Marketing Survival Newsletter - Marketing in a Recession
I have had the pleasure of living and working for a time in other countries, and I have seen other county's citizens marvel at the resilience of Americans. It is as if we are made of some sort of super-plastic compound, when we fall we seem to bounce right back up, brush ourselves off, and keep on going.
There are those that may say this is the worst, the end of the good times, that it will never be as good as before. For those, I can only remind them that each time America has fallen, and we have fallen more than we might like to remember, we have come back even stronger.
This period in our history is no different. Whether it will be because of our economic strength, our military might, the strength of our compassion and love for all that exists in this world, or just our will to live as a free people, we will bounce back from whatever life throws our way.
That is what I wish to focus on in this newsletter.
We will come back, and you should be there when we do
As a marketing consultant, I have the pleasure of working with companies of all sizes while they cope with both good and bad markets. When the economy is good most companies are focused on increasing sales and marketing. When the economy is bad, most companies focus on their declining sales and reducing their marketing. It sort of makes sense until you ask yourself - if we reduce marketing in a bad market, where will sales come from?
without marketing there will be no sales
It’s true, without marketing there can be no sales, not today or in the future.
Fine you say, but I will still make sales. People will hear. If my product is good enough there will be word-of-mouth, referrals, happy customers, etc, etc, etc.
I say, word-of-mouth IS marketing, the very best form of marketing - a happy customer. And, to get that customer you had to do some form of marketing, even if it was just telling a friend about your handy-dandy new digital doodad.
Get my point? If you want to stay in business in a bad market, you have to treat it just like you treat a good market, with attention, perserverance, and good follow-up. love. If you do, there is even a bonus. You will get more attention in a bad market than in a good market. The reason is, in a bad market your competitors are all pulling back on their marketing, because they didn’t read about this secret to success in the TPI Newsletter. As a result your ad, email, or other marketing will have less competition and will get more attention.
I grant you, bad-market marketing may not produce the same level of return (ROI) as good-market marketing, after all the market is in a slump, but when the market picks up, you will be one of the products your future customers think of first. And, while you may have dug into your pockets to keep your name in front of your customer base during the bad times, your recovery will be many times faster than your competitors who stood on the sidelines waiting for the ‘bulls’ to return.
So, what kind of marketing plan makes sense in a bad-market?
irst, concentrate on your current customer base. "Make sure you dance with those that brung you." I have said many times, "Your customer database is gold". Use it. Make sure you communicate with you current customers on a regular basis. Make them special offers, keep them in the fold, and make sure they know you appreciate their business and want to keep them as customers. You can do this through emails, mailings, and phone calls. All these activities are less expensive than bringing in new customers.
Second, focus your marketing on those potential customers in your database who are qualified leads, and have not yet purchased. Again, this database is gold. If you haven’t kept a good database of leads, start one today. It will become gold in the future.
Third, identify your primary market, and go after it. If you have an architectural application: do e-mailings, mailings, ads, etc. directly to architects. Identify those marketing tools that will reach your market, further identify those vehicles that have the best ROI and use them on a regular basis.
Fourth, use public relations tools to your advantage. Press releases, articles, user stories, announcements, etc. get you in the news and in front of your customers. (Always include pictures.)
Fifth, find online marketing tools that will give your product exposure. Industry portal sites, online magazines, search engines (free or pay-to-play), trading icon presence with other sites (you show my logo, I’ll show your logo), and other creative co-op activities.
Sixth, keep active. Develop a plan that has something happening every month. Combine several activities (ads, phoning, emailing, postcards, PR, etc.) so that at least one activity hits every month.
Sound hard? Possibly, but all it really takes is some organization, someone to keep an eye on the ball, and persistence, great persistence.
Frankly, it’s easy to stay in business during the good times. It takes something more than luck or good fortune to be successful during a slump. And my friends, we are in a slump of significant proportions. It won’t last forever, but we are in it for at least the next 6-12 months.
So, in these difficult times I wish you good luck and the tenacity to stick with your plans long enough to come roaring out of this recession like a lion.
~Nick Vasilieff
This newsletter was written by Nickolai N. Vasilieff; freelance writer and marketing consultant specializing in high technology industries.
For more information see www.nvasilieff.com. To contact Nick with questions or feedback, call 503-267-6339 or email vasilieff@mac.com.
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