It will sell itself! Presented by Tom FulcherMaricopa Community Colleges SBDC
A little on my background:BrandMgr, Product Mgr, Marketing Director, VP-Marketing, VP-New Bus/Int’l, CEO, ConsultantHeinz, Colgate-Palmolive, Knudsen, Farnam, Equine.comTeach Planning, entrepreneurship, business development andmarketing at Entrepreneurship Program at ASU College of Lawand at Thunderbird School of Global ManagementBoard – American Marketing Association, Phoenix ChapterConsultant –Maricopa SBDC, The Idea Gardener LLC, ADOTLoves dogs
television advertising radio advertisingcoupons public relations twitter seo facebookmyspace linkedin newspaper advertisingtrade magazines consumer magazines busshelters billboards events affiliate programswebsites microsites giveaways forecastpromotional products personal sellingnewsletters public speaking celebrityendorsements sports sponsorships specialevent signage memberships on packageoffers points programs surveys focus groupslogos
Defining Marketing Targeting Market Analysis Branding Messaging Persuasion Basics of a Marketing Plan
Defined Advertising Creating a Brand Image the act of buying or selling in a market Half art – Half science Pushing a product on the public A sales support function A job field for people who like to lie and tell stories
Marketing Defined An integrated process through which companies create value for customers and build strong customer relationships in order to capture value from customers in return.Value = Getting something you want at a price you are willing to pay for it!
Branding Defined a mark made by burning or otherwise, to indicate kind, grade, make, ownership, etc. a mark formerly put upon criminals with a hot iron. any mark of disgrace; stigma. A distinguishing symbol, mark, logo, name, word, sentence, or a combination of these items that companies use to distinguish their product from others in the market.
But So Much More! a "name, term, sign, symbol or design, or a combination of them intended to identify the goods and services of one seller or group of sellers and to differentiate them from those of other sellers Once a brand has created positive sentiment amongst the target audience, the firm is said to have built brand equity Ultimately, your brand resides within the hearts and minds of customers, clients, employees and prospects. It is the sum total of their experiences and perceptions, some of which you can influence, and some that you cannot. Differentiate your cow!
BRANDING – Why should you care? A solid base from which to develop marketing and product development strategy Creates hurdles for competition Assures the value proposition is met reducing price pressures Strong brands deliver better profitability Better ability to extend into new arenas Makes you the desirable partner Makes the company more valuable
WhatStrengths (int) – attributes helpfulWeaknesses (int) – attributes harmfulOpportunities (ext) – Conditions helpful/attractiveThreats (ext) – Conditions damagingWhy How can we capitalize on strengths? How can we address/minimize weaknesses? How can we exploit opportunities? How can we defend against, avoid or insulate against threats? Customer-centric
Helpful HarmfulInternal Strengths Weaknesses Do well Must fix Unique resources Fewer resources Advantages disadvantagesExternal Opportunities Threats Trends Competitive activities Gaps Regulatory New Technologies Financial
1. Be realistic about the strengths and weaknesses of your organization- Lying or exaggerating only hurts you2. Differentiate between where your company is today, and where it might be in the future.3. Be specific (Avoid gray areas)4. Always analyze in relation to your competition i.e. better than or worse than your competition5. Keep your SWOT short and simple – but length should be determined by your purpose for the analysis6. Avoid unnecessary complexity and over analysis (paralysis by analysis)7. Don’t necessarily list an Opportunity (O) if the same opportunity is available to competitors – depends on your purpose and organizational readiness8. Don’t necessarily list Strengths (S) if your competitors have the same
strengths weaknesses opportunities threatsPrioritize available actions based on a selected factor
10 minutes to start on your own Your SBDC Counselor at your location can help!
Brand Positioning Statement Who are you?Pain-killer orsupplement? Target Brand audience Benefit! Category/Set P.O.D. Features
Market Analysis – Pain or Opportunity Based What market are you in and how big is it? Research is a four-letter word! WORK Define your category or competitive set (where else might your customer spend their dollar?)Take a realistic view of how big it is (or isn’t) using your targeting Investigate the competition (SWOT them?) “We have 9 markets we can penetrate!”
Market AnalysisWhat type of product do you offer?/How does your category behave?
Market Analysis Google-Bing-Yahoo Twitter-Facebook-Linkedin Competitive websites Adword research Professional consultants Friends/associates Library, Reference USA, Census, Optimus Online reports and depositories Corporate filings JJ Hill library University resources Non-Profit and Government ◦ SBDC – SCORE- Other?
Targeting Understanding your market is key to success. A profound question asked by an investor:What do you do particularly well and why does it particularly matter? I’ll add one more: To whom does it particularly matter?
TargetingYour success is about your customers. Effective marketing is customer- centric! How well can you define your audiences? Demographics [age, gender, HHI, etc] Geographics [local, regional, national, international] Pyschographics [personality, attitudes, values, interests, lifestyles] Diffusion of Innovation [sort of a sub-set of pyschographics]
Targeting Diffusion of InnovationSo – How big is your market really?
Your Brand Name What do you have to say? – How do you say it? Descriptive – communicates well, but easy to imitate Invented – stands out, but can I remember it and spelling Out of Context – do qualities suggested by word cross over category? Legal and other considerations Is it trademarkable? Is the URL available? Are social media slots available? Is it easily circumvented (funny spelling, surname, etc) Is it restrictive (geography)
Category or Competitive Set Get over yourself – You have competition!Simply put – where else might your target client spend their dollars to satisfy the need you are addressing? •Is Coke a soda, cola, beverage or…•Are the Phoenix Suns pro basketball, basketball, sports or entertainment?•Based on the uniqueness of your product/service, your target audience, your sales goals and your other marketing strategies, with whom do you wish to compete?
Unique Selling Proposition or Point of Difference Simple Competitive Mapping “Quadrant Analysis” – simple concept/funny name Axes: Price, features, “hip”, what else? Why? – find the gaps
Unique Selling PropositionWhat do you have to say? – How do you say it? This is not intended as your tagline! Strive for a benefit statement and emotional appeal Singular is best if strong, combined can be carefully crafted
Reasons to BelieveWhy should your target audience believe you? Features Recognitions Tests/Studies Imagery
This is not the same as your brand position – but is complementary This is a business or marketing statement that summarizes why a consumer should buy a product or use a service. It convinces the consumer that your product adds more value or better solves a problem.It conveys the greater position is time-bound (“today”) and may be different audience to audience while a positioning statement is timeless and conveys the core of the brand
Value Proposition Setting up your messaging pointsBrand Positioning = To/For-Who/We-Is-That/Which Value Proposition re-statement: UnlikeCompetitor Name/categories Our Brand (insert name) Key differentiator Because of “key reasons to believe”
Ten Commonly Accepted Value Propositions1. Newness2. Performance3. Customization4. “Getting the job done” (helping get it done: eg Hubspot)5. Design & Usability6. Price7. Reducing cost8. Reducing risk9. Accessibility & Convenience10. Brand or StatusI’ll add two more: Green, Relationship
Analyze-Target-Position-Communicate-Influence What do you have to say? – How do you say it? Creating a Click-Whirr using the Principles of Ethical Influence* Turkey – Polecat example Reciprocation – Honored Network of Obligation (give first) Commitment & Consistency – Start small and build (public, voluntary) Social Proof (Consensus) – Wisdom of the group (ambiguity, uncertainty) Liking – Make friends (positive, sincere) Authority – Showing knowing (trustworthy, honest) Scarcity – the Rule of the rare (why do you answer the phone during mtg?) *Source – Robert Cialdini, PhD
Messaging Appeal to core values Achievement Family/Social circle Fun Wellness/Health Security Better worldConsistency of brand contact
Consistency of Brand Contact Throughout Tactics Price = The total paid for your product or service and the options associated therewith Product = The total bundle: features, appearance, functionality, support, experience, intangibles and benefits Place = Where and how your product is sold and delivered? Promotion = How you promote yourself and what you say and incentives you offer? What’s in a name, logo, color, etc.? Don’t forget the 5th ‘P’ People = Who is your customer and what is the common factor(s) that ties your customers together?
The Sales & Marketing Funnel Leads Research/Planning Suspects Exposure/Awareness dd Prospects Marketing/Trial Customers Loyalty/Customer Service
Tactics The Customer Recruitment Cycle 1. Awareness 2. Interest 3. Desire 4. Action 5. Evangelize How do you relate the elements of your brand positioning statement?
Tactics Price = Can you lead or do you follow? Discount v “free with” Product = the total customer experience Place = Retail, online, licensing, etc Promotion = make sure to be true to your brand. Where do you say what? Don’t forget the 5th ‘P’ People = How do they benefit? Consistency of Brand Contact
Tactics Marketing Communication Evolution (new tools) Monologue Dialogue Conversation Traditional Ads E-mail Social Media PPC Direct Response Mobile PR SEO Discounts Trade shows Talk at Talk to Talk with/listenThese all still play a role, marketing communications has many entry points Media choices to match brand
Free Resources (just a few) Social Networking - Blog, Micro Blog, Community ◦ Use free tools too like Ping.fm and Seesmic.com, socialmediabible.com, mashable.com SEO ◦ Spyfu, Keyword Spy, Word Tracker trial, Google tool, watsonaddy.com Research ◦ Esribis.com, Census, e-how.com, SBDC, libraryspot.com, Google alerts Web stuff ◦ Alexa, Quantcast, chrisguillebeau.com, technocrati.com, Draze.com, Google analytics, constant contact, ducttapemarketing.com Directories ◦ Google local, Merchant circle, etc Small business ◦ SBDC, ASU IAP, SCORE, igottatellyou.com/blog, freeconferencecall.com
10 Books to Consider Seth Godin – The Purple Cow (among others) Robert Cialdini – Persuasion (The Principles of Ethical Influence) Malcom Gladwell – Blink Jim Collins – Good to Great Guy Kawasaki – The Art of the Start Michael Porter – Competitive Strategy Tom Peters – The Pursuit of Wow Al Ries – 22 Immutable Laws of Branding Chris Murray – The Marketing Gurus Group’s faves By the way – Many free at the library!
VisionBHAG – Anyone know what this is? (Big Hairy Audacious Goal)Then– A personal computer on every deskNow – Software that works on any computerWhat will your business look like in 5 years.Over the next five years, we will grow The Idea Gardener into a $2 Million consulting business selectively providing business development, strategic marketing, executive support and training services to the most innovative entrepreneurs in Arizona and the world. Choosy Entrepreneurs choose The Idea Gardener!
PlanningThe Plans: a few examples Business Plan Marketing Plan Research Plan Media Plan Web Plan New Products Plan Operations Plan Personnel Plan Financial Plan
The Business Plan (The long View - Strategy) Should you even go into the business? Estimate start-up costs Estimate loan/capital needs Set leading indicators/Goal setting Identify personnel needs Plan for cash Seeking support from lenders or investors Sell your business Make money!
The Marketing Plan (One Year- Strategy + Tactics) Situation Analysis Brand positioning statement/value proposition Current SWOT Financial/Business Objectives Product Pricing Media Mix Public Relations Consumer Promotion Web-based Plans Sales Support Programs Customer Service Sales Forecast and Budget Keys to Success How does your brand position influence each section?
The Marketing Plan (One Year- Strategy + Tactics)Other things that might need to be worked in: -event marketing -co-branding -strategic partnerships -brand identity work -market research plans -Hiring plans -Agency partner plans -influence principles -Achievement modeling -Innovation diffusion -Porters Five Forces -Gap Analysis
Product PlaceWhat are your products and Where will these be sold? configurations?Price PromotionWhat are the various price What are some key waysfactors and your strategy? you will promote? Re-think this now with your branding in mind!
Tom’s Ten Rules Break some rules (notice I offer 12 rules – sorta like The Big Ten Conference) Have a vision and goals Be honest (with yourself, your team and your customers) Define your target audience and market - focus Be bold Research, Test and Measure – do the work Deliver on your promise/Deliver value consistently within brand framework Listen first, especially to your customers Everyone on your team is a “brand champion” – equip and empower them Appreciate your competition Challenge paradigms (including your own) Remember - Tactics follow strategy Aim high, have fun – or why do it at all!
A Sampling of the 22 laws1. Law of Expansion – Expanding or extending a brand can diminish brand value2. Law of Publicity – Start with publicity strategy and then extend to….3. Law of Advertising – Once born a brand needs advertising to stay healthy4. Law of the Word – A brand should strive to own a word in the mind of its target audience5. Law of Credentials – a crucial ingredient to the success of any brand is its claim to authenticity6. Law of Quality – Quality is important, but so is perception of quality7. Law of the Category – A leading brand promotes the category, not just the brand8. Law of the Company – There is a difference between a company name and a brand name9. Law of Borders – There are no barriers to global branding10. Tom’s – Consistency of brand contact throughout entire customer experience