Now is the time to focus on your financial goals and understand the client audiences that will help drive revenue for your business. FMG was founded in 2011 as the US was facing the full effects of the 2008 recession. Our clients needed us to solve problems and generate revenue quickly. That mindset guides our work today. We are a firm that develops and implements marketing strategies that work and generate revenue.
The economy continues to shift rapidly as businesses and consumers adjust to the Trump administration and its economic policies. Things have slowed since the first of the year, and we know many business owners are wondering how to tailor their sales and marketing strategies as the economic outlet continues to change. We recommend the following:
- Stay focused on your core customers and the services and products they purchase that drive your business
- Sell on value, not price
- Consistency is key
Let us break it down:
1. Stay focused on your core customers and the services and products they purchase that drive your business
Your core customers are the people who purchase your product or service at a price that provides a strong margin (net profit). They want what you offer at the price you’re selling it for. We have been talking with several business owners who have asked whether they should cut prices, target different customers, or introduce new products or services.
Start with the customers that sustain your business. Listen to their needs and wants as you review pricing and think about expanding products or services. What do the core customers need? What are their pain points, and how does your product or service properly solve their problem? Don’t guess.
If you don’t know who your core customers are, Forbes.com has a handy starter article to help identify them. https://www.forbes.com/councils/theyec/2021/10/04/eight-effective-strategies-for-identifying-your-target-customers/
2. Sell on value, not price
When money is tight and times get tough, business owners can sometimes start grasping. The thought process is, “If we pick up this widget, we can sell $100,000 worth.” or “Let’s put this on sale and see if we can get the people that said no.” But at what cost? If you start by focusing on your core customers, the questions you want to consider are:
- What are your core customers experiencing now? Are they even worried about the market? Is this the typical time they purchase their product or service, or is there a specific event that consistently drives their purchasing decisions (e.g., an anniversary, major holiday, graduation)?
- What do they need to hear, see, and read from your organization to make a purchase now?
- If sales have slowed, what do the core customers need to get back in the buying cycle?
- Does your product or service still fit the needs of your core customer? If not, does a pivot make financial sense, or do you need to find a new customer demographic?
Often, your marketing needs to remind your customers about the value of your goods or services. If your product or service solves their pain points and problems, the marketing should always lead with that, then explain how the solution’s cost offers great value because it solves their problem.
3. Consistency is Key
This is the hardest part of running a business. Make sure you regularly connect with your customers on the media platforms they use. Every day, dozens of tasks need to be completed to keep things running smoothly. Marketing can often end up at the bottom of the list. If you have not clearly defined your core customers, the number of advertising options can be overwhelming. Social media? An ad in a magazine or newspaper? Spend money on ads, or try to get earned media? It is a lot to think about.
Knowing your audience, understanding your sales goals, and knowing your sales timeline are critical to developing consistent marketing and messaging. Rarely does a single ad or phone call generate a lead. It can take seeing an advertisement 5 to 7 times before a viewer converts to a lead. (Source: MadHive.com) It takes time and repetition to move potential customers into your sales process. Whatever marketing you are planning, make sure it is something you can consistently implement.
The most important thing to remember is that your core customer will help you identify and adjust your marketing and sales needs as the economy continues to shift. Only by understanding your customers and how your product or service solves their problems can you begin taking steps to protect your business’s bottom line.
Sources: https://online.hbs.edu/blog/post/target-audience-in-marketing
