Small- and medium-sized business owners are turning to targeted marketing to bolster their brands. The strategy allows entrepreneurs to advertise directly to consumers who are most likely to become loyal customers based on demographic similarities with current clients. Fred Hathaway, the managing director of Hippotential, told the News & Observer that owners must start by identifying their target audience.
"You have to figure out a subset that you can afford to go after, and go after in a powerful way," Hathaway said.
According to All Business, SMB owners can target consumers based on different traits, including age, location and income. Targeting specific audiences can have long-term disadvantages, so entrepreneurs must consider these potential issues. For instance, targeting leads based on their location limits an SMB to a specific market, which can make it difficult to expand into new areas.
Additionally, entrepreneurs must choose the most appropriate medium for their advertisements. Some social networks feature targeting options so owners can market directly toward their intended audience. However, direct mail might be a stronger option than digital alternatives.
"Direct mail creates a one-on-one connection that's hard for other media channels to match," Tom Foti, manager of Direct Mail and Periodicals at the United States Postal Service, said in a statement.
To find the best channel, SMB owners must consider their audience's preferences because some advertisements might not be effective for certain demographics.
Small-business marketing news brought to you by 123Print.com, provider of affordable custom business cards, postcards, letterhead and outdoor promotional items.