subject: Marketing A In Recession - How Understanding Consumer Behavior Can Increase Your Profits [print this page] Surviving Recession Surviving Recession
It's no secret amongst the most successful network marketing experts and home based business owners: while consumer spending may look a little different during times of economic hardship, they will still spend their money. The trick to marketing in a recession is to understand these behavioral changes and learn how to make them work for you. Keep reading and I'll share some valuable information.
Characteristics Influencing Consumer Behavior
We all know it is always important to get as much information about potential leads as possible, but this is never so true as when you are marketing in a economic recession. While hard economic times might add a level of complexity to your marketing efforts, studies show that those companies who spend the most on marketing during tough times end up with substantially increased growth over those who did not.
For you to win over new leads you will have to improve upon your understanding of what makes them tick and what they are concerned about. You can then use this information to enhance your USP (Unique Selling Proposition) to present solutions to those consumers' concerns.
Four Factors Affecting Consumer Behavior
Cultural elements can play an important role. Consumer behavior can be affected by social class and subculture influences. In times of financial hardship, it is wise to first identify the cultural influences of your targeted demographic. The credit crisis that the middle class is enduring right now might be an excellent launching point.
Social factors also play a big role in consumer spending. Their social roles for their family, occupation and their community will all affect how they spend. Before developing a pitch, know the general roles your leads would have: head of household, stay at home mom, CEO, janitor, etc.
Personal factors like age, lifestyle and personality also greatly influence consumer spending. For simplicity sake, try to group people into one of the four main personality groups: money driven, socialite / party person, care giver and analytical thinker.
Finally, there are psychological factors at play here as well. Motivation, perception, beliefs and attitudes can all affect a buyer's behavior. This is where it is most useful to take a preemptive approach in defining all the benefits of what you have to offer.
It Takes Practice
It might take a little time but if you practice taking note of these factors during your daily activities it will soon become second nature. Applying the elements of consumer behavior can transform your success at marketing in a recession.
