Do You Make This Mistake With Your Marketing?
By: Bob Maxman, Business Coach, R.J. Maxman & Associates, Inc.
Too many business owners are entirely focused on how to get new clients, customers or patients for free, or almost free. Instead, they should be investing in new customer acquisition based on the value or worth each new customer would bring to their business.
In other words, stop thinking about how you can save money on marketing for your business and start asking yourself how you can do more, and even spend more, to get more customers.
Have I â€œlost my marblesâ€?!
No, hear me out. Almost every business person I know, especially with the advent of the internet, is looking for the cheap, easy way to get more business. But believe me; getting new customers is not easy and generally, is not cheap. One of the biggest mistakes a business owner makes is not appreciating and valuing the true cost of getting a new client or customer.
How Much Should You Spend On Your Marketing?
My answer: As much as you can.
Seriously, you should spend as much as possible on your marketing, as long as you are getting a positive ROI â€“ Return on Your Investment. This means by necessity, you need: to know your average long-term net revenue per customer; be able to measure and track response to any and all of your marketing and be willing to test different kinds of media, in attracting more customers to your business.
Shift from thinking of marketing as an expense, to seeing it as an investment.
The more you can invest in your marketing the more stable and fast growing your business will be. You will leave your competition thinking you are crazy, blowing through an inheritance of money or more likely, just wondering how youâ€™ve managed to â€œblow them out of the waterâ€.
Bob Maxman is a former executive in the consulting industry and has served as Project Manager, Department Manager, Regional Manager, and President of professional service organizations. He has served as President, COO, Program Manager and Management Consultant for organizations across the US and overseas. Contact Bob directly at: email@example.com.