Think Effective Not Cheap

There is a fundamental truth that business owners should embrace - "don't spend money unless you know exactly what outcome you want to achieve".

Neither time nor money should be invested to promote your offering without a planned set of objectives, a thorough assessment of risk factors and a focused outcome.

Unfortunately, too many business owners sidestep the strategic process and go straight to the "cheapest" ways to promote their business. And, although there are a number of inexpensive promotional opportunities available to entrepreneurs, an effective strategy cannot be based solely on the "cheapest" deal.

The key word in every marketing strategy should be "effective". The investment should be justified by the desired outcome. Whether the goal is to increase sales, launch new product lines or build brand awareness, take the time to develop a monthly and yearly marketing plan and stick by it. Furthermore, you should conduct adequate market research and establish a realistic budget prior to spending those valuable dollars. If you are unsure of where to start or overwhelmed by the process, invest in the services of a marketing advisor to assist you.

"You need to seriously evaluate your marketing strategy," says Dan Otrosina, president of Sentauris Solutions Inc. "You should identify your typical customer and their common demographic characteristics, such as age, marital status, gender, profession, owners or renters, where they live and other types of products and services they might want."

A key element in market research is to carefully examine the advertising and promotional activities of your most successful competitors. Is there any difference between you and them? Is there some avenue of advertising or promotion that they use but in which you do not participate? If so, why?

Search through your industry's publications, as well as, newspapers, flyers, direct mail, and don't forget the Internet. Make note of the services you offer that cannot be found with the competitor. What makes your product stand out from the crowd as far as value? Similarly, do you provide additional services or products for which competitors normally charge more? This information should provide you with volumes of suggestions about where your advertising dollars should be going.

In conclusion, plan your promotional strategy for short and long-term results. You'll be surprised at how much more you will achieve from your investment.

Dan Otrosina is the president of Sentauris Solutions Inc., which provides information technology solutions to growing businesses in the Greater Toronto Area. For more information on their services, please visit: www.sentauris.com.

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