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Like A Pro
"My market has been the yuppie black community," says Suellen Dickeson, describing customers of her family eyewear center in Quincy, a small town 25 miles west of Tallahassee.
When Dickeson, a licensed optician, opened her store in 1993, she theorized that most shoppers would buy basic glasses from the town's optometrist or ophthalmologist. So she decided to go after customers looking for their second, or third or fourth, pair of glasses ? those funky, high-style frames more frequently found in New York City than north Florida. Using direct mail, yellow pages ads and word of mouth, Dickeson targeted well-to-do blacks across the region, ages 30 to 50. Three years later, Suellen's Family Eyewear is thriving. Dickeson's experience shows the value of the first rule of marketing: know your customer. Customer demographics (age, income, sex, education, marital status, occupation, place of residence) drive decisions on whether to promote through direct mail; national, local or community newspapers; consumer or trade magazines; billboards; television, radio or perhaps even the Internet. And because Florida has multiple media markets and a wealth of advertising options, businesses must be diligent in pinpointing where to put their message. Some questions to consider when putting together a marketing strategy:
Where should I turn for help? As with any professional service, it's best to ask business colleagues for referrals. Businesses can choose from full-service advertising and marketing agencies or smaller one- or two-person shops, or use an inhouse marketing coordinator along with freelance writers and designers.
A full-service agency does it all, from designing a marketing plan and creating print and broadcast ads to placing the ads and handling public relations functions. But top Florida agencies such as Harris Drury Cohen and Tampa's WestWayne focus on multimillion dollar accounts and often won't look at small businesses with less than $100,000 to spend.
Small public relations and marketing firms specialize in writing press releases, newsletters, designing media kits and trade show displays and planning special events. Many also help a business design logos, letterhead and advertising.
How much should I spend? There's no set formula, but Advertising Age magazine provides a yardstick with an annual look at advertising ratios ? the advertising budget as a percent of sales ? for about 200 industries. Phil Cohen, co-owner of Fort Lauderdale's Harris Drury Cohen marketing and advertising agency, suggests using networking skills to try to find out what competitors are spending. "Double that if you are entering a market for the first time," he says.
For do-it-yourself marketers on a tight budget, there are plenty of freelancers willing to help. Keep in mind that in Florida, experienced copywriters and graphic designers often charge between $35 and $100 an hour.
Where should I spend my money? Most businesses can, and should, use more than one type of advertising to meet their target market. "One medium reinforces another," says Tampa marketing and communications consultant Tony Lazzara. "You drive by a billboard, next you see a print ad and then maybe you get a direct mail piece. They all work together, reinforcing the advertising message."
Repetition is key. Small ads that run over and over again generally are more effective than a larger ad run just once. And results take time. "To be really effective and really see results, you should be committed to at least a 12-month plan," says Paula J. Robertson, president of Paula Robertson & Associates in Fort Myers.
Image or retail advertising? Image advertising promotes your business' name, concept or message. It's useful to establish or retain a market presence by making sure customers know who you are, what you do and what sets your business apart from the competition. Retail advertising, on the other hand, is geared to immediate action, such as promoting a weekend sale or convincing customers to send in a coupon or make a call requesting more information.
Is it working? Marketers suggest including a special offer, a salesperson's name or a code number to help track the success or failure of a certain ad.
How can I improve my marketing? The more you know about customers, the better you're able to promote your product or service. For retail, restaurant and service businesses, a quick written survey could ask, "What brought you here today?" "Where did you learn about the business?" "Where else do you shop (or eat or get service)?" and other questions that will help determine customers' lifestyles and what gets them to buy.
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Economic Development
FastTrac
Premier Fast Trac, a new entrepreneurial training program (FT, May 1996), will benefit from an $85,000 grant from the Kauffman Foundation of Kansas City, Mo. The grant's recipients, the North Florida Technology Innovation Corp. of Gainesville and the University of Florida Cooperative Extension Service, will use the funds to help Florida communities start local FastTrac programs.
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Orange County
Getting Help
A new resource for Central Florida's small businesses provides a summary of services offered by eight different economic development organizations. "Orange County's Business Pages" profiles the county government, Enterprise Florida, UCF's Small Business Development Center, Valencia Community College, Economic Development Commission of Mid-Florida, U.S. Small Business Administration, Private Industry Council of Central Florida and the Florida Department of Commerce. For a copy, send $4.00 to the Orange County Planning Department, P.O. Box 1393, Orlando, FL 32802-1393 or call 407/836-5600.
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Entrepreneurs
Start-Up Help
Sarasota entrepreneurs looking for low-cost office space, secretarial services, management classes and other business amenities can apply to the Sarasota Business Center, an incubator for entrepreneurs operated by the Sarasota County Technical Institute and the Suncoast Workforce Development Board. The Center is accepting applications from prospective and struggling business owners and those who are ready to expand a home-based business. For information, contact David R. Zickafoose, 941/361-6309
A simple advertising flyer isn't really so simple after all. To catch a customer's or client's attention, brochures and flyers need crisp, concise copywriting and an attractive, appropriate design. Then there are the myriad questions about how to mail and to whom. Should the piece be a self-mailer or in an envelope? What type of order form is most effective? Where to get a mailing list of potential customers?
Small business owners can get answers (or at least advice) on those questions and much more in a free, 88-page publication from the U.S. Postal Service. "The Small Business Guide to Advertising with Direct Mail" includes sections on the direct mail package's message, mailing lists, direct mail expenses, formats, production and printing and response-tracking, plus extensive information on postal rates, size and address requirements and ways to save money. On Aug. 15, FDMA's chapter in Fort Lauderdale sponsors a direct marketing "Boot Camp," a one-day program featuring 12 roundtable discussions of direct marketing issues, including a special session for small businesses. A two-day program, Florida Direct Marketing Days '97, will be held at the Fort Lauderdale/Broward County Convention Center on Jan. 30-31.
More than 90 marketing "shareware" programs are available from the Small Business Administration's Web site (http://www.sbaonline.sba.gov). Programs help produce mailing lists, create pamphlets and ads, and design graphics for stationery and envelopes. Files of "clip art," Census information, ZIP codes, newspapers and phone numbers also are available. The SBA doesn't endorse any of the shareware programs, but it has attempted to ensure that files are virus-free.
Because these shareware programs are large, they are downloaded in a compressed or "Zip" format. That means you'll have to decompress it with a so-called "Unzipping" utility. Look for the decompression freeware Stuffit Expander on America Online, CompuServe and many Internet sites.
By Jill DeVlieger
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On The Air
Radio gives small businesses a low-cost way to target customers.
Radio advertising can be a powerful marketing tool for small businesses. In homes, cars, businesses, schools, virtually everywhere, radio broadcasts reach almost everyone. In fact, during its highest rated hours ? "drive times" in the morning and afternoon ? radio in major markets actually draws a bigger audience than television.
In addition to radio's wide reach, each station attracts a very defined audience ? a group whose demographic, geographic and cultural characteristics fit within certain boundaries. An advertiser can pick a station with listeners that specifically match its business' target audience, assuring that advertising dollars are spent efficiently. That's why Rick Cordary, president of Trophies By Edco, a Fort Lauderdale-based trophy maker, chose to advertise on WLRN 91.3 FM, a public radio station in Miami that accepts selective advertising messages. "The number one reason we are on WLRN is that the station reaches more community-minded, intelligent and involved people. These are local civic leaders, board members, club presidents and team captains. They are the people who do things for the community and buy our products," says Cordary.
One enticement for small businesses is radio's low cost, both to create commercials and to buy airtime. At WYKS 105.3 FM, a top 40 contemporary hits radio station in Gainesville, the price for a 60-second spot during peak periods, usually drive times between 6-10am and 3-7pm, averages $40. It's higher in major metropolitan areas. A 60-second spot at Miami's WPOW 96.5 FM averages $250 during peak time. At public radio station WLRN in Miami, the cost for a 15-second spot during peak periods is cheaper ? prices range from $20 to $70, with the lower price available to advertisers who buy in volume over an extended period of time.
Creating a radio commercial is also cheap. A small-business advertiser can write its own spot to be read by the radio announcer. Radio stations will assist the advertiser in producing a commercial complete with sound effects, often at no additional charge. Cordary says he gave the WLRN advertising staff the details of his business, and they created a commercial at no additional cost.
Here's how to get the most for your advertising buck on radio:
Define a target audience. What am I selling? To whom?
Set advertising goals and a budget. Keep in mind when preparing the budget that effective radio advertising builds name, product or service recognition by repetition, so budget enough money for chunks of advertising ? preferably over several weeks.
Find out if local radio stations fit your target audience.
If the station fits the business' needs, ask for a media kit. It usually includes a map showing the station's geographic reach, market research reports comparing the station with others, a description of programming, a list of business advertisers, the station's rate card and audience size. The rate card generally lists prices for 60-, 30- and 15-second spots during specific periods.
Make a chart to compare stations. Include for each station the type of programs and disc jockeys, audience demographics, age ranges and the CPM (cost per thousand listeners). The CPM can be calculated by taking the cost of one unit of time, dividing that figure by the number of households reached at the time you plan to advertise and then multiplying by a thousand. For example, if the cost of one unit is $200 and the number of households reached is 115,000, the CPM is $1.74.
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In The News
Good PR is designed to boost a business' community profile, not just manage a crisis.
Eighteen months ago, BankUnited signed on with Boardroom Communications, a Plantation public relations firm. The goal was simple: "The objective was raising the profile of the small regional bank," says James A. Dougherty, the bank's chief operating officer, adding, "We wanted to make sure our accomplishments got some good local coverage."
Dougherty explains that before hiring the PR firm, many South Florida residents didn't know much about the Coral Gables-based community bank, although it's a rapidly growing institution with nine South Florida branches and $750 million in assets. So Boardroom produced press releases, introduced BankUnited executives to business reporters at local newspapers and added polish to the bank's annual report with professional copywriting. And the work will continue. Says Dougherty, "You certainly want to keep yourself in the public eye." Florida's PR firms provide a wide-range of services for businesses both large and small, all designed to improve a company's communication with its customers and employees. PR includes everything from writing a simple press release that announces a new business or product to a full-fledged campaign that includes logo design, writing and printing a glossy media kit, putting together trade show displays, arranging for speaking engagements, planning and hosting special events and actively promoting the company to the news media.
What does all this cost? Although hourly rates vary, monthly retainer fees at Florida PR firms typically run $1,500 to $4,500 for regional accounts and $4,500 to $7,000 for national accounts. Generally, that doesn't include design and production costs. It's always wise to find out the specifics of what's included and what's not before you sign a contract. PR firms like to see businesses make a seasonal or annual commitment, but most will do a one-shot event or project. A host of Florida PR firms specialize in what's called "media placements," pitching their clients' stories to local, regional and national media organizations. Indeed, a good write-up in the local newspaper or a mention on the 6-o'clock news is considered a coup by most business owners. Even if it doesn't generate higher sales or more customer visits, media coverage is at least an ego boost for the business owner.
Lawrence Corning, president of the Downtown Group real estate firm, turned to West Palm Beach PR consultant Carey O'Donnell to help plan the grand opening of the Professional Arts Building, a newly renovated historic structure that houses apartments and galleries in downtown West Palm. "The main event was to raise some media awareness," says Corning.
O'Donnell recruited seven South Florida artists to "perform" at the building's opening. She touted the event in a press release; local print and broadcast media "bought" the story, attracted not only by West Palm Beach's downtown revitalization but also the novelty of watching artists at work. With the media looking on, artists splattered swirls of paint, creating an abstract mural a la Jackson Pollock within a painted frame on an exterior pillar, providing a visual for the news and lots of free exposure for the renovated building. "You just want to make sure if it's a press conference, there's news value there," says O'Donnell.
Small businesses often turn to a PR firms when they launch a new product or service, relocate to a new community or find themselves in a crisis. A few tips in choosing a PR firm to help your business:
Develop a game plan
in advance. Before signing with a PR firm, a business owner should ask, "Exactly what are you going to do for me?" Get specifics on how much and what kind of work they propose and what it will cost.
Insure confidentiality.
A good relationship between a business and a PR firm requires the sharing of sensitive competitive information. So some PR professionals follow the same conflict of interest rules that law firms apply: "We take one client in a category. We have exclusivity," says Fort Myers marketing and public relations consultant Paula J. Robertson, "You don't want to be competing against yourself."
Get references.
If a PR firm isn't willing to give names and numbers of clients, that's a red flag for prospective clients.
For businesses both big and small, public relations is a long-term process. "When you stop public relations, you cut off oxygen to the brain," says Zev Rolfe, sales and marketing director for PSI Industries Inc., a Boca Raton film wholesaler and maker of single-use cameras, "It always needs to be looked at and refined."
