The National Federation of Independent Business (NFIB) just published their National Small Business Poll and found that small business owners consider positive word-of-mouth (WOM) and associated referrals as the most effective means to promote their businesses.
In fact, 52% see WOM as generating "a lot" of their sales revenues, with 30% thinking that WOM contributes to "quite a lot" of sales. Although WOM is a powerful marketing phenomena, NFIB cautions small business owners on the fact that they have little direct control over ramping up WOM situationally; WOM or buzz occurs as a residual of producing great product, delivering superior customer service, and being "talked about" in a viral, positive way.
The report suggest that more formal advertising has a more direct effect on brand image or product-service information delivery. 41% of small businesses acknowledge that the results of their advertising contribute only more than a marginal amount to sale revenues, 8% say that advertising creates only a little of their sales revenue, and only 7% see advertising contributing for "a lot" of revenues.
The most frequent forms of advertising include website, fliers, circulars, and hand-outs; newspapers, newsletters, bulletins, etc.; and direct mail. Hardly used vehicles include TV advertising; value packs or shopper supplements; outdoor off-premise signage; radio; and magazines.
Topping the list of specific advertising vehicles was the Internet at 16%, WOM 15%, newspapers at 15%, and direct mail at 14%.
Clearly there is a understood market need for small business online marketing solutions like those provided by Innuity such as search engine optimization (SEO), pay-per-click, and local search.
Shivonne Byrne, Innuity CMO
Comments