You don't need me to remind you that markets are much more competitive, revenues are being squeezed and many have lost faith in our politicians and our economy. At times like this when budgets are shrinking, it can be tempting to cut your spending on design. After all, design is an area that can be difficult to understand, measure and source. However, could it be possible to design yourself out of a downturn?
The fact is that it is even more important to invest in design when times are hard. Now is the time that your target audience needs to be convinced that you are the right business to spend with. Now is when your potential customers need to be aware of you, your products and services. Now is when you need to connect with your target audience by responding to their needs and providing solutions.
What's more, if you go against the trend of reining in design investment your business could gain an edge over your competition. Let your rivals reduce or completely cut their spend on design, but continue your own investment in design.
Attitudes to design
According to the Design Council, "When times are tough it is change, dynamism and vitality – not hunkering down quietly – which are the keys to success... The decision to innovate – to rethink and regenerate products, operations and image – can be taken by a company of any size and in any area. Design and brand strategy can help elevate a firm or its products from the ordinary, the tired or the predictable, demonstrating that the business is alive, dynamic and responsive. And in a declining market that just might make the difference between growth and collapse."
I strongly believe that attitudes to design need to change, especially in the minds of start-up and small-business owners. I hear small-business owners convince themselves that they can manage with DIY design solutions, because they are not the 'big boys' and can't afford dedicated design departments. But how can you ever become a 'big boy' without investing in design?
Case study
Let's take beer, for example. This industry is declining with consumers spending less, and reduced supermarket pricing and the smoking ban causing even bigger challenges. Then there was Castle Rock Brewery in Nottingham. Well aware of the weakening beer market, they realised that a stronger brand was a priority. According to the design team that worked on Castle Rock, "Its corporate identity lacked authority, was being used inconsistently and in most cases almost apologetically across its communications. The crafting and attention to detail evident in its award-winning beers was not in any way reflected in its customer-facing image." A clearer focus was brought in, a coherent range of beer badges created and individual beers were given their own personality, whilst clearly remaining part of the Castle Rock range. And the results? Since the rebranding, the company’s barrel sales have doubled (20% year on year), a full year ahead of business projections, in a market which is otherwise in decline.
Is it time to recognise that investing in design (especially in an economic downtown) is not an extravagant luxury but a competitive necessity?
So if it's not just your name and logo what is it? A brand will be made up of a collection of different perceptions that will have been built up after exposure to every aspect of your business. This can be a myriad of different things:
Any one person could be exposed to all or just one of these variables, that when mixed together form the brand in their mind. There are many ways you will be able to influence what the brand means to people, so you can steer its direction.
Left untouched and uncared for, without clear direction, your brand will take a course that will lead to fewer and fewer customers. So have a think about the list above – and see what sort of brand you’re presenting across the board. Is it all working to a common direction and goal? Is it the direction you want it to take? If not, you may just need to get clarity and some help setting the direction. It doesn’t take long and will be well worth the effort.
The best way to increase profitability through your investment in design and marketing is for you to be consistent. There’s nothing worse for your bottom line than your image chopping and changing. The trouble is the damage from inconsistency is so subtle that many business owners are blissfully unaware of the negative effects on their target audiences. Brand irregularity includes conscious and subconscious confusion, distrust and irritation and can result in customers going elsewhere.
This blog post by Sara Brown originally appeared at sarabrown.co.uk