Collective: Marketing in a tough economy
There’s a lot of speculating about the downturn of the Australian economy, increasing inflation rates, high cost of living and a looming recession.
So how do you continue marketing in a tough economy? Well, the short answer is – don’t stop what you’re doing. In fact, there’s clear evidence to show that this is a time of opportunity for marketers.
Last man standing
In an arduous market, many players tighten their belts, cut back on marketing spend with a ‘wait and see’ mindset. Many organisations have lost market share because of this strategy, to their detriment. On the flip side, if this current climate is seen as an opportunity, it can potentially provide the perfect platform to gain a more significant piece of the pie!
As outlined in a previous blog, we share a well-known case study about how Kellogg’s increased profit by 30%, gained market share during the depression and maintained this top spot to date.
In some ways, a fickle economy can make the strong stronger, and the weak weaker since the strong can afford to keep investing while the weak must focus on staying afloat.
However, if it’s feasible (and this may depend on the industry, with some organisations thriving at this time), it’s a real opportunity to make some noise and disrupt the market.
The marketing landscape is about visibility and engagement. With less competitors in the market, this presents the ideal platform for challenger brands to gain more exposure. Ramping up marketing activity and creating more avenues to engage with your audience can result in increased sales and long-term market share gains.
Regardless of the medium or channel, marketing is about standing out, being found, and securing a place in the consideration mindset of the consumer; when there is less activity and noise to compete against, this can provide a distinct advantage for those businesses who are active.
Perception is reality. The other advantage of maintaining and increasing market visibility, is the way in which this is portrayed in the market. A strong marketing presence also says – ‘we are strong, we are reliable, and we are a growing business. ‘
Uncertainty is always a part of business, and having just survived a 2-year pandemic, the thought of tough times ahead is daunting. We don’t really know what’s ahead or how consumers will respond and behave. It’s particularly challenging when surrounded by negative media stories and doom and gloom attitudes.
However, we know that it’s time to review your marketing strategy, work smarter, optimise your brand experience, listen to what your audience is saying, and adapt accordingly.
If you need help reviewing your strategy or developing tactical campaigns to grow your brand, contact our team of brand specialists today!