Marketers - Solutions and/or Tools to Defend Against a Recession
Recessions have a habit of ruining unprepared and ill-equipped businesses. The last financial crisis bankrupt over 400 small businesses. If companies want to prevent their businesses from the same fate they must prepare a marketing strategy ahead of time.
- Marketers used to research the customer to find out how consumers are redefining value.
- Marketers needed to focus on family values, as people tended to retreat to their village in hard times. Greeting cards, home entertainment, and home furnishings were the tools of preference.
- Agencies maintained marketing spending, as brands that increased advertising had a competitive advantage.
- Marketers also used to adjust product portfolios and refocus demand for each item because in tough times people favored multi-purpose goods over specialty products.
- It is important not to cut the marketing budget. If the competitors have reduced their's, then increasing the budget will most likely favor the company with higher advertising budget in a weaker economy.
- Marketing agencies utilize budgets unconventionally and stretch the budget in creative ways.
- Marketers focus networking in order to strengthen the agency's partnerships and relationships.
- It is important to give current customers special treatment and leniency to win their loyalty by getting them through the recession.
In an attempt to answer the clients questions fully and accurately several distinct approaches were taken. First, an attempt was made to gather information pertaining to marketers tools prior to the 2008 recession. While information was very limited and scarce, we were able to locate a few relevant insights. Next, we tried locate information concerning current marketer preparations for any potential recessions. Some information gathered on the subject was similar to the tools and solutions used prior to the 2008 financial crisis. However, more innovative methods have been created. Lastly, in an attempt to bring clarity to the subject the tools and solutions that were selected were designed to show a difference in previous strategies versus today's strategies.