The recession didn’t just happen. But here it is. And here you are trying to figure out the best action to take for your business. For those who have been hit with the fight or flight response, your mind is probably shouting: “Stop marketing now! … You can’t afford to!” According to top marketing gurus and historical facts – You can’t afford not to.
Take a look at this historical perspective of marketing expenditures during the past 3 recessions:
1974-1975 recession years –
“Companies that did not cut marketing expenditures experienced higher sales and net income during those two years and the two years following than those companies that cut in either or both recession years.” — American Business Press, Inc.
1981-1982 recession years –
“Business-to-business firms that maintained or increased their marketing expenditures during the 1981-1982 recession, averaged significantly higher sales growth both during the recession and for the following three years than those that eliminated or decreased marketing.” — McGraw-Hill Research.
1990-1991 recession years –
“Firms that increased their budgets and took on new people were twice as likely to pick up market share.” — Greenburg, Eric Rolfe. Management Review, January 1993
According to research conducted at Penn State’s Smeal College of Business:
”An economic recession should not prompt marketing cutbacks, but rather an aggressive increase in marketing spending to achieve superior business performance.”
Plus … Arcus Research and Strategic Consulting analyzed the impact of cut backs in marketing investments in a slowdown in 22 industries and had this to say: “It is proven that an increase in advertising during a recession, when competitors are cutting back, can dramatically improve market share and return on investment at lower cost than during good economic times.”
Now is the time to stay in the driver’s seat and drive.
Show your existing and potential customers you care and are there. Reach out. Communicate. Present your business as unique, credible, and beneficial. By continuing to market smart you will build strong customer relationships now and well into the future.
Need help? Contact me: Jerelyn Craden at: OneSmartMarketer@yahoo.ca