Monday, May 19, 2008

Should I Be Advertising in a Recession?

If you're watching news shows lately, you've no doubt seen the incessant recession ranting. It's enough to make even me move into a state of depression. Personally, I have to turn that stuff off because it's not the reality that either my clients or I am living.

What kind of stock do you put into the "talking heads?"

I just finished taking my first course in seminary. It's something I've wanted to do for a long time. The course was called PR510 -- Introduction to Graduate Level Research. In the course the professor spent considerable time discussing the difference between primary and secondary source information. Primary source material is qualitative or quantitative information aquired from eyewitnesses, current surveys, or raw studies. Primary source material doesn't offer you a biased opinion on the material. You decide that for yourself.

So, as it relates to advertising, I wanted to find some primary source material that could help my advertisers as it relates to the current business climate. I found it in an empirical study of advertisers and their advertising habits during a recession. Here's the quote from McGraw-Hill Research from a study conducted between 1980-1985.

"In a study of the United States recessions, McGraw-Hill Research analyzed 600 companies in 16 different industries. The results showed that businesses that maintained or increased their advertising expenditures during a recession averaged significantly higher sales growth both during the recession and for the following three years, than those that eliminated or decreased advertising ... By 1985, sales of companies that were aggressive recession advertisers had risen 256% over those that didn't keep up their advertising."
Did you get that? 256% over those who put their head in the sand!
I just had an advertiser who sells a discretionary product who had their biggest month ever! If you'd like to hear their testimonial, I'll send it to you FREE. Just drop me a note at requesting it.
Which group do you want to be in? In the group that runs and hides or the group that generates 256% over your competitors.
It's your choice. Call me if you decide you'd like to do the latter. 404-995-7343.

No comments: