Startups typically have a tighter budget to work with and fewer options for marketing. Bernadine Racoma, Content Manager at WorkSmartr.com, offers advice on 2022’s top marketing trends that suit startups.
Navigating the stormy seas of the startup world can be tricky for any business – statistically, current research states that up to 90 per cent of startups will collapse by the fifth year of trading. Plus, the average micro-business needs approximately $3,000 to get going, and some businesses can cost many thousands more to bring to life. Marketing is one of the key pillars to initial success, but experts recommend brands spend 10 per cent of their revenue on marketing. A startup isn't necessarily going to be generating revenue, and thus the challenge of marketing for startups begins.
Below, we'll look at the top marketing strategies in terms of return of investment (ROI) that help generate brand awareness and return profits.
Targeted paid ads
Targeted paid ads are one of 2022's top marketing strategies, with the potential to generate huge ROI. Targeted ads do exactly what they say on the tin – they target the consumers most likely to interact with the ad and magically make the ad appear where they're most likely to be scrolling. Targeted paid ads, especially ads like Google Ads, can become a battleground for the top spot. Understanding how to manage a startup’s marketing expenses – keeping tabs of how of the budget is being spent – is essential here. Google Ads quite literally becomes a free for all based on who is prepared to pay the most for their brand to be at the top of search results. Knowing the budget inside-and-outside will give clear parameters for spend.
Still, with careful budget management and ensuring ROI is measured, targeted ads can help to build a brand community – according to HubSpot.
The simplicity of social media
Social media is the holy grail for a startup. It's free to set up, there are minimal additional fees for business marketing, and the only constraint seems to be time. Marketers actually spend more by paying for targeted ads to appear on social media than they do on social media marketing. Startups can benefit from social media marketing, as it's a great way of spreading brand awareness, building brand trust, and interacting with consumers.
Startup brands should begin by building a community on social media and connecting with people through regular posts and even direct messages. It isn't the sort of marketing strategy to outsource – many startups will manage their own social media pages during the first few years of trading.
Virtual meetups have become more popular thanks to the pandemic. Virtual meetups are the new in-person conferences, and they work so well because they're just so much more convenient. Thanks to software like Zoom, it would be easier than ever to host a virtual event that spreads brand awareness and starts to build a community. Virtual meetups should be interactive, fun, and rewarding in some way. Death by PowerPoint isn't the way to go for your first virtual meetup.
Calculating ROI before initiating a new marketing campaign will prevent overspending and help brands direct towards strategies that are most likely to work for them. Marketing is one of the essential pillars for initial startup success. It's crucial to spread brand awareness from the offset by developing strategies that target viable leads.