It’s time for Plan C: Adjusting your marketing budgets in crisis times

The best plan for a disaster is what you do before it happens, says Acoustic’s Michael Trapani.

The sudden global turmoil caused by the COVID-19 pandemic has pushed industries to their limits and many companies have had to throw Plan A and even Plan B strategies out the window, starting with “Plan C”.

“It will always be more effective to have options before panicking as you make more rational decisions from the start,” said Michael Trapani, senior product director. marketing for acoustics.

According to Trapani, who shared these insights at the recent MarTech conference during his presentation titled “How to Manage a Marketing Budget in a Crisis”, the key is to create a C plan before you need it.

For those overwhelmed by the pandemic, now is an important time to make sure you don’t go blind, as many organizations are heavily committed to planning the fall of January 1 next fiscal year.

‘It doesn’t have to be a solo act, but a team activity. And the best ideas come from people who think differently, “he said.

‘You may not think of all the scenarios, certainly not other functional organizations, just for marketing. But suppose you lose your sales force. Now you need to change the model if the pipeline has enough support for the sales team. Therefore, it is important that we all have different opinions and points of view that can help shape Plan C.

Solution scenarios

While the pandemic is the latest example of a crisis, there are several reasons why a company should cut its budget quickly. In case of how good this is for your organization, Trapani said it’s important to consider your options.

“I would suggest that if you want to create a budget that is significantly different from the original plan, you only need to do one budget, but three,” he said.

Let’s assume your order has a 20% discount. Scenario one will be approximately 5-10% higher than the required reduction.

Essentially, it’s a scenario you send to a CFO who responds to a budget return request, but also ensures that your department can meet current performance goals.

Even if the CFO isn’t, it’s important that you have an option that works best to achieve your existing goals before the crisis begins. And when things change from the team’s point of view, “he said.

Then there is scenario two where the total budget is discounted as needed. So strategic changes need to be implemented in the department.

The third scenario is just for you and shouldn’t be shared with your CFO. To create an even smaller budget than you initially need.

“It’s not entirely unlikely you’ll have to cut it again,” Having this scenario really helps you think about what to do when the worst happens. As a bonus, you feel better if you only lost 20%.

Change your strategies

As mentioned above, adjusting your marketing budget probably means adapting your strategies to the lightest package you can use. It will never be an easy process.

“You can’t try to make Plan A with the money from Plan C,” he said. “You have to do more for the right amount of money, and that means your goal will be less and what you want to achieve will be less than what you want.”

To begin, you must first prioritize large numbers. These are things like paid media, good marketing, and investment opportunities at Martech. But even in these areas, said Trapani, you need to remember that you can get the most out of your investments.

“Always keep the best game with you, because it is the best”.

Second, guide your decisions.

“All of your business goals, whether sales, conversions, renewals, or increased loyalty, will take those goals into account in your decisions,” he said.

Finally, let the marketing tools guide you to your goals. This includes using tools such as automation platforms to help you do more with less. Adaptation mechanisms are also useful for automating content tracking, and project management platforms can help teams work more efficiently.

“There are a lot of tools that can really help you work smarter, especially if you work with a small team or on a limited budget.”

As Trapani said, these are difficult decisions, but trust needs to be addressed.

“That’s it,” he said. “With the right skills and the right practices, you can face this difficult situation, learn from it and get results for your business, your business, and the team you are looking for.”

“Take a deep breath, inhale, and get to work.”

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