how should marketers adjust their strategies and tactics for an economic downturn or recession?
TRANSCRIPT
Competitive dynamics
How should marketers adjust their strategies and tactics for an economic downturn or recession
Tough time
never lasts but
tough people do
Strategies to adopt during economic
downturn
Strategy 1
40 years of evidence suggests,
Those willing to invest during a recession have, on average improved their fortunes when compared with those that cut back
Increased marketing expenditure by 16% in 2009
Revenue increased by 8%
Net Profit increased by 4%
Strategy 2
Learn more about what customers are thinking, feeling and doing
Strategy 3
Eliminate approaches that no longer provide sufficient revenue benefits
Weed out underperforming distributors Provide Incentives to motivate effective Product Sellers
Strategy 4
Price reduction and discounts
should be avoided
Strategy 5
Ensure to sell the right products to right people at right times and places
Value driven companies are likely to benefit most
Luxury Brands can benefit from lower priced sub-brands in their portfolios
Created by Dipanshu Sehjal, IIIT Allahabad
During a Marketing internship under
Prof. Sameer Mathur, IIM Lucknow
(See www.IIMInternship.com)