Absolutely Jim! Recovery from this recession falls squarely in the hands of marketers. But, just doing 'more of the same' won't work. As you mentioned, marketers need to demonstrate value and return on investment. Finally, customer service will be the new marketing in 2009. Watch for it.
Craig
· 11 months ago
I agree 1,000 percent, Jim, and blogged about this very issue the other day:
Great advice Jim! Another piece of advice for everyone (business owner OR employee) - during a recession is the best time to invest in yourself. Learn a new skill or get a new degree/certificate in order to make yourself more valuable to your customer/employer. Great post! Thanks!
Susan/Together We Flourish
· 11 months ago
Always useful information Jim, but the advice I like best is communicating with your clients and perspective clients and looking for ways to adapt to their changing needs. I appreciate the person who tries to identify with where I am.
Kelli
· 11 months ago
The definition of "Insanity" is doing the same thing over and over and expecting a different result.
I sent my customers a newsletter today with the topic "What will you do differently in 2009?"
Jim, you consistantly remind us of what's important in business and I appreciate it!
Enrique Garcia-Salgado
· 11 months ago
Very true! I sometimes tend to thing that in difficult times, people tend to cut expenses first on entertainment/advertising/marketing. Still, as you clearly explain, there are major conceptual differences and it sure is important to talk to you client and explain the importance of this crisis/key moment. Nice!
Jon DiPietro
· 11 months ago
Well said. Reminds me of one of Warren Buffet's principals of investing, "Be scared when others are greedy and be greedy when others are scared."
the famous nemo
· 11 months ago
what recession?
Mike
· 11 months ago
This is the perfect time for businesses re-assess their marketing budgets and follow where the consumers/buyers have headed: online.
A powerful online presence should be on a lot of company's new year's resolutions!
Carri Bright
· 11 months ago
I couldn't agree more, Jim! 2009 is definitely shaping up to be a watershed year for Marketing.
The widespread adoption of Social Media is going to give those businesses who regularly converse and develop relationships with their customers a huge leg up on the competition.
I am also happy to see so many predictions for the growing importance of communication and Customer Service in the coming year.
People tend to trust other people more than sterile, uncommunicative corporate entities and "companies who care" are going to be the companies to beat.
Marketing Specialist - Jim Con
· 11 months ago
Carri,
I agree that customer service is going to become even more important; as customers realise their value and demand service excellence from providers.
Gebadia Smith
· 11 months ago
For $10 for 6 months you can get a subscription at jibjab.com which lets you take pictures of people and upload them into funny scenes... instead of spending lots of money on sending calendars or gifts to clients...make them laugh. We spend so much time selling products we never sell the people behind them...even though reality TV, even though how to shows are huge..
When you make someone smile..their guard drops and they are more open to listen to what you are selling them.. and in a recession the hardest part is getting them to listen because a lot of people are just hoping not to get fired...
Derry O Donnell
· 11 months ago
Very true Jim. As I heard somewhere before "Trying to do business without advertising, is like winking at a girl in the dark. You know you're doing it but nobody else does".
Tom Volkar / Delightful Work
· 11 months ago
Agreed. Opportunities often increase in times of economic distress. It's all how you look at it. Most often when I tell folks that I had my best fourth quarter in five years - they are shocked. Why do positive exceptions shock folks?
Steven Paul Matsumoto
· 11 months ago
It's amazing how truths are so absolute. I have blogged about this very topic several times since mid-October when the world and the media lost their bloody minds. Half of the presumed challenges businesses are facing are fear based and not fact based.
If you want to gain market share this is the ideal time and place to do it. Through a thoughtful, planned out approach to social & traditional media. Well done Jim you got another subscriber in me.
Scott Mahler-Datex Media
· 11 months ago
I own a website development business, and I believe the best marketing you can do is provide your clients with the best service, attention and results as possible. Doing this doesn't even have to add to your company's bottom line, so it's recesson proof. Creating a loyal customer base, will carry you through the tough times and raise you to the stratosphere during good time.
Gabriel Presso
· 11 months ago
I agree with your view on 2009's opportunities. Taking advantage of your edge is easier in uncertain times, when the fat and slow worry instead of changing. Will keep following you on Twitter, thank you for the good article.
Coach Roth
· 11 months ago
Thanks so much for this post - I've been preaching this over the last couple of month, unfortunately mostly to no avail :-( Quotes: "The people aren't spending much in our field of business, and we're not making so much money anymore, so why waste money on advertising?" ... "everybody else is also cutting down on advertising..." These are my replies: "Are you making money to advertise or are you advertising to make money?" ... "If you do what everybody else does you'll just get what everybody else gets!"
Ed Madison
· 11 months ago
Jim, great comments! We have to take ownership of our results and not fall victim to the circumstances. I've just recently discovered you and your blog and it is full of valuable info. After exploring further I learned a thing or two about blog etiquette too -- in terms of what is considered spam. Forgive me if my previous posted comment. I'm an "old media" learning, still learning the ropes of this new frontier.
Jared O'Toole
· 11 months ago
I could not agree more.
The economy right now has thrown people out of their comfort zone. When people get thrown out of that zone they go looking for new things. These are the opportunities that anyone with a business has to jump on.
Frank Kenny
· 11 months ago
Jim,
Great post. I was talking to a very successful chamber member recently that had been through several ups and downs. He was optimistic because he new some of his competition wouldn't be around after the recession and he would make higher than usual profits. He was watching his pennies just in case the recession lasted longer than normal but he continues to invest in his core business.
Frank
Timothy C Burns
· 11 months ago
These are excellent points. I sell Mercedes-Benz automobiles and one of my clients is a consultant. We were talking last Friday and he said that although they had a great year, the last quarter he could see a pull back on orders. This year will tell the tale but I think like you that this is the time to fine tune your efforts and increase your market share, rather than shudder the doors and protect what may or may not be yours in the future! Thank you Jim! Timothy C Burns
Eric Gates
· 11 months ago
Our company has a unique capability and a (rare!) sustainable competitive advantage. Also, we are focused on education (math and science), which tends to ddo OK in a downturn.
We will make it through this, marketing extra heavy as you suggest, and our competitors, who have more me-too solutions, may not.
There is a silver lining to every cloud.
Thanks for this post!
Matt Mernagh
· 11 months ago
market smartly not heavily. that's a mistake of the past. smart marketing allows u spend more money effectively. gotta agree catherine ford with developing news skills. especially if its slow
Kaye Dennan
· 11 months ago
Very interesting article Jim. If you are a retailer this is a fantastic time to buy new, quality stock at throw out prices and run special campaigns and still make a small profit. If you buy right you can maximise this and have regular specials to keep those customers coming in the store.
Stock could be bought from wholesalers by negotiation, from auction houses where shops have closed down or from shops themselves who have put up a 'closing down' sign. All these contacts would be good for a negotiation deal - they too want money!
Years ago I had a large local grocery store. All the people from the estate had to drive past to get out of the estate and the shop did very well. But there was a time when roadworks on a nearby main road redirected traffic past my store. I bought sacks of potatoes and with huge signs out front sold them for $4.50 each. As we were in a family area, this brought new people into the store by the droves. No way did I have to go to the gym for weight lifting exercises!! as we had them on display on the pavement in front of the shop.
This is just an example of how to attract new customers, and then of course you need strategies to keep them coming back.
Jonathan Cohen
· 11 months ago
Focus on services that cut your customers' costs or increase their revenues. That's all they're going to pay you for in a down economy.
All my marketing is based on increasing profits for my prospects and customers. That's the bottom line (so to speak).
Barby Zuniga Ward
· 11 months ago
Jim, you def have a gift for encouragement and positive thinking! Our company has had to transition and become leaner and more efficient. We write custom software applications for small to mid size companies, and we feel that the current situation is actually a great opportunity to strengthen our niche. These companies need to save money, and for a very reasonable investment we can help them. We have had to streamline and become more focused by eliminating some of the other services we used to offer, such as on site support services. Now all we do is write custom software, and of course support it. Keep up the good words!
Dave Straker
· 11 months ago
There's an article which agrees with you in December 2008 Harvard Business Review: "Protect Strategic Expenditures", by Robert S. Kaplan and David P. Norton
Other advice in the same issue includes keeping your current governance structure, using downtime to develop skills, helping employees manage stress (not giving it to them) and focusing on emerging customers.
Dave
Mark
· 11 months ago
Jim I agree with what you have said about innovative marketing. However,at some point one must be realistic, and determine if during this economy ones business will have a ROI. In my home furnishing store, I realized after, cutting overhead to a minimum and downsizing my space to 5,800 sf, that I would have to close my store after 32 years. Yes it was painful. But life goes on, and you must find other ways to be a success in life.
Kathy
· 11 months ago
Jim,
This is a great post, and it seems like everyone here agrees with you. My question is, how do you get others to by into this? I'm involved in a local art gallery where my partners only see the dollars they are spending, not the revenue they are losing. Any ideas to get them to realize the value of an investment?
Kathy
· 11 months ago
Sorry for the misspelling. "Buy" into this.
Frank Irias
· 10 months ago
Excellent post. Now's not the time to slash your marketing budget. In fact, you should increase it if you can in areas where you can measure your results and account for every precious penny spent. As for hesistant clients, show the success you've had with past direct response marketing efforts. That might help you win them over.
All Comments
11 Things To Keep In Mind During This Crappy Economy
http://www.lohad.com/?p=2071
I sent my customers a newsletter today with the topic "What will you do differently in 2009?"
Jim, you consistantly remind us of what's important in business and I appreciate it!
A powerful online presence should be on a lot of company's new year's resolutions!
The widespread adoption of Social Media is going to give those businesses who regularly converse and develop relationships with their customers a huge leg up on the competition.
I am also happy to see so many predictions for the growing importance of communication and Customer Service in the coming year.
People tend to trust other people more than sterile, uncommunicative corporate entities and "companies who care" are going to be the companies to beat.
I agree that customer service is going to become even more important; as customers realise their value and demand service excellence from providers.
When you make someone smile..their guard drops and they are more open to listen to what you are selling them.. and in a recession the hardest part is getting them to listen because a lot of people are just hoping not to get fired...
If you want to gain market share this is the ideal time and place to do it. Through a thoughtful, planned out approach to social & traditional media. Well done Jim you got another subscriber in me.
Quotes: "The people aren't spending much in our field of business, and we're not making so much money anymore, so why waste money on advertising?" ... "everybody else is also cutting down on advertising..."
These are my replies: "Are you making money to advertise or are you advertising to make money?" ... "If you do what everybody else does you'll just get what everybody else gets!"
The economy right now has thrown people out of their comfort zone. When people get thrown out of that zone they go looking for new things. These are the opportunities that anyone with a business has to jump on.
Great post. I was talking to a very successful chamber member recently that had been through several ups and downs. He was optimistic because he new some of his competition wouldn't be around after the recession and he would make higher than usual profits. He was watching his pennies just in case the recession lasted longer than normal but he continues to invest in his core business.
Frank
Thank you Jim!
Timothy C Burns
We will make it through this, marketing extra heavy as you suggest, and our competitors, who have more me-too solutions, may not.
There is a silver lining to every cloud.
Thanks for this post!
Stock could be bought from wholesalers by negotiation, from auction houses where shops have closed down or from shops themselves who have put up a 'closing down' sign. All these contacts would be good for a negotiation deal - they too want money!
Years ago I had a large local grocery store. All the people from the estate had to drive past to get out of the estate and the shop did very well. But there was a time when roadworks on a nearby main road redirected traffic past my store. I bought sacks of potatoes and with huge signs out front sold them for $4.50 each. As we were in a family area, this brought new people into the store by the droves. No way did I have to go to the gym for weight lifting exercises!! as we had them on display on the pavement in front of the shop.
This is just an example of how to attract new customers, and then of course you need strategies to keep them coming back.
All my marketing is based on increasing profits for my prospects and customers. That's the bottom line (so to speak).
Other advice in the same issue includes keeping your current governance structure, using downtime to develop skills, helping employees manage stress (not giving it to them) and focusing on emerging customers.
Dave
This is a great post, and it seems like everyone here agrees with you. My question is, how do you get others to by into this? I'm involved in a local art gallery where my partners only see the dollars they are spending, not the revenue they are losing. Any ideas to get them to realize the value of an investment?