How to Find the right Marketing Channel for a Small Business

Choosing a marketing channel can be tough when you are a small business owner. You want to get the highest possible return on investment but you may not have the budget to efficiently test every available option. To help you find the right channel, we have compiled these 10 questions. They will help you narrow your choices down so you can confidently choose the correct channel.

Before you begin answering these questions, it is a good idea to put together a customer profile. This is a general idea of who your customer is and how they interact with your business. This will help you better answer the below questions. 

  1. How much money do you have to devote to your marketing each month? If the number is under $500, channels like Google PPC, Bing PPC, or paid social will unlikely work for you as you will have less than $16 a day to bid on ad space. Instead, you could consider social channels as these offer free content sharing that can increase your audience and brand recognition.

  2. How often do customers buy your product? If they only buy your item once, remarketing and retargeting are unlikely to work. For one-time purchases, consider PPC as it has high buyer intent and hits customers when they are looking. You could also use paid social or direct mail approaches.

  3. Where have your customers heard about you? If they found you online, then digital is likely the way to go. If they saw a flyer, you should consider direct mail.

  4. Do you have lots of customer data? If you have email addresses and names for your customers already, then email marketing will be quick and easy to set up.

  5. Do your customers buy on a regular schedule? If so, email reminders or direct mailing on that timeframe can be very effective.

  6. Is your business location-based? If so, avoid advertising anywhere outside that radius. Online this can be done with location targeting, offline you can achieve the same result by advertising in more local newspapers or magazines.

  7. What is the age of your customers? If they are younger, consider advertising on their social media channel of choice. If they are older, local television or radio might be more effective. 

  8. Are your customers worried about privacy? If so, remarketing to them may make them uncomfortable. Try direct communication via email or letter.

  9. Do you have lots of time to manage your marketing efforts? With plenty of time, you can post multiple times a day on social channels for free and grow your following. If your time is more limited, you can look into email marketing as you only have to craft one message before you send it out to your mailing list.

  10. Do your customers regularly travel to or near specific places. If so, a billboard could capture their attention. If they are less predictable, using leaflets or other direct mail options is a good choice. 

Once you have answered the above questions, you should have a good idea of your marketing options. If you are still struggling to choose a marketing channel, you can go back to your customer profile and review which options are the best fit for your particular customer group. 

If you are looking for business funding, Idea Financial has you covered. Fill out our online form today to see if you are eligible for a business loan or line of credit. 

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