During challenging times, like an economic downturn, a typical reaction for many startups is to examine the different ways they can save money and maintain cash flow. While cutting costs is understandable, visibility remains a critical component of any marketing or sales strategy no matter the market conditions or state of the economy.
Visibility is a type of exposure that lends external credibility to a person or company, which in turns helps them generate awareness, build trust and establish themselves as a thought leader in a specific field or industry. Visibility is also linked to business development, which is not a one-off event.
Each day you stop investing in ways to stay visible, means one day on the other end of the curve where you will not have a prospect or market opportunity. Extend that over the course of an economic downturn, which can last an average of 11.1 months, and your startup is potentially losing an opportunity to gain traction and maximize their chances of success.
VC is down, but investors are still looking
Last year, we watched venture capital soar to new heights — record after record shattered as funding reached $643 billion, up 92%, or $335 billion, from 2020. Now, halfway through 2022, the investment arena has cooled off. Investors are still on the hunt for their next portfolio company and more than willing to spend their money. While warm intros are still a fundamental way of getting in front of investors, unlike years past, founders no longer have to seek out venture capital and find an “in.” For early-stage companies, it’s not about who you know, but rather who knows about you. And that’s where visibility comes into play.
Visibility can help you “flash red,” get on an investor’s radar, and raise funding, even in times of uncertainty. Media credibility, for example, can open the door to an investor meeting.
Beyond “Flashing Red”
For startups, the ROI from staying visible extends way beyond getting on a VC’s radar and raising new funding rounds. Here are a few additional benefits, which apply even when the economy is less than stellar:
- More exposure = more top-of-funnel awareness: In marketing, "top of the funnel" refers to the first stage of the customer journey. Potential customers are drawn into this stage through various tactics and campaigns, as well as research and discovery. Awareness and trust is established and lead generation takes place as data is collected for nurturing prospects further down the funnel.
- Recruiting high-quality talent becomes easier: Startups offer the appeal of opportunities to take on multiple responsibilities early in one’s career, the chance to have a big impact on a small team, and strong workplace cultures, experts say. But when times are tough, the most qualified job seekers veer toward larger employers. Visibility helps elevate a startup’s credibility and expertise, and level the playing field when it comes to hiring high-quality talent.
- Partnership and collaboration opportunities arise: While flying solo has its advantages, the most successful startups do not operate in a vacuum. They forge partnerships that help them expand their market reach, innovate, and access greater resources, clients, and distribution channels. The more visible and well-known your business is, the more people will want to work with you.
- Thought leadership develops: As a founder, positioning yourself as an industry expert creates a competitive edge. When used as part of a broader PR strategy, thought leadership enables media coverage without hard news (e.g., a press release), as well as other avenues of visibility, such as speaking engagements and awards.
Intentional visibility should be a part of every founder’s game plan and every startup’s marketing, sales and business-development strategy. Since research and discovery is key for generating awareness and staying visible, all the traditional marketing tactics still apply in challenging times.
Foremost, your startup should have a robust and informational website that includes backlinks for optimal search engine ranking. Tap your personal and professional networks, and continue to network both off and online. As an executive spokesperson, it’s your responsibility to keep the public informed on company milestones, and where your company stands in your market and the world at large. And never overlook the power of PR. Of all the tactics for staying visible, public relations is perhaps the most vital and beneficial. Press, for example, can be used as a sales nurturing tool, shared with prospects to spark or reinvigorate new business discussions. Or when partnership opps materialize, joint marketing and PR campaigns allow startups to attain even greater visibility and propel a young business into the spotlight.
Just like your startup needs a go-to-market strategy, you also need a plan for staying visible. Visibility is a powerful tool that can help any company build a recognizable brand that attracts customers, employees, and potential investors — even when times are tough.
Crystal Ponti serves as the creative services manager for public relations firm Mooring Advisory Group Inc. in Boston.
