Why Your Company Should Stay in the Marketing Game While Others Are Sitting It Out
Here’s an analogy: You’re a kid at the public park, basketball under your arm, and you and your besties just want a chance to play. But the bigger kids keep hogging the court, and not letting you get your turn. Not fair, right? Suddenly, it starts raining, and those big kids show what fraidy-cats they really are, and rush off the court. You, though, realize that it’s just a quick shower, and within minutes, the rain stops, the sun is out again, and you and your team have the court all to yourselves. That’s how it is in today’s advertising world during the COVID-19 pandemic. Big advertising players have scattered, but the court is wide open for play. That’s why now is the time to really get your game on.
Since the pandemic began, many companies have dramatically reduced their advertising budgets – in fact, according to the World Economic Forum, digital ad spending in the US has decreased by 10% over the past few months. For many advertisers, especially those with more modest marketing budgets, this is not the time to pull back and just “hunker down” because of the perception that consumers aren’t spending, either. With so many people working from home, without the eyes of a supervisor or the folks in the IT department looking over their shoulders, guess what they’re doing? They’re shopping online during their lunch breaks or at other times during the work day. With fewer other advertisers competing for their attention, the arena is yours. And if you actually increase your digital ad spending now, you can dominate the field.
According to the Harvard Business Review, brands that increase their marketing budgets during a recession, which economists have confirmed that America is experiencing now, can significantly improve their visibility and market share over pre-recession times. Another bonus is that because online advertising platforms like Facebook, Instagram, LinkedIn and aggregate ad networks are more desperate for business in tougher times, they’re offering much lower rates than usual. So, your advertising dollars go farther. Cost-per-click advertising is like any other commodity…when the prices are low and there are fewer bidders on the trading floor, it’s the time to buy.
No recession, nor even a crisis like a virus pandemic, lasts forever. Soon enough, those big kids will be back on the court, trying to muscle you out of your well-deserved time to play and score. But by maintaining, and in fact increasing, your advertising spend, you’ll gain more awareness and market share among potential customers, so that when the economy does swing back to normalcy, you’ll have built up more share of voice – and at bargain prices.
At Red Thinking, we understand this game. We know that when skies look threatening and the big bullies run for cover, that’s the best time to stay in the game. Get in touch with us. We’ll be happy to coach you through.