July 28, 2022
Believe it or not, we are five short months away from a new calendar year and now's the time many business owners are putting pen to paper for their annual marketing budgets.
Our world, and economy, has drastically changed in the past two-and-a-half years. Many businesses in the home improvement space have seen dramatic increases in their bottom lines, while others have not fared so well. There are a variety of factors that play a role in successes and failures, but one line item that should remain constant is your marketing budget.
In our most recent blog, we looked at lead volumes in 2022 and how businesses were measuring successes. We asked the question: Are leads truly down or, are you measuring against a boom? Read more on our blog. It's important to compare apples to apples, or oranges if you prefer, and compare 2022 -- a year of relative normalcy -- to your last normal year (2019).
Next year will be different and our marketing strategy & budgets need to be reflective of marketing in a downturn. That means that while your gut instinct may be to cut marketing and apply those dollars to the bottom line, we implore you to ignore your gut and follow historical trends.
Keep a Consistent Budget
If you have more leads than you can handle, that's fantastic BUT you will want to keep your share of voice in the market. Likely, your competitors are up against the same obstacles and are facing the same marketing decisions. Data shows that companies that cut their budget in a recession end up spending more in the long run to win back share of voice and market share when the economy is on the upswing. Being consistent wins the long game here.
Get More for Your Dollar
There will be businesses that trust their gut and decide to cut spending -- and this can be used to your advantage. With keeping your budget steady, you can have additional share of voice in your field, while others pull back.
Make Your Message Meaningful
If your business is seeing growth despite the market conditions, shift your message, not your budget. This is a great opportunity to sell potential future customers on why you are the choice in your field. As we know, customers have a lot of choices when it comes to just about everything they purchase. How are you different? How will you help them solve this problem more easily? How is your customer service after the sale? The value of what you bring to the table can be showcased in a way to lead customers to choose your brand, when they need you in the future.
The decisions you make today for 2023 can strengthen your value and partnership with your customers tomorrow. When you're ready to get started, reach out to us so we can roll our sleeves up to create a custom strategy that will pay dividends for your business tomorrow and the next day!
Are You Working with the Right Marketing Team?
The right marketing team should be an extension of your internal team, working together with you and always available. Not all agencies are created equally, and some are a bit too big to help you with the small things. Many agencies win your business, charge you by the hour when you call and assign you a junior account executive who’s just learning the business themselves. You both need and want the right team, with a SMART marketing strategy who returns emails and picks up the phone. Choose the team that excels at relationship, strategy and execution and works with you to WIN! Read more on our blog on choosing the right marketing team!