How to Market Your Small Business on a Small budget  

As a small business owner, you may often wonder how to compete with the massive advertising campaigns of larger competitors small business web designwith seemingly unlimited budgets. Fret not, because a small businesses on a limited budget can still take advantage of a number effective marketing strategies. Let’s take a look at some tips from Capstone.

Build your presence online – the right way

Unfortunately, many small businesses often spend far too much time and money on social media which is an inefficient use of your precious resources. As a small business owner and operator, you don’t need to have a presence on every social media platform. Rather, you should focus on those social media platforms that reach an audience that is consistent with your ideal client profile and ensure that the content you post is relevant and adds value to your audience and potential customers.

For example, a restaurant may run a promotion where the best picture of the food taken by the customers and hash tagged with the restaurant name are showcased in the restaurant’s digital display. Or if your business is a dance/yoga studio, you may use YouTube to create a set of tutorials where interested viewers will turn into paying customers. The focus must be to ensure that the customers have a reason to engage with the content shared by your business.

Be responsive and personal in your communication

As a small business, the number of customers you would engage with is comparatively small. Therefore, you should aim to be as responsive and personalized as possible in your communication with your customers. Your social media accounts will be used by your customers to leave reviews and ask questions. You should aim to respond to as many queries as possible with a personal touch. In fact, you should go beyond the confines of your own profile and interact with posts (relevant to your business) on your customer’s profile.  This builds loyalty and shows customers that you care far more than the competitors who often engage in just one-way communication.

Taking a few minutes each day to build a relationship with your customers on social media is practically free. The loyalty and the sales generated through such action from your customers is priceless.

Don’t fall into the trap of endless promotions

When it seems like the customers are always choosing the low-cost competitors, it becomes hard to resist the temptation of using price promotions to bring in consumers. Apart from occasional promotions to gain renewed interest, constant price promotions for small businesses are not an effective marketing strategy. Constant price reduction can lead to the degradation of the brand positioning. While it may give your sales a short-term boost, discounting most often attracts price sensitive consumers who will leave your brand as soon as pricing returns to normal levels.

As an example, studies have shown that businesses who have used Groupon for price promotions only had 22% of the deal customers return to buy the products again at a full price. In addition these deals can be costly to run.

Instead, concentrate on attracting consumers by communicating the unique selling point of your product or service. Customers gained through value-based propositions are more likely to remain loyal and often willing to pay a premium if you can demonstrate and emotional or tangible value they can’t find elsewhere. This builds loyalty that can’t be broken by your competitors lowering prices.

Use the power of celebrities

Nothing brings business to you than an endorsement of a famous figure. Granted, getting Beyonce to try out your yoga studio may not be the easiest thing to do, but there are other, more accessible famous figures in this day and age.

This is, of course, a reference to the numerous social media personalities with differing amounts of popularity on various platforms. First, you must figure out which personalities could be relevant to reach your target customers. For example, if your business is a healthy vegan restaurant, reach out to local health-oriented channels. Invite them to dine at your restaurant and ask for a review. Depending on your business and the channel you may have to be creative in how to get them to talk about your product. Nevertheless, the option is almost always far cheaper and far better return on investment compared to traditional methods of marketing.

In Conclusion

These are some of the few non-traditional marketing strategies that can be followed by a small business on a limited budget. Don’t let the size of your company or the limit of your budget determine the success of your business. With creative thinking and a bit of luck your marketing efforts can bring great returns on investment.

About Sarah Morris

Sarah Morris is writer and blogger at PenWarriors.