Often business’ don’t fully understand what marketing does for it. They see money being spent and, especially when it comes to branding, no direct return on investment. This is, however, somewhat short-sighted when it comes to understanding the positive impact marketing has on a business. If you’ve ever had any doubts, read on to understand 10 reasons why marketing is key to your business success…
1. Make More Sales
If your marketing campaigns are doing their job properly, your sales will increase. The more people that know your business exists, the more likely you are to gain customers.
2. Increase Awareness
Raising awareness plants your business’s brand, its product, and its benefits in the mind of your target audience. By raising awareness through marketing, you’ll build a huge audience of potential customers who know who you are, know what you can offer, and know exactly where to find you.
Don’t feel bad if your marketing campaigns don’t drive increased sales right away, as raising awareness is often just as important.
3. Learn Key Metrics
Whether you’re marketing a bakery or an enterprise software company, knowing your metrics is the key to keeping your marketing campaigns profitable. If you can pinpoint exactly how much your average customer is worth, you know exactly how much you can afford to spend acquiring each new sale.
Once you’ve calculated key performance indicators like your cost per acquisition (CPA), lifetime customer value (LCV), or average revenue per user (ARPU), you’ll find it far easier to launch other marketing campaigns and optimise them for profitability.
4. Develop Trust
The earlier you start marketing your business, the longer your target audience will have known you. Start early and build a relationship with your target market and people will respond by trusting your business to live up to its image.
Building trust isn’t something that can be done overnight. Think of the companies that you trust. Generally, the companies we trust the most are the ones we’ve been exposed to – either through advertising or by doing business with them – for years.
5. Build A Social Asset
Whether it’s an email list or a Facebook Page, giving your audience a way to connect with you gives you a powerful platform for selling products and asking your audience important questions. Every great business has a social asset that it can market to, be it in the form of an online database or an offline address book.
Start building your social asset today and in a few years, you could have a powerful list for promoting your products and increasing your sales.
6. Learn The Marketplace
When you first start your business, your target marketplace can look as vast as the night sky. Once you start marketing, instead of seeing a blanket of stars, you’ll start to galaxies (different communities), solar systems (subcultures), and a huge network of different connections (planets & moons).
Once you start your own campaigns, you begin to notice what your competitors are doing. This information helps you develop your own campaigns, learn more about your target audience, and get a better feel for your industry. You also start to learn why customers chose you.
Using tools like Google Analytics, you’ll find out which keywords and websites are referring the most customers to you. Using a Facebook Page, you’ll discover what your customers love to comment on and share.
7. Discover What Works
There are hundreds of marketing tactics you could use to find customers. From old-fashioned direct mail to search marketing, experimenting with different marketing methods helps you find the ones that work and focus on them.
8. Develop An Ideal Customer Profile
Your ideal customer profile includes variables like age, income, location, hobbies and interests, and occupation. Once you’ve marketed to hundreds or thousands of customers, look at your data and search for patterns and characteristics that you could use to profile your ideal customer.
Don’t develop products or services based on the feedback of your customers – that’s a recipe for failure. Dig deep into the data you generate from your online marketing campaigns. Spot trends and details that you can use to hone in on the type of people that matter the most to your business.
9. Learn To Test And Optimise
Even pro-marketers have to continually test. Knowing how to test different headlines, images, and advertisements is one of the most important skills you can possess. A headline that sounds great in your mind might barely engage your audience, while another that sounds contrived and silly could be the perfect eye-catcher for generating leads and making sales.
If you can’t test and optimise, you’ll never know which headline is the winner and which is the loser. Some of the world’s biggest companies launch online marketing campaigns with hundreds of different images and headlines to be tested, all in order to find the one combination that produces the optimum return on investment.
10. Build A Powerful Brand
Some marketers set out to sell more products. Others set out to build a brand that’s easy to remember. The smartest marketers set out to do both at the same time. The ultimate goal of your marketing campaigns should be to have customers come to you.
Branding is what separates your business from your competitors. It’s what makes a customer choose you instead of someone else. It’s your business’s style, reputation, and culture all rolled into one. Brands are essential, and without marketing your business you’ll struggle to develop a memorable, powerful brand.
Branding brings customers to your products and services rather than you having to chase them. Whilst it is listed here as number 10, ultimately all these points are relatively equal in the 10 reasons why marketing is key to your business success.