According to a survey conducted by the Boston Consulting Group, only 3% of small business advertising dollars goes toward online marketing. The majority is spent on traditional, offline marketing methods such as Sunday circulars.
This is a vast difference from large companies, which spend an average of 15% of their advertising budgets on online promotions. Why the disconnect?
Misunderstanding of Online Marketing Options
The same study found that many small businesses lack a solid understanding of the various online advertising options they could choose from. Even when they were aware of those options, they weren't sure how to take advantage of them.
What this means for you is that if you're unsure how to go about an online marketing campaign, you're not alone. Many of your small-business peers advertise exclusively on old-fashioned channels. But you (and those other small businesses) are likely missing a major income opportunity by skipping internet marketing.
At a bare minimum, you should look at your website design and search engine optimization to improve your online presence.
Your Website
Another important consideration for your online marketing is your company website.
Is its design user-friendly? Can customers quickly find the information they need? If you don't know, ask your customers. It can be difficult to look at your own site objectively, but customers can tell you what works -- and what doesn't.
You should also focus on creating plenty of relevant, helpful content for your website. Staff bios, product descriptions, how-to guides, video demonstrations...all of these are great ways to not only make your site more valuable to visitors, but more attractive to search engines.
A company blog is a great way to keep fresh content on your site. Search engines love blogs, because they get regular updates and add value for readers.
Search Engine Optimization
SEO is a mystery to many people. Done properly, it can bring you tons of targeted traffic (which can translate into customers ready to buy).
But the wrong (or outdated) SEO strategies can actually hurt your search rankings, ensuring that no one finds your site. If you prefer to do your own optimization, make sure you take the time to fully understand the process -- and get your information from a source that's up-to-date with Google's Penguin and Panda updates.
If you're unsure how to go about it, you might be better off hiring a professional SEO firm. Just be cautious about who you hire -- make sure you check references and look for online reviews before forking over your cash.
Social Media
An effective social media presence can do wonders for your company's bottom line. By engaging with customers through social networking sites, you establish your company as a helpful resource, and keep your name in front of potential buyers.
If you feel overwhelmed by online marketing, you may need to hire a marketer or firm to help educate you and your staff, and get you started. Just like with an SEO firm, be sure to do your homework. Ask for (and check) references, run a search for reviews, and ask your network and other small businesses in your area who they recommend.
The internet is an ever-more popular way for customers to research companies and products, and make purchases.
If you're not advertising online, you may be missing out on a sizable income stream.