Author & full credit: Chloe Peters, The Bee's Knees
In the business world, recognition is a powerful tool for enhancing a company’s reputation and driving growth. One popular way businesses seek recognition is through awards. As both a small business owner and the organiser of a networking group for women in business, I’ve experienced the full range of emotions that come with business awards— from the excitement of winning to the disappointment of being overlooked.
To provide some context for my mixed feelings: In my time working in publishing, I managed several 'of the year' competitions where small businesses paid for advertising space, and votes were collected through expensive phone lines. I’ve also been involved in small business awards, gaining insight into how these events generate revenue from participants. This experience has given me a unique perspective on the inner workings of business awards and their broader implications.
Here’s my take on the advantages and drawbacks of business awards, particularly for small businesses:
The Upside of Business Awards
Enhanced Credibility and Reputation: Winning or even being nominated for an award can significantly boost your business's reputation. It signals to customers, partners, and the industry that your business is a leader and a credible player in your field. For example, look at Innocent Drinks, a UK-based company known for its smoothies and juices, offers a compelling example of how business awards can enhance credibility and drive growth.
Innocent has won several prestigious awards such as the National Business Awards, Marketing Society Awards, and Sustainability Awards, which have played a part in establishing its brand.
Innocent’s co-founder, Richard Reed’s book "If I Could Tell You Just One Thing..." highlights the importance of credibility, ethical branding, and marketing, all of which are connected to their award wins.
Marketing and PR Opportunities: Awards provide excellent opportunities for marketing and public relations. They offer content for press releases, social media posts, and can be a compelling addition to your marketing materials.
Employee Engagement: Recognition can be a huge morale booster for your team. It can make employees feel proud and valued, increasing their engagement and loyalty.
Community Engagement: Awards can strengthen your business’s ties to the local community.
Benchmarking: Competing for awards can serve as a benchmarking exercise, allowing you to measure your performance against peers and industry standards.
The Downside of Business Awards
Validity of Nominations: A major issue with many awards is the validity of the nominations. Often, any business can be nominated, regardless of its establishment status or achievements. This lack of stringent criteria can undermine the credibility of the awards.
Exclusion and Feelings of Injustice: Not being nominated can be discouraging, especially when the process is not transparent. Businesses that are not active on social media, for instance, may miss out, which can feel unjust.
Cost: Participating in awards can be expensive, especially for small businesses. Beyond entry fees, costs can add up through ticket purchases and marketing efforts to promote your participation. Additionally, in some cases, even judges are required to pay to participate. This raises the question of transparency—how exactly is all the money being used, and is it benefiting the participants as much as it should?
Time-Consuming Entry Process: Creating a compelling submission often requires gathering detailed information, writing persuasive content, and adhering to strict guidelines—all of which can take significant time and resources. For small businesses with limited staff, this time commitment can be overwhelming and detract from day-to-day operations, making the effort feel disproportionate to the potential reward.
Post-Event Uncertainty: After the excitement of the event, businesses often find themselves questioning the tangible benefits. The return on investment can be unclear, leading to doubts about whether the effort and cost were worth it.
Judging Criteria: Many awards are evaluated by judges who may lack familiarity with the local business landscape or your specific industry, resulting in decisions that may not fully capture the true value and impact of businesses within their communities. On top of this, some awards don't even involve judges; instead, they turn into online popularity contests, where the outcome is driven more by votes than by merit.
Weighing the Pros and Cons
Before diving into the awards process, it's crucial to consider whether the potential benefits align with your business objectives. Do you have the resources and commitment to compete effectively? For some, the extensive application process can be daunting, requiring significant time and effort to prove credentials.
Here are a few tips for navigating the awards process:
Research: Choose awards that are reputable and align with your business values and goals.
Prepare: Dedicate time to create a strong application, highlighting your achievements and impact.
Leverage: Use the nomination or win to boost your marketing efforts, even if it’s just a local award.
What are your options if you decide awards aren’t the right fit?
While awards can enhance credibility and provide marketing opportunities, they are just one piece of the puzzle. Consider other ways to gain recognition, such as:
Community Involvement: Engage with local events and charities to build your reputation.
Customer Testimonials: Encourage satisfied customers to share their positive experiences online.
Industry Contributions: Write articles, give talks, or participate in industry forums to showcase your expertise.
In my experience, participating in award competitions can be a double-edged sword. The key is to carefully evaluate each opportunity and determine if the benefits outweigh the costs and efforts involved. As someone who has both won accolades and been overlooked, I believe that each of us is valid in our own right, whether or not we've been nominated for an award.
For those considering participating in business awards, I recommend thoughtful consideration. Align the awards with your business goals, assess the required resources, ensure the process does not overshadow the essence of what your business stands for and ask yourself ‘What difference is this going to make to my business?’
In the end, recognition is valuable, but it’s not the only measure of success. Your dedication, hard work, and impact on your community and industry are what truly define your business’ worth.
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