How To Maintain A Strong Marketing Strategy During Recession
The COVID-19 pandemic took the world by storm and greatly affected the global economy.
Some people think there’s a looming recession, while some believe it’s already happening.
Business owners suddenly had to learn to market in difficult times, and fast.
All of a sudden, we were faced with new dynamics—working from home, social distancing, and temporarily closing physical establishments, to name a few.
Many businesses are struggling, and we’ve been asked how to increase sales during the recession many times.
Let’s discuss the importance of marketing during this pandemic, the changes we have to observe, and some strategies for business survival during a recession.
The Importance of Marketing During a Recession
The most important thing in maintaining marketing efforts during this time is to keep communicating with your old customers and potential ones.
We need to let them know that we are in business, and we should inform them of any changes with the current setup, like operating hours and availability of items.
It is also important to let them know that we are with them during these difficult times, and we should be a beacon of hope and strength for them.
If we don’t communicate with our clients now, our competitors will.
Pizza Hut and Taco Bell saw an opportunity when McDonald’s drastically decreased its advertising and promotion budget during the 1990-1991 recession.
Instead of doing the same thing, Pizza Hut and Taco Bell increased theirs.
It paid off well—Pizza Hut increased sales by 61%, Taco Bell increased theirs by 40%, and McDonald’s experienced a sales decline of 28%.
Understandably, some companies stopped marketing efforts earlier this year, but by now we should have a clear business strategy during a recession.
The Changes We Have to Observe
Let’s first discuss the changes we have to observe because of how people perceive the marketing and advertising industry during the recession.
Keep in mind that everyone is going through a difficult time—people are dealing with losses, sickness, and anxiety.
While we have to be present in our customers’ lives, we also have to be very sensitive about what they are going through.
Before sending out an email or posting on social media, let’s check our copies, make sure that there is nothing offensive in them, and share a positive message.
You need to put yourself in the shoes of your customers and let them know that you relate to their situation.
Many businesses have taken a hit, especially those that are considered non-essential.
Before we proceed with any marketing effort, let’s check first, which investments are effective. Cut on unnecessary spending and focus instead on platforms that are providing good results.
At a time like this, we should be open to more revenue streams.
We can add products or services that we don’t typically offer to serve our clients better.
For example, clinics are now accepting digital consultations.
E-commerce stores are now accepting manual orders via email or Facebook.
Restaurants are now offering frozen meals.
Before thinking of going forward with our strategies, we must first make sure that we have made the necessary changes to help our businesses survive the recession.
Marketing Strategies During a Recession
Now that we’ve tackled the importance of marketing during this time and the changes we have to observe to adapt to the new normal, let’s talk about the execution of marketing during a recession.
Here are some strategies that will help us prepare for a recession and to allow our business a head start when the economy starts to normalize.
The first in this list of strategies is the simplest, most crucial one. Be available.
Remind clients that our brand is present. Check up on them with a text message, email, or social media post.
Whether they make any purchase at this time, they will remember the emotional connection that they had with the brand and be reminded of how good it felt that a company checked on them during a time of uncertainty.
Practicing Laser-Focused Targeting
Correct targeting is crucial with any marketing campaign, and it is essential in surviving during a recession.
Laser-focused targeting allows us to reach a specific niche that we’re confident is interested in our products, leading to more revenue and a higher return on investment (ROI).
When there is a limited marketing budget, we don’t want to waste it by wrongfully targeting people who are not interested in our products or services at all.
Utilizing Cost-Effective Methods
If the marketing budget is tight, discontinue expensive methods that are not yielding results.
Opt instead for more cost-effective methods like email marketing and SMS marketing. These are great in sending personalized messages that consumers will surely appreciate.
Banking on Brand Loyalty
When applied to marketing, the 80/20 rule means that 80% of our revenues come from only 20% of our clientele.
Those who are loyal to our brand are the ones who will help us the most by purchasing repeatedly, telling their friends about us, and leaving great customer reviews.
Reaching out to past clients is a cost-effective way of getting more sales and minimizing the pandemic’s impact on our business.
Now more than ever, it’s important that our potential clients will be able to search for us on Google.
SEO marketing is a long-term strategy, and now is the time to strengthen it.
Once the economy is back to normal, and we’ve invested in SEO efforts, the increase in our organic reach will be worth it.
Bigger, Better, and Bolder
Even during difficult times, we must not stop our marketing efforts.
Let’s instead strengthen our strategies for business survival during a recession.
There’s so much uncertainty around us, but one thing’s for sure—inactivity far outweighs the damages that any ineffective marketing effort can bring about.
Remember to never give up. We will get over this challenging time together.
Here are some more ways on how to survive your business during the COVID-19 pandemic.
Need help bouncing back? Our team at Infintech Designs provides a variety of marketing and web design services. Give us a call!