When the economy is in a state of unknown, the first reaction for most businesses is to cut costs. Unfortunately, history has shown from past recessions that this is not the time to cut marketing budgets. In fact, Harvard Business Review reported that companies that have historically increased their marketing spending during a downturn saw a financial boost the following year.
If a business stops marketing efforts, it also stops communication with new and old customers. Customers will be left wondering about the company's stability, new customers won't find you, and your competition could outshine you.
"As sure as the spring will follow the winter, prosperity and economic growth will follow recession."
~ Bo Bennett, Ph.D., Author
Continue to Use Videos in Business
Videos are the perfect way to continue reaching your current customers and target audience in an economic downturn. Videos engage, inform, entertain and build trust and relationships in ways that content alone can't.
Conversions and sales of new customers tremendously increase when you have video content to support your product and services.
Here are a few types of videos that can anchor your communications during an economic downturn and help to contribute to your business's success.
"Never miss out on an opportunity like a good recession."
~ Jack Welch, American Business Executive
Online Video Advertising
You can reach potential customers and grow your business effectively with Online Video Advertising. In fact, companies and brands that continue advertising during an economic downturn will fare better than those that cut advertising budgets.
More importantly, regaining visibility in the market after going dark can cost 4 to 5 times as much as the cuts saved.
"A man who stops advertising to save money is like a man who stops a clock to save time."
~ Henry Ford
Consistent efforts in branding are essential for success and to make sure that the customer remains engaged. Branding is about building and retaining meaningful relationships.
History shows that when people are hesitant to spend money, they're more likely to go with brands they trust. Investment in branding is a solid strategic move in an unknown economy. Businesses that remain consistent in their branding and customer interactions can come out of a downturn stronger on the other side.
"Your brand is what other people say about you when you're not in the room."
~Jeff Bezos, Founder and CEO of AmazonSocial Media Marketing Videos
Social Media Marketing Videos
Social media marketing is a way to maintain your video presence while reducing your advertising costs, scooping a larger market share, and solidifying your brand. Specialty content designed for social media, or more extensive format content re-edited for social media distribution, is a great way to connect to your customers where they are at and keep your organization front and center in their minds...and their purchasing choices.
Economic pressure may lead you to consider cutting budgets to weather the storm. Still, even Forbes has suggested that your business can't afford to shut down its digital marketing if it wants to survive when it gets tough out there.
"Social Media puts the "public" into PR and the "market" into marketing."
~ Chris Brogan, President of New Marketing Labs