MD agency responds to impact of rising interest rates and outlook for 2022
Purpose Media CEO Matt Wheatcroft reflects on the impact of rising interest rates and looks ahead with some useful information for 2022.
When asked what they think of the current economic and political landscape, there’s no doubt that many business owners say ‘it’s hard’ – except most probably use a much louder curse instead. of “hard! “
Rising mortgage interest rates are already leading banks to take a more cautious approach to borrowing and lending limits, which in turn will impact spending by business and personal customers. Add to that the tensions in the job market and the perfect storm clouds are already forming.
Problems recruiting staff for positions in retail, logistics, food and beverage, and healthcare have been highlighted repeatedly, but the same problems occur within the marketing profession as well. that companies fight to retain their customers and market share.
The demand for people with specialized digital marketing skills and experience and the salaries offered has skyrocketed – in fact, it’s gone to another galaxy!
Businesses that had already embraced digital marketing strategies in their marketing toolbox wanted more – and those that previously thought them unnecessary realized that lockdowns, store closures, and people working from home required sweeping changes. in their marketing approach.
Businesses have been forced to make changes to counter the loss of in-store and face-to-face interactions and the lost brand profile through traditional sponsorship or empty space advertising. Those affected simply had to adopt the use of websites to sell online or offer click and collect services, as well as use email marketing, social media and digital public relations to communicate with customers. .
Therefore, the battle for talent to meet this demand means that hardly a day goes by that marketing agency heads hear reports from a team member receiving a call from. a head hunter.
If the combination of these dynamics adds to the likelihood of inflation (which I think it will), I fear there is a risk that employees who have jumped ship for inflated wages will be the first casualty. when their new employer is looking to rationalize their overhead costs – regardless of the industry.
So my advice to anyone looking to get off the ship is to really ask themselves if the grass is really greener on the other side? Would it be a better option in the long run if you show a little loyalty and support your current employer, especially if they’ve treated you fairly for two of the worst years you’ll probably ever have had.
As a company, our saving grace has been that Purpose Media has done everything to protect the financial and mental well-being of our staff and has strengthened relationships with employees and customers. In addition, a key element of our recruitment strategy has been to develop and maintain a good part of our talents by offering apprenticeship positions.
The fact that we can offer a structured career path has helped create a great place to work and a lot of loyalty and many apprentices are advancing to be part of the management team. Providing these opportunities also gives me great personal satisfaction as it is this generation of learners who have been most affected over the past two years.