Brands/Products
Want to Survive a Period of Economic Crisis? Don’t Kill Your Marketing Spend
By Tintin Imevbore
During times of economic downturn, such as the one Nigeria’s currently experiencing, businesses are frequently forced to make tough choices when it comes to cutting back on costs. Unfortunately, marketing is often among the first cost items to be cut. While the reasons for cutting back on marketing as a whole are understandable, doing so could potentially cause detrimental damage to the business in the long run.
In fact, there’s a strong case to be made that, rather than making wholesale cuts, organisations could aim to reallocate spending to suit the current economic climate while also driving efficiency and adapting to changing consumer behaviours. And that, in turn, could mean putting an increased focus on digital marketing. Doing so comes with several advantages. Not only does it minimise the pitfalls that come with cutting back on marketing spend (including lost brand visibility and diminished customer loyalty), but it could also help businesses stand out against competitors who do cut their marketing budgets in a bid to save short term.
But, in order to enjoy these advantages to their fullest extent, organisations have to take the right approach to digital marketing. That includes working with advertising partners who understand the digital landscape as well as the platforms and digital ad products most suitable to each business’s requirements.
Understanding the psychology of cutbacks
Before looking at how businesses can ensure that they get the full benefits of digital marketing, it’s worth getting a clearer understanding of why it’s so often among the first items to be cut in a company budget.
One of the biggest reasons is that cutting back on marketing spend provides immediate savings to the business. That could help the business preserve immediate cash flow in the short term. While that’s not as applicable to digital marketing channels as it is to traditional ones (such as broadcast and outdoor), businesses looking to preserve cash flow and save jobs will try and save anywhere they can.
Additionally, marketing budgets are seen as more flexible compared to fixed costs like salaries or commercial rent. As such, some business owners and executives believe that it’s easier to scale back or eliminate marketing campaigns than it is to make drastic changes to the organisation’s structure.
To add to it, , in a period where business survival is perceived to be more important than growth and expansion, long-term investments like marketing campaigns might take a backseat in favour of short-term cost-cutting measures.
Short-term gains but long-term pain
As understandable as that logic is, the short-term gains made by cutting back on advertising can result in long-term pain for businesses.
Reducing or eliminating marketing efforts during an economic downturn can lead to reduced brand visibility, a loss of market share, and diminished customer loyalty. This, in turn, could make it more challenging for the business to recover once the economic situation improves.
And in an emerging market like Nigeria, that could mean missing out on considerable long-term growth. While the economy might be struggling now – thanks to a combination of volatile exchange rates, the removal of the fuel subsidy, rapidly rising inflation, and global macroeconomic factors – that won’t always be the case.
The country’s expanding youthful population, growing levels of connectivity, and rich natural resources mean that it is primed for long-term growth. In fact, research from Goldman Sachs suggests that Nigeria could have the fifth-largest economy on the globe by 2075.
The businesses that will be best positioned to enjoy the fruits of that growth are the ones that build personalised relationships with their customers, and digital marketing remains one of the most efficient ways of doing that.
Use the right partners
But that doesn’t mean that businesses have to adopt a “business-as-usual” approach when it comes to digital marketing. It is, after all, still possible to recognise the importance of maintaining a digital presence while also being aware of the broader economic situation.
Achieving this balance can be a lot easier when businesses choose to work with the right advertising partners. The ideal partner would be able to help a business identify which platforms and formats work best for its business needs. The partner will also be able to help deliver the kind of campaigns that provide the maximum return on the business’s marketing spend.
Businesses should also consider looking for an advertising partner that has an established in-market presence with local on-ground expertise. By doing so, the business is more likely to understand and adapt to the shifting economic conditions. It’s additionally important to use an advertising partner that prices transparently, meaning the business knows it’s getting the fairest possible price from the start.
An ongoing investment
Ultimately, then, it should be clear that while cutting digital marketing budgets is understandable, it should never be viewed as desirable. Businesses that choose to keep their advertising during activities running through challenging economic times could potentially come out stronger on the other side. In order to reap maximum benefits, they should consider working with partners who can help them ensure their marketing budgets work as efficiently (and as economically) as possible during uncertain times.
Tintin Imevbore is the Managing Director for Nigeria at Ad Dynamo by Aleph
Nobody in Nigeria runs just one hustle. There’s the job that pays the bills, the small business that’s meant to be your way out, and a phone that never stops buzzing with “I’m interested, how much?” You’re the founder, the customer service, the person who chases the dispatch rider and the accountant, all before lunch. The dream is still there. It’s just buried under 47 unread messages and a spreadsheet you’ve been avoiding since March.
You don’t have to keep doing all of this by hand. AI has become the kind of co-founder most of us could never afford to hire, and Gemini can take the boring, heavy work off your plate so you can spend your time on the part that matters, building something people actually want to buy. You don’t need funding to start. Here are five ways to put it to work.
1. Take your idea from a dream to a business plan.
Starting a business often begins with a single idea, but managing the messy explosion of thoughts that follows can be tough. Instead of scattering your notes across different places, brain dump your idea into a notebook in the Gemini app. Process your thoughts out loud, then add links, files, and other reference materials. Gemini will structure your vision, creating a central command centre that grows alongside your business.
As your side hustle grows, graduate to business notebooks — a centralised hub to organise workflows and chats alongside your website and Google Business Profile. Grounded in your context, Gemini proactively surfaces critical action items, like unanswered customer questions, and recommends tailored updates to keep you ahead.
2. Research the Nigerian market in minutes.
Don’t just guess, know your audience. Use Gemini to generate reports on competitors in your specific city or industry. Gemini’s Deep Research feature compresses hours of work into minutes. (Think of it like a personal research assistant.) Ask it to generate a report on your competitors or markets you can target. It can browse hundreds of sources, track down facts and synthesise emerging trends, giving you professional analysis in a snap.
3. Define your brand aesthetic.
Nigerian Gen Zs are redefining success through creativity, and Gemini is the perfect partner to build a standout brand on any budget. Drop your products into high-end backdrops, craft eye-catching typography, or make your own cinematic video ads. You’ll have consistent, professional-grade visuals for web pages and social posts in seconds.
Connect apps like Canva to use the assets you made in Gemini in creative layouts or social drafts without switching workspaces. You can also use Pomelli from Google Labs to build your core Business DNA, and use this to create a comprehensive brand book or stand up a complete website in just a few clicks.
4. Put your logistics on autopilot.
Managing a side gig while studying or working full-time is a struggle. Use Gemini Spark to act as your personal AI agent that runs 24/7. You can set instructions like: “Whenever I get a WhatsApp or email inquiry about my services, extract the client’s details and store them in my tracker.” It handles the heavy lifting so you can focus on making sales.
Gemini Spark acts as your personal AI agent that runs in the background 24/7 — even when your laptop and phone are turned off. Instead of logging data manually, you can connect your tools and apps and let Spark handle the heavy lifting. For example, you can set an ongoing instruction, like: “Whenever I get an email asking about my services, automatically extract the client’s details, store them in my ‘Client Tracker’ Google Sheet, and create a new dedicated folder for them in Google Drive.”
Gemini Spark is available to Google AI Ultra subscribers globally.
5. Know when your price is right.
With fluctuating costs, pricing correctly is survival. Input your material costs, delivery fees, and platform charges into Gemini to find your break-even point. It can help you model different tiers to see how to maintain your bottom line while staying attractive to your local customers.
Once your business is up and running, you can transform your decisions by grounding them in real data. Just upload your spreadsheets to Gemini to uncover hidden trends, generate personalised recommendations, and build a custom, interactive tool that helps you visualise the impact of potential decisions on your bottom line.
By Adedapo Adesanya
GoLemon, a Lagos-based grocery delivery startup known for offering bulk household shopping at prices below those of traditional supermarkets, has announced it is shutting down after failing to secure additional funding.
The company has stopped accepting new orders and will permanently close its customer support channels on August 2, bringing an end to a business that sought to make grocery shopping more affordable and convenient for Lagos residents.
In a farewell blog post titled Thank You, Lagos, the startup expressed gratitude to its customers, employees, investors and partners for supporting its journey.
“We set out to help Lagosians save money on groceries without sacrificing convenience, and every order, referral and message of encouragement made that mission worthwhile,” the company said in the statement.
GoLemon, which was founded in 2024, said it would honour outstanding customer obligations, including refunds where applicable, as it winds down operations.
The company added that the decision was not made lightly but followed months of efforts to secure fresh capital to sustain and grow the business.
Founded to tackle the high cost of grocery shopping in Nigeria, GoLemon differentiated itself by sourcing products in bulk and passing cost savings on to consumers while offering home delivery across Lagos.
The startup gained traction among households seeking an alternative to traditional supermarkets amid rising food inflation.
Despite attracting a loyal customer base, GoLemon said the increasingly difficult fundraising environment made it impossible to continue operating.
The closure underscores the growing challenges facing African startups as venture capital funding remains subdued and investors become more selective.
Several technology companies across the continent have been forced to scale back operations, merge with rivals or shut down entirely as they struggle to achieve profitability and raise follow-on funding. Recently, FoodCourt temporarily stopped operations as it couldn’t fulfil its debt obligations.
Before announcing its shutdown, GoLemon had continued expanding its services, including introducing next-day grocery delivery and promotional discounts aimed at growing its customer base. However, those efforts proved insufficient to overcome the funding constraints that ultimately led to the company’s closure.
Brands/Products
Rafa Corporation Accelerates Growth with Investment in Nigeria’s Largest Continuous Soap Manufacturing Facility Lagos
Rafa Corporation, manufacturer of the rapidly growing Rafa Detergent brand, has announced a landmark investment in world-class soap manufacturing technology, marking a major milestone in its ambition to build one of Africa’s leading home and personal care manufacturing enterprises. The investment significantly expands Rafa’s production capabilities while reinforcing its commitment to innovation, industrial excellence and long-term value creation across Nigeria and West Africa.
The company has signed contracts for the construction and installation of a state-of-the-art Continuous Saponification Plant integrated with a Continuous Vacuum Soap Cooling and Drying Plant, with a 10-tonnes-per-hour production capacity. Once commissioned, the expanded production capacity is expected to position Rafa as the largest single-line continuous saponification plant in Nigeria, Nigeria’s largest powder detergent manufacturer by installed production capacity, and reinforce its long-term commitment to industrial excellence.
Designed with flexibility and efficiency at its core, the integrated production system will produce a wide range of multipurpose soap bars and premium-quality soap noodles. This versatility will enable Rafa Corporation to respond swiftly to evolving consumer preferences and expanding market opportunities across the home and personal care sectors.
In a further demonstration of its growth strategy, the company has also signed contracts for the construction and installation of two state-of-the-art Toilet Soap Finishing Lines, each with a 4-tonnes-per-hour production capacity. Equipped with advanced soap noodle conveying systems and modern automation technologies, the new finishing lines will deliver greater production efficiency, superior product consistency, and enhanced manufacturing reliability, while supporting the company’s expanding portfolio of personal care products.
Together, these investments represent one of the most significant expansions of soap manufacturing capacity currently underway in Nigeria, underscoring Rafa Corporation’s determination to build one of Africa’s most modern consumer goods manufacturing platforms. They also reflect the company’s long-term confidence in Nigeria’s manufacturing sector and its belief that world-class consumer goods can be designed, manufactured and exported from Africa.
Speaking on the development, the General Manager of Starium Detergents FZE, Mr Muhammed Midan Rabiu, described the investment as another defining milestone in the company’s growth journey. He stated that the company remains committed to supporting local value creation, strengthening industrial capacity and contributing to the development of globally competitive African manufacturing.
“This investment represents another defining milestone in Rafa Corporation’s journey to build one of Africa’s leading home and personal care manufacturing enterprises. We are investing in world-class technology, advanced manufacturing capabilities, and the people who will shape our future because we believe Africa deserves consumer products manufactured to the very highest global standards.
These projects significantly strengthen our capacity to innovate, expand our product portfolio and respond to the evolving needs of consumers across Nigeria and West Africa. Beyond increasing production capacity, we are building an integrated manufacturing platform that will drive industrial development, create sustainable employment and contribute meaningfully to the growth of Africa’s consumer goods industry.
At Rafa Corporation, our vision is clear: to build trusted brands, world-class manufacturing capabilities, and a proudly African company that competes with the very best in the world,” he said.
Rafa Detergents has rapidly emerged as one of Nigeria’s leading detergent manufacturers. The company currently operates an 80,000-tonne-per-annum powder detergent manufacturing facility in Alaro City, Epe, Lagos. It is on course to commission a second production line before the end of the year, increasing installed production capacity to approximately 200,000 tonnes per annum.
These additions are an important milestone in Rafa Corporation’s long-term strategy of building one of Africa’s leading home and personal care manufacturing enterprises. By expanding beyond detergents into large-scale soap production, the company is creating an integrated manufacturing platform capable of serving rapidly growing consumer markets across Nigeria and West Africa.
Driven by continuous investment in technology, innovation and world-class manufacturing, Rafa Corporation remains committed to delivering trusted, high-quality products while creating employment opportunities, strengthening local industrial capacity and contributing meaningfully to Africa’s consumer goods manufacturing landscape.
