CHICAGO, IL / ACCESSWIRE / October 12, 2020 / The vast majority of startups will fail. In fact, 90% of startups are projected to fail over the time they are created. (Source: Forbes) But what does that mean for the average startup looking to create a successful business? The answer isn’t to close up shop, but rather to anticipate and plan, and this has never been more important than during a global pandemic.
After finding the right market fit, demand, and understanding their defined end user, every startup must figure out one last piece that truly lets them flourish: customer acquisition costs. Customer acquisition costs have plagued startups in the past and with COVID involved there has never been more variables to compensate for.
As strategies are staggered, costs and pricing aren’t comparable to efficiency, and options are divided, startups are left with an increasing problem: there are options but none of them are solutions to the LTV (lifetime value) and customer acquisition cost problem. This is one of the main reasons startups fail, and as with the increasing viewership, startups are not able to gain any of the new eyeballs due to the same problem. That’s where Statehood comes in.
COVID has affected audience viewership in ways that have never been seen before. Due to the lockdown initiated in many areas and the general safety protocol, viewership in most mainstream mediums has shot up.
According to Statista on a report for “U.S. cable news networks: number of viewers June 2020” Published by Amy Watson, “News consumption was high among U.S. audiences as viewers turned to their preferred networks for updates on the corona virus pandemic. Fox News averaged 3.54 million prime time viewers in the week running from March 9 to 15, 2020, and in April 2020 CNN’s average audience among the 25-54 demographic jumped by 193 percent year on year.”
This trend wasn’t just for cable news; this upward trend of viewership held true in other aspects as well. For subscription videos there was a large hike as well. “According to a survey held in March 2020, Millennials in the United States were more likely to sign up to movie or television streaming services as a result of the corona virus outbreak than respondents in other age groups, with 30 percent saying they were much more or somewhat more likely to do so” (Source: Statista), with other data showing insights such as “The corona virus outbreak has caused media consumption to increase in countries across the globe, with book reading and audiobook listening up by 14 percent, social media usage seeing an increase of 21 percent, and news consumption rising by 36 percent.”
Now how is this a problem? For large corporations this may be perfect as viewership goes up, so does placement. This although is not true for startups. Startups face a very specific problem: as viewership rises and prices for ad spend drop, how do you create a campaign that is truly multi-platform?
Currently the concept of full service is not a reasonable approach for all agencies as they are either “full service” in the digital sense which would include aspects such as website content creation, Google ads, SEO (Search Engine Optimization so consumers can better view your website), etc. but are limited to larger and traditional more awareness based platforms such as subscription channels, Over the top boxes like Amazon Fire tv, Linear tv etc. Or they are completely full service but have starting prices not reasonable for the majority of startups which then lead to a much smaller ad spend or working dollars put towards the campaigns losing awareness. Startups lose awareness either way. This often leads to the problem where startups with a reasonable budget are left to choose with a more affordable option that limits viewership opportunities when they need it the most, or choose a larger strategy that is more costly and less effective as it can force certain businesses to bring certain process in house or use a separate agency creating inefficient campaigns.
The solution: Statehood’s cost-effective startup-centric strategy.
Realizing the apparent gap between smaller full-service digital agencies and more expensive inefficient larger agencies, Statehood Marketing and Logistics focused themselves as the only startup focused, full service agency.
While offering solutions to startups, most agencies are unable to craft a specific strategy as to how startups can succeed in their marketing efforts especially when pricing is considered. Statehood’s business model allows for an approach where they are able to offer both a digital strategy while compensating for larger efforts such as linear tv, subscription services, and OTT (over the top boxes, or boxes that would traditionally go on top of the cable box such as Amazon Fire tv). By being able to offer high end solutions at a fraction of the price they are able to combine their digital offerings all at a lower price and increase the volume of clients.
Statehood is able to best achieve this for startups using their cost-effective lean marketing model labeled as SSCM (statehood startup campaign management). Its key factor allows for campaigns to be created at micro levels for what some would call sales based campaigns, the campaigns are focused on specific niches and demographics, these campaigns then continue to grow into brand awareness based campaigns that allow consumers to understand more about the brand. Part of this method also calls for using channels best suited for the audiences and niches of each brand, keeping one key thing valid: not all startups are alike and the main goal is to change and be as flexible as needed. SSCM has helped generate the correct framework so that Statehood can replicate success and anticipate for flexibility creating a cost-effective strategy.
Statehood Chief Operations Officer Shazor Khan commented, “It’s important to understand that most startups are looking to gain awareness for their products or services, that’s how they’re going to gain market share and sales. This hasn’t been more important and possible then during COVID due to increase in viewership. We understand this and use our time more focused on how we can approach this specifically with a leaner system, so we aren’t beholden to consistently pitching to drain the clients marketing budget.”
Statehood focuses on both short- and long-term campaigns, but states that the best way they’re able to keep costs low for their clients is by being “on call” with dedicated teams for each startup over a longer period of time. For more short term campaigns they focus on a more lean approach allowing for a more streamlined strategy, using fewer tactics to gain more awareness and by betting on viewership for only few consistent methods over multiple unnecessary tactics that they industry may deem important when in reality just allow for agencies to have more billable hours. Something most brands are trying to avoid more than ever during COVID.
Shaheer Khan Chief Executive Officer continued on to state “by pulling back the curtains on what works truly and not offering “solutions” that create more revenue for the agency instead of the client we are able to create campaigns and relationships with our client, both successful. We are creating campaigns that allow startups to gain more exposure during this increased time of viewership allowing them to compete with brands much larger.”
You can reach out to Statehood Media, Marketing and Logistics on their website: www.Statehood.net or (630) 631-4407.
All sources were obtained through Statista and Forbes, on: www.Statista.com & www.Forbes.com.
Contact Statehood at:
View source version on accesswire.com: