Identifying your business is likely the most important and most overlooked aspect of building a successful advertising campaign. Sure, you may already know that you’re a plumber or a dentist, but what kind of business are you trying to run? It is important for you to take an honest look at your business so you can create a realistic and effective image. The clearer the picture you paint of your business, the easier it will be for you to identify and attract your ideal customers and clients.
Determining Quality versus Quantity The first and simplest way to break down your business is by quality and quantity. Does your business plan involve being profitable by conducting a high volume of business, or are your margins going to be bigger because you are delivering a high-quality p roduct or service? Each of these styles is to be respected, and both have their pluses and minuses. However, the one consistent factor they share is that either type of business can benefit from effective advertising. If your business is to be known for its quality, it is expected that you may not have the lowest prices in town. It may limit the c ustomer pool you are drawing from, but it will generally allow you to make more profit per transaction. Of course there is a c eiling to your prices, but your customers expect to receive the best product or service available. If your business is to be known for low prices, your customer base will likely be wider and willing to give up some quality for a better price. Although you may have a lower profit margin per transaction, you can make it up through volume of business. Remember, though, even with a discount product or service, your customers will expect some level of quality—especially if you want their continued business. It is important for you to figure out which of these two categories your business falls into so that your advertisements can bring you the kind of clients you are looking for. Many people try to market their business as having the best product or service at the lowest prices. As a business owner, you know that accomplishing something like that is virtually impossible, and most consumers understand that as well. No one goes into a Mercedes dealership expecting to find Hyundai prices. At the same time, no one purchases a Kia expecting it to handle like a BMW. This is not to say that your business is restricted to quality or quantity; rather, it is to get you on track for an effective marketing strategy. Sometimes, different revenue streams within your business may have different types of profitability. As an auto mechanic, you may do dozens of brake jobs per day at a lower margin, but you make more money per job repairing diesel engines. Knowing the differing profit types within your business can help you market them independently. This same mechanic would likely benefit from a highly circulated coupon for brakes. He could then also run a specialized technical ad about diesel repair in a local business-to-business publication. When a business is concerned with volume and bringing in a high number of sales, price is usually the best feature for your a dvertising to target. Regardless of the mediums in which you choose to advertise, you can stick with statements such as “Lowest Prices in Town” or “We’ll Beat Any Competitor’s Price.” Stay away from featuring quality, or else you might scare away the budget-minded buyer while likely not delivering for the people truly seeking quality. If your business is concerned with quality, the opposite is true. Feature the quality of your product, your reputation, and any other aspect of your company that makes you better than your competition. Although offers to get people in the door are okay, stay away from making price the focal point of your ads. (Taken from Mark Hoxie Book)