Marketing In Volatile Markets

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According to a study by McGraw Hill Research, companies that advertised aggressively in a recessionary time period saw an increase in sales of over 256%, compared with those that didn’t advertise over a three year period.

Why is this? It’s simple. There are two kinds of companies that operate in a tough market:

1. Those who hide
2. Those who thrive

As humans our natural tendency is to keep our heads down and our mouth shut in times of trouble. We hope that by not drawing attention to ourselves and our company that we’ll stay off the radar and avoid negative repercussions in share price.

In times of economic uncertainty, whether we like it or not, investors watch, analyze, calculate, and draw conclusions. If you cower behind a wall of silence, how will that affect your investor’s confidence in your company? There are very real consequences when communication is not consistent.

Let’s examine some advantages of marketing in tough times. While you may not see a benefit to increased exposure in a volatile economy, think of your audience and how they are behaving. Are they at home passively waiting for your latest news release to hit their in box, oblivious to the mood of the market? Not likely. Investors, just like you, are glued to BNN, Bloomberg, Fox Business, to the financial portals, and analyst’s blogs. They are actively watching the developments in the markets and scrutinizing every peak and dip in their portfolios.

The audience out there is bigger, more engaged, and hungry for news. Some are looking for a great buy and others are looking for reassurance in the stock they are holding. Pubco’s that take advantage of the marketing opportunities are the ones that emerge from a recession bigger and stronger than before.

So the question is, will your company hide or will it thrive?

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