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Joined 11 months ago
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Cake day: October 27th, 2023

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  • cjasonac@alien.topBtoSmall BusinessMVP done, what next?
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    10 months ago

    Talk to people and chase down phone numbers. Find a similarly marketed product at your local 7-11. Ask the manager where it comes from. If they say “corporate,” then ask for the phone number of the person at corporate who they communicate with. Maybe it’s an independent distributor, but again they’ll know who that is…or they can tell you when the distributor typically comes by. Maybe they’ll just direct you to their district manager, but that person should also know.

    These things aren’t secrets. And if somebody along that chain thinks they can sell your product, they’ll let you know. Just make sure you can produce enough and that you can wait to be paid.

    You’ll have to provide displays, bar code data, packaging, etc. Packaging is typically around 20%-30% of the retail price, and the store will want a 40%-60% markup. So if your product cost is $5, your packaging cost will be about $1 and the store will want to sell it for about $12.

    You may find the store will want to pay on 30 to 60 day terms. Or they may want you to provide products at your cost and you’ll get paid when they sell. If you find an independent distributor they can help with education on this and possibly absorb some costs if you need prepayment. Be prepared to negotiate for every piece of it.

    If your product is unique, get a patent. You don’t want it to take off and have somebody else steal the idea. You’ll want to talk to an attorney about this.

    Good luck. It’s a fun world to be in, but it can be challenging until you get your sea legs.




  • Talk to your accountant too. You can’t just make anybody a 1099 contractor. There are specific IRS rules surrounding it, right down to your management style and any training you may or may not provide.

    The last thing you want is the IRS knocking on your door next year looking for back payroll taxes you didn’t pay just because you thought 1099 status was okay.




  • cjasonac@alien.topBtoSmall BusinessAre billboards worth it?
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    10 months ago

    Advertising is all based on awareness and messaging. The primary thing to keep in mind is that you’re sharing a message. If you’re a well-known brand (e.g. McDonald’s) you only need to show the logo for people to recognize you. So for them, the logo is the message.

    Now… there are two things you’re reaching for in an ad: reach and frequency. These two things are what will ultimately determine your cost and potential ROI. Reach is how many people will potentially see your message. Frequency is how often. Unless you have millions of dollars to spend, you have to play the two against each other like a lever. You can have super-high reach but minimal frequency (like a Super Bowl commercial…millions see it, one time) or you can have amazing frequency, but little reach (like a small-town TV station that plays your commercial to 20,000 people three or four times a day.)

    Your ad needs to have a solid message in either case. (More on that in a bit.)

    Billboards have a very high frequency since people tend to drive the same routes every day. In one month, there may only be a few thousand people who see your message (low reach.) But many of those same people will see it nearly every day (high frequency.) This gives them a chance to understand and absorb your message (assuming it’s clear and concise…more on that in a bit.) More often than not, the purpose of billboard advertising isn’t to cause an immediate sale, but rather to imprint the fact your business exists into the minds of people who will eventually need it. For instance, nobody is going to sell their house just because they saw a real estate agent on a billboard. But in a few years, if you’re that agent whose billboard they saw, there’s a good chance they’ll think of you because they’ve heard of you and have a certain level of familiarity.

    In spite of all of this, your message is the most important part. You need to stand out. If you just place a billboard on a random roadside and only have your business name with a slogan (“For all your blankety-blank needs…”) your ad will fail miserably. But if you have a solid reason for people to come to you (“Two cheeseburgers for $1 through December”) you’re going to do much better.

    Billboard messaging must be concise. With billboards, you MUST keep your message to ten words or less. People need to be able to “see” the offer vs “read” the offer since they’re usually driving past it. They don’t have time to “read” it the same way they’d read a magazine ad. They also need to recognize your brand image so they know who you are. Unless you have an amazing offer that makes people take notice (“free Rolex with every purchase”) then nobody will ever remember your brand.

    So…are billboards worth it? The answer is sometimes. They work best as part of a larger campaign. I’ll never forget passing a billboard for a local jewelry store at the same time their commercial came on the radio. You bet I remember them. They executed a simple campaign very effectively (billboard plus radio) and got a TON of business from it. (Yes. I followed up and asked. I’m now one of their occasional customers for anniversary and birthday gifts.) Their brand was instantly recognizable and very consistent. Their billboards matched their website which matched their mailers which matched their business cards, etc.

    Strong & consistent branding, a concise & powerful message, and make them part of a campaign rather than a thing you buy. Thats how you win with billboards.

    Here’s where people fail with billboards:

    Whatever you do, DO NOT get a single billboard in a remote place for one month. Even if it’s just $1,000, you’ll be wasting your money. If you have the budget, do multiple billboards (six or more) in a concentrated area, for at least three months. You’ll see a greater return closer to the end of that period, but you’ll also see people coming in and insisting they “just saw your billboard the other day,” a year from now. Either way, make damn sure your message resonates in ten words or less.

    If you can couple that three-month campaign with another advertising stream (tv, cable, direct mail, etc.) you’ll have the beginnings of a powerhouse campaign.

    Now…I realize this isn’t cheap. But I’m also speaking from experience. I used to sell radio advertising back when radio was a thing. This is exactly what I used to tell my clients years ago. Many of them are still going strong and barely advertise at all.

    Advertising is like pushing a boulder. It takes a lot of effort (and money) to get started, but once you’re going it takes very a lot less effort and money to keep it going.

    Good luck!