SHOULD COMPANIES INCREASE AD SPENDS IN TOUGH TIMES OR CUT ADVERTISING BUDGETS?
Companies should act smart and look at the SOV (share of voice) they generate with the amount of advertising money they spend. Even though during tough times the corporate behaviour (read marketing budgets) changes for every company, one should not loose sight of the long term goal market share or leadership and advertise to maintain or achieve it as the case may be. The decision to spend less or more depends on various factors like marketshare ambitions, competitive scenario etc. Among the many variables the only thing that is a constant for great companies is the drive to stay on top. Tough times or good times, one thing that remains clear is that the companies that come out tops never loose sight of one important aspect that of Brand Building by continuously investing in the brand.
