Many people are starting to avoid marketing when they are new to business because they often see it as an expense. They aren’t willing to put the money into marketing because they aren’t certain that it will achieve results. However, when you do market the correct way, it is actually considered an investment. Here are 3 ways why marketing is an investment that will benefit your business in the future.
1. Marketing is The Process of Buying Customers
We need to change our perspective of marketing into the process of buying customers. Every time a new customer visits our business from our advertisement, we have basically “bought” that customer. If we spend $1,000 on advertising and it brings in 10 new customers, we can assume that we spent $100 per customer. The overall goal of marketing is to buy our customers for less than what they would spend in our business. If our advertisements are not attracting enough customers, that is a sign that we need to rethink our marketing strategy.
It’s important as a business owner to understand how many customers you want to buy per week or per month. Buying too little few customers with your marketing can cause you to miss out on the potential of maximizing your profitability. Too often people say that want as many customers as they can get. Buying too many customers than your business can handle can result in running out of products for customers to buy or being unable to serve them in a timely manner. These can negatively impact customer satisfaction and your company’s reputation Once you find a balance between your supply and demand, you can then work on improving it to increase profitability If you want to learn more about the process of buying customers you can check out the book I wrote on it here.
2. Test And Measure Your Marketing
Most companies don’t use marketing as an investment because they don’t test and measure. It is difficult to determine which marketing strategy will be the most effective because marketing is always changing along with the customers who are buying. There are always new trends and ways people are consuming media. It is your job as a business owner to perform market research by planning and testing the effectiveness of your strategies. Be open to trying different offers and deals to attract new and returning customers to your business. Some examples could be offering 50% off coupons, having a sale on limited items, or even offering free items with their purchase.
3. Marketing Towards Long-Term Customers
The definition of marketing is profitably buying lifetime customers. It shouldn’t be our goal to invest in single-term customers. The most valuable customers are those that have continuous business with you and establish a relationship. These customers are more likely to spend more money on your business since there is already a level of trust established. Additionally, these customers are more likely to recommend their friends and family to your business resulting in more sales. Finding ways to use your marketing to turn new customers into returning customers should be a primary focus.
A strong marketing strategy can really help your business maximize profits if utilized effectively. Start creating your marketing strategy today and eventually your efforts will be more than worth it in the future. Learn more about 30X Business where you can learn more marketing strategies to grow your business.