My father was a very successful businessman. He was well-respected for decades for successfully running a local business in our small town during the economy of World War II.

It was in the early 1980s when I got my first sales manager position at a mid-size advertising agency in Chicago. While I was excited about my new position and ready to land big deals, the economy was rapidly declining. Companies were trimming their advertising budgets and eventually cutting them completely. Businesses that had been successful in previous years were closing their doors forever.

Despite high inflation and a recessed economy, I maintained the optimism to land the big sale. If there was ever a time I needed advice from my father, it was now in the business world during a poor economy. He gave me a piece of invaluable advice and said, “In every situation there is an opportunity for success, as long as you are willing to look for it.”

My first job after college was as a manager for a struggling local car dealership. When it came to advertising, I was concerned only with results -- getting people onto my car lot to look at the cars. I wanted to be assured that the money I was putting into my advertising was bringing me the return in sales.

I applied this same principle at the advertising agency. I thought about what you can do in a down economy to produce results. Research suggests that in a down economy, people look much harder at advertisements in hopes of finding a “good deal.” Headlines are critical in bringing readers to the advertisements. However, the headline is not enough to bring in new customers. Potential customers also read the fine print very carefully, so your ads have to emphasize the benefits your product or service will bring. They should not have to ask, “What’s in it for me?” This question should be answered in your ad.

In the advertising agency, we used these hooks in our advertisements. You must also understand the customer markets and the customers’ needs in a down economy. We emphasized deals, specials, and promotions. We delivered results! From 1981-1983, our company experienced a growth rate of over 20% each year. Instead of closing our doors, we expanded business in an economy where advertising budgets were the first cuts.

We found what delivered results for our customers. We looked at the economy from our customers’ points of view and determined how to best meet their needs. By meeting our customers’ needs, we increased revenue despite a recessed economy. Just as my father said, there is an opportunity for success in every situation if you are willing to look for it.

Author: James A. (Jim) Baker
James A. Baker is the Chairman and Founder of Baker Communications. Baker is a sales training and development company specializing in helping client companies increase their sales and profits. He can be reached at 713-627-7700 or jim.baker@bakercommunications.com.