Notes from Jeff York

Small business marketing thoughts from a marketing small business owner

Posts Tagged ‘budget

Marketing in a difficult economy

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As a business owner, current economic times provide you with endless challenges and possibly sleepless nights. When you’re worried about dwindling sales and if your bank is going to pull your credit line, it’s hard to think about growth. Ever wonder what the smart business owners are thinking about during these turbulant times?

How do I grow market share?

There it is. The smart businesses around us are thinking about turning these challenges into an opportunity. They are getting the message out there about their goods and services. They are developing top-of-mind awareness in the public at a time when their competitors are pulling marketing dollars off the table. Why? Exactly for that reason. The best time to build market share is when there’s no opposition.

In the past, I’ve written about cutting through the clutter and getting your message heard. Times like these make that task much easier. Fewer messages mean it’s easier to remember yours. Put your message out there. Repeat it over and over. If you do that, what do you think will happen?

In a recovery situation, you will be miles ahead of your competition. You will have built tremendous value in your brand and increased your opportunity to gain market share.

I know it’s hard to think along these lines when it seems like the sky is falling and money is tightest. But this truly is an opportunistic time. If you’re thinking about cutting back on your marketing budget, I would caution you to perhaps examine your strategies and concentrate your efforts to maximize success. If you’re thinking about cutting your marketing budget altogether, I have a message for you from your competitors:

Thank you.

Now I’m an advertiser. What does that mean?

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This past week, I was talking with a friend whom also happens to own her own business.  Recently, she’s been thinking about putting spots on TV which she’s never done before.  One of the questions she asked me was how will that make her look.  Does being on TV make a business look “desperate?”

This is actually a very viable question and one I’ve never really considered before.  Within her business peers and competitors, she was concerned that this would impact how they would view her.  In her line of business, how she appears among her peers is important.

If she has a commercial created and puts it on the air, what does that say about her business?  What does that say about her?

Advertising means telling as large an audience as possible about you and your business.  It’s a very effective way to establish your brand and to create points of differentiation in the minds of potential customers.  Advertising means that you believe in your business enough to put marketing dollars behind it.  Since no business has 100% market share in their segment, every business can increase sales with smart marketing.

All of that said, the key has to be smart marketing.  It starts with the message.  Is it right for the medium you plan to use?  Does it exactly match the image of your business you want to portray?  If not, then you can actually damage your business by releasing that message into the public.

Let’s say you now have a perfectly crafted mass media message that will cut through the clutter.  The job is only half done.  Next is finding the right medium for delivering the message.  As I stated in my series of posts on the various mediums, there are a wide range of media to use for delivering your message:  television, radio, newspapers, Internet, direct mail, and outdoor.  Deciding which to use requires thought as to what type of audience you want to reach, the message you want to convey, and budget.  Then you have to make sure that your placement within that media works for you as well.  Is your print ad buried in the paper or did you get a good placement?  Did the TV station sell you ROS (run of schedule) and then put your spot in Jerry Springer?  Did the radio station give you first spot in break or bury you in the middle of the break?

It’s vital that you talk with a good media buyer before committing to a media plan.  Speaking with a rep from a media company will only give you the perspective of why you should advertise only on their station.  Once you’ve purchased a plan from them and started to establish yourself as an advertiser, then good reps will start to have an eye out for you on other media…and you better still be buying time/space with them.  Media buying firms have the whole picture in mind and generally can secure better rates than you can on your own.  They make their money from ad agency commissions that media companies give for placing buys with them.  If you place the buy directly, the media company keeps that commission for themselves.

The bottom line is advertising is good for your business.  If your competition is already advertising, then by not doing so you will start to lose market share.  If they are not, then you immediately place yourself above them in the public’s mind and will start to reap the benefits shortly.  You should know that by putting yourself out there as an advertiser, you should expect that other media reps will start to call on you.  It’s wise to find a good media partner (buyer or ad agency) that you are comfortable with and are confident that they have your best intentions in mind.