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Report: SMBs watching economy closely
When it comes to the immediate future, small businesses say they're cautious about how they'll spend marketing dollars. According to a new report out from The Local Corporation 92% of SMBs say they are influenced by the national economy - and 40% say they've thought about cutting back on their marketing spend.
With the economy still sluggish and some worries because of the 2012 Presidential Election, small businesses aren't running into the future. They're walking - and watching the national playing field closely. According to a new survey out from The Local Corporation about 40% of small businesses have considered cutting back on marketing spends.
However, those cutbacks may be toward traditional media. The survey found that 63% are invested in digital marketing and about one-third plan to increase their digital spending heading in to 2013. Along with the economy, businesses worry about creating strong customer relationship. About one-quarter say customer relationship management is one of their biggest challenges moving forward.
Those surveyed are optimistic about the future with more than half saying they will make a long term investment in their business while nearly half (46%) say business development is topping their list. More than half (61%) say they would take a pay cut to ensure their business will survive.
Researchers polled more than 400 small businesses about their marketing decisions between October 12 and 18; all surveyed SMBs had 25 or fewer employees, spent under $75,000 on advertising per year and had annual revenues under $1.5 billion.
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