My customer was Lehman Brothers: 6 strategies for marketing your way through a downturn

There is no right time to be in business.

I reactivated Europa Creative Partners about this time last year. For most of its existence, it was a side hustle, but it had been a full-time thing at one stage about four years ago. I loved it and wanted to do it again, but do it better and at scale. Now, I want to do it forever.

If I’d thought too hard about it, I probably wouldn’t have done it: it was during a brutal recession that New Zealand is still climbing out of.

Since then, we have built a solid business with around ten monthly recurring clients and a handful of project clients.

Why am I telling you this? Europa 3.0’s timing was rubbish. It’s been a difficult local market, and now it’s a difficult global market.

But it proves that growth is entirely possible during downturns, provided you take some lessons from others and the past (like the GFC in 2008), like we did. 

Those T-words

I don’t want to be a bummer, but occasionally, like many business owners, I take a moment from serving my customers to reading the news.

And it’s not great right now, especially economically. Besides the impact of AI, many “T” words are causing mayhem in the global economy, including one that rhymes with “tariffs.” These T words are combining to make a big T word: turbulence.

My grandad was a high-country farmer who was assiduous in keeping a journal. That helped him get through droughts, floods, and all the larger-than-human effects that tend to balance out on large timescales, even if they are traumatic on smaller ones.

I’ve kept a written journal since I was 12. They’re blank books, so the regularity of updates is reasonably chaotic, but I keep it up. That’s allowed me to get some perspective on significant events or when things outside my control create things I don’t want to happen.

My customer was Lehman Brothers.

This year, it will be seventeen years since an investment bank’s collapse became the catalyst for the Great Financial Crisis (GFC).

My diary entry for the 15th of September, 2008, starts with a series of the same swear words in the handwritten equivalent of ALL CAPS. I was in coffee, and a customer had just lost one of their primary retail sites.

That site: Lehman Brothers.

Nobody thinks about the local coffee supplier during an economic crisis.

In 2008, I was the national sales manager of Darlington’s Coffee.

I can (and will) write endlessly about how cool Darlington’s Coffee was (they were eventually acquired), but for this story, all you need to know is that they were, at the time, one of the largest distributors of gourmet coffee in the UK.

Much of our business came from the Square Mile in the City of London. One by one, the investment banks started going bad or bust. And we watched a good chunk of our business vanish overnight.

One option: sell our way out of this.

Darlington’s Coffee was a well-run business, and it was apparent that we could do very little to reduce costs. That meant we had only one option: sell our way out of the recession.

We went on the attack. It was one of the most uncertain and stressful years of my life, but when the smoke cleared – we were even slightly up on the year before.

Making our way out of a turbulent time

Today, the constant stream of troubling economic news can be unsettling if you’re a business owner or manager. I understand. I’m a master ruminator and worrier.

Here’s where we get practical. With the right approach, companies can survive and thrive during a downturn like we did at Darlington’s Coffee. Let’s explore key strategies that can help you grow.

1. Embrace abundance

Opportunities start to reveal themselves when you adopt an abundant mindset instead of a reductive one. I always begin with the numbers. Consider this: Australia’s Gross Domestic Product (GDP) is c. 1,723.83 Billion USD and New Zealand’s GDP sits at c. 255 Billion US.. Even in tightening markets, you only need a fraction of those numbers to achieve growth—there’s plenty to compete for.

Even if your market is shrinking, a downturn can be an opportunity to gain market share as weaker competitors fall away. The goal isn’t just to capture a larger slice of a smaller pie but to solidify your position when the market rebounds.

2. Focus on your sales pipeline

When you have many opportunities, you listen better and shape things closer to your customer’s needs, not just what you want. That means you need to talk to as many people as possible, nurturing those relationships so that when the time comes and the customer is ready, so are you.

At Darlington’s, we went out on the road figuratively (digital marketing) and literally.

All the activity eventually aligned with some luck: the British Government started printing money, pushing the pound downwards compared to the Euro.

This meant that we had a competitive advantage against coffee companies from Europe.

Combined with other factors, like a great product and service, we acquired a handful of large new customers.

We acquired these customers because we had already been talking to them and spending time with them when we didn’t have to.

Even if your market is shrinking, a downturn can be an opportunity to gain market share as weaker competitors fall away. The goal isn’t just to capture a larger slice of a smaller pie but to solidify your position when the market rebounds.

3. Rethink your pricing strategy

Adjusting your pricing strategy is crucial. Consumers are more cautious during a recession, so offering flexible payment options or bundling products can make your offerings more appealing. It’s not just about cutting prices—it’s about ensuring customers see real value in you’re selling.

I’ve always admired Mailchimp as a marketer; they provide a good lesson on capitalising during a downturn.

In the 2008 recession, they transitioned from a paid-only model to a freemium one, offering free email marketing services with paid upgrade options. This attracted cost-conscious small businesses and led to substantial growth.

4. Invest in marketing

While others cut back, investing in marketing can set you apart. Our own Xero, the cloud-based accounting software company, did this and not only grew during the recession, but they thrived afterwards.

They started in 2006, just before the global financial crisis. Xero thrived by offering small businesses an affordable, easy-to-use platform to manage their finances.

Their commitment to helping small businesses during tough times fueled their growth across Australia, New Zealand, and beyond.

5. Focus on product-market fit

“Necessity is the mother of invention”. Tough economic times can drive innovation. Brands and products that align with the current environment have the potential to grow significantly.

During the 2008 recession, AirBnB was a fledgling startup. The economic crisis accelerated Airbnb’s growth as people sought more affordable travel options and extra income by renting out their homes.

6. Build Strategic Partnerships

Forming strategic partnerships can expand your reach and create new revenue streams. Collaborating with complementary businesses allows you to tap into new customer bases and share resources, making it easier to navigate economic challenges together.

At Europa Creative Partners, this is part of our formula for success. We work closely with fantastic partners and collaborate with our customers to drive mutual growth.

Thriving during a recession isn’t easy, but it’s possible with the right strategies and partners.

If you’re looking for a partner who understands how to grow businesses during a downturn, I’d love to chat: let’s have coffee.