Thursday, March 10, 2011

The ABC's of Advertising you Need NOW







The ABC's of Advertising




We believe advertising should tell the customer what products or services you’re selling and why they should buy now. That means identifying a powerful sales message and presenting it to your target customer in a way that captures their attention and compels action.


The Tricks of the Trade - Creating a More Effective Advertising Campaign


Why do we advertise? Advertising is a way to increase the exposure of your business beyond what your physical location and the word of mouth can provide for you. Retail stores use advertising to build awareness of their products and services and to generate a response. An advertisement that does neither won't get the desired result and will be virtually ineffective for you. If you want to build sales and increase your revenue, it is almost certain that you will need to advertise to reach your potential customers.Click here to read the full article...


Making Direct Mail Work for You


There is no escaping the power of direct mail. From the simplest postcard to the most elaborate catalog, we experience it daily. Every trip the mailbox brings consumers new offers, hotter deals and host of opportunities to save on a range of products and services. Why do businesses like yours depend on direct mail? Click here to read the full article...


Setting your Advertising Budget--- Where to Start


Advertising is necessary for most all businesses and establishing a budget will help you make educated decisions in how you want to advertise. Before you get started in creating a budget, try thinking of advertising as an investment rather than a necessary expense. Through the increased exposure you will get from a well thought out advertising plan you can drive sales, increase revenue and maintain current business. Who wouldn’t want to increase their return on investment? Depending on your goal in advertising there are many ways to calculate your budget. 





The Tricks of the Trade--- Creating a More Effective Advertising Campaign


Why do we advertise? Advertising is a way to increase the exposure of your business beyond what your physical location and the word of mouth can provide for you. Retail stores use advertising to build awareness of their products and services and to generate a response. An advertisement that does neither won't get the desired result and will be virtually ineffective for you. If you want to build sales and increase your revenue, it is almost certain that you will need to advertise to reach your potential customers.


When you are ready to create an advertising campaign it is important to have a plan of what you want to say before you begin advertising. Without a well thought out plan of attack your ads are not going to drive your business the way that you want it to. Here are a few quick and easy ways to make sure that you are getting the most out of your advertising dollars.


Fast Facts for Creating a Successful Campaign


-Keep it simple and concise
-Use language your audience will understand
-Have a purpose or an offer
-Memorable
-Be honest


Simplicity


Everyday we are exposed to a myriad of advertisements. From the billboards we pass on the morning commute to the commercials on television as we watch the evening news, ads are everywhere we look. With this constant exposure, it is important that your ad capture attention and keep it. The best way to do this is to simply keep it simple. The average reader’s eyes will skim right over your ad if there isn’t something to retain their interest. An ad that is too cluttered and lacks a focus will end up at the bottom of a recycling bin instead of in a consumer’s hand. White space in an ad can be your friend; don’t be afraid to use it. Your ad doesn’t need extra explanations or graphics to convey a message. Thomas Jefferson wasn’t kidding when he said, “The most valuable of all talents is that of never using two words when one will do.”


Common Mistake: Clutter. Sometimes we wonder how people can live in houses filled with clutter and it with this same amazement we look at ads that are so filled to the edges we can barely understand what, if anything, the advertiser wants us to focus on. These ads make it difficult for the reader to know what the message is or if they are interested in what is being offered. Patience is a virtue that not all people have, and trying to figure out what you are selling is probably not on the top of a consumer’s to do list.


Know your Audience


You know how to sell to your product once the customers are in the store, so use that same idea when creating an advertisement to attract them. Don’t go overboard from a technical or service standpoint instead of putting things in terms that really mean something to the reader. When you are writing your ad, it is a good idea to think of whether you would buy this item based on you are saying. Make sure that you are seeing and hearing things from your customer’s viewpoint. Focus on what you can do for your customers rather than the technical nitty gritties.


Common Mistake: Thinking technical language will make your ad look more professional and intelligent. Big words and complicated phrases may seem like a sophisticated idea- but if your audience doesn’t know (or care!) your efforts will be lost. Readers shouldn’t have to read the instruction manual on a product before they even get to the store to look at it. Let them decide what information they think is important.


Make an Offer


Advertising that isn’t timely and doesn’t offer something a potential customer will want won’t bring people in your door. Make sure when you are creating an ad you are advertising something people really want or need. An easy way to attract a customer’s attention is to use words that sell. Grand Opening, New, Sale and Free are all examples of words that can grab a reader’s eye. In your ad there should be a reason for a customer to choose you and your business.


Common Mistake: Not creating a sense of urgency. When you are running a retail advertisement, generally, the hope is that the reader will see your ad, come into your store and purchase your product. If there is no reason to buy it right now, a potential customer may forget that they saw the ad in the first place.


Make your Ad Stick


By creating a memorable ad you give your company top of mind awareness (TOMA) when customers think about your products. You want Jane to remember seeing that microwaves are on sale at your store when her friend Jill tells shares that hers is on the fritz. A good way to be memorable is by making all of your advertising cohesive. Although it is not necessary to be matching, using a tag line that will be repeated in all of your advertising can let your audience know that you are the same store. Whether a consumer is reading your newspaper ad or opening up a direct mail piece they should be able to tell that you are not two different businesses.


Common Mistake: Creating a great ad--- but not making it clear what the ad is for. Often businesses will be so caught up in the excitement of creating a memorable ad they forget to make sure that customers know what the ad is for and what company it is promoting. This is frequently found in commercials and radio spots where the content is written to be witty, but in the end lacks a direction to increase business. These are the ads that are discussed around the water cooler, but no one can remember what the commercial was for in the first place! Creating a buzz is always a good thing, but if the audience of the ad can’t remember what it was for, entertainment factor is all that will be gained.


Be Honest


There is no real way of telling why a person decides to shop at one store instead of another when many sell the exact same product. By creating an honest campaign, you are building a reputation that customers will appreciate. Advertise the products that you have at the prices that you are offering them for. Shopping should be an easy experience for customers and having ads that represent who you are and what you stand for will set you apart. If you make promises that can be fulfilled you won’t retain loyal customers


Common Mistake: Just saying what you need to say to get them in the door. Consumers don’t want to feel tricked into believing something and they will not appreciate feeling duped. If your offer doesn’t hold up you are not building a trusting relationship with the public. Honesty, is always the best policy!


Relax...it isn’t Rocket Science


These tricks of the trade are good ideas to help you maximize your advertising investment, but are by no means strict rules of what your advertising needs to be. With constant changes in the market and variations between different industries advertising can vary greatly. No one knows your business better than you. Once you are armed with the proper techniques you will find the advertising success that you are looking for.





Making Direct Mail Work for You


UNDERSTAND YOUR OPPORTUNITIES


There is no escaping the power of direct mail. From the simplest postcard to the most elaborate catalog, we experience it daily. Every trip the mailbox brings consumers new offers, hotter deals and host of opportunities to save on a range of products and services. Why do businesses like yours depend on direct mail?


No other ad medium is more effective at targeting specific markets. You decide not only who receives your message, you control the when and the where as well. What’s more, it’s personal — you talk directly with prospects. And it’s tactile — you reach people with a message they can literally hold on to. If you operate a retail business, direct mail is a proven way to attract new customers and increase revenue.


This guide will lay out the basics. Armed with the facts and with a professional direct mail consultant at your side, you’ll be well positioned to roll-out successful direct mail campaigns of your own.


KNOW YOUR MARKET


Before you tackle any direct mail project, ask yourself these questions:


• Who are my customers and prospects?


• How many are there? What are they like? What moves them?


• Who is my competition and what are they doing?


You can’t formulate strong messages without knowing what appeals to your customers. Surveys of current customers will give you a good idea of the “hot buttons” to push, and you should also take note of what successful competitors are doing. That’s not cheating — the experts call it “modeling”!






PLAN TO SUCCEED


Every important endeavor should begin with a plan. And direct mail is no exception. In the simplest form this means knowing the results you want to achieve and making sure that every marketing action is focused on the end result. A sound plan spells out the following:


Objective — the specific result you want to achieve.
As the old saying goes, if you don’t know what you’re aiming for, you can’t expect to hit it. Identify your target. It could be to:


• Drive traffic to your store


• Generate sales and orders


• Promote interest in a new product


• Build and increase brand recognition


• Nurture long-term relationships




Whatever your objective, make it as specific as possible. Give it a timeframe and make it attainable. A clear vision of your desired outcome will give added power to your direct mail campaign.


Strategies — the methods you use to achieve your objectives.
For example, “We will conduct a Fall sale event and use a direct mail campaign to sell 300 TVs by the end of next month.” Is the objective attainable with this strategy? Your resources, as well as your objectives, will determine your strategy.


Tactics — the specific ways you will execute your strategy.
Let’s get back to that objective and strategy above. Some of the tactical components might look like this:


• Attention-getting “sale” theme within limited timeframe to build urgency.


• Concept that involves extra incentives such as prize give-aways or discounts.


• Hard-hitting sales letter that drives home your message in a way that cannot be ignored.


• Full-color flyer that promotes offering and provides details.


• Response device, coupon or ad specialty.


• Envelope with compelling teaser copy to encourage opening.


Your tactics can be simple or elaborate. It all depends on your objective, your strategy and of course your budget.






ADDRESS THE MAJOR ELEMENTS


As you are putting together your plan, consider the following:


Research
If you don’t have a good idea of who your prospects are, do the research. You might be able to do it yourself, in-house, through phone calls or surveys. If you don’t have the resources, look to an outside group for help. Remember that there are costs associated with each. Determine what they are.


Creative
“Creative” is the term for the copywriting and graphic design that makes your direct mail packages shine. You might have an aunt who’s pretty good at drawing, or a brother-in-law who’s a whiz with words, but resist the temptation to go this route. Effective direct mail is both an art and a science, and the creative aspects are best left to people who do it for a living.


Mail lists
You can buy them. You can rent them. You can compile your own. But you can’t do without them. Targeting – or identifying your audience – is the best way to ensure that your message will be read, and that your mailing is cost effective. 10,000 pieces mailed to the right people will be far more cost-effective than 100,000 sent to those who have no interest in your product. Prices for rented lists are usually given in cost per thousand, and prices can range from $50/M to $300/M for a base price. Sources vary.


Printing
The fabrication of your message will be a large part of your budget. Factors include the size of the piece or pieces, the paper used, the number of colors, the quantity, as well as other factors such as die-cuts, perforations and folds. Make certain your creative team is in sync with your printer and have them do a press-check when it’s time to print. This will save you money in the long run.


Mailing & Postage
You’ll be using the U.S. Postal Service. And they have rules. But if you follow their guidelines you can get the best postage rate and also be confident that your mailing will hit the mailboxes on time. You can use First-Class Mail or Standard Mail. How fast do you want your piece to arrive? Sorting your mail, thus making it easier for the Post Office to handle, can also save you money. And if you make sure your mail is automation-compatible, you can receive a bigger discount. Your direct mail partner can help you “sort out” all these issues — and more — to your best advantage.


Lightning Tips
Many experts claim that 40% - 60% of your direct mail success is in making sure your materials reach the right prospect. Get a good list!


The most cost-effective direct mail packages are created by pros who know all the ins and outs, from developing your strategy to mailing your package. Find a partner you can trust and work with them!






Direct mail comes in all forms. Here’s what a simple package might include:


• Sales letter


• Mail piece – brochure or flyer


• No. 10 business envelope


Focus on the all-important three Ms of direct mail:


• Market – the people you are targeting


• Message – the message that will drive them to action


• Mailing List – the actual list of people receiving your messages


One mailing is probably not enough. Use repeated mailings to build name
recognition and increase your chances of success.








FOLLOW THE 9 KEY STEPS


1. Develop the plan.
It all starts in a plan with your goals (measurable objectives), your strategies (the actions you take), and your tactics (the way you execute your strategies). Don’t keep the plan in your head, write it down! This will ensure that your entire team is moving in the right direction — forward.


2. Identify your target audience.
Know who you want to influence. Age group. Gender. Income levels. Ethnicity. Interests, etc. You can’t know too much about your customers. And with an accurate “profile’” in mind, you’re ready to hit the right buttons.


3. Create a compelling offer.
Make it easy for prospects to say Yes! For example, if your strategy is a sale event, make it the biggest, best ever, and then provide the details why. Tell them exactly what’s in it for them. Equally as important, provide a sense of urgency — the offer should include a time frame with specific dates. A full 30% of your success can be attributed to having the right offer.


4. Focus on a good mailing list.
There are many thousands of mailing lists available. You can rent lists that are incredibly specific. A good list broker, or your direct mail partner, can find one that’s right for you.


5. Write rough draft of copy and design the mail package.
Write your copy and capture your idea on a sketch. Feature the offer on all components (envelope, flyer, coupons, letter) and include all details such as location, dates/times and product benefits. When writing, keep this powerful acronym in mind — AIDA. Get the reader’s attention, stimulate their interest, provoke their desire, and convince them to take action.


6. Select a printer and production methods.
With a rough layout in hand, a printer can give you a good idea of the costs and timeframe involved. Talk about the size of the pieces, the number of colors, and the quantities. There are additional issues related to postal requlations and mailing permits to consider. Make sure everything is nailed down before you go to press.


7. Finalize copy and design, then print.
Now you finalize copy and graphic design. You can do it yourself, but this part is best left to creative pros, the people who specialize in direct mail. They can take your ideas and transform them into the hard-hitting sales pieces you envisioned. They’ll even handle all aspects of print production for you.


8. Mail it.
Plenty must happen before you actually put your pieces in the mail. The issues you face include a variety Postal Service regulations and rates for different size packages and quantities, and of course, the very mailing list you will use. A good direct mail partner can handle all these tasks for you.


9. Measure your response.
Your mailing has gone out and your prospects have responded to one degree or another. Did you reach your objective? Now’s the time to determine what went right or what went wrong, and make adjustments for future mailings accordingly.
“Direct mail, direct marketing, what’s the difference?”
The two terms are often used interchangeably, but they are not the same. Direct mail is a marketing message that reaches prospects by mail. Direct marketing asks the recipient to respond through the mail. Direct mail is a subset of direct marketing.








Setting your Advertising Budget--- Where to Start


Advertising is necessary for most all businesses and establishing a budget will help you make educated decisions in how you want to advertise. Before you get started in creating a budget, try thinking of advertising as an investment rather than a necessary expense. Through the increased exposure you will get from a well thought out advertising plan you can drive sales, increase revenue and maintain current business. Who wouldn’t want to increase their return on investment? Depending on your goal in advertising there are many ways to calculate your budget.


Different Methods of Calculating a Budget


-Percentage of Sales
-Objective/Task
-Best Guess


Percentage of Sales
A common method for calculating an advertising budget is by using a percentage of sales. This approach works best in businesses with steady and predictable sales because it assumes that sales are directly related to advertising.


For your calculation you will take last year’s gross sales or next year’s projected sales and allocate a percentage for advertising. This percentage can vary depending on many factors including profit margins, media costs and how much your competition is spending on advertising. Most retailers will operate with an advertising budget of somewhere between 3 and 6%.


The downside to this method is that future sales are not guaranteed. If there is a significant change in the market or spending patterns the actual percentage spent on advertising could be much higher than anticipated. Adversely, if sales are high and the market is good you may under spend on advertising and miss prime opportunities.


Objective/ Task
The objective or task approach for setting an advertising budget requires set goals for your business. Tasks can be either financial or related to the marketing activity that is generated by advertising. Retailers should set sales objectives they feel are attainable in the current business climate and have a coordinated marketing program to help them achieve these goals. Advertising and promotion is used as needed to help achieve the goals and only then is your budget set. For example you may want to increase the traffic in your store by 15%, your budget will then be based on achieving this objective.


Best Guess
When budgeting for advertising companies just entering a market won't have enough knowledge of how much advertising is needed to achieve their goals. In this case there are a few different things that the business can do to make a "Best Guess". First, keep a very close look at competitors and what they are doing. Find out where they are advertising and how often and make note. A business in this situation may also consider contacting an advertising agency.


Be Flexible
There is no exact science for determining how much you should spend and no “one size fits all” answer to how you should make your calculations so remember to be flexible in all of your planning. What you would like to invest and what you can afford are seldom the same. Your first budget might seem difficult, but it will be worth the effort when you are analyzing the results of your advertising





Basics of Co-op Advertising- Extending your Advertising Budget


If you are looking to maximize your advertising without breaking the bank, cooperative advertising (co-op) is an often underutilized method that can help you stretch your business’ budget.  Co-op is a cost sharing arrangement where manufacturers and distributors offer to pay a portion of advertising costs for ads that include their products.  It is estimated that manufacturers allot almost 30 billion dollars annually to help businesses market and sell their products and surprisingly a significant amount of these funds go unused each year.


Co-op advertising programs are not unusual and many businesses use them in order to upgrade their advertising or get more exposure.  When a department store features a certain brand of mattress, or a grocery store has a special on a particular wine, there’s a good chance that the manufacturer helped pay for the ad.  Imagine having your suppliers paying for half of a newspaper ad that you want to run, or paying for a portion of a radio spot that you want to put on the air.  This is possible through co-op programs.


Co-op Advertising Benefits for your Business


-Increases exposure by allowing you to advertise in multiple mediums including print, television and radio
-Reduces the cost of your advertising, allowing you to advertise more
-Allows your business to run larger ads or to add upgrades such as color or placement
-Increases your brand awareness


When you are ready to use co-op advertising, you’ll want to first speak with your suppliers and distributors to see what options are available to you.  If they have a program in place you should be able to obtain a copy of their guidelines.  Restrictions on programs often vary greatly and it is important to have a good understanding of what options are available to you.  Some programs will restrict what additional content can be in your ads while others will have more relaxed guidelines.  Be sure that you know what is required of you before committing to an ad.


As you begin running a co-op program, be sure to keep a good record of all of your ads and approvals as necessary.  Many co-op programs will require for you to pay the cost for the ad in full and will reimburse you when properly submitted to them.  If you have questions, your local media account executive will be able to help you in providing proofs and invoices as necessary to receive your correct reimbursement when the time comes. 


Is there money available for your business?  There sure is, suppliers and manufacturers are just waiting for you to ask for it.  Anything else? www.WhillyBermudez.com 




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