Role of Advertising During the Coronavirus Era
With the Coronavirus top-of-mind for people around the world, CEOs and CMOs across every vertical need to be mindful, and adjust their advertising strategies to continue benefiting consumers during this trying time, writes, Ken Harlan, Founder and CEO, MobileFuse.
Consumer behavior directly influences the strategies and outcomes associated with marketing. With the Coronavirus top-of-mind for people around the world, our daily lives are going to be guided by new developments and recommendations from leaders and healthcare professionals — at least in the near-term. CEOs and CMOs across every vertical need to be mindful of this, and adjust their advertising strategies to continue benefiting consumers during this trying time.
Recent history shows several severe viruses impacting people across the world — just going back about 20 years, there’s been MERS (2012-Today), H1N1 (2009), and SARS (2002-2003). Digital advertising and marketing executives have an opportunity to influence the perception, and help increase the preparedness of those impacted. The ability to update the public in regards to necessary goods and services is paramount.
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That said, this brings into question what advertising’s role actually is during times of crisis, and how marketing professionals can make a difference. Here are a few things to consider as we move into the COVID-19 era.
Do’s and Don’ts
It should go without saying that brands and advertisers need to be incredibly mindful and attentive to the developing situation around the Coronavirus. As consumers become more conscious of the necessary items needed during critical times, brands and advertisers should adjust their strategies accordingly. Industry practitioners need to not only make ad experiences relevant and useful, but also deliver them in a way that isn’t burdensome or annoying. Following guidelines set out by the IAB helps ensure better user experience, faster performance and non-disruptive formats.
A report from eMarketer found that in 2019, US consumers spent more time with their mobile devices than they did watching TV. Smartphones accounted for 70% of that mobile time. It’ll be interesting to study how these numbers evolve as cities begin mandating remote work, closing down places of work, and encouraging social distancing. A recent example of this is the suspension of the NBA’s season, which ultimately impacts many parties. As CTV, mobile, game consoles, and other in-home device usage is likely to increase in the near-term, there are a few things to keep in mind.
Brands and advertisers should not overreact and reduce their investments — this is the time to strategically double-down while your competitors advertising investments are reduced. A study from McGraw-Hill Research around U.S. recessions from 1980-1985 found that out of the 600 companies surveyed, those deciding to continue advertising during the 1981-1982 recession hit a 256-percent growth by 1985, significantly surpassing their competitors who stopped or reduced spending.
Instead of eliminating ad spend altogether, it could be adjusted away from areas that your audience is avoiding, like airports, public transit facilities, office elevators, or events. It can also be moved from places consumers aren’t utilizing as much, like radio, because they are not driving to work. From there, ad spend can be redistributed to places that benefit both brands and consumers. A new focus should be placed at the home level, targeting where people are engaging the most.
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Advertising Models During COVID-19
As more time is spent at home, brands maintaining or increasing spending should aim to utilize creative that focuses on positive family notions. For example, CPG brands can create and distribute distractions from the increasing negative news by releasing content encouraging special moments, like sharing a home cooked meal together. Entertainment brands can encourage consumers to stream the latest shows together, or create special “watching moments.” Brands can place an emphasis on how they increase convenience, offer special discounts and stand as a reliable resource. These types of interactions not only bring a sense of comfort to households, but also show consumers that brands are trying to play their part and ease stress.
As we enter a time where consumers are more cautious, marketers need to monitor real-time conditions and adjust their efforts appropriately. While many organizations will consider cutting their ad spend, it opens the door for others to increase their share of voice all while bringing tangible benefits to the consumer. With new developments around COVID-19 arising daily, advertisers have a real opportunity to make a difference and ensure people can weather the storm, while also laying the groundwork for their companies to come out stronger.
