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Marketing Strategy During An Economic Crisis By Covid-19

Marketing Strategy During An Economic Crisis By Covid-19

The economic crisis created by Covid-19 was much larger than the 2008 crises from the US due to the real estate bubble. Or the 1997 financial crisis originated in Thailand and spread to Asia, then to the whole world. Because the crisis of 2020 affects the entire global supply chain. In the short-term demand is clearly reduced.

From a marketing perspective, with the research and information gathered, I hope to give businesses a better perspective to make appropriate decisions in the short and long term with marketing activities. From that has an impact on other parts of the business.

Before getting to the point, let’s take a look at some of the marketing related data from marketingcharts. Survey data from more than 200 marketers had the following results: 28% said they would switch budgets through digital marketing, 14% would use the budget for content creation and 46% would not. Use the budget to continue investing in marketing.

marketing-Strategy-during-an-economic-crisis-by-covid-19

March is the time to best show the impact of the epidemic on companies with domestic markets. In this context, there are 4 groups of common solutions that any business will immediately implement, namely: Pause/stop – Promote – Reduce – Create new. Corresponding to Marketing activities, below I will go into detail into each solution group:

I – Pause/stop some Marketing activities

With the current situation, some businesses have been very fast in pausing advertising campaigns, in the long term can cancel. Among them is Cocacola, which issued an announcement in early March about stopping advertising to transfer the budget for anti-epidemic activities. This is also the way brands switch from advertising activities to brand PR activities.

Offline activities such as organizing an event, opening, selling a project, customer conferences are activities that must cancel immediately. And transferred from the budget to other activities, or must be organized events/activities online instead. The Investment marketing activities pause to consider the situation in the coming months.

Depending on the situation, industry-specific characteristics and assessing conversion efficiency. Many businesses stopped advertising campaigns right in March.

marketing-Strategy-during-an-economic-crisis-by-covid-19

II – Strengthen marketing activities to create input in the short term

So now business owners need to think about other marketing strategies during this economic crisis by Covid 19 with some suggested ideas below:

1. Determine which advertising channels still effective.

If it is determined that the advertising channel can still effective, although it is laborious and expensive. Businesses can consider deploying to bring input. Accept high advertising costs and profit ratio equal to not to maintain the entire operation of the company.

Additional note is that when businesses accept no profit to maintain operations, maintain jobs for employees. It is necessary to communicate this to all personnel so that everyone understands, and sympathize with the enterprise to overcome difficulties..

2. Determine which activities are labor intensive but still effective.

Some businesses now have a strategy to retain people for the post-epidemic phase, so human resources are abundant.

For example:

You have an entire team doing events and in charge of offline advertising activities. After stopping those offline activities, how do you use this human resource?

At this time, businesses should make the most of resources and have appropriate policies to participate fiercely in activities such as supporting online marketing teams, supporting sales, participating. participate in simple online activities… This is also an opportunity to improve the skills of personnel, avoid falling into a passive and losing momentum after the epidemic phase.

3. Determine which advertising channel is having the highest conversion rate, though not scalable.

For businesses that have improved their thinking, this is an advantage in the current context. They always know which activity, which marketing channel brings the highest conversion rate. For businesses that have website-based marketing, fanpage, and regularly use Google, Facebook is the main advertising tool. They should urgently deploy the following:

3.1. Optimize all content, messages on the website, fanpage and advertising templates.

Optimal content at this stage should be aimed at empathy and provide valuable information to users. Limiting the reliance on Covid-19 to make conditional promotions.

At the same time, businesses not only need to change the marketing message. They also need to change the message for the sales team. In addition to selling, the sales consultant also needs to be considerate and inquisitive to his customers.

>>>Relevant article: Optimize Article Content – Improve Your Blog & Gain Better Rankings<<<

3.2. Optimize the entire user experience on the website or on other media channels. Because it is time to save every single customer.

Logical content, speed load page, images, call to action, colors, utilities, customer support… maybe in the growth phase you do not have time to look back to optimize every bit. This is also opportunity to focus resources to optimize the previous activities, do better than what has been done.

4. Strengthening customer care activities during this period is extremely effective.

During this crisis period you risk losing 30% to 50% of your existing customers. Promptly launching customer care activities with messages of interest and sympathy will help you win more hearts of customers.

Not only can it limit the rate of customers leaving, you also have the opportunity to grow sales if you and your customer can talk and find a mutually beneficial direction.

5. Content creation and development is a never-ending activity in Marketing at every stage.

Creating valuable and relevant content during this period not only has an impact on improving conversion rates, increasing sales, but also effective branding. However, you need to be especially careful not to abuse the topical factors to catch the trend too much, especially in the B2B fields.

marketing-Strategy-during-an-economic-crisis-by-covid-19

III – Minimizing activities that do not generate input in the short term

For long-term marketing campaigns, businesses should consider reducing or suspending, of course, still depends on the cash flow and post-translation strategy of the business.

Some long-term marketing campaigns such as SEO need to be carefully considered. If SEO is in the final stage and the results are gradually bringing the business. This is the stage to increase focus on resources to hit. The achieved results can improve revenue and create a basis for growth for the post-Covid-19 period.

With the advertising campaigns of Google, Facebook, Twitter, Banner ads now has also decreased significantly. As mentioned above, when the topical factors are too prominent and the fear of making the ads show no longer attractive. Facebook, Google predict that it could cost billions of dollars while the user index will increase significantly.

In contrast to Google and Facebook, Amazon’s advertising business is less affected because the platform is primarily focused on product search advertising. Therefore, during this period, I also advises customers to maintain a portion of the budget for search advertising. Because simply that customers have demand, they will find it.

Brand activities such as PR, Banner Ads, building marketing publications, brands… should be minimized.

IV – Creating new elements to overcome difficulties

After stopping unrelated activities, intensifying activities that also generate inputs, and reducing activities with low impact factors. Now is the time for businesses to find opportunities in peril.

Digital transformation for marketing, sales, administration, human resources, finance, accounting… is the need to adapt and boldly do it right away. For traditional fields, employees are familiar with the traditional way of working and barriers will appear. To convert numbers successfully and speedily, company leaders and department heads must be the most determined people, and choose the right people to entrust the task of innovation.

Market research, seeking new opportunities, all activities are directed to a single goal of solving the current problem with a new way. By concentrating all resources at the right point, you can solve the current problem without having to disperse resources to find something new, it will come by itself.

A series of perceptions and behaviors will change after the crisis, at which point the marketers, manufacturers, and service providers will have to change: from products, to marketing and distribution.

Some businesses choose to restructure during the crisis, others are struggling to survive, some halt hibernation, the rest are finding ways to switch as quickly as possible. The market is always active and opportunities are available for those who do not give up.

Most importantly, businesses and all members of the organization must be very calm and have the data for the worst scenario. Once you’ve accepted the worst, the rest is always bright.

Thank you for your time on my website. Wishing you businesses, customers, partners together to overcome the crisis of Covid-19!

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