Business was booming in the Delaware Valley. Then it was not.
Before the chaos brought on by Coronavirus, it had been predicted, based on estimates from the National Retail Federation, Philadelphia area consumers would spend 4.1% more in 2020 than they did in 2019. When the Governors of Pennsylvania and New Jersey shut down their states, however, the expectations of growth for many small business owners were replaced with fights for survival.
As the states prepares to reopen, Philadelphia area small businesses will learn that turning the lights back on and hanging out the welcome sign might not be enough to bring even the most loyal customers back.
Some customers will not return because of personal safety concerns. Other customers may have discovered alternative sources to purchase goods and services.
More likely, though, customers will not come back because a business has lost a valued parcel of real estate: the position at the top of a customer's mind. This is the place where purchase decisions are made.
There is a way to regain top-of-mind status. First, though, it's important to understand why a business can be forgotten so quickly.
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Topics
Best Way To Advertise,
top of mind awareness,
small business owner,
radio advertising,
frequency,
small business,
covid 19,
coronavirus,
corona,
recall,
recency
For Delaware Valley small business owners, marketing and advertising are crucial to surviving any crisis, including Coronavirus. The business literature has an abundance of case studies from depressions, recessions, natural disasters, and, yes, pandemics that affirm this existential conclusion.
Advertising, however, may seem extravagant right now to Philadelphia area businesses that are struggling to make rent, purchase inventory, and meet payroll. Henry Ford, though, is often quoted as saying, "Stopping advertising to save money is like stopping a clock to save time."
Therefore, as business owners from Cherry Hill to King of Prussia (and every point in between) are cinching their belts tighter-than-ever to stay alive, the dollars invested in advertising must be spent in the most effective manner possible.
During periods of uncertainty, advertising works the hardest when placed in within media that consumers trust. During the time of COVID-19, advertising on Philadelphia radio has earned that trust among local consumers.
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Topics
Best Way To Advertise,
recession,
small business owner,
radio advertising,
small business,
reach,
covid 19,
coronavirus,
corona,
crisis marketing,
recall,
trust,
context
Since the onset of the Coronavirus crisis, consumers are not flocking into the showrooms, storefronts, offices, or dining rooms of Delaware Valley small business owners. It turns out, though, social distancing has not proven to be an impediment to shopping.
Philadelphia area consumers are still spending money despite the chaos imposed by the pandemic, according to Gordon Borrell, CEO of Borrell & Associates. His company specializes in the collection of marketing data from business owners across the country.
"During depressions, recessions, floods, hurricane, earthquakes, fires, and, now, pandemics, commerce goes on," Mr. Borell told members of Philly's small business community during a recent teleconference.
To prove his point, he shared research from IBISworld which, indicates spending continues despite a plunge in consumer confidence.
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Topics
Best Way To Advertise,
attribution,
Online Advertising,
consumer spending,
small business owner,
radio advertising,
small business,
website traffic,
covid 19,
coronavirus,
corona,
website visits,
e-commerce
Every week, 3,830,493 adult consumers tune-in to a Philadelphia radio station. That is way more than are reached by other media, including local television, newspaper, social media, or streaming audio sites like Pandora and Spotify.
A more significant number for thousands of Delaware Valley small business owners who advertise on Philadelphia radio is how many of these listeners stick around when their commercials come on.
A 2011 Nielsen study discovered that, on average, 93% of listeners stayed with the radio station they are tuned-to when the commercials come on. That number amazed many advertisers at the time who believed that audiences were far more likely to defect when the music stopped.
A lot has changed since 2011. Philadelphia area consumers have many more media options and can instantly connect to each with a button-push, mouse-click, screen-tap, or voice command. With all of these choices, do radio audiences still stay tuned during commercial breaks?
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Topics
Best Way To Advertise,
Pandora,
Spotify,
Streaming Audio,
newspaper advertising,
social media advertising,
television advertising,
radio advertising,
facebook advertising,
instagram,
button pushing
The chaos created in the Delaware Valley by the onset of Coronavirus has been a disruptive force among consumers.
Work routines, buying habits, family life, and media consumption have all been palpably affected. These are all factors that need to be considered by small business owners who continue to advertise their goods and services during the crisis.
Before the current chaos, advertising on Philadelphia radio, by any metric, was the best way a local small business could advertise.
For instance, pre-Coronavirus, 3.8 million adult consumers tuned-in to a Philadelphia radio station every week. This is significantly more than watched local TV, read a newspaper, accessed social media, or streamed audio from sites like Pandora and Spotify.
New research released from Nielsen indicates that amidst the current crisis, listening to local radio remains little changed. This is great news for those Delaware Valley small business owners who are depending on advertising for their long-term survival.
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Topics
Best Way To Advertise,
Effective Advertising.,
Pandora,
Spotify,
Streaming Audio,
newspaper advertising,
social media advertising,
television advertising,
small business owner,
radio advertising,
facebook advertising,
small business,
covid 19,
coronavirus,
corona
In 'normal' times, Delaware Valley consumers would be expected to rack up $98 billion in annual retail sales. Of course, since the onset of the Coronavirus crisis, nothing has been normal.
But as Gordon Borrell, CEO of Borrell Associates, explained to members of Philadelphia's small business community via teleconference, consumers are still spending. This, it turns out, is normal.
Mr. Borrell shared research from Ibis that demonstrates during every type of crisis, including depressions, recessions, floods, hurricanes, earthquakes, fires, and, now, pandemics, consumers still spend.
The business literature contains an abundance of examples of how continuing to market and advertise during an economic crisis can help a company survive and emerge from the episode even stronger than before.
Delaware Valley small business owners who do continue to advertise and market, however, should consider modifying their pre-crisis strategy.
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Topics
Best Way To Advertise,
retail,
small business owner,
radio advertising,
small business,
Retail Sales,
covid 19,
coronavirus,
corona,
crisis management,
borrell associates,
crisis marketing
Last week, Gordon Borrell, CEO of Borrell Associates, shared insights with Delaware Valley small business owners on the value of marketing to consumers during a crisis. A video replay of the teleconference is available by clicking here.
Mr. Borrell is the CEO of Borrell Associates. His company is one of the most trusted sources of trends and forecasts for local media today.
According to Mr. Borrell, despite social distancing and economic jitters induced by the Coronavirus chaos, consumers are still spending money.
He points to research from Ibis that consumer consumption continues in almost every crisis, including depressions, recessions, floods, hurricanes, earthquakes, fires, and, now, pandemic.
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Topics
Best Way To Advertise,
small business owner,
radio advertising,
small business,
covid 19,
coronavirus,
corona,
crisis management,
borrell associates
In a typical week, 3.8 million adult consumers tune-in to Philadelphia radio stations. But, since the onset of the Coronavirus, the weeks have not been typical.
Before social-distancing and work-from-home orders, 2.6 million Delaware Valley consumers would drive to-and-from work each day. More than 93% of these commuters could be reached by radio.
Philadelphia area small business owners who depend on radio advertising to market their goods and services, therefore, might be concerned that the disruption in commuting patterns could depress the amount of time consumers spend with local radio.
According to market research, however, radio listening remains an important part of the daily life of consumers. Even amid the current chaos.
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Topics
Best Way To Advertise,
retail,
small business owner,
radio advertising,
small business,
covid 19,
coronavirus,
corona,
crisis management
Delaware Valley small business owners are fighting the coronavirus battles on multiple fronts. Their first objective is to keep their families and employees safe. Then, of course, there are the concerns of keeping their businesses healthy enough to survive current disruptions.
The business literature has an abundance of case studies showing how survival is often connected to a thoughtful communications and marketing strategy during challenging times.
Business owners need to let Philadelphia area consumers know if they are still open. If their hours have changed. Or if they are providing alternative shopping methods (e.g., delivery, curbside pick-up).
Most importantly, it is imperative consumers know that a business will still be there for them when the crisis is over.
For those owners who are depending on communication to preserve their business, the best option may be to advertise on Philadelphia radio.
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Topics
Small Business Advertising,
Pandora,
Streaming Audio,
roi,
return on investment,
newspaper advertising,
retail,
social media advertising,
television advertising,
radio advertising,
facebook advertising,
small business,
Retail Sales,
covid 19,
restaurants,
coronavirus,
corona,
retail stores
The top concern of every Delaware Valley small business owner is the health and safety of their families and employees. Local information and breaking news regarding the Coronavirus is available by clicking here.
Of course, a secondary concern is tending to the health of their business amid an overabundance of social and financial disruptions.
There is one prescription that helped many Philadelphia area businesses survive the Great Depression of 1929, the economic crash of 2009, and every recession in between. The Rx for keeping a business healthy during chaotic times is to continue advertising.
The best example of how advertising cand fend off tough times was shared by The New Yorker magazine financial columnist James Surowiecki.
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Topics
Best Way To Advertise,
retail,
recession,
small business owner,
radio advertising,
small business,
Retail Sales,
covid 19,
restaurants,
coronavirus,
corona,
retail stores