Small Business Marketing Planning

Small business marketing planning is something most entrepreneurs and small business owners never do, much to their detriment. They spend their time jumping from the latest new thing to the next big thing, never stopping for a breath. 

 

So what does small business marketing planning entail exactly? Here are some of the steps that we take our marketing clients through that could help you to get your marketing efforts on track:

• Who are the clients you are trying to attract
• How have you found them before
• What products and services do they like
• What products and services should you offer
• What channels (online, offline, social media, direct mail, etc) should you use to reach those people with your offer
• What steps are you going to take this month, this week, today to implement your marketing plan
• What metrics are you going to use to gauge your success? Added contacts, friends, followers, sales, leads, etc.

One of the first things you should notice about this is that at no time did I say do you want a new logo, blog, email program or any other specific thing that is the flavor of the moment. all of the shiney marketing things like Facebook, Wordpress, and Email are just the TOOLS to use and are a HUGE distraction to your plan. Figure out WHAT to do BEFORE you figure out HOW you are going to accomplish it!

Insider's Plan to Make Money Online

The new year is creeping up on us. One year past, another fresh one in our midst. What will we do with this 12 month time period? Will we change our lives? Will we start making money from the comfort of our own home?

From personal experiences, I know making money online can be challenging. For a long time all it was for me was a dream. Deep down I knew it was something I wanted, but I would never commit to it fully.

What finally did it for me was my dislike for working the 9-5. Waking up each morning, driving to work, being told what to do, and having to request time off for important things like spending time with my family and friends. It never felt right to me, I needed a change.

This urge kept me motivated, and led me to success online. If you feel like I did, I am sure you understand.

Now we are nearing a new year. What better time to create a new direction? All it takes is motivation and a plan.

The motivation is the easy part – who doesn’t want to work from the comfort of their own home and make more money than they could ever make working for someone else. Who doesn’t want to take any day off whenever they desire and wake up when they want?

Now, the plan. Fortunately, this part isn’t that hard either. There are many simple ways to accomplish this goal, all you have to do is implement it.


Insider Plan #1 – Paid surveys online

Doing paid surveys online is a great place to start out if you are a beginner. You don’t need to know anything about selling or websites, all you have to do is sign up and start filling out surveys. You get paid for the surveys you complete, and you can fill them out at your own leisure. Check out http://SurveyFarm.com for more information.


Insider Plan #2 – Affiliate Marketing


Affiliate marketing is another great plan for those just starting out. All you have to do is find a product to promote online and create a personalized link for yourself. That link will track all the sales that are generated when people click on it and you get paid 50% or more of each sale.


Another great thing about affiliate marketing is that all the tools and instructions that you need to succeed are provided for you by the company that you are promoting for. Essentially, all you have to do is sign up and follow some simple steps. Check out http://FastCashFire.com/affiliates.html to learn more about this amazing opportunity.


With some basic motivation and a clear plan, success online will be yours. A new year is a great opportunity to bring new direction into your life, and making money online is a great place to make your dreams come true. I wish you success and a Happy New Year!

Developing a Marketing Plan

As you can imagine, many foreign markets differ greatly from the United States. Some differences include climatic and environmental factors, social and cultural factors, local availability of raw materials or product alternatives, lower wage costs, varying amounts of purchasing power, the availability of foreign exchange, and government import controls. Once you have decided that your company is able and committed to exporting, the next step is to develop a marketing plan.

A clearly written marketing strategy offers six immediate benefits:

1. Because written plans display strengths and weaknesses more readily, they are a great help in formulating and polishing an export strategy.
2. Written plans are not easily forgotten, overlooked, or ignored by those charged with executing them. If deviation from the original plan occurs, it is likely to be due to a deliberate and thoughtful choice.
3. Written plans are easier to communicate to others and are less likely to be misunderstood.
4. Written plans allocate responsibilities and provide for an evaluation of results.
5. Written plans are helpful when seeking financial assistance. They indicate to lenders that you have a serious approach to the export venture.
6. Written plans give management a clear understanding of what will be required of them and thus help to ensure a commitment to exporting. Actually, a written plan signals that the decision to export has already been made.

This last advantage is especially noteworthy. Building an international business takes time. It usually takes months, sometimes even several years, before an exporting company begins to see a return on its investment of time and money. By committing to the specifics of a written plan, top management can make sure that the firm will finish what it begins and that the hopes that prompted its export efforts will be fulfilled.

Marketing Strategy: Doing the two step - Part 2

A two step approach to marketing may be much more successful than the currently used my most companies. Employing a two part marketing strategy may often require a radical departure in thinking for many business people. Having prospects self select themselves as customers is just too appealing to pass up, however, even for the most traditional marketer.

An entrepreneur often must be convinced to try a two step marketing program. The two or more step system will very often run counter to the instincts of many business people. Two step marketing is based on giving something away for free, with the hope of getting something back in return. For many business owners and managers, the idea of giving away freebies with no guarantees of returning revenue, runs counter to their nature. There will almsost certainly be objections to this innovative relationship marketing plan.

One objection, as expected, will be that the current marketing program is working very well already. While the current system may be capturing customers, it is very likely not a targeted approach. When you ask the one step marketer who are their customers, they will usually respond that everyone is a prospect. Of course, this is easily proven incorrect. For example, people who don't own homes are not prospects for home improvements or lawn care. A targeted approach will not only bring in more customers and clients, but may also be cheaper to operate as well.



The next objection will be one based on cost. The concern will state that if a business offers free booklets of information, e-books, courses, guides, and samples of products or services, the company's out of pocket expenses will rise. While the initial cost may appear to be higher, very often the overall expenditure will remain the same. Advertising and marketing costs can be transferred from previously unproductive areas to the newer systems. At the same time, many of the items offered as giveaways may have no cash costs involved in delivery.

A third objection will regard the time delay between the giving of the item and the receiving of any business. Of course, the person requesting the information may not be in the market for your product or service immediately. The value of the two step system regarding time is how business prospects are developed over time, creating future customers and clients. While some customers may not appear for a year or more, there will always be some arriving almost immediately. Once the first time lag is past, there will be a steady stream of customers and clients at your company's doorstep.



Another objection arises as to why anyone would believe a two step system would ever work at all in the real world. When a person requests your free booklet on travel safety advice for women, for example, you are providing real value to people. You are also building a relationship built on trust.

The free information recipient will now trust you as a source of knowledge and valuable information. At the same time, the woman needing safe travel tips is very likely to be in the market for travel in the near future. Instead of contacting any of a myriad of travel services, your business will be the first one considered by the female traveler. You have already demonstrated that you have her individual needs and concerns in mind.

It's time to put a two step marketing system in place for your company. Give a little and the rewards will be great for both you and your company's customers.

It's a win-win relationship marketing plan where everyone benefits in the end.

Marketing strategy: Doing the two step - Part 1

You've seen the advertisements in the yellow pages, newspapers, and on brochures. You know the ones. They have several common and recurring themes. There is usually a featured photo of the business owner; and is very often accompanied by a picture of the store or company head office. The ad states prominently how many years the company has been in business, and lists proudly any award received since the beginning of time.

Stating that their business service is the best, their people superior, and their products unmatched is almost required by law for ads of this type. All too often, these traditional style ads provide results that are very disappointing. The owner is left in head scratching mode, and at a loss to explain the ineffectiveness of the expensive marketing program. There has to be a better way to market your products and services.



The advertisements mentioned have several factors in common. The first and most obvious similarity, is the focus being placed on the business, and not on the potential customer or client. While the company is important to the entrepreneur, it is not the centre of the universe in the eyes of the customer. In fact, neither the business nor the owner is important to the prospect at all. For many business owners, that realization is like a splash of cold water in the face.

Customers care about themselves and their needs. The concerns and accomplishments of the business are irrelevant at best. More likely, the company-centric marketing approach turns away more new customers than it gains. If the customer doesn't see their concerns being met, then the customer moves on to the next business. If the entrepreneur fails to focus on the customer or client, an untold amount of business is being let walk past the door, straight to a customer focussed competitor.



There has to be a better way. It's time to try the two step.

Two step marketing is different fundamentally from the ubiquitous single step marketing employed by most companies. One step marketing place an advertisement or places a cold call, for example and expects a resulting sale. Very often, the one step system will work well. All too frequently, however, one step marketing brings in fewer customers than projected by the marketing plan. It's time for a two step approach.

From the beginning, many advertisements and sales calls do not focus on the needs and desires of the potential customer. One step marketing practices are notorious for self concern, rather than on the needs of the prospects. Two step marketing programs, not only shines the spotlight on the needs of the clients, but has the customers select themselves for you as well. Self selected clients are not just found in a dream world, but they are a realistic idea for your business. Two step marketing is practical and can be easily applied to any business plan.

Marketing Plan

The information for this article was derived from many sources, including Michael Porter's book Competitive Advantage and the works of Philip Kotler. Concepts addressed include 'generic' strategies and strategies for pricing, distribution, promotion, advertising and market segmentation. Factors such as market penetration, market share, profit margins, budgets, financial analysis, capital investment, government actions, demographic changes, emerging technology and cultural trends are also addressed.

There are two major components to your marketing strategy:

• how your enterprise will address the competitive marketplace
• how you will implement and support your day to day operations.

In today's very competitive marketplace a strategy that insures a consistent approach to offering your product or service in a way that will outsell the competition is critical. However, in concert with defining the marketing strategy you must also have a well defined methodology for the day to day process of implementing it. It is of little value to have a strategy if you lack either the resources or the expertise to implement it.

In the process of creating a marketing strategy you must consider many factors. Of those many factors, some are more important than others. Because each strategy must address some unique considerations, it is not reasonable to identify 'every' important factor at a generic level. However, many are common to all marketing strategies. Some of the more critical are described below.

You begin the creation of your strategy by deciding what the overall objective of your enterprise should be. In general this falls into one of four categories:

• If the market is very attractive and your enterprise is one of the strongest in the industry you will want to invest your best resources in support of your offering.
• If the market is very attractive but your enterprise is one of the weaker ones in the industry you must concentrate on strengthening the enterprise, using your offering as a stepping stone toward this objective.
• If the market is not especially attractive, but your enterprise is one of the strongest in the industry then an effective marketing and sales effort for your offering will be good for generating near term profits.
• If the market is not especially attractive and your enterprise is one of the weaker ones in the industry you should promote this offering only if it supports a more profitable part of your business (for instance, if this segment completes a product line range) or if it absorbs some of the overhead costs of a more profitable segment. Otherwise, you should determine the most cost effective way to divest your enterprise of this offering.

Having selected the direction most beneficial for the overall interests of the enterprise, the next step is to choose a strategy for the offering that will be most effective in the market. This means choosing one of the following 'generic' strategies (first described by Michael Porter in his work, Competitive Advantage).

• A COST LEADERSHIP STRATEGY is based on the concept that you can produce and market a good quality product or service at a lower cost than your competitors. These low costs should translate to profit margins that are higher than the industry average. Some of the conditions that should exist to support a cost leadership strategy include an on-going availability of operating capital, good process engineering skills, close management of labor, products designed for ease of manufacturing and low cost distribution.
• A DIFFERENTIATION STRATEGY is one of creating a product or service that is perceived as being unique "throughout the industry". The emphasis can be on brand image, proprietary technology, special features, superior service, a strong distributor network or other aspects that might be specific to your industry. This uniqueness should also translate to profit margins that are higher than the industry average. In addition, some of the conditions that should exist to support a differentiation strategy include strong marketing abilities, effective product engineering, creative personnel, the ability to perform basic research and a good reputation.
• A FOCUS STRATEGY may be the most sophisticated of the generic strategies, in that it is a more 'intense' form of either the cost leadership or differentiation strategy. It is designed to address a "focused" segment of the marketplace, product form or cost management process and is usually employed when it isn't appropriate to attempt an 'across the board' application of cost leadership or differentiation. It is based on the concept of serving a particular target in such an exceptional manner, that others cannot compete. Usually this means addressing a substantially smaller market segment than others in the industry, but because of minimal competition, profit margins can be very high.

Pricing
Having defined the overall offering objective and selecting the generic strategy you must then decide on a variety of closely related operational strategies. One of these is how you will price the offering. A pricing strategy is mostly influenced by your requirement for net income and your objectives for long term market control. There are three basic strategies you can consider.

• A SKIMMING STRATEGY
  If your offering has enough differentiation to justify a high price and you desire quick cash and have minimal desires for significant market penetration and control, then you set your prices very high.
• A MARKET PENETRATION STRATEGY
  If near term income is not so critical and rapid market penetration for eventual market control is desired, then you set your prices very low.
• A COMPARABLE PRICING STRATEGY
  If you are not the market leader in your industry then the leaders will most likely have created a 'price expectation' in the minds of the marketplace. In this case you can price your offering comparably to those of your competitors.

Promotion
To sell an offering you must effectively promote and advertise it. There are two basic promotion strategies, PUSH and PULL.

• The PUSH STRATEGY maximizes the use of all available channels of distribution to "push" the offering into the marketplace. This usually requires generous discounts to achieve the objective of giving the channels incentive to promote the offering, thus minimizing your need for advertising.
• The PULL STRATEGY requires direct interface with the end user of the offering. Use of channels of distribution is minimized during the first stages of promotion and a major commitment to advertising is required. The objective is to "pull" the prospects into the various channel outlets creating a demand the channels cannot ignore.

There are many strategies for advertising an offering. Some of these include:

• Product Comparison advertising
  In a market where your offering is one of several providing similar capabilities, if your offering stacks up well when comparing features then a product comparison ad can be beneficial.
• Product Benefits advertising
  When you want to promote your offering without comparison to competitors, the product benefits ad is the correct approach. This is especially beneficial when you have introduced a new approach to solving a user need and comparison to the old approaches is inappropriate.
• Product Family advertising
  If your offering is part of a group or family of offerings that can be of benefit to the customer as a set, then the product family ad can be of benefit.
• Corporate advertising
  When you have a variety of offerings and your audience is fairly broad, it is often beneficial to promote your enterprise identity rather than a specific offering.

Distribution
You must also select the distribution method(s) you will use to get the offering into the hands of the customer. These include:

• On-premise Sales involves the sale of your offering using a field sales organization that visits the prospect's facilities to make the sale.
• Direct Sales involves the sale of your offering using a direct, in-house sales organization that does all selling through the Internet, telephone or mail order contact.
• Wholesale Sales involves the sale of your offering using intermediaries or "middle-men" to distribute your product or service to the retailers.
• Self-service Retail Sales involves the sale of your offering using self service retail methods of distribution.
• Full-service Retail Sales involves the sale of your offering through a full service retail distribution channel.

Of course, making a decision about pricing, promotion and distribution is heavily influenced by some key factors in the industry and marketplace. These factors should be analyzed initially to create the strategy and then regularly monitored for changes. If any of them change substantially the strategy should be reevaluated.

The Environment
Environmental factors positively or negatively impact the industry and the market growth potential of your product/service. Factors to consider include:

• Government actions - Government actions (current or under consideration) can support or detract from your strategy. Consider subsidies, safety, efficacy and operational regulations, licensing requirements, materials access restrictions and price controls.
• Demographic changes - Anticipated demographic changes may support or negatively impact the growth potential of your industry and market. This includes factors such as education, age, income and geographic location.
• Emerging technology - Technological changes that are occurring may or may not favor the actions of your enterprise.
• Cultural trends - Cultural changes such as fashion trends and life style trends may or may not support your offering's penetration of the market

The Prospect
It is essential to understand the market segment(s) as defined by the prospect characteristics you have selected as the target for your offering. Factors to consider include:

• The potential for market penetration involves whether you are selling to past customers or a new prospect, how aware the prospects are of what you are offering, competition, growth rate of the industry and demographics.
• The prospect's willingness to pay higher price because your offering provides a better solution to their problem.
• The amount of time it will take the prospect to make a purchase decision is affected by the prospects confidence in your offering, the number and quality of competitive offerings, the number of people involved in the decision, the urgency of the need for your offering and the risk involved in making the purchase decision.
• The prospect's willingness to pay for product value is determined by their knowledge of competitive pricing, their ability to pay and their need for characteristics such as quality, durability, reliability, ease of use, uniformity and dependability.
• Likelihood of adoption by the prospect is based on the criticality of the prospect's need, their attitude about change, the significance of the benefits, barriers that exist to incorporating the offering into daily usage and the credibility of the offering.

The Product/Service
You should be thoroughly familiar with the factors that establish products/services as strong contenders in the marketplace. Factors to consider include:

• Whether some or all of the technology for the offering is proprietary to the enterprise.
• The benefits the prospect will derive from use of the offering.
• The extent to which the offering is differentiated from the competition.
• The extent to which common introduction problems can be avoided such as lack of adherence to industry standards, unavailability of materials, poor quality control, regulatory problems and the inability to explain the benefits of the offering to the prospect.
• The potential for product obsolescence as affected by the enterprise's commitment to product development, the product's proximity to physical limits, the ongoing potential for product improvements, the ability of the enterprise to react to technological change and the likelihood of substitute solutions to the prospect's needs.
• Impact on customer's business as measured by costs of trying out your offering, how quickly the customer can realize a return from their investment in your offering, how disruptive the introduction of your offering is to the customer's operations and the costs to switch to your offering.
• The complexity of your offering as measured by the existence of standard interfaces, difficulty of installation, number of options, requirement for support devices, training and technical support and the requirement for complementary product interface.

The Competition
It is essential to know who the competition is and to understand their strengths and weaknesses. Factors to consider include:

• Each of your competitor's experience, staying power, market position, strength, predictability and freedom to abandon the market must be evaluated.

Your Enterprise
An honest appraisal of the strength of your enterprise is a critical factor in the development of your strategy. Factors to consider include:

• Enterprise capacity to be leader in low-cost production considering cost control infrastructure, cost of materials, economies of scale, management skills, availability of personnel and compatibility of manufacturing resources with offering requirements.
• The enterprise's ability to construct entry barriers to competition such as the creation of high switching costs, gaining substantial benefit from economies of scale, exclusive access to or clogging of distribution channels and the ability to clearly differentiate your offering from the competition.
• The enterprise's ability to sustain its market position is determined by the potential for competitive imitation, resistance to inflation, ability to maintain high prices, the potential for product obsolescence and the 'learning curve' faced by the prospect.
• The prominence of the enterprise.
• The competence of the management team.
• The adequacy of the enterprise's infrastructure in terms of organization, recruiting capabilities, employee benefit programs, customer support facilities and logistical capabilities.
• The freedom of the enterprise to make critical business decisions without undue influence from distributors, suppliers, unions, creditors, investors and other outside influences.
• Freedom from having to deal with legal problems.

Development
A review of the strength and viability of the product/service development program will heavily influence the direction of your strategy. Factors to consider include:

• The strength of the development manager including experience with personnel management, current and new technologies, complex projects and the equipment and tools used by the development personnel.
• Personnel who understand the relevant technologies and are able to perform the tasks necessary to meet the development objectives.
• Adequacy and appropriateness of the development tools and equipment.
• The necessary funding to achieve the development objectives.
• Design specifications that are manageable.

Production
You should review your enterprise's production organization with respect to their ability to cost effectively produce products/services. The following factors are considered:

• The strength of production manager including experience with personnel management, current and new technologies, complex projects and the equipment and tools used by the manufacturing personnel.
• Economies of scale allowing the sharing of operations, sharing of production and the potential for vertical integration.
• Technology and production experience
• The necessary production personnel skill level and/or the enterprise's ability to hire or train qualified personnel.
• The ability of the enterprise to limit suppliers bargaining power.
• The ability of the enterprise to control the quality of raw materials and production.
• Adequate access to raw materials and sub-assembly production.

Marketing/Sales
The marketing and sales organization is analyzed for its strengths and current activities. Factors to consider include:

• Experience of Marketing/Sales manager including contacts in the industry (prospects, distribution channels, media), familiarity with advertising and promotion, personal selling capabilities, general management skills and a history of profit and loss responsibilities.
• The ability to generate good publicity as measured by past successes, contacts in the press, quality of promotional literature and market education capabilities.
• Sales promotion techniques such as trade allowances, special pricing and contests.
• The effectiveness of your distribution channels as measured by history of relations, the extent of channel utilization, financial stability, reputation, access to prospects and familiarity with your offering.
• Advertising capabilities including media relationships, advertising budget, past experience, how easily the offering can be advertised and commitment to advertising.
• Sales capabilities including availability of personnel, quality of personnel, location of sales outlets, ability to generate sales leads, relationship with distributors, ability to demonstrate the benefits of the offering and necessary sales support capabilities.
• The appropriateness of the pricing of your offering as it relates to competition, price sensitivity of the prospect, prospect's familiarity with the offering and the current market life cycle stage.

Customer Services
The strength of the customer service function has a strong influence on long term market success. Factors to consider include:

• Experience of the Customer Service manager in the areas of similar offerings and customers, quality control, technical support, product documentation, sales and marketing.
• The availability of technical support to service your offering after it is purchased.
• One or more factors that causes your customer support to stand out as unique in the eyes of the customer.
• Accessibility of service outlets for the customer.
• The reputation of the enterprise for customer service.

Conclusion
After defining your strategy you must use the information you have gathered to determine whether this strategy will achieve the objective of making your enterprise competitive in the marketplace. Two of the most important assessments are described below.
Cost To Enter Market
This is an analysis of the factors that will influence your costs to achieve significant market penetration. Factors to consider include:

• Your marketing strength.
• Access to low cost materials and effective production.
• The experience of your enterprise.
• The complexity of introduction problems such as lack of adherence to industry standards, unavailability of materials, poor quality control, regulatory problems and the inability to explain the benefits of the offering to the prospect.
• The effectiveness of the enterprise infrastructure in terms of organization, recruiting capabilities, employee benefit programs, customer support facilities and logistical capabilities.
• Distribution effectiveness as measured by history of relations, the extent of channel utilization, financial stability, reputation, access to prospects and familiarity with your offering.
• Technological efforts likely to be successful as measured by the strength of the development organization.
• The availability of adequate operating capital.

Profit Potential
This is an analysis of the factors that could influence the potential for generating and maintaining profits over an extended period. Factors to consider include:

• Potential for competitive retaliation is based on the competitors resources, commitment to the industry, cash position and predictability as well as the status of the market.
• The enterprise's ability to construct entry barriers to competition such as the creation of high switching costs, gaining substantial benefit from economies of scale, exclusive access to or clogging of distribution channels and the ability to clearly differentiate your offering from the competition.
• The intensity of competitive rivalry as measured by the size and number of competitors, limitations on exiting the market, differentiation between offerings and the rapidity of market growth.
• The ability of the enterprise to limit suppliers bargaining power.
• The enterprise's ability to sustain its market position is determined by the potential for competitive imitation, resistance to inflation, ability to maintain high prices, the potential for product obsolescence and the 'learning curve' faced by the prospect.
• The availability of substitute solutions to the prospect's need.
• The prospect's bargaining power as measured by the ease of switching to an alternative, the cost to look at alternatives, the cost of the offering, the differentiation between your offering and the competition and the degree of the prospect's need.
• Market potential for new products considering market growth, prospect's need for your offering, the benefits of the offering, the number of barriers to immediate use, the credibility of the offering and the impact on the customer's daily operations.
• The freedom of the enterprise to make critical business decisions without undue influence from distributors, suppliers, unions, investors and other outside influences.

Preparing for a Recession: How to Survive a Recession

Here are a few things that you can do to stay ahead during a recession and maintain the success of your small business.

Improve Customer Service

Make sure that each and every customer gets special treatment and leaves your store or office satisfied that you have delivered much more than what was expected.

Your employees should also understand that tough times require a gentler touch and your customers need to be treated as VIPs now more than ever.

Since all your competitors may be selling the same products that you are, it will be your satisfied customers who will not only bring in repeat business, but also new customers.

Improve Your Knowledge and Skills

Now would be a good time to build on your knowledge and learn new skills regarding the technical and financial aspects of your business. Your customers should be impressed with your product knowledge.

This not only will enhance your reputation as an expert, but will also ensure that they come to you if they run into difficulties.

Control Your Expenses

Now is the time for you to tighten up the controls on all your expenses, especially those that are not crucial to keeping your business going. It certainly is not a good time to indulge in luxury items; that can wait until the situation improves.

You should also split large expenses into smaller ones so that they become more manageable. Even when purchasing inventory, try to get longer credit periods or better rates by comparing prices offered by different suppliers.

Start Accepting Payments by Credit Card

If you are dealing in consumer goods, then you probably already have a credit card machine; but if you are dealing in industrial items and do not have the ability to process credit card date, then now would be a good time to make that change.

Many of your smaller customers might need to pay you by credit card if they are experiencing a cash flow problem. Recent surveys have shown that more people are using credit cards as a way to deal with the financial downturn.

Lower Your Profit Margins

Keeping in mind that it will only be temporary, this is a good time to lower your profit margins. Notify your existing and potential customers that you are making this move.

You’re going to need more sales to make up the difference, and their goodwill is more important than ever. You can always raise your prices once the recession shows signs of easing.

Use the Power of the Internet

Use the Internet to advertise your products. In comparison to traditional media such as newspapers and television, the cost is very reasonable.

Hire experts who can ensure that your firm is always on top in product searches, and make your website attractive and interactive.

Motivate Your Staff

Your staff should be made aware of your business’ situation in the current recessionary market. They will be motivated to work extra hard to achieve the desired results, if they are convinced that their participation can save the business - and their jobs.

You should also put in extra effort and hours, so your staff will know that you are going the extra mile yourself.

Use these ideas and seek others on your own so your small business will survive the downturn. Only businesses with a solid foundation and foresight survive the inevitable bad times that go along with managing a business. You want to be one of them.

MARKETING GUIDE : GUIDE TO SUCCESFULL FOR BUSINESS MARKETING

One great need of small business managers is to understand and develop marketing programs for their products and services. Long term small business success depends on the ability to maintain a strong body of satisfied customers while continually increasing this body with new customers. Modern marketing programs build around the marketing concept, which directs managers to focus their efforts on identifying, satisfying, and following up the customer's needs - all at a profit.

THE MARKETING CONCEPT
The marketing concept rests on the importance of customers to a firm. All company policies and activities should be aimed at satisfying customer needs while obtaining a profitable rather than maximum sales volume.

To use the marketing concept, a small business should:

• Determine the needs of their customers (marketing research).
• Develop their competitive advantages (market strategy).
• Select specific markets to serve (targetmarketing).
• Determine how to satisfy those needs (marketing mix).
• Analyze how well they've served their customers, and then return to step 1 (marketing performance).

MARKET RESEARCH
The aim of market research is to find out who the customers are, what the customers want, where and when they want it. This research can also expose problems in the current product or service, and find areas for expansion of current services to fill customer demand. Market research should also encompass identifying trends that may affect sales and profit levels.

Market research should give you more information, however, than just who your customers are. Use this information to determine matters such as your market share, the effectiveness of your advertising and promotions, and the response to new product developments that you have introduced into the market.

For once, small business holds an edge. While larger companies hire professionals to do their research, small business managers are close to their customers. They can learn much more quickly the likes and dislikes of their customers and can react quickly to change in customer buying habits.

What to look for, Market research should investigate four areas: customers, customer needs, competition, and trends. The research conducted should answer questions like:

Customers. Identify their:

• Age
• Income
• Occupation
• Family size
• Marital status
• Residence
• Interests and hobbies

Customers wants

• Is the product needed for a limited time (diapers, for example)?
• Are customers looking for quicker service?
• Do customers want guarantees with the products?
• Will customer come frequently (for example a grocery store) or seldom (a car dealership)?
• Are customers looking for a wider distribution or more convenient locations?

Competition

• What is the competitions' market share?
• How much sales volume do they do?
• How many similar firms exist?
• What attracts customers to them?
• What strengths do they advertise?

Trends. Are there:

• Population shifts? (Baby boom, for example) Legal or regulatory developments?
• Changes in the local economic situation?
• Lifestyle changes? (single parents, working women, smaller family size)

Where to get it
There are two general sources of information that can be gathered: data already available and data that can be collected by the business.
The following sources may provide already accessible data:

• Local area Chamber of Commerce
• Trade associations in the line of business
• Professional market research services
• Local library

Data can also be obtained by the business' own research efforts through the following means:

• Telephone surveys
• Local and national newspapers
• Surveys sent by mail
• Questionnaires
• Local TV and radio stations
• Interviewing
• Customer service cards

Market research doesn't have to be sophisticated and expensive. While money can be spent to collect research data, there are many inexpensive ways to collect this data that are easily accessible to the small business owner. Several of these methods are:

Employees.

This is one of the best sources of information about customer likes and dislikes. Usually employees work more directly with customers and hear complaints that may not make it to the owner. They are also aware of the items customers request that the business doesn't offer. They can probably also give a pretty good customer profile from their day-to-day contacts.

Customers.

Talk to the customers to get a feel for you clientele, and ask them where improvements can be made. Encouraging and collecting customer comments and suggestions is an effective form of research. By asking the customers to explain how the product could improve to fill their needs, constructive market research is done, as well as instilling customer confidence in the product.

Competition.

Monitoring the competition can be a valuable source of information. Their activities may provide important information about customer demand that were overlooked, and they may be capturing part of the market by offering something unique. Likewise, small business owners can capitalize on unique points of their products that the competition does not offer.

Company records and files.

Looking at company records and files can be very informative. Look at sales records, complaints, receipts, or any other records that can show you where your customers live or work or how and what they buy. One small business owner found that addresses on cash receipts allowed the pinpointing of customers in his market area. With this kind of information he could cross reference his customers' address and the products they purchased. From this information he was able to check the effectiveness of his advertising placement. However, realize that this information represents the past. Present or future trends may mean that past information is too obsolete to be effective.

Your customers' addresses alone can tell you a lot about them. You can pretty closely guess your customers' life-style by knowing what the neighborhoods they live in are like. Knowing how they live can give you solid hints on what they can be expected to buy.
In addition, check returned items to see if there is a pattern. Check company files to determine which items sell best, and which sell poorly.
The key to effective marketing research is neither technique nor data it's useful information. Customers likes and dislikes are shifting constantly so this information must be timely. It's much better to get there on time with a little than too late with a lot.

A MARKET STRATEGY
With the research information gathered, the next step is to develop a market strategy. Use this information to determine areas where the competition doesn't adequately fill consumer demand or areas where a new product or different product promotion would capture part of the market.
A new business may capture a significant market share by aiming their market strategy on areas not focused on by the competition.
Some examples of the various areas of emphasis include offering a:

• Better or wider distribution
• Specialized instead of a broad product line (or vise versa)
• Lower price
• Modified product (improved)
• Better value for the consumers money (quality)
• More dependable product or service
• Customer support service

As a new business can enter an industry and capture a share of the market, an established business can use the same strategies to increase their market share as well.

TARGET MARKETING
When the marketing strategy is developed, determine with which customer group this would be most effective. For example, a "better value for the money" may be more appealing to the "family" consumer group while a "wider distribution" would be more attractive to consumers who travel. Remember that different market strategies may appeal to different target markets. Therefore, apply the collected data to choose the combinations that will work best. The market is defined by different segments.
Some examples are:

• Geographic: Specialize products to customers who live in certain neighborhoods or regions, or under particular climates.
• Demographic: Direct advertising to families, retired people, or to the occupation of consumers.
• Psychographic: Target promotion to the opinions or attitudes of the customers (political or religious, for example).
• Product benefits: Aim marketing to emphasize the benefits of the product or service that would appeal to consumers who buy for this reason in particular (low cost or easy access, for example).
• Previous customers: Identify and promote to those groups who have purchased the product before.

THE MARKETING MIX
Before the marketing mix decision is made, determine what purpose these marketing efforts are going to serve. Are they to:

• Deepen the customer base?
• Increase the market share? If so, by how much?
• Increase sales? If so, by how much?
• Reach new geographic markets?
• Increase customer traffic?
• Sell remaining inventory to prepare for a new product line?

After these objectives are established, determine a date for accomplishing the objective. The marketing mix allows owner-managers to combine different marketing decision areas such as products and services, promotion and advertising, pricing, and place to construct an overall marketing program.

Products and Services
Use the product or service itself as a marketing resource. Having something unique provides motivation behind advertising. While the ideas mentioned under market strategy apply here, another option is to change or modify the product or service. Additional attention may be given to a product if it has changed color, size, or style, while a service may draw similar attention by modifying the services provided. Remember sales and promotional opportunities are generated by product differentiation.

Promotion and Advertising
With a marketing strategy and clear objectives outlined, use advertising to get the message out to customers.
Advertising can be done through:

• The yellow pages
• A press release
• Sponsoring a civic event or activity
• The newspaper
• Billboards or posters
• Flyers or handbills
• Direct mail advertising
• The radio

One element of advertising is promotional activities. These activities not only advertise, but they offer added incentive for customer patronage.
Some examples are:

• 2 for 1 offers
• Coupons
• Special sale prices
• Rebates
• Sweepstakes
• Give-aways

Try to reach the largest number of people with the money allocated to advertising and promotion. This may be accomplished by using several different methods of advertising. Remember to be creative and implement ideas.

Pricing
Determining price levels and pricing policies is the major factor affecting revenue. Factors such as the demand for the good, the market price, and customer responsiveness to price changes influence the price levels. Other factors such as a convenient location or more personalized service may allow a small business to charge a higher price. Make sure your price is competitive, however, by checking to see what competitors' prices are.

Place
The manufacturer and wholesaler must decide how to distribute their products. Working through established distributors or manufacturers' agent generally is most feasible for small manufacturers. Small retailers should consider cost and traffic flow as two major factors in location site selection, especially since advertising and rent can be reciprocal. In other words, low-cost, low-customer traffic location means you must spend more on advertising to build traffic.
The nature of the product or service also is important in locational decisions. If purchases are made largely on impulse (e.g., flavored popcorn), then high customer traffic and visibility are critical. On the other hand, location is less a concern for products or services that customers are willing to go out of their way to find (e.g., restaurant suppliers). The recent availability of highly segmented mailing lists (purchased from list brokers, magazines, or other companies) has enabled small businesses to operate anywhere - and serve national or international markets.

MARKETING PERFORMANCE
After the marketing mix decision is implemented, the next step is to evaluate performance. With a detailed list of company objectives, monitor how well the decisions are developing.
Evaluate objectives such as:

• Market share. Has the increased share been captured?
• Sales Volume. Was the increase reached?
• Strategy. Did the combinations of target markets and strategy work effectively? Which ones didn't?

Also, evaluate the following decisions and others:

• Did advertising efforts reach the target groups?
• Were promotions timely?
• Did customers respond to sales, coupons, or rebates?

Additionally, consider the following:

• Is the company doing all it can to satisfy the customer?
• Do the employees make sure the customer's needs are truly satisfied, leading to the vial repeat purchase and customer loyalty?
• Is it easy for customers to find what they want at a competitive price?
• If these objectives were not reached, what were the reasons?
• If they worked well, what elements were most effective?

By evaluating performance after decisions, there is reference for future decision-making, based on past results. In addition, periodically assess customers' feelings and opinions toward the business and how well their needs are being satisfied. This can be done through surveys, customer comment cards, or simply by asking them, "How are we doing?"
Assessing performance and asking for customer input brings us back around market research again. Your marketing plan is a continuous effort to identify and adapt to changes in markets, customer taste, and the economy for the success of your small business.

4 Ways to Overcome Marketing Challenges Forever

For most small business owners, marketing is an overwhelming concept. They need marketing solutions that ensure a smooth-running, profitable business yet most don't know where to begin or how to focus their efforts.

90% of small businesses don't even have a marketing plan. It's difficult to reach your destination if you don't know where you're going!

If you're a small business owner looking for ease, focus and marketing success, we recommend that you focus on just 4 tactics:

1. Establish a memorable and unmistakeable brand identity:

   The secret to business success is determined by your ability to powerfully communicate your business with laser precision and your ability to deliver a clearly-defined and consistent experience.

   In a nutshell... it's called branding, and, when done right, it ensures a thriving business with all the customers and profits you need. The secret is to establish a powerful brand identity that sings distinction. And establish that identity before you launch any marketing activities.

2. Create a deep connection with your core target audience - your potential raving fans!

   Who wants and needs what you have to offer? The only wrong answer is "everyone." If you're a pediatrician, you may see infants and children. Are they your target audience? No! They are your patients, but it's the parents you need to connect with to get the kids in your door. And it's not just any parents - it's a definite group of parents.

   In marketing, you get a lot more "bang for your buck" if you focus your spending on a well-defined group of people that you enjoy working with. The better you define this group, the more effective your marketing can be.

3. Design compelling offerings that pull customers in like a magnet.

   80% of all purchase decisions are based on emotion. It's your job as a marketer to know how your customers want to feel and to get them to visualize how your services can meet their needs. People want to know, "What's in it for me?" Tap into the emotion and create offerings that touch your customers.

4. Craft A Personal, Workable Marketing Plan

   Marketing is everything you do to make your product or service more visible, more desirable and more profitable. Your marketing plan will clearly define the big picture and provide focus and direction based on the 4 'P's of Marketing - product, price, place/distribution and promotion.

   Since 90% of small business owners do not have a plan, you'll have a leg up on your competition by crafting your personal, workable marketing plan to ensure that you reach your business goals.

Following these 4 criteria will transform any small business into a money-making machine guaranteed to grow your client list, sales and profits. The upfront work is the secret to a million-dollar business, literally and figuratively.

What to Look for When Outsourcing Your Marketing

It's not a secret that many companies that downsize, re-prioritize or expand find outsourcing to be a cost effective decision to fulfill certain corporation functions. Outsourcing has become an essential aspect of business strategies and this included the marketing function.

Outsourcing allows a company to put more focus on product development and overall operations. It eliminates the delay the need to hire full-time staff and avoids tasking overworked staff. Many marketing consultants help companies market their products and services without extending their in-house marketing staff. They can often provide the same service as an in-house marketing department, but at half the cost.

By outsourcing you gain the following:

• Specialized skills and expertise
• An external perspective and view point

Outsourcing can be intimidating at first, but there are things to look for when choosing a marketing consultant or an outside marketing firm. Here are a few evaluating questions that should assist you in finding a marketing consultant that is right for you.

• Area of Expertise

  Find out what their expertise is in. There are many component to marketing. What do they focus on? Here are common areas of expertise:

  • Search Engine Marketing and Optimization
  • Branding
  • Positioning
  • Affiliate Marketing Development and Management
  • Marketing Strategy and Plan Development
  • Internet Marketing Strategy and Plan Development
  • Lead Generation
  • Sales and Marketing Campaign Development
  • Marketing Classes, Seminars, and Workshops

  Figure out what areas you need help in and look for consultants with expertise in those areas.

Training/Education

What type of training and/or education is important to you. I will tell you that education is important, however experience and hands-on expertise can far out weigh education when it comes down to success in marketing.

Ask for case studies, referrals, and experience in the areas that you need assistance in.

Certifications/Memberships

This will also tell you how active they are in the marketing community as well as if they've been certified in certain areas of marketing.

Notable Achievements

What are the notable achievements that the marketing consultant has achieved. What work are they most proud of?

Client References

Never hire a marketing consultant without contacting client referrals. We can get very excited about the sales presentation and the marketing brochures we've been handed when looking for a consultant, but the truth is the proof is in the achieved results. If they could not succeed with other clients, what makes you think they can succeed when it comes to marketing your products and services? Call those references, it only takes a few minutes and it is worth your time.

Evaluate the Fees

Before signing any agreements make sure you are clear in the fee structure. Is it based on milestone payments, paying everything up front, or are they working on a pay-for-performance structure? Be clear about what you will be charged and how those fees are determined.

There are many marketing consultants out there and with the power of the internet they are not hard to find. Make sure you are comfortable with their experience and that you also feel they understand your marketing goals. They should take the time to listen to you about the vision of where you want to go and what you want marketing to achieve for you before they ever present to you a fee structure. If they are in a rush to have you sign the contract without taking the time to understand your business run away fast and find someone else. They should be patient in the courting process to gain your business, if you feel rushed it will only get worse after the agreement is signed.