Economy

Heart, backbone and driving force – the German economy has many names for its small and medium-sized enterprises. And they all do them justice. Like a strong, beating heart, they pump German expertise and ‘Made in Germany’ products into global markets with great innovative power. Particularly in times of weak growth and reduced purchasing power, both at home and abroad, SMEs act as the reliable backbone that stabilises our German economy. Firmly rooted in their regions, they are the best guarantee of local jobs and training opportunities. 

In short: we love our SMEs. 

Their distinct ‘hands-on mentality’ is both a blessing and – from a communications perspective – unfortunately often a curse as well. Often family-run and with clear, simple hierarchies, it is precisely our internationally active SMEs that manage to keep pace with the rather sedate conglomerates. However, when it comes to attracting new customers, market share or highly qualified specialists, they struggle as ‘hidden champions’ to keep up with the big brands. Yet the problem is often home-grown – they lack a communication strategy that is conceptually and strategically well-designed.

Only 40 per cent of SMEs have their own communications department or a corresponding communications budget. In the rarest of cases is communications institutionalised within these companies. Several studies in recent years point to this fact, including the latest study on SME communications. Above all, this highlights a central problem in SME corporate communications: the lack of a communications strategy. This is not to say that communication does not exist in SMEs. On the contrary: as many as nine out of ten SMEs already make use of the colourful array of communication tools. Websites are built, trade fairs and events are attended, media and press relations are maintained, and advertisements are placed. Social media is no longer a red rag either; Facebook, YouTube, Twitter and the like have long since found their way into the mix.  

Yet the question remains: what about a communication strategy derived from the corporate strategy? What use are individual measures without knowing what goals one is pursuing? How does one select the right colours from one’s palette without knowing what picture one wishes to paint? To put it another way: would you get into your car without knowing your destination?  

When it comes to communication, the journey must not be the destination. A strategy should mark the start of the journey into corporate communication. Cruising aimlessly around – that’s something we enjoyed in our youth. But the days of spontaneous and situational communication are over. 

Why is a communication strategy important?

1. Understanding brand value, sharpening your profile
Through a communication strategy, companies get to know their USPs (unique selling points), sharpen their individual, unique profile and thereby clearly distinguish themselves from competitors. In this way, every communication measure becomes a sales-supporting measure. 

2. Sustainability
Only a company that knows its target audiences can act in a goal-oriented and sustainable manner. Advertisements, trade fair appearances and the like will only be successful if it is clear which target audience is to be reached with which core messages. 

3. Optimal use of resources
Formulating a strategy means, above all, becoming aware of the potential of communication and making optimal use of resources (time, budget, staff). 

4. Protection against crises
Many companies prefer to remain silent for fear of communicating incorrectly. Yet good communication is the best defence against negative press coverage.