How to Run an Ad Campaign

August 11, 2010

Ask an Expert
Ask an Expert

Mary Stewart Center for Entrepreneurship

Q: Steve: I am fairly new to this small business stuff and have an idea for an ad campaign but the problem is that I don't want to make a mistake and lose a lot of money. How do I know if my ad will work? -- Gary

A: You are not alone. A common problem many small businesses have is that, while there are plenty of advertising choices available, many of them are not inexpensive, and a mistake can be costly. So how do you do avoid that? Here is a simple six-step process that will help you create a winning ad, and without a lot of risk:

1. Brainstorm. There are two types of ad campaigns, and the first thing to do is decide what type you need.

The first is an ad and campaign that is more intended to build your brand than make an immediate sale, such as, for instance, the ad in the paper that says "Divorce for Fathers." By being in the paper again and again, this ad is designed to infiltrate people's subconscious. Sure, one purpose is to get customers now, but an equal purpose is to build awareness of the business so that one day down the road, a father who is getting divorced will know whom to call.

The second type of ad and campaign is the opposite, intended more to create business now than building the brand over time. This ad often uses the one or both of the most powerful words in all advertising - sale and free.

2. Budget. Advertising and marketing is an ongoing process. The Small Business Administration suggests that you earmark two percent of your gross sales towards advertising. Others believe the amount should be five percent. Either way, the important thing is to make a commitment and earmark the appropriate percentage of gross sales towards that figure.

And remember this rule too: When advertising, repetition is the key to success, repetition is the key to success, repetition is the key to success. What is the key to success? See? When choosing an ad and medium therefore, you will need to budget enough money to get your message heard or seen by enough people enough times.

3. Choosing the Right Medium. Different media outlets have different strengths and weaknesses. Your campaign may utilize only one source, or it may take several to accomplish your goals. Figuring out which media to use need not be that difficult:

4. Create the Ad. If you go the mass media route, work with your ad rep; he or she will help you design a good ad. I would also suggest finding a good book on how to create advertising that pulls.

5. Test the Ad. This is the key step. Yes, you did your homework and you think you have the right ad and the right medium, but until you run the ad a few times, you cannot be sure it will turn a profit. Therefore, I suggest that you test the ad first: Run a smaller version of it for instance, or run it at less expensive times. Try it on a few bus benches before buying 20. Online, test small, tweak it, and see what works.

The important thing is that you avoid spending a lot of money up front until you are sure that you have an ad that works. Once you know that, you can . . .

6. Roll it Out. Once you know you have created a successful ad, go for it. Spend more and run it more often. It should become your cash cow. An ad that pulls becomes a trusted friend; something you can rely upon.


Today's Tip:

According to SCORE, the key to a successful ad is to "communicate a simple, single message. People have trouble remembering someone's name, let alone a complicated ad message. For print ads, the simpler the headline, the better. And every ad element should support the headline message, whether that message is 'price,' 'selection,' 'quality,' or any other concept."
 


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