In 2010, purse strings were cut, and everyone who owned a small business was preparing for the worst. The result was grim for most companies’ marketing departments as they were the first to go.
But, now, only one year later, AMI’s 2010 – 2011 U.S. Small Business Marketing Activity& Spending study is predicting that companies are going to spend, and in a big way!
And what are they putting their $36 billion into? Believe it or not— marketing activities.
Confused? Well, let me help you understand.
You see, most business owners have a tendency not to be –what I like to call—marketing focused. While it is simple to see how a business can profit from sales or production, the same cannot be said for marketing.
The value that marketing provides can usually only be determined over a period of time. And this is where the problem comes in. This often makes it harder to see improvement where improvement was made. As a result, most owners target marketing first and foremost in difficult times.
My thoughts on this? While sometimes budgeting is absolutely necessary, it is important not to make any decisions without analyzing what the repercussions will be. If you, as a business owner, stop marketing for your company, you have to realize that the same cannot be said for your competition, which is what most of the businesses who will be investing in marketing for 2012 have found out.
In any case, this report suggests that marketing is on the mend. Hopefully, the next time the economy takes a turn for the worst, owners will think twice before cutting what pushes their brand to the front in their customers’ minds.