Business Finance

10 Ways To Reduce Marketing Costs For Your Business In Singapore

Marketing is essential for managing your business. Some companies inflate their marketing costs unnecessarily in the hopes of generating more profit, while other companies have a very tight budget. This article will help you reduce marketing costs by learning how to differentiate your essential expenses from the unnecessary ones. Embed our infographic in your website: <br /><br /><img src=https://www.lendingbee.com.sg/wp-content/uploads/2020/05/ways-to-reduce-marketing-costs-infographic.jpg width=980 /><br /><br /><a href=https://www.lendingbee.com.sg/ways-to-reduce-marketing-costs/ style=color:#000000;text-align:left> Infographic created by Lending Bee®. Click to view original </a><br /><br /> Common Marketing Costs For A Business A business entails several marketing expenses, some of which you can cut down completely, while others you can’t ignore. Research Understanding your audience is essential for any marketing campaign. You should know everything about your target group, starting with basic demographic information like age, income and geographical area, and ending with finesse details such as preferences and lifestyle choices. Once you know your audience, you can build appealing messages and select the best channels to make sure your audience receives and understands those messages. All of that costs money. Additional research expenses include analyzing your competitors, the market where you want to retail your products, as well as your own company. Traditional Marketing After you have your research, you need a team to devise the best marketing plan. Offline marketing costs are comprised of: Campaign strategies, including building your brand identity and brand image from logo and slogan to colour schemes, business cards and brand personality Advertising on traditional media (newspapers, magazines, TV, leaflets, etc.) PR and sponsorships Events Online Marketing In the age of the internet, you can’t ignore online marketing. This section includes costs for building and managing your website, your social media presence and blogs, plus e-mail marketing and other online advertising campaigns. Overall Costs A small business venture will spend approximately 5% of its revenue on marketing costs, but the expenses get up to 20% if the business is new. Some of these costs are recurring, such as a website host fee or the salary of your creative team, while other costs are periodic, such as hiring a rebranding expert. How To Reduce

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6 Important Reasons Why Successful SMEs Take Business Loans

Loans have received a bad reputation over the years and especially in relation to SMEs. However, with all the new industries appearing over the years, more and more entrepreneurs are born. Small business owners are wary of debt financing because of the stories and misconceptions they’ve heard. Falling into the endless debt trap sounds terrifying. Many only think of taking loans when they are experiencing financial difficulties, and even then it remains an uphill task because it means accepting that they’re not doing well. Taking up loans isn’t only for the cash strapped business owners. It is actually for those that aren’t risk-averse or those we are seeking to upgrade their company. Large companies with big brands under their belt also take loans but for the right reasons. Their objective will be to bring the company to the next level.    Good reasons to take a loan for an SME  To better explain the line of thought in some of the successful SMEs, here are some situations that make sense to take a loan for a small business. 1. Expansion Businesses are growing and for growth to happen effectively, it usually requires money. Any excess money in business will most likely go into building its capacity and generally growing it in whichever way that is relevant. It is possible to expand using regular cash-flow, but the speed at which it will happen may not be appealing. Taking a loan gives an instant cash injection into the business thus increasing the speed at which expansion can occur. It will also ensure other monies go towards operational costs thus keeping the business expanding and running. 2. Capitalizing on business opportunities Sometimes offers come up and the business could use that particular item being offered at a reasonable price. A loan comes in handy to acquire such things, especially if it is a capital-intensive item required such as machinery or a vehicle.  3. Inventory A business must have an inventory before it can make any money. Inventory comes in large amounts for it to be economically viable and the situation is worse if

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