We Are Circle

The latest findings from the Quarterly Economic Survey published by the Leeds, York & North Yorkshire Chamber of Commerce and Leeds University Business School (Q3 2011), show that Yorkshire businesses have experienced a significant fall in business confidence . There has been a 33% drop in organisations that believe their turnover will increase in the next 12 months, compared to the previous quarter. 43% of the 700 businesses interviewed said they are performing worse now than they were over three years ago when we entered the recession.

The Chambers quarterly results come as little surprise. Here at Circle, we are finding that many organisations are being hit by the worst effects of the recession now. So why is this happening? As spending and investment began to decline, many organisations did little to change their marketing and sales strategies but focused more on operational aspects such as downsizing and redundancies. This can leave little time for focus on protecting your brand and market share through sound marketing strategy, branding and deploying results-driven marketing and PR.

This has left many organisations vulnerable. When dealing with crisis, it is tempting to forget about all ‘that marketing stuff’ and say ‘we just don’t have the money’. The organisations that have reversed this trend have focused efforts on marketing their way out of the recession. They have shirked the simplistic approach to budget cuts and have developed a sound marketing strategy, created a strong sales message and increased their ‘share of voice’ (how many times your target customers can see, hear you or read about you).  This is not about spending like there is no tomorrow but ensuring you have the right strategy in place and are being heard above your competitors, or at least alongside them. If you don’t do this, you can bet there will be a competitor more than happy to dominate your market, pushing you out of the way.

We have found that the worst affected organisations have often had it good for many years.  We call them ‘Sleeping Beauties’. They have a great product and sound business model but have a lethargic approach to marketing.  They have often neglected their communications and have relied heavily on word of mouth and existing relationships. Sleeping Beauties are very likely to have an out-of-date brand and are not really communicating their competitive advantage.  These businesses often have a website that looks out of date and little or no social media presence. This can put off even the most loyal customers during a recession. When what is effectively your shop window looks like it hasn’t been touched for years why would anyone buy? You are more likely to leave customers with a creeping doubt that your organisation cannot afford to invest in its own image, therefore giving rise to a loss in credibility and trust.

So, how can you reverse the trend and get your business back on track.  We honestly believe it is this simple;

1. Get your strategy right. You cannot increase turnover, profit and market share without a clear map of how to get there.

2. Deliver a compelling message. Why should someone choose your business over your competitors? Ensure your marketing communications, and everyone in your business, is communicating this message.

3. Increase your share of voice. It’s no good having a great business proposition if no one knows about it. Use each marketing channel effectively; web, email, social media, PR, events, telesales – whatever you choose make sure you can be heard above the noise of your competitors.

4. See this as an opportunity. The businesses that have the ability to adapt to changing market conditions will be the winners. Make sure you are one of them and wake up your sleeping beauty business for your customers to see.

Can we help?

Arrange a no obligation chat with Laura Pegg, Outsourced Marketing Director and Chartered Marketer, to see what more you can do for your business.  Whether you need help with your marketing strategy, branding, marketing communications or PR (or all of them) it’s worth exploring how we may be able to help.  Drop me an email laura@wearecircle.co.uk or call 07969 793150.