Tampa Bay small business owners are learning that 're-opening' may not be an appropriate word for the challenges they face as the Coronavirus crisis winds down.  A better term might be 're-introducing'.

Since the Governor of Florida shuttered the state on April 3, to slow the spread of COVID-19, Tampa area consumers have discovered new ways to buy the goods and services they need.  It's now the burden of local business owners to lure these customers back. The first step is re-introduction.

In 1922, WDAE, signed on as the first radio station in Tampa Bay. Since then, local business owners have used radio advertising to introduce themselves successfully to new customers. Radio has also helped these businesses survive recessions, depressions, world wars, hurricanes, and blizzards. By any metric, advertising on Tampa radio remains the most effective tactic a small business owner can use post-pandemic, as well.

Last week, Gordon Borell, CEO of Borrell Associates shared insights with Tampa Bay small business owners on the value of marketing to consumers during a crisis. A video replay of the teleconference is available by clicking here.

Mr. Borrell is the CEO of Borrell Associates. His company is one of the most trusted sources of trends and forecasts for local media today.

According to Mr. Borrell, despite social distancing and economic jitters induced by the Coronavirus chaos, consumers are still spending money.

He points to research from Ibis that consumer consumption continues in almost every crisis including, depressions, recessions, floods, hurricanes, earthquakes, fires, and, now, pandemic.

March is the biggest single month for used car sales in Tampa Bay. During these 31 days alone, local pre-owned vehicle dealers are expected to bring in $121 million in sales. This will represent 10% of their annual revenue.

By the end of May, these dealers owners will sell more than $336 million worth of pre-owned cars and trucks. This, undoubtedly, makes March-May 'used car season' in Tampa Bay.

Although most Tampa area used car dealers are small business owners, they do really big business. In all, over the next 12 months, more than 415,000 pre-owned vehicles will be driven off their lots.

To capture a larger share of the area's $1.2 billion used car market requires pre-owned vehicle dealers to advertise. By any measure, the best way for these business owners to advertise is on Tampa radio.

By April 15th next year, 1.2 million residents of Tampa Bay will file a tax return.  More than 53% of these returns will be completed by the taxpayer themselves, either by hand or with the help of an online provider like Turbotax.

Every season, Tampa Bay small business owners who specialize in tax preparation services lose customers to the do-it-yourself options.  This year, 589,000 local consumers will spend $113,000,000 with professionals. But, based on the average cost of services, more than $129,000,000 will stay in the wallets of the DIY crowd.

To clawback this enormous amount of money from the DIY market, Tampa Bay's tax services will need to advertise the valuable benefits of using a professional.

The best advertising option for professional tax professionals is on Tampa radio stations. Here's why.

Advertising is critical to the growth and ultimate success of a Tampa Bay small business. The U.S. Small Business Administration recommends that mature businesses should budget 7-8% of its annual income for advertising the company's goods and services. 

Businesses that are in an early growth phase, however, should plan on investing 10-12%.  Start-up companies that may not yet be familiar to their target consumers should consider investing even a larger percentage.

Deloitte, the world's largest business consulting firm, recommends that "radio advertising should be a big part of the mix for those buying advertising."

Tampa Bay consumers are expected to spend $59.3 billion at retail this year, according to Nielsen. This means that every household, on average, will be paying out $45,646

To capture a larger share of these dollars, local small business owners need to know the answer to two questions.

The first question is, where is this enormous amount of cash being spent?  The list below details the answer.

Tampa Bay consumers are expected to spend $7.3 billion on this year's holiday shopping, based on predictions by The National Retail Federation.  This would be a 4% increase over last year.

Deloitte, one of the world's top four accounting firms, forecasts similar growth.

"The projected holiday season growth is, in part, due to the current health of the labor market,” said Daniel Bachman, Deloitte's U.S. economic forecaster. “Near record-low unemployment rates, coupled with continued monthly job creation, may encourage people to spend more during the holiday season. The economy is still growing, albeit at a slower rate. Additionally, we continue to see consumer confidence elevated, which also helps boost holiday spending."

For most Tampa Bay retailers, holiday spending brings in about 20% of annual sales But, long gone are the days when the bulk of this shopping occurred between Black Friday and Christmas.

Every so often, when a Tampa Bay small business owner advertises on a local radio station, it isn't successful.

There can be no debate, though, when implemented correctly, advertising on Tampa radio works, and works well.

"Last year," says Jon Polizzi, "our business grew 67%.  The only thing we did differently was to add radio advertising into our marketing mix. I attribute most of our growth to what we have done on the radio."

Mr. Polizzi along with his brother have owned Electric Today, LLC since 2004. The company provides residential electrical and air conditioning repairs to customers in Hillsborough, Pinellas, and Manatee counties.

"We advertise on Tampa radio every week with very high repetition. Our return on investment (ROI) has been really good," say Mr. Polizzi. "I know if I can beat my name into someone's head enough times, they will know us when they need electrical or air conditioning repairs."

In the history of the United States, there have been more recessions than presidents, 47 vs. 45.  Many economists believe number 48 could be imminent.  

The textbook definition of a recession is a period of declining economic performance across an entire economy, frequently measured as two consecutive quarters. In other words: it's a time when most Tampa Bay small business owners sell fewer of their goods and services.

There is one thing a recession is not.  It is not a time for local business owners to stop advertising.

One of the greatest marketers of all time, Henry Ford, once said, "The man who stops advertising to save money is like the man who stops the clock to save time."

There are many examples of companies that have proven this aphorism to be true. Your bowl of cereal this morning could be one example.

Based on information from the National Retail Foundation, Tampa Bay consumers will be spending $79 million on Halloween this year. 

Typically, 80% of all Halloween shopping, according to the NRF, will occur between now and October 16.  The remaining dollars will be spent in the last 14 days leading up to the holiday.

Nearly 53% of consumers in Tampa Bay are expected to participate in Halloween this year, each spending, on average, about $86.  This money will go towards the purchase of candy, decorations, costumes, pumpkins, and greeting cards.

Almost every type of small business in Tampa Bay enjoys a taste of this spending. This includes hardware stores, convenience stores, craft stores, fabric stores, thrift stores, florists, card stores, consignment shops, haunted houses, home decor store, bakeries, and, of course, candy stores.

To claim a significant share of this Halloween cash will require local small business owners to advertise.  The key to successful advertising is reaching as many Halloween shoppers as possible over the next four weeks.