Do you really have to spend money to make money?

Running a company is all about thinking up ways to save money wherever possible in order to maximise earnings.

However, there are occasions when spending money rather than keeping it is a better choice – times when that expenditure will (or hopefully will) pay off in giving you more significant profits.

This is where the old adage of having to spend money to make money in business rings true. When are these occasions? What should you spend your money on in your business? Read on to find out. 

Promotional items 

Promotional items and merchandise can be an enjoyable and memorable way to interact with your clients and customers. You can use them to say thank you, greet someone, or just to remind them that you are around and ready for them to buy from you. 

You'll need to spend some money to purchase these items in the first place (how much is up to you.

You can spend a little or a lot, depending on the item itself and the quality you are looking for), but by keeping your company in the minds – and eye line – of the people who will spend money with you, you should see a nice return on that investment, whatever it might be.

You can choose anything from pens to coasters to mugs to toys and chocolates; just choose something that will fit your company and be used and enjoyed by the recipient.

Attend industry events

Industry events and exhibitions can be a great method to get your message out to those who need to know more about you. They are one of the greatest ways to network, and you will meet a lot of new people who can help you in some manner.

Choosing the perfect exhibit or shows for you and having the right materials on hand to give to interested parties can make a significant difference in your bottom line and significantly increase your sales.

Make the most of the foot traffic that passes by and design your booth to stand out, otherwise you could lose out on the best opportunities. 

Corporate gifts

Purchasing beautiful – perhaps costly, but unquestionably high quality – gifts for corporate partners and customers is something that many businesses do for several reasons. Christmas, anniversaries, closing big transactions.

Whatever the reason for the gift, it will truly make you stand out in a crowd, bringing in a lot more revenue for you throughout the year. 

Marketing

Spending money on marketing is critical; otherwise, how would people know where to find you? How will they even know you're there?

You can discover excellent ways to advertise your company that fit your budget, but it's always a good idea to spend as much as you can (without going into debt) to get the most outstanding results.

Some marketing methods, such as promotional items and corporate gifts, have previously been discussed, but there are many more to consider, such as social media, newspaper advertising, radio commercials, billboards, and more.

Choose the best path for your company with expert help from a market research agency and launch a campaign that will attract the right people to your business – you will need to do some market research to identify your target market.