10 Key Questions
The world is grappling with the widespread effects of COVID-19, commonly known as the coronavirus. Recent statistics from the end of February indicate that up to 44 percent of businesses have been affected by the coronavirus. As marketers, we have to face and brace for this impact.
We don’t need to panic; we do need to be prepared.
Beyond the obvious personal measures we as individuals can take – wash your hands people! – we have to prepare our business for the logistical and financial consequences. To say the situation is fluid would be an understatement. The situation could swing either direction in the hours, days and weeks ahead.
What contingencies do you have in place? Are you ready? Here are 10 questions to consider when dealing with the coronavirus and its effect on your marketing initiatives.
MERCHANDISE AND MANUFACTURING
1. Have your merchants contacted vendors and suppliers (and sub-suppliers) to see if your merchandise will be affected?
2. What are lead times when factories return to production?
3. Even if your product is made in the USA, are all the parts? Or the shipping/packing materials?
4. What are your contingencies if merchandise isn’t available?
Merchandise and materials produced in China is the greatest challenging affecting businesses. Factories have been closed for weeks, and only now are workers starting to return. That doesn’t mean it’s immediately back to business as usual. There will be a backlog of orders to fill at the factories. Then a backlog of freight leaving the country. Then a backlog of entries at U.S. ports.
The delays are real. The impact is widespread. It’s not just merchandise made in China, it’s everything from materials to parts to even plastic bags. The supply chain is taking a considerable hit. Keep your merchants in open, ongoing conversations with vendors, suppliers and manufacturers. Explore options outside established relationships with businesses in China.
STAFF AND TRAVEL
5. Are you keeping an eye on travel restrictions?
6. Do you have a convention or conference that may be affected?
7. Is your staff equipped and ready to work from home if necessary?
The human toll is, of course, the most severe impact of the coronavirus. In our professional world, keeping ourselves and our fellow co-workers safe is of paramount priority. So far, travel has been restricted to countries like China and South Korea. Italy is feeling the effects with the closing of schools, tourist attractions and sporting events. Here in the States, several colleges have canceled or withdrawn from basketball games in the Pacific Northwest to avoid travel. More such actions will occur.
The spring is filled with marketing conventions and conferences. If you organize or take part in these events, you need to be prepared for an alternative. Will they be canceled? Can they be rescheduled? Will merchandise be available to show at such events? Travel may have to be curbed. Workers may face the prospect of working from home for extended periods. We have to be ready to accommodate these contingencies to ensure people’s health and safety.
MARKETING COMMUNICATIONS
8. Do you have a backup plan for marketing materials – catalog, emails, direct mail, retail – to account for possible inventory interruptions?
9. How can you revise your contact strategy to maximize efficiency in the next few months?
10. Are you keeping an even closer eye on economic factors such as the stock market and consumer confidence index?
The answers to these questions aren’t easy. But they must be considered as we face the global impact of the coronavirus. The more we ask, the more we engage, the more aware you are, the more prepared we can all be. The coronavirus is having a real effect on businesses. It’s up to us to brace for this new reality.
Are you prepared for the coronavirus and its impact on your marketing efforts? Call 913-236-8988 or email mattf@jschmid.com and let us help you ask the right questions.
Tags: China, communication plan, coronavirus, COVID-19, industry news, manufacturing, marketing strategy, Matthew Fey, merchandise, news