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The 1-Minute Marketing Strategy Guide First Edition

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Nobody said that marketing was easy. But it certainly doesn't have to stop you in your tracks! By developing your marketing strategy one simple step at a time, generating a strategy for a product …

Nobody said that marketing was easy. But it certainly doesn't have to stop you in your tracks! By developing your marketing strategy one simple step at a time, generating a strategy for a product launch or marketing campaign can easily become a 1-minute exercise.

What if strategy planning was as simple as asking 5 questions about your product or service?

1. Is your product tangible or intangible?
2. Does your product have search or material characteristics?
3. In which stage of the Product Life Cycle is your product?
4. Is your product durable or non-durable?
5.Is your product a convenience, shopping or specialty product?

This guide will show you how answering these 5 questions can generate 72 unique marketing strategies that you can use to jumpstart your detailed marketing planning process.

Please note: This guide is not for the faint-hearted! It requires some time and effort to get through the first time. But once you understand how it all works and how to apply the principles, planning will be a breeze.

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  • 1. Copyright © 2013 Allison RossFirst EditionAll rights reserved. No part of this book may be reproduced by any means without thewritten permission of the publisher.
  • 2. Table of ContentsIntroduction.............................................................................................................................3Part 1: Preparing for the 1-Minute Marketing Strategy Guide...............................................7Chapter 1: Knowing your business......................................................................................8Chapter 2: Understanding your potential customers behaviour........................................11Chapter 3: Analysing your products...................................................................................16Part 2: Applying the Guidelines and Interpreting the Results..............................................20Section A. How the 1-minute marketing strategy works....................................................21Section B. An example of how to put it all together ..........................................................27Section C. How to generate your own strategy.................................................................32Appendix 1. The 72 Strategies by Product Code.................................................................37
  • 3. IntroductionWhat if I told you that planning a successful marketing strategy is simply a matter ofanswering 5 questions about your product?This guide is for you if youve ever spent time and money on a marketing campaign thatyielded no results. Or your website gets no traffic. Or the visits are not converting to sales.Perhaps youre feeling overwhelmed by the growing number of online and offlinemarketing options available to you. And you just dont have the money or time to try themall.Too often, small business owners approach me for websites without really understanding ifor why they need one. Some have the notion that having a website will automaticallyincrease their sales. Others approach me because they already have websites but novisitors. No visitors equates to no sales. No sales means that the money invested in theirwebsites could’ve been better spent on a family weekend away.Where does it all go wrong?Consider what happens when you place an ad in the local newspaper. Do you have tospend additional time, money, or resources to encourage potential customers to read thenewspaper? Rather unlikely. The marketing of the newspaper lies with the team who ownsit. It is their responsibility to understand their market, plan their budget, forecast their sales,and grow their readership.Contrast this to investing in a website. Do you have to spend additional time, money, orresources to encourage potential customers to visit your website? Absolutely! It is yourresponsibility to let potential customers know that your website exists amongst the millionsalready offering similar products and services.So what do you do?The SEO experts will advise you to get your website on the first page of Google. Socialnetworking fans will encourage you to be active on Facebook or Twitter. Maybe yourneighbour’s been frequenting the local business networking events and his business is
  • 4. flourishing so you’re thinking of giving it a bash. Or you’re considering running an ad in thelocal newspaper...The options are endless but, unfortunately, your time and money has its limits. How do youknow you’re making the right marketing decisions?Tips for a successful marketing strategyBefore investing money in a website, you should already have a good idea of yourpotential customers’ buying behaviour, how they shop, how much money they spend, andwhere they spend their money. You should understand their lifestyles and where yourproduct and service fits into it. It may be worthwhile spending some time and moneyconducting the necessary market research as it will form the basis of all your marketingdecisions.With this level of information at hand, it will be easier to know which marketing channels touse. It will be the channels your potential customers are using.1. Do your homeworkAre you amongst those guilty of calling up a web designer asking how much it will cost tohave them build you a website?While fundamentally there’s nothing wrong with this approach, think about what you couldbe telling the person on the other side:• "I’m not aware of the market-related prices of websites because I’m not comfortable– nor that interested - in the online world."• "I’m not sure of the functions and features that are needed on my website – I’ll leavethat up to you."• "I’m sensitive to price so the cheaper the better."By taking this approach, you’re shifting the responsibility of your website to the webdesigner; someone who knows nothing about your product, business, or customer. Not allweb designers have the same level of skill or integrity and you may find yourself in aquestionable situation so it’s important that you draw a clear distinction early in the
  • 5. relationship: you’re in control of your business; it’s their role to design a website thatsupports your business goals.A better approach is to decide how much you’re prepared to spend on your website andthe minimum features required.If you did your homework, you’d know exactly what’s needed. You could say, for example,“I have a budget of XXX and need a website that includes a product catalogue, customerreviews, and online payment facility.” You’re immediately setting the boundaries of yourrelationship stating that you’re in control.2. Remember that your website is a part of your overallmarketing strategyHow will you attract visitors to your new site?You need additional marketing tactics to create an awareness of your site and attractvisitors, and unless you have a healthy marketing budget, it’s unlikely that you’ll be able toreach all your potential customers at the same time. You can, however, target them insmall segments one product at a time.Say you sell a range of children’s wear to the local and national market. Your monthlymarketing budget is R1000. Practically, your R1000 would not cover the marketing of yourfull range of products to your entire target market each month.But you could, for example, decide to run a 3-month campaign to market only your pre-schooler items to the moms in your area. This could include informative flyers referencingyour website for more information, attending networking events to distribute these flyers,and commissioning online articles directed at moms with pre-school children, all withinyour R1000 budget.With effective, targeted marketing, your profits should increase and allow you to increaseyour marketing budget for subsequent months.
  • 6. 3. Set benchmarks to measure your successSometimes your marketing efforts will succeed and sometimes they will fail. With thenecessary measures in place, you’ll easily identify the successes and optimise them whileyou learn from your mistakes and take corrective action.A number of tools and targets are available to you to track your marketing campaigns.These could be as simple as your monthly sales targets, or sophisticated online analyticsabout how your visitors perform on your site. When choosing a web designer or marketingconsultant, ask about the reporting tools that are included in the package you buy.Why the 1-minute marketing strategy guide?Don’t make the mistake of thinking that marketing requires no effort. Owning a website andplanning a successful marketing strategy around it is hard work.But it can be fun and rewarding if you follow the right procedures. For many, starting abusiness or making the move from traditional business to online business is overwhelming.With the 1-minute marketing strategy guide, you can generate a plan of action on the go -one product and one market segment at a time - according to your budget. All it takes isanswering 5 questions about your product or service.Please note: This guide can be used in conjunction with the online 1-Minute MarketingStrategy Tool found at www.1minutemarketingstrategy.com.
  • 7. Part 1: Preparing for the 1-Minute Marketing StrategyGuide
  • 8. Chapter 1: Knowing your businessOn a scale from 1 to 10, how confident are you in your ability to run your businesssuccessfully?My son recently acquired his drivers license after numerous lessons, countless hours ofsupervised practice and one mildly traumatic failed attempt. Although costly and stressfulfor both son and parents, were now relatively confident in his ability to be let loose on theroad.Now imagine an alternative world in which were all automatically eligible for a driverslicense and only have to start taking lessons once weve proven were not ready for theroad, possibly after one accident too many. It sounds quite ridiculous, doesnt it?Yet this describes entrepreneurship to the tee: Anyone can start a business - be it amanufacturing concern, advertising agency, marketing agency, restaurant... whatever...and only once weve proven were unable to make a success of it are we really forced tolearn.Sadly, by then weve probably depleted all our financial resources and exhausted thepatience and goodwill of friends and family. Applying the lessons learnt is too little too lateand theres no option but to dust off our CVs and hit the job market with our tails betweenour legs.Dont we need to change our approach to entrepreneurship?The truth is that many entrepreneurs simply dont have the necessary knowledge, skillsand tools to make a success of first-time businesses. The statistic that 95% of smallbusinesses fail within the first 5 years still lingers in many countries.Isnt this proof enough that perhaps the way we approach entrepreneurship needs tochange?Perhaps the answer we seek is that 95% of small businesses shouldnt be allowed to startin the first place. Perhaps the label of "business owner" shouldnt be as simple as
  • 9. registering a business, buying a domain, or providing a product or service in exchange formoney.If youre an entrepreneur about to start a business, an easy way of avoiding failure is to doyour homework... Be honest about your skills (and the lack of it!) and realistic about whatyour business can or cant achieve; admit that you dont know everything because yourenot expected to know it all; dont be afraid to find out for sure if your business idea isfeasible before plunging along purely on faith.Focus on your core capabilitiesWhat are your strengths and the strengths of those within your business?If your strengths lie in running a successful small business, you’re fortunate enough tohave found your calling as small business owner. But if you’re like the majority ofentrepreneurs embarking on a business venture, chances are that your strengths lieelsewhere.An important decision you need to make sooner rather than later is which functions you’llbe performing and which you’d rather delegate to people better equipped to fill the role.Admittedly, part of the joy of having your own business is the title of CEO or MD, but is thisreally best for your business? Do you have the time, money and energy to learn thefinancial, operational, marketing, IT, legal, and HR aspects of running your own business?When you plan on using the Internet as a platform for competing with larger businesses,you’re likely to be competing with businesses in which each of these functions areperformed by professionals with specialist skills.If you answer “no” to any of the following questions, ask for help! These are just a few ofthe key aspects you need to be aware of as a business owner.• Financial: Have you calculated the gross margin for your products? Do you have aone-year sales projection, budget and cash flow projection?• Operational: Do you have a documented business vision and mission statement?Are the processes and procedures in place for all the activities within yourbusiness?
  • 10. • Marketing: Have you analysed your target market? Is there an allocated monthlymarketing budget?• IT: Do you have the necessary IT systems in place to support your business?• Legal: Does your business comply with all legal requirements for your product,industry and region?• HR: Do you have job descriptions for yourself and each of your employees? Arethere measures in place for monitoring and managing employee performance?What does this have to do with your marketing strategy?A successful marketing strategy is derived from a solid business where all the keyfundamentals are in place. If you don’t know what you’re trying to achieve and you don’thave the necessary support structures, even the best marketing strategy won’t guaranteea sustainable business.Last thoughts for this chapterTo ensure that your business complies with all the necessary financial, operational,marketing, IT, legal and HR requirements is outside the scope of this guide. The minimuminformation required to move ahead is:• Who is your primary target market?• What is your monthly marketing budget?
  • 11. Chapter 2: Understanding your potential customersbehaviourDo you know how your customers know they need your products?Tricky.Often, when we think of a sale, we think of the point of sale where our products andservices were exchanged for cash. But how much thinking goes into understanding howour customers actually got there? What need did we promise to fulfill that inspired them tobuy our product?And more importantly, if youre using the Internet as a sales and marketing channel, howdid the Internet feature in their buying process?The sentence “My target market is online” is often used by website owners as justificationfor owning a website.But does it mean that, simply because a potential customer has access to the Internet,they will automatically use the Internet to find you or your products?To understand how your potential customers behave, take some time to consider your ownbuying behaviour.Suppose you’ve been handed R5000 to spend in any way you wish. Take a few minutes todecide what you’d buy.Done?Now consider the process you went through to decide on your purchase.Did you know what you wanted to buy without further thought? Did you have to think firstabout what you needed most? Did you find that the money handed to you wasn’t enoughto satisfy all your needs and wants? Would you need more information on the item you’ve
  • 12. decided to purchase before handing over the cash? Would you even handle the cash orwould you deposit the money into your bank account and pay by EFT? Or perhaps youdecided to save the money.Without you being aware of it, your mind followed a systematic approach to spending thatmoney. In a few moments, you’ve processed what you needed, why you needed it, whereyou’d buy it and how you’d pay for it.You’re reading this ebook, which means you have access to the Internet. But do you usethe Internet to secure everything you buy?I’m willing to bet you don’t! Certain products you probably still prefer to search for andpurchase through traditional means. In the above scenario, at which stage in the processdid you use the Internet?NO TWO PEOPLE WILL BUY THE SAME PRODUCT IN EXACTLY THE SAME WAY ASYOU DO. Why not? Because certain psychological, personal and social factors - which areunique to every buyer - influence your buying decisions.Try this exercise...By completing this exercise, you are mapping your own buying behaviour. Whenanswering the questions below, consider which of the factors influence whether or not youuse the Internet in your buying process across different products.Make a list of 5 products and services that form a part of your lifestyle and then answer thequestions below for each product listed:1. Why do I need this product/service?2. How do I know I need this product/service?3. Where do I search for more information about this product/service before buying?4. How do I pay for this product or service?5. How do I behave when I’m happy or unhappy with this product/service?EXAMPLE: Say you’ve identified a one-hour massage as a service that could definitelyform a part of your lifestyle.
  • 13. 1. Why do I need this product/service?Because I need an hour of pampering2. How do I know I need this product/service?I’ve been stressed and overworked3. Where do I search for more information about this product/service before buying?I go through my pack of business cards because I’ve recently met a spa owner at anetworking event. I then visit their website (as listed on the card) to browse their productsand prices. I call a friend who had previously used their services for a recommendationthen I use Google to compare their prices to competitors in the area. Finally, after decidingthat I’ll use their services despite it being a little expensive, I call them to book anappointment.4. How do I pay for this product or service?EFT in advance5. How do I behave when I’m happy or unhappy with this product/service?Tell everyone about it and go back for moreNow try the shoe on the other foot...By completing the next exercise, you are applying your understanding of the factors thatinfluence buying behaviour to map a possible buying pattern for potential customers.Consider 5 potential customers (for example, your parents, neighbours, friends,colleagues) for the product used in the above scenario and answer the same questions foreach individual. By using people you know for this exercise, you can use your knowledgeof their lifestyles to estimate their behaviours.1. Why do they need this product/service?2. How do they know they need this product/service?3. Where do they search for more information about this product/service beforebuying?4. How do they pay for this product or service?
  • 14. 5. How do they behave when theyre happy or unhappy with this product/service?Please note that this exercise is to get you to reflect on how different people buy the sameproduct so your answers don’t have to be accurate. Just use your imagination and havesome fun.When using this model of consumer-decision making, the process can be divided into 4broad activities:1. Becoming aware of a need or want (question 1 and 2 above)2. Searching for more information about how to satisfy the need and comparing thedifferent options available to them (question 3 above)3. Making the purchase (question 4 above)4. Behaving in a way thats either positive or negative towards their purchase(question 5 above)Identifying the key marketing goalsThe key to developing a marketing with the 1-minute marketing strategy guide is to createa marketing goal for each stage of the consumer buying decision-making process:1. Create a need for your product or service2. Provide the necessary information to encourage a sale3. Provide the sales and delivery platform to secure the transaction4. Personalise the relationship with the customer to ensure that theyre satisfied andwill behave positively towards your productWhen you have clarity on how your potential customers behave, planning your marketingactivities becomes a matter of selecting the tactics that match the stage in their buyingprocess.See Table 1 for some examples of marketing tactics which could be appropriate at thedifferent stages of the consumer buying process.
  • 15. A B C D EMarketing goals TraditionalmediaNew media Other websites Your website1 Create a need NewspapersRadioTVBillboardsBrochuresFlyersVehicle brandingBusinessnetworkingTrade showsSMSsNewslettersOnline socialmediaBanner adsBlogsArticlesRelevant linksVideosListings on onlinedirectoriesFrequent buyerincentivesBanner adsAppertisers"Whats hot" areaBlogsArticlesVideos2 Provide thenecessaryinformation toencourage a saleNewspapersRadioTVBillboardsBrochuresFlyersVehicle brandingBusinessnetworkingTrade showsTelephonedirectoriesContact numbersHelpdeskSMSsNewslettersOnline socialmediaBanner adsBlogsArticlesRelevant linksVideosListings on onlinedirectoriesSearch engineoptimisationSearch enginemarketingLinks to product-relatedwebsitesAssistance on productselectionProduct reviewsDiscussion groupsTestimonialsBlogsArticlesEnquiries formVideos3 Provide the salesand delivery platformto secure thetransactionPoint of salesystem, manualinvoicing ordebit/credit cardfacilityElectronic shoppingcart/online orderingsystemVarious modes ofonline shoppingEasy return policy4 Personalise therelationship with thecustomerBusinessnetworking;Telephonesupport;HelpdeskSMSsNewslettersOnline socialmediaOnline user groupsEmail supportTable 1 – Birds Eye View of MarketingLast thoughts for this chapterMany small business decision-makers make the mistake of thinking they can be all thingsto everyone. While this may be true, financial and time constraints dictate that they can’tbe all things to everyone all at the same time! The 1-minute marketing guide aims to focusthe attention on a limited number of market segments at a time to make marketingmanageable and effective.For effective use of the guide, consider the primary target market - or market segment -identified in chapter 1 and answer the following questions:1. Why do they need this product/service?
  • 16. 2. How do they know they need this product/service?3. Where do they search for more information about this product/service beforebuying?4. How do they pay for this product or service?5. How do they behave when theyre happy or unhappy with this product/service?
  • 17. Chapter 3: Analysing your productsWhy is it that some websites are more popular than others? Could it be that someproducts are more feasible for online marketing and selling than others? Consider thesefactors.1. Is your product tangible or digital/intangible?Tangible products can be held and felt, digital/intangible products cannot.Examples of tangible products include clothing, footwear, computer hardware, andproperty. Examples of digital/intangible products include ebooks, services, computersoftware, and music.If your product is tangible, you would need to consider logistics, for example, storage,transport and delivery. Think about how delivering your products to a broader audience willinfluence your delivery costs. And will you need more storage space to hold higher stocklevels?Intangible/digital products, therefore, may be less complicated to sell via the Internet thantheir tangible counterparts.Often, a business may offer their products in both tangible and digital/intangible formats,such as Amazon offering the same books in both digital and print format. In these cases,different marketing strategies are required because the customer who purchases anddownloads an ebook would have a different profile, and therefore buying behaviour, to thecustomer ordering the print version. In addition, stocking and delivering the printed versioncarries additional costs that need to be built into the profit margins.2. Does your product have search or material characteristics?Search characteristics imply that your potential customers can decide to purchase yourproduct or service purely by viewing information about it. For example, youre able topurchase a holiday simply by viewing pictures of the accommodation and customerreviews. A holiday, therefore, has search characteristics.Products that need further evaluation through smell, taste, touch or sound have material
  • 18. characteristics. When planning your launch strategy for material products, considerwhether potential customers would need to have "testers" before buying. If yes, you mayneed to support your online launch with traditional methods to allow your customers toexperience the product. For example, the launch of a new fragrance can be promoted in astore environment.3. In which stage of the Product Life Cycle (PLC) is yourproduct?In the introductory stage of the PLC, the product is introduced to your target market. Yourlaunch strategy should create a need within potential customers and marketing activitiesmay include heavy expenditure in advertising to create an awareness of the brand orproduct and communicate its benefitsIn the growth stage, the brand or product is accepted by a critical mass, and you canconcentrate your efforts on maintaining and growing market share as competitors enter themarket.In the maturity stage, competition intensifies because the knowledge of the product orservice is widespread. The costs associated with acquiring new customers increase soyou should focus on maintaining loyalty. The last stage of the PLC is the decline stage. Assales decline, you can either discontinue the product or reinvent it, thereby restarting anew life cycle.4. Is your product durable or non-durable?Durable products are products that are capable of surviving many uses (such asappliances and cars) and non-durables are perishable products that are used up after oneor more uses (for example, food). If your product is durable, you may have to focus oncustomer acquisition strategies instead of retention strategies because repeat purchasesare likely to be few and far between.5. Is your product perceived as a convenience, shopping, orspecialty product?Convenience products are those that the consumer is not willing to spend time, money or
  • 19. effort in locating, evaluating and purchasing. Packaging is important to sell the product.For shopping products, consumers want to make price, quality and suitabilitycomparisons. They make the time and effort to plan their purchases and the product withthe best set of attributes is bought. When product attributes are perceived as similar, priceis the deciding factor.Specialty products are those in which the consumers buying behaviour is directed atsecuring a particular good, service or idea without regard to time, effort and expense.Consumers are loyal to their brand, store and person. They will pay a premium price fortheir products and will not accept a product substitute.IMPORTANT! A product is convenience, shopping or specialty depending on howthe customer perceives it.Consider the behaviour of an in-store consumer seeking a cold beverage. If any type andany brand of cold beverage is appropriate - whether sparkling water, a fruit juice or a soda- the product could be classified as a convenience product because the buyer is likely tochoose the product that is most convenient to find.For the consumer seeking a soda (not sparkling water or a fruit juice), the product could beclassified as a shopping product if the buyer compares the different brands of sodasbefore choosing a brand that fits their taste or budget.If the buyer selects a preferred brand irrespective of price and the other options available,the product could be classified as a specialty product because of the buyer’s insistence ona particular type of brand. If the preferred brand is not available, the buyer would gothrough the effort of going from store to store searching for the brand.Last thoughts for this chapterWhen you’re planning a product launch or marketing campaign, it often entails intensiveresearch, planning and strategising. While this may not be a problem for largeorganisations with dedicated marketing teams and generous budgets, it can be quite thechallenge for the cash-strapped small business owner to get the right balance.
  • 20. It’s a common mistake for marketers to spread the news about their business using ablanket “one size fits all” approach for their products. What this chapter clearlydemonstrates is that each product requires individual analysis and individual strategies. Ifyou’re in a business with a large number of products, take the time to consider whichproducts are in most need of a focused marketing strategy.
  • 21. Part 2: Applying the Guidelines and Interpreting theResults
  • 22. Section A. How the 1-minute marketing strategy worksThe 1-minute marketing strategy guide will help you generate a marketing strategy in aminute. But first some background to how it works...In chapter 3, you were asked 5 questions about your product or service. This productanalysis forms the basis of the suggestions generated by this guide.The way the guide works is that each answer is assigned an attribute code:• Tangible (T)• Intangible/Digital (D)• Search (S)• Material (M)• Introductory stage (I)• Growth stage (G)• Maturity stage (M)• Durable (D)• Non-durable (N)• Convenience• Shopping (S)• Specialty (S)Based on your answers, the attribute codes are strung together to form a product code.According to the methodology behind the 1-minute marketing strategy, THERE ARE 72UNIQUE PRODUCT CODES.When you identify the product codes for your products and services, you will be able torefer to one of the 72 pre-determined strategies in which most of the thinking has alreadybeen done for you.For example, a tangible (T) product with search (S) characteristics in the introductory (I)stage of the PLC, is durable (D) and is perceived as a shopping (S1) product will have theproduct code TSIDS1.
  • 23. The strategy for a product with the code TSIDS1 will be entirely different to a tangible (T)product with search (S) characteristics in the introductory (I) stage of the PLC, is durable(D) and is perceived as a specialty (S2) product. In other words, a product with the codeTSIDS2.In this example, the difference in strategies comes down to 2 entirely different targetmarkets:• S1 is a price-conscious market and will shop around for different prices and benefitsso your strategy would be to offer the best benefits at the best prices.• S2 is a brand-conscious market and will buy a product irrespective of price if itidentifies with the brand. In this case, your strategy would be to reinforce the valueof your brand.See The 72 Strategies by Product Code in Appendix 1 for the full list of codes.Your product code will reveal the following information, which you can use as input intomore detailed strategy development.Online feasibilityAlthough all businesses could benefit from an online presence, some products andservices are more feasible for online selling than others. This analysis indicates whetheryour product is more feasible for online selling or whether you should be combining onlineand offline selling.Overall marketing goalFor a business to be profitable, the sales generated should be more than the costs ofrunning the business.In order to generate sales, the overall marketing goal could be to either consistentlyacquire new customers or to retain existing customers. This analysis indicates whether themarketing of your product should be aimed at customer acquisition or customer retention.Of course, it’s imperative for any start-up business to first build up a database of happy
  • 24. customers. But the decision whether to continue spending money growing your customerbase versus spending money to encourage repeat purchases with existing customers hasto be made during your growth stages.Overall marketing strategyOnce your overall marketing goal has been defined, you need a strategy for achieving thisgoal. Based on the way you answered the 5 questions, the 1-minute marketing strategyguide recommends possible strategies for achieving your overall marketing goal.Consider the overall marketing strategies for the following product codes:• TSIDC - Package the product more effectively than the competitor and make theproduct more convenient to purchase. Deliver information to the customer.• TSINS2 - Build brand loyalty. Provide product information offline and online.• DSIDS2 - Reinforce the value of the brand, irrespective of price. Provide productinformation offline and online.This level of information is especially important when planning your marketing channelsand marketing messages because if you’re targeting a price-conscious customer, forexample, they would be interested in knowing about the prices and benefits of youroffering. If your marketing material, including your website, is cluttered with informationabout your company and your brand, you run the risk of losing their sales.Customer online behaviourPotential customers who perceive products as convenience (C) will behave differently onyour website to customers who perceive your products as shopping (S1) or specialty (S2).Consider some of the ways in which consumer perceptions can influence how they behaveon your website.Navigation• Convenience: Minimum number of clicks to purchase is less than shopping andspecialty as consumers spend little time or effort on the purchase process• Shopping: Minimum number of clicks to purchase is more than convenience but
  • 25. less than specialty as consumers spend a moderate amount of time and effort onthe purchase process• Specialty: Minimum number of clicks to purchase is greater than shopping andspecialty as consumers spend a considerable amount of time and effort on thepurchase processDuration• Convenience: Time spent on the web site is less than shopping and specialty asconsumers spend little time or effort on the purchase process• Shopping: Time spent on the site is inconsistent as consumers move between websites• Specialty: Time spent on the site is considerable as consumers do an intenseinformation searchDepth• Convenience: Number of pages drilled down is shallow as consumers spend littletime or effort on the purchase process• Shopping: Number of pages drilled down is inconsistent as consumers movebetween web sites• Specialty: Number of pages drilled down is deep as consumers do an intenseinformation searchRecency and Frequency• Convenience: No brand loyalty, therefore, no guarantees of repeat visits orpurchases• Shopping: Consumer is fickle, therefore, repeat visits and purchases areinconsistent• Specialty: Brand loyal customers and, therefore, a high probability of repeat visitsand purchases
  • 26. Abandonment• Convenience: Consumer will abandon if the purchase is not convenient• Shopping: Consumer will abandon if the product does not offer the best benefits• Specialty: Consumer will abandon if the brand does not deliver to expectationsConversion• Convenience: Consumer will purchase if the purchase is convenient• Shopping: Consumer will purchase if the product offers the best benefits• Specialty: Consumer will purchase if the brand delivers to expectationsSetting measures for your websiteYour website should be built with measures and monitors to help you understand yourvisitors’ behaviour. The 1-minute marketing strategy guide, based on the answers youselected, provides tips for analysing your visitors’ online behaviour according to thefollowing key metrics:• Number of new visitors• Average number of visits per visitor• Percent of visits under one minute• Average number of page views per visit• Average pages viewed per visitor• Percent of visits that are 1 page• Search results to no results• First purchase momentum• Abandoned carts to completed purchases per day• Cost per conversion• Average order value
  • 27. • Sales per visitor• Number of returning visitors• Frequency of visit• Recency of visit• Stickiness
  • 28. Section B. An example of how to put it all togetherSuppose you’re in the shoe business and you’re launching a new range of ladies fashionshoes and youd like to attract 100 new visitors to your site per month over the next threemonths. You aim to convert 25% of visitors into paying customers.In this case, your marketing budget is R1250.The target market consists of ladies between the ages of 18 and 35 who won’t mindpaying a little bit extra for something comfortable. Although they have access to theInternet, they prefer reading magazines to keep abreast of fashion trends.They’ll access a website only if prompted by something in a magazine – such as acompetition, special offer or need for more information – and will only purchase online ifthe store is not within driving distance and if an easy-return policy guarantees a refund ifthe purchase does not meet expectations.1. Is your product tangible or intangible?TangibleWhy? Shoes can be touched.2. Does your product have search or material characteristics?MaterialWhy? Customers buying from you for the first time may want to test the quality andcomfortability by trying it on.3. In which stage of the Product Life Cycle is your product?MaturityWhy? Except in specific situations, potential buyers do not need to be educated on theneed for shoes.4. Is your product durable or non-durable?
  • 29. DurableWhy? Except in specific situations, one pair of shoes can be worn a number of times overlong periods.5. Do your potential customers perceive your product as convenience, shopping orspeciality product?ShoppingWhy? Potential customers enjoy shopping around until they find what they’re willing to payfor.Results of the 1-minute marketing strategy toolOnline feasibilityOnlineOverall marketing goalCustomer acquisitionOverall marketing strategyOffer the best benefits at the best prices and make information about your productavailable offline and online.Marketing goals1 Create a need for your product or service2 Provide the necessary information to encourage a sale3 Provide the sales and delivery platform to secure the transaction4 Personalise the relationship with the customer to ensure that theyre satisfied andwill behave positively towards your brand
  • 30. Choosing the features for your website according to the marketing goalGoal 1: Create a need• Frequent buyer incentives• Banner ads• Appertisers• “Whats hot" area• Blogs• ArticlesGoal 2: Provide the necessary information to encourage a sale• Discussion groups• Blogs• Articles• Enquiries formGoal 3: Provide the sales and delivery platform to secure the transaction• Electronic shopping cart/online ordering system• Easy return policyGoal 4: Personalise the relationship with the customer to ensure that theyresatisfied and will behave positively towards your brand• Email supportChoosing the right marketing messageFor this particular product combination, because benefits and price is more important thanthe brand, potential customers will search across many brands both online and offline.Potential customers compare features of different brands. When product attributes areperceived as similar, price is the deciding factor. Although this particular kind of customeris not brand loyal, an opportunity exists to build brand awareness as the consumerconsiders between many available brands.
  • 31. Choosing the marketing channels according to budgetFor this potential customer, comfort, quality and price are important. See the diagrambelow for how this is integrated into the overall marketing plan. The ladies who fall withinthe target market for this product attend networking events, subscribe to newsletters thatare of interest to them and participate on social networks.Based on the recommendations of the 1-minute marketing strategy guide and thehomework suggested in previous chapters, the following marketing plan could begenerated.Goal 1: Create a need for your product or serviceMarketing message: Comfortable, quality, fashionable shoes you can affordMarketing tactics: Flyers; Business networking; Online social medial Blogs; Newsletters;BannersBudget: 500Goal 2: Provide the necessary information to encourage a saleMarketing message: What makes our shoes so comfortable…Marketing tactics: Business networking; Blogs; articlesBudget: 500Goal 3: Provide the sales and delivery platform to secure the transactionMarketing message: Available in store or online with 100% money-back guaranteeMarketing tactics: NoneBudget: 0Goal 4: Personalise the relationship with the customer to ensure that theyresatisfied and will behave positively towards your productMarketing message: Do our shoes provide the comfort and quality we promised?Marketing tactics: PollsBudget: 250Total budget: 1250
  • 32. Setting web goals and analysing performanceIn this case, suppose you set the following goals:• Number of new visitors: 100• Number of sales: 25• Average number of visits per visitor: 5• Average order value: R250• Percent of visits under one minute: 10%• Percent of visits that are 1 page: 10%Use these metrics to determine if your marketing and web design is on track. For example,if:• you plan to attract 100 new visitors and only attract 10• you do attract 100 visitors but only 5 instead of 25 make a purchase• the average number of visits is only 1• the average order value is only R100• the percentage of visits under a minute and 1 page is 80%your marketing tactics, web design, or product offering need to be tweaked.
  • 33. Section C. How to generate your own strategyBefore proceeding to the 5 questions about your product or service, the followinginformation is required from chapters 1, 2 and 3.• What is your monthly marketing budget?• Who is your primary target market?• Why do they need this product/service?• How do they know they need this product/service?• Where do they search for more information about this product/service beforebuying?• How do they pay for this product or service?• How do they behave when theyre happy or unhappy with this product/service?• Which one of your products or services is in most need of a focused marketingstrategy?You’re now ready to strategise according to the 1-minute marketing strategy guidelines…STEP 1Answer the 5 questions about your product or service and assign an attribute code foreach answer.1. Is your product tangible or intangible? T or D2. Does your product have search or material characteristics? S or M3. In which stage of the Product Life Cycle is your product? I or G or M4. Is your product durable or non-durable? D or N5. Do your potential customers perceive your product as convenience, shopping orspeciality product? C or S1 or S2STEP 2String together the attribute codes to form a product code. For example, DMIDS1.
  • 34. STEP 3Look up your particular code in the 72 Strategies by Product Code in Appendix 1 and notethe purchase channel, marketing goal, and marketing strategy.STEP 4Use the generic format for setting your individual marketing goals.1. Create a need for your product or service2. Provide the necessary information to encourage a sale3. Provide the sales and delivery platform to secure the transaction4. Personalise the relationship with the customer to ensure that theyre satisfied andwill behave positively towards your brandSTEP 5Choose of the features for your website according to the marketing goal.Goal 1: Create a need• Frequent buyer incentives• Banner ads• Appertisers• “Whats hot" area• Blogs• ArticlesGoal 2: Provide the necessary information to encourage a sale• Discussion groups• Blogs• Articles• Enquiries form
  • 35. Goal 3: Provide the sales and delivery platform to secure the transaction• Electronic shopping cart/online ordering system• Easy return policyGoal 4: Personalise the relationship with the customer to ensure that theyre satisfied andwill behave positively towards your brand• Email supportSTEP 6Enter the marketing tactics for each of the goals according to budget and how yourpotential customers buy.Goal 1: Create a need for your product or service• Marketing message:• Marketing tactics:• Budget:Goal 2: Provide the necessary information to encourage a sale• Marketing message:• Marketing tactics:• Budget:Goal 3: Provide the sales and delivery platform to secure the transaction• Marketing message:• Marketing tactics:• Budget:Goal 4: Personalise the relationship with the customer to ensure that theyre satisfied andwill behave positively towards your product
  • 36. • Marketing message:• Marketing tactics:• Budget:Total budget:STEP 7Set targets and measures for your website.• Number of new visitors:• Average number of visits per visitor:• Percent of visits under one minute:• Average number of page views per visit:• Average pages viewed per visitor:• Percent of visits that are 1 page:• Search results to no results:• First purchase momentum:• Abandoned carts to completed purchases per day:• Cost per conversion:• Average order value:• Sales per visitor:• Number of returning visitors:• Frequency of visit:• Recency of visit:• Stickiness:REMINDER:Potential customers who perceive products as convenience (C) will behave differently onyour website to customers who perceive your products as shopping (S1) or specialty (S2).Revise the section on online consumer behaviour for tips on how to monitor these metrics.Last thoughts
  • 37. By following these tips, hints and tricks, planning and managing your marketing campaignsshould be less daunting than you could ever imagine.Nobody said that developing a marketing strategy is easy. But once youve done thenecessary homework into your business and customer, all it takes is asking 5 simplequestions to kick-start your planning.Please note: this guide can be used in conjunction with the online 1-Minute MarketingStrategy tool at www.1minutemarketingstrategy.com.
  • 38. Appendix 1. The 72 Strategies by Product Code
  • 39. No Marketing Strategy1 TSIDC Online Acquisition2 TSIDS1 Online Acquisition3 TSIDS2 Online Acquisition4 TSINC Online Retention Not appropriate because there is no brand loyalty.5 TSINS1 Online Retention6 TSINS2 Online Retention7 TSGDC Online Acquisition8 TSGDS1 Online Acquisition9 TSGDS2 Online Acquisition10 TSGNC Online Retention Not appropriate because there is no brand loyalty.11 TSGNS1 Online Retention12 TSGNS2 Online Retention13 TSMDC Online Acquisition14 TSMDS1 Online Acquisition15 TSMDS2 Online Acquisition16 TSMNC Online Retention Not appropriate because there is no brand loyalty.17 TSMNS1 Online Retention18 TSMNS2 Online RetentionProductCodePurchaseChannelMarketingGoalPackage the product more effectively than the competitor,and make the product more convenient to purchase. Deliverinformation to the customer.Offer the best benefits at the best prices. Provide productinformation offline and online.Reinforce the value of the brand, irrespective of price.Provide product information offline and online.Continuously offer the best benefits at the best prices.Provide product information offline and online.Build brand loyalty. Provide product information offline andonline.Package the product more effectively than the competitor,and make the product more convenient to purchase. Deliverinformation to the customer.Offer the best benefits at the best prices. Provide productinformation offline and online.Reinforce the value of the brand, irrespective of price.Provide product information offline and online.Continuously offer the best benefits at the best prices.Provide product information offline and online.Build brand loyalty. Provide product information offline andonline.Package the product more effectively than the competitor,and make the product more convenient to purchase. Deliverinformation to the customer.Offer the best benefits at the best prices. Provide productinformation offline and online.Reinforce the value of the brand, irrespective of price.Provide product information offline and online.Continuously offer the best benefits at the best prices.Provide product information offline and online.Build brand loyalty. Provide product information offline andonline.
  • 40. 19 TMIDC Acquisition20 TMIDS1 Acquisition21 TMIDS2 Acquisition22 TMINC Retention Not appropriate because there is no brand loyalty.23 TMINS1 Retention24 TMINS2 Retention25 TMGDC Online Acquisition26 TMGDS1 Online Acquisition27 TMGDS2 Online Acquisition28 TMGNC Online Retention Not appropriate because there is no brand loyalty.29 TMGNS1 Online Retention30 TMGNS2 Online Retention31 TMMDC Online Acquisition32 TMMDS1 Online Acquisition33 TMMDS2 Online Acquisition34 TMMNC Online Retention Not appropriate because there is no brand loyalty.35 TMMNS1 Online Retention36 TMMNS2 Online RetentionOnline andofflinePackage the product more effectively than the competitor,and make the product more convenient to purchase. Deliverinformation to the customer.Online andofflineOffer the best benefits at the best prices. Provide productinformation offline and online.Online andofflineReinforce the value of the brand, irrespective of price.Provide product information offline and online.Online andofflineOnline andofflineContinuously offer the best benefits at the best prices.Provide product information offline and online.Online andofflineBuild brand loyalty. Provide product information offline andonline.Package the product more effectively than the competitor,and make the product more convenient to purchase. Deliverinformation to the customer.Offer the best benefits at the best prices. Provide productinformation offline and online.Reinforce the value of the brand, irrespective of price.Provide product information offline and online.Continuously offer the best benefits at the best prices.Provide product information offline and online.Build brand loyalty. Provide product information offline andonline.Package the product more effectively than the competitor,and make the product more convenient to purchase. Deliverinformation to the customer.Offer the best benefits at the best prices. Provide productinformation offline and online.Reinforce the value of the brand, irrespective of price.Provide product information offline and online.Continuously offer the best benefits at the best prices.Provide product information offline and online.Build brand loyalty. Provide product information offline andonline.
  • 41. 37 DSIDC Online Acquisition38 DSIDS1 Online Acquisition39 DSIDS2 Online Acquisition40 DSINC Online Retention Not appropriate because there is no brand loyalty.41 DSINS1 Online Retention42 DSINS2 Online Retention43 DSGDC Online Acquisition44 DSGDS1 Online Acquisition45 DSGDS2 Online Acquisition46 DSGNC Online Retention Not appropriate because there is no brand loyalty.47 DSGNS1 Online Retention48 DSGNS2 Online Retention49 DSMDC Online Acquisition50 DSMDS1 Online Acquisition51 DSMDS2 Online Acquisition52 DSMNC Online Retention Not appropriate because there is no brand loyalty.53 DSMNS1 Online Retention54 DSMNS2 Online RetentionPackage the product more effectively than the competitor,and make the product more convenient to purchase. Deliverinformation to the customer.Offer the best benefits at the best prices. Provide productinformation offline and online.Reinforce the value of the brand, irrespective of price.Provide product information offline and online.Continuously offer the best benefits at the best prices.Provide product information offline and online.Build brand loyalty. Provide product information offline andonline.Package the product more effectively than the competitor,and make the product more convenient to purchase. Deliverinformation to the customer.Offer the best benefits at the best prices. Provide productinformation offline and online.Reinforce the value of the brand, irrespective of price.Provide product information offline and online.Continuously offer the best benefits at the best prices.Provide product information offline and online.Build brand loyalty. Provide product information offline andonline.Package the product more effectively than the competitor,and make the product more convenient to purchase. Deliverinformation to the customer.Offer the best benefits at the best prices. Provide productinformation offline and online.Reinforce the value of the brand, irrespective of price.Provide product information offline and online.Continuously offer the best benefits at the best prices.Provide product information offline and online.Build brand loyalty. Provide product information offline andonline.
  • 42. 55 DMIDC Online Acquisition56 DMIDS1 Online Acquisition57 DMIDS2 Online Acquisition58 DMINC Online Retention Not appropriate because there is no brand loyalty.59 DMINS1 Online Retention60 DMINS2 Online Retention61 DMGDC Online Acquisition62 DMGDS1 Online Acquisition63 DMGDS2 Online Acquisition64 DMGNC Online Retention Not appropriate because there is no brand loyalty.65 DMGNS1 Online Retention66 DMGNS2 Online Retention67 DMMDC Online Acquisition68 DMMDS1 Online Acquisition69 DMMDS2 Online Acquisition70 DMMNC Online Retention Not appropriate because there is no brand loyalty.71 DMMNS1 Online Retention72 DMMNS2 Online RetentionPackage the product more effectively than the competitor,and make the product more convenient to purchase. Deliverinformation to the customer.Offer the best benefits at the best prices. Provide productinformation offline and online.Reinforce the value of the brand, irrespective of price.Provide product information offline and online.Continuously offer the best benefits at the best prices.Provide product information offline and online.Build brand loyalty. Provide product information offline andonline.Package the product more effectively than the competitor,and make the product more convenient to purchase. Deliverinformation to the customer.Offer the best benefits at the best prices. Provide productinformation offline and online.Reinforce the value of the brand, irrespective of price.Provide product information offline and online.Continuously offer the best benefits at the best prices.Provide product information offline and online.Build brand loyalty. Provide product information offline andonline.Package the product more effectively than the competitor,and make the product more convenient to purchase. Deliverinformation to the customer.Offer the best benefits at the best prices. Provide productinformation offline and online.Reinforce the value of the brand, irrespective of price.Provide product information offline and online.Continuously offer the best benefits at the best prices.Provide product information offline and online.Build brand loyalty. Provide product information offline andonline.