Most taxi business owners are clueless when it comes to advertising and marketing. They usually have no idea how to tell the difference between “good” marketing and “bad” marketing. There are several reasons for it. First reason is that there’s much more institutional,
or image advertising, around. Image advertising is what very large companies do. Goodyear, McDonald’s, HP and so on. Obviously, companies like these have lots of money and can afford such advertising. Institutional advertising is designed to make you aware of the business and hope that eventually that awareness will translate into you purchasing its products. It’s a very
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Taxi business owners see image advertising around them all the time. The companies advertising are usually quite successful (otherwise where’d they get the money for all these huge billboards) and taxi business owners decide to advertise and market much like these big brand-name companies.
In 2006 it is estimated that McDonald’s spend more than $820 million on advertising. They have more than 13,000 restaurants in the United States alone. With those kinds of numbers, they can afford image advertising. However, most taxi businesses don’t have the budget that will last long enough to see any benefits from image advertising for their taxi businesses. For a small or medium taxi business this kind of marketing is a recipe for disaster.