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How to face the economic crisis with digital marketing?
Many businesses, faced with the economic crisis, are experiencing complications and are not sure what will happen to them in the medium and long term, this causes them, especially SMEs, to desist in their digital marketing efforts.
However, it is necessary to consider that in times of crisis and economic recession, a digital marketing strategy is the safe bet for any business, as it contributes to the monitoring of the actions taken and the verification of the return on initial investment.
Economic crisis, What is it?
It is an economic stage with negative effects, such as depression, economic contraction or recession, resulting in shortage of cash flow.
In contemporary societies, economic crises often occur, especially in third world societies, which have less solid economic and industrial bases or depend to some extent on the market price of some export commodity, resulting in a change in their economy.
However, in today’s interconnected world, the global economy generally experiences stumbles or fluctuations in the face of unforeseen events that destabilize the financial system as a whole.
Consequences of the economic crisis on companies
There are several consequences of the economic crisis that affect people and companies. In this sense, companies need to make adjustments to withstand the economic variables of the market.
In times of economic uncertainty, companies tend to be more cautious about investments and expansion projects. They may delay or cancel growth plans, which has an impact on employment and the overall economy. Lack of investment can lead to stagnation in innovation and the development of new business opportunities.
They must also modify their costs, lower the prices of their products if demand falls, and increase the efficiency of the supply chain to survive in these times.
An economic crisis is a chain that tends to impact everyone, without exception. Customers get less income and therefore, there is a lower demand for products, leading to a decrease in sales in a company.
Some companies may seek to expand or diversify to mitigate the negative effects. This may result in increased competition in the marketplace as companies struggle to capture consumer attention and maintain market share. Businesses must adapt quickly and find creative ways to
During an economic downturn, consumers tend to reduce their spending and prioritize basic needs. This can lead to a decrease in demand for non-essential products and services, which directly affects businesses. Reduced demand can lead to a decrease in company sales and revenues.
As soon as inflation arrives, operating expenses progressively increase, becoming a difficult situation that requires drastic actions to be able to stay in the market.
Companies may face financial difficulties due to declining revenues and rising costs. Companies may have difficulty paying employee salaries, meeting their debt obligations, financing their day-to-day operations and maintaining profitability. This can lead to liquidity problems, excessive debt and even bankruptcy.
Why is marketing important in the solution of a crisis?
Regardless of the causes, economic crises cause the foundations of many companies to lose balance and put their survival at risk.
Nervousness, discouragement or fear, make businessmen make wrong decisions, that is why in this section we will explain how to face the economic crisis and why marketing is significant to solving these cases.
In times of economic crisis, many companies are forced to reduce their budget, especially the one they have for their marketing actions.
However, it is at that moment when it is convenient for the business to rely on the implementation of an adequate digital marketing strategy as a formula to increase its notoriety in a given field.
Conceiving marketing as a dynamic and functional entity that adapts at all times to different scenarios will be considered the best formula to choose when it comes to maximizing the company’s possibilities.
In some highly competitive scenarios, having an excellent marketing strategy is of vital importance to generate added value to a company over the rest of the competitors.
Types of marketing strategy
Inbound marketing
This strategy seeks to direct customers to the product or brand instead of the brand having to go looking for them. In this sense, the brand offers resources to users to solve their need with its products or services.
In turn, these resources work as an incentive and in this way, users will become part of the database and start a relationship with the brand that will end in conversion.
Content marketing
Content marketing is a strategy that consists of creating and sharing relevant, valuable and engaging content to attract and retain a specific audience. Content marketing’s main goal is to give users helpful, high-quality information. It is not about directly advertising a product or service.
Content can be presented in different formats, such as articles, blogs, videos, infographics, podcasts, among others. The key is to generate content that is interesting, educational or entertaining for the target audience. By offering valuable content, companies can establish themselves as experts in their industry and earn the trust and loyalty of consumers.
Email marketing
Email marketing is a strategy that consists of sending emails to a list of contacts with the objective of promoting products, services or events, as well as maintaining regular communication with customers and prospects. It is an effective way to reach people in a direct and personalized way, since the messages are sent to the recipients’ inbox.
Email marketing is also highly measurable. Email marketing tools allow you to track important metrics such as open rate, click-through rate and conversions. This provides valuable information about the effectiveness of campaigns and allows adjustments to be made to improve results.
Social media marketing
Social networks as a marketing strategy that consists of using social media platforms, such as Facebook, Instagram, Twitter and LinkedIn, to promote products, services or brands. It is based on the creation and sharing of engaging and relevant content to attract and connect with the audience.
Social media marketing offers several advantages. First, it allows reaching a large number of people, as social networks have millions of active users worldwide. This provides ample opportunity to reach a wider audience and potentially convert them into customers.
Social Ads
This showcase is leveraged by ads on social networks to obtain more conversions and targeted traffic. The biggest advantage it provides is segmentation, since it provides the information captured in social networks to target ads to the right audience.
Retargeting
This strategy allows companies to get back in touch with users with whom they have already interacted, with the objective of continuing to nurture the customer-brand relationship.
SEO
With this strategy, a company’s website will be able to better focus its organic positioning in search engines. Generally, the objectives are defined in the medium and long term, and the result obtained is a source of visibility and permanent traffic at a very economical price.
SEM
This type of strategy complements SEO, and is based on placing paid ads on search engines, in this way, companies get faster results, and it guides them in campaigns to conversion.
In case a company needs to face any economic crisis that may arise in any country, through the application of marketing strategies, it is possible to come out afloat.
In Pym Digital, we specialize in implementing highly effective processes that will help your company out of this type of economic crisis. Schedule a free appointment with us and start positioning your brand to achieve your goals.
