Understand the Facts
I will be the first to admit this is not a popular view but that doesn't make it wrong. With any type of marketing, you need to understand your market and study your competitors. Companies are cutting back on advertising more than ever but should they? If you look at the market for your company, does the decline in advertising match the decline in the marketplace? If the answer is no then the plan should be to "stay the course". There is no doubt that the market has declined for many companies but you can turn the tables for your company by increasing your market share. What is the best way to do that? Well the answer should be obvious. While your competitors are pulling their marketing budgets back, you should strongly consider keeping your budget in line with last years spending.
Know your market and have a plan
Let me give you some very important advice that we have learned from our experience. You must have a plan before you start advertising. Let me say that again because it is very important. Develop a plan including a budget and stick to it. The sales cycle is not immediate and many times your sales and new customers are a direct result of marketing you did 4-6 weeks ago. When developing a plan make sure to budget for your sales cycle. If your company's sales cycle tells you it takes 6 weeks to generate a new customer then make sure you budget for at least that amount of time for your advertising. Also consider different delivery platforms when considering your advertising options. There are many options to effectively convey your message both in the traditional sense and on the Internet.
A well thought out marketing strategy will go a long way for your company, especially in a time when you get more bang for the buck.