Advertising is not the same for every type of customer.
The following is a list of 2011 trends that will provide SMBs with the greatest opportunity and confusion.
1. Facebook is now the new online presence
Recently, I saw a print advertisement with a Facebook URL but no traditional website URL. The times are changing.
Websites are too complex for SMBs to update and build. Facebook makes it easier for small businesses to sell their products online. As social commerce grows, Facebook will become increasingly important.
In 2011, we will see the first successful businesses without websites and only Facebook pages.
2. The dawn of SMB agency is here
SMBs cannot do everything; they must focus on their core business. SMBs are faced with the growing complexity of online marketing, which is both a great opportunity and incredibly daunting.
To reduce this complexity, intermediaries that are aimed at SMBs will emerge. Although many of the intermediaries are startups, others will be established media companies that have already built relationships with SMBs.
I predict new large-scale agencies that will directly help SMBs. They will adopt a more localized model, similar to Charles Schwab’s (with physical offices), than the traditional Madison Avenue firms.
3. SMBs are serious about location-based services, but they rarely advertise.
Foursquare, and other location-based service (LBS), are constantly improving their business features. Foursquare, for example, allows SMBs to manage and claim their business page. Yelp also focuses on this, while Google Places offers incentives and sales forces to SMBs.
SMBs must take control of their pages and learn how to use these platforms. Few will pay to advertise on LBS platforms, except for those who want access to their profiles.
4. Finally, SMBs look at their numbers
Many SMBs spend advertising and marketing money without any real metrics or targets. These questions will force small business owners to do the math.
- What is the acceptable cost of acquiring a new customer?
- What is the lifetime value of this customer?
- What advertising methods are producing results that meet these requirements?
5. Coupon sites are often a failure for many people.
SMB owners love group coupon websites. This year, many will give them a try – and fail – for the first time.
Customers will become overwhelmed with the number of offers and coupon players and will stop paying attention to offers from brands other than their own.
Couponing will transform from a means to attract new customers into a method to encourage repeat business.
6. YouTube will be a major focus for SMBs
Consumers are overwhelmed by blogs, news articles, and reviews. Text is too much for humans to consume, so video will become the preferred way for consumers to learn about new products and services.
It’s not difficult to produce videos of high enough quality for your website. All you need is a Flip camera and video editing software. Video will become a necessity for SMBs when they discover YouTube-promoted videos with a cost-per-click that is one-tenth of the price of a paid search.
I predict YouTube will release an abridged version of its “branded channels,” which are now too expensive for SMBs. SMB channels allow SMBs to store videos, offer product and service material inside the YouTube interface, and highlight links back to their websites.
YouTube will compete with Facebook to become the “home” of SMBs.
7. The SMBs are the largest consumers of crowdsourcing
SMBs will use Crowdsourcing marketplaces to perform advertising and marketing tasks such as paid searches, logo and ad creation, display advertising, social media, and content production.
SMBs seeking quality help will be attracted to crowdsourcing options that pay by the unit or performance.