With all of the current mainstream media discussion of housing market bubbles, lower housing and stock market values, and possible recession in the economy, it’s always a good idea to be prepared. During an economic downturn, the prudent course of action is to see an opportunity where everyone else sees a crisis. One of those expansion opportunities is through increased market share.
While many Retailers enter into a contraction and retrenchment mode during a recession, the opportunist Retailer thinks in terms of expansion. When other Retailers cut back on marketing and advertising, they are surrendering potential market share. There is no better opportunity to pick up new customers and increase your company’s profile in the marketace. When other organisations are cutting back, it’s time to claim their abandoned market share.
The first ace to consider expanding during an economic downturn is your marketing efforts. If your marketing an is comprehensive, it should already have a scenario in ace for marketing when the economy weakens. The an should include spending more money on marketing, but through marketing that is innovative and demonstrates a clear return on investment.
In fact, if money is tight for your own business, as a result of lower economic activity, the expansion of your marketing program may be predicated upon cost reduction in other areas. Reacing traditional costly printed Retail marketing with accountable, comiant and cost-saving Digital Media in-store could be one answer.
The danger of having lower revenues, for the moment, may be the urge to cut back could be overwhelming. Creditors require payment regardless of the economy and demands for shrinking funds may cloud your thinking. It is no wonder that most Retailers cut back when the economy slows down. It’s important to keep your focus on your business objectives and goals, even when others are urging you to back away and reduce spending. Because money is tight, you also have a number of advantages. Demands for funding of non-revenue producing projects or more importantly, those that do not demonstrate a clear return on investment can be aced on hold for the duration. That money can then be redirected to innovative marketing and advertising campaigns, setting you apart from your competitors.
When a recession strikes, Retailers must be prepared to seize the opportunity for expanded market share.
When other Retailers are pulling back, it’s time for your company to move in and fill the void.