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Marketing In A Recession



This article touches on marketing in a recession, but I'm not claiming we are in one currently. Maybe we are, and many businesses may feel that way. Yet many other businesses might not be feeling the effects. Remember, a depression is when everyone is out of work, and a recession is when your neighbor is out of work. I'm trying to say that not everyone loses in a recession, and that's what I want to focus on.


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Recessions are bound to happen as the market always has ebbs and flows. We have had many before, and we will see them again. New businesses start in a recession, old businesses die off, and others make it through to live another day. Unfortunately, no one has a magic formula for running a perfect company.


Luckily our marketing company has worked with many businesses over the past 11-plus years, and we have seen how companies handle both good and bad times. Through our observations, I'd like to offer the below takeaways so we can manage the future by learning from the past.


We started our business, The SEO Contractor, during a recession with a blank book of business, zero debt, and about $500-$1000. I believe we survived through pure passion, something I argue many companies lose along the way, and there is nothing like a recession to expose a passionless company.


Good News, You May Be Recession Proof


Since our company works closely with home and commercial service businesses ranging from contractors to construction to service professionals, this article will speak directly to you. Yet the majority of the concepts can apply to many local businesses.


The good news is that your business could be deemed recession-proof, according to Investopedia, but it's still a gray area. For instance, the most secure industries in a recession are the energy, healthcare, and consumer staples sectors. I argue that home and commercial services, although classified under the GICS sector Industrial-commercial and professional services, could be emergency staples.


For instance, when your house has an emergency issue like a roof leak, water or fire damage, broken pipes or clogged plumbing, no heating or air-conditioning, and no electricity, you must resolve these significant issues regardless of the economy.


Of course, this also means that vanity or DIY services like pool building, landscaping, remodeling, etc., will probably be held off until the economy turns. Keep in mind that every situation and potential location could be different. For instance, during the COVID lockdowns in the southern United States, pool builders saw a giant boom in business.


The most important thing is to analyze what's happening around you and ask your customers, neighbors, friends, etc. Try to learn what everyone is thinking and feeling about the current state of the economy in your local area. Don't just guess; it's ok to reach out and ask people what influences drive their decision-making.


Who Is Seen Is Remembered


Many habits may change during a recession, but many remain the same. For instance, people still use their devices during a recession. Let's face it people use their devices for just about anything, anytime. People also go outside; aside from COVID, people still move around their city during a recession, whether within the neighborhood walks or driving to the local grocery store.


This is important for service companies who market their brand because their vehicle wraps and online/social media presence must remain. If your business has survived without vehicle wraps or an online presence, this is the time to start. When people drive to the store or walk in their neighborhood, your vehicle is seen as a driving billboard. Your presence is equally essential when people play on social media or search Google. Are you in their feed? Are you at the top of their search? Someone is.