25 Jun How to grow your business through this recession
In light of a worldwide pandemic, last week, Australia’s unemployment rate surged to 7.1%, the highest rate seen since 2001. As experts suggest a nearing recession, the first repercussion may be to tighten marketing and advertising budgets. But if we look back at the 1980’s recession, the 1990 slowdown and the 2000 bust, tightening the marketing budget, and putting your marketing and content strategy on hold, will actually have an adverse effect.
What we can learn from the mistakes of others…
In 2010, Harvard Business Review assessed business growth in the three years before, during and after that recession – differentiating business that put everything on hold and those who pushed through with strategic spending. The results? Businesses who made quick, deep budget cuts, didn’t come out on top. In fact they had the lowest chance, at 21%, of survival and any chance of getting back ahead of their competition when things got better. On the other hand it was the businesses that found “the delicate balance between cutting costs to survive today and investing in marketing to grow tomorrow” (Gulati, March 2010) who came out on top.
Another common denominator amongst the flourishing businesses, was the increased spend on Research & Development, and Marketing. Though only reaping moderate financial benefit during the recession, profit grew as the world returned to normal. (Gulati, March 2010).
Marketing consultant, Mark Ritson also advocates the importance of a thorough marketing strategy, especially during times of financial uncertainty. Encouraging brands to think long term. Ritson explains that recessions serve marketers “fertile grounds” (Ritson, April 2020) to set up and implement long term growth of market share. In times like these it’s important to focus in on your competitive edge and tell that story in innovative ways to remain relevant with consumers.
It’s not enough to be present. Here’s why you need to show off your purpose and values be top of mind.
If your brand isn’t there for consumers, another will be. That’s Professor Peter Fader’s advice (November 2008). The Wharton University professor argues that an absence of your brand leaves room for competitors to fulfil consumer needs. However brand presence is not enough. Considering the present, ever changing times, and the relaxing of social distancing and quarantine regulations, now is the time to make yourself known. Your audience needs to know who your brand is, your purpose and value proposition. We know you know these answers, but are you conveying it in a creative and innovative way?
All in all, it’s essential for brands big and small, to think long term.
Brand presence is important, but combine it with a powerful content marketing strategy that is purpose driven and relevant to your audience, and you will separate your brand from the rest of the pack.
Show off your ‘why’ and let people know what your purpose is, align your content with the cultural context and the values that are most important to your customers right now and highlight how your business understands and can add value to your customers lives. You don’t have to spend a lot of money on a massive TV campaign, you just need to stand up…live your purpose and tell that story through innovative content.
Need help growing your brand and business through content – We’d love to share some potential strategies