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2

How to Market Small Business Style— Low Cost with a Focused Effort

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Life of a Small Business Owner

We Work a Lot

We Are Leveraged

We Must Always be Recruiting & Selling

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…..How Much to Invest in Marketing

…..Their Target Customer

…..Where to Invest in Marketing

Successful Companies Know…

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29.6 Million US Businesses

304,059,724 Million US People

Do You Know…..

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Versus

Business to Business (B2B)

Business to Consumer (B2C)

CharacteristicsIdeal Customer

CharacteristicsIdeal Customer

Ideal Customer Profile

Ideal Customer Profile

…Your Target Customer?

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Ideal Customer Profile

Ideal Customer Profile

Find Out How Many Exist

Business to Business (B2B)

Business to Consumer (B2C)

Get Counts

Get Counts

2,449 Business

9,050 People

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$412,400,000,000Estimated USA Advertising

& Marketing Budget

Do You Know…..

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….How Much to Invest in Marketing?

XX% of Revenue

TOO GENERIC: YOUR BUSINESS IS UNIQUE

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Determine Prospect Lifetime Value (PLV)Step 1: Calculate the Customer Life Time Value (CLV)

– Average Sale Per Customer– Number of Times a Customer Buys Per Year– Average Number of Years a Customer Buys from You

Step 2: Estimate the Acquisition Rate– % of Targets That Will Buy From You

Step 3: Calculate the Acquisition Spending– Add up all costs for the marketing effort (design, writing,

delivery, offer, etc) & divide by the total audience

PLV = Acquisition % * CLV – Acquisition Cost

10% * $1,500 – $100 = $50

100 *5 *3

= $1,500

$10,000 /100

= $100

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Forecast The Required Demand

Assumptions– 35% of Targets will Demo– 45% of Demos will Close– $50 Average Unit Deal Size– 2.5 Units per Account– 3.5 Years per Account

635 Targets to Achieve $150,000 in Revenue

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AwarenessAwareness KnowledgeKnowledge LikingLiking PreferencePreference ConvictionConviction PurchasePurchase

Buyer Readiness State

TelemarketingTelemarketing

Dir

ect

Mai

lD

irec

t M

ail

Search Engines

PPC

WebAds

TradeShows

Search Engines

PPC

WebAds

TradeShows

EmailEmail

eNewslettereNewsletter

Web

Sit

eW

eb S

ite

Choose Your Tactic Wisely

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…..Avoid Spending Too Much on Marketing

…..Determine Your Target Customer

…..Allocate Your Marketing Investment

Now You Know How To…

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Resources

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Thank you

Questions