Q: I
operate multiple profit centers. I sell calligraphy and a booklet
on garage selling. My third venture is an MLM that I actually help
my husband with. I know about 35 different ways to market, but just
can't seem to get enough sales. What do you recommend?
A: My
answer may surprise you. You see, the secret to increasing sales
doesn't lie in choosing just the right marketing tactic for
each of your businesses. I suspect your real problem is one
that's experienced by many entrepreneurs--a damaging lack of
focus.
Plenty of entrepreneurs make this dangerous mistake. They try to
market more than one business at once, or they tackle too many
targets for a single business. Suddenly, they discover that their
time and budgets are fragmented beyond their ability to produce
positive results. The solution is to get--and stay--focused. This
single alteration can actually reduce your marketing costs and
increase sales.
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The trouble with trying to market several businesses at once is
that you end up with many different target audiences--each
requiring its own set of sales and marketing tactics. To build your
calligraphy business, for example, you'll need a B2B sales and
marketing program that targets wedding and party planners and
retail operations that sell custom-printed invitations. To reach
them, your sales tactics may include creating an in-house prospect
list, making cold calls to set up appointments and handling
one-on-one meetings with prospects. And you'll require printed
marketing materials to support this effort. But selling a booklet
on how to profit from garage sales will require a separate
marketing effort to target consumers, possibly through a
comprehensive Web site and an e-mail marketing campaign.
It's easy to see how marketing the calligraphy or the
booklet would each require a substantial, concentrated effort on
your part. You can do one well, or both just marginally. Instead of
trying to gain small profits from a variety of individual ventures,
for best results, the key is to pick one of your businesses
(preferably the most profitable and enjoyable) and focus all your
marketing energies in that direction.
Whenever I make an appearance on a radio call-in show, I
inevitably get a call from someone who says, "Kim, I have the
greatest product on earth. Anyone can use it--kids, parents,
businesses." And then I'm forced to reply, "Do you
have unlimited funds to launch this product? Can you start off with
$10 million, or how about $20 million or more?" Because no one
can market to everyone. The cost would be astronomical. Even the
world's largest companies, with seemingly unlimited marketing
funds, typically focus their efforts on a single type of product or
service for individual niche markets. And the actual campaign
messages they employ differ depending on the hot buttons for each
niche.
As an entrepreneur who has limited time and money to waste
chasing after unqualified prospects, it's vital to narrowly
focus on your best, most profitable target audience groups. This
will reduce your media costs--since you won't be advertising to
reach marginal groups--and free up the time you would otherwise
lose meeting with low-quality prospects.
For entrepreneurs who operate several businesses at once,
choosing just one can seem like an overwhelming task. The secret
lies in following both your head and your heart. Start by examining
the business potential and the corresponding costs of each of your
ideas. For example, consider which business has the greatest chance
for success based on your ability to fund and manage the operation.
Then, review the ideas that look best on paper and decide which you
feel most passionate about. When you're passionate about what
you do, it shines through to customers--and can make all the
difference between lackluster sales and a stunning success.
Kim T. Gordon is an author, marketing coach and media
spokesperson-and one of the country's foremost experts on
entrepreneurial success. Her newest book, Bringing Home The Business, identifies the
30 "truths" that can make the difference between success
and failure in a homebased business. Kim offers one-on-one coaching
by telephone to motivated individuals, providing practical
marketing advice and budget-conscious strategies unique to your
business. To receive free how-to articles and advice, get
information on coaching and appearances, read a book excerpt, or
contact Kim, visit http://www.smallbusinessnow.com,
a huge site devoted exclusively to marketing your small
business.
The opinions expressed in this column are those
of the author, not of Entrepreneur.com. All answers are intended to
be general in nature, without regard to specific geographical areas
or circumstances, and should only be relied upon after consulting
an appropriate expert, such as an attorney or
accountant.