Do Not Kill Off Marketing During a Recession
November 18, 2008 9 Comments
It is a mystery to me why some companies (often the ones who find themselves eventually dying away) will react to a downturn by cutting marketing expenses. Cutting expenses is a super smart thing to do, but you should NOT cut back on your marketing.
David Risley, The Single Biggest Mistake in an Economic Downturn Is…
In the world of business sales, you cannot predict which prospects will become sales. But, you know that you need touchpoints with companies. Which prospects will turn into customers? Hard to predict that.
One reaction to the reduced sales that accompany a recession is to cut back on marketing. Unfortunately, that’s just doubling down on your problems. There are fewer bona fide prospects out there during a recession as companies cut back. Which increases the value of each remaining prospect.
Thus, if you reduce the span/frequency of your marketing efforts, you’re going to miss some of the remaining prospects in the market. If you reduce the number of prospects with whom you engage, you can predict the effect on your sales.
That being said, there are wonderful opportunities to do more with less in terms of marketing, thanks to the rise of social media. Jeremiah Owyang and Chris Brogan can tell you more about how to do that.
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