The 18 finalists making up VBJ's Business Growth Awards Class of 2009 may be the best case for the old adage, "with adversity comes opportunity."
From Clark County stalwarts like nLight Corp. to small startup company Navidis Olive Oil and Vinegars in Camas, the trend for these growing companies, operating during the steepest downturn in a generation, consisted of one basic business principle – follow the customer.
"It became clear to us very early on during the recession that we had to go after new customers in a new business environment," said Jay Schmidt, vice president of business development at Silicon Forest Electronics in Vancouver, the winner of VBJ's 2009 Business Growth Award in the Fastest Growing – 10+ Years category.
Faced with declining orders for its machine assembly, inspection and testing services by existing clients, Silicon Forest sought in 2009 to diversify its customer base both domestically and internationally. For this longstanding Vancouver electronics company, that meant moving into U.S. markets in the East and Midwest, as well as attracting global business from small startup manufacturers strategically poised for exponential growth.
With the company's new clients combined with the cost savings from a leaner workforce, the result for Silicon Forest was a 21 percent jump in profits and a 17 percent rise in revenue, totalling over $26.1 million last year.
For a small company like Navidis Olive Oil and Vinegars, nominated in BGA's Startup of the Year category, the business plan may have been more localized than that of Silicon Forest, but was perhaps just as ambitious in its tracking of an evolving customer base.
A mother of two small children, owner Gabby Navidi said she knew how difficult it could be for on-the-go parents to cook healthy food for their families. Along with husband, Ken, she opened Navidis on N.E. Cedar Street in Camas, offering more than 40 kinds of olive oil, vinegars and teas, including easy-to-make recipes for increasingly budget-conscious consumers.
"With the recession, the timing may not have been perfect," said Gabby Navidi, referring to her store's early December 2009 opening date. "But we felt the time was always going to be right for people to eat healthier."
The trend towards catering to a more clearly-defined market for one's services wasn't just limited to Southwest Washington's private sector.
For many of the six nonprofit finalists at this week's BGA awards, 2009 brought a profound demographic shift in their client base as more middle-class Washingtonians were caught up in a flood of home foreclosures, job losses and mounting healthcare costs left in the recession's wake.
"Last year, we had a number of families that were newcomers to poverty, with all of the problems that come with that change in status," said Doug Lehrman, executive director of Vancouver-based Educational Opportunities for Children and Families.
To better serve EOCF's new and existing client base, last year the organization diversified its Board of Directors to include Clark County's professional and business community and hired a new Community Partnerships/Resource Development Manager. In total, EOCF saw more than 2,000 children and families in 2009, offering comprehensive early learning and family support services programs.
And to pay for those programs, EOCF – like other regional nonprofit groups – had to get creative with its fundraising efforts. Last November's "Pinot, Piano and Panache" event combined musical guests, plenty of wine and an intimate feel in an attempt to attract recession-weary donors. In 2010, in addition to a repeat of its "Pinot" event, EOCF plans to hold several smaller fundraisers with community partners like Burgerville, Rahzo and online partners Goodsearch/Goodshop.
"Everyone, not just us, has had to think differently to survive," Lehrman said.
