Many companies consider that in times of crisis it is necessary to reduce expenses. Especially the fixed ones. On many occasions, it can be justified.
Mainly, there are two approaches. Either you make the company profitable, or you close the company. It is clear that personnel costs is one of the most obvious items. However, without labour, there is no production and therefore the company does not work. This cut is not worth it.
However, if you choose to cut back on other items, it may mean the loss of not only competitiveness in the medium term, but also the very survival of the company.
Many small businesses consider their investments in marketing unimportant. Especially, the companies that until very recently reached their customers through traditional methods or directly, had no methods; companies that do not believe, or do not want to believe that everything is changing. However, a lot has already changed and it is a shocking reality for many.
Digital marketing, customer service, brand image services may seem unnecessary expenses that is why they tend to lose out in the screening of economic crises. However, eliminating those kinds of costs is often signing the company's death sentence.
How much does it cost today, for example, a rural house, or a hotel to not being visible on the internet? They simply would not exist. If a tourist region does not invest in online tourism, it would not exist for a whole generation of people who choose their visits and vacations many days before the departure. It is equally important for a company that sells metallic structures, or chemical articles, to be well visible and positioned in the appropriate digital markets. There is a cost of not knowing the advantages of geolocation, and the philosophy for a traditional business. SO-LO-MO (social+local+mobile) marketing is there in the Silicon Valley for a while now. Ignoring these, how are you going to get and retain customers?
The non-existence of the company on the Internet, the lack of a continued presence in the digital medium (visibility in social networks, web positioning, video, PPC advertising, traffic analysis, digital strategy, etc.), if not a short-term death sentence, which is certain is that it is a loss of competitive position when the market is buoyant again. In addition, it is not about having a website. That is no longer important.
Cutting expenses on these services is an incredible loss of opportunities to be in a prominent position in the network. Companies that understand it this way are not only weathering the crisis, but are laying the foundations to take advantage of the new digital market.
Control the positioning of your company's services, introduce new online marketing channels, measure the results and origins of new clients, retain new customers by opening new markets, provide visibility on social networks for your brand, introduce new forms and procedures in the company, they will make your company take advantage of these moments to emerge stronger after the crisis. These are vital takes for the companies that want to not only survive but also grow stronger after the crisis has hit.