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Nomadic Display’s MD Laura Moody talks about how
companies which continue to commit marketing spend
during recessionary times will get more for their money.
The first mistake businesses
make in an economic
downturn is to cut their
marketing budget and this is likely to
leave your brand in a less competitive
position when the recession ends.
Research shows that the best
strategy is to continue to spend
money on marketing at the same
level or even increase expenditure.
Successful companies will actually
grow their businesses during
recessionary times by investing in
structured, and specifically targeted,
marketing activities that produce
results.
Your ‘brand voice’ has a direct
correlation with your market share
and keeping your brand profile high
when others fail to do so will result
in increased market share when the
recession is over. There is no better
place to keep your brand profile
high than at an exhibition. You may
even decide to take more stand
space to really push your brand and
raise your profile. Don’t be afraid to
contact the show organiser and ask
for additional space, if the show is
round the corner and they have
space to fill you may even get a
reduced rate (for the extra space).
The trouble is that marketing
expenditure is generally seen as a
cost to the business and is often an
immediate target when it comes to
cutting costs. We need to change
our mindset and stop using the
phrase ‘marketing budget’ or ‘marketing cost’ and start using the
terminology ‘marketing investment’. |
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Of course, as with any investment,
this means your marketing
investment must be justified and
measured and the direct impact of
any money invested can be
demonstrated by an increase in
opportunities and revenue.
Given that we need to invest more
in marketing, you have to decide
what marketing activities to
undertake. Understanding what your
customers really want and how they
are likely to react in a recession is
key to choosing the right marketing
initiatives. Customers become more
discerning when there is an
economic downturn. They will more
carefully research the alternatives
and are more inclined to negotiate
for everything they purchase.
Customer research will help you
gain a greater understanding of their
buying habits and their methods of
evaluation prior to purchasing. One
of the places people most frequently
conduct research is at an exhibition.
Conduct market research from
your stand to gain an insight into
what your potential clients are
thinking and how they are reacting
to the recession. Then share your
findings with the visitors to your
stand post-show to help establish
your position as ‘industry expert’.
Buyers also become risk averse
during tougher times, so you have
to offer ‘safe solutions’. A credible company offering customer
references, expert opinions and
great product and service reviews
will win the day. |
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If you have a strong
presence at the show, this will give
out a positive message and will
encourage confidence, especially if
others around you are doing the
opposite.
Exhibitions are a vital marketing
activity to undertake when there is
an economic downturn. Your
industry trade show will often be the
barometer to your marketplace in a
downturn. Buyers will attend a show
to understand what impact the
recession is having and to see who
is weathering the storm.
You need to decide if you want to
invest money in acquiring new
customers or protecting your current
customers. You may find your
money is better spent further
developing relationships with people
you already know rather than trying
to gain new contacts. Campaigns
that focus on lead nurturing to gain
a more in depth understanding of
your existing customers on your
database will produce better results.
The good news is that companies
which continue to commit
marketing spend during
recessionary times will always get
more for their money. Inevitably,
less money is spent on core
marketing activities during a
recession and you will be able to captialise on this. |
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