POSTED BY justin IN Uncategorized @ February 24, 2009 - 2:15 am
During recessions, advances in sales can be made by shifting emphasis within advertising executions, period. Notably, making a video.
And here's how to do it: Stress quality and value. Reflect the current consumer mentality, regardless of the status of current means.
The question of advertising during a recession is one that has been asked many times over many years. Interestingly, the answer still does not seem clear to enough some marketers.
The answer to the question is that advertising during a recession provides a unique window of opportunity for investment purposes to:
1) Build equity;
2) Solidify your customer base;
3) Gain new customers; and
4) Make inroads on your competitors who have cut their advertising during the recession period. This window of opportunity is created by the understanding that advertising is an investment, not an expense.
However, it is easily understood why many people do not view advertising as an investment, but treat it as an expense. It is because advertising frequently does not represent a fixed cost, like capital expenditures, which are investments.
And this is not just for-profit. I believe that non-profits must also continue to market and advertise. People are inclined to return to what is important in times like this and are actually more prone to to join your organization. But you must let them know you are out there.
Given the above stated opportunities, one would logically ask: Why do advertisers cut their budgets during recessions?
Several things are crystal clear, to me:
1 - Because families start curtailing their purchases during a recession, not less but more advertising is required to prevent consumption from eroding.
2 - The company courageous enough to stay in and fight when everyone else is playing safe can bring about a dramatic improvement in sales. Progressive companies will recognize this. Like us - I have chosen to market and advertise the cut company in this economy more than ever. The beauty, coincidentally, is that we are offering cheaper marketing and advertising solutions for companies, using video. And - it is working. Big time. Instead of withdrawing "into a shell" and waiting for something to happen, you must expand a little during slowdowns. As a result, you will also be in a better position to benefit when the eventual upturn occurs.
3 - Even more tenuous is the argument that advertising should be cut in order to save. This is not the time to lose potential customers. People are much more shop conscious - they are looking to spend money in all sorts of different ways. And yes, they are still buying - but less impulsively. Give them a way to see, hear and reflect what your customers are feeling, and how you can help - and you have the instant edge. Video does this the best. Get these new customers now!


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