Plenty of small businesses run ads, post on social media and send the odd email without a plan behind any of it. The result is often money spent with little idea of what worked. A marketing plan fixes that by putting your goals, customers and channels in one place. It does not need to be long or fancy.
Government small business agencies across Australia publish free guides and templates on this topic. This article draws on that advice and applies it to digital channels. It covers research, goals, budgets and the online channels most small businesses use. The aim is a plan you will actually use from week to week.
Start with the basics
The Business Tasmania guide to marketing and promotion describes a few simple planning steps. Know your customers, define your point of difference and choose your channels. It also makes the point that marketing is not just about making ads. It takes research and careful planning to get right.
The same page says you do not need a large budget or a team of experts to make a strong impression. That is good news for a sole trader or a small team. A clear plan often matters more than the size of the spend. Start with the people you want to reach and what makes your business worth choosing.
Research your market and your position
The Small Business Development Corporation in Western Australia publishes a free guide to using its marketing plan template. It suggests starting with two simple tools, a PEST analysis and a SWOT analysis. In the guide’s words, PEST looks at the external environment while SWOT looks at internal factors. Useful sources include government statistics, industry reports and industry associations.
Next comes your target market. The guide suggests dividing customers into segments by geography, demographics, behaviour and lifestyle. It warns that trying to promote your product to everyone is costly and inefficient. For digital marketing this matters even more, because most online ad platforms let you choose who sees your ads.
Set goals you can measure
A plan needs goals, or it becomes a list of activities. The WA guide says typical goals include increasing sales, building demand, raising awareness and keeping customer loyalty. It recommends making goals SMART. That stands for Specific, Measurable, Attainable, Relevant and Time based.
Digital channels make the measurable part easier than it used to be. A goal such as “more enquiries” is vague. A goal such as a set number of website enquiries each month by the end of the financial year can be checked. The time element matters too, because it stops goals from being pushed aside when the business gets busy.
Choose your digital channels
Once you know who you are trying to reach, pick the channels where those people already spend time. Business Tasmania lists building a website and creating social media pages among common marketing activities. Most small businesses will use some mix of the channels below. Few need all of them at once.
- Your website, which is the base for almost everything else.
- Search engine optimisation, so people find you when they search.
- Paid search ads, which put you in front of people searching right now.
- Social media, for staying visible and building trust with locals.
- Email, for keeping in touch with past and current customers.
Your website sits under the lot. If it is slow, confusing or hard to use on a phone, every other channel suffers. It is worth reading how website design affects your online marketing before spending money elsewhere. Fixing the site first often makes every later dollar work harder.
Paid search is a quick way to get in front of people who are ready to buy. It can also burn through money fast without clear goals and tracking. Our earlier guide to AdWords marketing covers the basics of setting up a campaign. Set a daily budget you are comfortable with and review the results often.
Social media and email suit longer term relationships. Social posts keep you visible, and many owners wonder whether social media helps website SEO as well. Email is cheap to run and reaches people who already know you. There is a good case that email marketing is still relevant for most small businesses.
Set a realistic budget
The WA guide suggests spending three to five per cent of your actual or expected annual turnover on marketing. It adds that new businesses may need to invest more. Treat that range as a starting point rather than a rule. Your industry, competition and growth plans will all affect the right figure.
Split the budget across channels based on your goals. Paid ads usually need ongoing spend to keep working. SEO and content take longer to build but can keep bringing in visitors after the work is done. Leave a small amount aside for testing new ideas, so you are not locked into one approach.
Cover the rest of the marketing mix
A digital plan still needs the basics behind it. The WA guide covers pricing, product, place, promotion, people and process. Online channels mostly sit under promotion. The guide lists digital communication alongside advertising, public relations, personal selling and sales incentives.
The other parts still affect how well your marketing works. Place covers how you sell, delivery times and how orders, returns, shipping and billing are handled. People covers staffing, skills and training. Process covers the customer service and business procedures that keep sales running smoothly.
Pricing deserves a look before any campaign goes live. The guide suggests weighing production costs, operating expenses, desired profit, competitor prices and price sensitivity. An ad that brings in buyers at a loss is not a win. Check the numbers stack up first.
Put the plan on paper and review it
Keep the finished plan short enough to read in one sitting. A single page can work well for a small business. List your goals, your target customers, your channels, your budget and who is responsible for each task. Then set a date in your calendar to check progress.
Review results every month or every quarter. Look at which channels brought in enquiries and sales, and which ones did not. Move money from the weak performers to the strong ones. The WA guide also suggests a risk assessment, so think about what could go wrong and how you would respond.
Frequently asked questions
How long should a small business marketing plan be?
There is no set length. Many small businesses do well with a one or two page plan. What matters is that it covers your goals, customers, channels and budget. A plan that sits unread in a drawer is no use to anyone.
How much should I spend on digital marketing?
The WA Small Business Development Corporation guide suggests three to five per cent of actual or expected annual turnover on marketing overall. New businesses may need to spend more. Digital channels would take a share of that figure. The right split depends on your goals and where your customers spend time.
Which digital channel should I start with?
Start with your website, because most other channels send people there. Then add the channel that best matches your goal. For quick enquiries, paid search is often the fastest option. For steady growth over time, SEO and email tend to suit better.
How often should I update my marketing plan?
Check progress at least every quarter and update the plan once a year. Update it sooner if something big changes, such as a new service, a new competitor or a change in budget. Small adjustments along the way are normal. The plan should guide you without locking you in.