We know what you’re thinking: “A marketing agency telling me to spend money on marketing? That’s rich”. Fair, but we aren’t the only ones saying it and when it comes to recession marketing, what’s the goal of your business?
Market Share Is Up For Grabs
The long-term success of your business should be the only thing that concerns you. Yes, you need to keep the lights on, but don’t make a sacrifice for today that would mean the end of your business in 6 months.
Many companies pull back during a recession, opening the door for more committed businesses to take that space for themselves. Around 75% of recession end within the year (and 30% only last two quarters), which means short-sighted cuts can put you at a large disadvantage a lot sooner than you might think.
Always Think Long-Term
Making sacrifices up front at the expense of your business’s long-term success is not a wise decision.
In other words, while your tactics might change, your strategy should not.
Here are a few ways to make sure you’re not just surviving the recession, but setting your business up to come out ahead when it’s all over:
Alter Your Offerings
This doesn’t mean completely changing up what your business sells or who it targets. Trying to slide into another demographic is tough, and you’ll face competition from companies who know the market better and have already built a loyal base.
Instead, give the consumer more price-friendly alternatives by offering smaller package sizes or shorter and more focused services. You could also try to cut costs somewhere and instead of using that to increase short-term profitability, allow those savings to be passed to your consumer. They’ll love you for it.
Find The Channels That Work
Simply optimizing your current media channels is a fantastic way to see a stronger ROI during a recession.
An auto manufacturer saw success in the form of a 26% increase in reach and a 39% increase in impressions, simply by focusing on the channels already performing well. They did this without adjusting its budget at all!
Focus On Retention
Every business needs new customers, but retention is much cheaper, more effective, and has lasting benefits. Nurturing the relationships you already have is a fantastic way to stay stable during the recession while setting yourself up for success down the road.
For more on this, check out our other blog on customer loyalty.
If you take care of your employees, they’ll take care of your customers.
While choices have to be made about overhead and additional perks, a recession doesn’t mean putting the personal growth of employees on hold. Continue to commit to their wellbeing and that commitment will be reflected toward your business, and its consumer.
The Next Recession
This isn’t the first recession, and it certainly won’t be the last.
We know the last thing you want to think about is the recession after this recession, but the truth is, every decade has seen one since 1948. Some might be shorter than others, but they always come.
However, this just gives you a sense of certainty! If you know it’s coming, you can prepare for it. Don’t wait until the rumblings of an upcoming recession to start planning for it. Prepare your business, marketing, and advertising, so you’re prepared to pounce on the opportunities that come with it!