Marketing budget cuts: Axing the bark you’re sitting on

The World is knuckling under the pressures created by COVID-19 and businesses are feeling immense heat, quite a few on the verge of shutting down. Solvency is the only saviour and is clearly driven by customers and NOT by shareholders & banks.

Revenues are low and thus belt tightening has already started…I’ve come to notice that marketing & people are the first ones to GO. Now this ain’t right…

Not right to short-change marketing…

Businesses survive on revenue, sales is key to revenue, ergo…without sales businesses will collapse. Marketing is what keeps the sales funnel full…ipso facto Marketing is important for revenue generation.

Let me put it this way…Businesses survive on revenue, sales is key to revenue, ergo…without sales businesses will collapse. Revenue comes through sales to customers. Now within your addressable market, how many customers know about your product to make a decision on buying from you. 60% of your market does not know what they want or your product, another 20% doesn’t know where to get it from. Marketing is just that piece of the puzzle.

Marketing is what keeps the sales funnel full…ipso facto Marketing is important for revenue generation.

Marketing budget IS NOT your most discretionary currency

Cost cuts are inevitable in the situation, however, depleting marketing will ultimately strangle the business. Marketing budget IS NOT your most discretionary currency ‘coz it will create your funnel, thus drive sales and ultimately give you the revenue to avoid people cuts.

Annihilating marketing is as flawed a logic as “hoping” for a car to keep running alongside a fuel cut…never works.

What is most important for Businesses in this day & age: Marketing & Sales

Operations & production has been hit extensively, however, do know that the market hasn’t died out. While organisations WFH and try to digitise as much as they can to cope with distancing norms and lockdowns, this period is also important to actually start investing in low cost effective marketing, to concentrate on reaching out to your addressable market and connect with them, get them into your sales funnel.

Days of cold calling and demos is behind us…Sales today thrive on connect & engagement.

Remember, the days of cold calling and demos is behind us…Sales today thrive on connect & engagement. Right marketing is your means of that engagement and connect. Most companies, even big ones are doing it wrong and they don’t even know it.

As long as you have paying customers, the delivery on your product will evolve.

Remember: “Marketing & Sales are the most important functions to any Business”