Editor’s Note:
This is the third post in our Recession-Proofing Your Small Business series. If you’re just joining us, start with Post 1 to learn why some businesses grow during downturns, and Post 2 to explore the three traits recession-resilient companies share. Now on to today’s post:
The moment the economy starts to wobble, most business owners do the same thing—they cut marketing.
I get it. When revenue’s down and uncertainty’s up, slashing expenses feels like control. And marketing often looks like the most optional line on the P&L. But here’s the thing I’ve seen—again and again—through three different recessions:
The businesses that keep marketing during downturns are the ones that come out stronger.
They don’t just survive. They gain market share. They stay top of mind while competitors go dark. They plant seeds that sprout when the market rebounds.
This post isn’t about spending more. It’s about spending smarter—and continuing to show up even when the budget’s tight.
So if you’re staring at a smaller marketing budget this year, here’s how to keep your growth engine running without lighting money on fire.
Cut the Fat, Not the Muscle
Let’s start here. Not all marketing is created equal. When times are good, it’s easy to spread money around—trade shows, print ads, fancy video shoots, agencies on retainer who aren’t pulling their weight.
But in a recession, your job isn’t just to spend less—it’s to spend with purpose.
Here’s what to cut fast:
- Low-accountability vendors with vague results
- “Spray and pray” advertising with no targeting or call to action
- Vanity campaigns that don’t tie to traffic, leads, or sales
- Social media management that’s all “likes,” no conversions
Here’s what you keep (or even double down on):
- Your website (it’s your 24/7 sales rep)
- SEO and local listings that help customers find you organically
- Email marketing to re-engage and retain your best audience
- Google and Meta ads that deliver real conversions
- Referral campaigns or loyalty programs tied to revenue
- High-performing people—whether that’s internal staff or trusted contractors
You want to trim the noise and protect the core. The goal isn’t just to spend less—it’s to make every dollar do more.
Shift Toward ROI-Driven Channels
Here’s a simple rule I’ve followed through every downturn:
If it doesn’t bring leads, traffic, or customers—it’s a luxury.
During recessions, you need channels you can measure. You don’t have time (or cash) for brand awareness plays that might pay off “someday.” You need tight feedback loops.
The good news? Today’s tools make that easier than ever. You can:
- Set up Google Ads with conversion tracking in under a day
- Build remarketing audiences to reach people who already know you
- Use Facebook lead ads to fill your pipeline without sending folks to your site
- Run local Service Ads (LSAs) if you’re in a service business—especially high-trust categories like legal, dental, or home services
- Launch email flows that follow up with customers after they buy—or when they don’t
This stuff works. And you don’t need to spend thousands to get started.
Here’s a simple priority list if your budget is limited:
- Retain your customers (email, loyalty offers, direct communication)
- Capture demand (LSAs, PPC for buying-intent keywords)
- Be discoverable (SEO, Google Business Profile, listings)
- Nurture leads (remarketing, social, newsletters)
- Test and improve (track what works, kill what doesn’t)
Keep your funnel flowing, even if it’s slower than before.
Go Heavy on Owned and Organic
If your paid budget is shrinking, it’s time to lean into the stuff you own.
You already have assets—your website, your email list, your social following, your customer data. Now’s the time to use them.
Here are a few low-cost, high-return moves:
- Email past customers with a value-packed offer (not just a sale—give them a reason to re-engage)
- Record a short video answering a common customer question—post it on Instagram, Facebook, LinkedIn, YouTube
- Write a blog post that addresses a pain point your audience is feeling right now
- Create a referral program with a simple “Send us a friend, get $25 off” kind of structure
- Audit your local SEO—are you showing up when people Google what you offer in your city?
Don’t overthink it. Just start talking to the people who already know you. Show them you’re still active. Still valuable. Still in the game.
Remember: invisibility is expensive. Staying in front of your audience—even with free tools—pays off.
Invest in Retention First
During a recession, new customers are harder to come by. So the best thing you can do? Keep the ones you already have.
This is especially true for service businesses and dental/medical practices. In a downturn, trust and familiarity matter more than ever.
Your existing customers are:
- More likely to buy again
- More likely to refer you
- Easier to communicate with
- Cheaper to retain than it is to replace them
So don’t just chase new leads—re-engage your base.
That might mean:
- Personal check-ins (“Hey, just wanted to see how things are going. We’re still here to help.”)
- Exclusive offers or perks
- Educational content or helpful tips (especially for B2B or healthcare)
- A follow-up sequence to reactivate quiet accounts
Every customer you keep is one you don’t have to replace. In a tight economy, that’s gold.
Remember: Share of Voice = Share of Market
There’s one more thing I want to leave you with—something I’ve watched play out in every recession I’ve lived through.
When your competitors go quiet, your voice carries further.
This is called the Share of Voice principle. It’s backed by data and years of observation. If you maintain or increase your visibility while others pull back, you gain a bigger share of customer attention—and often, a bigger share of the market coming out of the downturn.
But to do that, you have to stay present. You have to keep showing up—even if it’s leaner, scrappier, or more creative than before.
Marketing doesn’t stop in a recession. It just evolves.
Final Thought
If you’re looking at your 2025 budget and wondering what to cut—don’t just slash the line item that says “marketing.”
Look at what’s working. What’s measurable. What’s driving growth—even in small ways. Then keep those engines running.
Because the truth is, recessions don’t destroy businesses. They expose weak ones.
And if you’re smart about how you market, how you sell, and how you communicate—your business might just come out of this stronger than it went in.