Consumers are scared, confused and uncertain. During these harsh economic times, the immediate reaction for many brands is to cut advertising spend and to communicate less.
I like to use the analogy of a marriage in crisis. Everyone knows that the trick to a successful marriage is communication. In times of crisis, communication becomes even more crucial. It is the same thing for brands. In times of crisis, it is totally counter-intuitive to stop talking. When things are going wrong, increasing communications and opening up a good dialogue become even more important.
As the economic downturn persists, consumers will continue to rationalize their needs and their expenditure on goods and services. They will look more to altruism and social justice as they strive to find more meaningful and fulfilled lives. Brands that do not communicate around these more humane and philanthropic principles may suffer."
I think Alfonso Rodes of Havas Media has it right, we need to talk about how things are improving. In 30 days consumer spending confidence has been boosted by 3% according to the Center For Media Research...
|
Consumer Spending Intentions For Subsequent 90 Days (% of Respondents) |
|
Survey Date |
Expect to Spend More |
Expect to Spend Less |
|
Sep 2006 |
36% |
25% |
|
Nov 2006 |
36 |
19 |
|
Jan 2007 |
35 |
24 |
|
Sep 2007 |
36 |
26 |
|
Nov 2007 |
32 |
25 |
|
Jan 2008 |
29 |
34 |
|
Sep 2008 |
18 |
52 |
|
Nov 2008 |
10 |
59 |
|
Dec 2008 |
11 |
60 |
|
Jan 2009 |
13 |
57 |
|
Source: ChangeWave Research, January 2009 |