When Should You Advertise? The Big Picture
It is a common questions for businesses that when do we need to advertise. In fact, most business owners understand they need to advertise for more traffics, attentions, sales leads in order to improve sales revenue. But, when should carry out advertising campaigns?
Frankly, advertisement is a continuous marketing practice at any stage. The question is a matter of how much to invest rather than when to do it.
We do not recommend business owners to self manage online marketing for following reasons:
- cost efficiency
Digital marketing is a specialized domain. SEO company, Advertising agency, Social Media Marketer are typical example of digital marketer. Most SEO agency covers functions of advertising agency and social media marketer as well.
Major functions of an SEO company are
- to discover target audience,
- propose and implement SEO strategy (search engine optimization),
- email marketing,
- search engine ranking and organic search improvement,
- online ads such as Google Ads, Facebook ads and social ads etc
- content marketing,
- define digital channels for content delivery, etc.
Appointing SEO agency to help achieving your business goal is effective and cost efficient. Eventually, business owners gain significant benefits by hing SEO company for SEO and advertising services.
Business Life Cycle
Start Up / Initial stage:
Advertisement is crucial for a start up business. It builds up initial customer base, and grow business into a stable stage. Investment during this stage is high. You need to reach your target market in short period of time.
A market is a demand pool of products/services you sell. SEO campaign and Advertising campaign will not generate additional market to demand pool. It helps business to gain more market share from the demand pool.
Steady Growing stage
When business gets to a steady growing stage, you may consider to reduce advertisement investment. However, running advertisement allows to maintain market position. It also fight against competition.
Running a business is no difference to rowing a boat against current. If you stop, you don’t stay there. You are moving backward. Keep moving forward is the only way to maintain market shares.
There are always competitors trying to overtake your business. Advertisement does the job to drive your business forward in any stage.
Run advertising campaign is able to maintain and improve your competitiveness at any stage.
When revenue declining becomes noticeable, business owner shall find out the reason fast. If it is internal, such as services level or products standard issues, fix it. If it is external, determine if the market is shrinking or your competitors are stealing your shares.
As long as it is not internal factors, business can boost revenue via advertising campaign, dominate more market shares.
In this stage, you should consider for a greater investment in advertising.
Expanding your business is not just for improving profits, it also
- maintain market leading position
- gaining additional market share
- establish branding.
Expanding your market will result kick-back from competition. It is not uncommon to see competing brands initiate advertising campaign one after another.
Whoever initiate an advertising campaign, competitors will follow as marketing defense. Some typical examples are Coca Cola vs Pepsi, Nike vs Adidas, Mercedes vs Audi vs BMW, etc.
This article is just a broad concept to explain the needs of advertisement in your business practice. There is no one plan fit all strategy.
We are specialized in SEO and digital marketing services for businesses.
If you want to improve your business performance, contact us now. We offer a free business consultation session with no obligation attached.