Below is another study
supporting the notion that marketing during a recession is even more critical than during good economic times. Studies
consistently show that most companies cut back on marketing budgets when business slows, leaving less competition in front of your potential customers. Companies that market themselves effectively during recessions can actually grow, and then, when the economy turns around, those companies are actually stronger than when the recession started.
UNIVERSITY PARK, PA --For well-positioned companies, an economic recession should not prompt marketing cutbacks, but rather an aggressive increase in marketing spending to achieve superior business performance according to research authored by Gary Lilien and Arvind Rangaswamy of Penn State's Smeal College of Business.
The study finds that firms entering a recession with a pre-established strategic emphasis on marketing; an entrepreneurial culture; and a sufficient reserve of under-utilized workers, are best positioned to approach recessions as opportunities to strengthen their competitive advantage.
"Athletes often choose times of stress to mount attacks: strong runners and bicycle racers may increase their pace on hills or under other challenging conditions," the authors write. "In a similar vein, proactive marketing includes both the sensing of the existence of the opportunity (a tough hill and fatigued opponents) and an aggressive response (possessing the necessary strength or nerve) to the opportunity."
"When everything seems to be going against you, remember that the airplane takes off against the wind, not with it."
-- Henry Ford