Are you uncertain about the need to invest in advertising as a small business? Can word-of-mouth marketing suffice on its own? Regrettably, it cannot.
If you want to enjoy sustainable growth in today’s world, you need to advertise. While you don’t need to spend billions like Walmart and Amazon, the U.S. Small Business Administration recommends setting aside 8% of your gross revenue for advertising.
What are the most effective methods for advertising at the local level?
Advertising tips for small business
1. Target the right audience
To maximize your budget and spend your ad dollars efficiently, one of the most effective approaches is to guarantee that your business’s target audience is being reached. In order to achieve this, the initial step is to create a profile for your target customer.
You have the option to conduct a survey among your current customers or utilize demographic information you have already collected about your audience, which includes details provided during mailing list sign-ups. Once you have obtained a demographic profile of your intended customer, select advertising platforms that align with the characteristics of your audience and your geographical location.
2. Advertise where your audience is
Once you have identified your target market, conduct research on the different advertising platforms to ensure that your advertisement effectively reaches your intended customers.
If your target consumer is under 21 years old, Snapchat mobile advertising could be a suitable option. If you are thinking of choosing print, broadcast, or outdoor advertising, make sure to ask for a media kit before purchasing ad space to ensure that the demographics align with your target audience.
3. Track and measure success
It is crucial to assess the effectiveness of your advertising campaign in order to make well-informed choices regarding future advertising decisions.
Digital advertisements provide the convenience of measuring the effectiveness of your endeavors; both social and PPC ad platforms offer comprehensive reports on your expenditure, budget utilization, the most effective advertising content, and the demographics of the audience interacting with your ads.
You can determine the number of people who click on your digital ads and the percentage of those people who make a purchase or perform another desired action on your business website. It is crucial to ensure that your hosted content is supported by a CDN to guarantee faster delivery of your content when people make a purchase.
When using broadcast and outdoor advertising, it may be challenging to assess effectiveness. To address this, you can employ a distinct URL, email address, or phone number in these ads to gauge the level of interest they generate. Similarly, incorporating an offer code on your website that allows for discounts can be helpful. By assigning a distinct code for each ad, you will be able to compare the effectiveness of all your advertisements.
4. Get the timing right
If you do not possess sufficient funds to advertise consistently throughout the year, it is advisable to execute your advertising campaigns during the most optimal periods of the year. Analyze the income generated by your business and determine the periods when it is the busiest. For instance, if you operate a retail business, your peak season might coincide with the December holidays.
If you own a landscaping business, you are likely to be busiest in spring and summer. By advertising during these seasons when customers are most inclined to purchase your products and services, you can enhance your return on investment.
5. Try remarketing strategies
Remarketing is a relevant strategy in various types of digital advertising which focuses on directing your ads towards individuals who have previously visited your website but have yet to become paying customers.
By thinking sequentially, you can develop customized advertisements that effectively interact with these users by utilizing their previous website browsing. Consequently, these advertisements will become more pertinent to the individual, and by incorporating captivating messaging or offering discounts, there is a potential to persuade them into taking action.
Effective local advertising ideas for your small business
6. Advertise with a vehicle wrap
Vehicle wraps, which we have all witnessed, are cars adorned with attention-grabbing advertisements on their outer surface. These wraps are viewed by a range of 30,000 to 80,000 individuals each day, making them the advertising method with the most impressions achieved per dollar spent.
If your car is parked in a visible area, car wraps are constantly working, 24 hours a day, making them a perfect choice for small businesses aiming to make the most of their budget. Alternatively, if you prefer to protect your own vehicle, Wrapify provides an option where you can compensate individuals to drive around with your advertisement.
If you are still unsure about the effectiveness of vehicle wraps, simply observe the major brands that have embraced them. Notable companies such as Coca-Cola, Lays, and Mountain Dew have incorporated vehicle wrap advertising into their marketing strategies.
7. Post flyers in high-traffic community hubs
Promoting your company can be achieved easily and inexpensively by distributing flyers. All you need to do is create a brochure, make copies, and obtain permission to display them in various locations around town. Many establishments such as libraries, coffee shops, community centers, and grocery stores are usually open to hosting your flyers, which will effectively capture the attention of numerous individuals within your local community.
By following this strategy, many small businesses such as cleaners or dog-walkers have successfully cultivated a flourishing clientele.
8. Cross-promote with other businesses
While you are distributing flyers, you can also form collaborative relationships with other nearby businesses in order to promote each other and collectively:
- Share a booth at a local trade show.
- Sponsor a local charity.
- Create special promotions for each others’ customer base.
- Link to each other’s websites for greater website promotion.
When you enter into a partnership with a business in your town, both parties are able to reach each others’ audience and effectively share the advertising expenses. This mutually beneficial arrangement has proven successful for various noteworthy collaborations such as Uber and Spotify as well as Pokemon Go and Starbucks.
9. Offer a referral program
To gain word-of-mouth, the most influential and trusted form of marketing, the quickest method is to implement an incentivized referral program. Request referrals from your satisfied customers and reward them with valuable incentives.
The referral program implemented by 24 Hour Fitness has been highly successful, just like Tesla has also adopted this strategy, by granting discounted membership fees to its gym members who refer a friend, and offering the referred friend a complimentary week trial.
Obtain recognition and accolades within your specific field.
– Gain more credibility and status through business awards and can display digital badges on their website’s homepage. – Experience higher revenues as indicated by a study from the British Quality Foundation, which focused on American small businesses with awards.
- Enjoyed an increase of 63% in their operating income.
- Saw a 39% growth in their sales.
To begin your research process on awards, here are a few resources that could help you. Awards may vary from local to national, and it is also worth considering the awards received by your competitors in order to aim for a higher achievement.
- Fundera’s list of 28 of the Best Small Business Awards
- U. S. Small Business Administration’s list
- The American Business Awards
10. Get involved with a charity
Sponsoring a 5k race for cancer or a charity banquet is an effective strategy to enhance brand visibility and improve the reputation of your company. By displaying your company’s name at these events, attendees will develop positive connections with your brand, potentially resulting in online brand promotion.
According to a recent study, it was discovered that:
- 78% of Americans believe businesses should seriously consider their societal impact.
- 77% of people are more emotionally connected to “purpose-driven” companies.
- 66% of Americans would switch to a purpose-driven company over one that they usually buy from.
- 68% of Americans enjoy sharing content from purpose-driven companies on their social media.
After obtaining a sponsorship for a charity, you can take an additional measure by distributing merchandise adorned with your brand, such as t-shirts, hats, or reusable water bottles. This will broaden your brand’s visibility beyond the event.
Amazon’s extensive charity initiative has provided assistance to food banks, supported STEM education, and aided children battling diseases. Through these philanthropic endeavors, Amazon demonstrates its commitment to creating a significant societal impact as a company.
11. Host your own event
If you want to have more creative control over the events, hosting your own is a great strategy. Some event ideas include, but are not limited to, sponsoring charities.
- A themed party
- A formal networking dinner
- A new product demo display
- A musical performance
- An art exhibit
To entice your target market, prioritize planning a captivating event. Select a venue that will draw a large crowd. Utilize social media invitations and distribute flyers throughout the town to generate excitement. Motivate attendees to share their event photos online and to tag your business in them.
Revolve, a renowned clothing company, regularly organizes exclusive events for influencers, including extravagant parties during Coachella and luxurious yacht vacations. Although your events don’t need to be as extravagant as theirs, it’s worth drawing inspiration from Revolve’s success, as their events have played a significant role in their skyrocketing success.
12. Advertise in the local newspaper
Not only is your local newspaper a great option for press releases, but it also provides opportunities for advertising. Readers consider newspapers to be reliable sources of information and advertising in them is a cost-effective solution. By choosing to advertise in your local newspaper, you can effectively reach the local customer base.
Newspaper ad placement is highly valuable for local service companies including construction companies, painters, gardeners, and others.
13. Out-of-home advertising
Out-of-home or outdoor advertising encompasses all forms of advertising that target individuals while they are not within their residences. This encompasses various forms of advertisement including billboard ads, digital signs, transit ads (such as ads on bus shelters, trains, subway stops, etc.), street furniture ads, and sports venue ads. It is important to ensure that out-of-home advertising aligns with your advertising budget as it can be considerably costly.
14. Broadcast advertising
Broadcast advertising refers to the use of media outlets such as television and radio to reach a large audience. Though broadcast advertising, particularly television advertisements, can be expensive for small businesses, the cost may be more manageable if there are local TV and radio stations in close proximity to your business. Additionally, the audience reached through these means could be highly relevant to your local business.
The price of broadcast advertisements is influenced by several factors, such as the duration of the ads (the longer the TV and radio ads, the higher the cost of airing them), the frequency of their appearance, and the timing of their airing during the day. Additionally, it is important to consider the expenses associated with creating the ads, as professional TV advertisements can be considerably costly to produce.
15. Mobile advertising
Mobile advertising encompasses serving ads exclusively on mobile devices, such as smartphones and tablets. This form of digital advertising incorporates a range of possibilities, including:
- Mobile display ads
- Mobile search ads
- Mobile videos
- Mobile app ads, which are meant to drive downloads of a brand’s app
- Social media ads served on mobile devices only
It can be beneficial for your small business to have a mobile advertising strategy, as the majority (84%) of customers under 30 years old prefer to shop online using a mobile device.
