What We Learned About Local Merchants in 2013 | Street Fight

Features

What We Learned About Local Merchants in 2013

0 Comments 26 December 2013 by

smalltown1As local merchants grow more comfortable using digital technology in their personal lives, they’re becoming increasingly interested in the world of hyperlocal marketing. In Street Fight’s 2013 Report on the State of the Local Merchant,” merchants discussed what they were looking for from hyperlocal vendors, and outlined the factors they look at when deciding where to spend their local marketing dollars.

Small and medium-sized business owners have heard all of the pitches, and most have become accustomed to being solicited by marketers with offerings that seem too good to be true. However, 40% of merchants now say they are actively searching for marketing tools they can use to drive new customers. The second most important factor that local merchants look at when deciding how to allocate their local marketing budgets is whether a platform “ensure[s] the right people are being targeted.”

The key for marketers looking to reach small business owners is to be specific about the types of results they can realistically provide. Here are five things that vendors can do to effectively sell to local merchants:

1) Demonstrate a direct and sustainable ROI.
Nineteen percent of respondents in Street Fight’s 2013 survey reported that demonstrating direct ROI was the single most important factor they considered when deciding to run a local marketing campaign. Vendors that show a direct and sustainable ROI have a better chance of catching a merchant’s attention.

2) Eliminate upfront costs.
Small business owners are operating on razor-thin margins, and most don’t have extra cash to spend upfront on hyperlocal marketing platforms that may or may not pay off in the end. More than 86% of merchants surveyed by Street Fight reported that cost and ROI factor into their decisions of which hyperlocal marketing vendors to work with.

3) Boost the analytics.
A lack of quantifiable data is one of the primary reasons why local merchants are likely to switch from offline to online advertising. In fact, 43% of merchants surveyed by Street Fight said a lack of metrics is the single biggest obstacle to doing more local marketing. The more data a vendor is able to provide, the easier it is to justify cost and prove ROI.

4) Target the right consumers.
Targeting is incredibly important to small business owners, many of whom have discovered that they cannot reach younger demographics through print advertising alone. Thirty-seven percent of merchants surveyed by Street Fight reported that making sure the right people are being targeted is the single most important factor they look at when deciding to run local campaigns. More than one-in-five merchants also said that demographics factor into their decision when selecting which local marketing vendor to work with.

5) Keep it simple.
Merchants continue to feel overwhelmed by the sheer volume of options available, and 71% say they feel “unprepared for the data explosion underway” in local marketing. Hyperlocal vendors stand apart from competitors when they are able to break down their offerings in a way that makes sense to merchants who may not feel comfortable using technological jargon on a daily basis.

Get more insight into SMBs in Street Fight’s 2013 Report on the State of the Local Merchant.




Newsletter

Get hyperlocal industry headlines in your inbox every morning. Subscribe to the Street Fight Daily newsletter.

Follow Us

Get the latest Street Fight news, information and analysis via Twitter and Facebook.

The Local Merchant Report

Learn how to better target this important-yet-elusive market. Key insights, case studies, and strategies make this a report you can't afford to miss.
Get your copy today!

Free eBook

How Mobile Location and Behavioral Context Skyrocket Conversion Rates: Location personas increase the value of ad inventories and give publishers a way to better target content. Learn how it works and improve your ROI now. Get the ebook produced by:
Download here

The $20 Billion Mobile Marketing Opportunity

Strategies and insights into the landscape of targeting options and how they deliver foot traffic and sales for SMBs.
Get your copy today!

Why Local is the Future of Commerce

The local marketplace is under renovation and four layers of disruptive technologies have emerged. Siloed early on, these industries are starting to coalesce, working together to form layers in a coordinated stack. Read the introduction to "The Local Stack" special report, underwritten by Yext.

How Back-Office Innovation Is Transforming Local

In this new report, Street Fight takes a look at the impact of supply-side technologies on the local marketing industry, detailing the opportunities and risks that these emergent services present to existing solutions providers.

Twitter

© 2014 Street Fight.

Powered by WordPress. Hosting by Page.ly