The Boost You Need

Most companies are clamping down on costs as the economy slows to a trickle, and that often means slashing the marketing budget or doing without one—just when it’s most important to get their messages to potential customers. In a down market, advertising, public relations and other publicity are more crucial than ever, say marketing pros.

We spoke to four small business owners who are doing their own marketing. Then, we asked four professional marketers how they would position these companies, based on the overviews we provided.

Even with limited information, the marketing experts came up with solid, affordable starting strategies. Read on to decide if you would budget for them. 

The Business: Self Publishing
The concept behind Karen Freysinger’s publishing company, "Aha!" Elora Danan Productions, began with a family pet. It was actually a guinea pig, named Countess Pigula, that belonged to her 10-year-old daughter, Elora Danan. These two inspirations—children and guinea pigs—led to Adventures of Countess Pigula: Her Royal Imagination, the first children’s book in Freysinger’s planned series about their pet.

"One day, I’m feeding my daughter’s guinea pig and singing this song, this rhyme about this guinea pig, and two days later, the same thing came out, and my husband was like, ‘You’d better write that down,’" recalls Freysinger, of Fort Myers.

After years as a massage therapist, she returned to her graphic design and writing background. She wrote and illustrated the children’s book, which hit shelves in the spring of 2007. About 1,000 copies have sold, with help from wholesaler Baker & Taylor Inc., at $15.95 each.

"I checked on prices of books [with] illustrations comparable to or better than mine," she says. "I had to take into account what it would cost me to actually print it."

It cost Freysinger about $10,000 to publish, which she paid from her savings. Much of the cost came from printing—more than $3 per book for 2,000 copies. Freysinger plans to raise the price of her second book, Adventures of Countess Pigula: Up, Up and Away, to $16.99 to cover rising costs of production. She expects to release it this summer.

To get exposure for her books, she gives presentations at local libraries and volunteers at Lee County elementary schools, where she reads to children. But Freysinger says she could use some advice when it comes to the financial and marketing aspects of her business.

"I don’t necessarily have a budget," Freysinger says. "Unfortunately, you’re talking to someone who doesn’t know a whole lot about business."

She doesn’t currently pay for advertising, and says she promotes the book by word-of-mouth and through bookstore signings. She’s done 45 signings since its release. She also sent out 150 copies of her book to newspapers and magazines around the country for review, several of which published articles on it.

Her books are available at several local bookstores, all Borders locations and online at www.amazon.com.

MARKETING ADVICE: GRAVINA, SMITH & MATTE
Freysinger’s initial marketing strategy should be to focus on the Florida market so she can leverage her relationships, build a name for her business and efficiently use her resources, says Amy Gravina, president of Gravina, Smith & Matte Marketing and Public Relations.

Branding the product with a logo will also help distinguish it from the competition, she says. "The production company needs to be branded to ensure that it represents the company’s mission, values, products and services."

Freysinger made a good move by getting a national wholesaler, but Gravina says she should make sure her books are distributed through targeted booksellers, with optimal shelf space placement.
The next step would be to find a good, non-competitive partner, such as clothing or toy stores for children, pediatrician offices or pet stores.

"We recommend point-of-purchase displays that either sell the books within the existing store, or promote sales through the Web site," says Gravina. "Another option would be to partner with a charity that shares the same audience." The books could be sold at the charity’s events, through member newsletters and on its Web site with a portion of the sales donated to the charity.

Freysinger should also establish her own Web site, Gravina says, and work with a Web designer to secure domain names, establish payment systems and integrate search engines.

Beyond the Internet, media relations will also help Freysinger advertise her books through print press coverage and interviews on radio and television news and community affairs programming. She should capitalize on media coverage anytime she has sales milestones, positive reviews and new releases, Gravina says.

The Business: Framing Shop
When Susan Swanson and her husband, Ted, owners of Aldecor Custom Framing in Naples, first saw the store for sale in a local paper more than two years ago, they knew they wanted to buy it. Both came from corporate backgrounds—she was formerly an auditor, and he worked in industrial sales—but their shared passion for home design made them decide it was time for a career change.

"My husband has had a lifetime hobby of woodworking and has done numerous projects for our own home, as well as for family and friends," Susan says. "I’ve always had a talent with color, texture and design. So when we saw the ad [for the framing business], it made sense to us [to buy it].

"We’re winging it," Susan says. "We’re loving it, but we don’t know the ins and outs."

What she does know is that good customer service results in repeat buyers, and the Swansons work hard to keep them coming back.

"We offer great design service," Susan says. "If a customer comes in and they’re not sure how to design something—maybe they have a contemporary piece of art that they want to merge into a traditional room setting—we can advise them how to do that with the frame."

Many of her customers are interior designers, artists and gallery owners.

"Interior design customers bring artwork in and leave it here for me to come up with framing ideas," she says. "It’s a time saver for them."

The Swansons are the store’s only staff, but they are looking to hire another person so they can focus more on marketing. "If we hire someone to work here, one of us will be able to go out, make sales calls and connect more with the neighborhood community, networking groups and get our name out there," she says.

They currently get their name out through phone book advertisements, which cost $400 a month. Their Web site (www.aldecorcustomframing.com) helps, but Swanson says it hasn’t produced the results they had hoped for.

"We just added a contact sheet three days ago for people to write what they’re looking for, and then we can get back to them," she says. "Right now, [the Web site] is great, but it’s not really bringing people to us."

She tried offering coupons in local newspaper advertisements, but withdrew them after getting no response.

She estimates only 25 percent to 30 percent of their customers are retail, mostly due to the lack of pedestrian traffic, she says. "By word-of-mouth, we’re growing," she says. "It’s our main source of advertising. Everyone has something under their bed they want framed. We just have to get them to bring that shoebox in."

MARKETING ADVICE: ABOVEWATER
"The Swansons smartly aligned with industries that can provide customers," says Cynthia Dobyns, owner of AboveWater Public Relations & Marketing. Dobyns recommends expanding business-to-business leads by placing ads in both local and national trade publications read by interior designers and artists. They should also consider partnering with wedding and portrait photographers to help them reach end-users, and offer to frame art at trendy restaurants for exposure to their customers, she says.

"In the Yellow Pages, add museum mounting, worldwide shipping, and home or office consulting service to tap into commercial work," Dobyns advises. They should keep in mind that new business comes from existing customers, she adds.

"Ask [clients] to include Aldecor on their Web sites or newsletters," she says. "Affix a sticker or certificate with the Web address on every frame with an incentive to return or refer a friend."

In gallery shows, the Swansons could ask for space to advertise or place business cards. Exhibiting at design trade shows and art fairs and hosting seminars would help them gain additional exposure.
"Communicate with existing customers through a print or online newsletter," Dobyns says. "Include testimonials and examples of Aldecor’s design solutions. Place [these] on the Web and submit [them] to local magazines and newspapers for editorial coverage."

Most important, she says, "Always remember to thank those who refer business."

The Business: Home Furnishings and Services
Cristina and Ross Cohl have been providing interior design, color consulting, painting and similar services in Southwest Florida for eight years. Now they have a shop that complements their "home services" business.

In October they opened Simply Posh Interior Living Inc., a retail and consignment store in Cape Coral that promotes green living and features recycled, organic and earth-friendly home and garden products, including reclaimed beds, furniture from around the world, plus soaps, textiles, jewelry and other home décor items. Prices range from $2 for small items to $3,000 for a glass-doored cabinet of native wood from India, and most furniture is priced from $150 to $1,800, Cristina says.

She says they opened the retail outlet to fill a need. "I’ve been looking at what is available in town, and they never had what I was looking for," she explains.

"We’re trying to bring in things that might not have the best profit margin but that you might not see across town," Ross says.

They continue providing interior design-related and home-repair services. "What is different about us is we offer all the home services you need," he says. "If we can’t do it, we have somebody who can," through their network of subcontractors.

The couple counted a client base of about 150 before launching the retail outlet, and Cristina estimates 100 new and repeat store customers per month.

To boost exposure, they spend $2,700 to $3,000 a month on advertising. They’ve advertised through Comcast television, The News-Press and Coralwood Cinemas in Cape Coral, all of which have generated response. They also distribute a brochure and advertise on a trailer parked outside the showroom.

MARKETING ADVICE: PRIORITY MARKETING
Simply Posh is moving in the right direction, according to Teri Hansen, president and creative director of Priority Marketing in Fort Myers.

"They’ve got a real diverse offering, the retail as well as the service side," she says.

With a 2008 sales objective of $750,000, "They’ve got pretty ambitious revenue goals. They only have four months of operation and revenue to base their projections on," Hansen says.

The Cohls have made a sound decision by earmarking 4.5 percent to 5 percent of projected revenue on marketing and advertising, which she calls "relatively conservative but very commendable for a new business."

Hansen recommends the Cohls continue television and newspaper advertising and try to build publicity. For example, they should try to attract media coverage of classes, lectures or events they offer.

"Publicity is one of the most cost-effective means of generating exposure," she notes, "and it should be a major part of the marketing program. This will leverage the advertising dollars they are spending while creating a more well-rounded, integrated program."

Hansen also suggests the Cohls start tracking customers who visit the store to shop and to participate in those classes, lectures and events, which she calls "great, low-cost lead generators. [They] should be promoted as much as possible in their print and TV advertising."

Then the Cohls should work those leads. "They don’t seem to have a good database of customers who have already come into the store," Hansen says. "Dollars are spent to bring in traffic/leads, so if they are not utilized as an asset, then the dollars have been wasted."

Other possible tactics to boost business include a referral program, such as awarding a gift certificate for every three referrals who use their services, approaching nearby Ada’s Natural and Organic Foods Supermarket for cross-promotional opportunities, and direct mailing to interior designers.

The Business: Martial Arts Studio
Kevin Potter had wanted to start his own martial arts business for years.

After the karate studio in Naples where he and his family had trained closed, the longtime Estero resident didn’t find another suitable location to train. So he opened his family-owned Estero Martial Arts and Fitness on the corner of Corkscrew Road and Three Oaks Parkway.

"We saw that there was a need in the Estero area," says Kevin, a paramedic for Collier County Emergency Medical Services. "We could share what we felt was the right way to teach martial arts."

Kevin, his wife, Linda, and his teenage son Kyle, all of whom have trained for 12 years, teach most of the classes. Kevin and Linda, both second-degree black belts, are certified martial arts instructors through the American Council on Martial Arts, and Kevin was promoted to sensei in 2002. Kyle is a third-degree black belt and member of the North American Sport Karate Association.

As his first venture nears its one-year anniversary in June, Kevin hopes it has enough kick to survive in an uncertain economy. He needs 110 students by the end of the first year to break even.
Through the first eight months, 51 children—most of them five to 12 years old—and 19 adults trained at the facility. The business offers training in martial arts, self-defense and cardiovascular conditioning.

The martial arts program, which stresses Kyokushin karate and grappling, occupies the bulk of the Monday-through-Saturday schedule. Two instructors are on the mat during classes, which have a cap of 25 students, he says.

The Potters give exhibitions at Estero-area locations and are raising their visibility in the community, participating in events such as Relay for Life. Kevin says he works with Kids in Competition Karate as a tournament host, including one this month he believes will attract 100 participants from throughout Florida. He also works with the Estero Gulf Coast Kiwanis Club, whose Web page features a link to the business, which is also listed in the Bonita Springs Area Chamber of Commerce online business directory.

MARKETING ADVICE: FIRESTONE AND CIMRING
As a new small business, Estero Martial Arts and Fitness has started well, says Diann Cimring, partner and president of Firestone & Cimring Advertising in Fort Myers.

"They seem to have a good handle on what they are trying to accomplish," Cimring says, adding that the business seems to have a decent number of students.

She recommends localized marketing, anchored by newspaper advertising in The News-Press weekly entertainment section and editions that target Estero and Bonita Springs, as well as a monthly ad in a community newspaper. Advertising in the two print publications will be within the $1,000 per month Kevin has been allotting for promotion, which Cimring says seems sufficient.

She also proposes the Potters obtain a list of people living within the immediate zip codes and send direct mails to households earning at least $75,000 and with children. At $1,300 to $1,500 annual membership fees, she says, "People have to have a fairly decent income to afford it."

She encourages the Potters to hold an open house, to produce brochures themselves and to post fliers at area schools.

"This is the type of business that ultimately, if they are good, will become a referral business," she says. "They need to definitely promote their experience and training."