Today’s businesses are much more efficient with their marketing spend than any time in history. Disciplined companies can quantify marketing spend, rank it for effectiveness, and optimize it for results. This can (and should) include stopping marketing activities that do not yield sufficient results. Every dollar spent on marketing should be returned back to the business in profit. Marketing is the businesses equivalent to a slot machine, however we can (and should) rig the machine. If you put a nickel into the machine, you should get 6 cents back. Marketing is the Perpetual Money Machine.
John Wanamaker‘s famous quote is “Half the money I spend on advertising is wasted; the trouble is, I don’t know which half.”
There is a lot to this quote. First and foremost, it paints advertising in a negative light. He could have said “…half the money I spend on advertising is effective”, but the quote would have lost its cache. Secondly, it has a “defeatist” tone, he admits that he has a business problem that cannot be fixed. Thirdly, he’s speaking in plain terms. Had he said that “my marketing attribution model is insufficient”, very few people would have raised eyebrows.
Undoubtedly, Wanamaker’s pain still exists today. These circumstances still persist, especially in larger companies that have many marketing activities acting at the same time. However, the power lies with smaller businesses. There are an arsenal of free marketing techniques available to small businesses that can yield new customers and new revenue. A business owner can (and should) post a compelling message on their website, send pointed-emails, and post eye-catching social media. These free techniques grow companies if they are used effectively. The great thing about the perpetual money machine in today’s society is that it does not even require a nickel to play the game. It’s time to rig the slot machine.
If you are interested in growing your business on a limited budget, we can help you–let’s chat.