Eric T. Peterson had a great post today about how recession-proof the field of web analytics might or might not be. Not only does Peterson provide an overview of the business functionality of web analytics, as well as industry trends and marketing survey, he also provides a ton of links and a mini action plan for those interested in/devoted to the practice.
Peterson states that the recession-proof-ness of the web analytics profession might be overblown, despite the huge contributions to ROI, as well as showing the path to business opportunities. I could very well agree with this because one can see the mistakes that so many businesses are making during this period of economic contraction. The fact is that companies can not manufacture or otherwise innovate their way out of a recession – they market themselves out of a recession. The problem is that since marketing initiatives, promotion, ad buying, etc. are not fixed costs like salary or product inventory, they are frequently the first on the chopping block.
It’s a predictable pattern. Slash marketing budgets in order to save jobs, only to watch business contract further, thus resulting in inevitable layoffs. How about otherwise cutting salaries across the board, or eliminating some production positions, but expanding marketing efforts? You won’t maintain sales by communicating to fewer people. That has never worked in the history of business. You can only maintain/expand revenues in a downturn by connecting with more people, not less.
Business owners and management boards, pay heed and don’t fall into what has become a typical business downward spiral. If you choose not to, just pay attention to the companies that not only survive, but who excel and expand during these tought times – I guarantee you that they expanded their marketing efforts.