Replace ‘wait and see’ with ‘go and do’
I’ve spoken with a few retailers lately about their advertising plans in this slower economy. Most of them plan on taking a ‘wait and see’ approach and are slashing their spending to an absolute minimum.
This approach is all wrong. Slashing advertising budgets might make sense for companies that are on life-support. But for well-capitalized companies with a diverse customer base, a creative workforce and a viable product (or service), retrenching shouldn’t be an option.
During a recession, companies need to stay visible and differentiate themselves from the competition. If most of your competitors are cutting back on advertising, there is more opportunity for your message to stand out and make an impact. The worst thing you can do is to allow existing (and potential) customers to forget you.
Rather than slash your advertising budget, why not re-evaluate it? Track what’s working and what isn’t. Explore new mediums (e-marketing, social networking, search engine optimization), stake out new territories and hone your message.
Plenty of opportunities exist for companies to increase sales and gain market share during a downturn. But it won’t happen by taking a wait and see attitude.