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Community Meetup 11 – Market shifts: From paid to creative.

5 min read

Due to the threats affecting the economy, companies all over the world are cutting down budgets of ad promotion, which puts them in a difficult situation to reach both new and existing customers. So they find themselves in the need to adapt fast to the new threats affecting the market. 

In your strategy meetings, you’re probably thinking about how to mitigate the impact of cutting down your advertising budget, while still attracting new customers. The trend is to stop paid advertising and shift towards generating creative ways to create customer relationships. 

So what has changed since the crisis began? This is what we see lately:

Less Push
Companies have stopped overselling and using hard selling techniques on digital platforms. It is simply not well seen by the market to be pushing your products down their throats during times of crisis.

Customer Relationship
Companies are focusing now on building stronger relationships with their customers. The brands realize that in these times of crisis a helping, caring hand is the best way to build trust with their customers. 

Boost of Creativity
Companies are adapting and even switching to new business models, creating new products and services and making the best out of the current situation. 

We have also identified four different types of companies, depending on the way that they are responding to the crisis. 

So, how are companies acting differently?

Innovators

“This is a great opportunity, let’s adapt as first ones.”

Big Companies

“We need to keep our market share, no matter what.”

Digital Dinosaurs

“Oh shit, the internet is a real deal, we have to be there in a week!” 

Passive Mainstream

“Let’s wait until it’s over … hopefully we don’t go bankrupt in the meantime.”

How is your brand reacting?

To close we would like to leave you with the best quote that summarizes what winning companies are doing and how they are shifting their marketing strategies. This is a quote from Mark Ritson:

“Great brands build their equity during crises like this. They stand out by actually exemplifying their brand values in the face of the crisis that surrounds it. They take care of their own and eschew shorter-term profits in favor of ensuring that their people are looked after. And they invest in brand-building media because, with many of their competitors losing their mind and their share of voice, there is a rare opportunity to come out of the crisis not just alive, but ahead.”

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