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In a short period, human and market behavior has undergone massive changes due to the rapid onset of COVID-19, or coronavirus. From running out of stock on staples, to the closure of schools, to cancellations of major international events and mandates for business closures except for those considered “essential,” the COVID-19 pandemic has had a massive impact on the daily lives of just about everyone.
Where we’re at now
Things are disrupted, but for the most part, businesses are managing. Companies have flocked to Zoom, digital meetings are now standard and through the uncertainty, businesses are continuing their new days. There certainly have been plenty of layoffs in the digital and media fields. There have been key executives taking pay cuts, and there have been brands that have entirely uprooted their businesses to solve needs using their capabilities and skillsets.
Health and wellness see significant increases
Health and wellness, and home product D2C brands are pressed to keep up with demand. In fact, in the U.S. alone, 32 percent have purchased more products in the health and wellness category and 45 percent have purchased more cleaning supplies — we all see the sanitizer and gloves spots empty at our local market. For many, the growth has been so hard and fast that these brands are struggling to keep up with the demand.
Non-essentials or non-staples
Us humans tend to spend more of our disposable income on non-essentials. However, in less stable times like the present, we shift priorities to essentials — what we need versus what we want. But, don’t worry, as many of us fit into the discretionary, non-essential category, there will be light at the end of the tunnel.
Now more than ever, the world is looking for ways to connect its shared condition and our commonalities. We can all find some humanity in our situations, whether moms are drinking too much wine or kids are watching too much TV, or you can’t stand working from home one more day. Brands that reach directly to their consumers have a significant moment to connect their brand with their customers.
Where we’re headed
Eventually, the crisis will become a non-crisis, and the economy will see progress again. There is much to be seen as far as workers returning to work, kids returning to after-school or summer programs and events taking place as we knew them. Plus: we need time and new data to see how customers respond in the new normal and what their buying cycles will look like, e.g., will they be slower, faster, more discretionary?
Steps brands and marketers can do today
Global pandemics and crises are not ideal times for increasing market share, growing profits or making the situation advantageous to our brands. If we’re ideally situated or if we can pivot to help, fantastic. But it’s not the time to increase pricing respective to demand or saturate a market for self-benefit. Instead, as businesses and brands, we set up the opportunities that come after a crisis.
Here are five things to begin working on right now
- Don’t stop communicating.
Thanks to social distancing, more people are spending time on social media and performing more daily activities online than ever before. This time does present an opportunity to reach your audience with the right tone and less noise. Your customers do need to know you’re operational, if you are, and any changes you’ve made to either hours or places of operation or service offerings and how you can meet their needs. And if you need to pivot to do so, this is where you plan for that. They should also know what measures you’ve taken for health and safety should they continue to do businesses with you and your plans for staying ahead in the future as it changes.
If your business is D2C, you’re in a good position so long as your supply chain is strong, and your user experience (UX) is set up for your users’ needs. If you’re not a consumable, pre-sales are an excellent option, as are delivery services (wine startups are thriving, thanks to moms). Your business may also be able to provide a line extension that allows people to stay productive and happy at home.
- Don’t knee-jerk your marketing.
We’re in a time of increased consumer attention. Instead of cutting your marketing, redistribute it. Rethink the messaging, the customer and the offering, but don’t stop. One reason not to is diminished supply. With other advertisers cutting their budgets, there’s less noise for your business to market against, and less noise for your consumer to see and hear you. This presents an opportunity for you with better rates and less ad activity overall. Companies should note that current market conditions mean rapidly different buying decisions. Find what those are and meet them there, or adapt and respond.
- Redirect marketing budgets where it makes sense.
We’re seeing clients redirect marketing budgets away from tradeshows, travel, conferences, office rent, labor and the last bit of traditional media like radio, since there’s less car time to tune out to it, and over to social media and paid search.
- Focus on customers.
Many humans now have more time on their hands by working from home. If you can solve needs and keep clients happy, you can win them in the long run. So try and find ways to incentivize your customers with perks, givebacks and more. Remember, everyone is affected, so how can your business make things easier?
- Find new opportunities.
How can you incorporate more digital, get your products online or on Google Shopping? Can you create monthly subscriptions? Your business has an arsenal of digital tools to help connect you to your world and your customers. We will get beyond this. So what can we, as brands and businesses, do to either keep the momentum of our product sales now or regenerate sales once consumer confidence returns?
Christina Brown is a founder and the Creative Director at Savy Agency, headquartered in Bend. Savy has brought brands to life since 2007 and is a top-performing Google Partner delivering comprehensive marketing services to brands in a variety of industries. Savy’s in-house team of designers, developers and content creators work together under one roof to enhance the competitiveness of every brand they serve.
