SMEs and start-ups tend to focus only on execution-type activities, usually to the detriment of setting up proper goals and plans. This can impact the growth and scalability of the business, and its processes at a later stage. We walk through this and other myths that SMEs and start-ups would be smart to avoid.
Marketing can help SMEs and start-ups with discovery and awareness, or support an education-based sales approach. Where appropriate, marketing becomes the integrated solution within an organisation to encourage and incentivise repeat sales and secure long-term customer relationships.
Unfortunately, SMEs and start-ups – usually under resource pressure – assume that they can focus on only doing the parts of marketing that that they like, or can afford, or understand.
We walk through some myths that we have encountered recently when speaking with several SMEs and share the recommendation we gave as well.
Myth 1: Marketing is only for execution. I can think about planning when I have achieved this or that milestone.
It can be pressurising to have to bootstrap a start-up or manage a growing business with non-ideal resource levels. There is a temptation to put aside less resources for marketing in favour of setting aside more for production, products or operations. This results in marketing only being used for short-term output, perhaps some content writing, some copy for advertising, and maybe a media pitch or two. Viewed piecemeal, it feels at least that marketing is doing ‘something’. However, marketing done in this manner will never bring the type of outcomes the business is looking for- either for awareness, support or sales.
Instead, take a step back, and understand that it is better to achieve 1 good outcome for the business and not spread mediocre outputs over many areas. Take the time to do or take on a proper marketing plan. Identify a key audience that will shift the goalposts for the business if they become customers. Figure out what specific message and sales package works for them. Use marketing to test the messaging, engage with the audience, and refine the sales process.
When that audience has converted, pick another audience. Rinse and repeat the process.
Myth 2: Awareness, awareness, awareness.
What if we only used social media advertising to appear on the newsfeed of many people, some of them will come to our website, and buy our products, right?
Awareness is early-stage. Having high traffic to your website or store does not mean these visitors are convinced of your product or solution.
It can be encouraging to see high traffic numbers but without working on content that provides information, or educates the visitor about your product/service’s value, no one is going to throw money at your business.
Take the time to plan a pathway for the visitor to find you, become aware of what you offer, and the tools for these visitors to decide if they wish to make a purchase.
Myth 3: If I build a good product, customers should come.
Building a good product that offers value to the customer is the baseline. It’s why your business was set-up, in order to achieve your vision and goals. However, there is no obligation of the customer to have to buy or engage with your business.
Part of the sales and engagement process with a customer is to explain and convince them about the value they will get if they buy or engage with you. That requires building context and understanding by the prospect/customer about your product or service.
This process can be done through an education-based approach that looks to inform and improve a customer’s understanding of your product/service before you engage with them on a deeper level. Perhaps through a preview, demonstration or trial.
Myth 4: I have no budget for big campaigns, so I should not bother at all.
Many SMEs have this impression that only large and well-established brands have the budget to do big campaigns with sponsorships, or high frequency advertising. Because of having to compete with these brands, SMEs might think they do not have the budget to go head-on. Instead they adopt ‘guerrilla’-style marketing. This usually means they go for cheap and mass options that aims at everyone that might be a customer.
Of course, ‘guerrilla’ both in the field and in marketing, is about precision in targeting, and only going after high-value targets. As with earlier recommendations, we believe that the time and resources spent to build a marketing plan, identify target audiences well, build messaging that demonstrates understanding of their challenges and how the product/service will deliver value to them, is key to gaining them as a customer.
How this can be done, is where the execution starts. Budget is not the major consideration unless there are many high value targets. Otherwise, if the SME is going methodically after specific customer profiles, testing which methods work best, and being authentic and transparent about the product/service, the rising use of budget will be balanced by an increase in interest or purchase of product.
We are Brand Utility is a business consultancy. We work with brands in the corporate, professional services, retail, travel and technology spaces.
Our principal consultant is a registered management consultant, certified and recognised by the Institute of Management Consultants Singapore.
We offer strategy and tactics to support growth outcomes - revenue, scale, regional expansion and market entry – for our clients.
Areas of support include:
· Strategic communications: Approach to market, brand concept and map, positioning, messaging, story and narrative, thought leadership
· Marketing: Campaign/programme planning, story-based marketing execution, digital marketing, community amplification, content planning and production, go-to-market execution
· Lead generation: Digital advertising, social media advertising, social commerce, e-commerce
· Integration of marketing with business operations: We plan and execute as a seconded marketing and/or PR lead for your brand
Discover more about our services at our website or book an exploratory consultation through this link.
Photo by Thomas Stephan on Unsplash
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