of government policy to increase the proportion of SMEs in public sector supply chains too. Opportunities here are rich and plentiful.
When analysing the contracts, new suppliers must fully understand everything that’s being asked of them; from the scope of arrangements to the submission deadlines. They’ll need to craft a compelling proposal and work to be eligible for evaluation criteria.
3. Connect with Different Organisations
In many ways, suppliers are businesses like any other. The better connected they are, the more likely it is they’ll attract and retain good business.
As London has a thriving ecosystem of companies and organisations, new suppliers are in the perfect place to make connections with longevity and access support. The London Business Network and London Chamber of Commerce and Industry hold events and can invite new suppliers to utilise their resources. Innovate UK and Growth Hub Network may also provide mentoring and funding services to new suppliers in London.
Speaking of events, London is full of them, as one might expect. There’s London Tech Week, the London Book Fair, and the London Business Show to name a few. Newest suppliers may find that not all networking opportunities are relevant, but some will undoubtedly present opportunities to forge connections and chase leads.
It’d be a shame to be located somewhere as busy as London and run an isolated supply operation. Being new on the scene is no excuse for complacency. Nobody is above getting out there and saying hello, so London’s newest suppliers should absolutely put their best foot forward here.
4. Collaborate with Influencers
Like it or not, influencers are changing the world. Some people can shoot a short video in their bedroom and generate more views than professional marketers coming up with wider campaigns.
UK influencers often base themselves in London, giving you a range of vocal talent to potentially collaborate with. The positive word of mouth they create around a new business isn’t underestimated. Vloggers and bloggers alike are looked up to by many people, and they can establish a consensus quickly.
Collaborating with them effectively, though, is sometimes the part firms fail at. If new suppliers were to work with influencers, they should develop scripted ads together so that the brand is represented accurately and the influencer doesn’t lose what makes their voice special. It can be a challenging balancing act, but one worth perfecting for higher quality influencing.
Sponsored content opportunities and potential partnerships can all bloom out of these interactions. If an influencer has proveably been a long-time fan of a certain business or supplier, so much the better. Ultimately, London is a highly competitive area, and whoever shouts loudest and proudest is likely to attract the best business.
5. Consider Multicultural Factors
London is a vibrant city full of people from various backgrounds and beliefs. New suppliers on the scene should perhaps celebrate that fact themselves.
There’s a celebration of diversity underway globally. In London, some festivals and events in the capitals provide sponsorships into niche markets. Attending those could be an insightful experience and open new suppliers’ minds to prospects they had never considered in the capital before.
Even just demonstrating a basic understanding of different traditions and cultures can be enough for Loneon34w to quickly trust a new business. Hiring multilingual and diverse talent is also highly recommended, once again helping new suppliers develop a more distinguishable and ethical identity.
London welcomes all. While that’s great for newer suppliers on the scene, they must embrace the same attitude to thrive.
6. Monitor Changes
London is a pioneer of the world in many different ways. It’s a hub of innovation, filled with firms not just planning for the future but creating it.
New suppliers on the London scene should constantly anticipate capital changes. Though there were questions about how the city might change after leaving the EU, the truth is that evolution is always underway in London. There’s no pause button!
How is AI changing the customer experience, and can it be better incorporated into supplier processes? Are there any emerging trends among consumer markets that might influence what suppliers trade and why? Is there any data to suggest that some so-called trends might be fleeting fads rather than the industry’s future?
London’s newest suppliers should always be learning. That said, it’s also the case that London’s most long-established suppliers will be conducting similar processes and asking the same questions. Learning never stops, and embracing that sooner rather than later is better to keep up with the competition.
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