Consider the most mind-blowing successes of the past decade . . .

• Facebook – with millions of users around the world, it’s all about sharing – information, photos, events, causes, successes, hobbies – the list goes on
• Wikipedia – an online encyclopedia created and maintained by its own community has – 8,687,877 registered users and currently sits at 15,741,616 pages; it’s all about people sharing their knowledge
• Flickr – one of the most successful of many photo sharing sites has 33 million users and currently hosts over 3 billion images
• YouTube – with the ability to easily upload videos, people are sharing mini-movies on almost every subject imaginable; 13 hours of video are uploaded every minute – 1 million videos are watched every day
• Tripadvisor.com – a site written by people who share their travel experiences in different places, and used by others planning trips to those same areas; there are currently 20 million hotel reviews on this site (and there are many more like it)
• Internet – the internet itself really is about people sharing information. The reason you can Google anything is because someone, somewhere, has posted information that is meaningful to you.

FREE – is another trend that is emerging in this culture. Websites like Freecycle (in locations all over the world) have people giving away things they don’t need. “FREE” markets are emerging, where people set up booths of everything from produce, baked goods, clothing, furniture, household appliances, and everything you can imagine – and give it away for free. Why? So they can responsibly reduce their own consumption and share what they have with others, while they take advantage of obtaining things they need for free as well.

These trends represent the ongoing and pre-recession emergence of an online-fuelled culture of individuals who share, engage, create, and collaborate in huge numbers. Generation Generosity, is replacing Generation Greed. In fact, generosity is the new status symbol. Consumers are disgusted with corporate greed and what it’s led to (up until and including the most recent financial crisis).They are seeking empathy, sympathy and generosity and want to deal with organizations that care. They are doing business with companies who show a commitment to corporate responsibility (giving back to their communities), and companies who show a commitment to environmental responsibility. Giving is already the new taking, and sharing is the new giving. In order to succeed in this new emerging consumer culture, businesses must recognize and acknowledge this societal/behavioral shift, however much it may oppose a decades-old devotion to individualism, consumption and selfish corporate behaviour.

So how can you tap in to this cultural shift and adapt your business practices to these new consumer realities? After all, you can’t just give things away – you’re in business to make a profit. Here are some ideas to get you thinking about how you can make some changes that will appeal to Generation G (which by the way, has its primary demographic in ages 18 to 30, but whose demographic is slowly shifting upwards to include those up to age 55).

Social Responsibility – develop a program or two that show your customers you want to give back. Some businesses choose a charity, and match dollarfor dollar, amounts donated by customers. Others take a percentage of their profits on sales of a certain item and give back to the community in some way. Others donate their time to volunteer in a specific project and invite customers to join in – remember, it’s about sharing the responsibility. There is a lot of information on the internet if you want more ideas.

Eco Responsibility – the environment is a huge concern for Generation G, and it will spend more to patronize businesses that promote “green” services or products. Is there any way that you can make what you do more eco-friendly? If so, market it and let your customers know.

Community Partnerships – remember, sharing and giving are key. Are there other businesses or non-profit organizations that you could partner with to give back to your community? Choose one that is a good fit for you and your business. Then let people know what you are doing.

Offer Something FREE – OK, you may balk at this one, but before you throw the idea out the window, really think about whether you can give your customers something free. It doesn’t have to cost you much. Again, think about partnering with someone. A realtor I know partners with a local home-based chocolatier and leaves a box of chocolates on the counter of every new home she sells. The chocolatier gives her a great deal because she’s getting exposure and they both win, plus the customer feels valued. I have a friend who builds guitars. He purchases a subscription to a guitar-enthusiast magazine for everyone who buys one of his high-end guitars. It costs him $40 on a $2500 sale – but he gains a customer who is reminded of him and his business every month when the magazine arrives in the mail. Be creative. Challenge yourself to find one free thing you can offer with your product or service.

You may be asking yourself if you can afford to make this shift. More often it’s less a case of spending a lot of money than it is about adopting a more generous mindset – a holistic approach to generosity and business. It’s also about being creative, finding the right partners and adjusting existing marketing to Gen ‘G’ thinking. This is the new reality according to marketing gurus around the world – can you afford not to stay relevant?

The benefit to your business? Generosity in tough times won’t be forgotten. Customers will spread the word about you. Customers will want to collaborate with you to improve what you have and what you do. The added bonus? It’s also good for your soul! In tough times consumers ask themselves what is it that makes them truly happy. Help them, and you will come out of the economic downturn better than you went in!

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Not taking financial management and budgeting seriously. Because the home-based business is often run with minimal investment, it’s easy to be sloppy with the accounting. So you lose a receipt or two, take a couple of friends for lunch, buy all the latest computer equipment even though it wasn’t in your budget, and put off doing your financial statements each month? It’s only a home-based business after all – should be easy right? One of the biggest mistakes home-based business owners make is not managing their finances professionally and not respecting their own budgets. Improper management results in wasting resources, eventually causing the business to run out of sufficient resources and assets to survive in the market. The entire budget of the business should be carefully documented and the business should be operated within the boundaries of the allocated budget to avoid trouble.

Lack of management skills. Many home-based or cottage businesses are started by someone who has a specific skill – a potter, a roofer, a handyman, a graphic designer – they all are selling their skills. But just because they can do what they do well, doesn’t mean they understand the management aspects of running a business. Taking the time to get training in business management is paramount to success. Until you can afford to hire someone to be your bookkeeper, inventory control specialist, shipper/receiver, receptionist, sales rep and accountant, you have to do it all. That knowledge doesn’t come out of nowhere. Find out where you can take small business programs in your community – often your Community Futures office has programs like this. Don’t fool yourself into thinking that it will all come naturally, or you’ll be combing the help wanted ads for a job before you know it.

Lack of proper advertisingand promotion. A business can only survive if it is properly advertised. This requires implementation of an appropriate advertisement and marketing campaign, which must be managed within the budget. Some business owners think they’ll survive on word-of-mouth marketing. This may be more effective down the road, but it can’t be the primary focus. Proper advertising costs money, and there are a significant number of home-based business owners that are reluctant to spend money on advertising. This is a big mistake. Advertising and marketing costs should be built into your budget, and you should have a strategy about where you’re marketing and how much you can afford to spend. If you don’t know how to do this yourself, find someone experienced who can help you. If you avoid spending on marketing, you’ll have a tough time surviving.

A non-professional work environment. Working at home does mean you have the freedom to throw in a load of laundry at lunch or put a few things into the crockpot so dinner’s ready on time. But it’s easy to get caught in the trap of letting personal tasks creep into your professional time. In addition, it’s a temptation to let your office get sloppy – not do your filing, let your inbox overflow, and have dirty dishes and coffee cups strewn around your desk. Your home office should be as tidy as if you were working for someone else and your boss could walk in at any moment. A slovenly approach to your business office leads to slovenly business, and that’s one thing customers won’t put up with. Dress the part every day, and treat your business like you would if you were working for someone else.

Lack of credibility. You cannot attract customers if your business is not credible. People tend to prefer dealing with home-based businesses who have a business license, are members of the Better Business Bureau or the Chamber of Commerce. If you don’t care enough about your business to legitimize it, why should your customers care to purchase from you. The same standard goes for kids yelling in the background while you’re on the phone, broken answering machines so calls don’t get returned, emails that get ignored, or quotes or jobs that run late – nothing ruins your credibility more than being perceived as unprofessional.

If you see yourself in any of these categories, find a mentor or advisor who can help you change those patterns and move you toward behaviours that will lead you toward greater success in running your home-based business.

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Although Lucy and Sam are running very different types of organizations, they both benefitted greatly from doing their market research prior to launching their great big ideas. That market research saved them both money and time, and led them to more success than they would have had, had they not taken the time to determine what their customers wanted.

It’s tempting when you have a great idea (and entrepreneurs have lots of them) to get carried away by your enthusiasm and belief, but your idea may be ahead of its time where your customers are concerned. They are the ones who must support your idea with their dollars, so doesn’t it make sense to ask them what they think before you leap?

Author, speaker and sales and marketing guru, Brian Tracey says, “Before embarking on any new business venture, considerable time must be spent in research. Your payoff will be in excess of ten to one in time and money saved or earned. For every hour that you put into research, you're going to save ten or twenty or thirty dollars or hours later on.” Here are some suggestions for doing that research.

Ask for meaningful information. Leave no stone unturned. Think of every potential detail you may need to know before launching your idea and put it into your survey. Be clear how much it’s going to cost you, what you have to charge to make it work, and who your potential customer or audience is. Ask questions on your survey that will help you determine whether consumers are willing to buy what you’re proposing, and how much they are willing to pay. It will show you where you need to tweak the details to make it work, or, whether you need to scrap it and go in a different direction.

Do your own research. Read trade magazines, industry articles, and especially educate yourself about consumer trends and cultural influences. Know your customer mindset. Chances are, if your idea consists of selling a high consumption product that’s hard on the environment, given the current culture, you’re probably not going to be able to sell it. It’s not only about knowing what consumers are thinking today, but where they are leaning tomorrow that’s important.

Be objective. Don’t let your love for your idea, cloud your judgment. If there’s anything dangerous about the entrepreneurial mindset, it’s that they tend to love their ideas so much they’ll do anything to justify them. Take the data, learn from it, and make a sound decision based upon it.

Yes it takes time. Yes, it even takes money. But as Tracey says, dollar for dollar you’ll save a lot of money if you spend a little to invest in your research, than if you charge ahead based on a wing and a prayer (and even a whole lot of self-belief). Don’t stop dreaming and coming up with ideas, but make sure your ideas are based on a realistic market and solid evidence.

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