Distributors are often very wise about using resources sparingly. Their decisions are well thought out and based on their bottom-line, except when it comes to digital advertising, technology and digital innovation.
I've been seeing a lot of "paralysis by analysis" lately in the technology and digital innovation arena.
The paralysis by analysis is understandable.
Is it caused by an aversion to change? Yes.
Is it because most distribution companies are steeped in tradition? Yes, almost always.
Is there a a fear of making the wrong decision? Of course - it can be expensive!
At some point, probably this year, you've come to realize you have no choice but to rely on a strong digital sales and marketing strategy if you're going to stay competitive, and you've got to make a move soon. You've learned that it's imperative to optimize your online presence to speak to an audience that you can no longer meet with face-to-face.
The problem is, though, where do you start? Whom do you trust, and what can you expect?
Throwing Money at the Problem is Not the Answer
Sometimes, actually many times, I've seen 'paralysis by analysis' met with what I call blind spending. You're not sure how things work, a certain solution sounds good, so you invest in it and hope for the best. In fact, this is often the path taken for technology in distribution. In the area of digital advertising, it's never the right choice.
Many distributors have already spent hundreds of thousands of dollars to bring prospects to their websites using digital advertising, believing the more they spend to promote their products, the more business they'll generate.
Many also believe that they'll recoup the money spent building an eCommerce site by spending more on digital advertising.
It can sound sensible -- you have to spend money to make money -- but it's not that simple. You've got to keep tabs on spending vs. ROI and optimize for the greatest return possible. Missing this one critical piece of the picture will lead to a serious depletion of resources.
If this sounds like the situation at your company, I have good news! By following some simple guidelines, you can turn it around, reach your intended audiences more quickly and affordably, and gain concrete, measurable, successful results to help you spend your advertising wisely. Here's how:
Take Advantage of Local Marketing
If you have branches or offer will-call services, use Google Ads to create ads that target people no more than 25 miles away from a specific branch. While 25 miles is a general rule to follow, if you think people are willing to travel further, you can extend the distance. Focus on the locations that draw the most traffic. Some areas may be smaller or less significant than others. And use Google My Business!
Be Mindful of Demographics
Consider your business from the customer perspective, always! It's vital to know your target audiences' demographics and what attracts them. Advertising your products is a bad idea. More times than not, you'll lose out on price. Promoting your solutions and services is a good idea. After all, no one delivers solutions as well as you do, right? It's a much easier case to make in your ads, and you can bury your competition with how well you execute your solutions.
Customize your messaging based on facts rather than emotions. A simple example, a commercial plumber may be more interested in bulk discounts, while a plumbing contractor is interested in delivery options and product availability.
Find common similarities and differences between your audiences to pinpoint your marketing based on their needs.
Most Importantly, Budget
This one is probably the most important and the most elusive. Start by spending no more than a digestible amount, perhaps 20% of what your budget will tolerate, on your ads. Then, run your ads for about a month, and measure the results. See what's working and what's not working.
The goal for your first campaign is to develop a rough target to market to. After about a month, look back at the data and adjust based on what worked and what didn't.
If you don't know what worked, just follow this rule of thumb: If it's not measurable, you're wasting your money, so just stop what you're doing until you can get some answers.
Many distributors blindly spend $500-$1,000 a day, or some other absurd number, without knowing if their campaigns are truly working. It wouldn't be absurd if they showed a return on that investment, but they most likely cannot.
When it comes to spending on advertising and marketing, less is always more.
Walk before you run and understand 1) the targeting process and 2) your audience.
Don't Rush
Take the time to see what content works best and get to know your audience. Think of content as bait. Find what attracts your audience most often. Learn which marketing and advertising pieces work better than others.
Then, once you gather and are comfortable with the data, start investing more into your ad budget to reach your audience. Once you have a clearer understanding of who your best prospects are and what attracts them, your spending will be justified.
Where to Start?
Automation software will help with your online presence with minimal effort. Use it to your advantage. The more you automate, the more free time you have to sharpen your business and focus on the leads you'll capture.
Plus, automating your digital sales and marketing messaging will give you a much clearer view of what's working and what needs improvement because you'll have measurable analytics. These analytics will enable you to plan wisely and approach your marketing strategies with data to back it up.
And remember, don't assume things will happen overnight. Like anything worth doing well, great results take time.
Let's do this ... Together!
Rather than struggle alone with decisions about what to change, where to invest, and what will work, bring in a team to support you. Together, we will discover the answers you need and teach you and your team to do it on your own. Our goal is to work ourselves out of a job so you can be self-sufficient!
Now is the time to take charge of your company's marketing efforts. I can help. Just give me a call, and let's discuss the best options for moving forward.
We'll define metrics, set goals, and measure KPIs going forward. You'll watch Marketing transform into a revenue-generating department that you can tie directly to a positive impact on your bottom line.
