Should businesses be spending or saving their marketing dollars?

Should businesses be spending or saving their marketing dollars?

Should businesses be spending or saving their marketing dollars?



By Anastasiya Golovatenko, account director at Sherpa Communications

The economical whirlwind caused by the outbreak of Covid-19 has affected businesses of all sizes and nature. The magnitude of the crisis has led businesses around the world to come up with solutions to rework on their communications plan to stay afloat while continuing to market themselves. 

While there is continues to be uncertainty around 2020 growth prospects, and even more so about the 2021 outlook, the impact of Covid-19 across the globe will be severe and unprecedented. The global economy is expected to contract in 2020 by 3 per cent “” the worst economic downturn since the Great Depression.

As communication advisors, we would advise businesses to go against the grain of instinct and maintain or reduce their marketing budget, but to never slash it completely.

Recent studies have shown that sustaining a company's brand image is important during the good times, but it is even more crucial to do so during the not-so-good times. The effect of strategic communication in times of crises can keep a brand on top of the consumer's mind, possibly generating future sales and a bigger market share. Think this way,