On the Harvard Business School Blog Professor John Quelch provides the following tips for Marketing during tough times (http://hbswk.hbs.edu/item/5878.html):

1. Research the customer. Instead of cutting the market research budget, you need to know more than ever how consumers are redefining value and responding to the recession. Price elasticity curves are changing. Consumers take more time searching for durable goods and negotiate harder at the point of sale. They are more willing to postpone purchases, trade down, or buy less. Must-have features of yesterday are today’s can-live-withouts. Trusted brands are especially valued and they can still launch new products successfully, but interest in new brands and new categories fades. Conspicuous consumption becomes less prevalent.

2. Focus on family values. When economic hard times loom, we tend to retreat to our village. Look for cozy hearth-and-home family scenes in advertising to replace images of extreme sports, adventure, and rugged individualism. Zany humor and appeals on the basis of fear are out. Greeting card sales, telephone use, and discretionary spending on home furnishings and home entertainment will hold up well, as uncertainty prompts us to stay at home but also stay connected with family and friends.

3. Maintain marketing spending. This is not the time to cut advertising. It is well documented that brands that increase advertising during a recession, when competitors are cutting back, can improve market share and return on investment at lower cost than during good economic times. Uncertain consumers need the reassurance of known brands, and more consumers at home watching television can deliver higher than expected audiences at lower cost-per-thousand impressions. Brands with deep pockets may be able to negotiate favorable advertising rates and lock them in for several years. If you have to cut marketing spending, try to maintain the frequency of advertisements by shifting from 30-second to 15-second advertisements, substituting radio for television advertising, or increasing the use of direct marketing, which gives more immediate sales impact.

4. Adjust product portfolios. Marketers must reforecast demand for each item in their product lines as consumers trade down to models that stress good value, such as cars with fewer options. Tough times favor multi-purpose goods over specialized products, and weaker items in product lines should be pruned. In grocery-products categories, good-quality own-brands gain at the expense of national brands. Industrial customers prefer to see products and services unbundled and priced separately. Gimmicks are out; reliability, durability, safety, and performance are in. New products, especially those that address the new consumer reality and thereby put pressure on competitors, should still be introduced, but advertising should stress superior price performance, not corporate image.

5. Support distributors. In uncertain times, no one wants to tie up working capital in excess inventories. Early-buy allowances, extended financing, and generous return policies motivate distributors to stock your full product line. This is particularly true with unproven new products. Be careful about expanding distribution to lower-priced channels; doing so can jeopardize existing relationships and your brand image. However, now may be the time to drop your weaker distributors and upgrade your sales force by recruiting those sacked by other companies.

6. Adjust pricing tactics. Customers will be shopping around for the best deals. You do not necessarily have to cut list prices, but you may need to offer more temporary price promotions, reduce thresholds for quantity discounts, extend credit to long-standing customers, and price smaller pack sizes more aggressively. In tough times, price cuts attract more consumer support than promotions such as sweepstakes and mail-in offers.

7. Stress market share. In all but a few technology categories where growth prospects are strong, companies are in a battle for market share and, in some cases, survival. Knowing your cost structure can ensure that any cuts or consolidation initiatives will save the most money with minimum customer impact. Companies such as Wal-Mart and Southwest Airlines, with strong positions and the most productive cost structures in their industries, can expect to gain market share. Other companies with healthy balance sheets can do so by acquiring weak competitors.

8. Emphasize core values. Although most companies are making employees redundant, chief executives can cement the loyalty of those who remain by assuring employees that the company has survived difficult times before, maintaining quality rather than cutting corners, and servicing existing customers rather than trying to be all things to all people. CEOs must spend more time with customers and employees. Economic recession can elevate the importance of the finance director’s balance sheet over the marketing manager’s income statement. Managing working capital can easily dominate managing customer relationships. CEOs must counter this. Successful companies do not abandon their marketing strategies in a recession; they adapt them.

Isn’t it spring? Why are we talking about color trends a year away? In the marketing time continuum next fall will be here before we can even finish all of 2010’s initiatives. So if you’re curious about color and how it might influence your visual business paradignm, product development, or even what you wear to the office, check out these Pantone predictions .

As Hamblin’s Brandeli continues to evolve,  the cost and resource efficiencies that it can deliver to marketing-driven organizations (and just about every organization needs to be focused on how they communicate in the marketplace) are quickly being realized .  One very relevant benefit of Brandeli is the ability it offers to 1) create fool-proof, completely customized communications templates that eliminate the need to keep recreating the wheel and 2) to streamline the approval process for most print and digital projects. Imagine how much time (which equals money) that could save!

Super Bowl 2010 is over and as the play-by-plays of the actual game continue in the media, so does the debate over the best (and worst) Super Bowl commercials. It’s amazing, but not really surprising, the response these million-dollar ads get every year. The ads are meant to evoke at least a response…if not a purchase of some kind. If the ads are not offensive to at least one group, we might wonder what went wrong for these companies and the ad agencies who produce the creative for them. Humor is the safest way to score an advertising touch down, and there’s plenty of that. But to really strike a chord, sometimes advertisements have to take a point of view, it may not be shared by eveyone, but it gets attention, makes us think, and raises a topic for conversation. In our minds, that’s the real value of this type of ’show piece’ advertising: fulfilling the need for communicating with many individuals representing of all sides of a story or issue.

http://sethgodin.typepad.com/seths_blog/2010/02/hunters-and-farmers.html

Which one are you? Read Seth Godin’s post on the difference between these two groups anf find out!

We love to find new resources…check out the j-learning site for information and tips on how to participate effectively in the online journalism community. Here’s a great blog basics link from the site. Worth five minutes of your time to check it out!

http://www.j-learning.org/present_it/page/writing_and_editing_a_blog/

http://www.nytimes.com/2010/01/27/business/media/27adco.html?em

Visit the link above to check out the little blue ‘i’ initiative!

By now many of us have heard about Domino Pizza’s new marketing campaign and maybe seen the TV ads or heard the radio spots. We must admit, the website featuring the Pizza Turnaround Documentary is pretty cute. And the strategy is a bold one–as bold as their new pizza sauce? The votes aren’t in yet. It will be interesting to see if this is enough to bring the pizza delivery market back to Dominos again. So check it out at http://www.pizzaturnaround.com/ and let us know what you think.

A final note…from our perspective this type of ‘consumer transparency’ campaign is cool, but the questions that come to our minds is: why did it take Dominos so long to improve (that’s subjective) their product. And secondly, how did the pricing strategy play into the equation?