Driving Revenue During a Recession

Marketers have two primary objectives — to deliver value to prospects and customers, and to build brand loyalty. While that remains true, the challenges that have arisen from the COVID-19 pandemic and the cost of living crisis have forced marketers to rethink their B2B marketing campaign strategies and tactics with the aim of doing more with less. 

Global economies are heading toward a recession, with many arguing we’re already in one. With the cost of advertising during a recession increasing, marketers are seeing diminishing returns on their ad spend. So how can you drive revenue during a recession? Our latest report, in partnership with Retail Dive, aimed to answer just this. 

The ROI of Retention Versus Acquisition

Ad budgets are shrinking, along with ROI. Ad prices on platforms such as Facebook and Google have increased close to 50%, meaning marketers are seeing diminishing returns during these times of economic hardship. 

Why Marketers are Turning to One-to-One Messaging During A Recession

Mass messaging simply doesn’t work anymore, as consumers must be choosy with where, when, and how they spend their money during a recession. In order to drive brand loyalty, marketers must ensure a one-to-one experience that customizes their ad to what each individual values. This can only be delivered when you own your data, as 95% of traffic to a retailer’s site is anonymous, according to Richard Jones, Chief Revenue Officer at Wunderkind. 

The Economics of Brand Loyalty 

Early studies into brand loyalty suggested that increasing customer retention rates by just 5% would increase profits by a minimum of 25%. Personalized messaging drives brand loyalty in a way that mass messaging just can’t. While there’ll always be a need for some batch and blast emails, the method is generally outdated as customers expect relevant, personalized information and offers.

How to Make Your Business Recession-Proof 

Wunderkind scales your first-party data so you’re no longer relying on third-party cookies to reach your customers. It’s a no-risk proposition, as Wunderkind has a performance marketing business model based on the revenue returns of our clients. You’re guaranteed a return on revenue that is no longer possible on other performance marketing channels. Through growing your own channel data, you can recession-proof your business, with the guaranteed ROI that Wunderkind provides.

Want to learn more about seeing a guaranteed revenue return on your marketing spend? To find out how Wunderkind helped clients Pamela Love and Natori, take a look at the full report.

Download our ‘Driving Revenue During a Recession’ report, in collaboration with Retail Dive. 

To hear more on this subject, listen to the Individuality Unleashed episode on the Economics of Loyalty with Vadim Grinberg, Head of Customer Success, Prescient AI.


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