The right time for design

I think we should re-name the recession the ‘regression’, because history shows that’s the effect the dreaded R-word has on the marketing spend of many businesses. It’s the chicken and egg paradox.

Problem? - business enters a period of uncertainty where orders dry up and sales leads decrease. Idea? - marketing communications strategies need to work harder to win new business. Answer? - cut spend on marketing because costs have to be saved somewhere. Conclusion? – years of brand awareness work disappears along with any new leads. The competition then mops up the surplus.

Okay, so it’s not as simple as that. We’re all too aware that there are some very serious decisions to be made in uncertain times like the one we are entering, but stopping communication with the very lifeblood of your business is pretty serious too.

What better time than now to approach a market that is still brimming with opportunities and relatively low on competitor activity? Many businesses use periods of downturn as a marketing advantage, mainly because the majority see the recession as a time to tighten budgets, hold on to tin hats and occasionally lift their heads above the trenches. However, I would argue that this is the perfect time to take stock, review marketing (and business) strategy and look for new opportunities to stimulate business growth. In fact, it’s probably as good a time as any to re-brand.

Re-branding a business brings renewed focus, a cohesive, co-ordinated approach to communications strategy, injects fresh impetus in employees, attracts new customers and strengthens loyalty in existing ones. More importantly, given time to flourish, it has a positive effect on the bottom line. It’s little wonder that 84% of the UK’s fastest-growing businesses believe that design has become more important in maintaining their competitive edge in the last decade.

The main question business leaders should ask themselves is whether their current visual identity truly lives up to the products and service being delivered. If it doesn’t you are missing out on new business. All too often we see fantastic companies who invest tens of thousands in developing an outstanding business only to spend what’s left in the petty cash tin on developing a ‘logo’ that communicates all the look and feel of Boris Johnston when in reality it should say Barack Obama. Design is an investment that plays a crucial (and often undervalued) role in business. It creates differentiation from the competition and helps to plant a perception in the mind of potential customers.

Also, let’s dispel a myth – re-branding doesn’t always mean a complete change in name and image – many leading brands have evolved their identity over time and managed to increase market share. In fact name and image are just one part of the process. True differentiation comes from, well, being different. It may be the quirky, it may be the obvious but how it’s packaged and communicated is absolutely key to brand success. The design process helps to focus this point of difference, bringing it to the forefront.

What better message to send out in the current economic climate than a bold new image which challenges a few preconceptions in the market and stimulates sales. Remember, only one company can compete on price in any market, the rest have to differentiating themselves somehow. The UK has some of the best design and business talent in the world, I think now is the best time for it to work together…

By Darren Evans
Creative Director, The Engine Room