Tag Archives: Side Business

The Side Business – Advertising To The Right Customer

advertising

When it comes to starting your business one thing you will need to do to get customers is advertising. By far word of mouth is the best kind of advertising but it’s the slowest. When deciding to advertise you are going to need to pick the advertising that is right for your kind of business.

To start with is your business a local business or a nationwide business. For example, if you have a plumbing business that’s going to be a local thing covering service and installs in a certain area you will need to target just that area to advertise. If you have a food product you can freeze you may be able to market online and sell nationwide.

No matter which way you are advertising local or nationwide you need to know your target market. Your target market is the customers that would be interested in your services or products. For example, if you are making a product to sell to new moms you generally would not advertise on the Home Depot website or in the Harbor Freight magazine. Both Home Depot and Harbor Freight target customers are men. You may want to advertise in a parenting magazine or on a baby blog since they are mostly targeting at the woman with families and moms with children.

Your marketing dollars in any business are important as just like anything else you can spend a lot of money and get back little to no return if not done properly. The goal of advertising is to grow the business to earn back the money you spent on advertising and to turn a profit. Try to find your cost of customer acquisition to gage your advertising. For example, if you are spending $100 dollars to get a customer but the customer is only spending $50 dollars you are losing money on every customer and must lower your price of acquisition or raise your prices to compensate for the loss.

Advertising to the wrong customer is a waste of money and time both of which are valuable to you as a small business owner. It does not matter if your business is full or part-time your time, in general, is valuable.

Read Part 1 of my series

The Side Business – Getting Started And What To Expect

side business

Believe it or not, most full-time companies did not start as full-time companies they started as someones side business or side project. Microsoft of all things started as a side business for Bill Gates and Paul Allen. The two guys just started programming together then ended up getting a few customers than a few more and pretty soon things exploded for them.

Everyone should start a business with the thought in mind that they want to work for themselves and want that financial freedom would bring but it does not always work out that way. As someone who tries to plan ahead you need to look at a side business at times as a backup plan. Your side business can be a safety net for you in the event you would ever lose your full-time job.

You need to look at your side business as something that may never be something you can do full time. For example, if you are a teacher working at the same school for say 20 years when you look at your healthcare plan, retirement plan and what you make a week there is a very good chance that selling soap at the local fairs and events will never bring you enough money to quit your full time job. That extra money is exactly that extra money that you never had before that can help pay your house off sooner, help put a child through college or pay a credit card off that you never seem to get a head-on.

When planning your side business it should be something you enjoy doing and realize when having a part-time business you will be giving up some of your free time. If you really want to make a go of your side business you will at the beginning be giving up many of your nights and weekends. If you are someone just doing your side business for a little extra money maybe you can only work a few nights a week or a weekend a month.

Just realize a side business is just like anything else you get out what you put into it on a daily basis. A side business may not be for everyone and that’s ok but if you are not going to have a side business you should at least plan ahead what you would do if you lose your job. Just to say I will get unemployment is not a plan as unemployment is not guaranteed.