As the latest Bellwether report states: “About 22% of the 300 marketers polled reported a decline in total spend in the three months to 30 June [2011]. A fifth (20%) reported an increase.” (full article).
Matt Krautstrunk from Resource Nation recommends keeping your marketing budget intact.
He gives 5 reasons why you should keep your online marketing budget intact:
1. Play Where Others Aren’t Playing:
Long-term success means differentiating your business from competition to create a virtual monopoly. A down economy gives you the opportunity to play where others aren’t playing. Chances are most companies within your industry have made budget cuts to their marketing.
2. Don’t Cut The Hand That Feeds:
Many business owners don’t realize how volatile their marketing initiatives are, and sometimes all it takes is a 15% decrease in budget to drag a company to a screeching halt.
3. Long Term Risks:
There are many long-term risks to cutting a marketing budget. Whether it is consumer facing activities like social media or traditional marketing initiatives like offline advertising, your business could struggle to get back on track after a budget cut.
4. There is More Opportunity in Down Economies:
Besides for internal pressures, down economies will kill off low-end competition and give the opportunity to capture bigger market share.
5. If You Cut Your Brand, It May Never Be The Same:
Your brand is a living, breathing vessel. Since the advent of social, we are learning how brands can exhibit human like characters. Cutting off food to these human brands might tarnish its name.
Read Matt Krautstrunk’s full article.
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