Home businesses from a range of sectors have reported an increase in turnover and profit as holidaymakers choose the UK as their destination of choice. With the staycation trend set to continue, businesses are preparing to maintain new customers and ensure the sunny times of increased turnover continue.

Results of higher turnover for home businesses came from an Enterprise Nation poll, supported by Business Link. Over 70% of the 230 respondents said their turnover had increased on account of more people holidaying in the UK. The majority (57.1%) also saw an increase in profit, with one in four reporting gains of up to 50%.

Home businesses are benefiting from a staycation trend that looks set to keep on running. According to YouGov 54% of people plan to take their main holiday at home in 2010, more than double the 26% who said they were doing so this summer. With staycationing set to be more than a one-year wonder, home businesses are preparing for the new opportunities this presents.

Alison Vaughan is considering a new colour in her line of Muksaks; her own invention and a product that allows dog-owners to carry dog waste safely and securely. "With the increase in people holidaying in the UK and taking pets with them, I've seen orders rise this summer" says Alison "I'm working on plans for new colours in the range so as well as serving a practical purpose, the Muksak can also be a holidaying fashion item!"

Business Link advises other ways to attract new staycationing customers through incentives and promotions in the form of loyalty cards and competitions, and offering discounts as an effective tool in keeping customer coming back.

Patrick Elliott, Chief Executive of Business Link in London, said:

"Entrepreneurs can take themselves to the next level, setting themselves apart from their competitors by developing tactics to retain new customers. Keeping in touch through e-shots and using creative ways to interact with customers by making the most of social networking tools such as Twitter will all help in making the most of what is a new and growing customer base."

Businesses are taking note. Over half the home businesses polled are planning on improving their marketing strategies (44%) and 38% said they will be customising their products or services.

The general message seems to be, let's make hay whilst the sun still shines!

Photo by: Rob J Brooks

Sales at John Lewis are up 5.6% and organisers of the Edinburgh Festival are expecting a record summer. What's the cause of it? The staycation trend that's seeing more of us holiday at home. Will it last and how will home businesses benefit?

The beneficiaries

In an article reporting on sizzling sales at the Edinburgh Festival and local hotels, Colin Paton of the Edinburgh Hotels Association made the comment "Scotland and Edinburgh have done very well out of staycationing."

It's a message that's coming from other parts of the UK and not just from hotels and B&Bs. There are a number of natural sales happening on account of more British holidaymakers ... such as wind breaks made by Diana Robbins in her home based business, Dart Designs Claire Martinsen must also be smiling. She gave up a 3 hour daily commute to London to realise her dreams and start Breckland Orchard, a company offering traditional soft drinks such as lemonade made to a Grandma's recipe. Her business deserves to do well in this holidaying climate. The same is true for many local food producers whose wares will be sold on busy Farmers Markets as tourists flock to the coast and quaint market towns.

Others benefiting are businesses in the home interiors market as consumers spend on the house, rather than a pricey holiday. Neil Saunders, Director at retail research outfit, Verdict, says:

"If you are not holidaying you probably have a little bit more disposable cash to spend on home improvement or home decoration. And if you're not holidaying you've got a little but more time to do home related activities."

So far, all looks bright. But some customers are miffed. Not by the products and services on offer; more on what's happening with the weather.

Dampened spirits

In a recent article in The Sunday Times entitled 'Chuck another weatherman on the barbie' Roland White reported on a comment overheard in his local grocery store from tourist customer to shop-keeper: "We normally go to Greece every year but thought I'd have a holiday at home this time. I shan't be making that mistake again." Oh dear. Does this mean the staycation trend is a one year wonder and only the glimpse of a bright spot for sellers?

Your views

This is what we'll be trying to find out in a poll asking if you're benefiting from the staycation trend and, if so, how you plan to maintain new-found custom. Please offer your views (the poll only takes 3-4 minutes) and I'll let you know how businesses plan to keep levels of customer service high to keep new trade coming back!  

Please click here to complete the poll: http://bit.ly/staycationsurvey

Photo by: syrenmuse