BUSINESS INFORMATION
Marketing and promotion strategies
Deciding on your product, price, promotion, place, people, and processes is essential to creating a marketing mix that attracts and retains customers. Many small businesses come up with great ideas but fail to market them effectively.
Many small businesses come up with a fabulous business idea but then fail to market it successfully.
Marketing is the process of getting your business noticed by those who need or want your products or services. It involves more than just advertising and selling. You must connect with the right audience and create strategies to spread the word about your business to build a loyal customer base.
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Marketing plan template
As a general guideline, allocate between 3% and 5% of your actual or expected annual turnover for marketing. If your business is new, you may need to invest more initially to establish your business profile.
To assist you in creating an effective marketing plan, download our free template and accompanying guide.
The six ‘Ps’ of marketing
When marketing your products or services, there are six key aspects to focus on, commonly known as the six ‘Ps’:
Product
Product refers to the goods or services your business offers. It involves considerations such as packaging, labelling, branding, and quality to ensure it meets customer needs.
In Australia, mandatory standards govern product safety and labeling, which should be considered when developing your product.
Price
Setting the right price for your products or services is essential for profitability and staying competitive. Begin by calculating all costs related to production and delivery. Then, research your target market to assess how much they are willing to pay. If there’s a discrepancy, you may need to adjust costs or target a different market.
Promotion
Promotion involves the methods you use to advertise and sell your products or services.
Common promotional strategies include:
- Social media campaigns
- Online advertising
- Discount offers
- Email marketing
| Channel | Outcome |
|---|---|
| Website | Attracts customers and promotes products/services. |
| Social media | Builds business profile and engages new customers through interaction. |
| Videos | Engages customers and builds reputation on platforms like YouTube. |
| E-newsletter | Keeps loyal customers informed about business updates and offerings. |
| Word of mouth | Encourages customers to share positive experiences via online reviews. |
| Loyalty programs | Incentivizes repeat business and customer retention. |
| Print advertising | Promotes business via newspapers, magazines, and local publications. |
| Brochures and flyers | Focuses on products/services and how customers can make purchases. |
| Mail-outs or letter drops | Reaches local customers effectively with personalized mail. |
Place
This aspect of marketing refers to how your customers will access your products or services. Distribution channels can include:
- Retailing directly to customers through a store or outlet
- Selling goods via wholesalers
- Retailing online
- Using distributors, consultants, or agents to sell products
When selecting a channel, consider your target market and the logistics involved in delivering your products or services.
People
You will likely engage with suppliers, distributors, wholesalers, stakeholders, and employees to bring your product or services to market. These groups are integral to your team. It is crucial to ensure they understand the importance of delivering quality products and excellent customer service.
Processes
Effective customer service and business processes are vital to support your marketing goals. These processes might include:
- Procedures for ordering stock
- Ensuring timely product or service delivery
- Offering opportunities for customer feedback
- Regularly reviewing sales and financial reports
You can improve your overall customer experience and business efficiency by establishing streamlined processes.
Useful resources
Guide to marketing and branding
Maintaining and developing a successful, sustainable business relies on how customers perceive and experience your product or service. Marketing and branding play a crucial role in shaping that perception.
Marketing plan template
Attracting customers and getting the word out about your business is vital for success. This marketing plan template helps you determine the most effective ways to get noticed by the people who need or want your product or service.
Guide to using the marketing plan template
This guide will walk you through the process of completing a marketing plan for your business. It is designed to be used alongside our marketing plan template.
SMALL BUSINESS HELPLINE
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Other helpful resources
- Sales and Marketing
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