Brands should adjust their tech budgets according to their financial state during the crisis

New Ideas in MarketingEssential news for marketers, summarised by YouGov
May 20, 2020, 3:45 PM UTC

Different organisations are on different levels of crisis and have distinct challenges to face.

This piece suggests businesses should maintain their tech spending on important factors like security and risk management to meet the pandemic’s challenges. Brands should understand their current financial state and design appropriate tech-budget accordingly.

The companies that are in the survival mode should slash their tech budgets by 30% or more. They should stop spending on new hardware and reduce the new project budget. Organisations in the adaptive mode should slash their tech budgets by 10% to 20%.

Growing businesses can invest in supporting key vendors. These brands can work with the vendors who are ready to negotiate the deal at comparatively lower prices. But, they should avoid asking for price breaks with the existing vendors to maintain goodwill.

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