DDB Latina Puerto Rico reflects on effects of COVID-19 on brands
DDB Latina Puerto Rico presented a comprehensive diagnostic about the effects of the pandemic and the road to recovery, during a second virtual event.
Les Binet, a global expert on marketing effectiveness, offered his recommendations and predictions, and provided a framework for brands to follow.
“The pandemic represents a before and after for the world of marketing and advertising. That’s why for DDB Latina Puerto Rico it is extremely important to bring tools and information of worth, especially from experts such as Les Binet, to our clients and to Puerto Rico to help make the right decisions aligned with our new reality while making sure these changes contribute to the stability of our brands,” DDB Latina Puerto Rico CEO Edgardo M. Rivera said.
Through a virtual conversation, which was based on his recent white paper “How to navigate COVID 19: Survival, Adapting, and Recovery,” Binet explained why he defines this situation “more as a war rather than a recession,” and offered an outline of work for brands to evaluate their particular situation to design and align strategies that contribute to a healthy sustained long-term success.
“This recession has three elements which make it different: it is a crisis for demand as well as supply, it is difficult to predict the outcome and shape of the recession, and it is humanitarian crisis first, the economic factor second,” said Binet.
“What’s important is what you do,” said Binet, “It’s the first thing we must think of: what can we do to overcome this crisis, how can brands help?”
Brands must understand the relationship between offer and demand, as well as using the “4Ps of Marketing:” price, product, place, and promotion, as a guide for understand how supply/demand evolves; and apply them according to each brand and customer’s reality, he said.
“The impact of the pandemic has yet to be felt, but that a possible way to face recovery and brand efforts is to think as a startup, where there is strong initial growth, mainly led by an increase in demand and herd effects, followed by a matured period where growth is normalized,” Binet said.
“In both cases, it’s important to include communication [advertising] to assure sustained long-term growth,” he added.