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SIGNS… AND SMALL BUSINESS
Description: How to select a sign for your business.
What Is a Sign?
Most businesses, regardless of size, depend heavily on signs.
Signs help people find you; attract people who pass your establishment;
present an image of your business; and tell potential customers what
goods or services you offer.
Signs are the primary form of advertising for small business.
Signs provide a link between transportation and communication.
Each year,40 million people travel more that 1.7 trillion miles by automobile.
Your sign is an effective way of reaching this mobile group of potential customers.
What benefits can signs provide for your business?
Information and Directional Functions:
Signs identify a business and provide information about it.
A noticeable and readable on-premise sign not only alerts the public,
but tells them about services offered, prices and hours.
Service Trade Area:
A trade area is the marketing vicinity from which a business owner draws
customers—usually within a half-mile to a mile of the business.
Trade areas differ in shape and size depending on the business and
its reliance on transportation networks and may vary seasonally.
A sign communicates important information to consumers located in or passing
through the immediate trade area.
Build Image:
Signs are an effective marketing tool in building an image for your business and in
helping you identify the market segment you are trying to reach.
Through materials and design, a sign can appeal to a given
group of potential customers.
Color and lighting effects can enhance the impact and psychological response to
your business.
Enhance Advertising Recall:
Signs reinforce other advertising expenditures by repeating commercial messages.
Many national firms incorporate their logo into their mass media advertising
campaigns, such as television, thus increasing product or service awareness.
Generate Impulse Business:
Signs generate business by catching the attention of visitors and newcomers who
traverse a trade area.
Studies show approximately 50 percent of all consumer items are purchased on impulse.
On-premise business signs differ from outdoor advertising billboards which
market national products.
On-premise signs tell people who you are and what goods and services you sell.
Signs are a form of landscape art enhancing your commercial area and surrounding
environment.
Sales directly attributable to signs drawing consumers to the point of
purchase.
Now, consider the benefits your sign can provide for your community and
neighborhood:
Enhance Aesthetic Environment:
Signs enhance the environment by making certain zones of the city more attractive
and dynamic and giving them a particular atmosphere.
Because the environment is so important, quality signs convey an image of responsible
citizenship by a business owner.
Help Community Safety:
Signs perform two major community safety functions: crime reduction and traffic accident reduction.
A well-placed, visible, attractive sign helps direct vehicular and pedestrian traffic,
allowing ample time for driver decision making, thus reducing the potential for traffic accidents.
Government studies found highway vehicle accidents actually decrease at intersections where there are commercial signs.
Ambient lighting from signs is a major crime deterrent in urban areas.
People feel safer entering well-lighted commercial areas.
Now, let’s look at some other considerations of the potential importance of your business sign:
Advertising Cost Benefits:
When compared to other advertising costs such as radio, newspaper, television and direct mail,
an on-premise sign is inexpensive.
For example, the cost per 1,000 adult exposures with a sign is only a few pennies for 24-hour-a-day coverage.
In addition, an on-premise sign cultivates cumulative, long-term awareness of a business, stimulating repeat or "brand-loyal" buying of the products and services offered.
For businesses with a limited advertising budget, a sign is an inexpensive method to maximize returns per dollar spent.
Economic Considerations
Financing:
A business plan should include signs as a major part of the marketing strategy.
Because signs are vital to a small business they should be included in any loan package.
Your sign is a permanently visible part of your business and should be considered as an investment.
Signs are the most efficient, effective and consistent revenue-generating devices for
small business.
Choosing Appropriate Signs:
Consider type, cost and maintenance before selecting a sign.
Many sign companies have designers to provide cost effective signs.
Many start-up businesses order a sign based on an attractive business card or letterhead design, but small businesses can learn from large multinational corporations who understand the importance that an attractive, functional sign is necessary to the success of a business.
Many industries can attribute a large percentage of business to their signs.
Some fast-food outlets attribute as much as 80 percent of their business to their on-premise signs;
The travel industry 30 percent.
Gas retailing 50 percent.
Hotels and motels 50 percent.
A visible, readable sign can make the difference between profit and loss for many businesses.
Recognizable Logo:
Rather than ordering a sign from a business card or letterhead, start with designs suitable for an
integrated business-marketing plan.
Type and Design:
There are many types of permanent, on-premise signs to serve your business--freestanding,
high-rise, low-profile, wall, projecting, roof, marquee, back-lit awning, awnings, etc.
Type and size of sign are often regulated by local zoning ordinances.
Purchasing or Leasing a Sign:
It is advantageous to purchase or lease your sign from a reputable company.
Experienced sign companies are licensed and bonded contractors who are familiar with uniform building codes and regulations in your city and state.
Reputable companies deliver quality goods, thus reducing maintenance costs and potential public liability.
A good company carefully designs and constructs signs adhering to local building codes and design standards which enhance the environment and create a good image for your company.
Maintenance:
No business can afford to have its sign in disrepair.
A dilapidated sign implies you are not concerned with your business or your image or that you are
going out of business.
Some signs are virtually maintenance-free while others require more attention.
Establish an appropriate and cost-effective maintenance routine for your sign or lease your sign to secure built-in maintenance service.
Legal Considerations
Permits:
As signs must meet zoning requirements, most cities require permits for permanent installation of an on-premise sign.
Many zoning codes restrict size, height, setback and other locational factors.
Reputable sign companies are experienced in obtaining necessary permits for construction and
installation of the sign structure.
These companies can provide engineering specifications required by regulatory entities' services
that should be included in the company's bid.
Variances:
Sometimes a zoning code restricts the type of sign for a given area.
For your business to have a sign that satisfies visibility and readability requirements of the location, you may need to apply for a variance to the existing zoning code and regulation.
If a business owner can prove the need for a modification of the regulations and hardship if the modifications are not obtained, the local planning agency can grant a variance application process.
Insurance:
A properly designed, permitted and constructed sign will reduce your potential liability insurance problems.
Author: U.S. Small Business Administration
Source: U.S. Small Business Administration
Also consider illumination, which draws attention to your business around the clock, and changeable message capabilities, such as electronic message centers or reader-boards.
When choosing a sign, remember to consider the image of your business, the profile of your potential customers and the cost.
This information is provided by: Wyoming Small Business Development Center
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