Sharp economic downturns like the one triggered by the COVID-19 pandemic can pose significant challenges for businesses of all kinds.
While some companies adopt a “hunker down” approach to weather the bad times, those that think long-term and continue to invest for the future fare better both during and after the economic crisis.
Research shows that businesses that invest in marketing during soft economies not only survive but also tend to gain market share over their competitors as a result.
But that investment must be done with clarity and strategy in order to be successful. Through our work with clients, we’ve developed three rules for how companies can successfully leverage marketing during a slow economy.
Rule 1: Think strategically
Companies should consider two potentially valuable paths during an economic slump: pursuing key customers and introducing new products.
Position yourself as an invaluable partner to your customers through strategic brand-building. Boost communication. Increase value. Make yourself indispensable.
Rule 2: Act decisively
Applying the strategic decisions to good effect can only work if the organization is committed to them. Tentative movements or mixed measures threaten not only to undermine a good strategy but also to curtail the growth that could be gained.
Rule 3: Invest shrewdly
Spending carefully isn’t the same thing as not spending at all.
Firms that advance their marketing during economic slumps often find cost-efficient communication options and a less-cluttered messaging field in which to reach customers.
Read our ebook on “Advancing while the Economy Slows” for more details on the three rules to success and a look at exactly how much difference a smart marketing approach can make in the long-term growth of your business.