Per the Small Business Administration, any operation bringing in $5 million in revenue annually should allocate a minimum of 7% to 8% for marketing. That is, of course, if you want to earn a respectable return on your investment (ROI). Bottom line (pun intended), no small business can afford to pour money into bringing in new business without every dollar earning. Want to make money on your marketing dollars? Here are five things you cannot afford to get wrong about marketing.
1. Missing Your Target Market
Who is the ideal customer for your product or service? If you don’t know the answer to this question, your marketing journey begins here. You cannot develop an effective marketing strategy if you don’t know your prime audience. Here are some important questions to assist in finding those buyers:
- Who are the people most likely to buy my product/service?
- What problem will my product or service solve for potential customers?
- Where do my customers live and work?
- When are customers most likely to make a buying decision?
- Why should customers buy my product/service?
- How do customers buy my product or service?
Data details to collect and focus on should be demographics like age, gender, occupation, and average income. Once you have this information, you can design marketing calls-to-action (CTAs) that will have the greatest impact.
2. Failing to Emphasize Your Brand’s Unique Value
What sets your brand apart from the competition? What do you provide that no one else can? Do the work and figure it out. Put it out there in your marketing materials, and keep emphasizing what makes your business special. This unique value proposition (UVP) is what should drive your marketing focus. Your potential customers need to know why you are the best choice.
3. Not Establishing An Online Presence
Whether it’s social media or a website, people need to see you online. Over 33% of small businesses don’t even have a website. Find a reputable web developer or digital marketing agency and take care of that first if you haven’t already. Potential customers shop around online first, and they can’t buy from you if they can’t find you.
4. Refusing to Measure Results
How do you know if your marketing campaigns are working? You read your analytics data (marketing spending versus revenue, etc.) and interpret the results. It truly is that simple. Despite the simplicity of marketing analysis, 40% of small businesses cite proving ROI for their marketing efforts as an area of opportunity. Set goals for each marketing metric, and as your campaigns continue, keep track of the results. The surest way to pour marketing dollars down the drain is to fail to measure the success of your efforts.
5. Not Following Trends
Are you advertising on social media? Do you produce meaningful content that emphasizes your UVP? Customers that engage with online content via social media and blogs are 144% more likely to purchase after researching a product or service online. More importantly, keep a weather eye on what’s next. How potential customers engage with new products and services today doesn’t mean things won’t change. Make sure you aren’t falling behind and caught unaware when there’s a new paradigm shift on the horizon.
Is Your Small Business Earning A Sustainable Marketing ROI?
BME is here to help you reach your marketing goals and help you reach your full growth potential. Contact us today to learn more about how we can help you make the most of your digital marketing.