Almost every company has experienced a financial hiccup at one point or another. Especially in the economy we have been working in these past few years. This downturn could have come in the form of losing a significant client, or just the ebb and flow of the overall economic environment. With changes in your revenue cycle, you’re prompted to take a hard look internally to see which budgets might be tightened as you ride out this momentary crunch.
What to do? You don’t want to cut staff. And you don’t want your other clients to suffer. So you turn to those departments which may not be “customer service” based. Marketing. But hold up... What shouldn’t you do? Cut your marketing department. Why should you take this advice from a marketer, working in a marketing agency, which specializes in working with our clients’ marketing departments? Good question. While Marketing always seems to be on the chopping block when budgets get tight, it really should be a last resort. Take an internal audit of your business: which departments are functioning and which ones aren’t pulling their weight, is there overhead which could be streamlined or unnecessary expenses which could be cut.
If the marketing department isn’t meeting quotas, driving in sales or new business or is spending unnecessarily, sure, it may be time to make adjustments. However, if you are cutting back because you feel it’s an easy line-item to downsize, you’re doing it for the wrong reasons. The biggest point to consider isn’t how much you are spending, it’s making sure you are spending your marketing dollars wisely. If the marketing budget is on the chopping block, don’t cut, reinvest in areas which will work for your business. If print ads aren’t driving new prospects to your website, then look at different areas which may be more appropriate for attracting your audience base. Tracking the ROI of the money you are spending will help you to make your investment work for your business.
Food for thought… Your marketing team, whether it’s an internal department or an outside agency, is working solely on the behalf of your business. Their goal is ultimately to build your brand, grow your business and strengthen your bottom-line. So I ask, why cut the one department which can help you overcome those financial hiccups?
Marketing agencies come in all shapes and sizes, with different specialties and talents. But there are core values and skill-sets that make some better than others.
- Strategy & planning
- Frequency of interaction
- Cutting edge technology
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