Recession Marketing


Published on

Presentation prepared to assist small business owners in the Downtown Momence, Illinois Historic District to devise a low-cost marketing strategy in a challenging economic environment.

Published in: Business, News & Politics
  • Be the first to comment

No Downloads
Total views
On SlideShare
From Embeds
Number of Embeds
Embeds 0
No embeds

No notes for slide

Recession Marketing

  1. 1. Recession Marketing Stretching Your Promotional Pennies in an Economic Downturn By Lisa M. Wogan Upper Crossing Communications
  2. 2. Highlights …  Marketing vs. Advertising  Marketing Elements  Strategy, Analysis & Plan  Promotion Types & Local Opportunities  Internet/E-mail/Social Media
  3. 3. Presenter Background  MSM Board President/ 10-year volunteer  Independent Mktg. Contractor  Marcom Coordinator – Economic Alliance of Kankakee County  10 years in publishing  B.A. English
  4. 4. What is Marketing? The process by which companies determine what products or services may be of interest to customers, and the strategy to use in sales, communications and business development. -Principles of Marketing
  5. 5. What is Advertising? The activity of attracting public attention to a product or business, as by paid announcements in the print, broadcast, or electronic media. - The American Heritage Dictionary
  6. 6. Marketing Hierarchy Business Plan Marketing Strategy Annual/Monthly Promotion Plan Advertising
  7. 7. Pelé says: "Success is no accident. It is hard work, perseverance, learning, studying, sacrifice and most of all, love of what you are doing or learning to do."
  8. 8. Marketing Elements  Product Selection  Price Point  Operations (hours, policies, etc)  Building/Storefront Condition  Reputation  Employee Conduct/Grooming  Customer Service  Displays  Visual Materials, inc. logos, brochures, business cards, menus  Promotional Activities
  9. 9. Top 5 Best Practices  Customer Focused  Marketplace Understanding  Regular v. Sporadic Attention  Consistency/Brand Integration  Targeted, Multi-channel Promotion
  10. 10. Marketing Strategy The marketing strategy section provides the company's marketing strategy statement, summarizing the key target buyer description, competitive market segments the company will compete in, the unique positioning of the company and its products compared to the competition, the reasons why it is unique or compelling to buyers, price strategy versus the competition, marketing spending strategy with advertising and promotion, and possible R&D and market research expenditure strategies. Source: Business Owners Toolkit See: Marketing Strategy Checklist & Worksheet
  11. 11. Market Analysis Determining your viability and competitive advantage  Market Research  Competitor  Professional Analysis consultants  Strengths  DIY  Weaknesses  Written/Phone  Opportunities Surveys  Threats  Conversation  Observation  Ref. books & sites(Claritas) See: Market Research Grid Target Market & Projections Worksheet  Market/industry periodicals, association newsletters, local newspapers, etc.
  12. 12. Greenberg Development Report  Downtown Momence Market Analysis  SWOT  Market niche opportunities & recommendations  Building/environmental assessment  Demographic information  Trade area definition  Available at MSM office & library
  13. 13. Formulating a Promotion Plan  Logical outgrowth of short- and long- term company objectives and your marketing strategy  Breakdown of each marketing event or action planned to increase sales  Organized by month, quarter or year  Specify: Timing, goals & objectives, marketing channel, cost, probability of effectiveness See: Marketing Plan Worksheet & Monthly Marketing Calendar
  14. 14. Timing Your Promotions  Considering conflicts and synergies to get biggest bang for your buck!  Internal Events (anniversaries, budget cycle, new products, etc.)  External Events (elections, sports, local community celebrations & social activities)  Seasonal Cycles  Major Holidays  Major Industry Events  Major Competitor Activities  Supplier Events  Major Prospect & Customer Activities Source:
  15. 15. Types of Promotion  Displays/Signage  Marketing Collateral, e.g. brochures, flyers  Referrals  Expos/Trade Shows  Event Sponsorship  Association membership  Strategic Partnering/ Cross-promotion  Advertising (media and direct)  Internet/e-mail
  16. 16. Association Membership  Main Street Momence  Momence Chamber of Commerce  Bradley-Bourbonnais Regional Chamber of Commerce  Economic Alliance of Kankakee County  National Federation of Independent Business  Industry-specific groups
  17. 17. Member Benefits  Discounts  Ribbon cuttings  List/information sharing  Newsletter receipt/exposure  Networking  Political advocacy
  18. 18. Local Advertising Channels  Momence Progress-Reporter  Herald Country Market  Daily Journal  Russell Publications  Radio: WVLI, WKCC, WONU, WGFA, WRXQ, WKAN, WIVR, etc.  Directories: yellow pages, Home Pages  Church bulletins  H.S. yearbook and sports programs  MYSA team sponsorship/signage  Glad Fest float sponsorship  Momence Chamber of Commerce community booklet
  19. 19. Channel Selection  Seven factors by which different media outlets can be assessed in order to build product awareness, create interest, provide information, stimulate demand and reinforce the brand via paid advertising include:  Creative Options  Creative Cost  Market Reach of Media  Message Placement Cost  Length of Exposure  Advertising Clutter  Response Tracking Source:
  20. 20. Advertisement Structure APPEAL + VALUE PROPOSITION + SLOGAN/LOGO
  21. 21. Earned Media Exposure  Be Newsworthy!  Substantial giveaways  Company hires, new products, new location, etc.  Unique in-store promotions/contests  Co-operative promotions  Sharing expertise  Charitable outreach  Civic board membership  Unique personal experiences  Be on trend
  22. 22. Cross-Promotion & Co-op Advertising Benefits  Efficiency  Cost  Credibility  Impact  Examples: Reciprocal business cards, menus, promotional flyers, product sample, coupon distribution; share ad space; pool mailing lists; co-produce promo event
  23. 23. Local Opportunities  Main Street Momence  Christmas Gathering Welcome Wreath Promo  Bordertown Hauntings participation  Community Banner Program  Cruise Night goodie bags  Discount shopping card  Regional restaurant guide  Billboard  Dixie Daze Taste of Momence  Event sponsorship  Downtown Directory  Grand Openings, Mother’s Day promotion
  24. 24. Regional Promotion
  25. 25. Internet Promotion  Channel Benefits  Relatively low cost or FREE  Fosters customer interaction  Grows brand/store loyalty  Eases/speeds communication  Breaks down traditional media barriers
  26. 26. Who’s on the Internet? 74% of U.S. adults use the internet! Rates are steady across community type and racial and ethnic lines, increasing with educational attainment and household income. 83% of those with a household income of 50-75K, and 87% of those with some post-high school education use the internet. 70% of those 50-64 use the internet. Source: Pew Research Center, 12/2009
  27. 27. Types of Internet Promotion  Websites/blogs (Blogger, WordPress)  E-mail marketing (Constant Contact, Mail Chimp, iContact)  Reference/mapping sites (Google Local, Google Street Maps, Insider Pages, Manta, Yelp, City Squares, Four Square)  Community websites/blogs (I-57 Life/Best Bites)  Social Media (Facebook, Twitter, YouTube, LinkedIn, etc.)  Paid Advertising
  28. 28. Social media’s for kids, right? Facebook and Twitter boasted triple-digit growth in 2009, with social networking now accounting for 11% of all time spent online! Source: The Neilsen Co.
  29. 29. Facebook User Breakdown As of February, Facebook had 400 million users worldwide. Depending on the day, it is the most visited site in the United States. The average user spends more than 55 minutes per day on Facebook. According to Neilsen, Facebook reaches 56% of the active U.S. Internet universe. Source: Ken Burbary
  30. 30. Facebooking Downtown!  Sensei Steve’s Karate  Our Savior Lutheran Church  Stage Door Sweet Shoppe  Kanga Roof  China Wok  Momence Fire Protection District  Marcotte’s  Bordertown Pub
  31. 31. How much do I spend? Rule of thumb: 20% of resources – budget and time – should be spent on marketing.
  32. 32. Ad/Promo Budget  Counselors to America's Small Business (SCORE) and the U.S. Small Business Administration (SBA) define the variable for a proper advertising and promotion budget to be between 2% and 10% of sales.  Most small businesses (less than $5 million gross revenue) should shoot for at least 7-8% of gross sales.
  33. 33. SCORE says: "Often, small businesses estimate their sales revenue, cost-of-goods, overhead and salaries and then gross profit. Anything left is considered available funds for marketing support. That's not such a good idea. If you are the new competitor in the marketplace, you will have to spend more aggressively to establish your market share objective."
  34. 34. David Packard said: “Marketing is too important to be left to the marketing department.” “Take risks. Ask big questions. Don't be afraid to make mistakes; if you don't make mistakes, you're not reaching far enough.”
  35. 35. Resources  National Main Street Center - National Trust for Historic Preservation  U.S. Small Business Administration  SCORE – Counselors to America’s Small Business  Nielsen Claritas SiteReports  Crain’s Chicago Business – Enterprise City blog  Duct Tape Marketing  Small Business Trends  NetMBA Business Knowledge Center  Pew Internet & American Life Project       Main Street Momence 103 N. Dixie Hwy. 815-472-3861  KCC Small Business Development Center (Ken Crite) 815-802-8222
  36. 36. Thank you!