Your brand new business is special right? To you maybe, but according to the U.S. Small Business Administration, it’s just one of 30.7 million small businesses that exist across the U.S., and the likelihood that it will survive five years or more is only about 50%. Now we don’t share these statistics to scare you away from owning a business; we simply want you to appreciate what you’re up against so you can find ways to stand out in the crowd and survive long term.
Start with a logo.
Once you’ve chosen a name for your business, you can begin thinking about a logo — a graphic mark, emblem or symbol — to build brand representation. Since your logo will appear on just about everything, including your business cards, letterhead, website, signage, boxes, bags and receipts, make sure it’s clean, well-executed and something you can live with for the long term. Don’t be tempted to cut corners here. Take a pass on that artist friend who offers to “create your look” for free; hire a professional to instead. The extra expense will be worth it.
Get to know your media options
Two primary categories of promotional vehicles are available to your small business:
Traditional Media - newspapers; magazines; TV; radio; direct mail (fliers and coupons); outdoor advertising (billboards and signage); and specialty advertising (“stuff” like pens, hats, mugs and T-shirts bearing your company’s logo).
Digital Media - website; email marketing; social media; and online reviews.
Reputation Matters
One of the most effective forms of advertising — word of mouth — doesn’t cost a dime, but it can seriously impact your bottom line. Research shows that unhappy customers vocally share their experiences with twice as many friends as customers who’ve had a positive consumer experience. And thanks to social media, they aren’t shy about airing their grievances online for hundreds of strangers to see. Unfortunately, there’s nothing you can do about comments already posted online. But you may be able to prevent future negative posts by taking these important steps:
• Always listen to your customers.
• If you make a mistake, fix it — with a smile.
• Strive always to provide such a high level of service, your customers won’t have any reason to complain.
Make smart media choices.
Unless you have money to burn, you can’t possibly take advantage of all the advertising options that are available today. So, as a rule of thumb, select only those that will reach your target market in the most effective and economical way, then narrow your choices by evaluating these options from your customers’ point of view rather than your own. You may not listen to talk radio or follow anyone on Facebook, but your target market might. Buy time and space accordingly — not because you like a particular medium, but because it puts your message where your customers are most likely to see or hear it.
TRADITIONAL MEDIA
Magazines More targeted than newspapers in subject matter and audience, but also more costly. Study circulation numbers and reader demographics to ensure your choices will reach your target market.
Television Provides the opportunity to promote products/services both visually and audibly, but cost-per-thousand-potential-customers-reached can be steep.
Radio Less expensive than TV, but with many similar benefits: captive audience (many listen while driving); targeted audience (format/programming varies by station); and local market appeal. Drawbacks: short life span and sometimes low audience comprehension (people tune in, but don’t necessarily pay strict attention).
Direct Mail Includes brochures, fliers, newsletters, postcards and coupons sent by “snail mail” directly to existing and/or potential customers; mailing lists are key — compile your own or rent one from a company specializing in direct mail.
Outdoor Advertising Includes billboards, transit advertising and signs on site; exposure time is short, so these vehicles must be attractive, readable and to the point.
Specialty Advertising Giveaways such as pens, pads, mugs, caps and T-shirts bearing your company name/logo enjoy a dual function: They are both free “gifts” for customers and advertisements for your business. For best effect, make them useful, reflective of your business and inexpensive but not cheesy.
DIGITAL MEDIA
Company Website Represents the face of your business and is where potential customers often go first to learn about the products/services you offer; may include a mechanism for customers to shop online, if applicable. Hire an experienced website designer to be sure your site is appealing as well as both computer- and mobile-friendly.
Email Marketing Allows for efficient distribution of promotions, newsletters and coupons. Just remember to abide by the CAN-SPAM Act as failure to do so can result in hefty fines. Be sure that every person on your distribution list has given permission to be on the list and has the ability to easily unsubscribe if desired. Email marketing services can provide templates, maintain your list and connect to your social media sites, thus freeing you for other management tasks.
Social Media Successful utilization of sites like Facebook, LinkedIn, Twitter, Pinterest, Instagram and YouTube may help build a fan base for your firm; on the downside, they also may create in you the desire to respond to every comment or query. To avoid wasting precious time that could be better spent on more lucrative business-related activities, set a limit on your social media involvement and stick to it. Better yet, designate a staff member as your “social media specialist.”
Review Sites A website that gathers customer reviews about businesses, products or services and location information can be your best friend if you offer quality merchandise and exceptional service — or your worst enemy if you don’t. Review sites to consider for your business include: Google My Business, Amazon, Facebook, Yelp, Trip Advisor and Angie’s List.
As a new business just getting off the ground, you will likely be inundated by advertising sales reps offering flashy pitches and packages “you can’t afford to pass up.” Please do for now. Later, when you are ready to give serious thought to promotional options, don’t make any commitments until you have: (1) set a realistic budget for advertising; (2) researched all the various options available to your small business; and (3) sought advice from consultants at your local Florida SBDC office.
A full-scale advertising campaign consisting of multiple media can be expensive. If you only have enough money to cover the cost of one promotional tool, make it your website. That’s where customers will likely go first to learn about the products/services you offer. And, unless you are highly computer savvy, hire a professional to create an appealing site.
Make deliberate and wise media choices.
When making decisions about where to advertise, consider your customers first. What vehicles will pique their interest most? Millennials and Generation Zers respond well to websites and social media. Boomers, on the other hand, tend to be more old-school; they still make buying choices based on TV and newspaper ads.
Whether you choose traditional or digital media or a combination of the two, keep in mind that you can never reach everyone, nor should you try. Then, forge ahead and begin to make choices, with two important caveats in mind:
• Responding to comments and queries on social media can take up time that might better be spent on activities only you — as the business owner — can address.
• When purchasing advertising space, avoid the trap of “bigger is better.” Media studies repeatedly show that when it comes to paid advertising in traditional media, frequency and continuity are more important than size/length of the ad or the amount you pay for it.