Someone recently posted the following question in an MSP-focused discussion group: “Is the expense of marketing worthwhile during down times like these?” that caught my eye.
While I hesitate to pull out the sales technique of calling an expense an “investment”, the truth is that’s what marketing should be. In business, you spend money to get a return in increased revenue. If your ROI is less than 1:1, you didn’t make a very good investment, did you? Since neither good times nor bad times are an excuse to throw your money away, I’m of the opinion that when the economy is up or when it’s down, it’s not whether you invest in marketing . . . it’s how you invest in marketing.
Invest in Your Professional Image
To establish yourself as a Trusted Advisor for Managed Services, you and your business can’t look like Joe the Computer Fix-it Guy whose brother-in-law can fix your plumbing. First impressions last and image matters. Focus on the little things that ensure your appearance, office, business cards, website, and other items your clients and prospects see reflect your professional brand. This may not sound like marketing – but it is. Your brand is a key element of the marketing mix – and you are your brand.
Focus on Your Existing Clients
In almost every case, acquiring a new client is more expensive than retaining an existing one. Now is the time to make sure that you and your team are focused on delighting your clients beyond their expectations. Even simple marketing efforts such as distributing a monthly newsletter help with client retention and satisfaction, and are key marketing investments. If you don’t invest in retaining your existing clients, you’re going to incur a lot of unnecessary (and higher) marketing expenses to attract new ones. Your highest ROI marketing will be to you existing client simply because the cost will be the lowest.
Target Your Sales and Marketing
Take a careful look at your client base. Segment it thoughtfully, and come up with specific pain-points for each segment. Then design your services and marketing to address these. Now your marketing can very precisely both meet their business challenges, and consequently grow your own business. Great ROI comes from rifle shot – not shotgun – marketing.
Example: If your goal is to sign more clients on managed service contracts, then you should be focusing on consistent, ongoing marketing efforts to your break-fix clients (and only those) to educate them on the benefits of managed services and the programs you offer.
Tune the Message to the Times
There’s no sugar coating it – we’re in for a rough patch. As you segment your clients, think about their unique challenge in these times. Perhaps you have some clients in very tough sectors for whom your goal should be retention of the status quo. Cost cutting and employee reductions will be prevalent in many companies – how can you help them? Communicate to your clients that you’re with them in good times and bad – and show them how you can help.
Lead Generation
Lastly, when you feel the time has come to proactively prospect for quality leads, make sure your house is in order: your image, your team, and your existing client base. B2B lead generation marketing is one place where there’s no excuse for not knowing your ROI to a couple of decimal points. During these tough times it’s going to be that much harder to win new clients. You will need to be especially targeted, and track your results very carefully. Don’t accept the status quo. Just because you’ve advertised in the Yellow Pages forever doesn’t necessarily mean you need to continue doing so. If you can’t point to a client that came from each marketing investment – cut it off now. Do small, targeted marketing actions consistently – and consistently measure results.
