How to get your business through a global pandemic

Since March 2020, the global economy has faced unprecedented collapse, not from a physical world war, but an international, invisible war on the human race. Many of us never expected to be in our third national lockdown in England almost a year since the onset of the global pandemic, yet here we are. And with the economic recovery of our country going to take years before we see a substantial return to some distant resemblance of normality, now is the time to prepare long term strategies of how you will keep your business afloat. Award-winning marketing agency, Creative Pod, have experienced great success and expansion during COVID-19, and have pulled together some advice on how to survive a global pandemic as a company.

Although a survey by ‘Simply Business’ outlines that the South East has had the second to lowest business closure rate due to coronavirus of 3%, we sit slightly above the national average for loss of earnings last year, at just under £12,800.

A study conducted in June 2020, showed that 28% of national SME companies think they will need to make redundancies in the aftermath of COVID-19, and 36% have had to halt all growth projects. The study also estimated that more than 50% of SME companies could be out of business in the next 12 months, and we are now just four months till this deadline. So, with many businesses at breaking point, what is the solution?

Many studies have shown that the key to keeping your business afloat is marketing, but this is often one of the first things that business owners look at when needing to cut costs, which is a fatal error. During the first national lockdown of 2020 between March and June, the Institute of Practitioners in Advertising (IPA) reported the largest decrease in business marketing spend since it started its research more than 20 years ago, superseding the global financial crisis of 2008. IPA recorded that 50.7% of UK companies drastically reduced their marketing budget, and with England deep into its third national lockdown, companies are struggling more now than ever. But it is of vital importance to an owner’s business that they continue with as much marketing as possible, as the IPA also reports that cutting marketing budgets reduces profitability and growth of a business, which is a sure way to send a company into insolvency in the current economic climate.

Matt Turner, CEO of The Creative Group which holds six companies, including Creative Pod, said “The reason businesses are becoming insolvent is because they don’t have enough clients to break even, but those clients are out there, even in our current economy, it’s just a little more difficult to reach them. Well, the only way you are going to find those clients is by marketing.

We have always known that you need to strike while the iron is hot, and over the last ten months, we have witnessed this more than ever with our clients. We have seen a massive increase in businesses approaching us for marketing assistance, and those that have invested in this activity have seen the huge benefit it can have. For many of them, it is likely to be the reason they are still around in the next 12 months.

Right now, it’s about keeping your head above water, and for most businesses, their life jacket will be marketing.”

For help with your marketing, or if you would simply like some advice, please contact Creative Pod on matt@creativepod.uk.com