At the first sign of an economic downturn, many businesses react by reducing – or eliminating – their marketing budget...

... After all, the reasoning typically goes, it’s more important to pay vendors and creditors, meet payroll, maintain the property and equipment, etc. However, your ability to perform these tasks lessens as consumer/customer awareness decreases; your business loses ground to an aggressive competitor who’s focused on taking your market share; or you’re caught unprepared to quickly address significant changes in consumer/customer expectations in your category.

Now more than ever, developing a strong brand is essential to the survival of your business. The current challenging economy has created a climate in which only those with a solid brand identity and loyal brand advocates will still be standing when the storm passes – while those who decide that marketing is expendable will be swept away.

As a significant additional benefit of smart brand development, businesses that have loyal brand advocates can not only survive, but charge a premium for goods and services because the customer base believes the quality and cachet of the brand justifies the higher price. Think iPhone. Brand marketing also drives higher return on investment (ROI) through increased demand and reduced risks. In turn, the resulting strong brand creates a platform for business expansion potential.