By Farooq Tirmizi, The Express Tribune:
Starting a business is a lot less expensive than it used to be, thanks to social media platforms, particularly Facebook. Several small firms have found themselves able to attract a large customer base through relatively cheap advertising on social media, allowing them to build up their revenues in the crucial early phase of their business.
Take the 14th Street Pizza Company in Karachi, for instance. It is a small, hole-in-the-wall, pizza delivery service that offers no dine-in options. When it first started in 2010, the company’s management wanted to minimise its marketing budget and focus purely on making sure that they spent the bulk of their scarce capital on procuring the equipment and ingredients for their product.
And so, rather than advertising on any other media, the company decided to focus their entire initial marketing budget on Facebook. This turned out to be a winning strategy for the firm, as it was able to earn revenues of higher than Rs20 million in their first year, largely off their social media strategy, which cost them only a fraction of what advertising in local newspapers and radio might have cost them… Read more