While many in the nation receive financial relief with stimulus checks, the country’s economic prospects remain unclear. Adlucent continues to be committed to helping our partners adjust and pivot. Keeping abreast of the crisis and its effect on the ecommerce world is imperative for retailers and brands. In light of rapidly changing information, we’ve outlined the past week’s most relevant news about COVID-19. To be notified as we keep sharing topical content, sign up for the Adlucent newsletter.
Adlucent and Google teamed up to advise retailers on the common COVID-19 challenges and the best ways to capitalize on the expected rebound. The ideas, first presented in an April 9th webinar, have been summarized. The team initially provided ways to help clients and partners increase short-term cash flow and reduce costs. We recommended goal-setting, marketing, and logistics strategies, many of which can be utilized in the mid- to long-term in preparation for the rebound. Next, Adlucent and Google put forth specific ways to invest in rebound based demand with three salient points:
Include store revenue along with online revenue data in digital marketing campaigns to achieve optimal results.
Focus on attaining high lifetime value customers at no cost with the goal of bidding more on those identified to be in the top 20%.
Assess and document the full spectrum of funnels and important metrics on all channels in preparation for a rebound.
As the public seeks information and positivity, brands aim to reach consumers with empathetic and meaningful messaging. Brands should consider current and future perception and update websites and social media to reflect the crisis and create and maintain long-term loyalty. Also, brands should adjust their voice to keep community, health, and safety at the forefront when drafting communication. Companies must ensure the messaging is reflected on an updated website, transparent about product availability and delivery times, which highlights promotions and sales with the customer’s needs in mind. Finally, brands can refresh their social media by adding Livestream events, starting social media groups, and continuously updating the public.
Google set up a page to show how COVID-19 impacts search trends around the globe. Specifically, the site shows trending insights and queries in the US and specific locations. Popular COVID-19 questions for the past day and week can also be viewed. Additionally, the website shows how the different symptoms of COVID-19 are searched and the search indicators of coronavirus’s economic effects, etc.
As advertisers cancel or reduce campaigns for lack of products to promote, the current media landscape across all sectors (digital, TV, radio, print, and outdoor) is changing. To many, the outlook is troubling. In a survey of 400 ad buyers, nearly 75% expected this economic downturn to be worse than the 2008 recession. Markedly, digital and traditional media ad spend are both down over 30%. And, the extra traffic on social media sites is not resulting in more revenue, with both Twitter and Facebook acknowledging declines.
For various reasons, the largest media companies, Comcast, AT&T, and Walt Disney, appear to have avoided the pain smaller broadcast and basic cable companies dependent on advertisement have felt (due to lack of sports programming and increases in subscription services). However, diminished work commutes have also negatively affected outdoor and radio advertising. And, the falloff in advertising has added pressure to the already troubled newspaper industry. On the other hand, media platforms without reliance on ads, such as Netflix and gaming consoles, have avoided the negative impact.
The National Retail Federation (NRF) regularly updates a page dedicated to COVID-19 and its effect on retailers. The site contains top resources and loan information for retailers and small businesses as well as the latest details regarding the CARES Act. Recently, the NRF posted its webinar on the CARES Act and its key provisions.
The above overview highlights this week’s important ecommerce news related to COVID-19. Visit the Adlucent website for ongoing information on the current situation.