We know for sure, based on our experience that there’s no direct correspondence between dollars invested in advertising and results. There is No mathematical formula to answer the advertiser’s question… “If I spend X amount of dollars on advertising, what can I expect to happen in return?”
The amount of money you spend on an advertising campaign and the results you get have virtually nothing to do with one another. Two business owners can spend an the exact identical amount to reach the identical group of people; one advertiser gets rich, while the other advertiser fails miserably.
What’s the difference?
The second thing that we know for sure…the variable which makes an ad work or not work is the core message of the ad. Two advertisers can reach precisely the same audience with exactly the same repetition offering the same product, one advertiser is successful, while the other fails miserably.
What’s the difference?
The Core Message.
When an ad works the ad has spoken to the customer in the language of the customer, about what mattered to the customer. The core message aligned with the wants and needs of the customer. The customer said YES…That’s right, I need that. That makes sense.” The other advertiser spoke about himself, talked about his/her company and tried shouting SALE! SALE! SALE! or tried to answer questions the customer wasn’t asking, and the customer said, “Hey, who cares?”
Social media, TV, Radio are not the answer to successful advertising. Mass media is purely a delivery vehicle on which your message can ride into the mind of the customer. But only after you have uncovered the correct core message, determined an accurate ad budget, and chosen your strategy, can you then choose which media vehicle is the most appropriate. But Never before.
When an advertiser’s message has been uncovered and aired for a period of time which generates a positive response, a mathematical pattern does emerge. The financial benefit experienced in year two of airing a successful ad will be twice the benefit experienced in year one. It’s almost like compound interest, providing everything else remains equal and the core message does not change. The benefit in year three will be three times the benefit of year one.
Our Wizard of Ads clients have seen this proven over and over again. (But only after you’ve figured out the right thing to say in your ads.)
As a marketing consultant, I want to uncover the right core message for my client ONE time knowing that this is going to take off and grow his company exponentially. My new challenge will then be helping my client stay on top of his growth.
Roughly at the end of about 36 months, we must re-evaluate market conditions. New variables could have entered the advertising equation and now it’s anyone’s ballgame.
Maybe new competition has shown up in the market. Maybe the demand for the product or service has fallen, or new policies are being enforced or new owners have taken over at the top and want to change things.
A client of the Wizard of Ads has been in business for 20 years, and a Wizard of Ads client for ten. In the past ten years, this client’s company has grown to *43 times the size it was when he first got together with our firm.
Can this miraculous growth happen to all businesses? No… of course not!
The growth of your business will be determined by the following five factors:
1. Total Market Potential: How much will be spent by the public in your product or service category this year? What is the depth of your current market penetration? How many dollars remain on the table?
2. Message Development: How well do you tell your story?
What is the Impact Quotient of your ads? How do your ads respond to your listeners?
3. Media Plan: How efficiently are your ad dollars being spent?
4. Competitive Environment: How good are your competitors at what they do?
5. Competency: How good are you?
If you need more information about growing your business…