In this article, we will go over each industry’s marketing strategy during a recession. And then we will go over the essential marketing strategies that every business, regardless of their industry, should implement.
Know Your Industry
The first thing you want to do is look at your industry? Is it recession-proof? Why do you need to know your industry before looking at different marketing strategies? Some industries tend to be more resilient during recessions, also known as recession-proof.
Typically, industries such as health, financial, accounting, insurance, education, IT, legal, and funeral services are recession-proof. Knowing if your business is recession-proof will help you, your strategist, and your marketing strategy.
Marketing During A Recession For Commodity Companies
If your business is a commodity, then this is the time to increase your reach and decrease your spending. You want to be clear in your advertisement by focusing on why people should purchase your products. For example, one of our clients sells water trampolines. We focus our marketing on competing with any marketed price and their exceptional service quality. Whereas before, our marketing focused on creating memories at the cottage that would last a lifetime to pull attention to the emotional aspect.
Another tactic is offering smaller sizes of your products/services that cost less. And then promote these products for low cost but high value.
Marketing During A Recession For Essential Companies
Typically these companies are food, gas, plumbing, and electrical. You also want to decrease the number of product launches and releases to continue to gain market share.
This is the time to increase your spending and marketing efforts for paid marketing. Your average CPC will most likely be lower. Thus you can increase your customers and reach a lower cost per conversion rate.
Another tactic is offering smaller sizes of your products/services that cost less. And then promote these products for low cost but high value. But on the opposite side, you can promote
Essential Marketing Strategies For A Recession Regardless Of The Industry You Are In
Focus On Building Brand Loyalty
Marketing during a recession, loyal customers are essential. They, on average, cost less to market and have longer lifetime value.
- Send more heartfelt emails and social media posts that aren’t sales-heavy.
- Show positive messages that show stability.
- Post more behind-the-scenes for people to connect towards.
Create A Tiers Pricing Strategy (Essential for marketing during a recession)
To prevent people from fully stopping purchasing from your company, implement a tiered pricing strategy. It gives people options to optimize their spending. If you have the time and budget space, offer a free service/product that people can use during a recession. Then once the recession is over, you can up-sell those customers by showing them the larger tiers with more benefits.
Having multiple tiers will be one of the first things you should offer in a time of recession. While marketing during a recession can be complicated since people are spending less, it’s important to remember that when the economy bounces back, people will remember the businesses that lend a helping hand and made changes. Thus increasing your customer loyalty.
Change Your Brand Voice
During a recession, people’s emotions are heightened due to fear and the unknown. You must recognize these emotions and switch your tone and brand voice to understand the current time. This would be a good time to review your automated emails and social media posts.
What to do next?
Contact our team to learn more about how to start marketing during a recession for your business.