Beating the Odds and Challenges
“Stopping advertising to save money is like stopping your watch to save time” - Henry Ford
A recent Harvard Study Suggested the ideal amount to spend on marketing for a business is between 10-15% if the business is generating consistent income. For a newly established restaurant business, marketing expenditure should be higher than this as people are not yet aware of the restaurant.
Any type of business
consists of multiple activities, one of the most important activities is marketing and it has to be an ongoing process for customers to keep coming. Without the help of marketing, the inflow of customers is going to be uncertain and you will be relying on word-of-mouth marketing. The only reason why restaurant owners don’t take marketing seriously is during the months when sales exceed their expectations, a sense of accomplishment takes over and sways people away from the long-term goal.
A behavior where a business owner is indulging in short-term gratification is very hard to spot and can only be identified by people who are constantly learning & doing self-reflection. One definite sign of getting to know if you’re that someone who is getting distracted from the long-term goal is - you experience very frequent highs and lows in your sales graph. If you’re living from month to month where you’re unsure about how next month’s sales are going to go or from where the customers are going to come next then it’s a clear sign that you have no definite marketing process in place.
It HAS to go on consistently as long as you’re in business. For this, we require a dedicated team that is building a marketing process on which you can rely to generate business whenever you want. The equation is simple “The more time you invest in protecting your long-term goal and building the necessary momentum, the more you will benefit when the times are rough”.
Set your goal in numbers always. Cost, Profit, Sales, ROI- as a business owner, you need to have multiple KPIs in place that could show you the “true picture” of your business operations so you can make an informed decision.