Marketing is vital to business success, yet determining a suitable investment can often be challenging. This is particularly true for companies that struggle to understand the return on investment of their efforts. The lack of clarity around whether marketing investment strategies are working can arise from various reasons – from limited data to an overabundance of information. Here are a few key indicators to help businesses determine if they need more or less marketing.
Signs You Need More Marketing:
- Losing market share to competitors
- New competitors entering the market
- Stagnant or declining business from existing customers
- Flat or declining customer acquisition rate
- Launching new products or services
- Entering new markets
- Limited leads generated from the website
- Negative impact on brand reputation
- We need to free up the sales team to focus on sales instead of lead generation
Indicators You May Need Less Marketing:
- Limited budget and staffing to support all campaigns
- A strong sales team that effectively obtains and retains customers
- Eliminating or reducing products/services offerings
- Exiting certain markets
- Lack of consensus on strategies
- Substantial erosion of profit margins
Adjusting Approach
Often, a different approach may be a better solution than altogether abandoning efforts. For instance, when margins erode due to commoditized products/services, traditional expensive marketing campaigns such as social media and print advertising may not yield desirable results. On the other hand, a well-executed email or PPC ad campaign can provide a measurable and attractive return on investment.
Sharpening Focus
One area where less can genuinely be more is when a company is spreading their efforts too thin. Marketing campaigns are most effective when executed with a critical mass of breadth and depth rather than just skimming the surface of social media, SEO, or email.
The Ultimate Question: Which marketing campaign offers the most significant opportunity for success? If you’re unsure, reach out to us. We’d love to help you assess your situation and develop a winning marketing strategy.