The World Bank has warned that we may face a global recession in 2023, which has understandably led many brands to rethink their marketing strategy. With so much uncertainty in the economy, it’s more important than ever to connect with your customers and understand their thoughts or feelings. Remember: it’s not just brands that’ll face the recession, it’s consumers too.
The good news is that consumers don’t stop shopping during a recession. Sure, they might be more mindful about what they’re purchasing and who they’re purchasing from, but they’ll carry on spending, nevertheless.
How do you win over customers during a recession?
Two words: loyalty and trust.
If a customer is loyal to your brand, they won’t necessarily want to switch to a competitor to save a few pennies. Then there’s trust. In uncertain times, new customers may not want to experiment with brands or products unless they can earn their trust.
So how can you cost-effectively earn loyalty and trust? Influencer marketing (you can get the full guide to influencer marketing here).
Why should brands look to influencer marketing during a recession?
Historically, the brands that increase their marketing activities during a recession, come out on top. While most brands may shy away from marketing efforts during uncertain times, those optimising their marketing strategies often come out the other side of the recession with a greater market share.
The key to nailing your marketing is using proven methods that improve your marketing return on investment. That’s why influencer marketing needs to be at the forefront of your marketing strategy. Influencer marketing is more effective than other forms of paid advertising. Consumers have grown tired of the standard paid ads, preferring to hear what an influencer thinks about your brand instead.
Those two words we mentioned earlier; loyalty and trust. Well, influencers have garnered those. Then you add the fact that influencer marketing, on platforms like Instagram and TikTok, is actually measurable and you have a winning recipe. Influencers dedicate their careers to building communities of loyal followers that trust them. They get to know what these communities want and how they think — knowledge that’s highly valuable to brands.
People often follow influencers because they share their values and would trust their recommendations. If we look at Gen Z alone, 72% of them follow influencers, and 70% have said that user-generated content (UGC) is ‘helpful’ when making purchasing decisions.
So now we know how much value influencer marketing can bring your brand, let’s see how you can start working with influencers.
4 ways to use influencers in your recession marketing strategy
1. STAY ACTIVE ON SOCIAL MEDIA
Aside from your own organic content, you’ll want to find other ways for your brand to stay top of mind for new and recurring customers. In a time where most brands will go quiet, it’s a great opportunity for the rest to either make a name for themselves or continue to grow their customer base. You’ll successfully draw in new customers and engage existing ones through consistent and regular influencer marketing.
2. NEGOTIATE INFLUENCER AGREEMENTS SO THEY BENEFIT EVERYONE
Depending on your budget, you could work with micro influencers with a more tight-knit community or macro influencers with vast reach and selling power. And think about creative ways to compensate influencers. Some influencers are happy to be partially compensated with products in exchange for compelling content. Just be sure you’re still offering fair payment agreements.
3. BE RELATABLE
Influencer marketing is a great way to show your customers that they can relate to you or that your brand fits well within their community. Again, your customers want to feel that the content is authentic, so set the brief, then let the influencers work their magic. You’ll want the content to feel true to their brand as that’s what their audience expects.
4. SHOW YOUR CUSTOMERS THE VALUE OF YOUR BRAND
Influencer marketing is a great way to show your customers the value that your brand or product can add to their lives. This is especially important for consumers who are trying to be a little more conscious about their spending in a recession.
Find the right influencers for your brand
Looking for an easy way to find influencers and creators aligned with your brand values? TRIBE lets you build your community of creators and execute influencer marketing strategies that rival the world’s most innovative brands.
Want to see TRIBE in action?