Why you Never Stop Marketing, No matter what

 

When business is booming or you are expecting a busy season, it makes sense to invest more resources in marketing your business.

 

But what happens when sales are not as high? Do you keep on sustaining your marketing efforts? Do you scale down or stop altogether?

 

Cutting down marketing costs seems less painful because it does not involve firing anyone.

 

During recessions, you can fall back on your loyal customers to give you some cash flow and maybe even open up some new revenue streams.

 

At this time, you have to be careful to discern which marketing costs are absolutely necessary and which you can do without.

 

You don't want to hurt your business further instead of saving it. Continuing to spend money on marketing that doesn't add to your bottom line is a waste.

 

On the other hand, if your effort to save on marketing ends up costing you money, then you are sabotaging your own survival.

 

A strong brand that consumers find familiar and trustworthy is more likely to survive in the long run.

 

Take a market downturn as an opportunity to get rid of any advertising spending that is yielding low returns on investment. It is not a good time to hang on to less effective advertising tactics.

 

It is also a time to look for more efficient and innovative ways of meeting the needs of your customers.

 

Going Digital

There is no evidence that online sales alone can carry a company. But what we have seen from 2008 and 2020 is that online sales generally stay high during downturns.

 

In the recession of 2008, online spending only went down by 2% compared to a drastic drop in overall spending. From the 2020 experience, Amazon has not only made more money but has also become even more powerful (if you can imagine that), from the pandemic of 2020 that has left so many people out of work.

 

The fact that Amazon is scaling up at a time when most other retailers are cutting down is proof that online sales are not as badly affected as offline sales.

 

Adjust your Goals

Obviously, not every business is going to grow during an economic downturn. The goal, as some have thoughtfully opined, may be to just survive. Growth is a bonus.

 

For others, the goal might be just to avoid firing people. Some businesses are celebrating because they are making 70% of their usual profits at a time when others are doing far worse.

Stay Agile

When the economy is down, there are new challenges and new opportunities for business. Don’t just ride it out passively in hopes that you will survive the storm. It puts you in an extremely vulnerable position where you are more likely to become a victim of change.

 

Taking a proactive approach to your marketing may be the difference between making it or not making it.

 

Anticipate different scenarios and ensure that your team is prepared for all of them.

 

Understand your Customer

With all the upheaval that is going around, there is a chance that the needs and wants and motivations of your customers have also changed. This means that any time you invest in understanding your customer afresh is not in vain.