Do you ever wonder why a company like Geico continues to advertise? They are a household name so why do they spend millions of dollars on marketing and advertising?
Does Disney really need to remind us to visit their parks?
The answer is yes.
Successful brands understand that marketing is an ongoing necessity, a regular expense of doing business and a very critical business function. They become large and successful as a result of having a solid marketing strategy, consistent brand awareness tactics and marketing during bull and bear economic conditions.
When business is good and we have more than enough customers, it is easy to let marketing slide off our priority list. We get busy with all the new business and stop marketing and advertising due to lack of time or simply feel it isn’t necessary. We may think we can save money by cutting back on advertising since business is good and we are busy anyway. Feeding your business with a steady flow of new customers and strong brand awareness in the marketplace is what will give your business strength and longevity. You don’t want to wait until revenue dips to start advertising again. Marketing can be that slow burning fire that keeps things warm and provides continuous power to your business engine.
Marketing should not slow down when business is slow either. It may be tempting to cut your marketing budget if business is slow or the economy is suffering. This comes from a mindset of scarcity. It doesn’t mean you should stick your head in the sand. Now is the time to be as strategic as possible. Focus on maximizing the quality of your efforts but not cutting the marketing budget as a way to save money. Look for ways to be more deliberate in your messaging and look for ways to offer something that creates greater value for the customer but still get the word out consistently.
The advice attributed to Warren Buffet advises us to be “fearful when others are greedy, and greedy when others are fearful.”
In other words, look for ways you can take advantage of the apprehension others may have. That scarcity mindset can cause many businesses to slow down. If you can, now is a great time for you to ramp up. Get your brand name out there even more while your competitors may be slowing down. Now is the time you could really stand out and maybe even capture more of the market share through creative marketing.
Here are a few reasons why ongoing marketing even during uncertain times is so critical:\’
1. Just enough is not enough
Having just enough business is just not enough. You may currently feel great about the amount of business coming your way. This can change very quickly to “not enough.” Who wants that?
You want to have more potential customers than you can handle. Waiting lists, sold out items and high demand for your business is a very good thing. Sure, you don’t want to have to turn people away but that is much better than hoping the phone will ring today or watching your revenue dip month over month. Also, when your business is in demand, customers will want to act quickly and buy from you while supplies last.
2. Refine your customer base
As your business evolves, your core audience may evolve as well. Your marketing messaging may need to change and even how and where you try to reach that audience may shift. Continuous marketing allows you to stay on top of these changes and respond effectively and promptly..
3. Prevents complacency among buyers:
Your business probably has a reputation that people have come to understand. People will remember you based on some past interaction or something they saw or were told long ago. This can be good or bad. Whichever it is, the perception tends to remain fixed for a long period of time unless you do something about it.
Your company is obviously evolving and improving. You want people to think about your products or services with fresh perspectives and renewed enthusiasm to check out what you offer.
4. Secures your future
Marketing helps brands grow. Perhaps right now, you have more than enough business and are fearful that you won’t be able to manage if more business comes your way. What if business slows six months from now? You don’t want to wait until things shift to begin promoting again. Marketing should be a long game and one that plants the seeds for future business and growth.
5. Opportunity to introduce new people to your products and services
There are always new people who may need your products and services. Are there new residents moving into your area? Are people aging into needing your services that a few years ago wasn’t on their radar? Continuous, effective marketing will again keep that continuous flow of new potential customers coming your way.
Navigating through the highs and lows in business can be daunting. With the right outlook and commitment to ongoing marketing, brands can strengthen and grow even during times of uncertainty.
If you’d like an assessment of your competitive strategy, contact us today.