The Impact of Financial Crisis on Marketing Practices

The common challenge faced by marketers in a recession, budget restrictions. According to a study this summer in CEE region by Linea Directa Communications, a direct marketing and call center company, companies with small marketing budgets dominate in terms of study participants, Undering budget 250 000 EUR, which reported especially in Hungary (89 , 4%), Russia (88.6%) and Romania (85.4%).

The biggest budgets, are 1.000.000EUR meet in small percentages in Czech (5,4%), Slovakia (4.9%), Poland (4.5%) and Slovenia (4.3%).

Marketing budgets in 2009, suffered many changes

In 2009, the biggest cuts in marketing budgets are in Russia (28,6%) and Romania made (22.7%), the company cut budgets up to 30%. Similar budgets in 2008 are in big percentages in Hungary (44,4%), Slovenia (43.9%) and Poland (43.4%).

On the other hand, there are also companies that in marketing communications, countries such as Russia (19,6%), Poland (19,2%) or Slovenia (16.2%).

This money will be spent in 30-70% mainly in internet promotion (using banners, blogs, social networks, etc.), catalogs, mass marketing (TV, newspapers, radio) and events & fairs organization. The smallest budgets (the max 30% from marketing budgets) are distributed for sending SMS & Mobile Marketing, telemarketing, direct mail and e-mail.

As communication channels, the most used are internet (using banners, blogs, social networks, etc.), e-mailing, catalogs distribution, fair & events organization. In the end we have SMS and mobile marketing, PR and Drop-mail, be less important channels.

“This shows that the company is based on the marketing activities that can be measured by more effectiveness, but not too much. There are still less popular channels such as telemarketing and mobile marketing that are not used too much. Advantages, of these channels consist not only in direct interaction with customers, but also in the use of a wide range of services. therefore Telemarketing is a great tool, not only in an increase in sales, but also for testing new offers, market research to the to measure customer satisfaction. Telemarketing can also generate sales opportunities, business meeting or to establish, to use Customers Please call for details specific to a particular product or service respond “required, said Dejan Grbic, Head of Business Development at Linea Directa Communications.

According to the study, companies organize marketing campaign to increase the number of customers, improve customer loyalty and retantion and maximize the existing customers through additional sales. Companies also take into consideration to databases used later in their communication campaign to develop in order to create a better awareness and for the repositioning of the brand / products.