The Coronavirus Is Hurting My Business

We keep hearing that we may be in for a recession. It is evident that the current coronavirus situation is affecting many area businesses.

Let me throw a few names at you:

Chevrolet

Nabisco

Coca Cola

Taco Bell

And a host of others.

What do they have in common? All of these, and many more, increased their marketing budget while their competitors cut back. They focused on opportunity, not fear. The Harvard Business Review said, “The rationale that a company can afford to cut back in advertising because everybody else is cutting back is fallacious. Rather than wait for business to return to normal, executives should cash in on the opportunity that rival companies are creating for them.”

If you are a small business, this term of uncertainty can be stressful, but when your competitors go silent, you need to go loud. Generally, as businesses cancel ad schedules, the media lowers rates and offers some great deals; I just got a call from a major media outlet in the River Region that has reduced the price on one of their most successful products. McGraw Hill Research concludes, “More importantly, gains made during the recession were permanent and expanded during the three years following the recession.” Research also showed that following the recession period, less than 30% of those companies that stopped advertising during the recession will ever regain the market share and profitability they lost during the economic slump.

In a recessionary time consumers are looking for:

  1. Offers that provide reassurance and confidence
  2. Purchases that minimize risk
  3. Familiar brands that reduce uncertainty
  4. Purchases that offer extra value

SMI Advertising is a complete marketing solution for any business. We bring our expertise to work for you as we advise on how to spend those valuable marketing dollars correctly. SMI makes sure that you are in the right place at the tight time. Our services include all the traditional media (Radio, TV, Billboards, Print), but we now key in on how to make yourself stand out in the digital world. Have you ever seen one of your competitors on a national site like FOX News? SMI can make that happen for you on many other websites and social media.

Call me at (334) 409-0022 and set up a free consultation. Remember, SMI will be working for you and will always recommend what we see as the best plan for you.

 

“When times are good, you should advertise.  

 When times are bad, you must.”

Entrepreneur Magazine

January 2009

Larry Stevens

President

SMI Advertising