Les Binet wrote and article titled Marketers need to take a more nuanced and thoughtful approach to the COVID-19 crisis.
« This is not a normal recession »
« Most of the historic market contractions that we have studied have been crises of demand. Some had their roots in the supply side of the economy (industrial disputes, oil prices, financial liquidity), but as far as CEOs and CMOs were concerned, the immediate problem was a slump in consumer demand. »
« This crisis is different. Yes, demand is an issue for many businesses right now (although not all). But for many firms this is a crisis of supply. And that changes things in two important ways. »
« Firstly, it changes the size and shape of the crisis. This recession probably will be much sharper and deeper than most previous recessions and the shape of the recovery is unusually hard to predict. Telling advertisers to “invest for the recovery” may grate if they are fighting for their very survival and there is no recovery in sight. »
« Secondly, it changes how firms should respond. If demand is the problem, advertising is an obvious solution. But if people can’t buy or use your product right now, then the role for advertising is much more limited. There may still be reasons to advertise. But stimulating immediate demand certainly won’t be one of them. »
Les Binet has co-authored several books on advertising, including How Not to Plan: 66 Ways to Screw it Up and Effectiveness in Context: A Manual for Brand Building.
[ Corona virus, COVID-19 ]
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