Business people approach me all the time to ask for help in marketing their business. Almost without fail the conversation starts something like, "I'm in XYZ business. I don't have any money. What can I do to increase sales?";

Since I've long been an advocate of "outsmarting the competition…not outspending them," I'd like to share with you some of the tips that can substantially increase your business at little or no cost. Some of you who have read my columns for some time will have been exposed to some of these ideas, scattered here and there throughout other articles. This can act as a comprehensive checklist (notice I don't say complete—there are always new ideas) when you want to boost business without tapping the checkbook. Even you entrepreneurs who have some cash set aside for marketing should employ some of the "free" ideas first, then decide if you have to supplement them with paid marketing activities.

Plan for Profits

Planning is far more important than throwing money at your marketing, so please don't cut this step short. Determine what you want to accomplish, then go about doing the research needed to meet your goal. That may require some library time, information interviews with executives or members of various trade, professional or business organizations; and studying your competitors regularly to spot their weaknesses or the market niches they aren't filling. Then you can plan the right kinds of marketing strategies and tactics that will allow you to accomplish your goal.

Schmooze or Lose Networking

This is a fabulous way for most businesses to build awareness in the community. Look into Chamber of Commerce memberships—and then attend every mixer and event they have. Better yet, host a mixer if you have a large enough facility and expose people to your business.

Lead Clubs

For instance Business Connections in Humboldt County, is another excellent way to gain local visibility without much cost. This is a group of people in non-competitive business categories who agree to meet regularly for the purpose of getting to know one another and refer business back and forth.

For additional exposure get involved in local service clubs, attend local trade shows, and other events where your prospects are likely to frequent.

I've schmoozed—a lot I'd say over the years. The result is about 40% of my business comes from consistent networking.

Go Public

Let the world know you understand what your business is really all about. One of the best ways to do that is through public relations.

When something newsworthy happens in your business, let the media know. Business people that use this technique regularly tell me they see a 15-20% increase in their business. What's newsworthy? Adding a new product or service, adding or promoting personnel, innovative new operations, awards and major contracts you've won, etc. Press releases are easy to prepare and can generate a great deal of business.

Write feature articles for publications that reach your target market. This positions you as an expert and gives you a forum by which you can educate your market on the products and services that you provide.

Sponsor Community Activities

Sponsor sport teams or events which reach your target market. A dry cleaner may offer to launder the uniforms of the local little league team while a pizza parlor may provide a discount for post-game parties. Once you agree to sponsor something that becomes a newsworthy topic, don't forget to prepare a press release so the entire community knows of your generosity—not just a few who are directly involved.

Work Your Gold Mine

Your customers are your gold mine. They are the greatest, and cheapest, source of additional business. However, you need to work them to make them really pay off. You should be making outbound calls to remind them of specials you may be offering. Advise them of new products or services that meets their needs, or check on how they were serviced the last time they did business with you. What's the payoff? A 30-40% increase in business is not uncommon when customer follow-up is used consistently.

To do this effectively, you'll probably want to invest in a contact management software program for your computer. They're inexpensive, powerful and one of the best business investments you'll ever make.

Dress for Success

As simple as it sounds, the proper attire leads to sales. What's proper? Well, navy blue is the color, and beyond that something that suits the nature of your business. For instance, roofers have told me that they can wear navy blue coveralls or Polo shirts with slacks and see an increase in business. As did the business consulting firm that required their sales staff to wear navy blue suits because they had seen an 10-20% increase in sales when they did. Don't question it. It's been tested and proven too many times. Just do it and reap the rewards yourself!

Greetings from the Bottom Line

If you ask the proverbial question as someone enters your business or calls on the telephone, "Hi, my I help you?", re-think the question and the answer will be on your bottom line. In a tested retail environment, changing the initial greeting to "Have you ever been in our store before?" or "Are you shopping for yourself or looking for a gift today?", generated a 15% + profit increase. The same principle applies to service businesses. So test some new approaches, quantify your results, and settle on the most profitable approach—instead of the most convenient.

Even though your results may vary, let's tally up the score card based on the studies that have been done. Increases in business have resulted from the following marketing approaches:

Planning–exact figure unknown;

Schmoozin'–40%;

Going Public–15%;

Gold Mining–30%;

Dress–10%

Greetings–15%.

That's a total of 110% increase in sales. Oh my. We've just doubled sales without spending a cent. How 'bout that!

©1995 Jody Horner

(Jody Horner is the author of Power Marketing for Small Business; and the 2-hour video program, Power Marketing Through Direct Mail, and host of a radio talk show, " Winning in Business." (916) 933-4494