When times are good, it's easy to keep doing the "same old, same old." Business goes and you don't need to challenge assumptions.
When customers believe times are tight (as an Econ minor, I can't help but notice that the data doesn't support the idea of a "recession," but we all know perception trumps reality), you need to start asking questions.
You also can't go to your board, your shareholders, or your investors and say "uh, well, we didn't hit our numbers because it's a recession."
Well, you could, but you'd rather not.
So, when it's a tougher environment, the status quo gets challenged.
That's good news for all the marketing types out there itching for a change, since they can go to their bosses (the more conservative ones) and say,
"well, the usual stuff isn't working anymore and we still need to deliver, so can we 'puh-lease' try some of this new-fangled WOM/Social Media stuff?"
Now, let's put aside those companies that cut marketing as the first thing in a recession...they are the ones who view marketing, like customer service, as a cost-center, not as an investment.
But, those companies that know marketing is important and that know they need to invest, but just want a smarter return on their dollar....those are the ones who will say: "ok, let's give it a shot."
And, the best part...those that test the waters now can turn on the firehose when things really do turn around (or at least people believe they will)!
Seth's take on opportunities in a recession offers a nice perspective, as usual.
Comments
Adam Schorr said on 6.15.2008 at 12:00 PM
Jer:
I think this post is partially naive. Yes, in tough times there are some who will respond by opening themselves up to new ways of thinking. But I'll bet there are at least as many who will hunker down and just try harder to do what they were already doing. Also, I'm not sure WOM /social media work fast enough. In other words, it can be a slow build from when you start to when you see results. And if you're looking to make this year's number, WOM may not be the best way to do it.
In general, I think your point is right that tough times will produce some change in the aggregate. But it may not be where you are.
BTW, I found Seth's post morally offensive. Like an oncologist shouting with glee at the discovery of a new cancer cluster. Millions and millions of people are suffering terribly because of the current economic woes. That's the big picture. This situation is very very bad. Yes, difficult times always present opportunities for some people and there's nothing wrong with acknowledging that. But to blithely pass over the true impact of the current economy is rather disgusting. Particularly for someone who is all about the consumer (i.e. people).
The Admin said on 6.15.2008 at 1:57 PM
Adam--partially naive? that's what I do well!
Seriously, I think we are on the same page in that there are those who hunker down and those who double down. Fair enough.
May not be in WOM/Social Media...no question, but I don't need everyone, just a few, right?
As for Godin, and this borders on blasphemy for me, I will say that you've made me challenge my assumptions about the man.
He's been my guru for 10 years, but I am wondering if, to some extent, he's becoming a bit predictable. His message is right on, but there are times when I feel like "I've seen that episode before." It's tough to stay relevant, fresh, and on top for a long time.
That being said, I'll challenge your thoughts on 'morally offensive.' I don't think he's minimizing people's challenges at all, he's just focused on one portion of the story. Nothing wrong w/that, IMHO.
Adam Schorr said on 6.16.2008 at 12:42 AM
OK. And partially naive can often be a very very good thing.
I will leave you to sort through your own feelings on the continuing value of your guru. But I'm not with you on the morally offensive thing.
I agree with you that he is focusing only on one portion of the story. This is exactly my point. His choice of focus says something about him. Again, imagine an oncologist who confirms a diagnosis of cancer for a patient by gleefully commenting on the new Porsche this will allow him to buy. He can then moments later be super sympathetic, but I think we'd all agree that this person needs to get out of medicine or learn better bedside manner.
There's just something a bit off to me about a guy who has his head buried so far up his own you know what that he can't see the suffering that so many people are facing because of the great "opportunity" his brilliance has unearthed.
The first point to make about the current economy is that it sucks. It's something we should all hope never to see again. The second point can be whatever the hell you want it to be.