When small businesses fail, the wreckage is often assigned to
undercapitalization, among other mistakes. Seldom is failure attributed to a
lack of effective communications that might have modified the behavior of
sales prospects in a positive way, thus averting bankruptcy.
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In my view, raising money for new businesses is a skill best left to
others, but smart, aggressive communications is not. As the entrepreneur,
you cannot rely on your financing source to create the broad public exposure
your business needs if it is to survive. Ideally from Day 1, you must take
the lead in this vital effort accepting the fact that good results come only
after careful planning and implementation of a realistic and workable public
relations strategy.
Before you achieve real growth and prosperity, your target audiences must
not only become aware that your company exists, they must be motivated to
take action. Doing something about how your business is perceived means a
well-planned public relations program that can reach, persuade and move
those prospects to action.
At the root of it all, is a simple truism we all know but tend to forget:
people act on their perception of the facts. If the small business owner is
to have an effect on those perceptions, he/she must deal with them promptly
and effectively.
So the question for you, Ms. or Mr. Small Business Wannabe, is, have you
thought about some of the unattended perceptions out there that could nudge
your fledgling business closer to bankruptcy than success? Perceptions that,
if left unattended, may well result in actions that run counter to those you
and your banker may desire?
For example:
- If sales prospects are unaware of your product or service, you will not
get them as customers.
- And if those customers don’t remain convinced of the value of your
product or service, you lose them.
- If employees believe you don’t care about them, productivity suffers.
- If a minority person believes you discriminate when you don’t, a host
of unnecessary problems may ensue.
- If community residents don’t perceive your business as a good place
to work, you have employee hiring and retention problems.
- If insurance carriers perceive you as a bad risk, they don’t provide
the business coverage you need.
- If journalists are suspicious of your motives and you don’t convince
them otherwise, you get “bad press.”
- If business people believe what some competitors say about your firm,
that joint venture you want so badly may not come about.
- And, as you grow bigger, if government regulators believe your products
are not completely safe, sales will almost certainly be negatively affected.
Obviously, small businesses have limited resources. Still, there are
certain cost-effective activities you can undertake to reach them. And
considering the survival nature of this topic, while some expense is
involved, you may wish to research nearby public relations professionals
willing to partner with you during the early days of your enterprize.
Together, you may move in this direction:
First, rank your external audiences as to importance. For example, #1
customers; #2 prospects; #3 employees; #4 local and trade media; #5 your
local business community; #6 community leaders, and so forth.
Second, as time permits, interact with members of each audience and jot
down their impressions of your business, especially problem areas.
Third, prepare tailored messages that not only provide details about your
product and service quality and diversity, but address problems that
surfaced during your conversations.
Fourth, consider the most effective means for communicating each message
to each audience. This may include everything from simple meetings,
briefings and news releases, to media interviews, facility tours and special
promotional events.
How will you know that your efforts are changing perceptions for the
better? Over time, you should notice increased awareness of your business, a
growing public perception of the role your business plays in the community;
and, of course, growing numbers of prospects.
Such results are tracked by speaking on a regular basis with people among
each of your key audiences, by monitoring print and broadcast media and by
interaction with key customers and prospects.
Remember what is at stake nothing less than the survival of your
business!
So, keep an eye on what’s most important, and remember that people in
your community or marketing area behave like everyone else they take
actions based on their perception of the facts they hear about you and your
business.
And that means you must deal promptly and effectively with those
perceptions by reaching and persuading them to your way of thinking, thus
moving them to take actions that lead to the success of your business.
-- Bob Kelly counsels, writes and speaks about how successful businesses,
associations and non-profits achieve their objectives using the high-impact,
fundamental premise of public relations. A public relations counselor, he
has been DPR, Pepsi-Cola Co.; AGM-PR, Texaco Inc.; director of communications,
U.S. Department of the Interior, and deputy assistant press secretary, The
White House. Visit Bob Kelly's web site at http://www.prcommentary.com