Low Cost Marketing Tips
by Steve Linsky  

At a recent contractor roundtable, we discussed the best ways to market your business in a cost-effective way. An owner of a large remodeling firm remarked that he never has to prospect because "word of mouth" alone keeps him very busy. While "word of mouth" is very important, during an economic slowdown, you must try other methods of prospecting in order to grow your business long-term.

Here are a few low cost ways to strengthen "word of mouth" advertising:

• Have your business cards displayed or handed out by your suppliers and their salespeople. You can start by putting your business cards in the Referral Book at your local National Lumber store.

• Place a small ad in your local "penny saver" or town paper.

• A photo of a recent project with your business card can be put on the bulletin boards of local supermarkets.

• Give reminder items like refrigerator magnets or mini calendars with your contact information to your present customers.

• Send holiday cards to your key customers.

• Let it be known if you're willing to do a small job such as install a new storm door. It could be "filler" on a day when something interrupts a project or between bigger projects. If this small job is the first thing you've done for this customer it can show them your work ethic and lead to a larger job.

• Offer a $25 referral bonus to customers when someone they refer contracts work with you.

• Keep a mailing list of your prior customers and send them postcards annually with your contact information to remind them you're available.

• Have a qualified list of references always up-to-date to provide quickly when a prospective customer contacts you.

• Call your prior customers. Just say "Hello" and ask if you can still use them as a reference. While you have them on the phone, ask if they have anything coming up that you can help with, or discuss a project that they previously mentioned they'd like to do "someday."

Have a great tip of your own to share?