Reason 1. Do you sell online or plan to do it
Companies that did not close and did not quarantine already felt a drop in demand. The hospitality industry and tourism suffer the most – due to the closure of borders and the introduction of a self-isolation regime in many regions of America, consumers remain at home. What will happen next is easy to trace by the situation in Europe.
While offline business is trying to live in new realities, representatives of online commerce are increasing momentum. So, in dysfunctional Italy, the e-commerce sector showed a growth of 101.5% compared to last year. China has grown online car sales. The American e-commerce market is no exception.
Food services, e-learning, computer games, and online cinemas are on the rise. If your business works in one of these areas or you know how to rebuild sales in an online format, you definitely should not cut the budget for online promotion.
Reason 2. You bring a new product to the market
The second reason follows from the first. Under the influence of external circumstances, brands are looking for new niches, sometimes not related to the main activity, but allowing to quickly reorient production or logistics to the needs of customers. The online store Finn Flare switched to the production of protective masks, Lamoda engaged in the delivery of food.
Other companies have shifted emphasis to new product qualities: for example, they make french fries that do not turn into mashed potatoes for a long delivery (I give an idea, it’s painful). Still, others drew attention to segments of the target audience that were ignored a month ago, for example, by older people. There is an unconditional plus in this: my grandmother, who was previously afraid to approach modern gadgets, has already mastered the design of online delivery of products from Utkonos.
What unites such companies? The need to transform in order to survive. But one desire is not enough. Any idea needs powerful art support in the form of advertising and marketing communications. No one will know about your new chip until you tell.
Reason 3. You Planned to Order Offline Advertising But Did Not Have Time
Offline advertising is in a temporary crisis. If you have not bought banners on the Moscow Ring Road for several months in advance, I advise you to review your advertising budget and reorient it in accordance with current realities.
The “outside”, the radio and the press are already feeling a drop in the activity of advertisers, the same is waiting for television in certain areas. According to experts, the advertisers’ budgets are distributed in the direction of online advertising Best SMM Company in India. This is due to the increase in time spent by users on the Internet, and the change in business models of companies towards a greater presence on the Internet.
Usually, in April we observe a decrease in the amount of screen time: people get out of the “concrete hives” in parks and barbecue. This spring will be unprecedented in Internet activity: according to providers, Internet traffic has already grown by 60% and there will only be more. It is necessary to take advantage of this.
Reason 4. Your audience is in isolation
Because of quarantine, most people in America are at home on self-isolation and at the same time, they are bored on the Internet. Instead of walking, people watch new TV shows and films, self-development geeks choose online courses. There was a lot of content and will become even more. But this should not be scary.
Each brand has its own “nuclear” audience – customers, subscribers to social networks, readers of a blog, or other corporate media. If you cannot sell a product or service directly, keep their attention for as long as possible. For example, a stylist who can’t help physically is able to conduct a make-up master class online, and a cafe to teach users how to cook branded burgers at home.
It is impossible to get around the topic of the epidemic and its attendant difficulties. If your business is B2B, tell your customers how to work remotely, in which topics demand is better, and so on. More useful content – more likely to keep a loyal audience and get more orders. So, since the beginning of the pandemic, we at Ingate have been helping our customers switch to the online format, for example, provide online communication with the user, conduct webinars, and live broadcasts.
Reason 5. The crisis will be long, but not eternal
Specialists at the American Institute of Advertising (ASI) compiled a selection of studies over 100 years to confirm: those companies that maintained or increased advertising budgets increased sales and market share during and after the recession. This is confirmed in many industries: agriculture, fast food and restaurant business, technology.
We worked in the market in 2008 and 2014 and saw what the savings in advertising led to. For example, in 2014–2015, 60% of large advertisers lowered their marketing budgets, thereby enabling smaller companies to actively enter the fight for customers.
It’s not easy to realize that the time is coming for a breakthrough: if you intended to create a brand image, to capture market share from competitors, now is the time to do it. When the crisis is over (and we understand that no upheaval lasts forever), which restaurant will your neighbors choose, or which tour operator will leave their girlfriends at home for a vacation? The answer is obvious: they will go to those who have not abandoned their consumer for several months.
Read Also: Digital Marketing Tips For 2020
What to do with digital channels in times of crisis
Do not minimize your digital activities. In a crisis, the temptation is to completely disable ads, but most competitors will. If you want to keep the business, save your customers.
Choose tools for your basic needs: contextual advertising – to attract a “hot” audience, video advertising – to increase reach. Do not forget about social networks.
Do not build a long-term strategy, work short sprints. Be flexible to test a suitable hypothesis in a short time or abandon an ineffective channel.
Connect analytics systems to quickly evaluate the return on advertising. What is considered the optimal value for advertising, the DDR indicator (the share of advertising costs, the ratio of the cost of an advertising campaign to the total profit) will tell you. DDR should be no more than 10%.
Turn to professionals. Now there is no time for buildup and “oh, let’s throw another 10 thousand into the office and wait.” Work with those contractors who know how to deal with the crisis and get the most out of marketing.