Maintaining a Positive Image in the Economic Downturn

One widely overlooked outcome of the global economic downturn is the emergence of a business buyer and customer base who are at once more savvy, more frugal and less patient. With the latest Reuters/University of Michigan Surveys of Consumers indicating that consumer confidence remains near an all-time low, the groundswell of more knowledgeable and skeptical buyers cannot be ignored. Additionally, in this time of 360° media coverage, one small mis-step in service can quickly snowball into a more broad-based public relations problem.

While the most important value to companies is strengthening core competencies during the economic downturn, an additional key initiative should be to retain and grow your customer base through improved service, positive and controlled public relations, and marketing plans that promote value for the buyer.

CONTROL YOUR PUBLIC IMAGE
A simple and effective way to maintain positive public opinion of your company is to issue press releases or blogs that focus on forward movement and operational improvements. Even if the news is inherently bad, the manner in which it is addressed can carry highly desired effects. A good example of this was Google's recent announcement that it was cutting 200 positions. To break the news, Google Sr. VP Omid Kordestani posted a blog on Google's corporate website, stating that the company had "created overlapping organizations which not only duplicate effort but also complicate the decision-making process. That makes our teams less effective and efficient than they should be." The underlying message here is that the company sought to increase efficiency rather than merely cut costs. And while this news certainly rippled through the media, it was considerably controlled by the company's preemptive strategic messaging.

SWIFTLY ADMIT AND FIX MISTAKES
If your company has a lapse in service quality and leaves a buyer or group of buyers unhappy, it is always best to step in, admit the mistake, and fix it as quickly as possible. Attempts to sweep problems under the rug often prove only to fan the flames of controversy, and bad news spreads much more quickly than good. Make sure the correct departments are on the receiving end of complaints, and that these complaints are dealt with efficiently and to the buyer's satisfaction. Have your Marketing/PR Team ready with statements, including quotes from your executive team, should word spread to the press. And if your company website provides blogs or other online discussion forums, do not allow for unintended negative publicity via buyer rants.

FOCUS YOUR BUYERS ON THE POSITIVE
By all means, now is the time to accelerate business via positive and inspiring marketing campaigns. While consumer spending clearly plummeted in Q4 of 2008, it has risen slightly in January, February and March of 2009, according to the Commerce Department. In certain sectors, business spending continues, particularly with respect to compelling ROI initiatives. In addition, one can note repeated media and political references to "buds of growth" beginning to emerge in the global economy. Major corporations such as Visa, IBM, Bank of America and GE have embarked on inspiring, heavy-play marketing campaigns that focus on starting over, moving forward and working together. This is a wise and productive manner of spending marketing dollars. Whatever your budget, devise a specific marketing plan that will draw focus to how your company can seamlessly solve important needs of your buyers. If your company has changed over the last year via outsourcing and/or consolidation, communicate the positives of how this will help your buyer. If new products or services were launched, promote them with a specific eye on value and core buyer satisfaction.

As current economic turbulence begins to smooth over in the upcoming months, recognize that buyers will emerge more frugal, critical and demanding than ever. Your success will depend heavily on letting them know that your first priority is to meet their highest expectations and address their needs.