The “Local Business of the Day” Growth Hack
2 min read

The “Local Business of the Day” Growth Hack

For many local businesses, the best marketing opportunity could be the business right next door or other businesses in your neighborhood.

That’s because the businesses in your immediate area are packed with employees who are prime candidates to become your regular customers. All you need is a reliable method to attract these customers, and then keep them.

In this post, I will share a battle-tested plan called the “Local Business of the Day” that just works to create a steady stream of new repeat customers.

But first, let’s look at why it works.

Why the Local Business of the Day Method Works

This growth hack takes advantages of two psychology behaviors:

  1. Recency Bias: People have the tendency to place too much emphasis on experiences that are freshest in their memory, even if they are not the most relevant or reliable. The same goes for your business, you need to stay top of mind with your potential customers by constantly reminding them that you are there. People tend to remember the businesses they heard about most recently.
  2. Reciprocity: People have the impulse to reciprocate actions others have done towards them. There is a natural desire to return favors, pay back debts and treat others well that comes from our caveman days. When people are given something, they feel an urge to return the favor.

By reminding workers at local businesses that you are there, and giving them something for free, they are more likely to become repeat customers.

Let’s put it into practice.

The Local Business of the Day Method in 4-Easy Steps

Here’s how a ‘Local Business of the Day’ promotion can help you turn employees from neighboring businesses into regular customers:

Step 1: Make a list of nearby businesses

Start by using your local knowledge, taking a walk around the neighborhood and rounding out your research with online tools to build a list of all the local businesses in your area. Then order the list from most to least promising based on your knowledge of existing customers.

Step 2: Start reaching out to local businesses

Begin at the top of the list and pick a nearby business with up to 10 or so employees on site (for larger businesses, you can pick a department or some other smaller segment).

Walk over in the afternoon and introduce yourself. Explain that they’ve been chosen as business of the day. That means, all of their staff can come in for unlimited free service or a big discount – for one day only.

Step 3: Close the deal

Present them with a “Local Business of the Day Card”, which shows:

  • Your location
  • Your trading hours and
  • A list of your products and services, so they can explain the offer to their colleagues.

The next day you blow them away with your amazing product and friendly service (and grab a few pics for the socials).

Step 4: Repeat

Repeat every day, selecting another local business from your list.

Extravagant? Yes! That’s why it works.

Generosity makes an impact. The one-off cost of a program like this is low compared with the thousands a dollars per year in sales that a new regular customer is worth to your business.

Give it a try! I hope it helps.