Tag Archive for: COVID19

New Facebook Report: COVID-19 Impact On Small Businesses

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This pandemic has not only been a world health crisis, it also serves to be an economic crisis. While the world as we know it has been impacted significantly as a whole, among the hardest hit sectors looks to be small businesses. Mom and pop shops are the heart of all of our communities, and they are facing the ultimate challenge. Small to medium businesses generally operate at very tight margins as it is, and they don’t have the same safety nets that larger corporations are able to fall back on. While forecasts for the future are grim, it’s important to capture what’s happening in the moment. How are small businesses dealing with the impact of COVID-19 and how do they feel about their situations moving forward?

The State of Small Business Report, by Facebook and Small Business Roundtable, based on a survey of 86,000 owners, managers and workers in companies across the US with fewer than 500 employees, is a somber image of the struggle they are facing as they fight for their business to survive.  The data also includes 9,000 operators of “personal” businesses (i.e. people who reported that they were “self-employed providing goods or services”). You can read Facebook’s full report here, but below are some of the key points.

Insights of impact

Facebook’s report provides insight as to how many businesses have been significantly impacted by the COVID-19 lockdowns, with a look at the percentage of SMBs in each sector that are currently cannot operate.

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As per Facebook:

“According to the survey, 31% of small and medium-sized businesses have shut down [entirely] in the last three months. The situation is worse for personal business (52% of which report shutting down), hotels, cafes and restaurants (43%) and services like wellness, grooming, fitness or other professional services (41%).”

These trends have been in expected in some way, with high exposure businesses of course being forced to close their doors. The numbers also wrap some further context around the 36 million unemployment claims in the US over the past six weeks. The big question is, how many of these businesses will be able to recover and bounce back?

Businesses re-opening

In general, the majority of small businesses remain optimistic with a respective amount of caution.

small business facebook report 2

Lots of “maybe’s” here, but most significant is the lack of “no’s”. This definitely provides hope of most people getting back on their feet and resuming employment, with the economy getting back on track at some stage. Of course, the longer that businesses are forced to remain closed then the path to recovery is significantly more difficult.

Current impacts on revenue

In later notes of the report, Facebook provides some context as to current impacts on revenue, even for those businesses that have remained in operation.

small business facebook report 3

2020 will certainly not be a year of growth for the majority of businesses, if any. However, there are some indications of future potential.

Digital opportunities for small business

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More and more business are exploring online opportunities and going digital. This was already a trend, and the pandemic has catapulted all business into the world of online sales and e-commerce. This will most likely end up being the biggest long-term shift we see stemming from the COVID-19 shutdowns. While e-commerce accounted for only around 16% of total US retail sales in 2019, this number is expected to significantly increase in the next years. While retail is the most common e-commerce sector, the pandemic crisis may prompt more businesses to consider their options for digital operations, meeting consumers where they’re spending more and more of their time.

You can read Facebook’s full, 36-page “State of Small Business Report”, which includes a heap of more specific insights and data, here.

More from Onimod Global

Contact Onimod Global today, we are here to help you navigate this uncertain time. To find out more about who we are and what we do, click here.

To catch up on the latest digital marketing news and trends, click here.

4 Ways PPC Will Rescue Your Business During Economic Crisis

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People may be clicking, but when are they buying? Are consumers buying too much too fast? When do they really decide to convert and make a purchase? When will brick and mortar stores reopen and foot traffic resume? As some questions are answered, they are replaced by new questions under such fast-changing circumstances. The good news: Search marketing is adaptable, measurable, and when done correctly, VERY cost effective. Even with shifting data models, PPC pros can use timely trends to guide strategic decisions.

Trends Emerging

One very helpful tool for marketers during COVID-19 is the Tinuiti COVID dashboard. Here they provide a look at trends in paid Facebook media since the pandemic took hold. It requires you to sign up for free with email, and offers insights into media spend. They have discovered some emerging trends from the data across some volatile sectors. April proved far different compared to March; May will undoubtedly look far different compared to April. The following trends, according to the data shared by Search Engine Land:

Automotive: Spending plunged month over month by 41%, but surged almost 50% week over week across the past two weeks.

Travel: Spend almost evaporated, down 82% month over month, but is showing signs of a cautious uptick.

Consumer packaged goods: Up 27% month over month, and up 50% week over week.

In some cases, it seems that the natural reaction is to slash media spend. But clear thinking and data prove to prevail while figuring out the best strategies for your company.

E-commerce

Fast impact on e-commerce is dizzying to say the least, since e-commerce covers basically everything on the market.

  • Google announced search results on the Google Shopping tab will now include free listings, so any business that sells things should fast-track getting their Merchant Feed into Google. Read more about this hot topic on our news page here.
  • Product hoarding has shifted to “next best alternative” purchasing. For example, consumers got creative about toilet paper shortages, driving interest in bidets and other solutions-oriented products.
  • Market-dominating providers are suddenly prioritizing what gets shipped and when. Smaller providers that can ship fast have the potential for an edge over Amazon, Walmart and other large companies.

Here are some PPC tips from Onimod Global:

  • Make sure you are only showing the ads for things people can actually buy. There’s no point showing ads for toilet paper if none is in stock, or for your new summer shoe line launch if your warehouse is on lockdown.
  • Pay attention to setting better bids and prioritize the campaigns that can still convert.

Home services

Quarantine has people searching around the house looking for anything and everything to fix up. This includes but not limited to: Carpet cleaning, painting, dusty air ducts, spring prep for outdoors. Some are DIY projects, but many are best handled by the professionals, including emergency repairs.

Onimod Global’s PPC tips:

  • Stay on top geo-based performance that is affected by any local regulations impacting performance in your service areas.
  • There’s no point showing ads when all you can do is disappoint a prospect with the inability to fix their problem soon. Ensure your ads are suspended while your limited staff is completely booked.

Hospitality

It’s very evident as to why spend in the hospitality industry is almost completely evaporated. Remember that this is only temporary! History tells us that people will venture back out. It is human nature to do so. Travel is a necessary escape, and essential for business at times. People need hope, that they will soon be able to do this again. Here are our tips:

  • Stay on top of shifting search queries to avoid paying for ad clicks from consumers looking to cancel.
  • Keep audiences for Google Ads up-to-date with your customer/prospects database. This will ensure you’re showing the most relevant ads at the right time to the right groups of consumers.
  • Remember that there are customers who are ready to buy, just maybe unable to because of local restrictions. We suggest to consider shifting away from last-click conversion attribution.

Local brick & mortar businesses

Most likely the largest impacted in business are the brick and mortar businesses forced to close for the near future. Family-owned restaurants may lack infrastructure for delivery services at scale.

Some tips from Onimod Global for PPC are:

  • Build audiences from customer data. Even your manual customer email list in Google Sheets can be uploaded to a Facebook campaign for more effective targeting.
  • Agencies can deploy Rule Engine (for Google and Bing) to automate optimizations. It’s another way to offer lower-cost agency services that can scale.
  • If you’re new to social media advertising, contact Onimod Global to ensure your advertising budget is spent in the most efficient way possible.

More from Onimod Global

Need help from experts on PPC and how to optimize your advertising budget? Contact Onimod Global today, we are here to help you navigate this uncertain time. To find out more about who we are and what we do, click here.

To catch up on the latest digital marketing news and trends, click here.

How To Adapt And Pivot Your Marketing Strategy During COVID-19 Crisis

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COVID-19 has massively disrupted all business and daily activities which forces us to rethink everything we do. Now more than ever, the world needs creativity and fresh ideas on how to manage such an overwhelming situation. Not only is it a challenge to manage what your company should share with the public, marketing managers need a proactive plan to adjust how they lead their teams and manage their brand. Don’t wait for any problems to further develop, and instead follow this 4 step plan to identify potential scenarios and strategize marketing changes.

Scenario Brainstorming

The best, the worst, and everything in between. It is crucial to think through as many scenarios as possible for your business from all different perspectives. Now is a great time to strategize with your colleagues in the HR department, finance, and others to develop a well-rounded understanding of what challenges you will be facing. For example, if the “best case” scenario for a live-event company involves sponsorships and paid advertising, then “worst case” scenario should include some alternatives for how to reach and contact customers.

Observe Customer Behavior

How is your customer base reacting in this climate? This will range greatly based on geographic location, size of business, B2B or B2C, and so on. If you take away anything from this point, it should be that it’s imperative to establish trust with your customer base during this time. They are most likely looking towards you for information, reassurance, and guidance. How you handle this crisis will impact your brand significantly over the next several years. So now, more than ever, listen to your customers. It’s important to know what customers feel and do, and why.

Identify Operational Challenges

Challenges to service, delivery, product as a whole are inevitable. Identify and anticipate what could potentially be coming in your industry. Survival ultimately matters more than market domination in this current climate. Marketers will be challenged to adapt your message on a weekly, if not daily basis on the status of what you can produce and deliver. We recommend you to optimize your marketing budget and prioritize spending. Postpone campaigns for products or services that you are aren’t sure will be produced in this time. Instead, invest budget in promoting apps and other mobile tools and services.

Pivot Your Marketing Strategy

Everyone is in the same boat, and is looking to secure the same media spots to replace lost opportunities. The next months are now crucial. The rest of 2020 is likely to be impacted by many societal changes, and it is up to your business to be proactive and take alternative action. Use your scenario planning to anticipate possible and likely changes and take alternative action.

More from Onimod Global

To catch up on the latest digital marketing news and trends, click here. To find out more about who we are and what we do, click here.