As legendary coach Lombardi pointed out, excellent (presumably being the best one can be) requires reinforcement and utmost ability to execute the fundamentals. Below are outline of the fundamental concepts of marketing. The key element of this blog is not to all-encompassing inventory of marketing terms but highlight of the simple concepts that we all use. With the new data and technology, the businesses realized that customer have not separate marketing from the product—it is the product.
The introduction and selling of your company’s products and services to past, present and prospective customers by first optimizing and leveraging all of your company’s marketing assets[i].
Function of Marketing
Marketing is the company[ii].
All non-marketing functions of any business are subservient to marketing and innovation, paraphrasing Drucker. Analytics is tracking (including using description, predictive, and prescribed method) the firm’s hints of its relationship with past, present, or potential customer irregardless if purchase took place. [iii]
Past customers, current customers, marque customer (ex, turning them into a celebrity), testimonials, salespeople, company’s advertising (ex logo, tag line), referral programs, current sales and marketing processes, location, reputation, time in business, relationships with other businesses, E-books, guides and handbooks, apps, studies, cheat sheet, videos, mix media posts, employees, suppliers, company’s culture, brochures, blogs, corporate website, social media sites, SEO.
Two phases of Marketing
There are two phases of marketing requiring different approaches. The first is getting attention in the marketplace of your offering. The channels of engagement include advertising, tradeshows, web marketing, direct mail, salespeople prospecting, etc. Real marketing begins when a prospect expresses interest in the product or service. They enter into the gravitational pull of the company. Just like in any team, the strength is measured by the weakest link. Most companies, at this stage, lose their customers because of the internal inefficiency to create, nurture, sustain, and elongate relationship.
How to Increase Sales or Profits
Anywhere and anyway, there are only three ways sales or profits can be achieved. There are no other ways
- Increase the number of prospective customers contacted or inquiring
- Increase the conversion rate of prospective customers to buying customers
- Increase the value of worth of each customer
A succinct description of what you company can do better than anyone else[v].
[iii] There are three analytics concepts – data, information, knowledge. Data can never be wrong, information can, and knowledge is built upon the use of the other two. The reports, spreadsheets, databases, etc is information. As such, information is never conclusive, always has assumptions, and is limited. Analytics methods are means of finding hints in the data that a hypothesis is not wrong with current set of available information and knowledge.
[v] USP can very within the company depending on the revenue source. A quick paper from Bain that explains why USP is still relevant in today’s crossover market. Although they do not use the words, they do state that the first step is create “propositions that take into account the product features, the brand and a customer’s experience with the company”