With our economy settling into a recession, it’s likely many brand marketers and P&L owners are facing unprecedented challenges in the market. Inflation, supply chain disruption, budget cuts, and marketing team layoffs are just a few examples. The after effects of Covid have created an environment of tough decisions—budgets are going down instead of up, and we have to hit the same targets with less.
Keen CEO Greg Dolan managed a brand portfolio through 2008 without tools or software. Reliant on an old-fashioned marketing mix and a 200-page PowerPoint that arrived six months too late, he tried to make inferences about what to do next. Without on-time decision support, he made the call to reduce media investment and deploy it to trade. This strategy not only didn’t work, but it also put the brand at a losing advantage when the marketplace turned up again. However, working through such an uncertain time brought him invaluable insights and knowledge that he can now use to guide decision making as we move closer to another recession.
Here are three rules to follow from his marketing playbook to keep your team winning through a down economy.
Focus on non-working dollars
When budgets get cut in a down economy, the playbook for staying profitable follows a few key moves. The first one is to focus on non-working dollars, such as agency fees, consumer research studies, concept tests, and market segmentation, that do not create short-term impact. Pushing those efforts out to 2024 frees up dollars to improve marketing performance today while still helping you become a top player in tomorrow’s market.
Make budget cuts where they will hurt the least
While this might seem like an obvious rule to follow, the nuances of it are quite complicated because it can be difficult to make good choices in a constantly evolving landscape. So the easiest way to accomplish this is by using software to help guide your decision making. Having the ability to simulate external environments and conditions, and look at other challenges brands are facing, empowers you to make the right decisions right now.
Take the guesswork out with Keen
Keen Decision Systems allows you to more accurately and quickly plan, adjust, and report on your marketing mix strategy while delivering short term ROI. This enables you to shift dollars to areas where you can see the topline impact by the end of the quarter. Replace the delays and data gaps (no more 200-page PowerPoints arriving six months too late) of the old-school MMM approach with the industry’s first and only decision optimization software rooted in predictive analytics.
You can’t afford to wait
Brand marketers need the confidence and ability to prove they are making the right decisions during this difficult time. Because our product gives you real-time insights that translate to better results in a quicker turnaround time, we give you the power and knowledge to pivot your marketing mix strategy into one that gives you a winning ROI no matter what the market looks like.
Curious to learn more? Watch the latest Keen Takes video here.
