Istvan Szurop's guest lecturer presentation at CEU Business School, Applied Marketing Course, Budapest, May 3, 3011

1. Applied Marketing for
Marketing startups and
Strategy small businesses
Course
(BUSI
591M)
CEU
Business
School
Budapest, May 3, 2011 István Szurop

2. Marketing success criteria
• Focus
• Difference
• Process
• Content

3. Today’s agenda
Strategy
• Why
and
how
to
find
and
focus
on
your
Ideal
Customers?
• Why
and
how
to
differentiate
your
business?
Tactics
• Why
and
how
to
think
in
process?
• Which
marketing
tools
to
use?
• Content
marketing:
how
David
can
beat
Goliath?
Putting
it
all
together
• Planning
and
executing
your
marketing

4. Find and focus
on your Ideal
Customers!

5. The 80-20 rule

6. Defining the Ideal Customers
most
REFERRER
least
most
BUYERS

7. How to generate insights?
Requested
Lab
setting
Natural
Focus
group,
At
homes,
online
survey,
in
stores…
copy
test…
Voluntary
Customer
service
Word
of
mouth
calls,
emails…
Buzz
monitoring
Source:
Bob
Gilbreath
/
Possible
Worldwide

8. Most important questions to ask
• Who
are
they?
What
motivates
them
(socio-­‐
demographics,
psychographics)?
• How
to
reach
them?
How
they
get
and
process
buying
information?
How
they
buy?
Who
influences
them?
• From
existing
customers:
What
do
they
think
what
our
difference
is?
What
is
their
opinion
about
our
business?
Would
they
recommend
us?

9. Why and how to listen?
Sons
of
Maxwell:
United
broke
my
guitar
(10M
times)

10. The one question
you should ask
How
likely
are
you
to
recommend
to
a
colleague
or
friend?
The
Net
Promoter
Score

11. Research tips
• First
qualitative
,
then
quantitative
• Mind
the
sampling
(size,
representation)
• First
ask
the
generals,
then
the
specifics
• Interview
secondary
sources
(e.g.
non-­‐
competitive
industry
experts)
as
well
• People
watching
for
deeper
insights
(e.g.
brand
and
media
consumption,
social
and
leisure
time
activities)

12. Research tips 2
• Choose
expandable
online
survey
tools
(e.g.
Google
Docs,
SurveyMonkey
vs.
Infusionsoft,
VerticalResponse,
MailMaster)
• Use
auxiliary
forces
(e.g.
university
stat
labs
for
segmentation,
smaller
agencies
for
focus
group
facilities,
fieldworkers,
screening
• MillwardBrown
TGI
database
in
60+
countries:
fast-­‐track
research

13. Create personas!
Personifying
your
research
insights
helps
understand
how
your
target
audience
thinks
and
feels

14. Update your targeting from time to time!
EARLY
MAJORITY
LATE
MAJORITY
EARLY
ADOPTERS
LAGGARDS
INNOVATORS
The
startup
killer
chasm

15. Differentiate
your business!

16. 93% of advertis
ements are simil
ar

18. The strategic sweet spot
Customers
Competitors
You

19. The Brand Pyramid
EMOTIONAL
EXPERIENCE
DIFFERENTIATING
BENEFITS
COST
OF
ENTRY
FEATURES
AND
BENEFITS
Source:
Paul
Garrison
/
The
Garrison
Group

20. Differentiated, therefore we are
SAFETY DRIVING LUXURY
EXPERIENCE

21. What could make a difference?
Recipe,
component,
patent,
product
feature,
benefit,
packaging,
delivery,
service,
customer
experience,
story,
heritage,
shared
lifestyle,
belief
or
value,
target
group,
operating
model…
terminate,
decrease
increase,
create

22. Branding is not just a logo!
WORLD WANTS
THIS DIGITAL
BRAND C ONSISTENCY

23. How to construct your positioning?
Use
the
following
simple
technique
to
collect,
asses
and
group
features
and
benefits
that
are
related
to
your
small
business
brand
and
competitors
Source:
Paul
Garrison
/
The
Garrison
Group

24. Step 1: Brainstorm all the associations

25. Step 2: Look for patterns

26. Step 3:Transform the areas into
features and customer benefits
FEATURE
/
BENEFIT
1
FEATURE
/
BENEFIT
2
FEATURE
/
BENEFIT
3
FEATURE
/
BENEFIT
4
FEATURE
/
BENEFIT…
FEATURE
/
BENEFIT
5

27. Step 4: Prioritize the features and benefits
EMOTIONAL
EXPERIENCE
DIFFERENTIATING
BENEFITS
COST
OF
ENTRY
FEATURES
AND
BENEFITS

28. Step 5: Repeat for competitors

29. Now it’s your turn!
Group
work
Create
and
present
the
simplified
brand
pyramids
(positioning)
for
the
following
2
competing
brands:
• Group
A:
Coke
vs.
Pepsi
• Group
B:
Dell
vs.
Apple
• Group
C:
Ford
vs.
Volkswagen
• Group
D:
Budapest
vs.
Prague
20
minutes
preparation
+
4
x
2.5
minutes
presentations

30. Let’s have a 10-minute break!

31. Think in
process!

32. Love at first sight?

33. The customer journey

34. The Marketing Hourglass
Based
on
the
Marketing
Hourglass
Concept
by
John
Jantsch
/
Duct
Tape
Marketing

35. Marketing
toolkit

36. Internet
marketing
• Own
website
(hub)
• Email
marketing
(newsletter,
ezine,
eDM)
• Search
engine
marketing
(search
engine
optimization
–
SEO,
PPC
–
e.g.
Google
AdWords)
• Social
media
(blogging,
micro
blogging
–
Twitter,
Facebook,
LinkedIn,
forums,
wikis
etc.)

37. What makes a great website
• Have
customers
in
mind
when
planning
• Contact
details
everywhere
• Fast
downloading
(hosting,
coding)
• No
Flash,
no
jargon
–
please
• Lots
of
content
(search
engines)
• Prioritize
information
• Structured,
visible
links
• Fixed,
ergonomic
navigation
• Search
function
• Platform
independent
(smartphones
too)

38. Advertising
• Print
(dailies,
weeklies,
magazines)
• Radio
• TV
(local,
national),
teletext
• Outdoor
media
(billboard,
citylight,
vehicle
advertising)
• Ambient
media
(disruptive,
creative,
interactive)

39. 2-step direct response advertising
”Nobody
wants
to
be
sold
to,
but
everyone
likes
shopping”
Useful
information,
free
sample,
demo,
trial
version,
unique
discount,
opinion
survey…

40. Ambient

41. Direct
marketing
• Direct
mail
• Postcard
• Small
package,
lumpy
mail
• Coupon
• Leaflet,
brochure
• Catalogue
+
Telemarketing

42. DM tips
• Personalization
• Winning
formula:
headline,
problem,
solution,
answer
objections,
offer,
call
to
action,
PS
• Repetition,
follow
up
• Swipe
file
(collection
of
tested
and
proven
pieces)
• Test,
test,
test
(targeting,
offer,
timing,
creative)!

43. Referral marketing,
word of mouth
• Deserve
it
• Be
interesting
• Target
and
time
• Educate,
make
it
an
expectation
• Make
it
convenient
• Follow
up!
+
Referral
by
different
name

44. Earned media
attention (PR)
• Be
newsworthy
• Target
your
sources
• First
read
and
listen
• Start
small
• Be
consistent
and
patient
• Become
an
expert
source

45. Event marketing
• Seminar,
webinar
• Workshop,
lecture
• Public
speaking
• Trade
show,
roadshow
• Conference,
exhibition…

46. Content marketing

47. Forgotten
tactics

48. Maslow’s hierarchy of needs
SELF-­‐
ACTUALIZATION
LOVE
BELONGING
PHYSIOLOGICAL,
SAFETY

49. The hierarchy of content
Help
me
improve
myself,
my
family
and
the
world
ACHIEVEMENT
Create
entertaining,
sharable
experience
CONNECTION
Provide
valuable
information,
incentives
and
SOLUTION
services
Source:
Bob
Gilbreath
/
Possible
Worldwide

50. Content marketing tools and examples
• Tools:
article,
white
paper,
testimonial,
case
study,
book
(digital,
print,
audio),
newsletter,
magazine,
magalog,
podcast,
mobile
or
Facebook
application,
widget,
industry
ranking,
wiki,
community
site…
endless!
• Examples
– Funny
favorites:
Will
it
blend?
by
Blendtec,
Elf
Yourself
by
OfficeMax
– Check
for
more
at:
http://
www.marketingwithmeaning.com/blog/

51. The Marketing Hourglass
Based
on
the
Marketing
Hourglass
Concept
by
John
Jantsch
/
Duct
Tape
Marketing

52. Planning and
executing your
marketing

53. Sandwich method
Top-­‐down:
industry
benchmarks,
company
life
stage,
profitability,
competitors
Bottom-­‐up:
goal-­‐
and
activity-­‐based
planning
and
budgeting

54. Marketing budget as % of gross revenue
Source:
MarketingSherpa,
2009,
n
=
1
147
Hungary
<
5%
(53%:
<1%),
own
research,
2010,
n
=
400

55. MARKETING CALENDAR
GAP
(goal
and
ac@vity
based
planning)
WHOM
TO
WHAT
TO
HOW?
WHEN?
HOW
TARGET?
ACHIEVE?
MUCH?

56. Managing
your
marketing
• Not
just
set,
but
communicate
your
goals
• Time
management
(appointments
with
yourself)
• Create
a
monthly
theme
• Use
modern
technology
(RSS,
sales-­‐marketing
automation)
• Involve
and
train
your
team
(everyone’s
job)
• Marketing
Committee
• When
hiring,
check
writing
skills
as
well

57. Final buzzwords
• Strategy
first
• Use
guesswork
• Trial
and
error
• Measure!
• System
and
process

58. Home assignment

59. Home assignment
Group
work
Based
on
the
startup
idea
you
had
elaborated
as
a
team,
please
prepare
a
maximum
5-­‐page
document
which
explains
• The
Ideal
Customer
Profile(s)
of
your
business,
describing
and
illustrating
it
as
expressively
as
you
can,
e.g.
using
life
style
collage,
psychographic
descriptions
• Your
differentiating
proposition
(using
the
Brand
Pyramid
and
comparing
it
to
some
possible
competitors)
• A
detailed
marketing
calendar
for
you
first
year
(per
customer
type,
defining
measurable
goals,
activities
etc.)
Deadline:
May
10,
2011
EOD
(please
forward
your
assignments
,
in
doc,
docx
or
pdf
format,
to
the
following
email
address:
istvan.szurop@taktikon.hu)

60. Questions

61. Books to read / sources
• David
Meerman
Scott:
Real-­‐time
Marketing
and
PR
• Fred
Reichheld
:
The
Ultimate
Question
• Geoffrey
A.
Moore:
Crossing
the
Chasm
• Paul
Garrison:
Exponential
Marketing
• Seth
Godin:
Permission
Marketing
/
Meatball
Sundae
/
Purple
Cow
• John
Jantsch:
Duct
Tape
Marketing
• Bob
Gilbreath:
The
Next
Evolution
of
Marketing
• Steven
Gary
Blank:
Four
Steps
to
the
Epiphany

62. Downloadables
Q:InstructorsSzurop
Istvan
OR
http://tkon.li/szuropCEU

63. István
Szurop
istvan.szurop@taktikon.hu
m:
+36
30
281
7302