Recession + Constriction = Business Death Spiral
July 21st, 2008 by adminThe recession is among us, that cannot be denied. Although it is self-serving on my behalf, there is no better way to gain tremendous market share in your vertical and keeping your business growing than to spend more money during a recessions versus less. Quick points:
1. Unless you are selling stock in mortgage companies, chances are there are still plenty of customers who need your product or service.
2. Unless all of your competition reads and agrees with this posting, chances are they are going to be pulling back budget to bunker down through these times, is there a better way to get your brand out there? Wouldn’t it be great to become the leader in your space? There would be no cheaper time than in a recession.
3. Unless you are a huge company with stockpiles of money in the bank, pulling back marketing dollars when the total amount of customers are shrinking could put your business in an inevitable death spiral and will take you far more cash to get out of it than just marketing.
I would love to hear comments that combat or support my theory….am I just thinking of myself here?
July 22nd, 2008 at 2:32 pm
You make a great point. I guess strike while the iron is hot is not necessarily always a good motto. In this case it’s strike while the iron (economy) is cool. Establishing yourself while other companies are pulling back marketing dollars is exactly the opportune time to do so. There is alot less competition and you can probably get discounted rates on advertising.
October 29th, 2008 at 12:19 am
This blog Is very informative , I am really pleased to post my comment on this blog . It helped me with ocean of knowledge so I really believe you will do much better in the future . Good job web master .