Invest time, effort and a personal touch to yield low-cost marketing results

Kevin Mehok low cost marketing marketing on a budget A few weeks ago my grandchildren were spending the night at my house. I did my best to wear them out that evening so they would go to bed without the usual amount of effort. As my wife and I were working to get them to sleep, we began bribing them, since nothing else seemed to work. We offered them games, hot chocolate, movies and even read them a few stories. But they were still reluctant to go to sleep.

Suddenly Jewel, their leader, blurted out, "We will go to sleep if we can go to McDonald's for breakfast tomorrow!" "Absolutely," I said, "no problem." They picked what they wanted from the menu and finally went to sleep.

Exhausted, I sat down and began to realize what had just happened. My grandkids, who are just learning to read, had become consumers. Even at their very young ages, targeted marketing had won them over. There are better breakfasts out there, but effective marketing keeps them on top. Everyone knows about McDonald's, but they continue to advertise. I thought, "What a great philosophy. We need to use that same line of thinking in the collision industry."

That's easier said than done, due to McDonald's enormous marketing budget. How can a shop effectively market itself without spending a fortune? Here are some proven methods that will keep your shop's name top of mind without breaking the bank.

Web presence

Our world is becoming less dependent on print media and more dependent on electronic media. Most people get their news today from TV or online. It's estimated that most average personal computer users spend nearly two hours online daily. Younger people, especially young professional people with nice cars, spend more.

In this environment, it's necessary to have an online presence, a Web site that can be discovered using standard search engines like Google, Yahoo! and Bing. A professionally built Web site can be a major investment; however, it is possible to create one yourself for a minimal cost with good results.

There are Web-building sites that will allow you to build a Web site for free or very little cost. They will provide templates and simple user guides to help walk novices through building a professional looking Web site. There will be a small charge, even with the free sites, to reserve a domain name. It's possible to put together a nice looking site for less than $500. The Web site lets you control the content and provide potential customers with pictures of your shop, location maps, before and after photos of repaired cars, emergency numbers and even interactive status on vehicles. To find one of these Web building sites just do an online search.

I suggest you search collision shop Web sites to see what other shops are showcasing. Maybe you can improve on them when building you own. You might want to post online specials or coupons that offer discounts to online users. Maybe a free car wash or spring vehicle inspection. Once you have a site, post the Web address on everything you can - business cards, estimate headers, advertising, etc. It's also important to register with the search engine companies so potential customers can find your sight. The Web-building sites will guide you in how to do that.

Pound the pavement

The next thing you need to do is get out and sell your shop in person to prospective clients and referral agents. This is extremely effective and can carry a minimal cost. Many consumers call their insurance agent for repair advice after an accident. Some agents simply provide an 800 number to their customer, but many will refer the customer to a trusted shop. Insurance companies are interested in customer retention. When an agent refers a customer to you, they don't want to hear from that customer again, unless it is to thank them for the referral and tell them how great your shop was. They want their customer to trust them, and you, as an extension of them.

When visiting agents, be respectful of their time and always be professional. The key is to develop a relationship. That will not happen overnight or because you give away the best gifts. Repeated visits and a consistent message will get you there.

This is a process that you can never stop. Even if you don't feel it's effective at first, don't give up. The relationships you build with this personal contact will be of great value as your friendships grow. Be consistent, and plan a regular route for your visits. Keep track of small tidbits you learn as you speak with staff members and use them to your advantage.

Of course, once you get a referral, your shop has to perform. Most people remember good experiences for only a short time. Bad experiences live on forever.

If you don't want to go into an agent's office empty handed, give them something memorable, not just your cards or fliers about your shop. Most agents have a stockpile of body shop goodies in their storage areas. I think homemade baked goods are a great remember me token. They are relatively inexpensive to make and everyone loves homemade bakery.

Advertising

Television, radio and print advertising are very expensive ways to get your name in the public eye. I don't think these avenues will get most shops a good return on their investment. You can advertise in other ways, however, that are much more cost effective.

Find out the editor of a local newspaper, radio station manager or TV reporter who does local news stories. All of these people are looking for news every day. Once you find the contact, speak with them and propose an idea for a story about your shop. Maybe you do lots of restorations or you specialize in European vehicles. Maybe you just remodeled or added a new spray booth. Think about it for a while. What does your shop do that's unique? One of these people will be interested in your story and will run a story on your shop for free. This is a great way to get your name out there. Once they do the story, make sure you bring a copy with you on your agent visits.

Consider doing a call-in radio show about car repair. Small market stations get quite a few regional listeners. These shows can be successful in letting the people in your market area know about you and your level of expertise. I know a couple shop owners who have been successful with this. Again, the only cost is your time.

Groups and outings

It's important to get involved in local business groups like the rotary and chamber of commerce. These forums can provide you with valuable business contacts and help you get to know some of the local lawmakers. You will learn about many civic events in your community that you can become part of as well. Parades, festivals, flea markets and fairs are a few possibilities.

Participating in these events will help the public become more aware of you. Your goal is to get your name recognized. It won't be if you don't make the effort to get it out there.

Golf outings are a good way to meet lots people, especially the larger affairs sponsored by car rental companies. These can be expensive if you try to sponsor a drink cart or a hole prize. You can, however, normally sponsor a hole for a couple hundred dollars. This will be an opportunity to meet with lots of insurance people as a captive audience. I have sponsored drink carts for thousands of dollars and all anyone remembered me as was the "drink guy." You can make a much better impression by being you for a few minutes at a hole. Handing out a few cigars is a good idea, too. Without spending a great deal of money, these affairs can give you a good bang for the buck.

Fliers

Handouts and fliers are not overly effective, but they do work and are relatively inexpensive. You can print a nice, colorful flier on your computer for the cost of paper and ink. Once printed, pick a target area and spend a day distributing them throughout the neighborhood. Check into local regulations about doing so first, however. It may not be legal in some areas.

Once you are clear, develop a flier that offers discounts, or maybe offers a free car wash with a visit. Be creative. Every time I have distributed fliers, I have gotten work from it. In one example, I distributed 100 fliers, and got in return $4,000 worth of work directly from the fliers. Sometimes you will get nothing, but it's another inexpensive way to keep your name in people's minds.

Share the cause

One effective way to help keep your marketing costs down is to partner with another like company in your circle, and do something together. Again, rental car companies or glass companies are good choices to suggest this type of effort with. You are all marketing to the same target groups and have the same book of contacts and the same concerns about advertising costs.

You can plan a local car show together, put on a continuing education class for local agents, become part of a charity effort like Recycled Rides, or plan an outing to a sporting event for your top clients. If the cost is split three ways to do any one of these things, it will be a great savings and just as effective as if you did it yourself. You might even be able to split the cost of a billboard or radio/TV add with your partners.

The key is to be creative and really give some thought to your marketing efforts. The less you put into it, the less effective it will be. I don't mean monetarily either. I think with just a small cash investment and a bigger investment in time and thoughtfulness, your marketing efforts will bear great rewards. Think about that the next time your kids want McDonald's.