Marketing In An Unstable Economy
How marketers can secure their budgets and spend them better in 2025
Welcome to 2025 where, thanks to geopolitical standoffs, inflationary tightropes and shifting consumer priorities, the APAC market has traded in “steady growth” for a high-stakes game of Jenga. I hope you have a steady hand!
The pressure on marketing teams right now is palpable. CFOs want ROI. Consumers want brands to be relatable and bold. And marketers? We’re caught in the middle, asking questions that keep us awake at night:
1. “If I cut budgets, will I still have a brand left to market next year?”
2. “Do I go big on performance marketing or keep brand building in the mix?”
3. “How can I convince the board that marketing is an investment, not a splurge?”
These aren’t just questions. They’re dilemmas and the answers require strategy, courage, and a killer game plan.
Why playing it safe is a dangerous game
The temptation in tough times is to double down on short-term performance marketing but brands that ignore longer-term strategies often pay the price.
Performance vs. Brand Building: Sure, pay-per-click gets quick conversions, but if you’re not building the emotional glue that holds your brand together, you’re on a slippery slope.
ROI Reality Check: Upper-funnel tactics might take longer to show results, but over time, they deliver 40% higher ROI. Skipping them is like ignoring maintenance on a car, it might run fine now, but you’ll pay for it down the road
Erosion Alert: Going dark on advertising doesn’t just save money, it hands your competitors a megaphone. According to The Marketer’s Guide to Survive (even Thrive), brands that cut marketing spend risk losing 15% of their overall business, while those who reduce brand marketing investment see a drop in ROI across all metrics. Rebuilding brand equity later? Twice the time, twice the cost!
The Data-Driven Power Move
In a world this unpredictable, data is your best friend. Forget gut feelings; it’s time to weaponise analytics and scenario planning to make smarter decisions.
Take the example of a Retail Fortune 500 company that faced a budget-slashing CFO. Instead of panicking, their marketing team ran detailed scenarios. They measured everything; customer churn, new acquisition costs, even competitor behaviour. Armed with numbers, they didn’t just restore their budget, they turned the boardroom doubters into believers.
Spend Smarter, Not Smaller
Recessions don’t kill ROI, fear does and the best way to face fear is with facts, like these:
63% of brands that increased spend during the last recession saw ROI growth. Meanwhile, those who slashed budgets lost incremental sales (18% on average).
And 17% was the increase in incremental sales seen by brands that keep spending through tough times.
Recessions don’t crush demand; they shift it. The winners are the brands that figure out where it’s moving and meet it head-on
(Source: https://analyticpartners.com/roi-genome)
Your Bulletproof Playbook for 2025
So, if you’re a CMO or CFO in APAC, here’s how we recommend going to market in 2025:
Balance Your Bets: Performance marketing delivers quick wins, but don’t skimp on brand building, it’s the long game that pays off
Get Nerdy with Data: Use analytics to justify every penny of your spend and stay ahead of market trends
Think Like a Rebel: When competitors zig, you zag. Maintain or even increase spend when others are cutting, it’s your chance to grab market share
Collaborate, Don’t Compete: The CMO and CFO duo can be unstoppable if they align on shared goals and lean on each other’s expertise.
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