We have all heard over and over again how bad the U.S. economy is. Whether or not things will improve anytime soon is anyone’s guess.
For those small businesses who are battling to stay in the black and not the red, their marketing efforts become even more important now.
If your small business is debating as to whether or not to slash the marketing budget, take hold of several factors that could influence the company’s decision one way or another.
A word to the wise, before you cut into your direct e-mail campaigns, database marketing, Pay-per-Click efforts and more, think twice.
Here are some areas your business should review:
- Throwing away money – Given that everyone is watching their dollars, it is even more important to make sure your campaigns are being directed in the right areas. Check to see if you’re in the black or red on things like PPC campaigns, trade shows, print and online ads, radio and TV campaigns etc. If something isn’t working, either re-tool it or go on to something that has a better chance of succeeding. The first step, however, is measuring the numbers so that you can make good decisions;
- We have not talked to vendors lately – If your communications with vendors has noticeably slowed down recently, ask yourself why that is. Now is not the time to not be negotiating with vendors;
- Saying no to marketing – Now is also NOT the time to cut off your marketing efforts. There is a common myth among businesses that competitors have cut down on their marketing efforts, so I should too. Now is actually the time to throw a little bit more in the marketing coffers just for that reason. New customers are awaiting, you might just have to dig a little harder for them when times get tough;
- Zero in on present customers – Your present customers are even more important in tough financial times. Many of them are likely feeling the financial pinch, so see what you can do to assist them. By doing so, they are more apt to want to continue business with you and may even refer you to others. Among the ways to encourage their continued relationship with you would be discounts and some form of loyalty/reward program.
With no end in sight to the troubled economy, small business marketing directors need to refocus their efforts as to where they can make inroads and where to transfer campaigns.
If you’re not already, it is a good idea in this day and age to combine a program that focuses on both online and offline marketing.
The simple idea behind this direction is that you’re not putting all your eggs in one basket, therefore increasing your chances of making some gains and still being cost-efficient
Finally, re-evaluate what you’re charging for your services and consider decreasing the fees to a degree if it means continued business or new business.
One analogy I always like to employ is when two corner gas stations are selling their product at highly differing prices.
Station one is selling gas for $4.05 a gallon while Station two is selling the same product for $3.90 a gallon. While the first station is getting more money each time someone buys a full tank of gas, station two is likely to get many more customers with its price, therefore making up for and likely surpassing the earnings of the competitor across the street.
If your marketing plan is under heavy attack from the suits, direct them in a different direction; we need to market more to attract the individuals wanting to buy.
If you don’t, your competitor will be happy to do just that.