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  • Ad spendings during a slowdown – the eternal puzzle…

  • Ad spendings during a slowdown – the eternal puzzle…

    Ad spendings during a slowdown – the eternal puzzle…

    Two of the full page ads in yesterday’s Delhi Times (with ToI) made me sit up and notice, for both represent categories that would logically be impacted/ concerned about the slowdown. It would be interesting to see how they fare:

    1. The first one promotes something called ‘Gloria – The Brand Show‘ targeting lifestyle brands for participating in this fashion & lifestyle exhibition. Events like this are typically planned months (or even a year) in advance and I suspect there was little they could do at the last minute, for a cancellation could anyway mean losses. Brands are spending less right now, however, for all you know they may have booked earlier and the event sails through just fine – I pray that that’s just the case.
    2. This one left me thinking about days of the dotcom boom, except that it comes bang in the middle of a slowdown. appears to be a social networking site for shoppers. I love the thought of customers engaging with each-other and with brand owners and this may just be the time to seed something meaningful (the site however looks no different from any other brand compare/ buy site, and the community, at this moment, just a fringe feature). Entrepreneurs have to make these interesting decisions – burn money to seed a community right now and wait for revenues; except do we have enough cash to last us the wait…only the entrepreneurs in question can answer.
      Personally, I am gung-ho about a community that allows customers and brands to engage with each other in earnest.

    What do you think about spending in times of a slowdown? There is a cost to sell but how would you decide what’s necessary, and what’s a waste?
    Keep writing.
    UPDATE: My colleague Rajika’s brother, Rajbir, referred us to a document from Knowledge@Wharton series. It’s aptly titled “When the Going Gets Tough, the Tough Don’t Skimp on their Ad Budgets” – find it here.

    Disclaimer: Views of authors are personal and do not represent the views of Blogworks, or any of its clients.

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