Effective
marketing is the key to success for
every small business but it’s an area where many
business owners struggle. The most
common questions they ask include ‘What
exactly is marketing – how is
it different from sales?’; ’What
are the most effective things to do?’; ‘What
should we be doing – and is it
the same for every business?’
Other questions that crop up time and
again are ‘Are we doing enough?’; ‘Can
we do our own marketing or should we
employ an expert?’; ‘What
guarantees are there that investing in
marketing will produce results?’;
How come some businesses seem to be terribly
successful without marketing?’
In this fact sheet, although we can’t
answer everything, we will attempt to
address these questions and also provide
you with a few simple guidelines, which,
if followed, are guaranteed to lead to
success.
But first of all, what exactly is marketing?
Well, there are numerous definitions,
but the most straightforward is probably
that of the Chartered Institute of Marketing,
the body responsible for regulating marketing
activity and development in the UK (see www.cim.co.uk).
They say that marketing is ’the management
process for identifying, anticipating
and satisfying customers needs, profitably’.
Identify what your customers want
What this makes clear
then is that successful marketing is
all about identifying what your prospective
customer wants and supplying it (at a
profit), rather than the usual approach
most businesses adopt, which
is to produce and deliver what they want
(whether goods or services) and try and
then try and find someone who wants to
buy it.
Marketing then is essentially a strategic activity,
as opposed to sales which
is the process of establishing a relationship
with another party in which to exchange
what you produce for money; or marketing
communications – which
is the covering the process by which
organisations promote their goods and
services. Those aspects of marketing
with which we are all most familiar – advertising,
websites, mail shots, sponsorship, hospitality – are
all marketing communications. They are
the means, partially, by which marketing
strategy is delivered and by which sales
are created.
Marketing strategy, then, is all to
do with matching products and services
with particular markets and breaking
down those markets by their unique characteristics
into market segments. An organisation
then needs to manipulate what is known
as the ‘marketing mix’, that
is, their product/s (or service/s), price,
distribution systems and promotional
tools in order to beat the competition.
Simple, isn’t it!
SMART goals and simple actions
Marketing is quite simple if you stick
to the basics and find out what works
for you. Although most large companies
will have huge marketing departments
with legions of different job titles,
it’s really just a matter of degree.
You can do the same things yourself if
you set yourself some SMART (specific,
measurable, achievable, realistic and
time-bound) marketing goals, put together
a basic marketing plan, and keep
at it, relentlessly, week in
and week out.
The biggest mistake most small businesses
make (and regrettably, some larger ones
too), is that they don’t pay attention
to marketing until they realise that
their customer base is declining and
they are facing financial difficulties.
The problem then is that it’s
too late. Marketing isn’t magic.
It takes time to find new customers – however
you do it, and generally the less time
you have, the more it will cost you to
try and generate interest. So the message
is – pay attention to marketing
from the start and don’t ever stop,
regardless of how busy and successful
you seem to be. Particularly if your
business is reliant on just a few key
customers, you could find yourself in big
trouble suddenly if even one of them
stops coming to you.
So, what exactly are the things that
you – as a small business owner – should
be paying attention to in order for your
marketing (and your business) to be a
success?
Be passionate about your business
This is perhaps the most important thing
of all. There’s nothing so infectious
as enthusiasm and being passionate about
what you have to offer generates interest
in others. And after all, if you’re
not excited about your business, why
should anyone else be?
Don’t just be different, be unique
Look at what your business offers that
is unique. Ask your customers what they
think. If you have staff, challenge them
to justify what they feel they contribute.
Build their confidence and collectively
create your own shared vision of what
you want to achieve and how - don’t
just look at what other companies do.
Be clear about who your customers are
and why they buy from you
When asked about who
they’re
going to sell to, prospective business
owners often say ‘Anyone and
everyone’. That’s not they
way to build your business – you
need to know specifically who
your customers will be and what exactly they
want.
Be creative
Many people think the only way to promote
their business is through advertising.
In fact that’s far from the case.
Not only is advertising hugely expensive – for
many types of business, it simply doesn’t
work. Think through all the options – PR,
networking, e-commerce – any of
these may be far more beneficial for
you at a fraction of the cost.
Measure what works for you
A big mistake many businesses make is
not to monitor where their prospective
clients come from. Yet in order for your
marketing to be effective you need to
know what works for you and what doesn’t.
Successful marketing comes from deciding
on the processes that are most effective
and ‘do-able’ for you and
then DOING THEM – over and over
and over again.
Analyse your sales pipeline process
Where do new sales leads come from?
Who develops those relationships? Are
there enough new prospects coming in?
If not, where and how can you get more?
How effectively do you manage relationships
with existing customers/clients? And
at the other end of the pipeline, how
many customers/clients are quietly dropping
away through lack of attention and interest?
Take the advice of marketing experts
Marketing – like accountancy or
plumbing - involves experience and a
specific skill set – you’re
unlikely to have the experience or the
inclination to spend as much time as
you need to get everything right by yourself.
Seek specialist advice - it will cost
you, but an investment at the right stage
could set your business on the right
track for many years to come.
Set goals and targets
Whether it’s new customer/client
gains, increased profits, or an improved
level of customer/client satisfaction – focus
on whatever is most important to you.
And having set goals, work towards them,
review them, and monitor progress. If
you have staff, make sure marketing objectives
apply to them, too.
Put yourself in their shoes.
Particularly when pursuing new business,
don’t just tell your customers/clients
who you are, look at it from their perspective.
Ask them what they need, tell them what
you can do for them,
what problems you will solve, and what
benefits you can bring.
Focus on people
People and the quality of relationships
with them is what ultimately underpins
every successful business. Every customer/client
should always be treated as a valued
individual, not a faceless, money-generating
machine. Organisations who appear not
to market often win their business through
being hugely talented at building and
maintaining personal relationships.
Seek feedback
What do your customers/clients really
think about you – good or bad?
Remember that great service, open and
empathic relationships, and a general
atmosphere of enthusiasm and energy will
attract customers/clients and word-of-mouth
referrals. Whatever the nature of your
business, customer/client care should
never be neglected.
Regularly
show your appreciation
Call your customers/clients and tell
them how much you appreciate their business,
remind them that their contribution is
valued, and work towards building true
working partnerships. Send them birthday
cards, the occasional small gift, or
take them out to an event which you know
they will enjoy. Remember, many successful
business relationships – and the
associated loyalty - are built outside
the office environment.
