You have goals for your business.
You may want to sell your business in five years’ time. Perhaps you want to keep growing, simply to see how big you can get. Whatever your goal, you have to have a marketing strategy that supports your business goals. Let’s look at whether your marketing will support your goals.
Are your goals SMART?
You will, almost certainly, have heard that goals should be SMART: Specific, Measurable, Achievable, Relevant and Timed. Using this definition, let’s look at the two suggestions I made above.
You want to sell your business for £3million in five years’ time
- Specific: you have an action and a value.
- Measurable: you can track the value of your business to see how close you are getting to your desired valuation.
- Achievable: Five years is a good amount of time to grow to a valuation of £3mill
- Relevant: of course, it’s your desire
- Timed: In five years, you will know whether you’ve achieved your goal
You want to keep growing and see how big you can get.
- Specific: No
- Measurable: you can track how big you get
- Achievable: with no target, how can you say whether you’ve achieved
- Relevant: suppose so, sort of
- Timed: No
What’s the point of having a goal that you cannot assess yourself against? How will you know if you’ve been successful?
What should you be Budgeting for growth?
If you spent £10,000 on marketing your business last year and you added £100,000 to your top line last year, but you want to grow by £400,000 this year, what should you spend?
There are two easy answers to this question and one more complex:
- Not £10,000
- Four times as much to get four times the growth
- Let’s look at what worked from the £10,000 and what didn’t. We then stop spending money on things that didn’t work, spend more on what did work and then look at other marketing activities that may work.
Of course, the last answer makes things complicated, but it is far more likely to deliver the increased growth you are looking for.
Do you have enough Resource?
As your business grows, you add to the team in a number of ways:
Almost certainly you add delivery resource so that you have the capability to deliver what is needed to generate the growth.
You may not need to add administrative support, but all those extra invoices have to be sent somehow. If you make a product, you need to source more raw material, but that may simply be making the number bigger on the PO.
Sales & Marketing
There are two issues with your marketing:
- What marketing are you going to do?
The biggest issue is how are you going to find all the sales opportunities you need to achieve your business goals. Your options are:
- Your current clients buy more of what they are already buying
- You sell other products/services to your current clients
- You sell your current products to more clients
- You sell new products/services to new clients
For those who enjoy a bit of theory, Ansoff’s Matrix is what you need to Google to read more on this.
Whichever growth strategy you decide on, you need a marketing strategy to deliver those leads:
- How are you going to persuade your clients to buy more?
- How are you going to make those clients aware that you have other things they can buy from you?
- How will you get in front of more people to sell your current products, or new ones?
Your strategy and your marketing plan need to be focused, planned and then delivered effectively – we can help with that bit BTW!!!
2. Who’s going to do your marketing?
Your choices here are:
- You do it all yourself, perhaps with some external strategic support to ensure you’re maintaining a consistent level of activity.
- You outsource some of it, particularly for the stuff you don’t have skills in
- You outsource all of it, with your provider maintaining a good level of communication to keep you up to date on what is happening and what is, and isn’t, working.
So to ensure that your marketing support and delivers on your business goals, you need:
- SMART goals
- A marketing plan based on what you know has, and hasn’t worked, previously
- a budget that matches your business goals
- the resources to deliver that plan
We hope this helps.