A familiar declaration, usually delivered in emphatic tones: Advertising doesn't work for commercial printing companies!
Heard that before? I have. Often. It's a truism—a seemingly self-evident statement likely to be called into question only by rookie marketers.
No one likes to be a novice, wet behind the ears, unaware of what works and what doesn't, not really knowing how to do the things that matter. And so, in many printing companies, advertising is an unexamined option, seldom considered by marketing and sales executives.
The belief that advertising holds no benefit for commercial printers is so strong that a surprising number of specialty printers, with highly focused and readily targeted markets, routinely devote little of their communications and sales promotion budgets to advertising.
Truisms and conventional wisdom have something in common. There is good reason to accept them. For example, it's easy to see how people built a case that the Earth is flat.
When I look out my window, the Earth's curvature isn't apparent. What I see is a flat plane broken by mountains and valleys, not a globe. So what does the evidence suggest?
The likelihood that advertising won't work for commercial printers also seems self-evident. Here are frequently cited reasons.
1) It's expensive. The CPM (cost per thousand audience members) may be affordable, but who wants to pay for the many readers or viewers who have nothing to do with print design, production or purchasing?
2) The customer base is too diverse. It cannot be targeted because every existing organization buys from commercial printers. Businesses in every industry—non-profits and associations of all kinds—require printed materials.
3) The media don't match the geography. Even large, national printing companies may provide uneven coverage; they do much business in some major markets and little in others. Moreover, most printing companies are regional. For both national and regional printers, the areas from which customers are drawn may match up poorly with available media.
4) The results can't be measured. Spending a lot of dollars for an uncertain return on investment doesn't accord well with a systematic approach to management.
5) Commercial printers are look-alikes. Advanced digital capabilities, high-quality printing, shortened production cycles and high service are wide-spread. The absence of significant differentiation or even a distinctive selling proposition makes plausible ad messages similar to one another.
6) Print buyers don't respond to advertising. Print sales are based on relationships. Nothing can replace the trust created during the face-to-face interaction of the sales rep and the customer.
The list makes a compelling case against advertising. It's hardly surprising that marketers for printing companies ignore the option.
Now let's examine the reasons more closely and from a somewhat different perspective.
1) Expense. No doubt about this one. For printers that can manufacture their own mailed pieces and handouts, media costs are high, especially when calculated on the basis of effective CPM (the cost divided by the number of audience members whom the printer wants to reach). The issue should be defined in terms of both cost and benefit. Keeping track of ROI is addressed in the fourth item.
2) Diverse customer base. Yes, every kind of organization buys printing, but many printing companies have a concentration of customers in a surprisingly small number of industries: ad agencies, design firms, financial organizations, automobile manufacturers, etc. The company's concentration often mirrors the economy of its particular region.
Surprisingly few printers analyze their sales by SIC code (Standard Industrial Classification). To do this effectively, the analysis should match SICs to dollar volume, number of jobs, customer location (ZIP SCF) and profitability. The concentrations you discover should be followed by an exploration of trade magazines read by your customers to see if any are likely ad media.
3) Geography. A mix of local media may match up effectively with your coverage. Many national media—print, broadcast, cable—offer regional buys. The Internet is location-free.
4) Measured results. Direct response advertising provides an effective way to keep track of costs and returns, detailed enough to warm the heart of even the most skeptical CFO.
5) Look-alikes. Defined by the production process, commercial printers are often remarkably similar. Viewed in terms of customers served and services provided—upstream and down—they are just as often very different. Clearly expressed, these differences make for distinctive and memorable ad messages.
6) Print buyers don't respond to advertising. I'm sure that at one time someone must have argued that printers don't respond to ads, so press manufacturers or plate suppliers shouldn't advertise.
Of course relationships are important and will continue to be so. That fact suggests one among many themes for an imaginative campaign. Image and branding are increasingly important in business-to-business sales. A clear, compelling statement of the business solutions your company offers can be the basis of an effective ad-driven approach to selected markets.
This brief review of objections to advertising doesn't prove your company should run ads, but it certainly suggests that you shouldn't overlook the possibilities.
—Jacques Marchand
About the Author
Jacques Marchand may be phoned at (415) 357-2929. His firm, Marchand Marketing, provides strategic consulting services, positioning and marketing communications to help companies in the printing industry increase sales. E-mail may be sent to jmarchand@marchand.com. Information about the firm's work for clients is also available on its Web site, www.marchand.com.
REMEMBERING THE OBVIOUS:
Local and Regional Media
Major and secondary markets are all served by a rich supply of newspapers, magazines, radio and television stations. They include regionally based weeklies and monthlies devoted to general business and specific industries—radio and television, broadcast and cable. In the mix are sure to be outlets that match up well with your markets. Their ad rates are often surprisingly affordable. (Don't overlook the possibilities on public radio and television.)
Potential advertisers are often provided with circulation data and research to help them make informed decisions. Be sure to ask about circulation audits and other supporting evidence for claims.
Large companies can target a number of regions and industries by culling available outlets and creating a media schedule with multiple choices. Small companies can make use of one or two carefully chosen and closely tracked single, local outlets.
For printing companies large and small, the message is identical. Don't overlook local and regional media. They deserve careful exploration.—J.M.