7 Reasons why marketing is important for small businesses

How important is marketing for small businesses? 

In the competitive business world, small businesses often find it extremely hard to find and retain customers. Marketing can play a crucial role in contributing to the growth and sustainability of your businesses. This blog will delve into seven reasons why marketing is vital for small businesses, with an essential section on why digital marketing must become a part of your strategy in 2024. 

 

1. Get your brand noticed 
Small businesses can often struggle to cut through the noise in a crowded market. Marketing strategies, including branding efforts, allow you to establish a visible and memorable presence. For small businesses, the ability to be recognised and remembered by potential customers is paramount, laying the foundation for trust and preference. 

 

2. Acquire and retain your ideal customers 
At the heart of any business's success lies its ability to attract and retain customers. Marketing helps with this through different channels including social media, content creation, email campaigns etc. Moreover, a well-thought-out marketing strategy enhances customer retention, fostering loyalty and repeat business.  

 

3. Get ahead of the competition 
Small businesses often compete with larger corporations armed with a significant amount of resource. Marketing provides the opportunity for small enterprises to differentiate themselves and showcase their unique value propositions, often through compelling storytelling or innovative product positioning. 

 

4. Generate a greater revenue 
Beyond brand recognition, marketing also directly impacts your bottom line. Small businesses need a steady stream of customers to drive sales and revenue. Effective marketing campaigns play a crucial role in attracting potential customers, converting leads into sales, and sustaining financial growth. 

 

5. Stay relevant 
Consumer preferences are constantly changing. Small businesses must stay agile to emerging trends to remain relevant. Marketing research can provide valuable insights into market trends, customer behaviour, and industry developments - enabling small businesses to align with current demands. 

 

6. Build credibility  
Customer trust is at the core of business success, especially for smaller brands still building their reputations. Marketing efforts that focus on increasing credibility, such as customer testimonials and reviews contribute to a positively perceived brand image. Establishing trust can significantly impact whether a customer chooses your brand over another. 

 

So, how effective is digital marketing for small businesses? 

In this digital age, having an online presence is key – particularly for those running ecommerce sites. Digital marketing, such as social media and search engine ads, empowers small businesses to reach a wider online audience. However, on these platforms you're likely paying a premium for customer clicks rather than conversions which can be incredibly costly for a small business. 

 

7.  The power of affiliate marketing 
Affiliate marketing is a game-changer for small businesses. This performance-based strategy allows businesses to work with partners such as bloggers, influencers and price comparison sites who promote your products to their audiences. The partnership benefits both involved: affiliates earn commissions for driving sales, whilst your brand gains access to a broader audience without the upfront costs associated with traditional advertising. 
 
Learn from small business owner Laura Rudoe as she shares her experience using Awin Access to promote Evolve Organic Beauty through affiliate marketing. 
 
Awin has an extensive network of over 1 million partners, complemented by a built-in AI feature that delivers daily recommendations about the affiliates aligning best with your brand. Once connected to the affiliates, you can set your own commission rates, so you’ll only pay your set rates once the affiliate sale is confirmed – saving your marketing budget for when you really need it. 
 

Overall, marketing is not just a tool for small businesses; it is the foundation of their success. From establishing a presence and credibility to driving revenue and adapting to market trends, marketing strategies are indispensable. The inclusion of affiliate marketing for online stores further empowers small businesses, providing a cost-effective, solution for growth and sustained success in the competitive business landscape.