What's one cost-effective marketing tactic that yielded a high return on investment for a small business?

Question

Wondering what low-cost marketing strategies can drive significant returns for small businesses? In this expert Q&A session, insights from a Founder and a Creative Director reveal some of the best cost-effective marketing tactics. The discussion kicks off with the effectiveness of email marketing and wraps up with leveraging content marketing, covering a total of seventeen actionable insights. Get ready to explore strategies that can propel your small business to new heights.

Luisa Zhou · Answer

As an eight-figure business owner, email marketing has yielded the highest ROI of any tactic I've used. In fact, it's a seven-figure revenue source in my business. Here's the basic process to use email successfully: Build an email list by offering a valuable lead magnet, and then nurture your leads with regular emails. Remember: People who join your list want to hear from you, and they have problems they need your help solving. Don't be afraid to use your emails to sell your offer.

Mike Vannelli · Answer

One cost-effective video-marketing tactic that consistently yields a high ROI for small businesses is user-generated-content (UGC) campaigns. We worked with a small business that encouraged its customers to share short videos of themselves using their product, offering a simple incentive, like a discount or freebie. We then compiled these clips into authentic, relatable ads. The organic feel of the UGC resonated with new customers and built trust, all while keeping production costs minimal. The results? A surge in engagement and conversions at a fraction of the cost of traditional advertising.
In case you end up using my input, here is my press kit with my bio, headshots, and backlink: https://envycreative.tawk.help/article/presskit

Dylan Young · Answer

One of the most cost-effective marketing tactics that consistently delivers a high ROI for small businesses is email marketing. As an experienced digital marketer, I've seen how small businesses can leverage well-crafted, targeted email campaigns to nurture relationships, build trust, and convert leads without breaking the bank. The key lies in personalization and segmentation. By segmenting your email list based on customer behavior or preferences, you can send tailored messages that resonate on a deeper level, increasing the chances of engagement and conversion.
Automation tools make it even more efficient, allowing businesses to set up drip campaigns or follow-up sequences that keep customers engaged over time. Combining this with value-driven content, such as special offers or helpful tips, can significantly boost open and click-through rates. The best part? Email marketing platforms are relatively inexpensive, making it a scalable and sustainable solution for businesses aiming for high ROI with minimal investment.

Craig Focht · Answer

We send written thank-you notes. It sounds so simple, but we'd leave a note at the end of every service thanking the customer for coming and give them a tiny discount if they were referring us. It wasn't expensive and everybody loved the one-on-one. What's more, it made it very convenient for them to refer us to friends and neighbors, who in turn promoted our presence locally.
The nice thing about this tactic was that it felt genuine and not sales-y. And we didn't need expensive ads or big hype. Our individual connection from those tiny notes led to more referrals than we expected. It created loyalty and credibility like no other ad can. And it was cheap, so there was good return on investment. Our customers were able to expand without incurring an out-sized marketing expense by ensuring that we provide them with a great experience they could recommend to others.

John Reinesch · Answer

One cost-effective marketing tactic that yielded a high return on investment for a small business was leveraging local SEO by optimizing the Google My Business (GMB) profile. For a local self-storage business, we focused on improving their visibility in local search results, which included optimizing the GMB listing with accurate business details, high-quality photos, and targeted local keywords. We also encouraged satisfied customers to leave positive reviews on the GMB profile, which boosted the business's credibility and ranking in local search results.
This approach required minimal upfront investment but led to significant results. As a result of these optimizations, the business began ranking higher in Google's local pack, driving more foot traffic and inquiries from local customers searching for storage solutions. Over time, they saw a steady increase in organic traffic and local leads, with many customers citing the positive reviews and ease of finding the business online as deciding factors.
By focusing on local SEO and fully utilizing Google My Business, the small business was able to generate highly qualified leads with minimal spending, making it one of the most cost-effective tactics we implemented. The high return on investment came from the increased local visibility, which translated directly into more bookings and long-term customers.

Fahad Khan · Answer

For a lot of small online firms, email marketing is a successful and economical approach. Businesses can directly approach their target audience by creating and maintaining an email list of engaged customers and sending them targeted communications about new products, sales, or exclusive deals. Email marketing systems are inexpensive and offer valuable tools for tracking open rates, click-through rates, and conversions. These features enable marketers to optimize campaigns and measure return on investment. For a small internet business, a well-implemented email marketing plan can generate substantial revenue and foster client loyalty.

Veronica Cockerham · Answer

One cost-effective marketing tactic that we use for our small business is social media, specifically Instagram and Facebook. What I have found that has worked is consistently sharing content, showcasing our products and how we assemble them. We also offer follower-appreciation giveaways and collaborate with micro-influencers. I usually plan many posts ahead of time in the Meta dashboard so it doesn't consume all of my time. I have been able to organically grow our audience and attract new customers. Social media has allowed us to connect with a wider audience without the high costs of traditional advertising. The key is regular posting, keywords, and sharing images about us and our story.

Sophie Marasco · Answer

One cost-effective marketing tactic that has yielded a high return on investment for my floral business is hosting seasonal workshops. By offering classes on flower arranging or DIY bouquet-making, we not only engage with our community, but also showcase our expertise and products. These workshops require minimal upfront investment—just the cost of materials—and they provide an excellent opportunity for participants to experience our flowers firsthand. Attendees often leave with their creations and a newfound appreciation for our offerings, leading to increased word-of-mouth referrals and repeat business.
Moreover, these workshops allow us to build relationships with customers in a personal setting. We encourage participants to share their experiences on social media, which helps amplify our reach without additional advertising costs. The sense of community fostered during these events translates into loyal customers who feel connected to our brand.

Echo Shao · Answer

Email marketing has been one of the most cost-effective tactics at Lansbox. By segmenting our email lists based on customer behavior and interests, we've tailored content to meet their specific needs. We launched a targeted email campaign for a new product, which resulted in a 20% increase in conversions with minimal ad spend. The key to success was providing personalized offers that spoke directly to our customers. It's a low-cost strategy that consistently delivers a high ROI without breaking the budget.

Shreya Jha · Answer

One cost-effective marketing tactic that yielded a high return on investment for a small business is community engagement through local events and sponsorships. By participating in, or sponsoring, local events—such as farmers' markets, community festivals, or charity runs—we were able to connect directly with our target audience in a meaningful way without a significant financial outlay.
For example, we sponsored a local charity run, which involved setting up a booth where we offered free samples of our products and shared information about our services. This not only allowed us to showcase our offerings but also positioned our brand as a supportive member of the community. We also engaged with attendees through social media by encouraging them to tag us in their event photos, creating a buzz online.
The results were impressive. We not only gained immediate visibility and new customer leads during the event, but we also saw a substantial increase in our social media following and engagement afterward. Additionally, many attendees visited our store in the weeks following the event, leading to a noticeable boost in sales.
Overall, this tactic proved to be highly effective and provided a strong return on investment by fostering community goodwill, enhancing brand awareness, and driving customer traffic—all while keeping costs low.

Sandra Stoughton · Answer

One cost-effective marketing tactic that yielded a high return on investment for a small business was leveraging referral programs. A local accounting firm we worked with implemented a simple referral program that encouraged satisfied clients to recommend their services to friends and business associates. For every successful referral, the client would receive a small discount on their next service or a gift card to a popular local coffee shop.
The beauty of this tactic was its low upfront cost and the fact that it relied on word-of-mouth, which is one of the most trusted forms of marketing. The firm didn't have to spend a lot on advertising; instead, they tapped into their existing network of satisfied clients who already trusted their service. Each new client brought in through a referral was more likely to become a long-term customer, creating a ripple effect that grew their client base steadily over time.
In the end, the referral program significantly increased their client acquisition while keeping costs low. The return on investment was high because the only cost was the reward, which was much smaller than what they would have spent on traditional advertising. It was a simple yet effective way to grow their business organically without needing a large marketing budget.

Ramzy Humsi · Answer

One of the most cost-effective marketing tactics I've seen for small businesses is optimizing their Google Business Profile, often referred to as local SEO. This strategy offers an exceptional return on investment, especially for local businesses looking to attract customers in their immediate area.
By ensuring that a Google Business Profile is complete and accurately reflects the business's offerings, hours, and location, businesses can significantly improve their visibility in local search results. This means they can reach people who are actively searching for their services at the moment they need them.
Engaging with customers through posts, responding to reviews, and keeping the profile updated are key components of this optimization. These actions not only enhance customer engagement but also build trust and credibility, leading to increased foot traffic and inquiries.
In a competitive landscape, investing time and effort into Google Business Profile optimization can yield impressive results, making it a smart move for small businesses aiming for growth without breaking the bank.

Ronald Osborne · Answer

One tactic I have seen yield a high ROI for small businesses is leveraging strategic partnerships with complementary businesses. By collaborating with other local or online companies that share a similar target audience but are not direct competitors, you can tap into their customer base at minimal cost. For example, a fitness studio partnering with a health food store to offer joint promotions or bundled services. This not only increases exposure but adds value to customers, driving traffic and sales without needing a big ad budget. It is low-cost and delivers measurable results quickly.

Rene Ymzon · Answer

Leveraging email marketing automation has been a highly cost-effective tactic for us. By segmenting our audience and sending personalized, targeted emails, we've seen a significant increase in engagement and conversion rates, all while keeping costs low. It's scalable, efficient, and delivers a strong ROI.

Taylor Walker · Answer

One cost-effective marketing tactic that has yielded a high return on investment for small businesses is transforming existing blog posts into engaging YouTube videos. By repurposing content that already performs well, businesses can tap into YouTube's massive audience—the second-largest search engine globally—without the high costs associated with creating new material from scratch. This approach not only extends the reach of the original content but also enhances SEO efforts, as videos can improve search rankings and drive additional traffic back to the website. The strategy leverages existing resources to create multi-format content, resulting in higher engagement and a significant boost in ROI without a substantial increase in marketing expenditure.

Joel Popoff · Answer

The limited product release has been one of the most successful and cost-effective marketing strategies we have pursued so far at Axwell. We intentionally create demand by producing, for instance, only 100 or 500 units of an item on the availability concept of FOMO. This approach not only creates a perception of urgency, driving customers to buy your product before the stock is sold out, but also builds a sense of value and exclusivity in our offerings. Often, anticipation and excitement around limited releases lead to higher levels of re-engagement and faster sales cycles, which then translate into substantial returns on investment. Besides, these limited launches ensure dedicated customers in the next releases, hence brand loyalty in the long run. Simply put, limited editions have been one of our most successful and viable marketing strategies.

Ronan Ye · Answer

One cost-effective marketing tactic that yielded a high return on investment for 3ERP is leveraging content marketing through targeted blog posts and case studies. By creating valuable, informative content that addresses the specific needs of our audience, we've significantly increased organic traffic to our website and built credibility in our industry. This approach not only engages potential customers but also enhances our SEO, leading to more inquiries and higher conversion rates without the need for large advertising budgets.

What Are Cost-Effective Marketing Tactics for a Small Business?

What Are Cost-Effective Marketing Tactics for a Small Business?

Use Email Marketing Effectively

Implement User-Generated Content Campaigns

Leverage Personalized Email Campaigns

Send Written Thank-You Notes

Optimize Google My Business Profile

Utilize Cost-Effective Email Marketing

Engage Through Social Media Platforms

Host Seasonal Workshops

Segment Email Lists for Targeted Campaigns

Engage in Local Community Events

Implement Referral Programs

Optimize Google Business Profile

Form Strategic Business Partnerships

Automate Email Marketing

Repurpose Blog Posts into Videos

Create Limited Product Releases

Leverage Content Marketing