SALESFUEL TODAY

BIA: 60% of Home and Trade Services Businesses to Stay Steady on 2019 Advertising

by | 2 minute read

Your local plumbers, elec­tri­cians and HVAC con­trac­tors tell researchers that they’re hap­py with the state of busi­ness this year. The boom­ing econ­o­my means that 60% of these busi­ness­es will not be spend­ing more on adver­tis­ing in 2019. These results are from SAM™, BIA’s Sur­vey of Adver­tis­ing and Mar­ket­ing.

Average Budgets

The aver­age trade busi­ness spends about $37,150 on adver­tis­ing. Of that amount, $6,040 relates to pro­mo­tions. The HVAC sec­tor may be espe­cial­ly prone to pro­mo­tion­al adver­tis­ing. These con­trac­tors and installers often qual­i­fy for co-op adver­tis­ing sup­port from their ven­dors who want to sell heat­ing units in advance of win­ter and air con­di­tion­ing units in advance of sum­mer. You can find infor­ma­tion on co-op adver­tis­ing pro­grams and lim­it­ed time oppor­tu­ni­ties on AdMall from Sales​Fu​el​.com.

Traditional Advertising

You should also be talk­ing with these clients about their media mix and how well it’s work­ing for them. BIA find­ings indi­cate that the aver­age home and trade ser­vice busi­ness spends about 48.1% of its adver­tis­ing bud­get on tra­di­tion­al media for­mats. They often deliv­er items like fly­ers direct­ly to con­sumer res­i­dences. These SMB own­ers also rely on direct mail, news­pa­pers and tra­di­tion­al yel­low page adver­tis­ing. They tell researchers that, for tra­di­tion­al media for­mats, broad­cast TV and radio deliv­er the high­est ROI.

Social Media Advertising

Tar­get­ed social media ads rule with a second-place posi­tion in terms of use fre­quen­cy. A relat­ed sur­vey from the Con­struc­tion Mar­ket­ing Asso­ci­a­tion reports that 94% of con­struc­tion pro­fes­sion­als, and this includes plumbers, elec­tri­cians and home repair and remod­el­ing busi­ness­es, use social media. Specif­i­cal­ly, 49% have paid to adver­tise on Face­book. And, 36% say Face­book is their most effec­tive social net­work. At least 70% say social media adver­tis­ing has result­ed in bet­ter brand aware­ness for them.

Your local trade busi­ness­es may not be pre­pared to increase their ad bud­gets this year. But, they might want to hear about ven­dor pro­mo­tions and how they can reduce the cost of their adver­tis­ing. They might also need help improv­ing their social media strat­e­gy.

Kathy Crosett
Kathy is the Vice Pres­i­dent of Research for Sales­Fu­el. She holds a Mas­ters in Busi­ness Admin­is­tra­tion from the Uni­ver­si­ty of Ver­mont and over­sees a staff of researchers, writ­ers and con­tent providers for Sales­Fu­el. Pre­vi­ous­ly, she was co-owner of sev­er­al small busi­ness­es in the health care ser­vices sec­tor.