Small Business Marketing Manual

Forward:

08/30/04

This book was written ten years ago in 1994 prior to the popular commercialization of the internet. Many of the concepts outlined here are still very useful and can be applied to any small business. Using these concepts in addition and in conjunction with internet based marketing can create very effective results.

- WW

PREFACE

You must read this manual completely before being able to use it effectively as a tool and a resource.

This manual was compiled to give you a crash course in marketing and to offer some ideas that may not have occurred to you. Since this manual was not designed for any specific business (i.e. a pizza parlor, a record store, etc.) all of the projects & plans may not apply to your business, or they may just need some creative manipulation to tailor them to your business. I will, however, use example businesses when explaining different ideas.

There is some basic information you should know before you use this manual: The manual is made for small business, hence most of the projects are relatively inexpensive. However you should calculate a monthly marketing budget, which should be based on at least 10% of your monthly gross income.

After you see an increase in business then you can raise it to 15-18%. If you want your business to grow you must put at least 10% of your profit back into it through marketing. The money you’re spending should have at least a 30% return (i.e. if you spend $100 in a month it should at least bring $300 more profit into your door).

Large companies spend millions of dollars on advertising and marketing. They know that in this day and age a quality product and quality service are not enough.

So, what is marketing? For all practical purposes we can define marketing as “any and all communication a business entity has with the public for the purpose of generating more business.”

All your marketing should be coordinated. If you collect all your ads, flyers business cards, etc. and put them together they should have similar attributes.

INTRODUCTION

First we are going to go over some fundamental marketing concepts:

IDENTITY

One of the most important things concerning marketing is the ability to create an individual business identity. You need a look, a logo, a type style for your company name, and a color scheme.  This is absolutely necessary! Your name should appear the same every time anyone sees it, making you recognizable and installing a permanent impression in the public mind.

Your business cards, letterhead, envelopes, company truck, uniforms, carpeting, flyers, ad infinitum must all look the same and follow the same color scheme! Consistency is key.

COLOR

Using color instead of black & white in your printed materials increases  the viewers attention, retention and tendency to act on the information!

Beware, using the wrong colors can have a negative effect.

Here are some guidelines:
One thing to remember is that people respond to color emotionally, not logically.  Hot colors like red and orange jump forth while cool colors like green, blue, and purple recede.

• Blue shouldn’t be used with food but is good representing cold.
• Green and Brown are good for natural, earthy type businesses.
• Gray is masculine.
• Red relates to low prices or excitement
• Maroon is contemporary and expensive
• Purple reflects security and dignity
• Yellow is steadfast and confident

You should try to pick just one or two colors. Too many colors will defeat the purpose of defining your identity.

LOGO

Develop a logo. Even if it is just the way your company name is rendered. If you don’t think your creative talents are up to it, invest in having a  professional artist or graphic designer create one for you.

The cost varies from person to person. One person might charge $45 for creating a logo, while it’s not uncommon for businesses to spend up to $10,000 for a reputable designer’s work. Your printer may be able to find a designer to fit your budget.

Everything related to your business should bear your logo. Once again, consistency is key. The more the public recognizes you, the more familiar you become. A consumer is much more likely to make a purchase from a business they are familiar with.

A unique logo which is always in the public eye will ensure public awareness and make you easily recognizable. This will make it easier for customer to feel good about patronizing your business. Your logo should be simple, unique and easy to recognize.

PRINTERS/ COPY SHOPS

If you haven’t already, find a good printer; ask other business owners who they use and check out prices!!!  There is a big difference between a print shop and a copy shop. Copy shops are geared toward short run duplicating jobs, single copies of documents, mailing labels and the like. Most have quick turn around times and convenient hours (many are open 24 hours).

Printers, however, are better for bigger jobs like business cards, letterheads envelopes, etc. When you get business cards, letterheads, envelopes, etc., it’s usually only a few dollars difference between the quantities of 500 and 1000 depending on the complexity. Pay the extra and get 1000; they are an essential tool and should be well circulated.

You will probably want to develop a relationship with both a copy shop and a printer.

Most offer internal charge accounts that you can pay monthly. You or one of your employees will  probably spend a lot of time in these shops, so try to get the same person to go each time. When you go, request the same shop worker every time so you can build a friendship. This will ensure quality service and good prices. Also (and I speak from experience) if you treat the people well it will come back to you. For example, if you usually go in early in the morning, drop off some coffee and donuts. This will benefit you beyond your imagination and probably save you a bundle of time and money!

SELLING POINTS

Define what selling points you are going to concentrate on. Here is an example: John Doe is opening a record store and his concentration is on jazz artists. He decides to name his store  THE JAZZ STORE

One important thing to remember is that your business name should reflect what you do. If you want to use your proper name then you should incorporate a short description of your business. For example:

“JOHN DOE RECORDS- your jazz connection”

Keep this description synonymous with your name so it appears on everything.  I have seen business cards with absolutely no description of the business. One that comes to mind simply said Bob Smith Incorporated with an address and phone number. When I found the card in my wallet I didn’t even remember where I had gotten it. What a huge marketing blunder!

NICHE

If JOHN DOE RECORDS opened and there were already two jazz oriented music stores on the same block, it’s likely that the business wouldn’t last too long. If your selling point is similar to other businesses in your area you may want to either:

A: Narrow down your selling point such as:  Vintage jazz or Modern jazz
B: Change your selling point such as:  “JOHN DOE RECORDS, your Blues Connection.”

MARKETING PLAN

OK, we have covered some of the basics; setting a budget, creating an identity. Using color and creating logo. Using printers and copy shops. And finally defining your selling point.

Now we need to develop a marketing plan. This is essential to good marketing it is simply a map to follow which will help you reach goals of generating more business.

You should put your plan in writing. I will use JOHN DOE RECORDS to illustrate this seven step plan.

1. Marketing purpose:
   To build an increasing repeat customer base.
2. Selling point:
   Vintage jazz records.
3. How to achieve this purpose:
   To alert the public of the large selection of jazz music available from JOHN DOE RECORDS.
4. Target clientele:
   Jazz enthusiasts between the ages of 26-40 years old that live within a 10 mile radius of JOHN DOE RECORDS.
5. Marketing vehicles:
   This section is the largest, but all points are equally important. The vehicles that will be used will be:
   • Advertisements run weekly in the music sections of local papers.
   • Monthly sales on selected artists.
   • Monthly autograph parties; one day that a jazz artist who has released a new album will visit the store and autograph customers copies of their new album.
   • Sponsorship of local jazz concerts.
   • Monthly album giveaways.
   • Short spots on the local FM jazz station.
   • Sponsorship of jazz night at local jazz bars.
   • Monthly mailings to customer mailing list.
   • Descriptive Yellow Pages ad.
   • Classified advertising:“wanted vintage jazz records.”
   • Saxophone key chains with the store logo for giveaways.
6. Budget:
   Our budget will be 10% of our projected gross monthly profits.
7. Identity:
   The Jazz Store’s identity will be portrayed as honest and service oriented. An authority on jazz music, having a pleasant, relaxed atmosphere.

This seven point plan will be your roadmap to success. It should be put in writing and kept with all your marketing information. This manual is primarily concerned with providing an array of cost efficient marketing vehicles. 

Your marketing plan is very important and should be reviewed, and if necessary, revised every six months. You can eliminate any vehicles that are not producing results. If one vehicle is working very well you may consider allocating more of your budget to that particular area while eliminating less efficient ones. 

You should, however, keep as many different vehicles as possible. 

Now to select your vehicles: each chapter describes different ones so you can choose which ones you want. Most are very inexpensive so implement as many as possible.

A WORD ABOUT PRINTED MEDIA

Printed media ( newspapers, flyers, cards, catalogs, etc. ) is the cheapest form of communication, and therefore marketing. For this reason, most of the marketing vehicles in this manual involve printed media. 

Advertising space is an important investment. To make sure you are getting your money’s worth keep these things in mind:

• Your ads should be simple and to the point. Use a minimum amount of words.
• All advertising should bear your logo.
• Artwork will make your ad much more eye catching, therefore more effective than just text.
• A few Do’s and Don’ts:
  1. Don’t use large amounts of ALL CAPITAL LETTER in the text of your ad, it decreases readership.
  2. Don’t use a lot of reversed text, it also decreases readership, however, it can be beneficial to headlines containing just a fewwords.
  3. Do use serif type (fonts like Bookman and Times versus sans-serif fonts like Helvetica it will practically double readership.
  4. Do use larger point Capital letters at the beginning of paragraphs. It will also increase readership.
  5. Offer an incentive for potential customers such as a discount.
• Gauge your response - either note on the ad for customers to bring the ad in for a discount or attach a different department number onto your address for each publication you advertise in. This way you can weed out papers that bring in no response and allocate the money toward the ones that do.
• Keep your ads clean, neat, and easy to read. It#8217;s worth the money to invest in a professional designer to make an ad that will run over and over. Most publications offer to design your ad, but you run the risk of having your ads look similar to all the other advertisements. Remember, good advertising should STAND OUTand LOOK GOOD.

GRAND OPENING

If you are opening a new business in a retail location you definitely need to have a grand opening. One mistake many businesses make is announcing their grand opening before they are ready to open. When the date comes around it is postponed because they are not ready. This gives off a very negativeimage.

Do not advertise your grand opening until you are completely ready to open for business. The planning for the grand opening, however, should be complete at least two weeks in advance of the opening date. Give yourself at least a week of advertising prior to your grand opening. Here are some things to do to make your grand opening a success.

• Write a press release and send it to every local publication, radio, and television station in your area.
• Contact all your friends and business associates invite them to stop in on your opening day.
• Decorate the outside of your space with a large Grand Opening sign and colorful balloons.
• Offer something free refreshments, perhaps  popcorn.
• Have a party at your new business.
• Rent spotlights and hire clowns.
• Hire a plane to fly around with a banner announcing your opening.
• Have a drawing for a giveaway. Go all out.

Your opening will be the easiest time for you to get free media coverage and stir up excitement about your business.

Chapter 1:  ON LOCATION MARKETING

COST: VARIABLE
We are going to discuss five types of in-store marketing:

The Telephone
Suggestive Selling
Bag Stuffers
Signage & Store Displays
Decor

The Telephone

The telephone is a powerful marketing device. Whenever a customer calls your business they should be greeted the same way. First you should thank them for calling, next you should identify your business and/or yourself and finally you should mention any specials or promotions going on.

One very important thing is to keep it short! People are usually in a hurry so they don’t want to sit and listen to some drawn out spiel. Here is an example of a good phone greeting:> “Thank you for calling The Fashion Firm,all our shoes are half price this week.”

Another: “Thanks for calling Pizza express. This is Bob. Would you like to try our Steal of a Pizza Deal?”

Always be courteous. A phone call is often the first contact a customer has with a business. First impressions are very important. In a business relationship the first phone call can make or break a sale and win or lose a possible repeat customer.

Suggestive Selling

Suggestive sales are simple and effective. Every time someone buys something, suggest an accessory or complimentary item or service. Large companies have spent lots of money to research this form of marketing. Statistics prove that suggestive selling works.

I’m sure you’ve been asked:  “Would you like fries with that?”

This should be fairly obvious but to make it affective, you must do it without fail.

Bag Stuffers

If your customers receive a bag or any kind of package then you should use bag stuffers. Bag stuffers are simply a flyer that you attach to the outside of the bag or box that your product comes in. They are much less effective placed inside the package because they are less visible.

Your bag stuffer should contain the following:

1. Your name, logo, phone number, and address.
2. A Coupon or an announcement of a sale, details of an upcoming promotion or some kind of incentive to come back.
3. Artwork is optional but will make your stuffer more appealing.

All your packaging should have something of this nature affixed to it.

Signage & Store Displays

Signage is an important aspect of on location marketing. Outdoors you should have at least one large sign with your name and logo displayed.

The outside of your location should be painted in your color scheme. If you have a large wall, have a sign painted directly on it. Colorful artwork will draw attention to your business. A lighted sign is good even if you don’t have evening hours, people will see you at night and be aware of your location.

If you have store front windows you should have window displays that change at least every six weeks. Windows are a good place to put signs advertising specials or promotions. You should be able to get poster board signs made at your local; copy shop.

Your business hours should be easily read from the outside of your business. Don’t waste space, but don’t clutter either. Remember signs are not ads, use the minimum amount of words possible to describe your business.

Indoor signage is important too. You should have signs that tell what kind of payments you will accept. Do you accept credit cards? What about financing?

A Display is simply a way to present merchandise or present a service. A display could be a pyramid of dog food cans or an outfit on a mannequin.  Displays are used to give an extra push to specific merchandise.Use signage and displays to announce upcoming sales, promotions, etc. That will give your customers an extra reason to come back.

Decor

Your business decor is very important. The inside of your business should be clean and pleasant. The interior should compliment the products or service you offer, not distract from them. Unless you have a special place in a customer waiting area, you should never have a television set on.
Talk about distracting!

Good lightning is essential.

Music can be a nice touch, as long as it’s not overbearing.

If you keep music playing have a small speaker installed outside your door. This will spread your atmosphere outside and draw people in.

Chapter 2:  SALES PACKAGES

COST: NONE


Sales packages help bring up your average sale amount, helping you get the most profit out of every sale.  Sales packages are easy to create. Many businesses use them every day.

All you do is combine a few related products or services into one package that is cheaper than buying them all separately. For example a pizza shop would offer a package that would include a large pizza, an order of bread slicks, two salads, and a six pack of soft drinks for one simple price, such as $14.99. Now if you bought all the items from the menu separately it would add up to $16.75 so the customer saves money. You make a larger sale.

Most customers that would just buy a few of the items, spending less than $14.99, will go ahead and get the “special”  for its value. You should construct a different package deal for every large ticket item you sell. This way you can sell the item’s accessories immediately.

Chapter 3:   MAILING LISTS

COST: LOW/NONE Compile a mailing list of all your customers. Just leave a form by your door for customers to join your mailing list. When you have special sales or promotions youbcan mail postcard announcementsbto alert them. Postcards are much cheaper to send bulk rate than letters.

A giveaway is a great way to get an instant mailing list that consists solely of your target market.

There are also many companies that sell mailing lists for just about every demographic group you can imagine.

Whenever you complete a transaction you should ask the customer if they would like to be on your mailing list, then take down their name & address. keep forms by the register or where you complete transactions with customers.

When doing customer mailings, contact your local post office about: bulk mailing rates. They can save you a lot of money on postage.

Chapter4: PROFILE BROCHURES/CATALOGS

COST: MEDIUM / EXPENSIVE
A profile brochure is a graphic summary of your business. I am sure you have seen one of these before, if you are interested in a certain business or product line and request information, the company usually sends you a descriptive brochure.

If you have a service oriented business, a brochure describing your services is a must. It should describe all the services you offer and the benefits of using your service. Keep it short and concentrate on the positive aspects of what you do. If possible, use photographs of your office, people using your service, satisfied clients, etc.

If your business is centered around retail merchandise then you may want to do something a little different. If most of what you sell is considered a semi-major purchase ($50 or more) you may want to make a brochure describing your product line. However the manufacturer may be able to supply you with retail brochures for your customers. These usually come with space to add your business logo and phone number.

If you sell lower priced items you may consider making a catalog with your merchandise in it. You could expand your business by using mail order. Place a classified ad and offer your catalog free. People are more likely to buy from a catalog than buy directly from an ad. When they have a catalog, they have much more information to base their buying decision on.

This is also a good use for  your mailing list.

Chapter 5:  NEWSLETTERS

COST: LOW
A newsletter can be a very effective marketing tool. A newsletter should be put out at least once every two months, ideally every month. You can design it any way you want but it should act as a liaison to your clients. In it you can have news about what your company is doing, current projects, congratulations, personal anecdotes, etc. The more fun you make it the more likely it is your customers will read it. It shouldn’t be a sales pitch but a way for your customers to develop a more personal relationship with your business and the people that make it. It doesn’t have to be long, an 8 1/2 ” by 11” piece of paper should be enough. It is best to have one person in charge, and have everyone try to contribute something each time you put it out.

Include new product information and throw in some coupons “for your preferred clientele.”  Make these coupons more valuable than normal coupons available to the general public.

Send your newsletter to everyone on your mailing list.

Chapter 6: GIVEAWAYS

COST: LOW
This is a fantastic way to bring people into your business. Here is how it works: Pick an item or service that you offer and is part of your selling point. For example, JOHN DOE RECORDSwould choose THE COMPLETE MODERN JAZZ SAMPLER, a set of five compact discs which is composed of various Jazz artists. Then you hold a drawing and give it away.

The key is this; people must come to your business to enter the contest. So you make up a few hundred to a thousand entry forms, put them in your business and people can come in and fill them out. You will pick the winner on a specified date (let the contest run for a month or so).

Now you just have to tell everybody about this great giveaway This would be a perfect time to use Inserts (Chapter 12) . Advertise your giveaway with a headline such as: “WIN A FREE TEN SPEED, no purchase necessary.”

Put out flyers all around your neighborhood and in other noncompetitive businesses. Alert everyone. If the prize you are offering is substantial enough, it could get press coverage.  Write a press release describing in detail your contest and send it to every local publication.

Pick as many ways as possible to let people know about your giveaway. This should bring a flood of potential customers through your door. They will be able to see your business and if they see something they like they will become new customers.

Everyone that enters will probably tell at least one other friend so word should spread quickly. You may consider giving away a few 2nd place prizes of lesser value. This will make your contest more enticing.

If you can, get a local celebrity or radio personality to draw the winner. After you have selected a winner, send press releases again announcing who the winner is.

Set a date for the drawing and another date a few days later to present the prizes. That way, if the media wants to cover the story they can plan on being there. Have a photographer take pictures of the winner receiving the prize. Have the winner (s) sign a release form so you can use the photographs in future advertisements.

This should generate a lot more business than the cost of the giveaway and advertising. If it works well for your business make It a regular event.

If you don’t want to give away a specific item then give away a gift certificate. For example:  “WIN A $1O0 SHOPPING SPREE FROM BOB’S BOTANICAL GARDENS.” Even giving away $100 gift certificates your cost In merchandise should be less than $50. 

Chapter 7:THE YELLOW PAGES

COST: MEDIUM
As with classified advertising, the important thing to remember with the Yellow Pages is that people are looking to spend money. How often do you use the Yellow Pages? You can bet that the phone book has a much, much higher circulation, readership, and response than any other local publication.

Talk to your local phone company about placing an ad in the Yellow Pages. It is a wise investment to pay extra and have a display ad instead of just your phone number. Look at the other ads in the section of the Yellow Pages you will be listed in. When you design your ad make it completely different from your competitors. Make sure you use your logo and tell what sets you apart from your competitors.

Look at it this way it’s an entire years worth of advertising. If you break down the cost of your ad over a twelve month period, the expense Is definitely a value. You must: STAND OUT to get noticed. When Joe Public Is letting his fingers do the walking make sure you give him a reason to STOP Instead of going onto the next guy.

Chapter 8:  CO-OP ADVERTISING

COST: MEDIUM
“Co-op” advertising is a fantastic way for small businesses in the same community to save money. The way it works is simple: By jointly advertising, you split your cost in half - or some portion thereof.

For example let’s say that John Doe’s Home Repair Service is located down the street from Bob’s Pizza Parlor. Bob’s Pizza Parlor delivers on average 120 pizzas per night. On his pizza boxes he puts a flyer with coupons for pizza. So John Doe calls up Bob and says that he will pay for 25 or 30% of his flyers if he can put a small ad/coupon for his home repair service on the pizza flyer. So Bob simply removes one of his coupons and has 5 pizza coupons instead of 6 and John’s Repair Service goes in its place.

Now if Bob gets 5,000 flyers printed and it costs him $200, he now saves $60 (30%). John Doe pays only $60 and 5000 people see his ad. That is roughly a penny each.  If only four people respond to John’s ad he will probably still double his investment.

Another example: Frank Is an architect. He joins his local chamber of commerce and at one of the meetings he meets Jeff who is a general contractor. Since both Frank and Jeff could probably recommend each other on new projects they decide to split the cost and jointly advertise their services in a local paper. Their services complement each other since when remodeling or building you need both an architect to design and a contractor to do construction. By making it convenient for customers by contacting both services at once they will double their ad response and eventually enlarge their customer base.  

If you own a pizzeria you may want to seek out another non-competitive type business such as a home repair service or a retail store to pay for space on your pizza box ads.

The key here is to have businesses that are not competing with each other join forces and cut advertising cost. It’s a win/win situation. Chances are your business is located near other businesses and there are always local business associations. Just ask around.

“Co-op” advertising can be applied to all forms of media: newspapers, radio, T. V., etc. With four or five businesses going in on advertising you could buy a whole page for the price one of you would pay for 1/8th of the page.

Chapter 9: SPONSORSHIP

COST: MEDIUM
Sponsorship is an excellent way to hit specific target market groups. The most common sponsoring is for concerts. Huge corporations spend a lot, of money sponsoring tours of hit bands. Namely Beer and Soft Drink Manufacturers. Local talent usually lacks sponsorship but has potential for a diverse market.

First I will give some possible combinations:

• Young people: College students and individuals age 18 - 24 would make up a large portion of a local rock bands audience. A good sponsor could be a record store, a fashionable clothing store, a pizza parlor, a job service, a used car lot, a restaurant, etc. Any business that offers goods or services that the bulk of the audience would likely be Interested in would be an ideal sponsor.
• Concerts: Blues concerts would more likely attract a slightly older crowd.  Country music another market, and so on.

More groups to sponsor: Local theater, performance artists, choirs, dance groups, sports teams, etc.

Sponsorship comes in many forms. For a local music talent you might offer to pickup the tab for flyers for their next concert in exchange for putting your name and logo on the flyers noting that you are a sponsor. That way people who enjoy the particular group will like you because you are associated with groups and organizations they enjoy.

Little league teams need uniforms. Donate them and get your business name on the back of the uniforms or jackets. Most groups are looking for sponsors so don’t be afraid to contact them and try to work out a mutually beneficial arrangement.

Another form of sponsorship:
If you have a clothing store, contact a local nightclub and hold a fashion show there. Jointly advertise the week before. You give the nightclub an event to promote and the club’s clientele gets to see the type of clothing you sell. If they like what they see, you can be sure they will come to your store. Ask the club manager or bartenders to recommend some of the regulars at the club to model your clothes. This will probably be much cheaper than hiring professional models and the clothes will be worn by familiar faces. If their friends look good in it then they will be that much more likely to appreciate it.

A tattoo parlor in Columbus, Ohio (8 Ball Tattoo) did this by giving tattoos at local clubs and art galleries. In a few months they had done this around three times and received a great deal of local news coverage;  including a three page article (cover story) and photo spread in a leading weekly arts and entertainment. magazine. Needless to say, their business picked up considerably.

Chapter 10: CLASSIFIED ADVERTISING

COST: $5 PER MONTH AND UP
There are some very good reasons to invest in classified advertising; mainly because it’s dirt cheap. There are weekly publications that are composed centrally of classified ads. Beginning rates start around $5.

Large amounts of people buy papers for the sole purpose of looking through the classified ads. Your ad will get read by people who are interested in your product because they are looking in that particular section of the classifieds.

If you have a specific product or service you want  to give an extra push or if you sell just one type of product, classified advertising can work wonders. It’s the cheapest way to reach the entire readership of the paper you are advertising in without paying the higher display rates. The beautiful thing is that people who are looking to buy look In the classifieds. USE THEM!!!

Chapter 11: LOCAL PAPERS

COST: MEDIUM
Local papers are a great advertising tool. You, can target precise geographical areas and market groups.

You should be able to get a decent ad size ( 3x4 inches is sufficient) for under $70 a month. Prices vary depending on circulation and frequency but this is an average cost.

Take a walk around your area and pick up all the free local publications you can find. Some will be located In specific target places, so you may miss them if you don’t know where to look. Go to the same places your clientele frequents. Once you have amassed a collection of current local publications (at least 5) you can do some comparing. Call the publishers and ask them to mail you a display advertising package and rate card. Or pick an ad size and call sales representatives from each paper for a price. Take into consideration the circulation and how often a new issue is published.

If you operate a retail business or service, your budget for local newspaper advertising (including classified advertising) should he at least 25% of your marketing budget.

This form of advertising is great because lots of people (probably thousands) will see your ad on a regular basis. This is most important to good marketing - YOU MUST ALWAYS BE IN THE PUBLIC EYE.

Your advertising will be cheaper the more times you run your ad. You can contract to run your ad in three Issues and get a better rate, as much as 20% less than just one issue.

If you read the papers regularly, you will see that some businesses advertise in every issue. Check out these businesses.  Are they doing well? Probably.

One important reason to advertise on a regular basis is that a potential customer usually does not respond to an advertisement until they see it six to seven times. After someone sees an advertisement that many times, they become familiar with it and more comfortable.

If you, are only going to advertise once don’t waste your money. You might as well throw it away. Advertising is a process that takes time, but the investment will pay off.

REMEMBER:

• Make your ads short, use artwork, offer an incentive, gauge your response.
• Coupons make a good ad.
• If you’re not artistic, hire a local artist or designer to help create your ad. There’s no point in running an ad that is boring, messy, or unprofessional in any way.

LOOK GOOD AND STAND OUT

Chapter 12: INSERTS

COST: LOW
This third way to use local publications is an excellent and mostly untapped marketing resource.

Large supermarkets use this form of marketing constantly: you buy a newspaper and open it up and out falls a pile of supermarket advertisements.

Small business can use this same method. Many smaller publications offer this service at just pennies per insert, you just deliver them the printed materials. This is great to promote special offers and sales.  You can print up your ads on brightly colored paper and they will really jump out from the bland newsprint.

Most papers will let you pick a certain geographical area to target so you can hit just where you want.

When you get your inserts printed, get another business in your immediate area to do a co-op ad with you and cut costs.

Having thousands of flyers printed doesn’t get business, get them circulated to the pubic. Using them as inserts is an easy way to do this.

Chapter 13: ADVERTISING SPECIALTIES

COST: LOW / MEDIUM
Advertising specialties include a wide variety of products. There are probably at least 20 specialty advertising companies in the Yellow Pages of every mid-sized city. These companies take your logo or whatever you want and print it on a multitude of items for you to give away or sell. Some of the products commonly offered are:

Bags, balloons, banks, buttons, bumper slickers, calculators, candy, calendars, caps, clocks, decals, highlighters, key chains, lapel pins, lighters, matches, mugs, magnets, pens, pencils, plaques, rulers, shirts, visors, etc., etc., etc.

Most of these items can be purchased at very low prices (10 to 25 cents each).  There is almost always a minimum order of at least 100 pieces. The more you buy cheaper each piece is.

This is a great way to promote your business. By imprinting your logo and some fun message on something your customers can use every day, all the people that see this item are reminded of you over and over.

ONE BIG MISTAKE people often make with specialty advertising is putting some very boring imprint on their products. Your message should add life to the item it is printed on, not the other way around.

Let’s say your selling musical Instruments; guitars are a good item to demonstrate with. To get guitar picks with your logo and phone number on them probably costs only a few cents each. Whenever you sell a guitar or a set of guitar strings, throw a couple of your picks into the bag. Then when Bob is somewhere playing his new guitar and his buddy says: “Hey Bob, where did you get that cool guitar?” Bob says: “Well Frank, I got it at Sam’s Guitar Store and here’s a pick with their number on it.”

These specially items become FUNCTIONAL BUSINESS CARDS and they work great!

• Sell candles? Give away matches.
• Baseball glows? A baseball hat free with any purchase of a ball and glove.
• Bicycles? Water bottles.
• Toys? candy balloons.
• Include them with all giveaways.

Chapter 14: PROMOTIONS

COST: LOW / MEDIUM
Promotions are a great way of generating high sales. A promotion can take on many forms. The basic idea behind a promotion is that a business offers something special, an incentive to customers to push the sales of a particular product.

You can do this in many ways, one of which was discussed in the introduction (Marketing Plan) which involved bringing a well-known entertainer to a music store, much like you would have an author come to a book store to autograph their book.

A promotion does not, have to involve a celebrity, it just needs to appeal to the public.  For example: a clothing store that offered a free top with the purchase of pants and shoes would be in effect, having a promotion.

A promotion should concentrate on one item that you want to sell in large quantifies. Say you decide to stock twice the amount of picnic tables in the month of April, you could buy a larger amount from the manufacturer for a lower price than usual.

Now you can have a picnic table promotion: give away a rack of ribs with every purchase so people can go barbecue and eat on their new picnic table. A good headline for your promotion would be “Buy a new picnic table and your family eats FREE !”

There is no point in having a promotion unless you are going to do it right. If you only do it half­way you will have only a fraction of the response.

A good promotion should be planned out at minimum two weeks in advance (preferably one month). You need to coordinate all your marketing to push your promotion. For example your regular newspaper/magazine advertising should be temporarily altered to alert, the public to the promotion. Special flyers should be printed and circulated. In short all marketing, including in-store displays, bag stuffers, etc. should be aimed toward the promotion. If you start your advertising a couple of weeks before the promotion starts, the public will be anticipating its arrival.

Promotions can make very high volume sales, if you’ve got an item that you are selling and it is doing well (a lot of people like it) then it can be a perfect item to promote.

Promotions can also help empty your inventory of a slow moving product. Offer it with a large discount and get rid of it. If its taking up space and it’s not selling then its costing you money. Have a discontinued merchandise sale: Get them while they last!

Chapter 15: RADIO

COST: CHEAP / EXPENSIVE
In this chapter we will deal with three types of radio advertising with three different price ranges:

FM Giveaways
AM Radio
FM Blurbs

FM Giveaways
The great thing about FM radio is that there are so many stations all competing for the largest audience share. One major way stations try to get more people to listen is by giving away prizes. Now guess where these prizes come from? Local businesses.

What you have to do is come up with an enticing product or package that your business offers. Contact the promotion director of the radio station your customers are most likely to listen to. Tell them you want to give the radio station these products or services to use as prizes for their giveaways.

Most radio shows have contests every morning. Morning shows are usually the most listened to slots. When the radio show has their contest they will say: “Today’s prize is a complete home dart board set from Bobs Sporting Goods Store, located downtown on Main Street.”

You should pick a prize that won’t cost you too much. Find out how much a 10-15 second spot costs on the morning show and pick something that has a retail value of about half that. Your cost should end up being 25% of the ad cost. What a deal!!!

Some radio shows will want a prize for every day of one week. If you want to give away one large prize, for instance a computer, which is costing you $500, then you could have them give away a chance to win. They would give away two chances every day. This could be in the form of a lottery ticket, numbered one through ten, and at the end of the week they draw the winner on the air. Radio stations like this because one big prize is more appealing then five smaller ones. This will make people try all week and listen on the last day of the week for the big winner.

If your prize is valuable enough (a vacation for two, a motorcycle, etc.) they may extend it to two or three weeks. Work it out so that you are getting at least three times the value of the prize in advertising.

AM Radio
The benefit of AM radio is that people listen to it for information, while much of FM radio Is just background music. There are probably only a few popular AM stations in your area. If you don’t know who they are, ask your customers.

If your customers listen to AM radio you’re in luck. Advertising is dirt cheap; contact the station for rates. You’ll be surprised at how much less costly it is compared to FM. The station should be able to help you put your spot together, or you can contact a local recording studio. Call around because while some studios are very expensive, quite a few of their costs reflect what they offer musical recording artists and is basically unnecessary for radio.

FM Blurbs
One record store I remember had great five second commercials that just had funny sounding voices singing “Waxworks Records, Waxworks Records. Waxworks Records in downtown St. Louis.” This might not sound like much but since it was only five seconds long it cost next to nothing and it ran constantly, probably twelve times a day. This only costed as much as two thirty second commercials but was ten times more effective because it seemed like every time you turned the radio on you heard “WaxWorks Records, WaxWorks Records.” Everybody recognized WaxWorks Records. Brilliant Marketing!!

These short spots are sometimes referred to as blurbs. They are very effective, cost less to produce, and cost less to run. They are the best way to go in radio.

Chapter 16: TELEVISION

COST: VARIABLE
While television commercials are the most expensive form of advertising there are inexpensive options. One of them, commonly referred to as “TV Billboards”, is actually a series of five second spots on a local station. These are normally sold In a package of ten to twenty-five inserts over a weeks time. Call your loyal stations to find out what kind of rates are available.

If your customers are night owls you are in luck. After midnight commercial air time drastically drops in price. One local station I contacted offered 5 second spots from midnight to five AM for only $15 each when you buy twenty or so. This is about 20% the cost of a prime time spot of the some length.

When I was researching information for this chapter I spoke to sales representatives from local television stations. One told me a success story using five second commercials. The client was The Columbus Bar Association. They started out running five second spots and business picked up so much that in no time at all they were running 30 second spots. The Bar Association grew to have the largest amount of referrals in the United Stales. They attributed this success to 5 second commercials.

If you do elect to use television advertising, use the shortest time slot available. The 5 and 10 second commercials are very effective especially when used in conjunction with one or two 30 second commercials. Have a full length (30 second) commercial produced as well as an edited version (down to 5-10 seconds). The station should be able to recommend someone to produce it for you.

CO-OP MONEY

FREE ADVERTISING $$$!
You may be able to receive money to use for television and radio advertising from manufacturers. This is most commonly referred to as “Co-op” money. If you sell goods that you purchase from a manufacturer, and that manufacturer offers this type of support, you may be qualified for co-op money. By law, manufacturers must give smaller businesses a portion of the money they make available to their distributors. Large department stores receive huge sums of co-op money to spend on advertising every year. This form of vendor support is very common. Most grant money is given based on a business plan that outlines the marketing goals of your business. Contact the companies you buy from to see what they can offer you and what you require to qualify.

APPENDICES:  Marketing Plans

APPENDIX A:

Restaurant / Food Services

• Announce daily specials in your phone greeting.
• Have servers suggest appetizers, drinks and dessert.
• Include coupons and new menu items on carry out bags and doggie bags. These can also be distributed along with menus to all the businesses in the area. People are always looking for somewhere new to eat lunch.
• Use signs inside and out showing daily specials or special menu items.
• Expand the decor of your restaurant to add to the total experience. If you have a bar area put in video games, a juke box, televise sporting events, or invite small music groups during dinner. One very popular restaurant in Columbus has a flute player and cellist perform during dinner in add ambiance. A macrobiotic cafe in Detroit has a solo acoustic guitar player perform for lunch.
• If you have a family-oriented restaurant, give away balloons with your logo on them. Kids love balloons. See advertising specialties.)
• Offer “dinner for two” specials, group dinners, etc. on your menu.
• Have your customers sign up for your mailing list to receive monthly coupons.
• Hold drawings for free lunches and dinners. Leave a fish bowl for people to drop their business cards into for the drawing.
• Promote business lunches. Offer incentives such as reserved tables, service from the head waiter, or having the head chef come and cheek on the guest. Put this information in a brochure far local businesses. When they want to impress a client they will know where to take them in your Yellow Pages ad, mention your best and most unique dishes.
• Co-Op advertise with local retailers: “Come down to the Main Street Cafe, have lunch and shop at Barbara’s Fashions. Mikes Antiques etc.”
• Sponsor local theater and musical entertainers. Invite them in a free dinner after their performances.
• Advertise your specials in local entertainment publications.
• Use coupons/flyers as inserts in a 2-3 mile radius of your location.
• Have after dinner mints and matchbooks with your restaurant name printed on them.
• Give away dinners for contest winners on a local radio station.
• Have eye-catching artwork on your menu. The price of short-run full color reproductions has come down drastically with the introduction of color laser copiers. A full color menu can add much to the ambiance.
• Print placemats that can he colored with crayons to keep the kids busy while waiting for their food.
• On your customer’s birthday give them a free birthday cake with candles and have your servers singing happy birthday. If it’s their twenty-first birthday, give them a free cocktail or bottle of wine. Just put a sign in your lobby that says “Let us know if it’s your birthday!”
• Make your customers feel special.
• All servers should wear similar outfits (if not uniforms). Everyone should wear name tags at all times, and smile at all times. The first thing servers should do when seating a customer is to introduce themselves. This is a golden rule.

APPENDIX B:

Bars / Nightclubs

• Announce drink specials in your phone greeting, announce specials and upcoming events on your answering machine, and use your number as a hotline for weekly events.
• Have servers and bartenders suggest mixed drinks and pitchers, etc.
• Have a sign at your enhance announcing drink specials and upcoming events.
• Make an area for video games, bar type games, juke boxes, pool tables, televised sporting events, a karaoke machine.
• Bring in live music, have local clothing stores hold a fashion show in your club.
• Giveaways are a little different when dealing with bars and night clubs. The best thing to do is give away a round of drinks to your regulars every once and a while. In a bar, your regulars are a large part of your business and probably bring in more customers than you would expect. Treating them special will have definite positive effects.
• Co-op advertise with local clothing stores and eating establishments that your clientele frequent.
• Advertising in local entertainment publications and on radio stations is the best avenue for bars and night clubs.
• Announce your weekly agenda, what kind of music you will have on a specific night, what D.J. will be playing bands, drink specials (most states do not allow prices to be advertised)
• Bring in guest D.J.’s from neighboring cities.
• Get key chains for your regulars for free admission or just to give away.
• The best thing to do is promote special promotions for different nights. Here are a few examples:
  • Ladies night - Ladies get in free and get special drink prices until midnight.
  • Men’s night - No cover charge, have a female revue. Waitresses in bikini’s.
  • Mug night - Bring in your own mug (up to a certain size, say 32 oz, ) and fill it with draft beer for a special price.
  • Theme nights - Pick a wacky movie and have people who dress up as a character from the movie get in free. Play parts of the soundtrack throughout the night.
  • Two for one night - Make drinks Buy one, Get one free up to a certain time. This can help pick up business on a slower night.
  • All you can drink - Beer and well drinks for one admission price.
  • Mexican night - All Tequila drinks at a special price.
  • Import night - Specials on imported beers.
  • Reggae night, Latino night, etc.
• If you have a nightclub you could use your walls for gallery space, have a monthly opening with different local artists, have an opening reception a few hours before you normally open.
• This way your decor is always fresh and interesting.

APPENDIX C:

IN-HOME SERVICE-HOME REPAIR-LANDSCAPING

• Use your vehicle as a rolling billboard. You can have your vehicle painted or use magnetic signs to display your services, logo, and phone number. This is especially effective when parked in neighborhoods you’re working in. All the neighbors see your name and number.
• Classified advertising can be very effective for this type of business.
• One of the most effective ways to market this business is by going door to door and dropping off door-hangers or flyers. Offer a coupon and list your services on the flyer. If possible use pictures of successful projects you have completed. Customer testimonials are also very effective. For instance “Johns repair service fixed my leaky gutters in no time at all and the price was right.” - Bob M. neighborhood resident.  This way you can hit the specific neighborhoods you want to work in.
• Find a pizza or other food delivery service in the area you want to work in. See if you can do some co-op advertising with them.
• Every home you do work for should go on your mailing list. Every month you can offer a special and send out postcards notifying your past customers. You can also buy mailing lists for specific zip codes.
• Inserts are also good for reaching certain areas.
• Mention your specialty in your Yellow Pages ad.

APPENDIX D:

RETAIL MERCHANDISE - CLOTHING - GIFTS

• Announce sales in phone greeting.
• Suggest accessories
• Compile a mailing list by having a giveaway. Mail out monthly announcements of sales, etc.
• Change indoor signage and displays regularly.
• Mention what makes you unique in your advertising, including the Yellow Pages.
• Co-op advertise with other retailers in your immediate area. If you get enough people involved you can purchase an entire page in a weekly paper and promote the area you’re in.  For example, the ad headline could read: “Great Shopping at Fifth and Main” and then divide up the rest of the space to give each participating business section.
• Sponsorship works well with retail business. The important thing is to sponsor events that appeal to your customers.
• Classified ads can work well for specialty items. Classifieds are ideal for clearance merchandise. Offer gift certificates through other non­competitive businesses. If you are close to a florist, make them available to the floral customers. If someone is getting flowers for a friend, have them offer a package that includes a gift certificate for your store. The florist will make money by purchasing the gift certificates from you at a discount.

Copyright 1994