19-02-2008
NFEA warns against marketing cutbacks
News by Adfero for Simply Business - independent providers of public liability insurance, business finance, landlord insurance, buy-to-let mortgages & commercial mortgages.
The National Federation of Enterprise Agencies (NFEA) has issued a warning to businesses considering reducing their budgets for marketing.
George Derbyshire, the chief executive of the NFEA, believes that, even when times are more difficult, businesses should not respond by cutting marketing budgets.
Indeed, Mr Derbyshire confirmed his belief that less certain economic periods increase the need for well-financed marketing campaigns.
"It's easy in times like these to take an axe to your marketing budget but you should resist the temptation to cut back on your marketing - it is more important than ever," said Mr Derbyshire.
"And when budgets are tight, existing customers are more valuable than ever."
In related news, under a model devised by E Jerome McCarthy, a professor at Michigan State University, marketing can be subdivided into the four separate strategies of product, pricing, promotion and placement.
Mr McCarthy is also the author of Basic Marketing.