Implementing Marketing Strategies for a Home-Based Business

February 29, 2008 | No Comments

Most traditional societies view the home-based business as the realm inhabited by stay-at-home moms and out-of-work dads. In fact, there are still some people who view home-based businesses as just a little bit more sophisticated than the lemonade stand a kid would put up on his front yard during the summer. Thank goodness, this is true no longer. Today, home-based businesses mean serious money and as such, require marketing strategies in order to compete.

Do You Need a Marketing Strategy for Your Home-Based Business?

Most home-based businesses start out as part-time jobs or hobbies that became real moneymakers. However, concluding that the most successful home-based businesses have survived due to pure luck is wrong.

If there is one element that is common in successful home-based businesses, it’s marketing strategy. Without a marketing strategy, a home-based business has nowhere to go. It will also be in danger of collapsing unto itself, unable to sustain its growth. If it does grow, the owner might be unable to manage it well.

Marketing Strategies for a Home-Based Business

There are five important elements that you should consider when creating marketing strategies for your home-based business. These are:

Knowing Your Market

So you have a product to sell. Do you have the market to sell it to? As part of your marketing strategy, determine your target market. This is the group of people you want to buy your product. Don’t just say,’Oh I want to sell to anyone who wants
to buy.’ That’s too vague and lame. Try to do mass marketing and you’ll end up smarting from the huge costs.

Instead, focus on your target market. Your target market is that group of people who will want/need to buy your product or service. Who are these people? What is their age range? Where are they located? How much are they willing to spend? What types of products do they often buy? Are they finicky or will they remain loyal?

How would they react to your product? Can they be counted on for support and feedback? How often do you think they will buy your products from you?

Knowing Your Product

As part of your home-based business marketing strategy, evaluate your product. What does it do? How viable is it to promote and sell? What are your production limitations? Do you need to spend for equipment and labor just to produce? Is it
possible to produce these products in bulk so you can save money or do they need to be crafted painstakingly by hand?

How much profit will you be looking at based on the kind of money it would take to produce your product? Does it have an expiry date? Are there state or local laws you need to comply with just to produce it? Can it be improved upon? What type of
permits, certification or training do you need just to develop a more competitive product?

Do You Have Budget Laid Out?

Another aspect of your marketing strategies that you need to look at when running your home-based business is your budget. Do not make the common mistake of designing and implementing your marketing strategies without first determining how much you can afford to spend without going under.

Marketing costs money and if you’re not careful, you could end up spending more than you should. The type of marketing method you choose should also be put into consideration.

Try to keep marketing and promotions expenses to a low of 10% based on your projected monthly sales. Let’s say you project about $7,000 in sales a month. A realistic figure you can work with for your marketing expenses should be kept at only $700 per month. That should keep your costs down while you enjoy the profits.

Knowing Your Competition

Part of your marketing strategy in your home-based business should be to keep your eye out for the competition. Your competition can easily steal your business from you. Find out everything you can about other businesses similar to your own. Determine what their selling points are and how well they are selling. This will help you design a marketing strategy that will help you compete.

Future Growth

Yes, you need to plan ahead. If you want to bring your home-based business to the next level, you need to incorporate growth and expansion plans in your marketing strategies. Determine what you want to do with your business once demand for your product increases. You might need to introduce new product lines or improve your branding. Make room for growth in your home-based business. Who knows? Yours could be next big thing.

Written by Cesar Campos - Work at Home Enterprising, Team Supervisor, SEO Advisor and Internet Marketer. For more information please visit:
Work at Home Enterprising
Work at Home Enterprising Business Planning

Posted in Marketing