Is your Brand Brexit Proof?

There’s no getting away from it; business is getting tougher and tougher. The ‘B’ word and its uncertainty is affecting all areas of our economy, and it doesn’t look like it’s going to get better any time soon.

The truth is, it’s probably only a matter of time before the next recession is upon us, the question is, is your brand ready?

A recession isn’t fun, but it doesn’t have to be all doom and gloom. It can represent a valuable opportunity for a brand that proactively positions itself to capitalise on the situation. By understanding your customers’ changing needs during this time of uncertainty, and fulfilling them in unique ways, you can pick up market share and acquire growth once the market recovers. Here are four ways to prepare your brand and ensure you not only survive the downturn but come out of it in a better position than your competition:

1. Don’t cut back your marketing spend
Talking to companies over the last six months, there is a lot of cautiousness when it comes to spending their marketing budget. The first instinct is to cut back on what is considered non-urgent spend and many assume that marketing is the low-hanging fruit. However, this is a short-sighted tactic that can end up hurting your bottom-line in the long run.

Cutting your marketing budget means cutting off valuable connections with the very audiences that might otherwise help you weather an economic downturn. Brands without a marketplace presence are those left most exposed during a recession. Digital campaigns, in particular, allow you to micro-target your key customers with relevant messaging, even on a tight budget. In a time of quiet, marketing will enable you to make the most of opportunities – your voice will sound even louder, and your messages will saturate the market.

2. Re-assess Your Brand Positioning
In times of economic uncertainty, customers re-assess their priorities and alter their buying behaviour. It is therefore a perfect time for companies to step back and re-assess their brand positioning and ensure their brand story is relevant and authentic. A brand audit will assess the strengths, weaknesses, opportunities and threats of the marketplace and reviewing competitor activity and help you create a fool-proof plan for the future. Carrying out behavioural analysis will help you get to the crux of the pain and gains of your customers allowing you to highlight a benefit or fix a problem.

Re-enforcing what you stand for and finding ways to address the unique and changing needs of your customers will set you apart. Identify the things your customers are most likely to cut back on during a recession and present more valuable alternatives.

3. Focus on where you add the most value
For brands and consumers alike, making the most of a recession is all about understanding value. So honing in on what you do best is a smart move. What value do you provide to your customers? It’s critical that you not only understand your unique value propositions but that you can articulate them in a way that your audiences understand. Carrying out market research at this time will help you understand the perceived value of your services. Is your brand an affordable luxury? Do you offer services that reduce other costs? What is your brand story, and how can you help your customers during these unsettling times? You should take a two-pronged approach – yes, target new customers – but perhaps more importantly – do everything possible to build loyalty with your current customers. For example, look at ways to build relationships by introducing loyalty schemes or ‘added-value’ services.

The more specialised your offerings, the harder you are to replace. Brands that target niche industries with niche products and services are better suited to withstand uncertain times because their customers don’t have the luxury of looking elsewhere to fulfil their needs.

4. Explore New Audiences
One of the best ways to minimise revenue loss during an economic downturn is to look for new opportunities in previously unconsidered market segments and reposition your offerings accordingly. In addition to exploring new audiences domestically, look overseas to countries or regions where Brexit is likely not to have a sizable effect. A recession can also be the best time to launch a new brand or venture. The competition is measurably less intense, and consumers are more likely to respond to something different with perceived value instead of the brands they usually use. Offset risk by targeting smaller, niche audiences during the downturn and then use the foundation to grow the business post-recession.

No one quite knows what the full extent of what Brexit will be and what it means for the economy, but signs at the moment are not good. Make sure your brand is prepared for the evitable disruption and possible downturn. This means:

• Being smart about where you cut your budget
• Being open to change
• Understanding the true value you provide to your customers
• Being willing to explore new markets you might not otherwise consider.

Here at Brandwork, we can help you re-assess your brand positioning with our brand audit programmes. Vital information from our market research services can help steer your marketing plan. Our behavioural design analysis will give you a clear picture of your customers habits and motivations, and our creative solutions – based on hard-hitting business strategy – will create the wow-factor campaigns needed to lift you ahead of your competition.

We understand time is of the essence and budgets are restricted, so we have formulated a brand sprint that requires only 4 hours of your time and the top brains of your business. The brand sprint takes you through a series of exercises to build a brand strategy that is flexible enough to weather the Brexit storm. It’s a great solution for companies worried about communicating their true value, looking to target new sectors or audiences or looking to enhance what they already have.

Get in touch if you would like more information on any of our services by calling us on 01234 720079 or emailing hello@brandwork.co.uk