Shoestring Marketing:Where to Save and Where Not
Time to save money on your
marketing? How can you do that and still get effective results?
First, avoid five big mistakes that many make. Then use the
nine techniques waiting for you below.
Not
In your attempt to save costs don't cut in these areas:
Value
Never try to save money by cutting the value of your product to
your customer. If you reduce value they will expect a
corresponding price reduction at the very least.
Quality
Never sacrifice quality to save money. Be clear on what quality
means to your customers. The best definition of quality is
'meeting expectations'. Your customers got quality if they got
what they expected. Quality is neither about price nor cost.
Saturn, Toyota and Rolls Royce are all quality cars.
Speed
Never try to save money by making your customers wait longer.
They will never have more time.
Cheapest deal
Going cheap is not a good way to save money. Cheap looks and
feels cheap. Don't send your marketing messages that feel
cheap. Instead pick your marketing channels and hunt for the
best deal - not the cheapest. There is no point in printing
your business cards on the cheapest paper.
Core benefit
Never trim from the core benefit of your product in your
attempt to save money. Whatever the main reason they buy your
product - don't you dare reduce that. That is like cutting
bone.
How to Save
You can use these methods to help you save money on your
marketing:
Barter
The oldest form of commerce - trade food for animal hides. You
can try two approaches to barter. You can trade directly with
your supplier or customer. For example you might trade some of
your product with a publisher for ad space in their
publication. The drawback to this form of barter is that you
both must want and need what the other has. You might barter
the whole amount or have a mixed deal of cash and barter.
Another form of barter is through one of the many barter
companies. They form a relationship with many companies. Any
one of the barter group can buy your product with their barter
dollars. You can then spend those barter dollars with some
other member of the barter group to buy what you need.
Co-op
If you are part of a larger group such as a franchise you can
get advertising subsidy from your franchiser to help you
promote their name and your business. Grocery stores and
bookstores also use this technique to get money from their
suppliers to allocate premium shelf space to those who pay for
it. If you sell or distribute for a manufacturer you might be
able to arrange co-op support from them.
Ask customers
This is so simple that many overlook it. Ask your customers
what they've noticed that you could eliminate that has no
significant value to them. For example I noticed my local bank
renovating the branch every few years. That added zero value to
me. I wish they would stop it.
Buy when others are not
Buy your marketing services when demand is low. Most printers
are very slow in July and August. If you offer to buy at that
time you might get a lower price, faster service or even more
value.
A company president was planning a national conference in a
prime location. He asked a big hotel, "When is your slowest
week of the year?" He then offered to book that week for his
conference and asked for a deal. He got it and they got the
business.
Partner
Share a promotion with another company that also markets to
your customers. You can split the costs of your promotion. You
can offer to promote their product at your business while they
do the same for you. You can offer your product as a prize in
their contest promotion. You might trade referrals or give
testimonials for each other.
Work with a charity
You could donate time, product or resources to a charity. They
might recognize you in their signage, printed material or with
a nice letter. When you work with a charity you benefit from
the goodwill you create among your customers and the community.
You might also get some free media coverage in the process.
Negotiate
You can get more from your marketing if you just negotiate with
your suppliers and customers. Negotiation is a skill not a
talent so it can be learned and honed. Read a few good books
and take a course on negotiation to become a superior
negotiator. You will learn the different gambits, styles and
strategies of negotiating.
Be creative
Look for unusual promotions in other industries and find a way
to make it work for you. Being creative does not mean being
original. Borrow ideas from around you. The best way to get
creative ideas about your business is to talk to people who
know nothing about your business. For how to generate more
creative ideas try using SCAMPER as described in "Secrets of
Power Marketing" and at www.Torok.com/
Offer something more important than money
You might save on your marketing by offering your suppliers and
customers something that they value more than money. What could
that be? Depending on their situation it could be using your
name as a reference, access to information, exposure to new
markets, referrals, new technology, time to relax, etc..
Spend carefully and be creative in stretching your shoestring
marketing budget.
George Torok brings practical insights to business. He is
co-author of Secrets of Power Marketing, the first guide to
personal marketing for the non-marketer. As host of Business in
Motion he has interviewed over 400 business leaders. He is
available to deliver keynote speeches and business seminars.
Contact him at 905-355-1997 or info@torok.com
© 2000-08 George Torok All Rights Reserved
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