The biggest challenge marketers and especially advertisers will face in 2015 is pressure to cut budgets. But, there is a way out.
It happens every time there is a slowdown in the economy. Boards of directors love trimming costs by cutting marketing budgets and clients are under pressure to spend less on advertising but ad managers are always expected to perform better with less money. It is pointless trying to argue that it is particularly in tough times that marketing and advertising budgets need to be INCREASED and not the other way round.
Even though clients and boards may understand the logic, these budgets are just far too tempting a target.
The only way out is to make sure that what budget you do have is used in the most efficient way possible.
I have found during the many marketing audits I have done, that nine times our of ten, there is a considerable amount of wastage and I have often made the point that in South Africa alone, about R50 BILLION is wasted on inefficient marketing every year.
So, an audit is the way to go. It is relatively inexpensive and highlights the efficiency of the entire marketing effort in detail as well as improving the efficiency of suppliers and leveraging media spend.
On average, the audits I have done have increased efficiency by round about 30 per cent.
About Chris Moerdyk
Apart from being a corporate marketing analyst, advisor and media commentator, Chris Moerdyk
is a former chairman of Bizcommunity. He was head of strategic planning and public affairs for BMW South Africa and spent 16 years in the creative and client service departments of ad agencies, ending up as resident director of Lindsay Smithers-FCB in KwaZulu-Natal. Email Chris on moc.liamg@ckydreom
and follow him on Twitter at @chrismoerdyk