In this episode, Erik shares the reasons why it’s important to continue marketing during a recession.
Erik J. Olson (00:01):
Why it’s important to continue to market and advertise during every session.
What is happening? This is Erik J. Olson at the very beginning of the coronavirus pandemic, business just stopped. If you look at the economy and jobs and things like that in March, 2020, everything was going normal. And then it just went, it just TAed. I mean, I mean it just straight, boom. It just TAed and businesses everywhere. Globally actually felt it immediately. We were in a immediate recession, the coronavirus recession Corona recession. And, and everybody was saying, oh, this is the big one hunkered down. I had client, our biggest client called us, called me on the first day, the first business day of the recession, March 16th, 2020. He’s like, Erik, stop everything. I’m like, what do you mean? Just the advertising or the marketing too. Cause you know, there’s like different components, no everything, Erik I’m canceling everything.
Erik J. Olson (01:16):
I’m like, what are you talking about Ben? Oh, this is the big one, man. This is it. This is it. And yeah, he, he cut everything, everything immediately. Our biggest client bam gone. Right. But what he was doing and like, I, I did the same thing for like two days. I was like, all we gotta cut costs. We’re gonna do this X, Y, and Z. We, we came up with plans. We’re gonna, like, if we had to lay people off who was gonna get laid off, like we had plans. Uh, but that lasted for two days. It was two days of craziness. And then on the third day I was like, Kevin, this is ridiculous, man. We, this is an amazing opportunity that we have to capitalize on in a year or two Kevin on June 17th, 2022. You and I are gonna look at each other and be like, man, we should have taken advantage of the recession when it was here, right?
Erik J. Olson (02:02):
By the way, I’m recording on June 17th, 2022. But I knew that if we didn’t do something, if we weren’t bold and took decisive action at the bottom of the recession and capitalized on it and invested. If I knew, if we didn’t do that, we were gonna come out of the recession, weaker and more fragile than going into it. And we would have to dig ourselves out of it when everyone else was booming. I knew it. Why? Because I’ve, I’m a student of business and the economy and I’ve read enough autobiographies. I’ve researched enough billionaires millionaires. I’ve talked enough business. I know that this is the opportunity of a lifetime. When everyone else is hunkering down taking, a six month sabbatical, this is your time to double, triple, quadruple 10 X down and do everything that you can to just steal. And it’s basically steal market share.
Erik J. Olson (03:09):
Grab as much as you can because it’s out there. Even during recession, people are buying just fewer of them. Go find those people, make whatever changes you need to make in your business to ensure that you get in front of the people that are still buying there. It’s not that everybody stops. Don’t believe that it’s not that everybody stops. Just fewer people are buying. Go find the people that are buying and you will absolutely crush it because your competitors are doing nothing. I knew at the beginning of the coronavirus succession that our local competitors were locally focused. At the time I knew that they were doing not. They had given up, they stopped. And I was like, it took three days before I came to the conclusion. This is an opportunity of a lifetime. And we double or tripled our marketing, our advertising. And we pounced.
Erik J. Olson (04:11):
And yes, we lost our biggest client. Yes, we lost other clients. Yes. Other clients cut their budgets. But guess what? We grew during that next quarter and the quarter after that. And the quarter after that, and since coronavirus, we’ve probably doubled in size in the last, what two years. It was an opportunity of a lifetime, but you have to be bold and decisive and don’t take my word for it. Go figure out what other business owners these big business tycoons have done, right? I mean, people are launching businesses all the time in recessions. And when a recession comes, it’s an opportunity. Prepare for it in advance. You never know when a recession’s coming, you have to prepare by running a solid business contracts, high quality work, good value, good people, good clients, good fit all around. You do that. And you go into a recession.
Erik J. Olson (05:06):
You’re gonna be fine. You may take a hit, but it won’t be fatal. So run a good business, have reserves cash reserves so that when a recession comes, you can double or triple your advertising and marketing budget, right? You can go fly to see your clients and secure them. Make sure they don’t leave. You can go buy a business that was like, oh, we’re giving up. We’re hunkering down and waiting for this to pass. You can go buy them and take over all their clients. Your competitors are doing nothing or very little. They’re keeping the lights on they’re pinching pennies go after them. Now is the time to attack, attack, get ’em. But look, this is a great opportunity. If we do go into a recession and the news will come out at
Erik J. Olson (05:56):
The end of June, 2022, which we’re not there yet. Um, I, I imagine that, uh, we, we we’ll go a little bit deeper into a recession. I don’t know what happens after that. It’s an opportunity sees it sees the day. What’s that phrase? The Latin phrase. Uh, gosh, I can’t freaking remember. Hit me up on social media. Tell me what the stupid phrase is. Carpe dim. Is that it? I think so. I’m on Twitter @iamerikjolson. That’s the letters I A M E R I K J O L S O N. I know it’s long. @iamerikjolson on Twitter, but on Instagram, it’s totally different. Erik dot J dot Olson, way easier to remember. And when you look at it, you can actually see my name. It’s not just a bunch of characters. @erik.j.olson hit me up on social media. Tell me I’m an idiot. Tell me I’m the smartest guy in the room. Tell me something, just find me out, out there. Follow me and DM me and tell me that you found me on the podcast.