“Focus on a really small market” or as we say "a targeted-niche market" doesn’t seem like the world’s best business advice to promote your business locally; surely the more people you can sell to the better? But surprisingly, it’s a hugely beneficial strategy – and one that can help bring you legions of loyal, loving customers.
There are two very important measuring sticks to hold onto and utilize when evaluating your marketing goals and where to spend your hard-earned money.
RULE #1 - How Much Is Just Right?
Marketing experts and agencies often recommend that small businesses spend on average about 7.5 percent of their gross revenue on marketing.
What does that mean in actual numbers? Take a look at this table and you can get an idea of how much should be devoted to marketing efforts for your business. This formula helps define an effective way to monitor and adjust your monthly spend with the best advertising and best branding magazine in local St. Louis.
Gross Revenue per Month
Marketing Investment per Month
$225 - 375
$450 - 750
$11,000 - 15,000
$825 - 1,125
$16,000 - 20,000
$1,200 - 1500
$21,000 - 30,000
$1,575 - 2250
$31,000 - 40,000
$2325 - 3000
RULE #2 - The 60/40 Rule
The optimal balance of brand and demand is a 60/40 split - 60% branding, 40% direct response, in both digital and traditional print marketing like at Clayton Parish Neighbors magazine. That’s how you get optimal impact – pricing power, awareness, sales.
If your ratio is skewed too much one way or the other, you’re going to get suboptimal results. If you aren’t actively engaged in branding, then how do you show potential customers who you are and what you stand for? Too many businesses focus on lead generation as a goal in and of itself, however, it’s only a means to an end. You may have generated plenty of leads, but without brand equity, there’s no motivation for those leads to convert to sales. On the other hand, if you just have brand marketing without lead generation, you can’t move potential customers through the sales funnel. They may know your brand, but they’re not actually connected with your business. You can’t drive sales if there are no leads to convert. FInal Comments
1. Think about becoming a niche brand because your audience will get to know you, and you’ll become an essential part of something that makes their lives better.
2. When marketing in print media, increasing the timeline of your repeated exposures (18 months or greater), you can dramatically improve your brand favorability, consumer purchase intent, print ad awareness and brand awareness. (Insight Express, 2014)
3. Focusing on strategic, community partnerships that deliver a consistent message to families with spending power and loyalty to those businesses that support their faith will build your Brand.
For over 25 years, Chris Heeb has served the St. Louis area as a local business owner who deeply cares about the community, promoting locally the businesses that support his mission, and his Catholic faith.
As Publisher of Clayton Parish Neighbors, he is devoted with a joyful spirit to inspire more families to rediscover their faith and to share their journey with friends and others in their neighborhoods.
Aside from his publishing duties, he is involved in various activities at Little Flower Catholic Church, enjoys time with his wife and children, and loves to cook for family and friends.