Many challenges presents itself in tough times. However, challenges can also be seen as opportunities. Opportunities to push us out of our comfort zone, grow and evolve. There are upsides of being in recession as much as there are challenges being in one. Although marketers are pressured to perform better under less than ideal circumstances, there are tactics to help your business survive, or even thrive in recession.
Explore the benefits of increasing investment. It sounds contradictory to the situation, however evidence from past recession suggests firms willing to take advantage of a marketing opportunity by investing during a marketing recession have improved their fortunes than companies that chose to cut back. Although cutting back seems like a more logical solution, it is only effective on a short term. On longer terms, cutting back actually harms the company’s brand equity and integrity. See increasing investment as a decision to benefit your company in the long run.
Marketers should see recession as a chance to review their marketing methods and product portfolios. Instead of overly focusing on price reductions which harms the brand’s price integrity, marketers should focus on communicating the brand’s values. Focus on increasing and communicating the value that the brand offers, and why consumers should pick the brand over its competition for financial, logistical, psychological benefits. However, for the marketing strategy to be effective, it has to be supported by the right product offering.
It is important to have the right products to sell to the right consumers in the right place and the right time. This is an opportunity to carefully review products, brands and sub-brands. Ensure that brands and sub-brands are clearly targeted and differentiated, giving optimal support based on their prospects. Brands or sub-brands that target the lower end of the socioeconomic spectrum may be important during recession. Bad times are also gives a strong reason to discontinue product lines that have diminished prospects, and see which products should be supported more.