Many small businesses that we meet say they struggle with marketing their business, they cite lack of money as the biggest factor. A lot of these businesses do not understand what marketing is. When we ask them for some specifics they say advertising is expensive they cannot afford to buy a banner ad for a lengthy period of time to have a realisable impact.
What they are not aware is that advertising is just one aspect of marketing. It is the part that involves getting the word out concerning your business, product, or the services you are offering. It involves the process of developing strategies such as ad placement, frequency, etc. Advertising includes the placement of an ad in such mediums as newspapers, direct mail, billboards, television, radio, and of course the Internet.
Marketing on the other hand is the systematic planning, implementation and control of a mix of business activities intended to bring together buyers and sellers for the mutually advantageous exchange or transfer of products. Marketing is a process. It is something that takes time. An effective marketing strategy involves use of color, logos, and how your products and services are sold. A marketing strategy includes the perception people have of your business. Is your company a forward thinking company, a fun company or a large stable business?
Advertising costs money and its true many small businesses do not have money to place ads on TV or Radio or Print ad in national newspaper. Research has shown that it takes up to seven times for a person to respond to an advert. For a small business this is a non starter they simply do not have the money to pour in advertising for up to seven times and survive. Beside even the most effective adverts produce mixed realisable outcomes which accounts for a fraction in return of investment. However it does not mean that if a small business does not have money for placing an ad in a newspaper they should stop marketing.
Consumer skepticism and a resistance to advertising are apparent in today’s marketplace. According to Insight Express, “consumer trust in advertising has plunged 41% over the past three years and only 10% of consumers say they ‘trust’ ads today.” In the varied world of today’s media, the consumer is increasingly in control. A 2008 study by Yankelovich, Inc. revealed that nearly 70% of consumers were actively looking for ways to block, opt-out, or eliminate advertising. Media fragmentation is out of control the average household today has over 100 television choices.
Given these facts, the pressure is on small business find ways that they can market their business without alienating their customers and at the same breath do that on a minimal budget. In order to do that one has to understand what marketing is. Marketing at its essence is a discipline about building relationships and this does not cost any business money. The relationship between you and your customer is symbiotic in nature and fundamental to both of you and your customer. It is a relationship between two people where each person is essential to what the other needs from the relationship. That is why it is important for small businesses to build quality relationships and thereby realise the potential of their business relation with their customers.
Networking is the best way to build quality relationships. It allows you to develop set of contacts that in turn will be able to push your business forward. If you are in business, your mission includes reaching out to prospects that have a need you can fill. If you want to keep the doors to your business open, you can’t hide under a rock or in a cave and expect prospects to beat a path to your secret lair. You have to reach out in effective ways to let people know who you are and how you can solve their critical problems.
One of the easiest and most immediate ways to market your business is through personal networking. A recent study found that two fifths (38 per cent) of small firms do not believe that networking can boost their businesses’ chances of growth and success. Just ten per cent of small firms say they do not devote any time to networking, while 42 per cent admit they only get involved a few times a year. Just 15 per cent said they devoted time to networking every week.
However, companies that do not take advantage of networking could be missing a chance to grow their business or improve their sales according to Lloyds TSB. Of those businesses that do dedicate time to networking almost three quarters (71 per cent) have won new customers over the past year as a direct result of networking while two fifths (42 per cent) have found new suppliers.
Stephen Pegge, head of communications, Lloyds TSB Business, said: “We’ve all heard the old adage ‘it’s who you know not what you know’ but for many small firms today, the importance of building relationships is being seriously underestimated. ”It’s clear that small businesses are often too quick to overlook the benefits of networking, but, when they do find the time to nurture new contacts, it’s never too long before they realise the part these relationships can play in their future growth and success.”
There are terrific rewards for investing the time and effort in networking. It’s fun and friendly– people are there to meet new people, to explore connections and set up follow-up meetings. You meet many people fast – so often isn’t it timing that makes things come together? You meet people who in some way are pre-qualified for your product or service by being members of the group or attending that particular meeting. People who attend networking events have an agenda and they will tell you why they are there – the openness and directness is so productive. Something leads to something – whether you are looking for clients, vendors, professional services, a new job, or contacts at a particular company; if you put it out there, you are bound to get a few hits (6 Degrees of Separation Theory). If you keep your product/service a secret, no one can know how great you/your company are. Professional friendships – attending networking events regularly, you will build up rapport with people as they get to know, respect and trust you. Get your nose out of your day-to- day business and get a pulse on the marketplace – clients won’t come to you unless they know you can take away their pain. Networking gives you a chance to assess the market and know where the trends are headed.
To encourage many entrepreneurs, small business to network at Crosby Abbott w ar proud to announce the following offers
- A free fully functional website worth £300 if you join Crosby Abbott Business Network before 31st of December 2009
- A 250×250 banner advert for 90 days on News of Black Interest worth £260.00 if you join before 31st December 2009
Plus our other usually benefits:
- World class business banking with HSBC or Barclays
- Discounted Business Insurance, Merchant Service, Car Hire, Hotel Accommodation and Legal Protection
- Free listing on the Crosby Abbott Business Network Online Member Directory – free advertising
- Free listing in the Printed member directory – free advertising
- Assured member trade – our members buy from each other
- Crowd Clout bulk purchasing – compete with the big boys at your own budget
- Breakfast Networking – effective word chance for word of mouth
- Golf Clinics – reenergise your batteries, learn a new skill
- Discounted training, workshops, seminars and summits
- Mastermind groups – for motivation
Please visit us to join today and take advantage of this wonderful offer
Israel Mutanhaurwa
Managing Director
Crosby Abbott
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