Totem：2023经济衰退时期的营销策略分析报告（英文版）（21页）.pdf

1、2023MARKETING STRATEGIES FOR RECESSIONGoing into the pandemic,there was a great deal of expectation for a recession.The downturn didnt happen and for a wide range of consumer brands(selling physical products),it was a massive boom.For a large range of physical products,demand was pulled forward duri

2、ng the pandemic.Online sales also gained further ground during this time.With a general re-opening,we are now seeing a pull-back in demand for many of the big winners from the pandemic.Demand has been shifting toward services,entertainment and travel.Offline retail has regained some share of sales b

3、ack from Online.Recession is looming both in China as well as multiple other markets Globally.RECESSION LOOMINGSTAGE 1RECESSION LOOMINGSTAGE 1 There is a shift down in consumer demand(and sales volume for brands).Marginal players-with weak positioning and/or financials-may dropout of the market,toge

4、ther with a wave of consolidation(M&A).Brands must assess/implement:-Impact of downturn on category -Risk assessment;burn rate,CAC vs LTV-Top-of-funnel vs Bottom-of-funnel evaluation-Adjust(cut)marketing spend STAGE 2 A weak market with changing,uncertain conditions,defined by general malaise and po

5、ckets of growth/optimism(with niche consumer groups relatively better off).Brands must assess/implement:-Strong loyalty(repeat-purchase)incentives-Understand/respond to customer sentiment/motives -Emotionally powered creative ads and strong sales incentives -Projections on return to trend line STAGE

6、 3 A slow,uncertain market recovery.Select regions(countries)recovering more quickly than others.Brands must assess/implement:-Quickly increase advertising spending to capture market share-Marketing spend in sync(and slightly above)category trend linesDemand Pocket Below Trend SalesDown-Shift Demand