Customer budget cuts driven by recession and sluggish consumption
First written in FY2019. 4 of 5 entries say "Materialised", first in FY2020. Latest entry: FY2024.
iRidge moved to the "Worse" side of this theme in 2020, the same year as the typical company in this theme.
The whole theme swung hardest in 2020: 18 of 24 companies on the "Worse" side.
5 other companies' latest entry also says "Materialised".
- FY2024MaterialisedAnnual report
「In offline marketing, although the acquisition of new customers progressed in the second half of the current consolidated fiscal year, the average project value was below expectations.」
The below-expected average project value in offline marketing materialized as one factor behind the ¥265.538 million segment loss in the OMO business. - FY2023-Q2MaterialisedAnnual report
「This was mainly because online marketing (digital marketing), centered on app development and app marketing, remained solid, while offline marketing (real-world promotion) was affected by customer companies' budget reductions and delays in acquiring new customers resulting from the spread of the COVID-19 pandemic.」
Cuts in client-company budgets and delays in acquiring new customers actually occurred and were cited as factors behind the 9.3% year-on-year decline in revenue and the decline in revenue related to offline marketing. - FY2021MaterialisedAnnual report
「In the digital and physical marketing fields, particularly real-promotion activities, we were affected by reductions in client-company budgets and the postponement or cancellation of promotions due to requests to refrain from going out amid the spread of COVID-19.」
Cuts in client-company budgets and the postponement or cancellation of real promotions materialized as factors behind the 18.3% year-on-year decline in full-year revenue. - FY2020MaterialisedAnnual report
「Meanwhile, budget cuts by the Group's customers and the postponement or cancellation of promotions could temporarily suspend the Group's business activities or prevent them from progressing as planned, which could affect the Group's business and performance.」
The previously identified risk of an economic recession and customer budget cuts has materialized as customer budget reductions, postponed or cancelled promotions, and smaller project sizes due to the spread of COVID-19. - FY2019First statedAnnual report
「If client companies' budgets are reduced due to an economic recession, weak consumption or other factors, this could affect the Group's business and performance.」
For client companies in retail, transportation, manufacturing, telecommunications, financial services and other industries, the company has disclosed cuts in marketing budgets due to an economic recession and weak consumption as a new business-performance risk.