Are You Part of the “Wait and See”?

The global economy is confused.

There is wide spread skepticism that leaders have the judgment and will to implement sound policies at home and abroad.

Companies are waiting to hire. Consumers are waiting to buy. Investors are waiting to commit.


A confused economy is the wrong time to cut for four reasons:

1. Marketing is part of the solution, not part of the problem.

  • 79% of companies believe that marketing is no longer dispensable… it is a KEY part of the business plan.
  • Smart companies know to build an advertising strategy first, then budget around that strategy – versus bending your strategy to the will of your budget.

Source:  Advertising on the edge, Economist Intelligence Unit Survey conducted on behalf of The Economist Group

2. Because what you sacrifice now, you pay for later.

Studies show that companies with a zero advertising budget in year 1 of a recession versus companies that reduced budget by half:

  • Forewent double the sales
  • Forewent double the profit
  • Suffered double the bottom line loss
  • Took almost twice as many years to recover

If you stop advertising, your sales won’t drop now… but they will certainly take a hit down the line.

Source:  Data2Decisions

3. It can cause serious damage to a brand.

  • 84% of purchases are based on the importance of brand.
  • Consumers in a downturn associate with quality and longevity. Advertising in a recession is a consistent investment in brand-building for the downturn.

Source:  Milward Brown, BRANDZ UK 2007, 33 categories, 500+ brands, 6,000+ consumers

4. It’s a golden opportunity.

  • In the Great Depression, W.K. Kellogg continued marketing his cereals as all his rivals were cutting back; in doing so, he pulled ahead of Post Cereals in sales, a trend that has never reversed.
  • There’s never been a better time to steal market share than in a recession.
  • Brands that increase advertising during a recession, when competitors are cutting back, can improve market share and ROI at lower cost during good economic times.

Become a take the bull by the horns business person and meet 2012 head-on with cutting edge business strategies and marketing plan.

Stream Companies knows how to strategize, shift focus, and utilize ad spends in a confused economy.  Let us create years of prosperity for your company starting today.