www.NALF.org

North American
   Limousin Foundation
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7383 S. Alton Way
Centennial, CO  80112

(303) 220-1693
fax: (303) 220-1884

 

NALF Line
August 2008

 
Steadfast Advertisers Reap Rewards in the Long Run
By Brad Parker, director of communications
 

Some marketers – maybe you included – question the value of advertising during periods of economic uncertainty. Still, cattle producers connect with a variety of media every day of the year; therefore, consistent and continuous advertising will ensure awareness of your program.

American Business Media (ABM) is an association of business-to-business publishers. It recently summarized some data that demonstrated those firms that steadily continued or aggressively increased their advertising experienced growth past the period of economic uncertainty.

Most recently, BtoB magazine surveyed 684 business-to-business marketers in January and February. Despite concerns about the economy, more than 70 percent of them indicated they would maintain or increase their marketing budgets this year. Among those who planned to increase spending, 49 percent said online marketing would see the greatest boost. Another 9 percent indicated print marketing as their top pick.

Pennsylvania State University (PSU) researchers found in 2002 that a firm’s proactive marketing during economic uncertainty might be necessary for survival and growth.

“Firms that invest aggressively in marketing send a reassuring signal of confidence to concerned customers about their staying power and provide an incentive for customers to switch from brands or firms that they perceive as weak,” the PSU report said.

 
Can You Afford Not To?

In 2001, noted researchers Yankelovich Partners and Harris Interactive conducted in-depth interviews with 505 key executives, representing all major business segments, who were responsible for making purchase decisions. Despite a down economy, 99 percent of them acknowledged the importance of keeping abreast of new products and services in their industries. Almost as many (97 percent) said it is important to continue to invest in a down economy to remain competitive in the future.

When a firm advertises in a down economy, 86 percent of the executives told Yankelovich and Harris, they feel more positive about its commitment to its products and services. The same number of executives said advertising in a down economy also keeps that advertiser top-of-mind when it is time to make purchase decisions.

A 1985 study by the McGraw-Hill Cos. found those firms that maintained or increased advertising during economic uncertainty average “significantly higher sales growth” during the period and for three years afterward as compared to those that eliminated or decreased advertising.

Buchen Advertising tracked a large number of business-to-business companies through the 1950s. It found sales and profits dropped at nearly all of those that curbed advertising, and they continued to lag behind the competitors that maintained advertising.

ABM concluded aggressive advertising in a down economy can boost sales and market share. It also can open a lead on the more timid competition by portraying stability and dominating the advertising media. The bottom line, ABM said, is that you should advertise when times are good. When times are bad, however, you must advertise.

 
Use All Your Options

Those in the seedstock sector can apply the same lessons to their marketing strategies. Consistent, continuous advertising from month to month and year to year will keep your program top-of-mind with customers and widen the gap between you and your competitors.

In addition to utilizing the Limousin World regularly, the cattle and general ag publications serving your state and region are great vehicles for your marketing message. And do not overlook your local newspapers and radio stations.

The North American Limousin Foundation (NALF) also offers continuous marketing opportunities for its members on the Internet.

First, each issue of the semimonthly Partners e‑newsletter includes three sponsor spots. They sell for $75 apiece on a “first come, first served” basis.

Additionally, two sponsor spots on the NALF Web site are available for three-month blocks, starting Oct. 1. They are selling now via a “Country Auction” (similar to eBay) on DVAuction.com. The bidding closes Aug. 15.

Use the “Marketing Reach” link on NALF’s home page to find complete details about both of those programs, or contact me.

 

NALF Will Partner With Breeders

The Breeder Cooperative Advertising Program helps breeders share a cohesive Limousin message across the nation, making the most of their relationships with regional publications. In the program, the North American Limousin Foundation (NALF) cost-shares 25 percent of qualifying ad expenses with groups of two to six breeders.

NALF encourages all breeders to take full advantage of the cooperative funds available to help them promote Limousin genetics. The key provision to getting NALF assistance with advertising projects is that they communicate directly to commercial producers.

Participating “breeder co-ops” must develop advertising budgets and schedules and submit the completed forms to NALF. Find the program guidelines, application form and qualified ad images in the “Programs” section of the NALF Web site, or contact Brad Parker in the home office.