Advertising on a Budget
By Rodger Roeser
There’s an old saying in the advertising game: “I know half of my advertising is working, I just don’t know which half!” But, in reality almost all advertising works equally well or equally poorly because most super budget conscious teams fail to clearly define a target or fail to clearly communicate what they want those targets to do. So, before you spend a dime on purchasing any advertising, consider a few foundational items first.
Before you do anything, take a good look at exactly what you’re trying to sell or share. Specifically list the benefits of what you’re selling and why someone may want to buy it (a consumer good) or go there (a restaurant) or hire it (a professional service). Understanding the benefits to a potential buyer is the first step in creating some type of sales connection with the target. If there are competing interests, look at the competition and endeavor to differentiate your product or service – this is basic branding.
Now that you have created some benefit, you need to take a real hard look at exactly whom you believe would benefit from your product or service. It needs to be clearly, clearly defined. Gender, age, income, and a dozen other profile traits as best you can to really hone in on the exact target you want to go after. A simple rule of thumb, the more limited the budget, the more specific the target has to be. This type of data, combined with buyers habits, demographics, psychographics and all manner of other research is critical in not only finding your target, but also in the next critical step.
Messaging and positioning. Ask yourself what types of phrasings and branding and look and feel do you need to convey to clearly and effectively get your message across. Is your advertisement going to be funny, it is serious? Eye catching. Is it straightforward or more esoteric? All of these decisions should be based on what you want your target to do – we call this the CTA (Call To Action). Define your call to action, make it clear and work backwards from there in your messaging. Try to keep the words to a bare minimum, and only try to convey one thought or one offer.
Okay, now that you have defined your brand, your target and your message, now you can actually spend the money on “doing” advertising. Remember the simple formula: Think first. Buy second. Measure last. Understanding these things up front now allows you to start considering when, where and how much advertising you should be considering. For most businesses, there is a formula for determining exactly how much you should invest in your advertising and it varies wildly from less than one percent to more than 10 percent of annual gross revenue depending on a number of factors – size of business, type of business, years in business, on and on and on. So, unless you have an agency that give you the answer, you’re probably going to have to trust your gut.
Do NOT blindly trust the media representative, whose job it is to sell you their media – always remember that. They’re not bad people, but the media representative’s job is to sell you on their offerings. It’s always better to know what you want first and have a defined budget, then reach out to the appropriate media outlet with what you want and what goals you have so they can tailor a solution for you. Don’t screw these guys around or play them off against one another – they are professionals, and you should be as well. Also, keep in mind depending on your budget and who you’re targeting, there are a variety of advertising mediums that you can consider, such as online, television, radio, print, billboards and so on and so on – typically a good advertising campaign combines a number of mediums and other tactics. Direct mail can be incredibly effective, as can sponsorships or literally a virtually endless array of opportunities. Because if this fact, it can be incredibly daunting for a layperson to do good advertising. If you don’t know what you’re doing or you’re in over your head, for goodness sakes, hire a professional marketing consultant. They’ll save you more money than they’ll cost you. And, you can focus on your business, rather than marketing. A good agency is skilled at planning and advertising, design, copy and all the necessary pieces of a good campaign.
When you’re on a tight budget, you’re most likely smartest to keep your tactics more focused on a single medium, rather than water that down and spread it amongst many. Focus on a single service, single offering and give your advertising enough time to work. If you can’t afford to run a program for at least three months, don’t do it at all. If you’re planning on doing a one off – don’t. Also, don’t expect instant gratification or immediate results. Good advertising is a commitment and a journey, not a quick fix or single step. A point of caution, and back to the branding. Before you do any advertising, take a real hard look at your operation. For example, are folks not coming to your restaurant because you’re not advertising and they don’t about you, or is it because the food and service are lousy? You have to be honest with yourself – after all, this your hard earned money.
And remember, the point of marketing and advertising is to help make you money, so think of it as an investment that will help you grow, rather than an expense. The tighter the budget, the more focused you need to be on your brand, your benefit, your offering, your target, your design and your placement. Try one thing, but do it all the way. Then move on to the next thing – for example, if you can’t afford to “do it all” don’t try. Do one thing. Own that, and move on.
Or, my very best advice? Just hire a trusted professional to do it for you.
Rodger Roeser is the CEO of Greater Cincinnati’s premier professional services branding and marketing firm The Eisen Agency. Roeser is an award winning television, radio and print journalist, and an award winning public relations and marketing executive. He can be reached at RRoeser@TheEisenAgency.com.
Showing posts with label business development. Show all posts
Showing posts with label business development. Show all posts
Friday, August 21, 2015
Tuesday, June 9, 2015
Real Time Marketing Very Effective, But Businesses Challenged to Implement It
98% of Brands See Positive Revenue Impact from Real-Time Marketing Efforts—But Report Challenges with Effectiveness
Marketers Leveraging Real-Time Marketing See Positive Revenue ROI
Brands that respond to breaking news on social media see a higher return on their real-time marketing investments than those that don’t, according to a new study from social intelligence and marketing software firm Wayin. The 2015 Wayin Real-Time Marketing Report, based on a survey of 200 manager and executive-level real-time marketers at companies with more than $100 million in revenue, finds that 64 percent of real-time marketers have leveraged breaking news on social media in the past year. That number jumps to 78 percent for brands seeing an ROI of at least 50 percent on their real-time marketing investment, compared to only 57 percent for brands with an ROI of less than 50 percent.
https://www.bulldogreporter.com/dailydog/article/pr-biz-update/98-of-brands-see-positive-revenue-impact-from-real-time-marketing-eff
Marketers Leveraging Real-Time Marketing See Positive Revenue ROI
Brands that respond to breaking news on social media see a higher return on their real-time marketing investments than those that don’t, according to a new study from social intelligence and marketing software firm Wayin. The 2015 Wayin Real-Time Marketing Report, based on a survey of 200 manager and executive-level real-time marketers at companies with more than $100 million in revenue, finds that 64 percent of real-time marketers have leveraged breaking news on social media in the past year. That number jumps to 78 percent for brands seeing an ROI of at least 50 percent on their real-time marketing investment, compared to only 57 percent for brands with an ROI of less than 50 percent.
https://www.bulldogreporter.com/dailydog/article/pr-biz-update/98-of-brands-see-positive-revenue-impact-from-real-time-marketing-eff
Wednesday, January 21, 2015
You know you need to market your business, but how much should you budget for marketing to get the most for your investment?
Tips on Developing a Marketing Budget
By Rodger Roeser, CEO, The Eisen Agency
Creating a marketing budget can be one of the most daunting and insecure moments in the life of a business owner. How do I know what to spend? How do I know where to spend it, or what to spend it on? What if it doesn’t work? For the majority of business owners in the small business base, this is an area of expertise that you almost always should consult a strategic marketing firm or counselor if you feel uncomfortable doing the planning phase. A good marketing consultant will surely save you time and dollars, and direct you toward strategies and programs more likely to succeed – as a good, experienced counselor should know what will and what won’t work.
You can expect to pay between $5,000 and $15,000 for this type and this level of work, but it’s a smart and advised investment if marketing isn’t necessarily a core competency. And remember, there are two “worst and worster” things you can do with your marketing dollars – don’t market at all or just wing it. My absolute best advice is hire a professional agency, but if you insist on doing it yourself, here’s some tips to make sure you’re getting the most for your hard earned dollars. Think strategically before you think tactically.
1. Take Inventory
Gather all the materials you’ve used and have been using over the course of the year or so. Ads you’ve purchased, press announcements you’ve made, social media, trade shows, events – anything that you have spent dollars on in the marketing of your business. Take a look at what each cost and how you feel each performed in doing what you wanted it to do, and remember, putting out a press release isn’t designed to triple your business so be honest with yourself based on the tactic you chose, i.e.: develop leads, share some good news, gain exposure and the like, and attach a value between 1 (stunk) and 5 (worked perfectly) to each one. Were the items professional developed and designed? We’re they clearly written, with clear calls to action, and so forth. Once you have all your “stuff” decide what needs improved – for example, more frequency of this, better designed that, and so on. Now you know what “stuff” you need.
2. Competition is Key
Take a good look at your direct and indirect competition. What is in the way of your business adding that customer or why won’t they try you out. What is your competition doing that you’re not. What is their traffic on Facebook or LinkedIn? Do you see them mentioned in the newspaper often? Are there ads more frequent than yours or better developed? Do they do something creative that helps them build their business, such as earning local awards or hosting events? As you understand your competition, you can then look at ways to stand apart from them and invest your marketing dollars in areas where they may not – the riches are in the niches – so don’t be afraid to cater to a specific group. Don’t copy your competition, understand them and communicate why you’re better and share those benefits.
3. The Target Audience
Speaking of which, who you share that message to – your target publics – is obviously critical. And this target varies wildly depending on location, business type and literally dozens (or more) other variables. So, take a good look at your existing customers or clients and those you would like to add. Be brutally specific in creating a profile for your target public because that allows you to stretch your marketing dollars because you’re pinpointing exactly to which public you wish to relate – and your dollars can be invested in this group. Make the profile as specific and detailed as you can, for example: women between the ages of 18 – 24, income of $100,000, within a 10 mile radius of our restaurant who own their home and are single. This allows you to market in the right places and with the right type of message that would resonate to this type of individual – obviously, each business type will have to determine its own profile.
4. Be Smart
Remember, if you decide to go it alone without agency support, you’ll need to work with the various advertising representatives of each type of media and medium you are considering. So, when working with these ad reps, be mindful that they have a quota of sales to make and they are selling their specific outlet and medium with that outlet and medium in mind – they are not objective counselors – they are salespeople. There’s nothing wrong with that, and they’re certainly not bad people, but they are there to sell you their product, not what will necessarily be the smart marketing investment. Also, keep in mind the price of things varies wildly, so have some idea of what “things cost” before contacting them. Much information on the costs of basic tactical marketing purchases are available online.
5. Rule of Thumb
In many cases, you can determine your annual marketing budget with a relatively simple formula. Take your annual gross revenue and multiple that by a low of two percent and a high of 10 percent. This is most likely the range for your business – although my firm would be able to give you an exact percentage. Based on this range, one being the least you should invest and the other being the most, you now can start to look at your inventory of what you need (new collateral, a refreshed website, better ads, more media relations) and call that your foundational expense. As you look at proactive spend, it’s smart to focus on single areas and single mediums at a time, so look where your competition isn’t and consider going there – and don’t just rely on old print ads. Radio, online, sponsorships and events can be excellent tactical investments.
6. Moving forward
And, this year, benchmark all your numbers right now, this month. Take a look at all the things you want to measure – website traffic, social media traffic, turn, butts in seats, votes, sales of widgets – and set a benchmark. Then, each month, based on the marketing work performed, measure that benchmark number to growth and divide by your monthly marketing spend. While rudimentary, it will help to give you something resembling an ROI.
Rodger Roeser is the CEO of Greater Cincinnati’s premier marketing, branding and public relations consultancy, The Eisen Agency. His firm specializes in developing leading and proven marketing and business strategies and tactical execution for small to mid-sized businesses across the country. More information can be accessed at www.TheEisenAgency.com.
By Rodger Roeser, CEO, The Eisen Agency
Creating a marketing budget can be one of the most daunting and insecure moments in the life of a business owner. How do I know what to spend? How do I know where to spend it, or what to spend it on? What if it doesn’t work? For the majority of business owners in the small business base, this is an area of expertise that you almost always should consult a strategic marketing firm or counselor if you feel uncomfortable doing the planning phase. A good marketing consultant will surely save you time and dollars, and direct you toward strategies and programs more likely to succeed – as a good, experienced counselor should know what will and what won’t work.
You can expect to pay between $5,000 and $15,000 for this type and this level of work, but it’s a smart and advised investment if marketing isn’t necessarily a core competency. And remember, there are two “worst and worster” things you can do with your marketing dollars – don’t market at all or just wing it. My absolute best advice is hire a professional agency, but if you insist on doing it yourself, here’s some tips to make sure you’re getting the most for your hard earned dollars. Think strategically before you think tactically.
1. Take Inventory
Gather all the materials you’ve used and have been using over the course of the year or so. Ads you’ve purchased, press announcements you’ve made, social media, trade shows, events – anything that you have spent dollars on in the marketing of your business. Take a look at what each cost and how you feel each performed in doing what you wanted it to do, and remember, putting out a press release isn’t designed to triple your business so be honest with yourself based on the tactic you chose, i.e.: develop leads, share some good news, gain exposure and the like, and attach a value between 1 (stunk) and 5 (worked perfectly) to each one. Were the items professional developed and designed? We’re they clearly written, with clear calls to action, and so forth. Once you have all your “stuff” decide what needs improved – for example, more frequency of this, better designed that, and so on. Now you know what “stuff” you need.
2. Competition is Key
Take a good look at your direct and indirect competition. What is in the way of your business adding that customer or why won’t they try you out. What is your competition doing that you’re not. What is their traffic on Facebook or LinkedIn? Do you see them mentioned in the newspaper often? Are there ads more frequent than yours or better developed? Do they do something creative that helps them build their business, such as earning local awards or hosting events? As you understand your competition, you can then look at ways to stand apart from them and invest your marketing dollars in areas where they may not – the riches are in the niches – so don’t be afraid to cater to a specific group. Don’t copy your competition, understand them and communicate why you’re better and share those benefits.
3. The Target Audience
Speaking of which, who you share that message to – your target publics – is obviously critical. And this target varies wildly depending on location, business type and literally dozens (or more) other variables. So, take a good look at your existing customers or clients and those you would like to add. Be brutally specific in creating a profile for your target public because that allows you to stretch your marketing dollars because you’re pinpointing exactly to which public you wish to relate – and your dollars can be invested in this group. Make the profile as specific and detailed as you can, for example: women between the ages of 18 – 24, income of $100,000, within a 10 mile radius of our restaurant who own their home and are single. This allows you to market in the right places and with the right type of message that would resonate to this type of individual – obviously, each business type will have to determine its own profile.
4. Be Smart
Remember, if you decide to go it alone without agency support, you’ll need to work with the various advertising representatives of each type of media and medium you are considering. So, when working with these ad reps, be mindful that they have a quota of sales to make and they are selling their specific outlet and medium with that outlet and medium in mind – they are not objective counselors – they are salespeople. There’s nothing wrong with that, and they’re certainly not bad people, but they are there to sell you their product, not what will necessarily be the smart marketing investment. Also, keep in mind the price of things varies wildly, so have some idea of what “things cost” before contacting them. Much information on the costs of basic tactical marketing purchases are available online.
5. Rule of Thumb
In many cases, you can determine your annual marketing budget with a relatively simple formula. Take your annual gross revenue and multiple that by a low of two percent and a high of 10 percent. This is most likely the range for your business – although my firm would be able to give you an exact percentage. Based on this range, one being the least you should invest and the other being the most, you now can start to look at your inventory of what you need (new collateral, a refreshed website, better ads, more media relations) and call that your foundational expense. As you look at proactive spend, it’s smart to focus on single areas and single mediums at a time, so look where your competition isn’t and consider going there – and don’t just rely on old print ads. Radio, online, sponsorships and events can be excellent tactical investments.
6. Moving forward
And, this year, benchmark all your numbers right now, this month. Take a look at all the things you want to measure – website traffic, social media traffic, turn, butts in seats, votes, sales of widgets – and set a benchmark. Then, each month, based on the marketing work performed, measure that benchmark number to growth and divide by your monthly marketing spend. While rudimentary, it will help to give you something resembling an ROI.
Rodger Roeser is the CEO of Greater Cincinnati’s premier marketing, branding and public relations consultancy, The Eisen Agency. His firm specializes in developing leading and proven marketing and business strategies and tactical execution for small to mid-sized businesses across the country. More information can be accessed at www.TheEisenAgency.com.
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