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Demanding Cash Flow From Your Marketing

By Mike Van Horn

When cash is tight, many businesses cut back on their marketing. While it might seem like a logical move, in truth it's really not.

Instead of slashing marketing, first review your efforts to make sure you are getting the most from your marketing buck... and your marketing hours. Then cut the things that don’t work and find time to focus more on what does.

For example, Jan, the head of a small interior design firm, complained that she was spending so much time on marketing that she didn’t have time to get her client work done. We worked together to figure out how she could focus on the most effective marketing and dump the rest.

Using the chart below, she listed in Column 1 all the things on which she spends resources for marketing and selling. (For a list of possible marketing activities, see below.) Then, using the other columns in the chart, she estimated several things for each marketing activity.


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