Achieve Strategic Advantage with Marketing that Matters
Win more customers by cutting through the noise.
The focus of marketing these days is heavily centered around embracing new technology, keeping up with the latest trends, and adopting innovative strategies. Often, new techniques are just a temporary solution while the root problem remains. Have you considered the impact on your customers, constantly inundated with online advertisements and pop-ups?
Throughout her extensive 30-year career in marketing, Linda Popky has witnessed the ebb and flow of numerous trends. She has discovered that participating in the crowded marketplace or attempting to outshout others is not an effective strategy for attracting customers. It's more effective to extract the valuable aspects from the latest trends and prioritize the enduring, tried-and-true marketing techniques. These techniques ensure that your main objective remains intact: persuading customers to believe in your ability to handle their business.
She developed her Dynamic Market Leverage model to encompass all aspects of running a marketing organization for sustained success. This summary covers every aspect, from strategy to market analysis.
Within these summaries, you will discover
Understanding the significance of your employees to your customers;
What went wrong with the launch of Obamacare and
How to prevent the errors made by JCPenney and Macy's.
1. finding ways to break through and effectively connect with your target audience is crucial in a world filled with marketing noise.
Every organization is caught up in the latest marketing trends. However, the abundance of fleeting ideas has led to overwhelming marketing noise, which consumers often try to tune out. So, what strategies can you employ to stand out and effectively connect with customers?
It is essential to clearly understand the two types of noise.
Customers are constantly bombarded with marketplace noise. This encompasses messaging from your competitors, often poorly written and confusing, and the advertisements appearing on email and social media platforms.
Another type of disturbance exists within your company. It can be challenging even with a well-crafted marketing strategy and a compelling message.
But how can one rise above the cacophony? Starting off on a positive note is crucial.
Two approaches to minimizing distractions when engaging in conversation are speaking assertively or maintaining silence. If you choose one approach, customers may become annoyed; if you select the other, they may simply ignore you.
However, in marketing, another approach exists: crafting something that exudes positivity and attracts people naturally.
To accomplish this, it is crucial to have a comprehensive understanding of your surroundings. What is the current topic of conversation, and what is driving it?
It is essential to familiarize yourself with the concepts that have stood the test of time. Discard fleeting fads and opt for strategies that have demonstrated their effectiveness.
Finally, incorporate these ideas into your organization.
The author's Dynamic Market Leverage model captures the result, emphasizing long-term strategies that effectively reach customers and transcend passing trends and emerging technology. It covers many areas: strategy, products, customers, brand, communication, operations, sales channels, and market analysis.
The Dynamic Market is not solely focused on the latest marketing trends. Its main objective is to build trust and credibility for your organization.
2. Establish a solid base by implementing an effective marketing strategy.
To create a successful marketing campaign, having a clear strategy is essential. With a clear direction, it becomes easier to effectively promote your company.
To create a solid foundation, it is crucial to clearly define and prioritize your objectives and determine the most effective way to engage and communicate with your customers.
Having a well-defined strategy is crucial for guiding you toward your desired outcome. Picture yourself scaling a mountain and suddenly realizing that you're on the wrong path; hopping from summit to summit simply isn't feasible.
Marketing bears a resemblance. It is crucial to carefully strategize your destination and the reasons behind it, as once you have achieved your goal, changing course becomes impossible. Consider what you hope to achieve through your marketing endeavors. Be sure to provide detailed information. Are you more interested in increasing your revenue or expanding your customer base?
To develop an effective strategy, it is essential to have a deep understanding of the market environment. This includes the product, place, customer, price, message, and media.
First, having a high-quality product that captivates your target audience is essential.
Then comes the timeless saying - being in the right place at the right time. Consider how this relates to your product. Is it easily accessible to your customers, for example?
Understanding your target audience is crucial. Understanding the frequency of her purchases of your products.
Determining the pricing for your products is crucial as it significantly impacts your business. No one is willing to pay $50 for hairpins. So, do your prices offer a fair and competitive value?
Furthermore, it is crucial to have a compelling message that effectively promotes your product. Your product must leave a lasting impression on customers and differentiate you from your rivals. Consider the reasons why your customers should remember you. What makes your product stand out from the competition?
Finally, inform individuals about the product or service you are offering! There are numerous ways to accomplish that.
3. Throughout the entire design process, it is crucial to maintain constant communication with your customers.
Like any other field, marketing strategies regarding longevity and adaptability can vary significantly. One significant shift is that marketers must now actively and efficiently engage with and respond to customers.
Understanding and valuing customer feedback is crucial for success. It is essential to prioritize the customers' opinions and desires throughout the process, from determining their initial requirements to the design and manufacturing stages. Ensuring that the final product meets their needs is crucial.
Consider the launch of the website for the Affordable Care Act (also known as Obamacare). The website was in disarray: broken links, malfunctioning sections, and occasional accessibility issues.
The team in charge of marketing the website should have noticed its close connection with the overall service. They didn't understand that, from the customer's perspective, the Obamacare experience started with the website.
If customer feedback had been integrated into the site, many of these problems could have been avoided. It would have been beneficial to evaluate its readiness for launch and conduct some beta testing.
Obtaining feedback requires a willingness to ask without hesitation. Customer conversations are crucial, allowing you to tap into their valuable insights and opinions. Treat these interactions as you would with your friends or colleagues, fostering a friendly and open dialogue. Choose a subject that catches your attention, ask a thought-provoking question, and attentively listen to the answer.
Next, you can implement a three-step process to address the feedback.
Begin by recognizing the feedback you have been given. Recognize the value of the input and acknowledge its significance. Lastly, provide a clear outline of your implementation plan - by effectively communicating it with colleagues, conducting comprehensive research, and making any required modifications.
By incorporating your customers' opinions and requirements, you can make them an integral part of your organization.
4. Engage with customers and build a deeper understanding of their needs.
Welcoming customer feedback is essential, but it may only sometimes guarantee that your organization truly values and incorporates the voice of the customer. Occasionally, it's necessary to consider customer complaints as well.
Complaints are something other than what people enjoy hearing. However, a customer who frequently expresses concerns demonstrates a genuine interest in your organization, even when faced with challenges. It's interesting how individuals who voice their concerns allow you and your company to address their issues and regain their trust. Unhappy customers who remain silent can be frustrating as they vanish without any opportunity for resolution.
So, what are some strategies to streamline the complaining process? Consider providing a user-friendly platform for customers to easily connect with you and showcase your commitment to their satisfaction by promptly addressing concerns or complaints.
Understanding your customers' needs and adapting your offerings is crucial for success in today's market.
Understanding your customer is crucial. Without a clear understanding of your target audience, your marketing efforts will be in vain, resulting in wasted resources and missed opportunities.
As a seasoned Macy's customer, the author was excited to discover that Macy's would send her personalized catalogs tailored to her buying habits. She couldn't wait to see what recommendations they had for her.
However, the outcome fell short of expectations. The catalog lacked any personalization except for including her name on the cover. The catalog was filled with products that didn't catch her attention, such as baby clothes, furniture, and menswear.
Avoid repeating the error. Understanding your customers' personalities is crucial for effectively reaching and engaging them amidst the information clutter.
5. Develop and safeguard your brand.
If you have experience in marketing, you understand that branding goes beyond a visually appealing logo or a memorable slogan. Every person and object possesses a reputation predominantly shaped by branding efforts.
Establishing a solid reputation requires patience while damaging it can occur rapidly.
In 2011, JCPenney, a long-standing retailer, sought to revamp its business strategy and thus sought the expertise of Ron Johnson, a retail strategist from Apple. JCPenney underwent a significant transformation, changing various aspects such as the logo and product offerings and even discontinuing sales and promotions while introducing more upscale products.
Regrettably, this did not sit well with JCPenney's loyal customers. Middle-class mothers were taken aback when they realized several beloved brands had vanished. Due to these circumstances, JCPenney suffered a significant decline in its market position, resulting in substantial financial losses and the erosion of customer loyalty.
It's important to understand that strategies that led to success for certain companies, such as Apple, in this instance, may need to be more effective for your own organization. JCPenney should have maintained the image and reputation they had painstakingly cultivated over a century.
Like a marketing analyst, it's crucial to ensure that your actions align with your brand and help strengthen your brand identity.
Whole Foods Market, for example, decided to label and eventually remove all GMOs from its shelves by 2018. This aligns with Whole Foods' commitment to offering natural products.
CVS, the second-largest pharmacy chain in the US, is another remarkable example. In 2014, they decided to stop selling tobacco products, resulting in a significant loss of almost two billion dollars in annual revenue. What could be the reason behind their actions? CVS found it challenging to align the sale of tobacco with its commitment to promoting health and wellness.
6. Craft effective strategies and techniques to connect with your target audience.
As discussed earlier, effectively reaching and retaining customers requires effective communication that stands out amidst the competition. But how can one accomplish that?
Creating and curating content that captivates your target customer is essential.
Zillow.com, a prominent US home and real estate marketplace for web and mobile, had a knack for this. Upon its launch in 2006, the real estate market had experienced a significant crash just six months prior. The company encountered a considerable challenge.
Due to budget constraints, they opted for a grassroots strategy, relying on word-of-mouth to spread the message. Chief Marketing Officer Amy Bohutinsky recognized the potential of this idea; she observed a gap in the market where no one was providing impartial real estate data. Zillow has recently begun producing housing reports. Before long, academics, economists, government housing groups, and journalists referenced Zillow's data.
Today, Zillow produces a steady stream of weekly housing reports covering 350 cities across America.
According to Bohutinsky, zillow.com has gained widespread popularity and trust among users. As a marketing analyst, this has increased demand and solidified its position as a leader in the market.
In addition to prioritizing high-quality content, you can attract new customers by offering them complimentary offerings.
In today's business landscape, numerous companies now provide the option of a complimentary trial or a free basic service, followed by a charge for the complete product. LinkedIn, for instance, allows users to choose between free and paid versions of their network. Creating profiles on the platform is free, but certain additional features, like accessing their extensive candidate database, come with a fee. The free version is precious, attracting many users who eventually become paying customers for the premium version. This is particularly appealing to sales representatives and marketers.
When considering offering a free trial, it's essential to ensure that the duration is sufficient for customers to fully engage with the product and incorporate it into their daily routines.
7. Encourage collaboration between your sales and marketing teams.
For those familiar with the industry, navigating the complexities of marketing becomes more challenging when sales are involved. It's standard for marketing and sales teams to have friction despite their shared objectives. There often needs to be more connection between sales reps and marketing professionals. Sales reps feel that marketing individuals must understand the daily challenges of dealing with unhappy customers. On the other hand, marketing professionals are frustrated by the sales team's inability to recognize the significant support they provide.
However, some organizations have successfully shifted their mindset and transformed the dynamic between marketing and sales.
It would be beneficial to have marketing professionals join sales teams and actively engage in sales calls. This firsthand experience would provide valuable insights into customer behavior, enabling the marketing team to better understand the sales team's requirements. The sales team will appreciate the efforts of the marketing team. Like a marketing analyst, involving salespeople in marketing can help them understand how marketing initiatives are created.
To foster better collaboration between marketing and sales teams, marketers must recognize the limitations of rigid, outdated concepts in marketing. It needs to contribute to increasing sales.
Cold call sales have become less common in recent times. Thanks to the internet or other sources, it's standard for your salespeople to interact with leads who are already well-informed about your company and their needs. Marketers must provide sales representatives with the necessary resources to excel in such circumstances. Continual communication with the sales team is essential to clearly understand the marketing team's message and your organization's positioning. Staying informed about competitors' activities can assist in sealing the deal with a hesitant prospect.
Aligning the sales and marketing teams can significantly minimize internal distractions that can hinder your marketing efforts just as much as external factors in the marketplace.
8. Discover the power of leveraging customer and market data to gain a competitive edge.
Today, big data is a term that is frequently discussed in various industries. Companies are actively gathering and scrutinizing vast amounts of data from billions of transactions to gain valuable insights into their customers and the market. Understanding your customers and effectively utilizing the available information requires expertise and the ability to filter through the data.
Amazon has a strong understanding of this. For example, the author's refrigerator filter should be replaced every six months. When she purchased on Amazon, she opted for the automatic shipment feature. As a result, she receives a fresh filter every six months without the hassle of placing the order herself.
Ensuring that she receives her refrigerator filter is just one of the numerous methods Amazon employs to enhance its service offerings through its extensive database. Now, it's exploring an algorithm to anticipate customers' next orders and deliver them before they express interest!
Understanding the value of data lies in its application rather than the sheer volume of it. To truly stand out, marketers must possess the ability to comprehend and analyze data.
As Craig Davison transitioned from head of marketing for Microsoft's Xbox games to Xbox Live, he collected data to understand the factors influencing people to become paying subscribers. However, he became overwhelmed by the abundance of data, and unfortunately, none of the performance indicators resulted in advertising that generated an increase in paying customers.
Understanding the perspective of the actual gamers was crucial, going beyond mere data analysis. Through careful analysis, it was discovered that utilizing the dashboard menu to sell Xbox Live subscriptions proved significantly more successful. They also found that advertising is highly disliked by hardcore gamers!
Shifting their attention from external marketing strategies like social media and emails, they decided to concentrate on incorporating products directly into the games.
9. Recognizing your employees' value is crucial for your organization's success, just as with your customers.
Occasionally, the individual who secures the agreement is a shop employee who displays friendliness and courtesy by holding the door open for a customer. Keep in mind that your employees have the power to either be your greatest marketing assets or a potential source of marketing challenges.
Unsatisfied employees can hurt customer satisfaction, while content and helpful employees can positively influence customers.
Shawna Suckow, an experienced traveler, once found herself in a situation where she accidentally left her laptop, containing her new manuscript, behind on a Southwest Airlines flight. When she finally noticed her oversight, the plane had already finished boarding, and the gate crew had moved on. Nevertheless, a Southwest employee went the extra mile to return to the vacant aircraft and retrieve her. The Southwest employee assisted her despite not being in customer service. Appreciating the kind gesture, the author shared the incident in an industry publication and expressed gratitude to the employee.
Companies invest significant amounts of money into marketing campaigns. However, only a few individuals make an effort to effectively communicate the company culture throughout the entire organization and foster a sense of employee involvement in it. Remember that your employees play a crucial role in representing your business. It is essential to ensure they are familiar with and can fully describe the core principles of your brand.
Employees can also be a valuable source of ideas.
Caribou Coffee, a coffee company known for its creative branding, once sought ideas from their employees for a low-cost April Fools' prank. Just 20 hours after the vice president of marketing sent out the question via email, she was inundated with many ideas. Caribou Coffee discovered an idea for April Fools' Day - Caribou's Clear Coffee - and gathered numerous other fantastic ideas that could be utilized for different occasions. People are frequently enthusiastic about participating, and it's always unpredictable where the following great idea may originate.
Final summary
It's surprising how easily some companies fall for the latest marketing trends, even when it's evident that these tactics are ineffective. Instead, organizations and marketers should focus on long-term strategies that have proven effective in building customer loyalty and driving conversions.
Valuable advice: Embrace the opportunity to learn from complaints.
Receiving feedback from unhappy customers over the phone may not be the most enjoyable experience, but their input can often lead to positive changes within the company. You can make a lasting impression and build customer loyalty by exceeding customer expectations. This can lead to positive word-of-mouth referrals and ultimately attract more customers to your exceptional service.