How Businesses Waste Marketing Dollars
admin | Aug 10, 2021
Businesses like yours want to eliminate wasteful, unwise spending. This is especially the case now, as many businesses are aiming to bounce back from the COVID-19 pandemic.
If you are looking to fully maximize profits, the marketing budget should be tightly monitored and reviewed. There are countless ways you can waste their marketing dollars, and that will lead to decreased leads and sales. Nobody wants to see that, and all business owners tirelessly make sure their marketing budget is properly utilized.
9 Ways Small Business Owners Waste Their Marketing Dollars
Here are a few common mistakes we see companies make. Eliminate these poor methods and you’ll generate more revenue for your business.
1. Improper Advertising Spending
Not all ads should be about brand awareness. Advertising should have a healthy balance of lead generation vs non lead generation spending. Yes, brand awareness is important, but a next step is needed to gain conversions.
Your ads must have a call to action. Those calls to action, such as a phone number, contact us link/form, or special offer, will help increase conversions. Brand awareness cannot be the only focus. The mindset of counting on people to remember you when they are in need cannot be counted on. It does not always work that way. Create a need now with lead generation-focused advertising.
2. No Measuring System In Place
Do you know where your leads are coming from? Do you know which ads – or even which ad platform – generates your best leads?
Without proper analytics and measuring, you will never know how your campaigns perform.
At a minimum, you want to have analytics connected to your ad platform for proper attribution. As you expand the complexity of your digital advertising, you may want to use call tracking, marketing automation, and a customer relationship management (CRM) tool.
3. Chasing Popular Trends
Social media is and will be an important tool for your business to utilize. It can also be damaging. Not every social media platform is necessary for your business. Before you devote resources toward a particular social site, find out first if people who fit your ideal customer profile use it.. If not, it’s likely not a good fit.
Don’t allow FOMO (fear of missing out) on a new social platform derail you. Chasing trends that do not necessarily work for your business will waste your money.
4. Not Targeting Paid Ads
Digital advertising is an excellent way to boost traditional advertising (such as print, billboards, radio, and more) you might be doing (and digital is often cheaper and more targeted).
Geographic and demographic targeting with paid advertising should be very specific. Leads will not come in if targeting is unclear or left untouched. Know where your customers reside and what matters to them. Target your ideal prospects with purpose.
5. Targeting the Wrong Keywords
Keywords work best when they’re based on intent. Digital advertising is wasteful without proper keyword targeting. These keywords are what people use when researching and utilizing search engines.
One example can be targeting the wrong geographic area. This could include focusing on an area where your audience does not live. Don’t make the mistake of mistakenly targeting Lancaster, CA when your audience lives in Lancaster, PA.
6. No Consistency
Marketing works best when it has a consistent strategy and message. Inconsistency can lead to confusion. Make sure key business information, such as name, address, and phone number, are all consistent wherever your business is found online.
Similarly, dividing resources too thinly, or abandoning a strategy too quickly, can lead to wasteful spending. Make sure marketing campaigns, such as newly created paid advertising, have plenty of time to generate enough data.
7. Broken Website Pages
Broken website pages cause frustration for everyone. If a consumer lands on a broken website page (aka a 404 page), they will usually leave your site. If a paid advertisement leads a consumer to a broken page, that is even worse because you’ve just paid for that ad click.
If you are going to run advertisements, make sure to send them to a working landing page. This page should have useful and helpful information, as well as a clear call to action so the consumer can take a meaningful next step (ex, calling or completing a form).
8. No Focus in Multiple Profiles
If you are not shifting a focus into having a detailed company profile and listings outside of your own website, you are missing out. New customers find your website by searching on the web and need to be led there in some way. A Google My Business profile is one of the most important examples. Studies show that 64% of consumers have used a Google My Business profile to find details for a local business. Some customers may contact you straight from your Google My Business profile and may never even visit your website. Consumers live on Google, so a profile on there should be a priority.
Another example is Local Service Ads. Businesses, especially in the home services industry or HVAC / Plumbing industry, should be utilizing local service ads to maximize exposure. These ads will get your business noticed.
9. Have a Reachable Goal
There needs to be a reachable end goal if you are going to put time, effort, and money into a platform. All goals need resources to succeed. If these goals are unattainable from the beginning, then this effort could be a waste before it even begins.
What Can YDOP Do?
Do you think your marketing dollars are being wasted? YDOP can help! Contact us today to start a conversation on how we can help your business eliminate wasteful spending.