How Are Marketing Companies Being Effected By The Recession?

As the recession sets in marketing companies are feeling the effects of lower marketing budgets, lower spend and marketing campaigns being delayed.

United Kingdom of Great Britain & N. Ireland -- Free-Press-Release.com-- Sep 13, 2011 -- Marketing Quotes has noticed the change in the marketing trends since the recession started in 2008, not only as certain industries (such as the construction and property industry) halting marketing but many other industries changing their approach to marketing and a change in strategy.

Many marketing companies that were heavily involved in the construction/property industry have ceased trading as clients in the sector have halted their marketing activities altogether.

Many new marketing companies have started up over the last few years despite the recession, as businesses are still optimistic and still having various marketing campaigns running.

Anne Richards of Marketing Quotes commented 'businesses are still marketing, it is just that they either do not have the budgets that they had in the past, or are just being more careful in where they allocate their marketing funds. We have seen more enquiries go through the site asking for more results led marketing; so telemarketing that is based on commission, SEO that has guarantees, I guess companies need to make sure they get value for money and see a return on their investment'.

We have noticed that many of the PR agencies that use the site (and there are around 4,000 UK PR agencies on Marketing Quotes) have been asked about results based PR rather than the traditional monthly retainers.

Website designers that use the Marketing Quotes system (there are around 10,000 web designers on the site) have noticed that people are wanting more for their money, often approaching them with very small design budgets but expecting a high value website. One website designer said 'It is getting harder to compete these days, as there are designers that can produce websites on cost price, often students or offshore designers that we find it hard to compete with. Website design is about quality but it seems that it is becoming more about who can provide the cheapest price'.

Marketing is a difficult thing to quantify; there are thousands of marketing companies around the UK, but finding the right one that can produce great results is not easy. Marketing does need to be considered an investment, the cheapest price does not mean the best results. This can be seen across many areas of marketing:

Telemarketing companies normally charge a day rate for their services; these rates can range from a couple of hundred pounds a day up to nearly a thousand. Paying the highest price will not guarantee the best results, neither will choosing the cheapest company. Finding a telemarketing company needs to be based on talking to a few different ones, choosing one that knows your industry and can provide evidence of their ability to sell.

Marketing companies are finding that the new trend of reduced budgets (as part of the spin off from the recession) is a new hurdle, selling on price is never going to secure business, but engaging with clients is the answer. Any business wants to know that they are bringing on the right marketing partner, a marketing company that will work with them and strive to produce results. Marketing companies are changing the way that they market themselves in order to meet the expectations that have been cast by the shift in the nation's economic situation.