Identifying and choosing early adopters and growth customers
1.
2. Todays objectives
• Gaining an understanding of what marketing is
• Gaining the ability to address some simple points in marketing your business
• How to identify and choose the right customers for your business and its products or services
• Creating a persona for your ideal customers to understand them more effectively
• An understanding of the differences between features, benefits and advantages
• How to effectively and efficiently communicate benefits to your customers
• An understanding of the differences and difficulties in marketing a service
• How to plan your marketing communication.
3. What is marketing?
“Marketing is the analysis, planning,
implementation and control of programmes
designed to bring about desired exchanges
with target markets for the purpose of
achieving organisational objectives.
It relies heavily on designing the
organisational offering in terms of the target
market needs and uses the effective pricing,
communication and distribution to inform,
motivate and service the market”
7. Choosing business customers
Organisational Segmentation
Microsegmentation Macrosegmentation
Choice
Criteria
Decision
Making
Unit
structure
Decision
Making
process
Purchasing
Organisation
Company
Innovation
Company
size
Industry
Geo
graphic
8. Personas
• What were their pain points?
• What products did they buy
from you?
• What did they like/dislike
about your communications?
How to build your idea customer personas?
13. What are the roles associated with each of these products
14. Product
Core Product
− What core benefit does your product offer?
− Customer who purchase a camera are buying more than just the camera, they are purchasing memories
Actual Product
− All cameras capture memories. How do you get customers to buy yours?
− Branding, adding features and benefits which offer a differential advantage over your competitors
Augmented Product
− What additional non-tangible benefits can you offer?
− After sales service, guarantees, delivery (creating peace of mind)
15. Benefit building
Just a box on wheels, no
image or brand
gadgets
Sound
system
Big
engine
Big boot
Tangible
benefits
(Easy to copy)
Intangible benefits
(difficult to copy)
Well
known
Cool
status
Perceived
reliability
16. Features Advantages Benefits
Buy groceries online Saves going out to supermarket • Makes supermarket shopping possible
• Don’t face the ordeal of shopping with
toddlers
• Keep your limited leisure time for
yourselves
Twenty four hours a day seven days
a week
Can shop outside of normal hours • Shop when feel like it
• Concentrate when kids are asleep
• Sort out at weekend with no pressure
Remembers your previous list Can make amendments rather that
starting from a blank sheet
• Tend to need the same things
• Head start to make the job quicker
• Save lists for different occasions
Total price clear before getting to till Useful for budgeting • Save money –limited income
• Possible to delete a few treats
• Know exactly what’s going on the credit
card
Selling the benefits
17. Answer the little man
You said Little man asked You replied You elaborated
We use digital signal
processing in our hearing
aids
So what? Our product increases the
clarity of sounds
For example if you are at
a party you’ll be able to
hear what people are
saying to you
We provide 128 bit
encryption in a device in
a mobile phone
So what? Its harder to break into
our system
For example if you are in
a hotel room and want to
have a secure
conversation
A big name celebrity is on
our board
So what? What we are doing is
interesting enough to
attract top talent
For example she has
already opened doors for
us in the industry
18. Lets build up the core, total
and augment for your idea
What is your complete
product / service?
26. Service
• Intangibility
−Cannot be tasted, touched or smelled before they are bought
−Customer may find it difficult to evaluate before they purchase
−Display testimonials, case studies, referrals, brand consistency
• Inseparability
−Simultaneous consumption and production
−How service providers conduct themselves make may effect future business
−The people are the company
27. Service
• Variability
−Service quality may vary depending on staff delivery
−Service faults (i.e. staff poor performance) cannot be quality checked and corrected between
production and consumption
• Perish ability
−Services cannot be stored for future use like a product, i.e. if a hotel room is empty for a night
its lost revenue. If a product is not sold it can be stored and sold tomorrow
−Service providers have the problem of being able to cater for peak demand and staff
appropriately
28. Price
• Price your product or service at the level which your customers expect to pay for the quality you are
delivering
−Does not mean high price means high quality
−Nor high quality will justify a high price
• Pricing directly affects sales revenue
−Relate sales revenue to costs – cost of sale, production, raw materials, transport and promotion
• Product – Price Mix
−Good after sales service or a brand well-supported with advertising may attract a higher price.
30. Promotion
5 stages to promotional marketing
1) Determine the objectives
− What do you want to achieve?
− What are your SMART goals
2) Define the audience
3) Select the media
4) Design the message
5) Feedback
33. Map out your journey
• Looking at the AENC or AIDA models can you
map out a journey using different media to
take your customers through each stage?
34. Objectives / ideal results
Thinking about the journey can you create some
MEASURABLE objectives for any if your marketing
activity?
35. Pirates and goals
Acquisition
•Unique visitors, number of pages, number of clicks
•Time on site, visitors by source
Activation
•Unique visitors – sign up, sign up conversion
•New account creation, opt in conversion
Retention
•Email click through, multiple log ins, length of use
•Returns to complete profile, returns to share
Referral
•Shares via email, social media
•Invites, referral conversion
Revenue
•Paid conversion, Leads by source, leads to sale conversion
•Sales, revenue
36. Messages
• Which marketing messages can you remember?
• Consider why the may have been memorable?
−What words were used?
−What was your perception of the business?
−Did they use a catchy slogan, music or
imagery?
38. How? - promotion
Publicity
Direct Marketing
Personal
selling
Advertising
Sales Promotion
Internet/websit
e
Online
marketing
Face to face
(Trade
shows)
47. • Are there any campaigns that have stood
out for you?
• What are they?
• What can you learn from them?
48. Paid
You have paid to leverage
this
Paid advertising (print, TV,
Radio, Sponsorships)
Awareness and stimulation
Owned
You own and control this
media
Websites
Company Blog
Corporate Brochures
Build longer term relationships
with existing customers and
potential customers
Earned
Customers are the channel
Word of mouth
Viral
Blogs
Social Media
Listen and respond
49.
50. Owned media
• Take ownership of the different channels
• Reduce marketing spend on paid media
• Reach out and engage with customers to build lasting relationships
51. The four elements of marketing
Marketing
Analysis
Planning
Action
Control
52. The four elements of marketing
Analysis
Building up a clear picture helps you focus your attention and marketing budget in the
right way.
Outside
• What outside factors could affect the
business?
• Who are your customers now, and who
could become customers?
• Who else could serve your customers, now
and in the future?
• What are your competitors up to?
Inside
• How can you best meet the needs of
customers?
• How much are you selling to each
customer?
• Does your advertising and promotion pay
for itself?
• Do you customers understand / appreciate
your strengths?
53. The four elements of marketing
Planning
Once you have analysed enough information, decide what you will do in both the long and short term
Decisions include:
• Who will you sell to?
• What will you sell them and how much
• Your image / brand
• What will you do to win and keep
customers?
• How will you stand out from the crowd?
• How will you keep ahead of your
competition?
• How will you communicate?
• How will you measure your success?
Plan
• Who will do what in each month, so it all
happens?
• What advertising and promotion will you do
and when?
• How will your products and services reach
your customers?
54. Planning
Objectives Stage Strategies Materials Goals
E.g. To gain
credibility and
leads
Awareness Networking
Blogging
Business Cards 100 visits on
website
1 customer
enquiry
55. The four elements of marketing
Actions
This is the best bit!! You’ll probably need a mix of different actions
• Actions that raise awareness of your business, such as networking and PR
• Actions that generate interest, such as advertising or creating a website
• Actions that make people want to buy such as selling and direct marketing
• Actions that keep your customers happy, like follow-up calls and promotional
gifts.
56. The four elements of marketing
Control
This often neglected part of marketing is measuring everything and using the results to make
adjustments to your plan
Questions
• Are you selling the right products and services to the right customers?
• Are their needs still the same?
• What are your competitors up to, and is it still working?
• Are your sales and profits on track?
• How will are you communicating with your customers?
The results of your measurements should complete the circle as they feed back into your analysis
and help you put together an even better plan next time.
57. Summary - top tips
1. Positivity – entrepreneurship isn’t war. Customers don’t care if you want to destroy the
competition. They want to know what benefits that derive from your company and its products or
services
2. Customer centric – Marketing is about what you do for your customers – not about what you
want to become. Announcing that you are the “leader” is focused on you NOT the customer
3. Self explanatory – Good ideas should be easy to explain – saving money, increasing revenue,
greater peace of mind
4. Specific – Target an intended customer – try not to do all things to all people
5. Relevant – ensure your core skills, your core products and services remain relevant to your
customers needs
6. Differentiated – Your marketing should not sound like your competitors – although you can learn
a lot from what they say
Notas del editor
Simple definition of marketing by Kotler.
Go through each individual point to explain that marketing is a lot more than the typical perception of promotional marketing
Analysis, planning and implementation and control – goes looks at the 4 (or 5) steps of marketing.
Analysis - Understand what you want to get out of it and carry out some market research
Planning – plan what you are going to do – what messages will you send out to whom and when
Implementation – just do it
Control – the feedback bit – what worked, what didn’t. What can we improve on next time?
Desired exchanges – creating value – if the customer has greater expectations of your product or service than you have delivered the value will not have been created and there will not be a desired exchange
Target markets – who will you target? What does your ideal customer look like
Organisational objectives – this is not necessarily making sales it could be generating further awareness
Target market needs – this goes to addressing pains and gains – people do not buy products or services they buy solutions to problems
Pricing – ensuring that the price matches the quality and creates a valid desired exchange
Communication – the typical bit of marketing people understand – promotional marketing – telling people about your product or service
Inform, motivate and service the market – this focuses on the 4 stages which we will talk about later – Awareness, Interest, Desire, Action (AIDA)
Marketing put simply
Who are your customers – do you know who they are
What is your product / service – think about features, benefits and advantages
Why will people buy – the pains or gains they require – save money, better quality, generate more money etc
Purchase occasion – for example Christmas
Put simply relating marketing to the 5 w’s
How will the product be used – will it be one use and throw away in which case you are hoping for lots of repeat purchases or will it be keep for 3 – 5 years in which case you need high margins and less customers perhaps
How will you communicate with people – how will people find out about your products or services
How will people buy it – retailer, direct via your website, face to face, trade show etc.
Choosing the best customers to target in a B2C scenario
Geographics- where are your customers? Local, regional, National, international
What is their social economic class – is it relevant?
What are their demographics – age, income level, number of children, ethnicity, education level etc
Personality and lifestyle – what do they do, where do they hang out? What causes do they follow? What are their lifestyle habits – if we can know all of these then we can put our messages in front of them
Benefits sought – different customers want different benefits from the same products. Children want toys that are fun – parents want those toys to have an educational purpose – same toy different benefits
Purchase occasion – when will they buy?
Purchase behaviour – will it be a quick decision? Will it be a long decision making process? Generally the lower the price the quicker the decision making process. The higher the price the longer the decision making process and the more benefits and differences you will need to demonstrate in your marketing
Usage – how will the product be used – are you likely to get lots of repeat purchases
Perceptions and beliefs – how can you use influencers to create specific perceptions and beiefs about your products. Sports companies use famous sports people, perfume companies use famous actors / models. Are there any you could use?
Choosing business customers
The simpler ones –
Geography – where are you targeting
Industry – are you targeting a particular industry sector
Size – are you targeting a particular company size – number of employees, turnover, number of offices / retail shops. Are you going to target small independent retailers or large international retailers with multiple premises
More difficult
What is their choice criteria – is it price, experience, quality, delivery time? Why will they choose someone over someone else
How do they make a decision – who makes the decision – admin, head of department, finance, director etc. Different roles will look for different benefits
Company innovation – if you are targeting a company with a new innovative product or service will they accept it or are they stuck in their ways?
Picture source: https://psmag.com/.image/c_limit%2Ccs_srgb%2Cfl_progressive%2Cq_auto:good%2Cw_960/MTQ2NTk2MjY0NTIxNDQzMTkx/f8823-1fefjivydwu575fsyqgv-7a.jpg
This can be used for both B2B and B2C although it is much more effective for B2B
An exercise based on the handout of the slide – if time is pressed focus just on the left hand side. Get them to try and identify their ideal customers but going through each stage – characteristics – based on slide 7, needs – what are their pains – behaviour – frequency of purchase, where will they buy, value – what are their decision making criteria – quality, range, price, delivery time, returns policy etc, communications – how will they want to hear about your product or service
For the left hand side only leave 5 mins per stage for the 5 stages
Using cut out cardboard people try and get them to creatively turn slides 7 and 10 into creative result – ask them to “create” the image of their ideal customer
15 – 20 mins to bring out their inner creativity
Picture source: https://psmag.com/.image/c_limit%2Ccs_srgb%2Cfl_progressive%2Cq_auto:good%2Cw_960/MTQ2NTk2MjY0NTIxNDQzMTkx/f8823-1fefjivydwu575fsyqgv-7a.jpg
A look at targeting – who would you target these cereals to typically
Watch for the discussion on the first one – parents vs children
5 mins discussion
This then follows to the customer roles – who would you target with your marketing?
Customer / Payer – the person that funds the transaction
Consumer/user – the person that ultimately uses the product or service
Customer/buyer – the person that physically purchase the goods
N.B. Someone could also be all three.
Think of examples of when this could be 3 different people – for example children's clothing – there will perhaps be a main funder who will be different to the person that purchases the clothes, who is then different to the child who wears the clothes
Different roles will want to hear different benefits: e.g. the payer - value for money, the customer/buyer – returns policy and the consumer/user - comfort to use the clothes example again
Exercise discussing and identifying buyer roles for each of these male fragrances
5 mins discussion
Building a product – looking at the different areas of a product – the more we can add to the augmented product the greater the difference from our competitors and the greater value created for our customers.
An example of benefit building
Anyone can make a box on wheels
Any car manufacturer can create a car with a big engine or lots of gadgets
Not every car manufacturer can create a car with a cool status or perceived reliability
Going back to the point that the same feature will mean different things and different benefits to different people
Talk through a couple and try and get them to identify the 3 different target groups
Red – elderly or mobility impaired
Green – parents with young children
Black – young professional couples
Thinking about what you are saying – pass the “so what” test
Again go through a couple of the examples and try and provoke them to think about what they would say and how the little man would respond. Most of the time we things about our product or service that the little man would say “so what” to. We need to think about benefits rather than features – features are in the first column – “you said” benefits are in the “you replied” and “you elaborated” sections
Benefits are more powerful than features
Exercise – can they think of different and more unique elements of their product or service – get them to focus on the outer circle the augmented aspects.
10 mins
Simple quiz to demonstrate how logos are important in identifying products / companies
Can groups or individuals name all 9? 10 mins
From top left
Swatch
Samsonite
Motorola
GE
AT&T
HSBC
BP
Tassimo
Beats
Different quiz on how shapes and packaging can support your brand identification
Name the products: Toblerone, Coca Cola and Marmite
Quick as most people will get them straight away
Important bit here though is that sometimes packaging can be more memorable than the product itself. If they are making a product how can they make it stand out with their packaging
The following are just some fun examples of how packaging allows some generally mundane products to stand out.
All are genuine products
Focus now on the difficulties of marketing a service
Variability is within the business – some lectures are better than others. The quality naturally varies. McDonalds try and reduce this by having a very large training manual.
Price as an important marketing tactic
Now onto promotion and communication to your ideal customers
5 stages – we have previously covered steps 1 and 2 so the focus is now on steps 3 and 4
The buyer journey modern vs traditional
This is the process we all go through when buying something
We cannot buy anything until we have a desire in it. We cannot have a desire in something until we have an interest in it and we cannot have an interest in something unless we are first aware of it.
The more modern approach focuses on the need to build relationships with customers through engagement and nuturing before you try and sell.
Put more simply this is what every business has to do.
Start with gathering leads – who are you going to target?
Get the attention of these people
Get a sale
Then provide adequate after sales service to ensure a desired exchange
Refer to slide 30
Quick exercise – apply the theoretical journey mentioned in slides 30 and 31 to your own customers – what different methods of marketing would you use for each stage of the journey
5 – 10 mins
5 – 10 mins
Can they create some SMART objectives for each of the 4 stages either get leads, get attention, get sales, provide after sale service
Or the AIDA / AENC model
How will they measure the effectiveness of any marketing activity at each stage
How we can create goals and targets for each stage of the process using the pirate methodology – AARRR (said in a pirate accent!)
5 – 10 min Discussion about key and well know marketing campaigns – what can we learn from them and how can we apply it to our ideas
Joke about wrong wording
The following are a quick flick through some nice examples of promotional marketing
And a more challenging couple
5 – 10 minute discussion
Different methods of promotional marketing
Explanation here of each one and how the marketing world is moving more towards earned than paid
Examples of paid advertising – the bottom right is a clever sundial.
Focus on websites
The important bit here are the facts in the middle – it takes the blink of an eye to form an opinion about your website please don’t short cut the design or useability
Discussed in later slides
A template plan – can they do one as homework or if time allows in the session
What are their objectives
At what stage – AIDA
Strategy – what type of marketing will they do
Materials – what will they need
Goals – SMART goals to see if its worked