Don’t Give Up: Keep Marketing in a Down Economy

Are you like many Americans pondering the question, “Are we going into a recession?” 

The answer you’ll receive depends on who you ask...some economists say it’s pretty certain within the next couple of years, while others say it’s less likely. A lot of people fall somewhere in between. 

When the health of the economy is in limbo, businesses begin to tighten their belts. One of the first expenses that businesses cut tends to be marketing spend.

Now more than ever, businesses need to maximize their marketing efforts. Learn the importance of staying relevant and maintaining your company’s presence by working with marketing agencies to get through rough times.

Is Marketing A Cost Center Or A Profit Generator? 

Some companies consider marketing to be a cost center meaning that it doesn’t directly add to a company’s profits. It’s just a cost the company incurs and it can be cut in rough economic times. 

Others realize that large and small business marketing helps a company generate profit. But, even those who hold this belief may be inclined to cut the marketing budget and rely on their working channel without managing it or making additional investments. 

Another way to look at it: Increase your marketing spend and capitalize on the opportunity brought about by your competitors cutting back on their marketing campaigns. 

Why Do You Need To Keep Investing In Marketing? 

What happens when you keep the status quo? You have to worry about algorithms changing, the decay of search rankings, and things that work in one quarter may not in the next. 

When you let your marketing efforts go, you’ll quickly realize that the gains you’ve made are stifled or even erode when defunded. 

Why Delegate Your Marketing Efforts? 

In good and bad economic times, it’s always prudent to trust your marketing campaign to the professionals. You’ll be able to continue with your main job duties and make a smart investment in people with marketing ideas and services that will grow your business. 

Use cost averaging to divide up the investment over time whether the market is up or down. No matter what happens with the market, you’re in a good position with your steady spending on marketing. 

Also, consider making strategic investments to ensure sustainable growth over time. This type of long-term thinking and making smart investments result in good, continuous growth! 

Marketing in a Down Economy

It’s important to remember that marketing in a down economy is a continuation of your marketing planning. You shouldn’t jump ship because of economic hard times. You’ve been involved in long-term planning and made an investment in marketing that resulted in sustainable growth. Don’t abandon it as a knee-jerk reaction.  

If you’re concerned about how marketing might affect your business’s budgeting, we can help. Contact us to discuss our marketing services. We offer services like rebranding, strategic planning, marketing research, drip campaigns, and much more. Let us show you how we can increase your visibility within your target markets and grow your business.

 

Is Artificial Intelligence (AI) Important for Marketing?

The worldwide AI (Artificial Intelligence) market saw a 54% growth in 2020. It’s no longer just the stuff of Hollywood movies. 

You may have seen that growth in the success of artificial intelligence stocks last year as AI companies enjoyed massive gains.

But how does Artificial Intelligence fit in with business? One simple use of AI is it replaces human intelligence to solve problems and improve the customer experience. 

Are you wondering: Is artificial intelligence important for marketing? If so, keep reading to learn more about the role AI plays in a successful marketing campaign.

What is Artificial Intelligence?

The term Artificial Intelligence covers the systems and machines that mimic and replace human intelligence to carry out tasks. This technology can learn and act with human-like levels of intelligence. 

Can AI technology think and act humanly and rationally? That’s the goal and it’s helping businesses save time and money. 

You’ve probably come into contact with AI if you’ve ever clicked the “chat” icon on a company’s website. 

A chatbot most likely came on to help you get answers to your questions. These bots can understand and solve problems and provide quick and efficient answers. 

How is AI Used in Marketing?

AI used in marketing is one of the most evolving topics in the digital era. Companies use Artificial Intelligence technology to collect customer data and use it to anticipate a customer’s next move. It uses customer insight to make automated decisions about how to market a business and its products. 

Why is it Important for Your Business? 

AI plays a large role in marketing as it can help you understand customers’ needs and expectations. It’s used to collect marketing data from social media accounts, emails, and the web. Let’s look at how AI marketing will benefit your business. 

Increase ROI 

AI used in marketing helps your business swiftly and efficiently gain customer insights to steer them towards the next step in interacting with your company’s website. AI marketing allows for better predictive customer analysis so that the marketing is more targeted and tailored toward the individual customer. 

When you can engage a customer without annoying them with campaigns that don’t apply to them, you’ll get a greater return on your investment (increased ROI). 

Fewer Errors 

Artificial Intelligence eliminates human error when it keeps human intervention out of the equation. One of the most important concerns is data security.

When employees can’t safeguard customer data and other data critical to a business, AI steps in to find a way to address cybersecurity needs. AI learns, adapts, and reacts to cybersecurity attacks to safeguard information. 

The Use of AI in Marketing 

This is the future of marketing. Get on board with AI solutions in your marketing strategy to be competitive in the ever-changing world of marketing. Being successful with your online business will depend on using AI-powered marketing and tools! 

If you’re ready to start connecting your business to the rest of the world, CommCore Marketing is here to help. Contact us if you need assistance with brand management, social media and online marketing, offline marketing, graphic design, or website maintenance. We have you covered. 

What is ROI?

ROI is Return on Investment.

This is actually not a new term, as entrepreneurs and the like have been using it for decades to describe the measurable success of marketing and advertising.

Before there were established metrics for digital marketing, anyone could claim themselves as a “digital marketing guru” and sell desperate business people a variety of un-measurable methods of digital marketing.

That era was like the Wild West– self-acclaimed gurus were essentially scamming businesses, just hauling in money without any real knowledge of what they were doing… because no one really knew what they were doing when it came to marketing online without any way to track or measure it.

Fortunately, that era has passed and we now have far more ability to measure the success of our digital marketing efforts as well as a wealth of data to support the marketing choices we make. But…

 

Measuring Digital Marketing Can Be Difficult

Nobody wants to, or should, throw their money at digital marketing without being able to later evaluate the ROI. Yet despite improved metrics, businesses still experience difficulty when it comes to measuring ROI as it relates to digital marketing.

90% of global marketers are not trained to calculate ROI and 80% struggle with being able to properly demonstrate to their management the business effectiveness of their spending, campaigns, and activities (The Fournaise Marketing Group, 2014).

Between content marketing and SEO, social media marketing, and online ads, it can all get tricky to track. This is in part due to the fact that we try to track our digital marketing with the same traditional methods that we use to track traditional marketing– like TV ads, radio, newspaper, etc.

There are far more factors involved in digital marketing and it can get very confusing when trying to measure the new ways with the old methods.

A Simpler Measurement

It’s far easier to measure ROI for digital marketing by calculating the revenue to cost of marketing ratio.

For a good ROI ratio, we recommend 5:1. This means that for every one dollar spent on marketing, you yield five dollars in sales.

What should count into this ratio?

  • Cost of content production
  • Pay-per-click ads
  • Display ads
  • Social media ad campaigns
  • Cost of outside marketing and ad agencies

Measuring in terms of a ratio makes it far easier to determine whether your digital marketing efforts are worth the cost or not. If you only make a 2:1 ratio, for example, you’re only really breaking even. In that case, your efforts might not be worth it.

That being said, not every marketing effort can be measured perfectly. Oftentimes content can generate leads months after the content is published. With this in mind, you can see how this might be difficult to track.

This is why the ratio is ideal for measurement. It’s ongoing, it’s all-encompassing, and it’s simple.

There Are Tools to Help You

You don’t have to stress over measuring your ROI. Analytics software and software programs like HubSpot, Marketo, and Google Analytics all provide tools for you to more easily measure ROI more efficiently.

So create an ROI ratio goal for your business and focus your marketing efforts on achieving this goal. This will be far less stressful on you and make your digital marketing efforts that much more justifiable.

CommCore Marketing can help you measure your ROI and improve the return on your marketing investments. Reach out to CommCore today.