{"id":434,"date":"2020-07-27T07:30:01","date_gmt":"2020-07-27T07:30:01","guid":{"rendered":"https:\/\/www.godaddy.com\/ventureforward\/?p=434"},"modified":"2021-05-04T17:10:14","modified_gmt":"2021-05-04T17:10:14","slug":"turning-covid-19-crisis-into-opportunity","status":"publish","type":"post","link":"https:\/\/www.godaddy.com\/research\/turning-covid-19-crisis-into-opportunity\/","title":{"rendered":"When COVID-19 hit, these creative entrepreneurs hit the web"},"content":{"rendered":"\n

While the ongoing COVID-19 crisis has shuttered tens of thousands of small businesses and sent entire economies into tailspins, one cohort of entrepreneurs is proving surprisingly resilient. And, in turn, they\u2019re creating economic stability in their local communities.<\/p>\n\n\n\n

They are the operators of millions of digital domain-name websites that GoDaddy, which hosts the sites, labels \u201cventures.\u201d Our multiyear research project, Venture Forward<\/a>, found these often-overlooked and uncounted participants in the digital economy helped regions recover more fully from the 2008 recession, and are creating the same sort of buffer during the current crisis.<\/p>\n\n\n\n

Ventures are, of course, as diverse as the country they reside in. They\u2019re in every state. They\u2019re rural and urban. They\u2019re run by women and men, full-time business owners, students, retirees, military personnel and part-time workers. They come from every ethnicity and education level.<\/p>\n\n\n\n

While the ventures themselves \u2014 sometimes just one person working out of a motel to sell handmade candles \u2014 are less visible to neighbors and to policymakers who can help them, their importance to their local economies is beginning to emerge<\/a>. Here are three of their stories.<\/p>\n\n\n\n

Out of the fire and into the frying pan<\/h3>\n\n\n\n

When Zach Sass was laid off from his job as executive chef at a popular Nashville restaurant \u2014 a touristy gastro pub on the city\u2019s famed Music Row that closed in March \u2014 at first, he panicked.<\/p>\n\n\n\n

\u201cI have a son, a house, a car, I have bills to pay,\u201d says Sass. \u201cMy whole environment came to a stop. That was terrifying. I didn\u2019t know what my next step should be.\u201d<\/p>\n\n\n\n

But then came a call from his best friend \u2014 \u201cwho\u2019s a terrible cook,\u201d Sass says \u2014 asking for advice on what to make his girlfriend for an anniversary dinner. Sass hopped on a video call and, using what the guy had in his kitchen, \u201cwe made an amazing meal and had a lot of fun chatting,\u201d he says.<\/p>\n\n\n\n

\"\"<\/figure>\n\n\n\n

That virtual hangout birthed a business. Sass now runs an online venture, Chef Zach Sass<\/a>, where he teaches homebound chefs how to cook a meal with whatever they have on hand.<\/p>\n\n\n\n

\u201cWe didn\u2019t want people to have to go out and buy things\u201d during the pandemic, says Sass. Instead, he has students send him pictures of whatever is in their refrigerators, freezers and pantries. Then he comes up with a recipe and gives them a virtual cooking lesson at home.<\/p>\n\n\n\n

Since starting in mid-March with only his laptop, a Facebook Portal camera and zero technical savvy, the 31-year-old Sass has taught 50 or more classes. He syncs up with students as far away as Toronto and Mumbai, who pay him in donations that range between $25 and $350.<\/p>\n\n\n\n

In the past three months, he\u2019s pulled in at least $5,000, he says. It\u2019s enough to provide a primary income to support himself and his 6-year-old son, whom he cares for full time during the week.<\/p>\n\n\n\n

Like many ventures, Sass struggles with marketing, but has found success through social media platforms, media coverage of his business and, more recently, with Facebook and Google\u2019s paid and targeted ads. \u201cIt\u2019s all about marketing and putting yourself out there as much as you can,\u201d he says.<\/p>\n\n\n\n

\"\"
Zach Sass, Chef Zach Zass<\/figcaption><\/figure>\n\n\n\n

To grow his business, Sass needs something he\u2019s never had to seek before \u2014 capital. \u201cI definitely want to expand as much as possible and get to a point where I can add more classes and help some of my fellow cooks who are in limbo,\u201d says Sass. \u201cIf I can get to the point where I can make this bigger, I can branch out and help them,\u201d he says.<\/p>\n\n\n\n

For Sass, the current crisis has actually forced him into the future. \u201cI knew at one point in my career, and even from the time I was a child cooking with my Italian grandma, that I would end up owning and operating a business around cooking,\u201d he says. \u201cAs I\u2019ve always been a chef for other restaurants, I didn\u2019t expect it to be so sudden. But here it is.\u201d<\/p>\n\n\n\n

Quarantine and chill<\/h3>\n\n\n\n

A year ago, the last place Kay Luttrell, a 24-year-old U.S. Navy yeoman, expected to find herself was trapped in a motel room surrounded by partly dried candles. Yet because of Covid-19, that\u2019s exactly how she\u2019s spent the past few weeks.<\/p>\n\n\n\n

Luttrell was in Virginia Beach, Virginia, when her base sent all non-essential personnel to work from home in April. By late June, as Luttrell waited for her next posting to start, she was holed up in a motel in nearby Suffolk. But the crisis proved to be an opportunity.<\/p>\n\n\n\n

Being home, even a temporary home, allowed Luttrell more time to focus on her online venture, Unlax Candles<\/a> (a combination of unwind and relax). She had started it in December 2019 as a way to help over-stressed people like herself \u201cchill,\u201d as her website says.<\/p>\n\n\n\n

Prior to the pandemic, web traffic and purchases had been rising steadily. Then, with more time on her hands during the pandemic, she took online candle-making classes and found a mentor in the business to advise her on growing her venture. Leading up to Mother\u2019s Day, her mentor advised her to stock up on supplies because the holiday is a busy one for the candle industry.<\/p>\n\n\n\n

\"\"
Kay Luttrell, Unlax Candles<\/figcaption><\/figure>\n\n\n\n

Not anticipating how the pandemic would impact her business, Luttrell waited too long to purchase supplies. Her vendors \u2014 for soy wax, essential oils, glass jars and even shipping \u2014 couldn\u2019t fill orders. Many were forced to close their doors or limit accessibility, causing delays for weeks.<\/p>\n\n\n\n

Lesson learned: Luttrell shut down marketing ahead of what should have been her biggest sales day of the year. To keep momentum, she over-ordered her next batch of supplies, launched a new collection of candles, and adjusted her online marketing to focus on relief for anxiety brought on by COVID-19.<\/p>\n\n\n\n

Today, Lutrell sells candles with scents like Pineapple Sage, Caribbean Teakwood and Sea Salt + Orchids for $15.50 apiece and wax melts (scented cubes that place on wax warmers) for $6. She offers discounts for bulk orders. Her business has grown from about 100 orders per month to about 800 per month, accounting in one recent month for $30,000 in revenue.<\/p>\n\n\n\n

\"\"<\/figure>\n\n\n\n

The biggest part of her business appeal, Luttrell says, is her personal story about battling anxiety, which she shares on her website and across social media, her primary marketing platform. \u201cI felt like I had a unique story to tell, and if I told it people would respond,\u201d she says.<\/p>\n\n\n\n

Recent media attention for Black-owned businesses like hers, thanks to the Black Lives Matter movement, has given her an additional boost. Luttrell has been featured in three popular blogs. \u201cI had someone contact me recently from Microsoft and put in an order for 1,000 candles so she could send them as a nice gift to her employees who are working from home,\u201d she says.<\/p>\n\n\n\n

Luttrell\u2019s ultimate vision, she says, is to go brick and mortar. \u201cI would like to have a candle studio and bar,\u201d she says. \u201cPeople could come in and make their own candles but also still purchase some of mine. I\u2019d host workshops, like a girls\u2019 night or date night, and maybe post lessons on YouTube.\u201d<\/p>\n\n\n\n

How to sell art without wine and cheese<\/h3>\n\n\n\n

In a youth-oriented culture, it\u2019s not easy getting older. Patti Curtis knows this well. For years, she worked as a product development executive in the cosmetics industry. Three years ago, at 53, after she was laid off, she decided to start a business where she could celebrate the achievements of people her age.<\/p>\n\n\n\n

She rented a small space in Seattle\u2019s gritty Georgetown district and opened the slyly named Fogue Studios & Gallery<\/a> (for old fogey). It\u2019s a non-profit that features only artists who are 50 and older. Her venture quickly expanded into a 6,000-square-foot space with 36 artists, propelled in part by Curtis\u2019s website and marketing savvy. But then, in March, the city ordered businesses to close.<\/p>\n\n\n\n

Like many brick-and-mortar outfits, Curtis turned what had been solely an online marketing presence into a shopping destination. She began offering virtual gallery tours and, after adding a shopping cart feature to her site, she now sells art exclusively online.<\/p>\n\n\n\n

\"\"
Patti Curtis, Fogue Studios<\/figcaption><\/figure>\n\n\n\n

Fogue Studios is among many small businesses in the U.S. that are also considered ventures, and an example of an entrepreneur adopting digital methods to do business. That\u2019s not to suggest it has been easy: In April, while operating solely online, Fogue\u2019s sales dropped 90% from the same period in 2019, says Curtis. Since then, sales have rebounded to 40% of what they were last June.<\/p>\n\n\n\n

\u201cIt\u2019s a tough sell convincing people to buy art online,\u201d says Curtis. \u201cIt\u2019s an event-driven business where you rely on openings and local art walks that can draw in 300 people in a day to drink wine and eat cheese. But the online sales have been enough to help my artists during this time.\u201d<\/p>\n\n\n\n

\"\"<\/figure>\n\n\n\n

What could help more, she says, is the city stepping in to help entrepreneurs. For instance, it could offer tax breaks to landlords who rent to ventures that give back to the community. \u201cHelping businesses that are struggling, to give us a break on our taxes or the rent we pay, is such a no-brainer,\u201d she says. \u201cAnything that would make us look more attractive to a landlord.\u201d<\/p>\n\n\n\n

\n
Read more about policies that help promote ventures<\/a><\/div>\n<\/div>\n\n\n\n

In the meantime, Curtis is planning to use the impetus of the crisis to nudge her forward. She hopes to turn Fogue into a lifestyle brand, selling things like clothing to her mostly 50-plus customer base. \u201cI think there\u2019s a big category for selling to people over 50 that most marketers overlook,\u201d she says. \u201cMy motto is kind of like, \u2018If not now, when? If not me, who?\u2019 That\u2019s the kind of person I am \u2014 a risk taker. I put fear aside.\u201d<\/p>\n\n\n\n

<\/p>\n","protected":false},"excerpt":{"rendered":"

A look at how three venture operators turned crisis into opportunity<\/p>\n","protected":false},"author":15,"featured_media":513,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[19],"tags":[],"class_list":["post-434","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-microbusiness-profile"],"acf":[],"yoast_head":"\nTurning the Covid-19 Crisis into an Opportunity | Venture Forward<\/title>\n<meta name=\"description\" content=\"The Covid-19 crisis has shuttered thousands of businesses and collapsed entire economies - but some entrepreneurs are proving surprisingly resilient.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.godaddy.com\/research\/turning-covid-19-crisis-into-opportunity\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Turning the Covid-19 Crisis into an Opportunity | Venture Forward\" \/>\n<meta property=\"og:description\" content=\"The Covid-19 crisis has shuttered thousands of businesses and collapsed entire economies - 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