Do not cut online marketing funds in face of recession

With the value of the dollar decreasing and a decline in consumer confidence, it might seem counter-productive to keep spending. However, that is exactly what needs to be done.

History shows that marketers that maintained or even increased spending benefited from the silence of others. In fact, a recent study on warc.com (World Advertising Research Center) showed “that brands with sustained advertising expenditure through recessions have a competitive advantage”.

Below are several online marketing strategies to keep in mind during trying economic times.

Do not cut pay-per-click funds
When done correctly pay-per-click is the best return on advertising available. Paid Search should be the last place you look for budget cuts. Remember, if paid search is not working, then you are doing something wrong.

Put your analytics to work
Now is the time to put the “analyze” into web analytics. Without analyzing data, it’s just data. Study your numbers and look for trends. Look for ways to trim the fact. For example, if customers are coming from a general geographic area then target online efforts toward that direction.

Beware of discounting
The first instinct online marketers have in rough times is to start giving deals to customers.

However, this can start a chain reaction that is hard to shake. Not only is there a risk that customers may expect deals, they may also begin associating that brand with low value.

Discounting is not a marketing strategy.

Shoppers become addictive to discounts and so do marketers. Beware of the long-term value of your brand, especially online.

Introduce a new product or put a new face on an old one
Many new products were introduced during troubled times. For example, the iPod was released during the dot-com burst. The frequent flyer concept was born out of a marketing tactic use to stimulate interest in the recession of the early 80’s.

If you don’t have a new product to introduce, use this time to put a new front face on an existing product. Follow that up with an online press releases. Get the word out and start a social networking campaign to push the product hard.

Companies are still failing to see the benefit of online marketing, especially paid search marketing. Pay-per-click works for any budget and any product. Use these times to take advantage of your competitors’ lack of funding and knowledge. Don’t follow their lead on decrease spending, take advantage of their lack of presence.