{"id":14283,"date":"2023-02-28T16:13:34","date_gmt":"2023-02-28T16:13:34","guid":{"rendered":"https:\/\/www.trafficsoda.com\/?p=14283"},"modified":"2023-06-12T17:36:31","modified_gmt":"2023-06-12T17:36:31","slug":"awareness-advertising-recession","status":"publish","type":"post","link":"https:\/\/www.trafficsoda.com\/awareness-advertising-recession\/","title":{"rendered":"Recession Proofing Your Sales Funnel: The Benefits of Awareness Advertising in 2023"},"content":{"rendered":"\t\t
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Dive into the ways that awareness advertising can recession-proof your sales funnel and get insights on how to use it effectively.<\/strong> <\/p>\n <\/p>\n A recession may seem like the time to cut back on advertising, but it’s actually the perfect opportunity to increase your visibility and come out even stronger.<\/p>\n <\/p>\n In fact, study after study has shown that cutting back on advertising during a recession actually hurts your brand, sales funnel and bottom line in the long run.<\/p>\n <\/p>\n If you want to stay top-of-mind during a recession, you can’t afford to go dark. Brands that cut back on their ad spend during a recession put themselves at risk of losing customers and market share, as the data clearly shows.<\/p>\n <\/p>\n <\/p>\n <\/p>\n <\/p>\n <\/p><\/ul>\n <\/p>\n If you want to ride out a recession and emerge on top, you can’t afford to skip awareness advertising<\/strong> \u2014 a type of advertising designed to make a brand or product more familiar to consumers at the top of the sales and marketing funnel<\/a>. <\/p>\n <\/p>\n Don’t let a recession make your brand fade into the background. Keep reading to learn the benefits of awareness advertising during a recession, along with tips and best practices for adapting your marketing strategy to tough economic times.<\/p>\n <\/p>\n Highlights:<\/p>\n <\/p>\n <\/p>\n <\/p>\n <\/p>\n <\/p><\/ul>\n <\/p>\n <\/p>\n During tough economic times, sales cycles tend to become longer <\/strong>as customers become more careful in deciding what and when to buy. <\/p>\n <\/p>\n Your customers spend more time in the consideration phase, conducting more research, comparing products more closely, and taking longer to decide on a purchase during an economic downturn. <\/p>\n <\/p>\n In other words, the sprint becomes a marathon \u2014 and your business has to keep prospects engaged and interested throughout the process. <\/p>\n <\/p>\n But in some ways, a longer sales cycle is a blessing in disguise. It gives you more opportunities to connect with customers and demonstrate the value of your product or service.<\/strong> <\/p>\n <\/p>\n One of the best ways to keep a longer funnel flowing during a recession (without increasing ad spend) is to reallocate more budget to awareness advertising aimed at the top of the funnel (TOFU). <\/p>\n <\/p>\n Awareness advertising<\/strong> is designed to create a lasting impression that keeps your brand, products or services front and center. These ads are typically aimed at a broader audience to attract potential customers who may not yet be familiar with your brand. <\/p>\n <\/p>\n By casting a wider net and reaching more people earlier in the sales cycle, you can create a larger pool of prospects<\/strong> to warm up and convert into customers over time. Awareness ads help you connect with potential customers earlier in the buying process so that, once those prospects are<\/em> ready to make a purchase decision, they are more likely to turn to your brand over others since you have already established a relationship with them. <\/p>\n <\/p>\n In addition, awareness advertising can help businesses to build brand recognition and reputation<\/strong>, increasing consumer trust and loyalty. <\/p>\n <\/p>\n By allocating more of your advertising towards TOFU awareness-based campaigns, you lay the groundwork for a more effective sales funnel that helps warm prospects and close more sales \u2014 even in the midst of a recession or other economic challenges.<\/p>\n <\/p>\n <\/p>\n <\/p>\n The primary objective of awareness advertising<\/strong> is to enhance brand recognition and promote customer engagement, in contrast to direct response advertising, product advertising, and promotional advertising, which serve different goals. <\/p>\n <\/p>\n <\/p>\n <\/p>\n <\/p>\n <\/p><\/ul>\n <\/p>\n In general, awareness advertising is most effective when used in conjunction with other types of advertising. By building strong brand recognition and customer engagement, businesses can position themselves for long-term success and increase their chances of success with other types of advertising. <\/p>\n <\/p>\n <\/p>\n The numbers don’t lie \u2013 history shows that advertising during a recession can be a game-changer for businesses looking to gain a competitive edge. <\/p>\n <\/p>\n In fact, some of the most successful companies in history have continued to advertise during tough economic times and emerged even stronger once the recession ended. <\/p>\n <\/p>\n Take the recent public health crisis. When COVID-19 forced people to stop traveling, VRBO and Airbnb responded in very different ways. While Airbnb scaled back its advertising, VRBO saw an opening and increased its spending to $90.8 million in advertising<\/a> from January to February 2021. The strategy paid off, with VRBO seeing a 61% recovery in bookings while Airbnb’s bookings dipped by 15%. <\/p>\n <\/p>\n In a sea of struggling travel businesses, VRBO found a way to come out on top \u2013 by investing in advertising when others held back. <\/strong> <\/p>\n <\/p>\n Another well-known example comes from the recession of 1990, in the responses of three fast food giants: McDonald\u2019s, Pizza Hut, and Taco Bell. When times were tough, McDonald\u2019s cut its advertising budget<\/a>, while the smaller competitors Pizza Hut and Taco Bell strengthened theirs. As a result:<\/p>\n <\/p>\n <\/p>\n <\/p>\n <\/p>\n <\/p><\/ul>\n <\/p>\n Want to grab a bigger slice of the market during a recession? Follow Pizza Hut and Taco Bell’s lead and ramp up your advertising efforts, while the competition holds back<\/strong>. <\/p>\n <\/p>\n Then there\u2019s Amazon. Even during the Great Recession, Amazon continued to innovate with new products despite the slumping economy, most notably with the new Kindle products \u2013 supported by millions spent on advertising. When the rest of the economy hit its nadir, Amazon’s sales rose by 28%<\/a>. <\/p>\n <\/p>\n When the going gets tough, the tough get innovative. <\/strong>Amazon proved this during the Great Recession by continuing to invest in new products and advertising, and reaping the rewards with a surge in sales. <\/p>\n <\/p>\n These are just a few of the countless examples demonstrating that companies that invest in advertising during a recession can come out ahead when the economy rebounds. <\/p>\n <\/p>\n By keeping their brand top-of-mind for consumers and continuing to offer value and promotions, these companies were able to maintain or increase their market share and build customer loyalty. <\/p>\n <\/p>\n Awareness advertising during a recession can pay off in spades, as the historical data demonstrates.<\/p>\n <\/p>\n <\/p>\n When times get tough, businesses need to get creative to maintain or grow their market share. That’s where awareness advertising comes in. <\/p>\n <\/p>\n Here are a few reasons why awareness advertising can be a powerful tool for businesses during a recession:<\/p>\n <\/p>\n <\/p>\n <\/p>\n <\/p>\n <\/p><\/ol>\n <\/p>\n By building brand recognition, increasing customer engagement, and positioning for long-term success, businesses can emerge from a recession as stronger players in their respective industries.<\/p>\n <\/p>\n <\/p>\n One of the most important benefits of awareness advertising during a recession is its ability to build and strengthen brand recognition<\/strong>. <\/p>\n <\/p>\n During tough economic times, many consumers cut back on their spending, making it more challenging for businesses to compete. <\/p>\n <\/p>\n However, by keeping their brand top-of-mind through awareness advertising, businesses can increase their chances of being chosen over their competitors when consumers do <\/em>decide to make a purchase. <\/p>\n <\/p>\n In addition to helping businesses stand out in a crowded marketplace, building brand recognition through awareness advertising can also lead to increased customer loyalty<\/strong>. <\/p>\n <\/p>\n When consumers have a positive association with a brand, they are more likely to choose that brand over others, even when there are cheaper or more convenient options available. In a crowded market, positive brand associations are worth their weight in gold<\/em>. <\/p>\n <\/p>\n As well as building brand recognition, awareness advertising can help businesses establish themselves as thought leaders. Awareness ads provide businesses with the chance to show customers that they are knowledgeable and experienced in their fields. It’s not enough to be good at what you do \u2013 you also need to show it. By doing so, your business can build trust and authority which pays off in the long run. <\/p>\n <\/p>\n The ability to keep your brand at the top of people’s minds and establish yourself as an industry leader will provide your business with a position to emerge from a recession as a strong player.<\/p>\n <\/p>\n <\/p>\n In a time of financial uncertainty, customers need more than just a sales pitch. <\/p>\n <\/p>\n Many consumers feel nervous about their finances during a recession, so they’re more cautious about their spending. In this environment, it’s important for businesses to find ways to engage with their customers and demonstrate the value they can provide. This is where awareness advertising comes in. <\/p>\n <\/p>\n By sharing stories and experiences that resonate with their target audience, businesses can create a sense of community and belonging that can keep customers coming back. For example, a restaurant might use awareness advertising to showcase its commitment to using locally sourced ingredients, or a clothing brand might use awareness advertising to highlight its commitment to sustainability. <\/p>\n <\/p>\n Through awareness advertising, your business can show customers that you are still here, still providing value, and still dedicated to serving them, even in the toughest of times. In a world of faceless corporations, that kind of connection and authenticity makes a world of difference.<\/p>\n <\/p>\n <\/p>\n As businesses cut back on their advertising and marketing spend during a recession, competition for customer attention goes down as well. This can be a valuable opportunity for you to take advantage of awareness advertising and gain a stronger foothold in your industry.<\/p>\n <\/p>\n <\/p>\n <\/p>\n <\/p>\n <\/p><\/ul>\n <\/p>\n By taking advantage of lower advertising costs, increased ad exposure, and improved ROI, your business can position itself for long-term success and emerge from a recession stronger. <\/p>\n <\/p>\n Don’t wait for the storm to pass \u2013 make your move now. Use awareness advertising to seize the opportunities that a recession presents and come out on top, stronger and more successful than ever.<\/p>\n <\/p>\n <\/p>\n In a time of economic uncertainty, your advertising needs to work harder than ever. <\/p>\n <\/p>\n So, how do you create an awareness advertising campaign that will stand out and make an impact during a recession?<\/p>\n <\/p>\n <\/p>\n <\/p>\n <\/p>\n <\/p>\n <\/p><\/ol>\n <\/p>\n Use these tips to create campaigns that resonate with your audience, build trust, and help you weather the storm.<\/p>\n <\/p>\n <\/p>\nWhy Awareness Advertising is Key to the Recession-Proof Sales Funnel<\/strong><\/h2>\n
Awareness Advertising vs. Other Types of Advertising<\/strong><\/h3>\n
Does It Work? Case Studies on Advertising During a Recession Say Yes<\/strong><\/h2>\n
Benefits of Awareness Advertising During a Recession<\/strong><\/h2>\n
1. Strengthen Brand Recognition<\/strong><\/h3>\n
2. Increase Customer Engagement<\/strong><\/h3>\n
3. Leverage Lower Competition<\/strong><\/h3>\n
Strategies for Effective Awareness Advertising During a Recession<\/strong><\/h2>\n
1. Know Your Audience Better than Anyone<\/strong><\/h3>\n