This month’s HBR has an excellent article on marketing during a downturn. In (very) brief, here is the summary:
- Understand recession psychology – make sure you understand how your customers are going to react during the recession
- Manage investments – determine which of your products have the best and worst opportunities and make smart choices when it comes to funding
- Market through the recession – drive short term gains but don’t sacrifice the long term health of your products
And for after the recession:
Survivors that make it through this recession by focusing their attention on consumer needs and core brands will be strongly positioned for sunnier days ahead. However, companies must understand how people’s behavior may change following the recession so they will be able to offer products and communicate messages aligned with the needs of new consumer segments.
After most recessions have ended, consumers’ attitudes and behaviors return to “normal” within a year or two. Following more extreme downturns, though, consumers’ heightened sense of economic vulnerability can persist for a decade or longer.
Very interesting. Read the full article here.