Is it best to advertise when business is slow or busy?

[Abet Computers]

I am planning my advertisement budget for the 2012 year. I have went through my last 2 years of clients and found it was consistent when the clients come and do not come in. As I am researching, I want to find out an advertisement tip. Is it best to advertise when business is slow? Or when people are flying in?


My thinking here got's me stumped

I do not want to advertise when business is slow because, People are just not looking for computer repair, and it feels like the advertisement i put out just falls on deaf ears, wasting money.


On the other hand I don't want to push out a bunch of advertisement when business is hot because, People are coming in anyway, and I feel, if im pushing out discounts people are just getting an extra good deal even if they planned on coming in anyway.


I think I answered my own question as I am writing this out but I decided to post it anyway for others to chime in.


Advertise discounts during the slow months?? ( still has a fail point )


Advertise your brand during busy time.


What are some of your techniques?

 

[RichmondTech]

Neither. You advertise on the upswing. Since you have the last two years of sales tracked you know when you're in the upswing.

You're right in not advertising when it's slow. So many people make the mistake of doing that. Advertising when it's slow is pointless because no one is buying. Advertising starts on the upswing and ends when your peak ends. The idea with advertising is to gain marketshare. If during your upswing you bring in X dollars, you're looking for your advertising during that time to bring in a larger marketshare than you'd have without the advertising.

Retailers do this all the time with back to school specials and holiday sales. They know people are buying during those times and every year they inch up their advertising so they can get the jump on everyone else and capture marketshare.

As far as what to advertise, that's something to consider too. People are NEVER looking for computer repair, it's just a necessary evil. I never look for great deals on a rebuilt transmission; I'll just get mine fixed when the time comes. Something to advertise would be something they'd need anyway, but your ad just gives them that extra nudge to purchase now instead of later. % off monthly unlimited remote service, maintenance plan discounts, tune-ups. Don't advertise break/fix stuff.

 

[Abet Computers]

Great advice thank you.

 

[joydivision]

Advertising virus removal worked well for me during the fake AV peak earlier this year, but back fired when they died down.

It is difficult to advertise in this business as people don't plan when to fix their computers.

 

[BryanLee]

It's never a bad time to plant a seed. What I mean is that I am always "advertising" in some way or another. If i have an opportunity to let someone know what I do and how i can help them, I do. I also try to avoid sounding like an over zealous insurance salesmen as that can make someone decide to never call even before they have a problem.

As far as paying for advertising, I would have to agree with the above. I rarely pay for advertising though.

 

[Tony_Scarpelli]

Generally you need to have listing services always: yellow pages, SEO website and such, plus signage for a store.

For advertising beyond those I agree spend when the market is about to turn good and during the good times or advertise all the time. Advertising only in bad times is the least effective-IMO.

If you spend $1000 per month advertising and it only brings you $500 per month in slow times and $1500 per month in fast times then it is easy to see that is effective to advertise during the upswing and good times.

I have not read them but marketing experts quote studies that those who consistently advertise will get even more of the business during upswings as they maintained their brand in the minds of the consumers when they were not ready to purchase.

Brand advertising is where you advertise a brand and no prices. Maybe general phrases about prices if that is your brand "Discount Tire." or such.
Coupon advertising is what you normally do during slow periods to bring in business in slow times and weaken your competitors by taking their business. Most computer companies are not large enough to do this. It also could cause a price war where no body makes any money.

If your market has 111 computers a day to be fixed among 44 computer outlets if they all make $100 ea then there is $11,100 to go around averaging almost $250 per day each with some bigger and some smaller. If one or few decide to start advertising fixing for $50, then the amount to be divided drops in half so everyone is poorer averaging $125 per day each. It is not exactly like that as established firms have the advantage, new guys hurt the worst.

It is very zero sum game and dangerous to the weakest and new players. What happens is that many of the existing competitors have to adopt their new prices as they see their sales drop, to try and hold on to what they got. Now everyone is poorer, the new guys are not getting more business as the new established price is now $50 and they have to go even lower to attempt to steel business. This goes on until the weakest die and then rates go back up. Your better reputable companies can withstand not lowering their prices as quickly so they have some insulation. So don't think you are going to come in as a new small guy and kill an established competitors business or steel his clients. You will at best create a price war with others who are barely surviving and so the weakest competition kills each other off while the 17 year established guys just sit back and waits for better days.

 

[Tony_Scarpelli]

Advertising virus removal worked well for me during the fake AV peak earlier this year, but back fired when they died down.

It is difficult to advertise in this business as people don't plan when to fix their computers.

That is referred to as "storm chasing" in the industry and it is effective if your timing is exact.

It began with guttering/roofers and siders chasing the storms and doing what you did, advertise the day after the hail. It is very effective with direct mail as you can isolate it to the carrier routes that the wx station says was hit. You can use it on a broad scale with Tv/radio /cable and even print media. It is most effective when the ticket item is large like $15,000 roof/$35,000 siding job. If you run $100,000 worth of tv/radio blanket ads locally as possible and then get 30-60 jobs.

 

[houstonpcrepair]

Lowering prices kill every business in the industry. Thats why I cant stand $25 ny repair craigslist techs.

 

[YeOldeStonecat]

It's never a bad time to plant a seed. What I mean is that I am always "advertising" in some way or another.

That's my point of view...."always".....keep it steady, that's what is important..."steady".

 

[PC-Man]

As the OP said in his post there is no need to advertise because business is slow and is very true. But if you can afford to keep your ad running constantly sure you will get a new customer from your ad though they will be few during the slow period.