Apple Biz Gifting Is Smart Marketing

It's the question I'm asking after getting marketing e-mail from Apple this morning: "Let your employees, colleagues, and customers know how much you value them this holiday with iPod—custom engraved for free." The e-mail promotes Apple's "Corporate Gifting and Rewards Program."

With recession fears turning to reality, many companies will be quick to cut back marketing spending. For big brands, the approach is risky. Bad times are reason to advertise more, to make sure that people buy your stuff when they're spending less. But reality: Many companies will cut back marketing dollars.

Last week, in giving his "State of the Mac" speech, Apple Chief Operating Officer Tim Cook identified marketing as one of the six reasons why Apple computer sales are doing so well. Apple is right to keep up the marketing, and e-mail is a cheap way to do it. E-mail marketing isn't new for Apple. Apple Store marketing e-mails are frequent. What's interesting about this one is the timing and the content.

For anybody in sales, client retention is going to be a problem as the economy slows. Many clients will cut back spending in many industries, and there will be poaching attempts, too. A new, engraved iPod nano could be a good gift, whether you're looking to keep existing or snatch new clients. Many companies probably will cut back this kind of gift giving this year. But Apple is smart to mass e-mail and possibly catch some of those businesses that might see that holiday gift as a way of showing appreciation to—and quite possibly keeping sales coming from—key clients.

The point: Just because the economy is declining, doesn't mean that high-tech companies should just give up. You can live in economic fear, or you can transcend it. Apple has the right approach.

[Editor's Note: Tim Cook identification corrected.]

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Posted by Joe Wilcox on October 20, 2008 11:14 AM