What marketing methods are most likely to be cost-effective for a small business?
For most small businesses, especially those providing services, the most potent way to generate new business is by word of mouth. This is not something that can be bought. But you can certainly help to promote and encourage it, by networking with all the contacts you have in a given market, and by asking all your satisfied clients to recommend you to their friends and acquaintances. If necessary, offer some kind of reward for any contacts which lead to new business. It depends on whether you are dealing with the trade or consumer sectors, whether you are selling a product or services and whether your market is local or nationwide. Most small firms grow by developing specialist niche sectors, where target audiences can be readily identified and word of mouth can be the key success factor. Think in terms of target segments, rather than the whole population. The goal is to develop your market where customer choice is made on specification, service and availability rather than on price alo
