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INTERDISCIPLINARY JOURNAL OF CONTEMPORARY RESEARCH IN BUSINESS<br />

Small Business Advertising<br />

JUNE 2011<br />

VOL 3, NO 2<br />

The type of advertising chosen by a small business depends on the market the firm is<br />

trying to reach: Local, National, International.<br />

Local Markets. Advertising is non prime- time slots on local television offers great<br />

impact at a cost many small firms can afford. More commonly through, small businesses<br />

with a local market use news<strong>paper</strong> & radio advertising &, increasingly, direct mail.<br />

National Markets. Many businesses have grown from small to large operations by<br />

using direct mail, & particularly catalogues. By purchasing mailing lists of other companies’<br />

customers, a small firm can target its mailing, reducing costs. The ability t target an audience<br />

also makes specialized magazines attractive to small businesses.<br />

International Markets. Television, radio, & news<strong>paper</strong>s are seldom viable<br />

promotional options in reaching international markets because of both their costs and their<br />

limited availability. Most small firms find direct mail & magazine advertising the most<br />

effective promotional tools.<br />

Small Business Personal Selling<br />

Like advertising, personal selling strategies used by small businesses depend on their<br />

intended market.<br />

Local markets. Some small firms maintain a sales force to promote & sell their<br />

products locally. Other contract with a sales agency – a company that handles the products of<br />

several companies – to act on their behalf. Insurance agents who sell insurance for several<br />

different companies are sales agencies.<br />

National Markets. Because of a high costs of operating a national sales force, many<br />

companies have established telemarketing staffs. By combining telemarketing with a catalog<br />

or other educational product literature, small companies can sell their products national &<br />

compete against much larger companies.<br />

International Markets. Small companies can’t afford to establish international offices<br />

in order to conduct businesses. Even sending sales representatives overseas is expensive.<br />

Thus, many small companies have combined telemarketing with direct mail in order to<br />

expand internationally. Small businesses often depend on an interesting or unusual sign to<br />

attract new customers.<br />

Small business sales promotions<br />

Small companies use the same sales promotion incentives that larger companies use.<br />

The difference is that larger firms tend to use more coupons, POP displays, & sales contests.<br />

Smaller firms rely on premiums & special sales, since coupons & sales contests are more<br />

expensive & difficult to manage.<br />

Small Business Publicity<br />

Publicity is very important to small businesses with local markets. Small firms often<br />

have an easier time getting local publicity than do national firms. Readers of local <strong>paper</strong>s like<br />

to read about local companies, so local <strong>paper</strong>s like to write about such businesses. But fierce<br />

COPY RIGHT © 2011 Institute of Interdisciplinary Business Research 1691

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