Respond to Macroeconomic Conditions with these Micro-Marketing Tactics
Inflation rates reached a record four-decade high in June 2022. Budgets for households are being squeezed by rising expenses for food, gas, and rent. Business owners have grown more worried as a result of the government’s consumer price index’s 9.1% increase over the last year, which is the highest increase since 1981.
According to data, 84% of Americans intend to reduce their expenditure, which will have a ripple effect. In reaction, businesses are focusing on their finances, with marketing spending frequently being among the first to be reduced.
We’ll get specific about our marketing plan by discussing a few micro-marketing strategies that are little but effective.
Let’s first examine how marketers have been spending their money and responding to the current state of the economy.
How marketers are responding to the macroeconomic conditions
The marketing and economic environment in which we live is complicated. When every dollar spent on marketing must provide results, marketers can no longer operate under the “spray and pray” philosophy.
At this point, many marketers want to adapt and succeed despite the upcoming uncertainty. However, they frequently have no control over budget reduction. Marketers have reported feeling more pressure in recent years to demonstrate the value of their marketing initiatives, which is difficult given how many CFOs are laser-focused on immediate outcomes. A highly successful relationship might be sparked by bridging the marketing and finance department gap.
According to a Gartner poll, marketing spending will account for 9.5% of total company sales in 2022. This amount is still less than the 10.9% average budget for 2018 and 2020, though.
To maximize every dollar, marketers are reverting to an omnichannel approach and spending nearly half (44%) of their available money to offline channels. Even while COVID promoted a digital-first strategy, marketers will be forced to concentrate on their most effective channels as a result of financial constraints.
According to the Gartner poll, CMOs are adopting a “back to basics” strategy, with campaign creation (10.1%), brand strategy (9.7%), and marketing operations (9.6%) ranking as their top three investments. The main objective is to increase awareness and engagement through persuasive marketing initiatives that resonate with consumers.
The rise of micro-marketing tactics
As we return to the fundamentals with our marketing strategy, it’s time to simplify some of the best practices and processes in our marketing initiatives and make little adjustments to produce greater and better results.
Audit and implement
Some websites are already feeling the effects of Google’s latest Helpful Content change. Now is the perfect moment to conduct a website or content audit to evaluate the health of your website and update its SEO for a higher placement in the search engine results pages.
In order to focus on the content on other channels you currently own, such as in your email nurture marketing or social media efforts, you can use this method to identify what content subjects are effective and driving conversions. A report or document that lists all the information accessible might assist various departments in developing new campaigns or improving underperforming content.
Your campaign name can be whatever you want it to be, but whenever it is shared, UTM tracking should be added. Spreadsheets can be the misery of our existence, but a shared UTM tracking document should exist so that everyone adheres to the same naming conventions and can easily identify which campaigns have used previous UTMs. When a piece of content is posted on social media, these UTM parameters can be utilized for more detailed tracking across organic posts and paid placements.
We as marketers put a lot of time, money, and resources into our technologies, so make the most of them and reintroduce the automation to marketing automation. There are various methods to use automation to maximize return on investment, from automating direct mail or email campaigns, such as welcome tracks, post-purchase communications, retargeting/abandoned cart, or segmented nurture tracks, to automating social network posts and direct message replies.
A/B tests are often something we love to perform on emails, landing pages, or advertisements, but it often feels like we run the test, grasp what the data is telling us, and then go on to the next marketing campaign.
Take a page out of the Agile playbook and conduct a post-mortem on each A/B test and marketing campaign so you can examine the findings right away and use the lessons learned for the subsequent campaign or iterations of your top performers. Marketing teams can be missing out on possibilities to immediately optimize efforts for higher ROI because they frequently seem to wait until yearly planning to review past campaigns and results.
Know your customers
Although we are aware that consumers are making expenditure adjustments, not all consumers are reducing their budgets in the same manner. Send surveys to your customers to learn what’s important to them in terms of your goods or services and what they would pay for. Additionally, you may use the survey results to further segment your database, improve personalization in your subsequent marketing message, and even create unique offers to compel response.
Celebrate your customers
By looking for user-generated content (UGC), you may produce excellent content for your brand on a budget. Sharing UGC is not only cost-effective because the consumer has already done the majority of the work, but it’s also a simple approach to boost your brand’s reputation because your customers are essentially acting as your brand’s spokesperson. UGC may assist prospects in moving into the next step of the funnel by giving you amazing content to share without having to create it yourself.
Build influencer relationships
Spend some time on social media interacting with people in your business. You don’t have to go full out with an official influencer partnership; you can simply share and tag their content on your own networks or leave comments on their posts on LinkedIn, Twitter, Facebook, or Instagram to get your name in front of their followers.
See if you can sponsor material in trade email newsletters, or look for sponsored content or advertorial opportunities with journals or websites in your business. This content can be batch-produced in advance and sent to subscribers as gated content.
Prioritize proven ROI-driving channel
Marketers must rely on the data at their disposal to optimize marketing initiatives – what will yield the highest ROI?
Many marketing channels have a place in most firms, even though direct mail has a 13x greater base response rate than email and an open rate of 90% vs. 29.55%. Choosing the channel that best fits your message and present workflow is the objective.
For instance, direct mail can bring back non-responsive email subscribers if you have a list of them and their postal addresses. Similar to this, you can send an email to generate buzz if you intend to mail customers a special offer. When money is tight, knowing which channel to use is more than half the battle won.
When a strong return on investment via direct mail is ensured, why take a chance on anything else?
Harness the power of smart, automated direct mail
If your budget is getting tighter, now is the time to invest in channels that will boost direct mail that is personalized, connected, and measurable in order to maximize revenue, ROI, and customer lifetime value.
Switch can help you convert direct mail into intelligent mail. The automation method will enable you to save expenses and boost direct mail ROI, which is crucial this year and moving forward. Try Switch for free today!