The coronavirus and this unprecedented situation is not only impacting the health on many of us and our loved ones, but it will also lead to an economic downturn that will hit a lot of small businesses really hard. And when businesses are facing tough times, the first thing they`re likely to pull the plug on is marketing.
But is this a smart move? Definitely not. In fact studies have shown that in previous recessions companies that continued to invest in marketing saw growth in their businesses while those that cut their budgets and stopped their marketing activities saw a decrease in sales.
A survey of more than 35,000 consumers globally by Kantar found that just 8% thought brands should stop advertising. However, there is a clear expectation that companies should play their part, with 78% of consumers believing brands should help them in their daily lives, 75% saying brands should inform people of what they’re doing and 74% thinking companies should not exploit the situation. (Source: Sarah Vizard from marketingweek.com)
How to maintain your marketing during economic downturn?
See our tips below:
- Whether in recession or not, your customers don`t go away, they still need your products and services. And it is through marketing that they learn about your products and services. So, keep providing up-to-date information, maintain your webshop and social media.
- Your business slowed down, you have more time on your hands? Great! Now is the time to look at all those things you have been putting off because of the lack of time: measuring campaigns, rebranding, creating a letterhead or website, or database management.
- Your budget might be tighter but that doesn`t mean your marketing has to suffer. Review your marketing plan and look at cost effective solutions: switch to digital, use free social media and other digital tools and review your marketing mix.
- Can`t reduce your margin or cut your prices? Add value to your products and services: Offer longer warranty, a more flexible return policy or introduce a loyalty program!
- Not sure how to come up with the right marketing strategy? Outsource your marketing. It can save you the overhead of the marketing department, and you`ll get expert advice tailored to your business goals and requirements.
Let us help you grow your business and take care of your marketing requirements! Call or email olivetree marketing today!