In order not to make a mistake when choosing an advertising business idea , you need to make sure that this niche is not already occupied by others. To do this, you need to conduct at least a small market research and evaluate the costs of implementing a business idea.
First of all, you need to carefully study the advertising market of your city. Surely it has several large and a lot of small advertising agencies.
It is necessary to carefully study what services each of the competitors provides, what media they use, where they place their advertising materials. It often happens that even large agencies operate in a very narrow range of services. This is due to the presence (or lack) of specialists and equipment.
The information received will help you not only to determine your niche in the advertising market, but also to find future partners to implement your business idea.
After all, it is absolutely not necessary to invest in the production of promotional products, you can simply order it from one of your competitors.
We repeat once again that it is not worth wasting time, money and effort on competition in busy market segments. It is much more efficient to find your niche and capitalize on it before others come there.
Therefore, when conducting marketing research on advertising, you need to focus on finding new opportunities. After determining the type of advertising media, you need to choose their placement.
It should be remembered that advertisers will only be ready to pay you money for advertising when you justify your price and the number of ad impressions for a certain amount of time, for example, per day.
After all, the advertiser pays money only based on the increase in sales. If the consumer does not see the placed advertisement, then it is not necessary to count on sales. Therefore, it is worth checking the placements for the number of views, up to the count of people passing or passing cars at different times of the day. The received data will help you in negotiations with the advertiser.
The next step is to get permission to advertise. As a rule, to place outdoor advertising, it is necessary to obtain the consent of the owner of the premises, and then the city administration. These permits usually incur costs. Therefore, it is necessary at this stage of marketing research to accurately determine all upcoming costs and compare them with the expected income. When calculating costs, it is also necessary to calculate the costs of manufacturing and installation of promotional materials.
If you manage to get permission to place fixed advertising media, such as billboards, stands or screens, then you can further earn income from simply renting them out to other advertising agencies.
On our website you can order a business plan with calculations to implement the advertising business idea in your specific conditions.