Blog Layout

Milwaukee & Waukesha Counties Accountant Reveals A Big Mistake: Set Advertising Goals; Don’t Measure

Dale Hammernik • Jun 02, 2014

Goal setting? Really?

Honestly, this whole ritual of “goal-making” can be very cliche, but look — all of us Milwaukee & Waukesha Counties small business owners still do need little “nudges” to help us actually make changes in our lives.

I see it as my role in your life to not only provide authoritative and actionable advice for your Milwaukee & Waukesha Counties business financial situation, but also to play the role as a friendly “coach”. I get to be someone in your life who says:  You can do this. You’re not alone.

I *do* have goals here at Team Dale Hammernik, but I like to think I do them right ( don’t we all! ).

The difference being that I seek to attach measurable results to these goals — making them a bit more specific to my business and my life. I’ll keep the particulars to myself, but for my own Milwaukee & Waukesha Counties tax and accounting business they fall into some broad categories:

1) Profitability
2) Foundational Financial Growth
3) Marketing Effectiveness

As you set your specific goals for your Milwaukee & Waukesha Counties business, I’d love to be a resource to you. It’s my great hope that our relationship will continue to grow into this summer and beyond. And not just for “business purposes”. We love our referral sources and business owner clients … you’re a family to us!

And now for more specifics about the “measurement” issue I alluded to… after all, as an accountant, I’m a bit of a measurement nut.

Milwaukee & Waukesha Counties Accountant Reveals A Big Mistake: Set Advertising Goals; Don’t Measure
“Right is right, even if everyone is against it; and wrong is wrong, even if everyone is for it.” – William Penn

Many Milwaukee & Waukesha Counties businesses have a wide variety of measurement tools in place for a host of variables, from payroll efficiency to profit margins, to inventory controls. But there’s usually a huge “missed base”, and that’s advertising ROI.

You see, many business owners look at their advertising in terms of “response rates” or “raising awareness”. But it’s hard to measure “awareness”.

And while you *can* measure response rates, it’s actually the wrong way to think about your advertising. A better way to look at small business advertising results is actual  Return on Investment (ROI) .

Now, this necessitates a couple things:

1) A measurement mechanism.
This can be a coupon/gift certificate with a tracking code. It can be a dedicated phone line or a cookied web address to quantify leads. It almost doesn’t matter HOW you do it … just that you do it.

2) Advertising which incentivizes for a specific response.
This rules out certain forms of “image-building” marketing, unless you’ve got a bunch of dumb money to spend. ( Do you? I’ve got some beachfront property to sell you in that case. ) Rather, you should focus on “response-oriented” marketing which will help you know if the advertising you’re paying for works.

And I want you to remember this: any Milwaukee & Waukesha Counties media sales person, any ad agency person, any consultant, anyone in your own firm who is anti-direct-response does not have your best interest at heart. The person who opposes having the results measured accurately already knows that the results are inadequate.

Unfortunately, the agency business can be very much a smoke screen and sleight-of-hand business. You’ll be presented with demographic statistics from a given media that are just great. Unfortunately the listeners or readers all lied when they responded to the survey in order to look good and feel good. They inflated their incomes for example.

Print media loves to snow you with its pass-along figures. They’ll talk 100,000 readerships with 20,000 subscribers.

When you have to write out the payroll checks, pay the other bills, pay for all the advertising, pay the taxes and then see what might be left for you, you cannot deposit pass-along statistics or image in the bank account. You can only deposit dollars, which come from real results.

So keep this in mind as you formulate your marketing and RESULTS goals for 2014!

Look, I’ll say again: I don’t pretend to be a “guru”… but I see what works for my Milwaukee & Waukesha Counties clients, and I want you to have the best year you’ve ever had.

Would you forward this article to a Milwaukee & Waukesha Counties business associate or client you know who could benefit from our assistance — or simply send them our way?  While these particular articles usually relate to business strategy, as you know, we specialize in tax preparation and planning for Milwaukee & Waukesha Counties families and business owners.  And we always make room for referrals from trusted sources like you.

Warmly (and until next week),

Dale Hammernik
(414) 545-1890

 

See More Blog Posts

By nicholas 24 Dec, 2020
The “rescue package” has arrived. The COVID Relief bill is a whopping 5,593 pages long. I know you don’t want to sit and read through that novel, so I am here to summarize, in plain English, how this bill is going to effect your taxes. Have you ever been on a roller coaster before? A… The post The COVID Relief Bill Summarized appeared first on Talking Tax to Milwaukee.
By nicholas 04 Dec, 2020
This past week, I finally dove into a project that I has been brewing in my mind for a few years. I published my first podcast episode today. Is it any good? I’m not quite sure. To be honest, I’m not too happy with how it turned out. However, I accomplished part of my goal.… The post The Tax Slang Movement appeared first on Talking Tax to Milwaukee.
By nicholas 13 Nov, 2020
Your goal should be to get the IRS to owe you money. Of course, the IRS is not likely to cut you a check for this money (although in the right circumstances, that will happen), but you’ll realize the cash when you pay less in taxes.   Here are seven powerful business tax-deduction strategies that… The post 2020 Year-End Tax Savings Tips appeared first on Talking Tax to Milwaukee.
By nicholas 31 Jul, 2020
  With the 2019 Tax Filing Season just behind us, it is difficult to think of the next filing season, however, there are many issues that need to be addressed now, rather than wait. At this most difficult time for our taxpayers, we want to assure you that our firm is here to assist you… The post COVID-19 Tax Updates appeared first on Talking Tax to Milwaukee.
By nicholas 05 Jun, 2020
The goal of the Milwaukee Restart Program (Restart) is to help local businesses that suffered as a result of the pandemic to reopen and adapt to the “new normal” Eligibility Restart grants will assist for-profit businesses located in the City of Milwaukee that have 20 or fewer full-time or full-time equivalent employees and greater than $0 but less… The post Milwaukee Restart Grant Program appeared first on Talking Tax to Milwaukee.
By nicholas 05 Jun, 2020
Over the past few months COVID-19 has changed the way a lot of small businesses operate. Some have been unable to be open, some have adapted and changed, and some have even thrived. The Government had made a few loans available to try and help small businesses keep their employees employed and to also cover… The post Additional Grant Becomes Available For Wisconsin Small Businesses appeared first on Talking Tax to Milwaukee.
By nicholas 14 Jun, 2019
Choosing an Accountant Who Puts Your Goals First There is an endless supply of do-it-yourself tax preparation tools and websites, and the sheer volume of options can lead you to believe the process of filing your returns is simple. However, a DIY approach only works if you are satisfied with paying more than necessary. Tax… The post Finding the Right Accountant to Successfully Guide You Through the Tax Maze appeared first on Talking Tax to Milwaukee.
By nicholas 15 Feb, 2019
  Choosing an Accountant Who Puts Your Goals First There is an endless supply of do-it-yourself tax preparation tools and websites, and the sheer volume of options can lead you to believe the process of filing your returns is simple. However, a DIY approach only works if you are satisfied with paying more than necessary.… The post Finding the right accountant to successfully guide you through the tax maze appeared first on Talking Tax to Milwaukee.
By nicholas 08 Feb, 2019
  How do you know if your rental property qualifies for the 20 percent tax deduction under new tax code Section 199A? Just what we need–something else to learn along with all of the other tax code changes this year. Well, maybe not. There is a piece of good news: we won’t be required to… The post Does my Rental Property Qualify for the New Section 199A Deduction Under Tax Reform? appeared first on Talking Tax to Milwaukee.
By nicholas 07 Dec, 2018
Your company’s profitability depends not only on sales, but also on effective cost management. Are you adequately addressing the cost side of the business equation? Analyze Your Cost Structure You probably can readily identify the products and/or services that are generating your greatest sales volume. But can you identify all the costs associated with providing… The post Do You Truly Know Your Business Costs? You Better! appeared first on Talking Tax to Milwaukee.
More Posts
Share by: