Thinking of advertising? Follow the money first

Is advertising dead? You’re thinking this is old news and I must have run out of topics to write about. No, that’s not it at all. I have clients that ask me about this all the time.

This is not an essay on new media and inbound marketing versus traditional print and broadcast advertising. I’d like you to ponder a deeper question: Are there better ways to spend your marketing budget than for some type of advertising?

The simple answer is just to follow the money to find out.

Let’s first define what advertising is. The Merriam-Webster dictionary is pretty simple and to the point: “the action of calling something to the attention of the public especially by paid announcements.” I’d add that it’s usually for the purpose of selling products or services through the use of various forms of media.

Noting here suggests where to advertise, just that it’s an action you pay for to promote your business. So, it comes down to paid versus non-paid promotion.

Well, not entirely. That’s only part of it.

The other key to understanding advertising today is critical. People do not want to be advertised at, or for that matter, promoted at.

There you have it. It’s not just an issue of deciding where it makes the most sense for your business to advertise, if at all. You can’t push advertising and promotional activities of any kind at people.

We resent it when a company pushes their brand in our face -- unless something useful is given, something that helps us makes our jobs or lives better. That applies whether it’s a form of new media, inbound marketing, or traditional advertising.

So, what works?

Follow the money. Advertising and promotional activities provide a direct line of communication to existing and prospective customers. Yet, you can’t hope and wish for success in the spending of your advertising dollars. It all starts with figuring out where the people who buy your services and products “hang out”. By that I mean where they show up often, what sources they rely on regularly to get the information they need, and who they trust -- bloggers, print and online publications, websites, industry organizations, and so on. The chances are that you’ll discover targeted opportunities to advertise. The key is to verify that a significant number of the readership is motivated to consider your solution. Don’t guess, ask.

Give to get. Don’t sell, educate! Providing relevant information that helps your audience is a powerful way of standing apart from your competition. Advertising is a great way to do this. Education-based marketing helps you to become recognized as a trusted authority and source of problem solving. You can’t just say, “Look how great we are” through slick advertising and social media propaganda. When people feel that you are more concerned about closing a deal and taking their money than helping them, you won’t get very far. Information educates, has value, and builds relationships. It’s a “give to get” way of marketing and selling.

Questions to ask before paying for an ad. Social media sites, magazines, trade newsletters, and bloggers will be all too happy to tell you how advertising with them is your gateway to success. Don’t take their word for it; make them prove it! Get their media kit and ask questions. Who reads it, is it a good demographic match? Details like income, age, gender, industries, titles, geography, and hobbies are important. Are there audited circulation numbers? Where are the copies distributed, or in the case of online media, how? For online display ads, get the click-through rates. Studies have shown that the number of web users clicking on a display ad online is shockingly low. Even if the numbers look good, ask yourself if the editorial and production qualities represent your values? Do your homework.

Can you commit? Effective advertising requires multiple exposures over time for people to remember and engage. In most cases a single execution of a print or digital ad is a waste of money. There’s no perfect formula for deciding the frequency, which is why you must be prepared to give ads time to improve awareness -- and why measuring response rates is critical. Consistently is important, but that doesn’t mean you have to run the exact same ad once a week for six weeks or eight months. In fact, to deliver the best recall, copy rotation is a great idea. As an example create a series of “did you know” educational placements to build interest. It’s just like any relationship that becomes more solid over time. Be prepared to commit for the long haul and budget accordingly.

As with any aspect of marketing, your purpose and target matters. Determining if and where to advertise requires you to establish what your business expects to get out of it.

Carefully zero in on the promotional vehicle that gives you the best bang for your buck for your defined market to reach your prospective customers with your message. Then plan for the long-term. Build your brand with a sustainable point of difference rather than short term campaigns that have little initial impact.

Ron Stein is President of FastPath Marketing (www.marketing-strategies-guide.com) and the author of the Rapid Impact Marketing & Selling Playbook. As a speaker, coach, and consultant he works with small business owners helping them to accelerate the path between their vision and the actions needed to reach, win, and keep customers. Ron is the creator of the FastPath to More Customers Now! 7-step marketing system based on more than twenty years as a successful business owner, corporate CEO, business development executive, and salesman. He is also a mentor at two nationally recognized business accelerators. Ron offers one-on-one and small group mentoring, conducts seminars, and consults. He can be reached at 727-398-1855 or Ron@FastPathMarketing.com.