CEBU, Philippines – Letting go of the advertising budget would be the least of all options of a company in times of crisis, they instead need to beef up advertising allocations to stay in touch with the market.
“Advertising is very important. We should not lose touch with the market,” said Pinky Yee, marketing director of Goldilocks Bakeshop, Inc.
Yee said business players, especially retailers should see the importance of advertising to their businesses, otherwise if a brand is not visible even just for a while, it can easily be forgotten by customers.
The reason why, Goldilocks still dominates the country’s “comfort food” market such as cakes, pastries, among others, is the company has not sacrificed its marketing or advertising budget—crisis or no crisis.
She said this is one of the secrets applied by successful retailers, not only in the Philippines, but worldwide, “not to lose touch with the market.”
Aside from placing advertising collaterals in traditional channels, like newspaper, television, radio, billboards, among others, retailers believe that there are also other innovative ways in staying visible in the market, such as partnership with other retail companies, giving “value for money” for customers.
“There are a lot of ways to reach out to customers,” Yee said explaining that advertising should be sustained and be given importance for budget allocations.
Likewise, two mall operators in Cebu, Ayala Center Cebu, and SM City Cebu, also applied the same strategy.
Marissa Fernan SM Prime Holdings vice president for Visayas and Mindanao said that the mall group has not sacrificed its advertising budget, amid the global economic recession.
Fernan said budget for advertising now is even “bigger than before.” She believes that more than ever, this is the time to boost promotion for the mall.
Also, Ayala Center Cebu‘s group head Clavel Tongco said that the mall has maintained its big chunk of advertising budget, to support tenants and stimulate the market.
Tongco said advertising support for its tenants is still in “big-shape” in terms of budget allocation.
Tongco said for Ayala Center, sales growth of even luxury items is largely based on how tenants’ are marketing their products. She said the market will only respond to the different and attractive marketing or advertising campaigns being offered by a particular store for instance.
This is why she said advertising campaigns should be strengthened during the crisis, while the market is vulnerable.
According to Yee, one of the pitfalls of a retailer is when he decides to lose presence in the market. Whether the market is weak or dynamic advertising budgets or expenses for sustained marketing campaigns should not be cut-off or sacrificed.