Posts Tagged ‘Marketing Industry’

As the Southern Nevada business community continues to feel the strains of a down economy, executives are faced with tough decisions concerning how to cut budgets. One item that is often cut is marketing. While these cuts may appear to have little impact and improve the firm’s bottom line, the inverse is actually true. In fact, cutting marketing budgets is a short-term fix that can have long-term implications on a company’s success.

According to a study by McGraw-Hill Research, companies that consistently advertise even during recessions perform better over the long-term. The study looked at 600 companies from 1980 to 1985. It found businesses that maintained or raised their level of advertising expenditures during the 1981 and 1982 recessions had significantly higher sales after the economy recovered. More specifically, companies that advertised aggressively during the recession had 256 percent higher sales revenue than those that discontinued advertising. A recent article on Forbes.com stated that companies that did not maintain a consistent presence during a past recession actually spent four to five times the amount it saved in marketing to regain its market status.

While budget cuts are necessary and it may be hard to justify large numbers allocated to marketing, it is important to remember that keeping the company’s name in front of customers is important. Public presence can lead to new business, and if you are not appearing, you are disappearing from the market – especially in the eyes of the consumer.

Instead of cutting budgets completely, executives should consider more cost-effective ways to reach audiences. The advertising and marketing industry has changed dramatically over the last five years. Companies are now using a mixture of marketing strategies to reach audiences including online marketing, grassroots outreach, co-branding opportunities and media relations.

One of the most cost-effective solutions is online marketing. With the emergence of digital media and social networks, it’s easier than ever to reach specific audiences directly. By using HTML e-mail campaigns, social media networks, online forums and blogs, and company Web sites, companies are able to post information instantly about new developments and correspond with customers in real time through the Internet. The cost associated with this communication medium is significantly lower than its predecessors, which often included fees to print and/or place collaterals piece or ads. One of the main benefits to online marketing is the ability to track the results through numerous online channels.

The Internet also allows companies the opportunity to participate in ongoing conversations about their industries. Over the last few years, the public relations sector of marketing has expanded to include online blogs and citizen journalists in addition to traditional media outlets. In many instances, companies can secure coverage for a news release or trend story ideas more quickly and with greater control of the initial content.

While it is important to explore new outlets for communicating to your audiences, an economic downturn can provide many opportunities to get more exposure in traditional outlets for less money. Publications are increasingly willing to negotiate on rates for placement advertising than they had been in recent years. Many publications are willing to give companies special pricing on long buys and offer deeply discounted prices on open space once the publication is laid out. Publishers would much rather fill the space at a discount than run the risk of leaving it empty.

In addition to price, companies who remain in the media strengthen their voice. With so many companies cutting budgets and pulling back their marketing efforts, those who remain enjoy more exposure. This is true both in print ad placement as well as media relations activities. With fewer and fewer ads appearing in publications, companies are going from one of many to one of few. Continuing to advertise gives them the opportunity to stand out.

Ad placement is not the only way companies are currently saving money. Printers, promotional vendors, graphic designers and even agencies are adjusting pricing to compete in today’s market.

Marketing during a down economy can be a very strategic business decision for any company. The key is to use an integrated approach that combines a variety of different communications disciplines. Companies should use this time to examine the way they are reaching out to their audiences and adjust accordingly. Maintaining a consistent and effective conversation with customers, especially in times like these, will lead to long-term growth and success for any company.

Kassi Belz, APR,
Director of Client Services,
MassMedia Corporate Communications
http://www.massmediacc.com/

Author: Kassi Belz
Article Source: EzineArticles.com
Digital economy, mobile technology

So you plan on starting a consulting business on your own. You want to consult using the internet because it is global and that is where the future business lies. You want to sell a product or service that you think is equal to others in the same category or maybe it is better than the others. The only problem is that you do not know how to market the product primarily because you are starting your venture on a limited budget, therefore having very little or no money for marketing. In a case like this, how would you promote and advertise your product or service to show that you bring value the market?

Commonly, marketing budgets should be about 2% to 5% of the overall gross sales, but this varies by markets and products. The first step in how you plan starting your consulting business is to figure out what your marketing budget would be for the first six months.

The following promotion activities could be used to start – internet marketing, industry events, aggressive advertising, strategic partnerships, public relations, internet marketing, word of mouth, and direct marketing. If you are starting a consulting business on a low budget, the following marketing methods can be very effective and low cost:

Internet marketing – Get people familiar with your product or service through internet articles and blog posts. Most organizations actively use their blogs to amass awareness for their products and services. This is an extremely inexpensive and hassle free exercise. Furthermore you can market your product or service via social networking sites such as Facebook, LinkedIn, and Twitter. Communicate with your audience about new services, product enhancements, discounts and other new advancements in your business.

Get a Website of Your Product or Service – These are easy to do today and are a relatively inexpensive way to establish a presence on the internet. For example WordPress allows you to combine both functionality of a blog and website pages to optimize your internet marketing efforts. Making a website of your product or service gives you a better chance to explain the value you provide to millions of eyeballs every day.

Word- Of – Mouth - Get your individual network to spread the word about your product or service. This is the most practical and cost-effective way to advertise. Get your friends and colleagues together for a small gathering or an online webinar and introduce your product or service to them. Keep in mind not to sell too much – you are raising awareness and showing that you can provide value to others!

Direct Marketing – Go for direct marketing when you are starting a consulting business instead of going for expensive marketing options such as Pay-Per-Click. Stay direct by keeping your target audience limited and targeted. This way you reach them in the most practical and the cost-effective way. As an example, fliers found inside newspapers and informative email campaigns are two inexpensive direct marketing tools.

Newspaper Articles - You can get articles published in a newspaper that talk about your product in a extended manner. For example, if you are selling a consulting service, the article can be about the value of a consulting service in a particular niche such as start up businesses. The article can also have a word or two from a well known person in your industry that believes in your type of service.

You will eventually need to have a more focused and tighter marketing strategy to promote your product and services. While all these could be effective marketing techniques that you can use when you start a business, you should put aside a small part of your profits every month for your marketing budget. Use your marketing budget accordingly, and track of the results religiously. A marketing method should be dropped if it does not give you the numbers you need to build your business.

When you are starting a consulting business or any business on your own, you may be on a very limited budget. This is complicated by the fact that you need to promote or advertise your service in order to build the business so you can increase your budget. Plan to use low cost effective marketing methods to build your initial marketing capital and raise the awareness about your product and service that you need in order to take your business to the next level.

Starting a consulting business or any kind of business can be overwhelming. Having little or no marketing budget can make it that much more difficult. To find out more about starting a consulting business without a marketing budget or other internet marketing strategies, contact Scott Ewart.

Author: Scott Ewart
Article Source: EzineArticles.com
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