3 ways to strengthen brand connection in challenging times

With predictions for continued economic uncertainty, consumer brands are having to shift focus to win the hearts and minds of cash-strapped consumers.

Ah – the halcyon days of low inflation and low interest rates. Something of a distant memory against a backdrop of perma-crises and doom-cycle news feeds.

Today’s harsh economic reality impacts consumers everywhere: they’re cutting costs, they’re reducing spend on luxury and big-ticket items, and they’re down-trading to cheaper alternatives where they can.?

But what does this mean for brands?

According to the 2023 Meaningful Brands study, 77% of consumers expect brands to show up and support in times of crisis – yet many are operating in survival mode, opting for ‘shrink-flation’ or ‘skimp-flation’ strategies in a bid to protect themselves from rising production and supply chain costs.? ?

While cost-cutting in this environment is understandable, brands would do well to remember that consumers are loyal only to a point and a negative experience can quickly lead to a shift in brand allegiance. The truth of the matter, as Meaningful Brands finds, is that 75% of brands could disappear overnight?and most of us simply wouldn’t care.

So, in these tougher, more emotionally strained times, what can brands do to win hearts and minds of consumers? How can they provide reassurance, inspire loyalty and show us that they understand the challenges we’re facing?

1. Re-frame value While never-ending promotions can prove unaffordable, there are lots of ways to demonstrate value that go beyond price alone. Start by thinking about how else you might support the consumer beyond your core offer.

Huel nails it with an extensive content platform that provides useful advice and insight to fitness-focused consumers, actively supporting & motivating audiences to achieve personal fitness goals. [MOU1]?Or think how O2 Priority offers invite-only access to discounted cultural events and entertainment for its mobile subscribers.

But value doesn’t necessarily mean value for the consumer; it could mean value for the wider world. Tony's Chocolonely products appeal to so many consumers because of their brand’s mission: to eradicate slavery and exploitation throughout the chocolate supply chain.?

2. Show empathy and be positive

Talk to consumers in a way that shows you understand their specific challenges and concerns. Be light-hearted, positive and fun: brands have a part to play in lifting the malaise through language, communications and experiences that offer moments of joy and escapism.

Aldi’s a great case in point: tonally, they manage to stay on the side of the shopper, lifting the gloom and doom with down-to-earth humour and anti-corporate speak. Through their ranging strategy, Aldi brings otherwise unattainable products – like wagyu beef and ostrich – to the masses. The message is clear: we may be living in challenging times, but there’s still a place for exoticism and adventure in the kitchen. ?

3. Democratise access

With bigger purchase decisions kicked into the long grass during times of economic downturn, can you offer smaller perks or reduce pricing to widen access to higher ticket items? By lowering barriers to access, brands ease the pressure on the purse strings whilst allowing audiences to maintain relationships with the products and services they value.

HURR x Selfridges ‘rent return repeat’ service gives temporary access to fashion brands that are out of many consumers’ price range. How about rewards for loyalty? Tesco is the undisputed king, offering discounts across 6000 everyday products for Clubcard holders. Pret, meanwhile, has extended its successful beverage subscription model into food and is rewarding its regulars with reduced pricing. ??

Brands and the businesses that run them are under increasing pressure to meet targets and manage investor expectations, but it’s consumers who call the shots. By re-thinking value, communicating with empathy, and democratising access to the products and services that people love, your brand is more likely to remain relevant and, even when times are tough.