Do you plan your marketing programs thinking “If we are lucky, this will work the way we want it to.” If this is your typical talk track, think again. While it may seem like luck plays a part in your success, timing, audience, message, delivery, frequency and market research are really the driving forces behind great marketing programs. All of these concepts are wrapped up into what is known as the “marketing mix” or the 4 P’s of marketing, which is simply the combination of product, pricing, placement and promotion of your business.
Simply creating a product (or providing a service) might seem to be obvious when you are in business. However, many businesses never to stop to really dig into why people buy the product or service. This is where great marketing always starts. Ask yourself:
- Why do people need this?
- What problem does it solve?
- How will it be used?
- How is it different than competitor’s products and services?
We are all out here to make money (well usually anyway!) Yet pricing strategies are often overlooked. Instead, businesses may approach pricing a product by gut feeling or desired profits. Instead, consider pricing as a marketing element. Ask your market place:
- What is the maximum and minimum amounts people may be willing to pay for the product or service?
- Will this price provide profitability?
- What is the value to the customer for this product or service?
- How does the price of the product or service compare to others in the market place?
Where to place your product for sale in the market place can also be a challenge with so many options now available. To determine where your consumer will be exposed to your product, ask yourself:
- How can I make it easy for consumers to see my product?
- When placing your product online, does the branding of your product match the core values of the websites where your ads are placed?
- Is there enough traffic on the sites where your product is being advertised?
- If you place your product on Amazon for sale, can you handle increased demand over time?
When businesses think of marketing, they usually start with promotion rather then end with it. We like to make sure our product, price and placement strategies are solid first. Then, we get creative with promotional campaigns. Ask yourself:
- What active communication is needed to get your product in front of consumers?
- Consider the tonality of the promotion. Will it be fun, clever, interruptive…? The more you can create campaigns that catch the eye (or ear) of the consumer, the more effective your promotion will be.
- How much should you spend to get the word out? If you are launching a new product, 15%-10% of your annual revenue creation expected from the product should go towards promotional spend. If the product already exists and has some demand already, 8%-10% budget should be sufficient.
Need more insight into planning your marketing strategies? We have a fun book for you, “19 Strategies To Increase Your Sales.” Download it today!