Home businesses overcome marketing challenges
Written by Shirley Lichti for The Record, October 20, 2004

According to a CIBC World Markets' report, starting a business is easier in Canada than anywhere else in the world. So it's not surprising that small businesses are thriving, accounting for roughly one quarter of the country's GDP.

It's Small Business Week, so I thought I'd explore some of the marketing challenges home-based business owners face - and how they overcome them.

Atmosphere
Chris and Mélodie Porter run their massage therapy practice, A Hands On Approach, from their Kitchener home and say that a home business can present a cosy alternative to the clinical setting found in larger practices. However, they are also aware that some people prefer a spa atmosphere and would not be attracted to a home-based practice.

When running a home business, you also need to consider the atmosphere that children, family members and pets may create. A wailing child can disrupt a phone call or meeting. And while you love your cat or dog, some clients may have allergies or fears related to your pet.

Office Space
Some home businesses have separate entrances. However, if yours does not, you should think about how clients will be received.

Dave Dunford set up his Kitchener graphic design and creative marketing practice so clients come in through the front door. They immediately enter his office, which creates a professional image and represents little infringement on the living space.

Not having a formal office space is a bigger challenge. Karis Burkowski, who operates Netscapades Inc., a Waterloo web design company, often sets up meetings at client locations because the on-site visit allows her to get a clearer understanding of their business.

Alternatively, she suggests meetings at Williams' Coffee Pub. Once a client has a track record, she is more comfortable holding meetings in her home.

Signage
One advantage traditional businesses have is the visibility they can get from having signs prominently displayed. Not only are some home-based businesses reluctant to have a sign on their home, in many neighbourhoods it is not allowed.

Be sure to check bylaws in your city that relate to zoning, signs, traffic and parking regulations before opening a business in a residential area. It's also a good idea to ensure your neighbours are on board before you begin operations.

The Porters did their legwork prior to buying their house to ensure they would not face unexpected hurdles. They wanted their massage therapy business to be visible but wanted signage to be subtle and in keeping with the neighbourhood.

As a result, they have two signs. One lists just their names so clients know they are at the right location. A smaller sign is mounted under their names with only the letters RMT (Registered Massage Therapist). Chris says this was their best option since the smaller sign can be removed if necessary.

Hours of Operation
Although most people would not expect a traditional business to be open after hours, that's not always the case with home businesses. Because the home is also a workplace, some clients assume they can show up unannounced or phone at all hours.

This challenge can be dealt with by ensuring clients understand that appointments are required. Even so, says Dunford, "you always have to be well-dressed and presentable - there's no working in your jammies."

Burkowski's solution is to omit her home address on business cards and in Yellow Pages ads. She simply lists phone and fax numbers, plus her website and e-mail address, which works "reasonably well," she says.

Not all businesses require business attire, however. Restorative Measures, a Kitchener furniture refurbishing business, specializes in upholstery and unique paint finishes. Owner Dianne McBride has an office, but most often is in her workshop. Clients who drop by know she's working on projects, so clothing isn't a big concern.

Credibility
Home businesses often suffer from a lack of credibility. "People don't take you as seriously so you continually have to be selling yourself," says Dunford, the designer. "My challenge is convincing people I am as good as I say I am." Having a well-designed portfolio of past work to share with prospective clients helps him overcome this problem.

Burkowski says it's hard for home businesses to compete with bigger firms that have a business address clients can drive by. Some clients are more comfortable being able to see a storefront type of office. Clients want some assurance that the business will be around so they wouldn't have to find someone else to take over the maintenance of their web site.

(Interestingly enough, Burkowski notes that many of the businesses with offices she used to compete against have disappeared, while she's still operating.)

Professional Image
McBride knew early on that a professional image was essential to creating a successful business. Instead of installing a separate landline for her business, she uses her cell phone exclusively. This ensures quality control because she is the only person who ever responds to calls on this line.

Home business owners should coach household members who may take calls on how you would like the phone answered. It's probably best if young children don't answer your business phone.

Voicemail can present issues, but usually these can be overcome. Update your greeting regularly to reflect your availability and record your message in a businesslike fashion to set a professional tone.

While there are challenges in marketing home businesses, most are not insurmountable and are relatively easy to address. Learning from the experience of others is a great starting point.

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