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When times are tough, it’s tempting to cut back on marketing, but experts agree that businesses must keep communicating to stay top of mind and give cautious consumers reasons to spend with them. Regardless of the channel, what’s essential is to create messages that resonate with consumers – something that requires an understanding of their current mindsets. “Consumers have not been stripped completely of the ability to spend, but they are anxious, fearful, and wary,” cautions J. Walker Smith, executive vice chairman, The Futures Co. “Marketers must be careful with language and imagery.” Some ideas and insights:
BE POSITIVE. “Marketers must be upbeat without trivializing the bad economic situation,” advises Walker. “Consumers don’t need to be told that times are bad and that they must be more conservative about spending.” Brian Steinberg, television editor, Advertising Age, agrees. “Consumers are still looking for things that make them feel good, not that remind them of the tough times they face.” While it’s important to acknowledge reality, Brian warns against the temptation to fall back on catch phrases with negative connotations, like “stimulus” or “bailout.”
DON’T TALK CHEAP. “Messages must speak about more than just price,” warns Walker. “Promote a good deal – good not because of discounting, which just reminds people of the woes of the economy. Instead, emphasize value over price, which will remind consumers of the benefits you can bring to their lives.” Brian advises marketers not to lose sight of the long-term impact of price-based strategies. “It’s easy to lose brand identity once you come out on price. When this is over, those brands will remain associated with lower prices instead of what makes them fun, special, unique.”
EMPHASIZE RESPONSIBILITY. Consumers have been forced to evaluate their spending and reconsider old habits – a mindset that Walker thinks will endure. He contends that they want less excess and extravagance, and more discipline and sustainability – in their own lives and from businesses. “The word and the concept of responsibility will resonate,” he says. In the new “marketplace of responsibility” that Walker sees emerging, “gaudy will go underground” (think upscale styles and experiences delivered with restraint and moderation) and “local will prevail over global.” When examining their choices, consumers will factor in environmental concerns as well as a desire to do good for the economic health of their communities; buying, thinking, and acting “local” will satisfy them on those levels.
THINK OUTSIDE THE BOX
With the unstable economy and consumers’ eroding feelings of security and control, they are in a particularly vulnerable state of mind. “Give people reasons to feel confident that you offer the best value and experience,” advises Walker. “There are big opportunities for brands that help people and are useful in the context of their lives,” adds Brian. Some ideas to consider:
• Consumers are re-prioritizing, putting things in balance. Why not promote eating out with family as an opportunity for more quality interaction/fun and less time devoted to shopping/cleaning up? Follow through with attainable price points and ease in welcoming families. Create a “family room” during certain hours.
• Many retailers are actually showing people how to find better values. Restaurants could follow suit by promoting select menu items with portions that are big enough for two meals…for consumers to have their fun and eat it too – the next day.
• Become a place that offers a comforting dose of control in an uncertain world. Be flexible about customization and special orders; unbundle bundled meals or prix-fixe menus, giving consumers free range to chose their own.
• Local is powerful. “Local” has many facets – it can be the U.S. city from which a product on your menu originates and/or the town(s) in which you operate. The key, according to Walker, is to put a face and a feeling behind the idea of local – in both small towns and big cities. Even if your restaurant doesn’t have strong local roots, it can be a hub. Host an event that places local purveyors and their products face to face with customers. Give them a chance to interact – with your restaurant as the conduit.













