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MT-07
Marketing SCORE Chapter 570 |
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Nine
Out Of Ten |
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"Every year
hundreds of new businesses come into existence. Of these, nine out of ten
will fail, often within the first year of operation. And the majority will
cease to exist within five years."--------------------- Joel Kurtzman1 The lack of a good marketing plan can often be the chief
cause of their demise. The Marketing Plan A
sound marketing plan must address three major components in this order: [1] What
do you have to sell? a)
Sell the benefits, NOT the features. The sizzle not the steak. b)
What benefits will my customer or client get from my service? c)
Why should they choose me over my competition? [2] Who
are you going to sell it to? a)
Target, Target, Target. b)
Are they big enough or small enough to benefit? c)
Can they afford my product or service? d)
Are they in my service area? [3] How
are you going to sell it? Only
after you can successfully answer the first two can you now decide which
media etc. that you are going to use to get your message across. a)
What media does my target read or listen to? b)
Where do they shop, congregate, recreate, travel? c)
What trade publications do they have? d)
Should I create professional stationery, business cards, brochures, Flyers,
etc.? e)
Will a professional Logo help? The Mouse Trap The old cliché "Build a better mousetrap and the
world will beat a path to your door" is not as simple as it sounds.
First, the world has to know that you have built the better trap. Then they
need to know where to find your door. This is marketing. Successful vs Super Successful: "Individual entrepreneurs Don't succeed ( some
just survive), teams do succeed." ---------------- Edward
Roberts2 Roberts goes on to say we found that the larger size of the
founding group the greater was their likelihood of success. A company's
chances of success went up dramatically from a sole-founded company to a four
founder company. As you went from one, to two, to three, to four founders,
you had dramatic upward chances of success. Especially if one of the
founders had marketing skills. Find a Need and Fill it: The surest road to success is to find a need and fill
it............... Again, Benefits, what needs do my buyer or clients
have? a) Is
he/she working too long? Can your product or service save labor? b) Are
there health considerations? Can your product or service relieve some
pressure? c)
Financial problems? Will your product or service produce more profit? d) Family
considerations? Will your product or service give me more time with the
family? e) Keeping
up with the Jones? Will your product or service improve my image? Know Your Competition: Before you can develop a workable marketing plan you must
recognize and evaluate your competition... Keep in mind that your competition need not be someone
selling the same products or offering the same service as you do, but anyone
competing for the same dollar or the your clients time. Example: Joe owns a bowling alley, one of only two in the area. He
already has a significant part of the Pie. (The bowling business in the area)
Should Joe continue to advertise or promote his location or should he
endeavor to grow the Pie by marketing to Movie fans, Skaters, Concert goers,
even Readers and Knitters, expounding the benefits of learning to bowl. He
can thereby increasing the size of the Pie to make his big slice even bigger?
Remember, he is really competing for those few hours of leisure time that
some of us have at the end of the day. He might even enlist the cooperation
of the other alley in town to promote the many benefits of bowling. Remember,
the benefits not the features. Example: Jane will open a Tea Room. She realizes that most people
need to eat breakfast, lunch, and dinner every day, Her target will primarily
be the lunch crowd. There are ten Fast Food franchises in the area all
competing for the same thing, the lunch time dollar. Her
competition is not another Tea Room, but anyone competing for that same
dollar. She should do a Competitor Analysis. ( A template is
available in our office. ) She must discover the strengths and weaknesses
of each competitor before she can successfully develop her marketing plan. Is
her eating place healthier? More relaxing? Fast efficient waitress service?
Comfortable seating? Larger menu? A change of pace? Etc. Etc. She might also
promote the idea of adding a fourth eating habit, the afternoon Tea, a
product not available from the competition. Which ever approach she chooses, Remember,
the benefits not the features. Quality Always Counts. Remember
that the best marketing will always be "Word of Mouth" Do a
good job and they will tell their neighbor Do a bad job and they will tell
the whole neighborhood. A satisfied customer/client is your best
asset. Keep in touch with them, check on their satisfaction, ask them for
input, reward them for their continuing support. Treat them like a king and
they will spread the news faster than any media you use.
1
Joel Kurtzman: Mr.
Kurtzman is chairman of the Kurtzman Group. Formerly editor of the Harvard
Business Review and business editor and columnist for the New York
Times, he lives in 2 Edward Roberts: Mr. Roberts is David Sarnoff Professor
of Management of Technology, Sloan School of Management, MIT |
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