4 Ways to Stop Burning Money in Ads but Still Get More Customers?

The eternal trick of marketing hits especially hard for startups and small businesses. How can you promote your business effectively, despite a limited budget? If you’re not careful, embracing advertising means little more than burning through your marketing budget without having much to show for. But that doesn’t have to be the case. In fact, […]

  • The eternal trick of marketing hits especially hard for startups and small businesses. How can you promote your business effectively, despite a limited budget?

  • If you’re not careful, embracing advertising means little more than burning through your marketing budget without having much to show for. But that doesn’t have to be the case. In fact, here are 4 ways you can stop burning your money in ads, and still increase your customer base.

1) Embrace Content Options

First things first: rather than spend money to push your message to an audience that simply might not care, draw in the users that matter to your content. That’s the philosophy behind content marketing, a concept that has built significant momentum in the past few years.

Global internet users are tired of outdated marketing tactics. They are installing ad blockers by the hundreds of millions, actively steering around the ads they encounter everywhere online. You may pay for that ad, but it never actually makes it in front of your audience.

Content marketing avoids that problem. If you can turn your website and online presence into a valuable resource for your audience, they will actively seek you out. Blog posts, whitepapers, webinars, and other content is effective in drawing your audience towards you.



2) Find the Free Alternatives

Not every marketing initiative you engage in actually impacts your budget. In fact, if you know where to look, you can actually promote your startup effectively while relying only on free tactics. Consider as examples:


  • Search engine optimization, achieved through a strategic design of your website. Your goal is to build the structure and content of your website specifically so that it appears near the top of search results for relevant keywords and phrases for your industry.

  • Organic social media marketing. Not to be confused with paid social media ads, the organic alternative means little more than building a business presence on a network relevant for your audience. Publish enough posts relevant to your audience, and your followers (and with it, brand exposure) will follow.

  • Email marketing. At some point in the sales funnel, you should seek to gather the contact information of interested members of your target audience. Now, you can nurture them through emails via one of multiple free tools available to increase their chance of customer conversion.

3) Limit Your Audience

Depending on your industry, relying exclusively on free and content-based marketing strategies may not be enough. In that case, you can still make sure that your advertising dollars are well spend. All you have to do is make sure the people who see your ads are actually relevant to your brand.


Especially digital marketing has evolved significantly in its targeting capabilities. For instance, Facebook allows you to limit the users exposed to your ads by geography, age, gender, education level, interests, recent purchasing behavior, and much more.


Your message will be more likely to resonate with a relevant audience. By limiting that audience, you ensure that the marketing net you cast is at once smaller, and less likely to allow anyone to fall through.



4) Engage in Thorough Testing

Finally, no marketing strategy can be reliably successful and cost-effective without continuous testing and adjustments. If you never compare your ads to anything else, you may simply never know whether you’re only burning through your budget or actually attracting customers.

A simple way to accomplish that feat is through A/B testing. Each ad you run should exist in at least two variations (A and B). The variations should be identical, with a single element changed (such as the image, the call to action, the headline, or the text itself). Depending on which outperforms the other, you can gain insights into what types of ads your audience actually wants to see.

Testing, of course, is meaningless without actual lessons learned. After a given period, evaluate your ads, and place your budget in the variation that outperformed the other. Now, you can feel more comfortable in how your ad dollars are spent – or engage in another A/B test to further hone the message.

Startup marketing on a limited budget is far from impossible. However, you do have to be strategic in order to make it work. The above tips can help you stop burning through your marketing dollars, while still maximizing your ability to attract new customers. To learn more about startup marketing, and growing your small business in general, contact us .

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Burning Cash: The biggest Problem of Startups & How to Solve it

Some of the biggest, most famous startups are known — or even notorious — for spending venture capital infusions lavishly on offices, employees, and equipment. Generally, those startups fall into one of two categories: Fast-burning failures, or companies with a known quality product that use some of the cash their massive funding rounds to attract […]

  • Some of the biggest, most famous startups are known — or even notorious — for spending venture capital infusions lavishly on offices, employees, and equipment.

  • Generally, those startups fall into one of two categories: Fast-burning failures, or companies with a known quality product that use some of the cash their massive funding rounds to attract employees with high-end amenities.

In truth, these types of stories cover major outliers on two opposite ends of the spectrum. Startups mainly exist somewhere in the middle part of that spectrum, with extremely varied amounts of initial funding or even none at all outside of what the founders can personally pay for or borrow. The strategies so closely associated with the word “startup,” mostly amounting to hemorrhaging cash until the product takes off or at least does well enough for the company to be acquired, are not a sustainable model for most new businesses.

For most startups, huge spending isn’t an option. Especially at the beginning. The true nature of most successful startups is a lean start, with funding gradually increasing until — in the best case scenario — their product proves itself in the market and receives a big boost from investors.


The Lean Startup Methodology

The basics of the lean startup methodology are:

  • Build the minimal functional example of your product. Work with your engineers to create the leanest example of your product and get it in front of customers as soon as possible to start gathering usage data. There is immense value in getting your product out of the imagination phase and in front of customers.
  • Continuously deploy new versions of your product. Instead of slowly building the full suite of dream features for your product, add new fixes and features as your customers need them. This keeps every man hour focused on the most efficient work at all times. This also leverages the phenomenon of customer needs often being out of sync with engineers’ ideas. Each new feature implemented considers customer feedback from the previous version, instead of engineers and designers dreaming up their own solutions to problems customers might not even have.
  • Make decisions based on actionable metrics, rather than vanity metrics. In this case, actionable means a circumstance with a high chance of bringing in new revenue. A vanity metric, in contrast, is data that sounds nice, like targeting anything that nets new customers, but the best ways to do so sometimes cost more money overall than each individual customer brings in. Prove you can make money before spending too much at once!

The startup planning stances outlined above are even helpful for new businesses with heavy initial funding. Proving you know how to make money efficiently leads to a broader cross-section of investors willing to take a risk on your startup. And if the final goal is to sell the company off to a larger entity, you increase your chances of being well-compensated if the product is operating at a profit or at least losing very little compared to similar potential investments.

These three basics are the tenets of running a lean startup, and will point entrepreneurs in the right direction towards building an efficient, profitable product that proves to potential investors that your startup is worth their time and money.

Do you want to gain more tools to ensure your startup runs in the most lucrative and efficient fashion possible? That’s where W3 Business Minds come in. We specialize in helping startups and new businesses hit the ground running with the absolute best strategy possible, by identifying inefficiencies and plugging in new, data-driven ideas with proven success.

Whether you’re in the planning stages or you have a successful, established business that you know could be doing better, contact us today for a consultation.

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