Use the chart below to help develop a profile of your typical customer. (Source: GrowthWheel International,

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1 There are six (6) key components to a marketing plan. Your marketing plan should describe how you will segment your target market, how you will position your products/services compared to your competition, what your budget will be, what your marketing tactics will be, when you will deploy each marketing tactic, and how you will measure success. You probably know who your customers are, but aim to really define who wants, needs, and demands your product/service and to determine who you are trying to reach with your marketing initiatives. By attempting to understand who your target markets are and what they think, feel, and do, you become better at communicating with customers and planning your marketing initiatives. Start by stating any facts you know about your typical customers and developing a profile. Define them in terms of: Who are they exactly? Age, gender, role, education, career, income, lifestyle, preferences, etc. What do they need, want, or do? What is important to them? Hobbies, interests, values, responsibilities, projects, activities, etc. When do they need your product/service? When are they typically buying and how frequently? Where are they located? Where do they live, work, hang out, travel, and spend their time? Why do they buy your product/service? Why do they choose you over competitors? How do they buy your product/service? How do they find you? Use the chart below to help develop a profile of your typical customer. (Source: GrowthWheel International,

2 Market positioning is the image you create for your product/service in the marketplace and in the minds of your customers. You achieve this through marketing strategy, with the ultimate goal of creating an image that is unique, differentiated, and definable in consumers minds. To determine your market position, develop a positioning statement by answering the following: Your positioning statement should consist of one to two sentences that convey what you do, how you solve a need, and for whom you solve the need. Moreover, your overall market position should emphasize factors your customers value most and those which make you stand out from competitors. It is critical to know your current and prospective competitors both direct and indirect. Examine their strengths and weaknesses relative to yours. This will help you select a market positioning that is unique and creates a competitive advantage for your company. It is also essential that all your marketing materials support the market position and brand image you create. Brand image includes your logo, slogan, stylization, etc., and should be visible and consistent on all marketing materials, including advertisements, brochures, flyers, letterheads, etc. Decide how much of your budget you will devote to marketing activities and exactly what activities you will spend this money on. A marketing budget goes beyond direct advertising costs it includes everything that helps promote your business. (For example, in-store displays, signs, samples, specialty items, brochures, etc.) In general, new small businesses should plan to spend 3 to 5% of projected gross revenue on marketing and advertising. Established businesses and businesses located in small towns where major media expenses are unnecessary can typically decrease their marketing budgets to 1 to 3% of gross revenues. Important factors to consider when developing a marketing budget include: Are funds available from suppliers or partners for prepared ads or commercials? How large is your community or market area? Businesses operating in larger market areas typically must spend more on marketing/advertising than businesses located in smaller market areas.

3 Is your store in a highly visible location with ample foot traffic? If your location is off the beaten path, you may need to spend more marketing dollars to make people realize you exist. What types of marketing do your direct competitors do? In order for a business to maintain its share of the market, its expenditures must have some correlation to what competitors are spending and what they are spending on. Is your store or business concept new? The newer the store or concept, the more marketing is required to make yourself known. If you are in a franchise operation with a well-known brand, your advertising may not have to be as aggressive. Your marketing strategy will involve informing, persuading, and influencing customers. The marketing activities you utilize will depend on the goals you seek to achieve and should include a good mix of advertising, promotion, and publicity. These three types of marketing should work together to effectively create public awareness about your business. Advertising is marketing through a medium in which the sponsor is identified and the message is controlled and persuasive. Advertising is typically paid for, and includes mass media, internet ads, direct marketing, etc. Promotions include things like special sales, giveaways, drawings, coupons, demonstrations, and events that get customers in your door and help win them over. Publicity involves creating awareness of your business, mission, etc. through news stories and public relations activities. Be the go-to expert in your industry through press releases, public speaking, charity events, volunteering, and articles or news columns. Use the two (2) tools below to identify appropriate marketing activities for your business and to choose the media and message to best reach your target customers. Estimate costs and prioritize your list: (Source: GrowthWheel International,

4 (Source: GrowthWheel International, Create an action plan for your marketing mix. Set your marketing goals and determine the specific tasks you need to complete to achieve these goals, when you plan to execute these tasks, when you expect each goal to be complete, and the metrics you ll use to determine if your efforts proved successful. Develop both monthly calendars and an annual calendar. For each month, list your monthly goal (ex: increase cookie sales by 5% over the previous month), your marketing focus for that month (ex: grand opening promotions), and your specific marketing vehicle and message for that month (ex: social media advertisements). In your calendar, also include events and holidays that are important to your business or industry for example, Lent for a restaurant, the World Cup for a sporting goods store, or the Berkshire Hathaway Annual Shareholders Meeting for a business located in downtown Omaha. The goal is to plan ahead, in detail, for 12 months.

5 Use the table below to help create your action plan: Once you ve put your marketing plan into action, you ll want to regularly review your plan to determine whether or not it has proven successful. Establish timeframes and measures for success for each item in your action plan. Make sure your timeframes are realistic and your measures challenging yet attainable. These timeframes and measures will ensure you are on the right track and will help you assess and re-focus if you are not. Use the table below to help review your marketing plan:

6 TV, radio, and newspaper/print advertising o Call advertising departments for prices, contract obligations, etc. o Satellite TV transmission allows advertisers to target very specialized markets (ex: the Hispanic market) o Magazines offer inexpensive regional editions, allowing you first-rate advertising space at lower prices o Newspapers offer low-cost zone editions, allowing you to reach your exact target market o If you are marketing a new or interesting product, consider advertising on infomercials or home shopping networks Classified advertising o Low-priced option that enables you to reach a more targeted market o Available in newspapers and magazines and on websites o Online classifieds are oftentimes free! Signage o Indoor o Outdoor (billboards, public transportation) Internet advertising o Look for pay-per-click types of ads through search engines and social media o Advertise or link on websites and resources your customers frequent Direct mail o Use zip code lists via USPS or database services like InfoUSA or Salesgenie o Narrow down your results using various parameters (age, gender, income, occupation, household size, special interests, etc.) o IASourceLink s Business Concierge is a free service that provides mailing lists to small businesses ( o The Council Bluffs Public Library also has a number of databases for compiling detailed mailing lists ( Flyers, brochures, postcards, and letters o Desktop publishing is simpler, more affordable, and more attractive than ever due to easy-to-use, inexpensive design programs. These programs allow you unlimited creativity and full control over your marketing materials. o Photoshop, InDesign, Publisher o Canva is a website available to create a variety of marketing materials (posters, flyers, business cards, headers, etc.) for FREE! ( o Distribute through the mail, community bulletin boards, coffee shops, grocery stores, and other retail locations Newsletters o Printed (mailed, displayed, distributed physically)

7 o Electronic ( ed, posted online [websites, social media], distributed electronically) o Collect s from all customers and prospects whenever possible and keep them stored in a database like Constant Contact, MailChimp, etc. Co-advertising o With other like-minded partners or complementary businesses Tradeshows New media o Advertising on drink coasters, placemats, table tents, phone booths, bathroom stalls, grocery carts, etc. o Look around and you will find many unique advertising opportunities that may be just right for your target market! Promotional items o Pens, magnets, coffee mugs, etc. o Be careful here! Only choose items that are useful to your target market and represent your business or industry in a unique, engaging way. Promotional sales o Buy one get one (BOGO), contests, lotteries, discounts, rebates, coupons, etc. o Do not to overuse sales or offer them so frequently that customers wait for them and stop buying at a full price! Customer promotions o Referral programs, loyalty perks, customer appreciation events, etc. Public speaking o Seminars, conferences, workshops, etc. o Speak on topics related to your business without blatantly advertising for your business, or, when appropriate, offer sample seminars for your product/service Press releases Interviews o Radio, TV, blogs, websites News stories or columns o Write articles and submit to your local newspapers, magazines, publications, and relevant websites Volunteering o Local events, charities, etc. o Make sure you are networking with potential target customers! Goodwill

8 o Offer public services related to your business (ex: annual essay contest if you own a bookstore, free computer training for the elderly if you own a computer repair shop, etc.) o Serve as a drop-off location for canned food drives, Toys for Tots, etc. o Sponsor a local event or activity you believe in (ex: Little League baseball team, Girl Scouts troop, etc.) Memberships o General and trade associations o Chamber of Commerce, Better Business Bureau, industry-specific associations, etc. Salesforce activities (sales representatives) Salesforce training Presentation materials Personal letters Customized proposals Many businesses say they rely on word-of-mouth advertising. This is great and free; however, in order to build your reputation, you must expose yourself through other means! An action plan and detailed calendar with the right marketing mix will help build and grow your word-of-month power. If you need assistance developing a marketing strategy for your small business, our SBDC office can help. Call us at (712) or contact Jennifer Kalstrup at jkalstrup@iwcc.edu. The Iowa Western Small Business Development Center is a free resource for small businesses, start-ups, and entrepreneurs in Southwest Iowa. We serve seven counties including Cass, Fremont, Harrison, Mills, Page, Pottawattamie, and Shelby and provide consulting services to help businesses start, grow, and prosper Jennifer Kalstrup. Iowa Western Small Business Development Center. All Rights Reserved.