Dynamic Marketing Strategies and Consumer Retention during the 2016 and 2020 Recessions in Nigeria

Abstract

This study investigates how firms in Nigeria strategically deploy dynamic marketing strategies to retain consumers during periods of economic recession, specifically the 2016 and 2020 downturns. The problem addressed is the limited empirical understanding of how consumer-facing firms in emerging markets adapt their marketing approaches in response to recession-induced shifts in consumer behaviour. Guided by the Dynamic Capabilities Theory and the Resource-Based View, the study examines the mediating role of consumer behaviour and the moderating influence of organisational capabilities on the relationship between dynamic marketing strategies and consumer retention. Primary data were collected through a structured questionnaire administered to 258 marketing professionals across the fast moving consumer goods (FMCG), telecommunications, and retail sectors. Structural
Equation Modeling (SEM) was employed for analysis. Results show that dynamic marketing strategies significantly improve consumer retention, with stronger effects observed when mediated by adaptive consumer behaviour and supported by robust organisational capabilities. Sectoral insights reveal that FMCG and telecom firms benefit most from agile, digitally enabled marketing tactics. The study recommends that firms invest in marketing agility, consumer analytics, and cross-functional integration to remain resilient during economic downturns. It concludes that sustained consumer loyalty in recessionary
environments depends on the alignment of strategic responsiveness with both consumer expectations and internal capabilities.