Marketing during a period of economic uncertainty can be a challenge, but new research by Gartner+ suggests that increasing marketing budgets during such times could drive profits.
The survey found that only 5% of marketers reduced their spend, while the majority increased their budgets. Those who increased spending were twice as likely to grow profits. However, the survey also revealed that while most marketers created contingency plans, only 21% actually followed them.
This lack of adherence could undermine efforts to reach goals during a period of disruption. According to Gartner, contingency planning is key for navigating economic and geopolitical turmoil. Those who enacted a contingency plan were found to be more successful in exceeding year-over-year profit growth, even during an economically disruptive event.
The survey also found that marketers who increased spending relative to their contingency plans were nearly twice as likely to see year-over-year profit growth compared to those who decreased spending or did nothing.
With economic uncertainty continuing to plague the marketplace, having a contingency plan and sticking to it may be more important than ever for marketers.
+Gartner’s “2023 Multichannel Marketing Survey,” was conducted between November and December 2022 and had nearly 400 respondents.