Why marketing during a tough economy is crucial for South African businesses

A tough economy coupled with rising interest rates have created uncertainty for many South African companies.

However, it is crucial that businesses which aim to grow continue to promote themselves through marketing activities.

The need for businesses to promote themselves during difficult times is well documented, including in a report by the Harvard Business Review.

The report stated that marketing and advertising are key for a business to position themselves for growth once the market picks up.

“Marketing isn’t optional – it’s a good cost, essential to bringing in revenues from key customers,” stated the report.

It went on to warn against cutting all marketing budgets when times get hard.

Spend your budget wisely

When allocating budget to marketing, a business must only select channels which provide a measurable return on investment (ROI).

“Tough times provide an imperative to cut loose poor performers and eliminate low-yield tactics,” stated the report.

“When survival is at stake, it is easier to get companywide buy-in for revising marketing strategies and reallocating investments.”

In South Africa, the marketing channel which provides the best ROI is clear: digital advertising.

As documented in the 2022 Marketing Budget and ROI Report, digital advertising provides the best ROI for South African businesses.

Digital easily outperforms TV, Print, Cinema, Radio, and Billboard/Outdoor advertising channels – making it an easy choice for companies which need to spend their marketing budget wisely.

Top platforms

There are several digital platforms which can be used to successfully promote your business:

• Trusted news platforms – such as BusinessTech and MyBroadband.
• Social media channels – such as Facebook and LinkedIn.
• Google advertising channels – such as Search and YouTube.
• Newsletters – including in-house and third-party mailers.
• Company blogs – including on your company’s website or an industry body’s platform.