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Recession…
… we’ve been hearing a lot about this.
All around us, there is talk about a potential upcoming recession, with everyone saying different things:
- Some say the following year will be doom and gloom
- while others are saying Australian businesses have nothing to worry about
- Our colleagues are talking about this
- the media is discussing theories
- countless economists are trying to shed light on the matter
So, as other businesses in your network are telling you that they are slowly feeling the effects of the recession, ask yourself:
What is my business doing about the possible recession?
If a recession hits, it can have a significant impact on businesses and companies alike.
Unfortunately, with all these different recession opinions circulating, the truth is that we can’t be certain about anything.
Then, is the answer to do nothing? NO!
As businesses and companies, we don’t always know what we’re in for and navigating market uncertainties is always a constant challenge. However, while we can’t predict the future, we have to make sure that – whatever the future holds – we have taken enough action and put measures in place to protect our organisations.
So, how do we recession-proof businesses?
While, just like you, we don’t know the future, we know how to prepare for a recession is exactly how we did it through COVID: through proactive marketing.
Why? Because if the market shrinks, you want to be the first brand that people see.
In this article, we’ll be sharing 7 recession-resisting marketing strategies that your business can use as we all navigate through the looming threat of recession.
What is a recession and how may it affect your business?
As the Reserve Bank of Australia (RBA) explains, while there is no single definition for recession, it is often characterised by a sustained period of weak or negative growth in real Gross Domestic Product (GDP). It is often accompanied by indicators such as a rise in unemployment rates, the inability of households and businesses to pay back loans and a decline in the spending and investment activity of both households and businesses.
Often, the media uses the definition of a “technical recession” (despite its shortcomings) when discussing concepts about recession: this entails two consecutive quarters of negative growth in real GDP. By this definition, the last recorded recession in Australia happened in the early 90s, which resulted from efforts to address excess domestic demand, reduce inflation and account for speculative behaviour in commercial property markets.
How will we know if a recession is happening?
According to the National Bureau of Economic Research (NBER), with a recession, we may notice a significant decline in the demand for goods and services. This means that households, businesses and even governments will be more conservative with spending and corporations may need to resort to budget cuts to break even.
What does this exactly mean for your business?
With a potential recession, both business-to-business (B2B) and business-to-consumer (B2C) businesses are likely to be affected.
As people tend to act more conservative with spending during even the talk of recession, your ‘pool of target customers’ will reduce.
So, whether you’re running a small business or managing a large company, the threat of recession will affect customer behaviour, and this can reduce the demand for your products and services which then may impact your results.
Do you need to recession-proof your business?
Of course!
No market fully shuts down, but a recession can make business very tight.
So, while your target market may shrink during a recession, you still have to make sure that your business is being found by the right people. With fewer customers who are willing to spend on your products and services, they will often choose the ones that are top of mind.
To be top of mind, you must be making marketing a priority.
The best thing we can do during a recession is to be proactive
There’s no downside to being proactive with your business marketing. Say you put in all these recession-proofing measures (below) and the market remains the same, the worst-case scenario is that you’re three steps ahead!
It will keep you ahead of the competition – there’s nothing wrong with that!
How can you protect your business from a recession?
As people become warier of their spending behaviour, their natural reaction is to be more cautious with purchases and therefore do a lot of research before making any decisions.
When this happens, they will look for more information first.
As such, you must make sure that you are creating a great impression and proving to your (now smaller pool of) target customers that your product or service is worth choosing.
To do this, your brand needs to be the first thing people think of whenever they need something from your industry.
This is where proactive marketing can help recession-proof your business
Being proactive with business marketing will help you be found, seen and chosen despite the diminishing demand. Even with less demand, fewer prospects, and fewer leads, you still need to be MORE. So, those who are still looking can easily find you and be convinced to trust you despite their limited spending capacity.
To make sure your business remains top of mind if the recession happens, we’ll share the steps that we’re taking ourselves, so we can thrive together, no matter what the market looks like over the next year or two.
7 marketing strategies to recession-proof your business
At Melotti Media, we realise how a looming threat of recession can greatly affect our business.
As such, we take certain precautionary measures to protect us from the changing market – and truth be told, it helps us stay ahead even when the market looks good, too!
Here are the 7 proactive marketing tactics we’re using at Melotti Media. And we’re giving you permission – actually, we’re strongly encouraging you – to do all these to help protect your business from recession, too.
1. Identify where your marketing gaps are
As the number of potential customers diminishes, it always helps to look at your customer funnel. This helps you assess:
- how complete your customer journey is
- the type of customers that you have
- the type of interactions that you need to have with them to convince them to convert.
Where do you feel that your marketing is missing? Top, middle or bottom of the funnel?
At the top of the funnel, you have brand awareness and relevancy. Do you feel like enough people know about your brand? Do they know the benefits that you offer? To boost your presence and increase awareness and relevancy, you can create blogs and articles that you can share with your target audience.
After this, you need to keep people engaged and entertained. Are you communicating with them effectively? Are you connecting with them?
Finally, at the bottom of the funnel are those who need nudging towards a conversion. Are you convincing these people enough? Are you providing value to prove your product is relevant (and is the right choice for them)?
If you feel like you’re struggling with any of these stages and you’re looking for a little bit of help to connect with your target audience, our copywriting and content marketing services may be just what you need.
2. Review your content marketing planning and marketing strategy
Now, let’s talk about strategy.
Once you’ve identified your customers and their specific needs and pain points, you’re going to need a clear plan to communicate with them and make sure that, even with the threat of a recession, they will still choose you.
Content marketing is not something that we just do on a whim. At Melotti Media, we take months to plan and map out our content and then allocate a budget for this. Creating a clear plan allows us to be present and relevant for our customers – so whenever they think of copywriting, we are one of the first businesses they consider.
A pro tip: having a comprehensive marketing plan is always a smart way to manage any market fluctuations.
3. Mix up your marketing content (and be everywhere!)
As you plan, make sure you mix up your content marketing to accommodate all types of audiences across all kinds of channels.
Remember, some people prefer to read, watch or listen – so, make sure you have omnichannel marketing content available for all of them!
At Melotti Media, we tap into the trifecta of content marketing by publishing blogs, sharing videos and recording podcasts that we regularly share across all platforms. By sharing at least one every week, we can maintain a brand presence and remain relevant to both new and existing customers, whenever they want and whenever they may be.
Other than these, you can also send out newsletters, post regularly on social media and come up with other ways to create marketing content that will keep you on their radar, no matter how shaky the market gets.
For more ideas, read: 6 Types of Content Marketing For Your Business And When It’s Best To Use Them.
4. Focus on your Google My Business account.
The first thing most people do when they need a product or a service is to look them up online – and usually, they use Google.
So, help them find you faster!
By setting up a Google Business Profile, you can customise the first thing that your leads will see when they look you up online. This can also be a way to showcase your online reviews, easily direct your customers to where you are and encourage them to learn more about you.
Don’t forget your Google My Business account to protect your business against the recession.
5. Optimise your business website to shine online
After Google, most potential customers will most likely be directed to your website.
Are you proud of what your website is saying to the people who matter?
If not, you’re leaving yourself vulnerable to recession challenges. As your target customers will be more conservative in the event of a recession, you have to work harder to maintain (or even create) demand.
This means being intentional and strategic with putting your business out there online. Since your website is ultimately a part of your sales funnel, you need to make sure that it is fulfilling its purpose and leading customers towards more conversions.
Want to assess your existing website? Check out: 5 Signs Your Business’ Website Might Need Rewriting.
6. Create Objection Handling content for unsure customers
When it comes to making the sale, ideal customers first have objections, like price or confusion.
So, imagine what this will be like during a recession!
What we’ve done is create marketing collateral to manage these objections and reassure our leads directly. This way, we can manage objections as they arrive, maximising the purpose of our website and attracting more leads in the process.
What common objections do your leads have that you can address?
7. Apply for industry awards
Here’s our final tip: look up relevant business awards where you qualify and keep submitting award entries.
Awards provide reassurance to potential customers.
You don’t even have to aim to win every single one (although that is the ultimate goal, of course). Just becoming a finalist is quite an achievement. Every finalist badge already makes you a more credible business in the eyes of your customers.
In a volatile recession market, being trustworthy is everything. So, now more than ever, you need award-winning submissions that will position your business as a reliable brand.
Are you ready to recession-proof your business?
The best time to act and shield your business from recession is now.
With all the uncertainty of upcoming recession news surrounding us every day, the best thing businesses can do is to be more proactive with their marketing and put in the effort to make sure that they can keep creating demand for their products and services, no matter what the market ends up doing.
What will you be doing to counteract the recession?
This is a scary time for businesses, but thankfully, you don’t have to do all these alone.
How can Melotti Media help recession-proof your business?
At Melotti Media, we understand that you want to get cut through in a competitive market and achieve business success – and a powerful way to do this is by investing in content marketing and brand messaging that will drive results.
However, you may find that you’re time-poor and spread thin or you still have a lot of unanswered questions.
You don’t need to worry!
At Melotti Media, we can assist with all your content marketing and copywriting needs while you focus on what matters most to you – growing your business.
Let’s start earning the results your business deserves!
To speak to your trusted message marketers and copywriters, email us at enquire@melottimedia.com.au or phone 1800 663 342.
We can sharpen your words to achieve your goals today!
The Melotti Media Team
Melotti Media | Copywriting & Message Marketing Bureau
www.melottimedia.com.au
