Marketing - Should I do marketing In this financial crisis?

The natural tendency right now is to cut back on expenses to keep either profitable or afloat and I have been asked my many people recently what I thought as an expert marketing guy, should they cut back on marketing.

My answer is absolutely - No - and I follow up with the concept that you should shift your marketing to more low cost solutions that help you generate more revenue from marketing then you spend. Let's take a look at both answers:

1) One basic principle about a recession or depression is it is caused by the slow down of "Money Changing Hands". When we have a recession, people spend less. You see it in the latest reports about Macy's and JC Penny that the average consumer has cut spending by 12% (that is what their sales are down by). So what should Macy's do? Should they stop marketing, lay off people and perpetuate the problem? If they lay of people, those ex employees will certainly be spending less because their income is less and that supports the recession. T

2) So the answer I would give them (and to any business) is cut back on the newspaper advertising and divert the money to post cards back to their existing customers offering personal discounts directed to them or a "Good Deal". Call it Bring a Buddy discount where you both get an extra discount. It could be just marketing the same discounts you offer but by making it special to the end user. Internet marketing is also a much lower cost solution.

One other critical point is we know the the amount spent on advertising is slowing down and that is important for those that continue to spend on marketing because the competition is less. You most likely can get a better deal on your media buy also. You might also ask your media contact for their deal on filling spots that are not filled. A little know fact is if you give them your commercial, you can buy spots that are usually not used and they fill them in with your commercial when they don't sell that spot. You see, time is what they sell, and if time passes and they do not fill that spot, they lost it so if you are willing to get more exposure but let them dictate the time, your cost goes down dramatically.

Let me know if you have questions about your marketing at pr@ss2br.com or just give me a call at 770-352-0662.

George