An Open Letter to Marketers

?? Navigating the Economic Downturn with Strategy and Innovation

Colleagues, clients, collaborators, friends…we are all in this together! Many of you have reached out directly to discuss how to survive the drought that has become the marketing (and business at large) landscape. I have loved our conversations and ingenuity in DMs, calls, and behind closed doors.

But let’s not hog these insights…my colleague Christina M. Reyes suggested that we take them to our marketing/business community in hopes that the ripple effect will allow us all to flourish despite the drought. Let's share these kernels of wisdom far and wide in the spirit of collective growth and resilience.?

When instinct (and spreadsheets) drive companies to slash marketing budgets, I urge you to consider a counterintuitive approach: enhance your marketing efforts.

{background music comes to a screeching halt} wait…what ???

?? Why Increase Marketing Now?

History and wisdom from business leaders like Warren Edward Buffett teach us that downturns are not times to retreat but to advance. Buffett's advice to be greedy when others are fearful rings especially true in marketing. The current economic climate has somewhat leveled the playing field and turned it into a stage where creative engagements and innovative strategies have the potential to shine brighter than ever.

Take a page out of Sam Walton’s playbook: “I was asked what I thought about the recession. I thought about it and decided not to take part.”?

???? Gaining Executive Buy-In

To persuade your company's leaders to double down on marketing, arm yourself with data highlighting the success stories of brands that thrived by investing in marketing during past downturns. Consider Netflix: while many companies cut back on advertising during the recession of 2008-2009, Netflix continued to invest in marketing. In 2009, at the height of the economic crisis, Netflix shares were up 57% over the previous year, its earnings had jumped 24%, and its subscriptions numbered over 9 million. This starkly contrasts the Blockbuster video rental chain, which saw a $374 million loss and closed hundreds of stores in that same period. Bust, indeed.

When speaking with those who hold the purse string, emphasize the opportunity to gain a competitive edge as others pull back. Present cost-effective, high-ROI strategies that promise short-term wins and long-term gains. This approach showcases the strategic value of marketing and aligns with the executive focus on sustainability and growth.?

In times of cost cuts, showcase value; when they slash, we highlight impact. Marketing isn’t a cost to be cut but a valuable catalyst for growth.

?? Strategic Adjustments in the Face of Budget Cuts

Focus on high-ROI activities. Digital marketing, content marketing, and SEO are cost-effective and vital to maintaining visibility and engagement. Use data and analytics to drive these high-ROI activities, ensuring decisions are strategic and data-informed.

Emphasize customer retention. It’s more cost-effective to keep (or even upgrade) a current customer than to acquire a new one. Now is the time to deepen those relationships and provide stellar service.

?? Embrace Creative Financial Strategies

Negotiate with vendors and clients alike. Consider opex vs. capex discussions, and if possible, negotiate prepayments for discounts. It’s a win-win strategy in tough times.

Don’t focus just on the cost (of products or services you provide or those you consume); rather, focus on the value. The cost is what is paid; the value is what is gained.

?? Leverage AI for Unmatched Efficiency

AI and automation are essential tools for doing more with less. Leverage AI tools such as chatbots for customer service or AI-driven analytics platforms to glean insights from customer data. From optimizing content to streamlining customer segmentation, the right AI tools can significantly increase our marketing efficiency.

?? Streamline Operations and Messaging

Consolidate your marketing tools to cut costs without cutting corners. Keep your contact lists lean and focused for maximum engagement and efficiency.

Refine your messaging to emphasize the value and savings your product or service offers (your prospects are likely in the same economic uncertainty boat with the rest of us). Run small-scale tests to identify what resonates best with your audience, then scale up the successes.

?? Leading the Charge

As we navigate these turbulent economic waters, let's view this not as a time for marketing to step back but to lead. Now more than ever, our companies need strategic marketing to thrive.

I encourage my fellow marketers to embrace this difficulty. As Winston Churchill (I would tag him, but alas...) taught us, “A pessimist sees the difficulty in every opportunity; an optimist sees the opportunity in every difficulty.” Let's be the optimists Churchill spoke of in our marketing efforts, seeing and seizing the opportunity in every difficulty. Let's innovate, optimize, and push forward with strategies that prove marketing's enduring value.

As we stand at these crossroads of difficulty and opportunity, your insights, experiences, and stories of resilience in marketing can inspire and guide us all. I encourage you to share your thoughts, ideas, and strategies in the comments below. Tag colleagues, friends, or anyone navigating these turbulent waters who might benefit from or contribute to this collective pool of wisdom. Let's foster a community of support, innovation, and growth together. Your voice matters—let's hear it loud and clear. ????

Disclaimer: Yes, we use AI for images, brainstorming, and grammar checking, but the opinions and the final post are 100% ours.