G-squared Marketing 22 Laws of Marketing


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G-squared Marketing 22 Laws of Marketing

  1. 1. G-Squared Marketing
  2. 2. These are the laws that help marketers towin the MIND of a consumer or a potentialconsumer.The laws were designed by Jack Trout and AlRie in their book the 22Immutable laws ofmarketing.The 22 Immutable Laws of MarketingG-Squared Marketing
  3. 3. Being first in the Market is better thanhaving a better product than acompetition. Example: we all rememberwho was the first man on the moon butalmost no-one knows who was the second.Econet was the first mobiletelecommunications company inZimbabwe. Being first does not matter ifthe idea/product is not goodLAW 1 (law of Leadership)G-Squared Marketing
  4. 4. Given that its very hard to gain leadershipin a category where competition alreadyexists, its better to create a product in newcategory than trying to attack existingcategories. Category doesn’t have to beradically different, e.g. if there’s dominantplayer in voice then one can become thefirst in data.LAW 2 (law of Category)G-Squared Marketing
  5. 5. Its not important to be the first in themarket but the first in the mind ofconsumers. In Zimbabwe if you talkabout a soft drink the first thing tocome into mind is Coca-Cola. Washingpowder is Surf though Omo is the firstin the Market.LAW 3 (law of Mind)G-Squared Marketing
  6. 6. Marketing is not about products (their featuresor quality) but about perceptions (how peopleperceive products). Honda is a leading Japanesecar manufacturer in US but only third in Japanafter Toyota and Nissan. In Japan howeverpeople perceive Honda as a manufacturer ofmotorcycles. Therefore whats important is thatmarketing should be focused on changing theperception.LAW 4 (law of Perception)G-Squared Marketing
  7. 7. The most powerful concept in marketing isowning a word in the prospect’s mind.Owning in this context means that ifpeople hear or see this word they usuallyconnect it with a company that owns thisword. Unilever owns ‘cosmetics.’ Swiftowns ‘overnight.’ you can’t take somebodyelse’s word.LAW 5 (law of Focus)G-Squared Marketing
  8. 8. Its fruitless to try to take over a word that isalready owned by a competitor. Econet tried toown word ‘value for money’ which was alreadyowned by Telecel and failed miserably. FedExtried to take over ‘worldwide’ from DHL.LAW 6 (law of Exclusivity)G-Squared Marketing
  9. 9. Marketing strategy depends on yourposition in the market. If you’re No. 2 youuse different strategy than when you’reNo. 2 or 3. Econet always advertise usingthe fact that they are the bestTelecommunications company inZimbabwe and they keep on being themarket leader because everyone wants tobe associated with the best.LAW 7 (law of Ladder)G-Squared Marketing
  10. 10. In the long-run, every marketbecomes a two-horse race. Econetand Telecel. Nike and Reebok.Crest and Colgate. Bakers Inn andLobel’s. Irvines and SunCrest.LAW 8 (law of Duality)G-Squared Marketing
  11. 11. If you’re shooting for second place, yourstrategy is determined by the leader.Leverage the leader’s strength intoweaknesses. Don’t try to be better than theleader, try to be different. E.g. Pepsimarketed itself as a ‘choice for the newgeneration’ when faced with Coca-Cola ‘oldand established’ brand.LAW 9 (law of Opposite)G-Squared Marketing
  12. 12. Over time a category will divide and become twoor more categories. E.g. computers started as asingle category but broke up into mainframes,workstations, personal computers, laptops etc.Leader can maintain dominance by addressingemerging categories with new brand namesinstead of using brand name successful in onecategory in a new category. E.g. when Econetwanted to go up-market it created a new brand,Ecocash.LAW 10 (law of Division)G-Squared Marketing
  13. 13. Marketing effects take place over anextended period of time. It’s a mistake tosacrifice long-term planning with actions toimprove short-term balance sheet. E.g.sales increase short-term profits but inlong-term educates people not to buy forregular price, therefore decreasing long-term profits.LAW 11 (law of Perception)G-Squared Marketing
  14. 14. There’s an irresistible pressure toextend the equity of the brand and it’sa mistake. Instead should create newbrands to address newmarkets/products. E.g. Telecelintroduced the new Red products,Tel•One introduced ADSL broadbandproduct.LAW 12 (law of Extension)G-Squared Marketing
  15. 15. You have to give up something inorder to get something. There arethree things to sacrifice:1) Product line- EcoLife wasabandoned.2) Target market.3) Constant change.LAW 13 (law of Sacrifice)G-Squared Marketing
  16. 16. For every attribute, there is anopposite, effective attribute. You canown the same word as thecompetition. You have to find anotherword to own, another attribute.LAW 14 (law of Attributes)G-Squared Marketing
  17. 17. When you admit a negative, theprospect will give you a positive.Candor is disarming. Its ok to admit, asAvis did, that ‘Avis is only No. 2 in rent-a-car.LAW 15 (law of Candor)G-Squared Marketing
  18. 18. In each situation, only one move willproduce substantial results. Peopletend to think that success is the resultof a lot of small efforts well executed,that working harder is a way tosuccess. In marketing the only thingthat works is a single, bold stroke.LAW 16 ( law of Singularity)G-Squared Marketing
  19. 19. Unless you write your competitors’ plans, youcan’t predict the future. You don’t know thefuture, you don’t know what your competitionwill do so you have to build your company andmarketing strategies to be flexible, to be able toquickly respond to changing situation. E.g. theTelecel marketing strategies for their mobilemoney were not flexible that when Econet camewith EcoCash they did not respond to thesituation.LAW 17 (law of Predictability)G-Squared Marketing
  20. 20. Success often leads to arrogance, and arroganceto failure. Don’t be arrogant, drop ego, beobjective. The reason why PTC failed was becausethey had that ego that they are protected by thegovernment regulation and they failed to beobjective and Econet came and take the lead.Don’t cling to the fast because if you cling to thepast they will be sacrificing the future. Change isabout excitement, adventure and success.LAW 18 (law of Success)G-Squared Marketing
  21. 21. Failure is to be expected and accepted. Dropthings that don’t work instead of trying to fixthem. Don’t punish for failures (if you do peoplewill stop taking risks). A work place must be anexperiment laboratory leave the workers toexperiment at work because competitiveadvantage comes from them. E.g. Econetdropped EcoLife when it failed to work as pertheir objective.LAW 19 (law of Failure)G-Squared Marketing
  22. 22. The situation is often the oppositeof the way it appears in the press.The amount of hype isn’tproportional to success; oftenfailed products are heavily hyped.LAW 20 (law of Hype)G-Squared Marketing
  23. 23. Successful programs are not builton fads but on trends. The successof EcoCash was based on thesuccess of Buddie and EconetBroadband.Law 21 (law of Acceleration)G-Squared Marketing
  24. 24. Without adequate funding an ideawon’t get off the ground. You need alot of money to market your ideas.The laying of fibre optic cables wasnot success to Tel•One because theydidn’t have adequate funding but forLiquid Telecoms it is a success becausethey have the resources.LAW 22 (law of Resources)G-Squared Marketing
  25. 25. G-squared Marketing‘Always Ahead’THE ENDG-Squared Marketing ‘Always Ahead” © 2013