Why advertise during the credit crunch?

Most businesses tend to avoid paying for advertising during a credit crunch because it is seen as costly and they sometimes assume the public don’t want to spend money anyway, especially if it’s something they don’t necessarily need.
However, research has shown that businesses advertising through a recession are shown to do better after the recession than those that don’t. This research was carried out in the 1981-1982 recession on a total of 600 companies where businesses that did advertise during the recession improved their sales by 256% after the recession.

Some things to bear in mind when advertising during the credit crunch…

- Make sure you target your audience specifically and you choose a medium that is most likely to get your business in front of your target market and bring you more customers.

- Paying for local advertising means people still remember your business name, so although, at the time, they might not have the money to buy your products, they can still know where to go when they find the money.

- Avoid expensive advert designs; just have a simple advert showing you understand the problem of the reader and telling them where they can get it fixed or changed i.e. from your business.

- Have a ‘call to action’ that tells people want you want them to do next. This can mean people have more of an incentive to come to your business.

- Also make sure you’re able to track, record and monitor where your customers are coming from i.e. ensure you find out about how they heard about your company. Once you have this information you can make sure you’re only paying for advertisement that is effective.

So the overall summary is that when advertising during a credit crunch make sure you target your audience correctly and make sure are able to identify where you get the most business from. This way you’re able to maximise your business advertising and make the most of your advertising spend.

Tagged as: Business, Credit crunch, Marketing and Advertising