Branding on a Budget

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With the economy slowing, many consumer brands are feeling the pressure to keep customers spending, which means better deals for us! Listed below are just a few brands that are attempting to leverage the recent economic crisis.

TARGET:
Target’s new TV ad campaign focuses on a more cost friendly approach to everyday life. The do-it-yourself spirit of the ad empowers customers to think about their everyday life differently. For example, riding a bike to work rather than worrying about expensive gas, cutting your children’s hair rather than taking them to the barbershop every 3 weeks and exercising at home rather than paying a costly gym membership. The ads encourage me to think about the necessities in my life and how I can find ways to simplify and reduce my spending.

RESTORATION HARDWARE:
Restoration Hardware is using economic jargon, such as “bailout bill” and “the Fed,” as inspiration for their email marketing campaign. One email I received recently read, “The Fed slashed rates and so did we.” It promotes a 20% off coupon to be used at their stores and website. They almost make it seem patriotic to shop with them.

RESTAURANT BRANDS:
Many restaurant brands are offering unusually good deals as well. Subway led the way with the $5 Footlong Subs. Others soon followed including Quizno’s 5 Meat Stack for $5, Boston Market’s $5 Favorites, and Arby’s $5 Full Meal Deal.

MATTEL AND HASBRO:
The holidays are quickly approaching and toy brands like Mattel and Hasbro, who rely heavily on sales from the holiday season, are preparing to combat the economic downturn. The plan is to offer more toys at a lower price point for consumers who are feeling the effects of a struggling economy.

I am sure that other brands will see the benefits of this approach, and hey, reducing prices and making a little less profit is still better than making nothing at all.