Strategies for Marketers Thriving in a Slow-Growth Climate

Source: Shutterstock

The tough economic conditions in the UK are well known to everyone. Even though there may be some signs of improvement, marketers are still facing the challenge of boosting growth in a slow-growing economy.

Various sectors have been affected differently by the challenging times. Despite this, some brands have managed to navigate the difficulties more successfully than others. One example is Guinness, which was chosen as Our Website's 2023 Brand of the Year.

Anna MacDonald, the marketing director of Guinness, shared at the Oystercatchers' quarterly Club event on May 23, that the brand is closely linked with the pub and hospitality industry. She mentioned that while the brand is doing well in some aspects, it faces challenges in others.

MacDonald highlighted the constant struggle for marketers to find a balance between long-term success and short-term results. She emphasized the importance of looking beyond day-to-day brand performance and focusing on strategies to support the industry's growth and success.

"It can be quite challenging," she mentioned, "but it's crucial to focus on both the long-term and short-term goals."

In a different industry, Warner Music is also encountering comparable difficulties. Natasha Billing, the company's new senior vice president of commercial and data insights, explained how the music industry has been experiencing a constant state of change.

However, there is currently a chance for growth. A music industry expert suggested that major record labels should adapt to the current era where it's easier for musicians to enter the market. Billing plays a crucial role in helping the business create a plan for change, starting with prioritizing customers and fans.

Despite their best efforts, marketers may struggle to drive growth in entire sectors. The head of marketing at Three UK noted that the mobile industry is already well-established and not experiencing significant growth. The challenge lies in the fact that the category itself is quite stagnant.

"There are some tough challenges in the mobile phone category due to the economic situation," he said. One issue is that consumers are keeping their phones for longer than the usual two-year contract period. Additionally, people are less loyal to specific brands as they try to save money, leading to more changes in the market.

To address these challenges, Three UK is putting more resources into improving its loyalty program and enhancing customer experience. This change in strategy has shifted their focus towards retaining customers and providing better service.

Exploring Agency Relationships for Business Growth

Jessica Tamsedge, CEO of Dentsu Creative since 2023, also shared insights at the event. She discussed the various growth challenges her clients face, categorizing them into different areas. One major challenge is related to the brand, especially in the aftermath of the pandemic and inflation. This has impacted margins, cost defense, and the protection of premiums. Businesses are finding it increasingly difficult to safeguard their brand spend, presenting a significant challenge for marketers.

Navigating the data challenge can be tough. Many clients have invested in marketing technology to prioritize customer centricity, which is great but also presents its own set of difficulties. Agencies are also learning and adapting alongside their clients.

As companies evaluate their paths to growth, the spotlight is on agency partnerships. The most successful relationships I've seen are those where agencies actively collaborate with their clients, providing strategic advice, guidance, and support when needed.

MacDonald believes that brands should improve their communication of the business problem when collaborating with younger team members in agencies and on the brand side. After completing briefs with detailed analysis, the information provided to agencies by brands may be limited in scope.

According to MacDonald, brands may only offer a small piece of the overall picture, so there is a need to enhance communication to convey the broader business problem and the specific issue that the work aims to address.

Editor's P/S:

The article highlights the challenges faced by marketers in a slow-growing economy and explores strategies for driving growth. It emphasizes the importance of balancing long-term and short-term goals, adapting to changing market dynamics, and leveraging agency partnerships. The examples of Guinness, Warner Music, and Three UK illustrate different approaches to navigating these challenges.

While the article provides valuable insights, it could benefit from further exploration of emerging trends and innovative growth strategies. For instance, discussing the impact of digital transformation, personalization, and customer experience on brand growth would add depth to the analysis. Additionally, exploring case studies of successful growth campaigns in different industries would provide practical examples for marketers to learn from.