There are signs that the recession is starting to slow and in some sectors there is even speculation that it has bottomed out. This is fantastic news for the struggling economy and companies that rely on consumer confidence to survive. We’ve seen too many victims of the dismal financial times recently, from large British institutions such as Woolworths to smaller local independent businesses.

Paul Otellini, Intel President and CEO said: “We believe PC sales bottomed out during the first quarter and that the industry is returning to normal seasonal patterns”

As PCs are considered non-essential goods, the rise in the company’s fortunes are probably a reliable clue as to the way in which the economy is travelling. Even the housing market, which many people use as an economic barometer, is starting to show signs of a recovery. The Royal Institute of Chartered Surveyors has just released its Housing Market Survey, which highlighted the recent increase in people interested in buying and how this is starting to translate into actual sales:

“Significantly, the tentative signs of a pick-up in activity have become more broadly based over the past month. New buyer enquiries have now increased for five consecutive months with the positive net balance in March climbing to its best level since September 2003.

More importantly, there is now clear evidence that the higher level of buyer interest is feeding through into actual sales. Newly agreed sales, measured on a net balance basis, rose over the month as did the average sales per surveyor series (for the first time since the tail end of 2007).”

With this in mind it is maybe time for both large and independent businesses to start thinking about how to launch out of the recession positively? How to be the first one to reap the rewards of a healthier economy and build a customer base that is willing to start spending money?

One answer is to start building a loyal customer base now. It is a time for consolidation; when the economy picks up and consumers start spending money again they will probably be spending it on the brand with which they have built a relationship with. If a brand has rewarded consumers during difficult times the affiliation that has been built will more than likely mean that these customers end up rewarding the business through affluent times.

Here at The Rocket Marketing Group our primary focus is to drive loyalty, retention and revenue for both large and independent businesses. Our combined reward programmes have a membership base of over 100,000. Becoming involved with our reward programmes gives both large and independent businesses a free platform to market a brand and tap into an established base of loyal customers. We manage everything end-to-end and in-house so it is an effective and efficient way for businesses to promote products and services.

Contact Us if you would like to discuss what a Rocket Marketing Group reward programme can do for your brand whether it’s a large or independent business.

The British Bankers’ Association reported that the amount banks lending to small businesses rose by 239 million in January, proving that small businesses can still emerge and grow despite the current economic climate. In some instances small and medium sized companies are actually better equipped to deal with harsher times as they can be more streamlined, determined and focused on consumers needs. But are there things that small businesses can do to optimise these advantages and boost consumer confidence?

Commenting on this data, BBA statistics director, David Dooks, said: “There have been net rises in term lending to small businesses each month since last autumn, albeit at levels below last year’s monthly average, reflecting subdued business investment in the economic downturn. At the end of last year, the outstanding level of term lending was some 9 per cent higher than a year earlier. The many small businesses that don’t borrow are drawing on cash reserves to fund current cash-flow needs, such as January’s tax payments. Despite the recession, people are still embarking on new business ventures, as shown by the number of new start-up relationships in early 2009 being in line with last years average.”

There’s always room for small to medium sized businesses to flourish in the current economic climate because of the unique relationships they can foster with their customers. It is so important to get the small details right and build mutually respectful relationships with consumers, as it’s far easier to adapt to individual needs and build brand trust and consumer confidence at a grass roots level. But businesses that rely on reputation and word of mouth can’t afford to make mistakes. So it’s particularly important during the current economic climate to give customers what they need and make sure that their recommendations become an effective form of free marketing. This is something that has become increasingly important and recognised by all businesses, whatever their size.

In its latest quarterly referendum survey, members of the Forum of Private Businesses voted for restoring business confidence (65%) and restoring consumer confidence (63%) as the two issues they most want the Government to prioritise in the 2009 Budget in order to support their businesses.

For smaller businesses, finding ways to reward customers is particularly important when trying to develop and enhance consumer confidence during the current economic climate and that’s why The Rocket Marketing Group offers a number of reward programmes including The Midweek Dining Club, The Home & Garden Club, The Big Savings Club and The Entertainment Club. These are particularly good for small and medium sized businesses to be involved with, as they offer free marketing on a national scale to an ever growing customer base of 300,000 people. All our partners have to do to receive this free marketing, is offer an exclusive discount to our members. It is a way of giving customers something back for remaining loyal to the brand.

The Rocket Marketing Group’s range of reward programmes are also available to be sold to a business’ existing customer base. We currently work with clients such as JML who generate commission by selling a range of clubs to their customers. This gives JML incremental revenue and gives the customers a wider range of products and services at a reduced rate, which they associate with JML, making it more of a one stop shop for consumers’ needs.

With the recent announcement that the UK is heading towards a period of deflation, the worry is that consumer confidence will dip further. The fear of businesses is that the public become even more reluctant to make non-essential purchases, especially when the costs of goods are continuing to fall.

According to the Office for National Statistics, the Consumer Price Index was 3.2 per cent in February 2009, up from 3.0 per cent in January 2009. Retail Prices Index (RPI) inflation slowed to 0.0 per cent in February, down from 0.1 per cent in January.

In an already beleaguered market it’s hard to believe that things can get any worse, as surely people have already changed their spending habits as much as they are willing to or can do? But then in a bid to learn from history we have to look at the unfortunately lengthy deflationary period Japan suffered during the 90s and brace ourselves for what could be a long period of deflated consumer confidence. Ultimately though, only time will show us how it will all pan out, so all businesses can do is optimise every selling opportunity.

The Rocket Marketing Group offers a range of reward programmes developed to help businesses drive repeat business, promote brand loyalty and improve consumer confidence, which are important elements for optimising every selling opportunity in hard times. It is completely free for businesses to be featured in one of the reward programme brochures, websites and seasonal newsletters, when they offer an exclusive discount for club members. Membership numbers for The Rocket Marketing Group’s reward programmes have soared in recent years to an ever growing total of 300,000 people, so there is a large base of customers for businesses to engage with.

The current economic climate is forcing businesses to reduce advertising budgets and find new cost-effective ways of marketing their brand, which reflect and respond to the public’s state of mind. Brand loyalty on the high street has gone out of the sale-stickered window as consumers switch products in response to the latest offers. But loyalty and membership programmes such as The Entertainment Club, are a way in which businesses can turn this behaviour to their advantage. Clients offering discounts through The Entertainment Club include: Cineworld, Blockbuster, HMV, Bowlplex, London Pass, Theatre Tokens and Virgin Experience Days.

So the exciting relaunch of The Entertainment Club is a thrilling prospect for businesses looking for a cost-effective way to market their brand. It essentially targets 18 – 30 year olds but has a much wider appeal, by offering exclusive discounts on CDs, DVDs, magazines, food, wine and beer plus activities such as snowboarding and bowling. There are 7 fantastic new offers included such as 10% off quad biking with Quad Nation, 2 hours for the price of 1 at SNO!zone, 10% off clay pigeon shooting with The Big Shoot and every new member of the club will receive 2 free cinema tickets plus discounts at a wide range of restaurants nationwide.

The new website will give members clear and comprehensive information on new, ongoing and seasonal offers as well as articles about the latest film releases and tips on ways to save money and use the member discounts. Membership numbers have predictably increased in recent years, to an ever growing total of 26,000 members. The fun new website will keep these members in touch with the exclusive and exciting world of entertainment.

Andy Huggins, MD of the Rocket Marketing Group comments: “The Entertainment Club has a great new look and a fantastic website that is as informative as it is fun. There are some amazing new discounts for members, on everything from movies and music to fun, food and drink. And because membership numbers are constantly increasing, then so is the opportunity for businesses to promote themselves, during the harsh economic climate.”

Preview memberships are priced at just £1.99 for 21-days and only £29.99 for a full 12 months. Members can enjoy some really great discounts that beat offers on the high street hands down. Here’s just a sample:

25% Off at Odeon Cinemas – watch all the latest movies!

Free Movies for 6 Weeks with Blockbuster – enjoy the latest hit movies from home.

7% Off at PC World – save on big purchases like a brand new computer, printer, scanner, computer games, software and lots more.

£5 Free Voucher at Firebox – have a bit of fun with a great office toy or gift!

Get 4 Free Beers from The Beer Club of Britain! – enjoy some great ales and premium lagers for a lot less.

15% Off London Pass – Visit Windsor Castle, St Paul’s Cathedral, the London Aquarium and lots more great attractions at a big discount.

With a permanent sale season on the high street and online sites such as MyVoucherCodes.co.uk and MoneySavingExpert.com, the recession has driven consumers to become sale savvy and expect a discount whenever they spend money.

MoneysSavingExpert.com had only a 1,000 recipient mailing list back in 2003 and now it receives 15 million visits per month, with a 3 million person weekly e-mail list.

www.quantcast.com reported that MyVoucherCodes.co.uk receives approx 60,000 visitors per month, which is 4% up in the last 3 months according to Alexa – www.alexa.com

As consumers hold companies to ransom, unwilling to shop without the hint of a discount, how can companies distance themselves from the permanent sale but remain on the ever successful money saving bandwagon?

From a business point of view the danger of the constant sale trend, is the possible deflation of the brand’s value, as the consumer starts to view the sale price as the norm. There is no doubt that sales help in the short-term but they can ultimately be damaging to a brand’s image.

Many businesses have come to realise that offering discounts through loyalty and membership programmes is a more long-term solution that is actually beneficial to the brand’s image; yet still wholeheartedly jumps on the money saving bandwagon. And that is why the popularity of membership and loyalty programmes has soared.

The Rocket Marketing Group has seen membership numbers of its range of loyalty and membership programmes increase dramatically to 120,000 people over the last few years. The benefits for businesses include free marketing through member websites and brochures that reach a huge customer base. All they have to do is give the consumer what they ultimately desire – a discount. By offering consumers a discount in this particular way the offer remains ‘special’, as it’s only offered to a closed group of people; the brand’s image and values remain intact and the customer gets they want.

We have now re-released a newly designed and fully functional Big Savings Club website.

As part of our commitment to continuously improving our products and services, this new site is a major step forward both in terms of design and functionality. The new site allows the customer much greater interaction with the offers, together with real time integration to SAP and our in house Membership Services team.

The new site has taken several weeks to develop, and will be used as our technical template going forward. Over the next few weeks you will see new releases of all our club sites.