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What about advertising?
Your business growth may be significantly influenced by how well you
plan and execute an advertising program. Because it is one of the main
creators of your business' image, it should be well planned and, possibly,
well-budgeted. Study what your best competitors and worst competitors are
doing and not doing in advertising. Try to find out how much they are
spending, where, and how successful each media/method appears to be. Contact
local advertising agencies or a local SBA office to assist you in devising
an effective advertising strategy.
What does marketing involve?
Marketing is your most important organizing tool. There are four basic
aspects of marketing, often called the "four P's":
- Product: The item or service you sell.
- Price: The amount you charge for your product or service.
- Promote: The ways you inform your market as to who, what and where
you are.
- Provide: The channels you use to take the product to the customer.
Marketing encompasses much more than just advertising or selling. It
includes branding - building your image. A major part of marketing involves
researching your customers: What do they want? What can they afford? What do
they think? Your understanding and application of the answers to such
questions play a major role in differentiating from the competition and the
success or failure of your business.
How can I develop a Marketing Plan?
The first step in developing a small business marketing plan is to
understand your market. Market research and evaluation is critical and
provides the basic data that will determine if and where you can
successfully sell your product or service.
Developing a small business marketing plan involves defining your goals,
scrutinizing your competition and your customer base, and interviewing
potential suppliers. The information collected can help you, if necessary,
adapt your product or service to better meet customer needs.
Market research can help you create primary and alternative sales
approaches to a given market, make profit projections from a more accurate
database, organize marketing activities, develop critical short- and
mid-term sales goals and establish the market's profit boundaries, and
identify what makes your business different from similar businesses with
similar products. Your marketing research should answer these basic
questions:
- Who are your customers?
- Where are they located?
- What are their needs and resources?
- Is the service or product essential in their operations or
activities?
- Can the customer afford the service or product?
- Where can you create a demand for the service or product?
- Can you compete effectively in price, quality and delivery?
- How many competitors provide the same service or product?
- What is the general economy of your service or product area?
- What areas within your market are declining or growing?
Research on competitors is extremely important. Visit industry trade
shows to find out what your competitors are selling and how they are
marketing their products. Similarly, stay current on industry magazines and
publications. Market research isn't a one-time activity. Once you establish
your business, you should stay in touch with your customers. You may have to
adapt your product or service and alter your marketing strategy to keep up
with your customers' changing needs.
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