Small Business Owner's?

Question

What method of advertising brings you the greatest results?

What business are you in and for how long?

I own a contracting firm and we spend zero on advertising, all of my work is through referrals, word of mouth and exisitng clients doing more work.

I have been in business for 9 years and have 7 full time employees. Never had a day without work for everyone.

Answer 1

There's a new book out called "No More Cold Calling: The Breakthrough System That Will Leave Your Competition in the Dust (Hardcover)" by Joanne S. Black, which basically says that what you are doing is the BEST way to go -- recommendations and referrals. http://www.amazon.com/gp/product/0446577790/sr=1-1/qid=1153505232/ref=pd_bbs_1/102-5284618-8176160?ie=UTF8&s=books

The book says that cold calling is but a waste of everyone's time, and businesses need to refocus their energies into finding ways how to get referrals from their network and existing clients. With referrals, half of the sales work is done -- you don't have to sell the potential client about your business because the client is already sold. Otherwise, the client won't even come to you.

You must have read the book "Marketing without Advertising" http://www.amazon.com/exec/obidos/ASIN/0873376080/powerhomebizguid/102-5284618-8176160 that was published a couple or so years ago. The book does not believe in advertising either, and says that the best way to get clients is through personal recommendation. The authors recommend 10 steps to help you develop successful, low-cost marketing plan that is not based on advertising:

1. Offer the best and up-to-date product and service.
2. Create easily understandable business description.
3. Educate customers about your business.
4. Ensure clear pricing structure.
5. Open management policies.
6. Help customers find you.
7. Keep a database of customer information.
8. Have an open recourse policy.
9. Design and implement a marketing plan.
10. Create a calendar of events.

I am in the Internet publishing business since 1999 providing information on how to start a home business. We don't do any advertising, but rely on organic search engine marketing, word of mouth and viral marketing. And we regularly get visitors, advertisers and customers for our website.

Answer 2

Your best ROI would be in finding ways to encourage, accelerate and improve your referrals.

There are some basics you can do, plus plenty of books / kits / systems / consultants etc.

Basics:
1 - Set the expectation: Start planting the seed with your current customers, at first contact - part of your standard opening statement is "we get 100% of our business from satisfied customer referrals, so this means we know how important it is to delight you."
2 - Recognize and Reward: In your regular monthly newsletter that goes to all customers, identified prospects, vendors etc, have a special feature thanking "Joe Blow for the referral to Jane Doe, who is really happy with her new kitchen" And saying "remember, when you refer a customer you get (a gift certificate, a free this or that etc)
3 - Make it formal - train your people to sit down at certain points in the relationship, and ask the customer for names they'd like to send a coupon to. You can get real creative with the "how" but the key is to position this that the customer is giving the friend a real, legitimate free gift. That gets around the reluctance factor.

Good luck, and congratulations on your success!
Scott

Answer 3

My husband is a contractor. He has been in business for 20+ years. It depends on what you're doing, of course, he had very good luck through the national historical society. The jobs are exclusive and usually VERY profitable. From there, he started getting referrals from other people that just saw the quality of the work and were impressed enough to pay the money.

He always tells people, if you're going to be a whore, be an expensive one. Never sell yourself short.

Answer 4

Greatest results for me were when I gave something away. Coupon or new client price for services rendered. Advertised in local papers.
The really ultimate was when I would do something in conjunction with a charitable contribution. The charity would be advertised as well as my business for a fund raising event and we all won !
Word of mouth travels far ...good and bad just remember that!!!!
Full Service Salon owner ...9 years.

Answer 5

My dad's a painting contractor since 1974 and he gets the best results from word of mouth from people who've liked his work.