Winning companies do five things differently during an economic crisis. Get these unmissable growth hacks from GfK.
Act with laser-focused clarity to navigate your brand through a recession. Get this clarity through a consumer-centric, evidence-based brand marketing strategy that harmonizes both your short- and long-term growth ambitions. Here’s how.
The war in Ukraine, its spillovers, and a broadening of price pressures are expected to elevate inflation for longer than previously forecast. Higher-than-expected inflation worldwide has triggered tighter financial conditions — especially in the United States and major European economies. Added to that: the worse-than-anticipated slowdown in China, reflective of outbreaks of COVID-19 and lockdowns. Which signal that the pandemic that struck the first weakening blow to the economy is far from over.
It takes a bold strategy to achieve growth in an economy like this one: where consumers’ confidence plummets and the intention to purchase is delayed. But, with 78% of CEOs looking to their CMOs to drive growth, marketing leaders need to step into innovative and intentional ways of leading the charge.
While it’s tempting to pivot towards short-term tactical reaction, successful marketers will invest in developing a consumer-led strategy that brings clear decisive direction to their tactics, and drive growth over the long term.
It was companies that deployed a mix of defensive moves to reduce costs while offensively investing in growth strategies that were most likely to not only survive but thrive in the recessionary and post-recessionary months ahead.
One example of this is P&G, who anticipate net sales growth of up to 2% in 2023, and organic sales growth of 3–5% through a “commitment to keep investing to strengthen the superiority of our brands across innovation, supply chains and brand equity to deliver superior value for consumers, in every price tier in which we compete.” According to CEO Jon Moeller, P&G “believe [the economic downturn] is a rough patch to grow through, not a reason to reduce investment in the long-term health of the business.”
Moeller, P&G “believe [the economic downturn] is a rough patch to grow through, not a reason to reduce investment in the long-term health of the business.”
At GfK, we have observed five growth hacks across a broad variety of clients and industries that help redefine marketing strategies, and ensure they master crises and emerge stronger.
Read on to learn more about each of the strategies