Showing posts with label Product Line Marketing. Show all posts
Showing posts with label Product Line Marketing. Show all posts
Saturday, March 31, 2012
Learn the Secret of Marketing to the Affluent
You most likely have had this experience.
You go to a store or a trade show with the objective of purchasing something. You present yourself as a ready, willing, and able buyer.
You make it real clear that price was not the key concern yet the sales person was busy selling features and functions of the product and the product’s price. They made no attempt at presenting themselves as the go-to guy or gal.
What you most likely noticed in this type of exchange is that there is no differentiation of their offering; they focus on price.
The thing most marketers and sales people fail to get about affluent clients or customers is that they are, by and large, NOT interested in learning a lot of technical information about WHAT they are going to buy.
Do you know that a very significant percentage of the affluent population pulled themselves up by their bootstraps … they have gone from poor to rich.
Many came from stark or relative poverty, or other difficult circumstances, and are still very much governed by having been poor. They never disconnect emotionally from this past no matter how successful and wealthy they become.
As an example, Walt Disney was once driving from Disneyland to his home when he saw and stopped briefly to admire a particular new car in a showroom window.
While driving home from the showroom, he said aloud to himself “Gee, I wish I could afford one of those.”
It was a half hour later that it occurred to him … “Hey, I can afford that” … so he turned around and drove back to the dealership and bought himself that car.
This reveals a little something about the self-made affluent … while most have unrestricted spending power they are in reality, conflicted about money. They battle guilt, fear, anxiety, and abhor waste.
However, as an Internet Marketing entrepreneur, you may very well find your best customers or clients in the segment of the economy that is comprised of the affluent self-made business owners and entrepreneurs so it is a good idea to learn the secrets of marketing to the affluent.
The personality of the affluent is sharply drawn, with little ambiguity, so they can be the easiest of all to market a wide variety of goods and services to … however you need to understand their profile.
Their profile is comprised of three parts.
First, they are fiercely independent and will not take no for an answer.
Second, they are great admirers of the qualities that got them where they are and if they admire you, they will reward your with their business.
Third, they are searching for value as they define it. They know the value of a dollar and tend to pride themselves on being smart about money and getting good deals.
Examples of this profile include: Donald Trump who bought his oceanfront manor as a bargain during a foreclosure proceedings and recouped his investment by selling all the antiques, antique furniture, and art that came with it and replacing the items with reproductions; the late Sam Walton who drove old pickup trucks; and Warren Buffet who buys his suits off-the-rack, his winter coats in the summer, and brings his lunch to work in a brown paper bag.
What is key to know about selling to the affluent is that their buying behavior is driven by emotions, known as the E-factors and then justified, if necessary, after the fact with logic.
Several of the E-factors include insecurity, fear of being thought of as takers, pride, love, guilt, and greed.
You can profit significantly by giving serious though in how you present your products and services so they are in sync with these E-factors of the affluent.
Many business people have a hard time in terms of selling to affluent clients. They need to learn they only need to provide enough information about how a product works to satisfy a buyer’s curiosity and to reassure them that you are the most knowledgeable resource about the product they are interested in obtaining.
Most affluent buyers are not in the hunt for in-depth technical product knowledge; they are in search of the go-to guy who they can trust to make the best decisions and prescribe the best solutions for them.
It takes a while but many Internet Marketing entrepreneurs learn the secret of Marketing to the Affluent. They learn to identify their target market with keyword research and keyword research tools as they know they can not guess what the market desires; they know their WHO.
To accomplish this, they use various methods, tools, and follow a traffic formula to build relationships with their leads and customers. They build websites that create trust. They collect name and email addresses using an Optin form on a Landing Page. They use email systems with both auto-responders and broadcast capabilities in order to send messages to their leads and customers. These email messages frequently send information, provide knowledge, and occasionally promote an offering. Many Internet Marketing entrepreneurs learn that leads and customers do not like to be sold to however they will browse and shop. Over an extended period of time, skilled Internet Marketers are able to use hypnotic writing skills, in their marketing campaigns, to get leads and customers to take the action they want. This is how they learn to identify a target market, to stay focused, and to add value to their target market. They learn to leverage the equity in their list and be successful in the world that includes Marketing to the Affluent.
It looks easy but marketing is not a game for amateurs. Marketing is not just a battle of products. It is all about the strategy you use to benefit from Marketing to the Affluent.
You can find out more about Internet Marketing and home-based businesses by reading updates that will be posted at my blog over the next few weeks.
A great book to read is "No B.S. Marketing to the Affluent“ by Dan Kennedy of Glazer Kennedy Inner Circle (GKIC) as it was the source of some of the material contained in this post.
In closing, be sure to meet me at my website, WhoIsMikeFarrell, learn some tips about being No 1 on Google at aspenIbiz My Go-To-Market Partners, and learn how to be savvy with your money like the insiders at aspenIbiz The Conspiracy For Your Money Blog.
Be sure to share this post with anyone that you think would benefit from this message… thanks!
Tuesday, February 28, 2012
Learn the Secrets of Automatic Influence for Your Internet Marketing Business
A key skill for Internet Marketers to master is the use of hypnotic writing, sometimes referred to as copywriting, in their marketing campaigns. This skill is necessary in order to get leads and customers to take the action you want them to take.
This post will present the study of compliance and understanding which psychological principles influence the tendency to comply with a request.
These principles are frequently referred to as weapons of influence.
It is important to know these principles as they are used by effective professionals who request you purchase something, you make a donation to something, or you vote for someone.
When used effectively, these principles have the ability to produce a distinct kind of automatic, mindless compliance from people … it is a willingness to say yes without thinking first.
In this ever-accelerating pace and informational crush of modern life, this particular form of unthinking compliance will be more and more prevalent in the future.
It will be increasingly important for the society to understand the how and why of automatic influence.
Here is a brief example of the genius of Coca-Cola and their use of persuasion, influence, and selling.
For more than 100 years, Coca-Cola has been one of the world’s foremost practitioners of what they call “one-way storytelling.” You and I call that an advertisement.
Coke is looking around and realizing that the 30-second television ad won’t take them where they want to go next. So they are turning to the tool that is quickly becoming the most important strategy for smaller businesses and that is content marketing.
For anyone who still thinks that content marketing is some kind of fad, take a look at the thinking (and dollars) going into Coca-Cola’s marketing strategy, aimed at doubling worldwide consumption of Coke by the year 2020.
Here is a look at three strategies from the great and advertising mind of Coca-Cola.
1st – “Liquid and linked” is the phrase Coke’s marketing team is using to describe its developing content strategy. A giant company like Coca-Cola creates countless “stories” every year in the form of a mobile app one day, a viral video another, and a really good television ad the third day. These individual pieces of content are bound together just like the “glass” of Coke gives shape to the whole endeavor. There is a balance between control (keeping your content linked by a coherent idea) and chaos (allowing your content to be liquid and to wander around the Net being shared and even altered along the way).
2nd – The 70/20/10 content plan is a nice framework for a complex content marketing strategy. In this framework, 70% of the content is low-risk bread and butter content. It is less controversial, less risky, and takes less time to prepare. 20% of the content is more in-depth, takes more time and energy to create, and connects more deeply with a well-defined segment of your audience. It innovates off of what is working with your target market and audience. The final 10% is high-risk content. It is the brand new ideas, the wild, hair raising stuff that might work; of course it might also fail.
3rd – Content excellence is to avoid creating noise. Without excellence, the time you spend on content marketing will be entirely wasted. If you can’t create content that is very good, you need to either get better or you need to partner with someone who has the talent to create content that is worth your audience’s attention.
There you have three of Coca-Cola’s ideas about content marketing.
It takes a while but many Internet Marketing entrepreneurs learn about the strategy of Content Marketing. They learn to identify their target market with keyword research and keyword research tools as they know they can not guess what the market desires.
To accomplish this, they use various methods, tools, and follow a traffic formula to build relationships with their leads and customers. They build websites that create trust. They collect name and email addresses using an Optin form on a Landing Page. They use email systems with both auto-responders and broadcast capabilities in order to send messages to their leads and customers. These email messages frequently send information, provide knowledge, and occasionally promote an offering. Many Internet Marketing entrepreneurs learn that leads and customers do not like to be sold to however they will browse and shop. Over an extended period of time, skilled Internet Marketers are able to use hypnotic writing skills, in their marketing campaigns, to get leads and customers to take the action they want. This is how they learn to identify a target market, to stay focused, and to add value to their target market. They learn to leverage the equity in their list and be successful in the world that includes the strategy of Content Marketing.
It looks easy but marketing is not a game for amateurs. Marketing is not just a battle of products. It is all about the strategy you use to benefit from Content Marketing.
You can find out more about Internet Marketing and home-based businesses by reading updates that will be posted at my blog over the next few weeks.
A great book to read is "Influence: the Psychology of Persuasion“ by Robert B. Cialdini as it was the source of some of the material contained in this post.
In closing, be sure to meet me at my website, WhoIsMikeFarrell, learn some tips about being No 1 on Google at aspenIbiz My Go-To-Market Partners, and learn how to be savvy with your money like the insiders at aspenIbiz The Conspiracy For Your Money Blog.
Be sure to share this post with anyone that you think would benefit from this message… thanks!
This post will present the study of compliance and understanding which psychological principles influence the tendency to comply with a request.
These principles are frequently referred to as weapons of influence.
It is important to know these principles as they are used by effective professionals who request you purchase something, you make a donation to something, or you vote for someone.
When used effectively, these principles have the ability to produce a distinct kind of automatic, mindless compliance from people … it is a willingness to say yes without thinking first.
In this ever-accelerating pace and informational crush of modern life, this particular form of unthinking compliance will be more and more prevalent in the future.
It will be increasingly important for the society to understand the how and why of automatic influence.
Here is a brief example of the genius of Coca-Cola and their use of persuasion, influence, and selling.
For more than 100 years, Coca-Cola has been one of the world’s foremost practitioners of what they call “one-way storytelling.” You and I call that an advertisement.
Coke is looking around and realizing that the 30-second television ad won’t take them where they want to go next. So they are turning to the tool that is quickly becoming the most important strategy for smaller businesses and that is content marketing.
For anyone who still thinks that content marketing is some kind of fad, take a look at the thinking (and dollars) going into Coca-Cola’s marketing strategy, aimed at doubling worldwide consumption of Coke by the year 2020.
Here is a look at three strategies from the great and advertising mind of Coca-Cola.
1st – “Liquid and linked” is the phrase Coke’s marketing team is using to describe its developing content strategy. A giant company like Coca-Cola creates countless “stories” every year in the form of a mobile app one day, a viral video another, and a really good television ad the third day. These individual pieces of content are bound together just like the “glass” of Coke gives shape to the whole endeavor. There is a balance between control (keeping your content linked by a coherent idea) and chaos (allowing your content to be liquid and to wander around the Net being shared and even altered along the way).
2nd – The 70/20/10 content plan is a nice framework for a complex content marketing strategy. In this framework, 70% of the content is low-risk bread and butter content. It is less controversial, less risky, and takes less time to prepare. 20% of the content is more in-depth, takes more time and energy to create, and connects more deeply with a well-defined segment of your audience. It innovates off of what is working with your target market and audience. The final 10% is high-risk content. It is the brand new ideas, the wild, hair raising stuff that might work; of course it might also fail.
3rd – Content excellence is to avoid creating noise. Without excellence, the time you spend on content marketing will be entirely wasted. If you can’t create content that is very good, you need to either get better or you need to partner with someone who has the talent to create content that is worth your audience’s attention.
There you have three of Coca-Cola’s ideas about content marketing.
It takes a while but many Internet Marketing entrepreneurs learn about the strategy of Content Marketing. They learn to identify their target market with keyword research and keyword research tools as they know they can not guess what the market desires.
To accomplish this, they use various methods, tools, and follow a traffic formula to build relationships with their leads and customers. They build websites that create trust. They collect name and email addresses using an Optin form on a Landing Page. They use email systems with both auto-responders and broadcast capabilities in order to send messages to their leads and customers. These email messages frequently send information, provide knowledge, and occasionally promote an offering. Many Internet Marketing entrepreneurs learn that leads and customers do not like to be sold to however they will browse and shop. Over an extended period of time, skilled Internet Marketers are able to use hypnotic writing skills, in their marketing campaigns, to get leads and customers to take the action they want. This is how they learn to identify a target market, to stay focused, and to add value to their target market. They learn to leverage the equity in their list and be successful in the world that includes the strategy of Content Marketing.
It looks easy but marketing is not a game for amateurs. Marketing is not just a battle of products. It is all about the strategy you use to benefit from Content Marketing.
You can find out more about Internet Marketing and home-based businesses by reading updates that will be posted at my blog over the next few weeks.
A great book to read is "Influence: the Psychology of Persuasion“ by Robert B. Cialdini as it was the source of some of the material contained in this post.
In closing, be sure to meet me at my website, WhoIsMikeFarrell, learn some tips about being No 1 on Google at aspenIbiz My Go-To-Market Partners, and learn how to be savvy with your money like the insiders at aspenIbiz The Conspiracy For Your Money Blog.
Be sure to share this post with anyone that you think would benefit from this message… thanks!
Tuesday, January 31, 2012
Learn How to Use the Place Strategy that Supports Premium Prices
America divides into niches and subcultures.
Each individual belongs to at least one of each but most belong to several of each.
Understanding how that niche or subculture membership and affinity, stretches the price elasticity of just about all goods and services, can put a great deal of lost money into your bank account.
Simplistically, niches are occupational and vocational; subcultures are by interest, belief, and activity. For example, insurance salespeople are a niche and deer hunters a subculture.
By further subdividing niches and subcultures, you get life insurance salespeople, property and casualty insurance salespeople, and specialized property and casualty; you can even find a niche of insurers for collector cars and rare art works.
In the subculture space, you can find deer hunters who use only bow and arrow and deer hunters who only hunt in the Midwest.
Most people have very strong identification with, and affinity to, whatever niches, sub-niches, and subcultures to which they think they belong to and they tend to buy a lot of things somehow linked to those niches and subcultures.
The deeper the commitment to niche or subculture, the less price matters for the precisely matched product. More price elasticity exists when moving a generic product to the niche.
Several key links about product / place / pricing must be cut. One link that must be cut is the value, in your mind, of the ingredients that comprise the product. Another link that must be cut is that some product comprised of the exact same ingredients may be readily available at a substantially different price, at a different place. Cutting this link is essential.
Place in this context is not necessarily a geographic place but a niche or subculture.
Again, price pressure goes up, if you can move a product from generic or mainstream, to niche or subculture. This why we add value to a generic product; it makes it customized or match a specific niche or subculture or client or customer.
Here are several key lessons to follow in order keep from being stupid with your Place Strategy. You must learn to make your sales in a competitive vacuum or you must get comfortable with selling at dirt-cheap, forced-down prices with nominal or commodity like profits.
Lesson 1 – Avoid loading the wagon and then wonder who might buy what you have to offer.
Lesson 2 – Avoid one product, one size fits all approach. Modify, reposition, repackage what you have for different markets or different segments.
Lesson 3 – Avoid treating all places (such as media) the same. While there is undoubtedly some cross-over between The Robb Report, New Yorker, and Town & Country, do not put the same generic add in all 3 magazines and expect stellar results; it will not happen.
Lesson 4 – Do not miss out on “unique” place opportunities. Nationally, or locally; offline or online, there are lots of unique place and media opportunities. Find and decide on these first; then work backwards to modify or engineer a version of your product or service for that place.
Lesson 5 – The riches are in the niches so don’t insist on one, simple business instead of a dozen small, market-matched vertical business under one umbrella. Some want to push out their generic offer to everybody and anybody instead of modifying and customizing their offering into a dozen niche markets because it is too much work; avoid this stupid thinking.
Lesson 6 – Almost everybody works harder than necessary for each dollar they make than selling in a place that limits price rather than a place that liberates it. For example, a John Wayne figurine sells in a lot of places for $15, $20, maybe $25 however in Cowboys & Indians Magazine, it can sell for $135 because people looking for cowboy stuff know they can go to this place, find what they are looking for, and don’t need to look all over, even if the price is less expensive. As an enticement, the seller might even add a simple ebook with a bio and list of John Wayne movies as a way of creating a simple John Wayne package, justifying the higher price in the mind of the buyer and differentiating themselves from those just selling the figurine. In this example, go where buyers of cowboy stuff go.
Lesson 7 –There is an app that lets you wave your phone over any item’s bar code in any store and instantly get prices on that item from Amazon and other e-commerce discounters. Avoid selling something easily commoditized and price compared in a place where such comparison is easy as that spells DOOM. If you insist on creating interest, offline, for item “x” in a new prospect’s mind, and then drive that prospect online, you are a market maker for six billion competitors and you are asking to be Google slapped. Learn to make sales in a competitive vacuum or you must get comfortable with selling dirt-cheap, forced-down prices and nominal profits.
If you follow these 7 lessons, you are able to get price out of the mind of a buyer of the products and services of your business. If you do not follow them, you will always be in a position where price is always an issue in the mind of the buyer and you will likely be challenged and always be suppressed by competition and commoditization.
It takes a while but many Internet Marketing entrepreneurs learn the Place Strategy. They learn to identify their target market with keyword research and keyword research tools as they know they can not guess what the market desires.
To accomplish this, they use various methods, tools, and follow a traffic formula to build relationships with their leads and customers. They build websites that create trust. They collect name and email addresses using an Optin form on a Landing Page. They use email systems with both auto-responders and broadcast capabilities in order to send messages to their leads and customers. These email messages frequently send information, provide knowledge, and occasionally promote an offering. Many Internet Marketing entrepreneurs learn that leads and customers do not like to be sold to however they will browse and shop. Over an extended period of time, skilled Internet Marketers are able to use hypnotic writing skills, in their marketing campaigns, to get leads and customers to take the action they want. This is how they learn to identify a target market, stay focused, and add value to their target market. They learn to leverage the equity in their list and be successful in the world that includes the Place Strategy.
It looks easy but marketing is not a game for amateurs. Marketing is not just a battle of products. It is all about the strategy you use to benefit from the Place Strategy.
You can find out more about Internet Marketing and home-based businesses by reading updates that will be posted at my blog over the next few weeks.
A great book to read is "No B.S. Price Strategy“ by Dan S Kennedy as it was the source of some of the material contained in this post.
In closing, be sure to meet me at my website, WhoIsMikeFarrell, learn some tips about being No 1 on Google at aspenIbiz My Go-To-Market Partners, and learn how to be savvy with your money like the insiders at aspenIbiz The Conspiracy For Your Money Blog.
Since this is the first post on this blog for the year, I would like to provide Best Wishes for a Prosperous New Year!
Be sure to share this post with anyone that you think would benefit from this message… thanks!
Each individual belongs to at least one of each but most belong to several of each.
Understanding how that niche or subculture membership and affinity, stretches the price elasticity of just about all goods and services, can put a great deal of lost money into your bank account.
Simplistically, niches are occupational and vocational; subcultures are by interest, belief, and activity. For example, insurance salespeople are a niche and deer hunters a subculture.
By further subdividing niches and subcultures, you get life insurance salespeople, property and casualty insurance salespeople, and specialized property and casualty; you can even find a niche of insurers for collector cars and rare art works.
In the subculture space, you can find deer hunters who use only bow and arrow and deer hunters who only hunt in the Midwest.
Most people have very strong identification with, and affinity to, whatever niches, sub-niches, and subcultures to which they think they belong to and they tend to buy a lot of things somehow linked to those niches and subcultures.
The deeper the commitment to niche or subculture, the less price matters for the precisely matched product. More price elasticity exists when moving a generic product to the niche.
Several key links about product / place / pricing must be cut. One link that must be cut is the value, in your mind, of the ingredients that comprise the product. Another link that must be cut is that some product comprised of the exact same ingredients may be readily available at a substantially different price, at a different place. Cutting this link is essential.
Place in this context is not necessarily a geographic place but a niche or subculture.
Again, price pressure goes up, if you can move a product from generic or mainstream, to niche or subculture. This why we add value to a generic product; it makes it customized or match a specific niche or subculture or client or customer.
Here are several key lessons to follow in order keep from being stupid with your Place Strategy. You must learn to make your sales in a competitive vacuum or you must get comfortable with selling at dirt-cheap, forced-down prices with nominal or commodity like profits.
Lesson 1 – Avoid loading the wagon and then wonder who might buy what you have to offer.
Lesson 2 – Avoid one product, one size fits all approach. Modify, reposition, repackage what you have for different markets or different segments.
Lesson 3 – Avoid treating all places (such as media) the same. While there is undoubtedly some cross-over between The Robb Report, New Yorker, and Town & Country, do not put the same generic add in all 3 magazines and expect stellar results; it will not happen.
Lesson 4 – Do not miss out on “unique” place opportunities. Nationally, or locally; offline or online, there are lots of unique place and media opportunities. Find and decide on these first; then work backwards to modify or engineer a version of your product or service for that place.
Lesson 5 – The riches are in the niches so don’t insist on one, simple business instead of a dozen small, market-matched vertical business under one umbrella. Some want to push out their generic offer to everybody and anybody instead of modifying and customizing their offering into a dozen niche markets because it is too much work; avoid this stupid thinking.
Lesson 6 – Almost everybody works harder than necessary for each dollar they make than selling in a place that limits price rather than a place that liberates it. For example, a John Wayne figurine sells in a lot of places for $15, $20, maybe $25 however in Cowboys & Indians Magazine, it can sell for $135 because people looking for cowboy stuff know they can go to this place, find what they are looking for, and don’t need to look all over, even if the price is less expensive. As an enticement, the seller might even add a simple ebook with a bio and list of John Wayne movies as a way of creating a simple John Wayne package, justifying the higher price in the mind of the buyer and differentiating themselves from those just selling the figurine. In this example, go where buyers of cowboy stuff go.
Lesson 7 –There is an app that lets you wave your phone over any item’s bar code in any store and instantly get prices on that item from Amazon and other e-commerce discounters. Avoid selling something easily commoditized and price compared in a place where such comparison is easy as that spells DOOM. If you insist on creating interest, offline, for item “x” in a new prospect’s mind, and then drive that prospect online, you are a market maker for six billion competitors and you are asking to be Google slapped. Learn to make sales in a competitive vacuum or you must get comfortable with selling dirt-cheap, forced-down prices and nominal profits.
If you follow these 7 lessons, you are able to get price out of the mind of a buyer of the products and services of your business. If you do not follow them, you will always be in a position where price is always an issue in the mind of the buyer and you will likely be challenged and always be suppressed by competition and commoditization.
It takes a while but many Internet Marketing entrepreneurs learn the Place Strategy. They learn to identify their target market with keyword research and keyword research tools as they know they can not guess what the market desires.
To accomplish this, they use various methods, tools, and follow a traffic formula to build relationships with their leads and customers. They build websites that create trust. They collect name and email addresses using an Optin form on a Landing Page. They use email systems with both auto-responders and broadcast capabilities in order to send messages to their leads and customers. These email messages frequently send information, provide knowledge, and occasionally promote an offering. Many Internet Marketing entrepreneurs learn that leads and customers do not like to be sold to however they will browse and shop. Over an extended period of time, skilled Internet Marketers are able to use hypnotic writing skills, in their marketing campaigns, to get leads and customers to take the action they want. This is how they learn to identify a target market, stay focused, and add value to their target market. They learn to leverage the equity in their list and be successful in the world that includes the Place Strategy.
It looks easy but marketing is not a game for amateurs. Marketing is not just a battle of products. It is all about the strategy you use to benefit from the Place Strategy.
You can find out more about Internet Marketing and home-based businesses by reading updates that will be posted at my blog over the next few weeks.
A great book to read is "No B.S. Price Strategy“ by Dan S Kennedy as it was the source of some of the material contained in this post.
In closing, be sure to meet me at my website, WhoIsMikeFarrell, learn some tips about being No 1 on Google at aspenIbiz My Go-To-Market Partners, and learn how to be savvy with your money like the insiders at aspenIbiz The Conspiracy For Your Money Blog.
Since this is the first post on this blog for the year, I would like to provide Best Wishes for a Prosperous New Year!
Be sure to share this post with anyone that you think would benefit from this message… thanks!
Tuesday, November 29, 2011
Positioning Yourself and Your Business for Maximum Success
Positioning is admittedly an advertising buzzword but it is legitimately one of the most important marketing concepts you will ever consider in your business career.
One of the definitions of positioning is the controlling how your customers and prospective customers think and feel about your business in comparison to other, similar businesses competing for their attention.
Here are several positioning strategies that may seem obvious but many people overlook the obvious and cost themselves a lot of money as a result.
Positioning Strategy 1 – How to Describe What You Do to Attract the Customers You Want.
Let’s start with the name of your business. The best business names telegraph what the business does. For example, Dunkin Donuts is better than Starbucks. At the start, Apple and Amazon were mystery names however obviously they are now hugely successful brand name companies. The question you have to ask is whether or not you want to invest an enormous amount of money and patience in creating awareness and understanding of what your name represents or to start with a name that clearly represents what your business is and does.
Positioning Strategy 2 – How to Price.
You don’t ever want to be in a business that obtained its customers with the lure of “lowest prices.” You cannot build long-term customer retention via the cheapest price. The way you get a customer has great impact on how you will sell to that customer again. There will always be someone willing to offer a cheaper price. If the only thing binding your customers to your company is the lowest price, your business will be as fragile in its tenth year as in its tenth week.
Be sure to sell quality, value, service, and unique benefits; do not sell price.
One of the most interesting things about price is not its impact on profit and income but its impact on positioning. Often, under-pricing sends the wrong message. The business owner thinks he is optimizing sales by offering the lowest price possible but he actually creating skepticism and causing discerning customers to look elsewhere.
In the New Economy, the successful businesses, based on factors other than low or aggressively competitive pricing, outnumber successful businesses that feature low or lowest price promises by at least 500 to 1. Be sure to play the odds.
Positioning Strategy 3 – How to Make Your Image Work for You.
To be perceived as successful and trustworthy in your business, you must match the image of a successful business in your field.
Places of business, product packaging, literature, and advertising, all are subject to the same image concerns as are individual appearances.
We are taught that you can’t judge a book by its cover but we can’t help but judge a book by its cover. You will be judged that way, too!
Most businesses are better served by thinking about their marketing tools as “salesmanship in media” rather than as “advertising.” In simple terms, copy is king. Message matters most. Yes, the wrong presentation for a given market can sabotage event the best message. But the more common error is a beautiful presentation of – nothing.
Ultimately, there must be appropriate marriage of substance and style to make your image work for you. Customer’s expectations must be met and exceeded, anxiety avoided, reassurance given by the image presented by you, your staff, your physical location, and your marketing material.
Positioning Strategy 4 – Self-Appointment.
When we are kids, our parents “appoint us” old enough to stay home alone or old enough to babysit our younger brothers or sisters.
At work, employers or supervisors “promote us” as qualified to do a certain thing or handle a certain responsibility.
This conditioning is not particularly useful when you step into the world of owning your own business.
Please understand that you do not need anybody’s permission to be successful. If you wait for someone to grant you the permission to be successful, you will wait a long, long time.
Business success just is not conferred upon you.
Power and influence is not granted – it is taken.
Expert positioning is all about self-appointment, self-promotion, and self-aggrandizement. Make this note: you become a promotable expert by decision, acquisition, and organization of information, pronouncement, and promotion. Not by anointment by some authority on high.
How do you do this? Write books, give teleseminars, build lists of customers interested in your product or service.
Your positioning decision is the difference between a six-figure income and a seven-figure income based on investor partnering potential, with many clients, as this is the income-multiplying power of positioning.
In positioning yourself and your business for success, you have to clearly determine who you are, then drive that message home to your marketplace. It is also important to make the right decision as the marketplace will usually accept the positioning you chose for yourself, and present to others, as you really are in control of the positioning.
Many high profile business leaders, including the Oracle of Omaha, suggest that if you don’t focus on positioning yourself as an online entrepreneur, being self-employed, or being a small business owner, it will be a very tough road in the months and years ahead; actually they say, it will be an uphill battle.
This suggestion is attracting current and former doctors, CEOs, and other members of the corporate workforce that are seeking a way to leave their established and lucrative careers. They are in pursuit of new opportunities in the world of Social Media and Internet Marketing so they can generate income, prestige, independence, and financial rewards that exceed the levels obtained by most in their previous careers.
You can find out more about Internet Marketing and home-based businesses by reading updates that will be posted at my blog over the next few weeks.
A great book to read is "No B.S. Business Success in the New Economy" by Dan S Kennedy as it was the source of some of the material contained in this post.
In closing, be sure to meet me at my website, WhoIsMikeFarrell, learn some tips about being No 1 on Google at aspenIbiz My Go-To-Market Partners, and learn how to be savvy with your money like the insiders at aspenIbiz The Conspiracy For Your Money Blog.
Finally, I would like to provide Best Wishes for a Happy Holiday Season and a Prosperous New Year!
Be sure to share this post with anyone that you think would benefit from this message… thanks!
One of the definitions of positioning is the controlling how your customers and prospective customers think and feel about your business in comparison to other, similar businesses competing for their attention.
Here are several positioning strategies that may seem obvious but many people overlook the obvious and cost themselves a lot of money as a result.
Positioning Strategy 1 – How to Describe What You Do to Attract the Customers You Want.
Let’s start with the name of your business. The best business names telegraph what the business does. For example, Dunkin Donuts is better than Starbucks. At the start, Apple and Amazon were mystery names however obviously they are now hugely successful brand name companies. The question you have to ask is whether or not you want to invest an enormous amount of money and patience in creating awareness and understanding of what your name represents or to start with a name that clearly represents what your business is and does.
Positioning Strategy 2 – How to Price.
You don’t ever want to be in a business that obtained its customers with the lure of “lowest prices.” You cannot build long-term customer retention via the cheapest price. The way you get a customer has great impact on how you will sell to that customer again. There will always be someone willing to offer a cheaper price. If the only thing binding your customers to your company is the lowest price, your business will be as fragile in its tenth year as in its tenth week.
Be sure to sell quality, value, service, and unique benefits; do not sell price.
One of the most interesting things about price is not its impact on profit and income but its impact on positioning. Often, under-pricing sends the wrong message. The business owner thinks he is optimizing sales by offering the lowest price possible but he actually creating skepticism and causing discerning customers to look elsewhere.
In the New Economy, the successful businesses, based on factors other than low or aggressively competitive pricing, outnumber successful businesses that feature low or lowest price promises by at least 500 to 1. Be sure to play the odds.
Positioning Strategy 3 – How to Make Your Image Work for You.
To be perceived as successful and trustworthy in your business, you must match the image of a successful business in your field.
Places of business, product packaging, literature, and advertising, all are subject to the same image concerns as are individual appearances.
We are taught that you can’t judge a book by its cover but we can’t help but judge a book by its cover. You will be judged that way, too!
Most businesses are better served by thinking about their marketing tools as “salesmanship in media” rather than as “advertising.” In simple terms, copy is king. Message matters most. Yes, the wrong presentation for a given market can sabotage event the best message. But the more common error is a beautiful presentation of – nothing.
Ultimately, there must be appropriate marriage of substance and style to make your image work for you. Customer’s expectations must be met and exceeded, anxiety avoided, reassurance given by the image presented by you, your staff, your physical location, and your marketing material.
Positioning Strategy 4 – Self-Appointment.
When we are kids, our parents “appoint us” old enough to stay home alone or old enough to babysit our younger brothers or sisters.
At work, employers or supervisors “promote us” as qualified to do a certain thing or handle a certain responsibility.
This conditioning is not particularly useful when you step into the world of owning your own business.
Please understand that you do not need anybody’s permission to be successful. If you wait for someone to grant you the permission to be successful, you will wait a long, long time.
Business success just is not conferred upon you.
Power and influence is not granted – it is taken.
Expert positioning is all about self-appointment, self-promotion, and self-aggrandizement. Make this note: you become a promotable expert by decision, acquisition, and organization of information, pronouncement, and promotion. Not by anointment by some authority on high.
How do you do this? Write books, give teleseminars, build lists of customers interested in your product or service.
Your positioning decision is the difference between a six-figure income and a seven-figure income based on investor partnering potential, with many clients, as this is the income-multiplying power of positioning.
In positioning yourself and your business for success, you have to clearly determine who you are, then drive that message home to your marketplace. It is also important to make the right decision as the marketplace will usually accept the positioning you chose for yourself, and present to others, as you really are in control of the positioning.
Many high profile business leaders, including the Oracle of Omaha, suggest that if you don’t focus on positioning yourself as an online entrepreneur, being self-employed, or being a small business owner, it will be a very tough road in the months and years ahead; actually they say, it will be an uphill battle.
This suggestion is attracting current and former doctors, CEOs, and other members of the corporate workforce that are seeking a way to leave their established and lucrative careers. They are in pursuit of new opportunities in the world of Social Media and Internet Marketing so they can generate income, prestige, independence, and financial rewards that exceed the levels obtained by most in their previous careers.
You can find out more about Internet Marketing and home-based businesses by reading updates that will be posted at my blog over the next few weeks.
A great book to read is "No B.S. Business Success in the New Economy" by Dan S Kennedy as it was the source of some of the material contained in this post.
In closing, be sure to meet me at my website, WhoIsMikeFarrell, learn some tips about being No 1 on Google at aspenIbiz My Go-To-Market Partners, and learn how to be savvy with your money like the insiders at aspenIbiz The Conspiracy For Your Money Blog.
Finally, I would like to provide Best Wishes for a Happy Holiday Season and a Prosperous New Year!
Be sure to share this post with anyone that you think would benefit from this message… thanks!
Friday, September 30, 2011
Finding Balance with Career Changes
What would it be like to quit your job and start over in a more appealing career?
If you are an older worker, youi may think that a major career change would require overcoming too many obstacles to be worthwhile like age discrimination, new technology, or a salary cut.
However the real obstacles to a midlife career change may reside in your own mind.
Here are several myths surrounding a midlife career change and these keep people from pursuing their dream job.
Myth 1. I am too old to make a career change. Without changing your perception of your capabilities, you will never make a successful career change. Unfortunately, while younger workers are often expected to explore different career paths, older workers are not encouraged to do so. And if you have progressed up the corporate ladder to an enviable position, friends and family may be shocked you would consider leaving success for uncharted waters. With this much pressure to stay put, it can be easy to allow your dream job to remain only a dream. Some serious soul-searching is needed to understand how and why you want your career to change, so you will have the conviction to stand up to others.
You can have access to one of the most powerful tools for self-improvement and goal attainment, so necessary in making a career change, by learning the techniques of Psycho-Cybernetics. In the book “The New Psycho-Cybernetics” Dan Kennedy updates the work of Maxwell Maltz. Kennedy explains that by using the techniques covered in this book, you will be able to improve your self-image and overcome limiting beliefs especially the myth that you are too old to make a career change.
Myth 2. If I make a career change, I will be starting at the bottom. Even though you may be new at a company, you are not the newbie you were when you entered the workforce. You have gained an impressive array of skills, plus you have professional wisdom and perspective acquired only through time. The key to bypassing entry-level status is to market these assets in your next interview.
Your life story and experience have greater importance and market value than you probably ever dreamed. The best way to make a difference in this world is to use your knowledge and advice to help others succeed. You can get paid, and bypass the entry-level status, by sharing your advice and how-to-information.
Myth 3. This old dog can’t learn new tricks. Says who? Of course there will be a learning curve to any new career you try. But isn’t having a new professional challenge part of why you seek this change? The goal is to find your innate strengths and interests.
Said another way is that once you know Why you want to do something, you will figure out How to do something… it is just natures way. Why is the reason we get out of bed in the morning. If you spring out of bed, you have a Why that is real, defined, and you believe in. If you have difficulty getting out of bed in the morning, then you need to find your Why. Simon Sinek provides examples in his book “Start with Why”. The Wright Brothers had a Why that was to develop a technology that would change the world. Steve Jobs of Apple had a Why which was to create value by disrupting the status quo in certain industries. Henry Ford wanted to provide a means of transportation for the common man not just to provide a faster horse. The power of learning something new comes from that part of our brain called the limbric brain and this power is astounding. It can influence us to do things that seem illogical or irrational. Without this power there would be no small businesses; there would be no exploration; there would be very little innovation; and there would be no great leaders to inspire all these things.
If these myths are stopping you from pursuing a career change in your midlife, expand your thinking about your capabilities instead of focusing on what you see holding you back. Also, consider that accepting these myths is easier than taking a risk. If you were to read the book “Start with Why” by Simon Sinek, it would fan the flames inside you, lead you to levels of excellence you never considered attainable, and debunk the myths surrounding a midlife career change.
If you are ready to take the professional plunge into a new career then you should “Go for it” with these words of caution.
Keep your expectations realistic. If you have been fantasizing that your dream job will be the antidote to your personal and professional troubles, you may be glorifying what a new career can really do. Research the economic outlook and job duties for your new career.
Give it time. Deciding to venture into a new career can mean changes in your work environment, coworkers, income, and how you view yourself. Even if your new position is something you have always wanted to do, all these changes can be a shock. Before calling it quits, allow enough time to let the dust settle and adjust to your new profession.
Know yourself. You have a history of professional and personal experience to draw from when determining your natural strengths. Think about what you truly enjoy, what you do well, and what you are proud of. Is there a underlying theme?
Another opportunity being considered by many seeking a career change is a home-based business opportunity. A home business can offer people a way to update their skills and use new tools to create new income opportunities. It can empower seasoned workers, seeking to a make a career change, to venture out on their own as entrepreneurs and grow in confidence, versus being consumed by the fear associated with a shrinking job market.
Technology is available to everyone at home and it is even better than what you can get in a large company. The best tools and support needed to run a home-based business are now available to individuals at an affordable cost. This makes a home-based business opportunity very appealing.
Many high profile business leaders, including the Oracle of Omaha, suggest that if you don’t focus on being an online entrepreneur, being self-employed, or being a small business owner, it will be a very tough road in the months and years ahead; actually they say, it will be an uphill battle.
This suggestion is attracting current and former doctors, CEOs, and other members of the corporate workforce that are seeking a way to leave their established and lucrative careers. They are in pursuit of new opportunities in the world of Social Media and Internet Marketing so they can generate income, prestige, independence, and financial rewards that exceed the levels obtained by most in their previous careers.
You can find out more about Internet Marketing and home-based businesses by reading updates that will be posted at my blog over the next few weeks.
Finally, a great book to read is "Linchpin" by Seth Godin as it explains to each of us how we can make an indispensable contribution to something we care about.
In closing, be sure to meet me at my website, WhoIsMikeFarrell, learn some tips about being No 1 on Google at aspenIbiz My Go-To-Market Partners, and learn how to be savvy with your money like the insiders at aspenIbiz The Conspiracy For Your Money Blog.
Please share this post with anyone that you think would benefit from this message!
If you are an older worker, youi may think that a major career change would require overcoming too many obstacles to be worthwhile like age discrimination, new technology, or a salary cut.
However the real obstacles to a midlife career change may reside in your own mind.
Here are several myths surrounding a midlife career change and these keep people from pursuing their dream job.
Myth 1. I am too old to make a career change. Without changing your perception of your capabilities, you will never make a successful career change. Unfortunately, while younger workers are often expected to explore different career paths, older workers are not encouraged to do so. And if you have progressed up the corporate ladder to an enviable position, friends and family may be shocked you would consider leaving success for uncharted waters. With this much pressure to stay put, it can be easy to allow your dream job to remain only a dream. Some serious soul-searching is needed to understand how and why you want your career to change, so you will have the conviction to stand up to others.
You can have access to one of the most powerful tools for self-improvement and goal attainment, so necessary in making a career change, by learning the techniques of Psycho-Cybernetics. In the book “The New Psycho-Cybernetics” Dan Kennedy updates the work of Maxwell Maltz. Kennedy explains that by using the techniques covered in this book, you will be able to improve your self-image and overcome limiting beliefs especially the myth that you are too old to make a career change.
Myth 2. If I make a career change, I will be starting at the bottom. Even though you may be new at a company, you are not the newbie you were when you entered the workforce. You have gained an impressive array of skills, plus you have professional wisdom and perspective acquired only through time. The key to bypassing entry-level status is to market these assets in your next interview.
Your life story and experience have greater importance and market value than you probably ever dreamed. The best way to make a difference in this world is to use your knowledge and advice to help others succeed. You can get paid, and bypass the entry-level status, by sharing your advice and how-to-information.
Myth 3. This old dog can’t learn new tricks. Says who? Of course there will be a learning curve to any new career you try. But isn’t having a new professional challenge part of why you seek this change? The goal is to find your innate strengths and interests.
Said another way is that once you know Why you want to do something, you will figure out How to do something… it is just natures way. Why is the reason we get out of bed in the morning. If you spring out of bed, you have a Why that is real, defined, and you believe in. If you have difficulty getting out of bed in the morning, then you need to find your Why. Simon Sinek provides examples in his book “Start with Why”. The Wright Brothers had a Why that was to develop a technology that would change the world. Steve Jobs of Apple had a Why which was to create value by disrupting the status quo in certain industries. Henry Ford wanted to provide a means of transportation for the common man not just to provide a faster horse. The power of learning something new comes from that part of our brain called the limbric brain and this power is astounding. It can influence us to do things that seem illogical or irrational. Without this power there would be no small businesses; there would be no exploration; there would be very little innovation; and there would be no great leaders to inspire all these things.
If these myths are stopping you from pursuing a career change in your midlife, expand your thinking about your capabilities instead of focusing on what you see holding you back. Also, consider that accepting these myths is easier than taking a risk. If you were to read the book “Start with Why” by Simon Sinek, it would fan the flames inside you, lead you to levels of excellence you never considered attainable, and debunk the myths surrounding a midlife career change.
If you are ready to take the professional plunge into a new career then you should “Go for it” with these words of caution.
Keep your expectations realistic. If you have been fantasizing that your dream job will be the antidote to your personal and professional troubles, you may be glorifying what a new career can really do. Research the economic outlook and job duties for your new career.
Give it time. Deciding to venture into a new career can mean changes in your work environment, coworkers, income, and how you view yourself. Even if your new position is something you have always wanted to do, all these changes can be a shock. Before calling it quits, allow enough time to let the dust settle and adjust to your new profession.
Know yourself. You have a history of professional and personal experience to draw from when determining your natural strengths. Think about what you truly enjoy, what you do well, and what you are proud of. Is there a underlying theme?
Another opportunity being considered by many seeking a career change is a home-based business opportunity. A home business can offer people a way to update their skills and use new tools to create new income opportunities. It can empower seasoned workers, seeking to a make a career change, to venture out on their own as entrepreneurs and grow in confidence, versus being consumed by the fear associated with a shrinking job market.
Technology is available to everyone at home and it is even better than what you can get in a large company. The best tools and support needed to run a home-based business are now available to individuals at an affordable cost. This makes a home-based business opportunity very appealing.
Many high profile business leaders, including the Oracle of Omaha, suggest that if you don’t focus on being an online entrepreneur, being self-employed, or being a small business owner, it will be a very tough road in the months and years ahead; actually they say, it will be an uphill battle.
This suggestion is attracting current and former doctors, CEOs, and other members of the corporate workforce that are seeking a way to leave their established and lucrative careers. They are in pursuit of new opportunities in the world of Social Media and Internet Marketing so they can generate income, prestige, independence, and financial rewards that exceed the levels obtained by most in their previous careers.
You can find out more about Internet Marketing and home-based businesses by reading updates that will be posted at my blog over the next few weeks.
Finally, a great book to read is "Linchpin" by Seth Godin as it explains to each of us how we can make an indispensable contribution to something we care about.
In closing, be sure to meet me at my website, WhoIsMikeFarrell, learn some tips about being No 1 on Google at aspenIbiz My Go-To-Market Partners, and learn how to be savvy with your money like the insiders at aspenIbiz The Conspiracy For Your Money Blog.
Please share this post with anyone that you think would benefit from this message!
Monday, August 29, 2011
The Law of Resources – An Idea Will Not Get Off the Ground Without Adequate Funding
If you have a good idea and you are reading this article with the thought in mind that all you need is a little marketing help, let me through cold water on that thought.
Even the best idea in the world will not go very far without the money to get it off the ground. Inventors, entrepreneurs, and assorted idea generators seem to think that all their good ideas need is professional marketing help.
Nothing could be further from the truth. Marketing is a game fought in the mind of the prospect. You need money to get into a mind. And you need money to stay in the mind once you get there.
You will get further with a mediocre idea and a million dollars than with a great idea alone.
Some entrepreneurs see advertising as the solution to the problem of getting into prospects’ minds. Advertising is expensive. It cost $9,000 a minute to fight World War II. It cost $22,000 a minute to fight the Vietnam War. A one-minute commercial shown during the Super Bowl in 2011 cost you $6 M for a one minute spot.
Steve Jobs and Steve Wozniak had a great idea. But it was Mike Markkula’s $91,000 that put Apple Computer on the map. For his money, Markkula got one-third of Apple.
Ideas without money are worthless. Well … not quite. But you have to use your idea to find the money not the marketing help. The marketing can come later.
Some entrepreneurs see publicity as a cheap way of getting into prospects’ minds. “Free advertising” is how they see it, so be sure to liberally create, upload, and distribute Free Press Releases.
Some entrepreneurs see venture capitalists as the solution to their money problems. But only a tiny percentage of entrepreneurs ever succeed in finding the funding they need this way.
Some entrepreneurs see corporate America as ready, willing, and financially able to get their off-spring off the ground. Good luck as you will need it. Very few outside ideas are ever accepted by large companies. Your only real hope is finding a smaller company and persuading it of the merits of your idea.
Remember, an idea without money is worthless. Be prepared to give away a lot for the funding.
In marketing the rich often get richer because they have the resources to drive their ideas into the mind. Their problem is separating the good ideas from the bad ones and avoiding spending money on too many products and too many programs.
Unlike a consumer product, a technical or business product has to raise less marketing money because the prospect list is shorter and media is less expensive. But there is still a need for adequate funding for a technical product to pay for brochures, sales, presentations, and trade shows as well as advertising.
Here is the bottom line. First get the idea, then go get the money to exploit it. Here are some short cuts you could take.
You can marry the money. Georgette Mosbacher married Commerce Secretary Robert Mosbacher. Three years after their marriage, Ms. Mosbacher bought a Swiss cosmetics firm. Where did she get the money? It came from venture capitalists; distributors in Switzerland and Japan; plus her husband’s resources. One year after her purchase, the sales were up 30% and she sold out at a heft profit.
You can divorce the money. Frances Lear arrived in New York at the age of 61 freshly divorced from her husband who produced the TV show “All in the Family.” Determined to launch a magazine for women over 40, she spent $25 million and by the fifth issue, Lear’s magazine had 350,000 readers.
You can find the money at home. Donald Trump would never have gotten anywhere with out Dad’s millions behind him.
You can share your idea by franchising it. Tom Monaghan was able to put Domino’s Pizza on the map by pursuing an aggressive program of franchising his home delivery idea.
The more successful marketers front load their investment. In other words, they take no profit for two or three years as they plow all earnings back into marketing.
It takes a while but many Internet Marketing entrepreneurs learn the Law of Resources. They learn to identify their target market with keyword research and keyword research tools as they know they can not guess what the market desires and it is difficult to benefit from their idea without resources. Money makes the marketing world go around. If you want to be successful today, you will have to find the money you need to spin those marketing wheels.
To accomplish this, they use various methods, tools, and follow a traffic formula to build relationships with their leads and customers. They build websites that create trust. They collect name and email addresses using an Optin form on a Landing Page. They use email systems with both auto-responders and broadcast capabilities in order to send messages to their leads and customers. These email messages frequently send information, provide knowledge, and occasionally promote an offering. Many Internet Marketing entrepreneurs learn that leads and customers do not like to be sold to however they will browse and shop. Over an extended period of time, skilled Internet Marketers are able to use hypnotic writing skills, in their marketing campaigns, to get leads and customers to take the action they want. This is how they learn to identify a target market, stay focused, and add value to their target market. They learn to leverage the equity in their list and be successful in the world that includes the Law of Resources.
It looks easy but marketing is not a game for amateurs. Marketing is not just a battle of products. It is all about the strategy you use to benefit from the Law of Resources as your idea will not get off the ground without adequate funding.
You can find out more about Internet Marketing and home-based businesses by reading updates that will be posted at my blog over the next few weeks.
Finally, a great book to read is "The 22 Immutable Laws of Marketing" by Ries & Trout. It is the source of some of the material provided in this article.
In closing, be sure to meet me at my website, WhoIsMikeFarrell, learn some tips about being No 1 on Google at aspenIbiz My Go-To-Market Partners, and learn how to be savvy with your money like the insiders at aspenIbiz The Conspiracy For Your Money Blog.
Even the best idea in the world will not go very far without the money to get it off the ground. Inventors, entrepreneurs, and assorted idea generators seem to think that all their good ideas need is professional marketing help.
Nothing could be further from the truth. Marketing is a game fought in the mind of the prospect. You need money to get into a mind. And you need money to stay in the mind once you get there.
You will get further with a mediocre idea and a million dollars than with a great idea alone.
Some entrepreneurs see advertising as the solution to the problem of getting into prospects’ minds. Advertising is expensive. It cost $9,000 a minute to fight World War II. It cost $22,000 a minute to fight the Vietnam War. A one-minute commercial shown during the Super Bowl in 2011 cost you $6 M for a one minute spot.
Steve Jobs and Steve Wozniak had a great idea. But it was Mike Markkula’s $91,000 that put Apple Computer on the map. For his money, Markkula got one-third of Apple.
Ideas without money are worthless. Well … not quite. But you have to use your idea to find the money not the marketing help. The marketing can come later.
Some entrepreneurs see publicity as a cheap way of getting into prospects’ minds. “Free advertising” is how they see it, so be sure to liberally create, upload, and distribute Free Press Releases.
Some entrepreneurs see venture capitalists as the solution to their money problems. But only a tiny percentage of entrepreneurs ever succeed in finding the funding they need this way.
Some entrepreneurs see corporate America as ready, willing, and financially able to get their off-spring off the ground. Good luck as you will need it. Very few outside ideas are ever accepted by large companies. Your only real hope is finding a smaller company and persuading it of the merits of your idea.
Remember, an idea without money is worthless. Be prepared to give away a lot for the funding.
In marketing the rich often get richer because they have the resources to drive their ideas into the mind. Their problem is separating the good ideas from the bad ones and avoiding spending money on too many products and too many programs.
Unlike a consumer product, a technical or business product has to raise less marketing money because the prospect list is shorter and media is less expensive. But there is still a need for adequate funding for a technical product to pay for brochures, sales, presentations, and trade shows as well as advertising.
Here is the bottom line. First get the idea, then go get the money to exploit it. Here are some short cuts you could take.
You can marry the money. Georgette Mosbacher married Commerce Secretary Robert Mosbacher. Three years after their marriage, Ms. Mosbacher bought a Swiss cosmetics firm. Where did she get the money? It came from venture capitalists; distributors in Switzerland and Japan; plus her husband’s resources. One year after her purchase, the sales were up 30% and she sold out at a heft profit.
You can divorce the money. Frances Lear arrived in New York at the age of 61 freshly divorced from her husband who produced the TV show “All in the Family.” Determined to launch a magazine for women over 40, she spent $25 million and by the fifth issue, Lear’s magazine had 350,000 readers.
You can find the money at home. Donald Trump would never have gotten anywhere with out Dad’s millions behind him.
You can share your idea by franchising it. Tom Monaghan was able to put Domino’s Pizza on the map by pursuing an aggressive program of franchising his home delivery idea.
The more successful marketers front load their investment. In other words, they take no profit for two or three years as they plow all earnings back into marketing.
It takes a while but many Internet Marketing entrepreneurs learn the Law of Resources. They learn to identify their target market with keyword research and keyword research tools as they know they can not guess what the market desires and it is difficult to benefit from their idea without resources. Money makes the marketing world go around. If you want to be successful today, you will have to find the money you need to spin those marketing wheels.
To accomplish this, they use various methods, tools, and follow a traffic formula to build relationships with their leads and customers. They build websites that create trust. They collect name and email addresses using an Optin form on a Landing Page. They use email systems with both auto-responders and broadcast capabilities in order to send messages to their leads and customers. These email messages frequently send information, provide knowledge, and occasionally promote an offering. Many Internet Marketing entrepreneurs learn that leads and customers do not like to be sold to however they will browse and shop. Over an extended period of time, skilled Internet Marketers are able to use hypnotic writing skills, in their marketing campaigns, to get leads and customers to take the action they want. This is how they learn to identify a target market, stay focused, and add value to their target market. They learn to leverage the equity in their list and be successful in the world that includes the Law of Resources.
It looks easy but marketing is not a game for amateurs. Marketing is not just a battle of products. It is all about the strategy you use to benefit from the Law of Resources as your idea will not get off the ground without adequate funding.
You can find out more about Internet Marketing and home-based businesses by reading updates that will be posted at my blog over the next few weeks.
Finally, a great book to read is "The 22 Immutable Laws of Marketing" by Ries & Trout. It is the source of some of the material provided in this article.
In closing, be sure to meet me at my website, WhoIsMikeFarrell, learn some tips about being No 1 on Google at aspenIbiz My Go-To-Market Partners, and learn how to be savvy with your money like the insiders at aspenIbiz The Conspiracy For Your Money Blog.
Friday, July 29, 2011
The Law of Acceleration – Successful program are not built on fads, they are built on trends
A fad is a wave in the ocean and a trend is the tide.
A fad gets a lot of hype and a trend gets very little.
Like a wave, a fad is very visible but it goes up and down in a big hurry. Like the tide, a trend is almost invisible but it is very powerful over the long term.
A fad is a short-term phenomenon that might be profitable but a fad does not last long enough to do a company much good. Furthermore, a company often tends to gear up as if a fad were a trend. As a result, the company is often stuck with a lot of staff, expensive manufacturing facilities, and distribution networks.
A fashion, on the other hand, is a fad that repeats itself. Examples are short skirts for women and double breasted suits for men. Halley’s Comet is a fashion because it comes back every 75 years or so.
When the fad disappears, a company often goes into a deep financial shock. What happened to Atari is typical in this respect. And look how Coleco Industries handled the Cabbage Patch Kids. Those homely dools hit the market and started to take off. Coleco’s strategy was to milk the kids for all they were worth.
Hundreds of Cabbage Patch novelties flooded the toy stores. Pens, pencils, crayon boxes, games, clothing. Two years later, Coleco racked up sales of $776 million and profits of $83 million. Then the bottom dropped out of the Cabbage patch Kids. A few years later, Coleco went into Chapter 11.
Coleco died but the kids live on. Acquired by Hasbro, the Cabbage Patch Kids are now being handled conservatively and doing quite well.
Here is the paradox. If you were faced with a rapidly rising business, with all the characteristics of a fad, the best thing you could do would be to dampen the fad. By dampening the fad, you stretch the fad out and it becomes more like a trend.
You see this in the toy business. Some owners of hot toys want to put their hot toy name on everything. The result is that it becomes an enormous fad that is bound to collapse. When everybody has a Ninja turtle, nobody wants one anymore.
The Ninja turtle is a good example of a fad that collapses in a hurry because the owner of the concept got greedy. The owner fans the fad rather than dampening it.
On the other hand, the Barbie doll is a trend. When Barbie was invented year ago, the doll was never heavily merchandised into other areas. As a result, the Barbie doll has become a long-term trend in the toy business.
The most successful entertainers are the ones who control their appearances. They do not overextend themselves. They are not all over the place. They do not wear out their welcome.
Elvis Presley’s manager, Colonel Parker, made a deliberate attempt to restrict the number of appearances and records the King made. As a result, every time Elvis appeared, it was an event of enormous impact. Elvis himself contributed to this strategy by overdosing early and severely dampening his future appearances, as did Marilyn Monroe and James Dean.
Forget fads. And when they appear, try to dampen them.
But the best and most profitable thing to ride in marketing is a long-term trend.
It takes a while but many Internet Marketing entrepreneurs learn the Law of Acceleration. They learn to identify their target market with keyword research and keyword research tools as they know they can not guess what the market desires and it is difficult to benefit from all the hype. They work hard to maintain a long-term demand for their product and to never totally satisfy the demand … they enforce some scarcity.
To accomplish this, they use various methods, tools, and follow a traffic formula to build relationships with their leads and customers. They build websites that create trust. They collect name and email addresses using an Optin form on a Landing Page. They use email systems with both auto-responders and broadcast capabilities in order to send messages to their leads and customers. These email messages frequently send information, provide knowledge, and occasionally promote an offering. Many Internet Marketing entrepreneurs learn that leads and customers do not like to be sold to however they will browse and shop. Over an extended period of time, skilled Internet Marketers are able to use hypnotic writing skills, in their marketing campaigns, to get leads and customers to take the action they want. This is how they learn to identify a target market, stay focused, and add value to their target market. They learn to leverage the equity in their list and be successful in the world that includes the Law of Acceleration.
It looks easy but marketing is not a game for amateurs. Marketing is not a battle of products. It is all about the strategy you use to benefit from the Law of Acceleration as successful program are not built on fads, they are built on trends.
You can find out more about Internet Marketing and home-based businesses by reading updates that will be posted at my blog over the next few weeks.
Finally, a great book to read is "The 22 Immutable Laws of Marketing" by Ries & Trout. It is the source of some of the material provided in this article.
In closing, be sure to meet me at my website, WhoIsMikeFarrell, learn some tips about being No 1 on Google at aspenIbiz My Go-To-Market Partners, and learn how to be savvy with your money like the insiders at aspenIbiz The Conspiracy For Your Money Blog.
A fad gets a lot of hype and a trend gets very little.
Like a wave, a fad is very visible but it goes up and down in a big hurry. Like the tide, a trend is almost invisible but it is very powerful over the long term.
A fad is a short-term phenomenon that might be profitable but a fad does not last long enough to do a company much good. Furthermore, a company often tends to gear up as if a fad were a trend. As a result, the company is often stuck with a lot of staff, expensive manufacturing facilities, and distribution networks.
A fashion, on the other hand, is a fad that repeats itself. Examples are short skirts for women and double breasted suits for men. Halley’s Comet is a fashion because it comes back every 75 years or so.
When the fad disappears, a company often goes into a deep financial shock. What happened to Atari is typical in this respect. And look how Coleco Industries handled the Cabbage Patch Kids. Those homely dools hit the market and started to take off. Coleco’s strategy was to milk the kids for all they were worth.
Hundreds of Cabbage Patch novelties flooded the toy stores. Pens, pencils, crayon boxes, games, clothing. Two years later, Coleco racked up sales of $776 million and profits of $83 million. Then the bottom dropped out of the Cabbage patch Kids. A few years later, Coleco went into Chapter 11.
Coleco died but the kids live on. Acquired by Hasbro, the Cabbage Patch Kids are now being handled conservatively and doing quite well.
Here is the paradox. If you were faced with a rapidly rising business, with all the characteristics of a fad, the best thing you could do would be to dampen the fad. By dampening the fad, you stretch the fad out and it becomes more like a trend.
You see this in the toy business. Some owners of hot toys want to put their hot toy name on everything. The result is that it becomes an enormous fad that is bound to collapse. When everybody has a Ninja turtle, nobody wants one anymore.
The Ninja turtle is a good example of a fad that collapses in a hurry because the owner of the concept got greedy. The owner fans the fad rather than dampening it.
On the other hand, the Barbie doll is a trend. When Barbie was invented year ago, the doll was never heavily merchandised into other areas. As a result, the Barbie doll has become a long-term trend in the toy business.
The most successful entertainers are the ones who control their appearances. They do not overextend themselves. They are not all over the place. They do not wear out their welcome.
Elvis Presley’s manager, Colonel Parker, made a deliberate attempt to restrict the number of appearances and records the King made. As a result, every time Elvis appeared, it was an event of enormous impact. Elvis himself contributed to this strategy by overdosing early and severely dampening his future appearances, as did Marilyn Monroe and James Dean.
Forget fads. And when they appear, try to dampen them.
But the best and most profitable thing to ride in marketing is a long-term trend.
It takes a while but many Internet Marketing entrepreneurs learn the Law of Acceleration. They learn to identify their target market with keyword research and keyword research tools as they know they can not guess what the market desires and it is difficult to benefit from all the hype. They work hard to maintain a long-term demand for their product and to never totally satisfy the demand … they enforce some scarcity.
To accomplish this, they use various methods, tools, and follow a traffic formula to build relationships with their leads and customers. They build websites that create trust. They collect name and email addresses using an Optin form on a Landing Page. They use email systems with both auto-responders and broadcast capabilities in order to send messages to their leads and customers. These email messages frequently send information, provide knowledge, and occasionally promote an offering. Many Internet Marketing entrepreneurs learn that leads and customers do not like to be sold to however they will browse and shop. Over an extended period of time, skilled Internet Marketers are able to use hypnotic writing skills, in their marketing campaigns, to get leads and customers to take the action they want. This is how they learn to identify a target market, stay focused, and add value to their target market. They learn to leverage the equity in their list and be successful in the world that includes the Law of Acceleration.
It looks easy but marketing is not a game for amateurs. Marketing is not a battle of products. It is all about the strategy you use to benefit from the Law of Acceleration as successful program are not built on fads, they are built on trends.
You can find out more about Internet Marketing and home-based businesses by reading updates that will be posted at my blog over the next few weeks.
Finally, a great book to read is "The 22 Immutable Laws of Marketing" by Ries & Trout. It is the source of some of the material provided in this article.
In closing, be sure to meet me at my website, WhoIsMikeFarrell, learn some tips about being No 1 on Google at aspenIbiz My Go-To-Market Partners, and learn how to be savvy with your money like the insiders at aspenIbiz The Conspiracy For Your Money Blog.
Thursday, June 30, 2011
The Law of Hype – The Situation Is Often the Opposite of the Way it Appears in the Press
This year (circa 2011) marks the 100th birthday of IBM and over these years, when IBM was successful, the company said very little.
When things are going well, a company does not need the hype. When you need the hype, it usually means you are in trouble.
Young and inexperienced reporters and editors tend to be more impressed by what they read in other publications than by what they gather themselves. Once the hype starts, it often continues on and on.
No newspaper has received more hype than USA Today. At its launch a number of years ago were the president of the United States, the speaker of the House of Representatives, and the majority leader of the U.S. Senate. The residue of this initial hype is still so great that most people can not believe USA Today is a loser.
History is filled with marketing failures that were successful in the press. The Tucker 48, the U.S. Football League, the personal helicopter, and polyester suits. The essence of the hype was not just that the new product was going to be successful. The essence of the hype was that existing products would now be obsolete.
Polyester was going to make wool obsolete. The personal helicopter was going to make the roads and highways obsolete. The Tucker 48 with its cyclop’s eye headlight would revolutionize the way Detroit makes automobiles however only 51 were ever built.
These predictions violate the law of unpredictability. No one can predict the future, not even a sophisticated reporter for the Wall Street Journal. The only revolutions you can predict are the ones that have already started.
Did anyone predict the overthrow of communism and the Soviet Union? Not really. It was only after the process had started that the press jumped on the “crumbling communist empire” story.
Forget the front page. If you are looking for clues to the future, look in the back of the paper for those innocuous little stories.
Over the years, the greatest hype has been for those developments that promise to single-handedly change an entire industry, preferably one that is vital to the American economy.
Remember the helicopter hype after World War II? They hype was that every garage would house a helicopter, making roads, bridges, and the entire automobile industry obsolete overnight. Did Donald Trump get a helicopter? Did you get yours? The Donald actually did get his.
From time to time, no-frills food makes the headlines. It is reported that this development will revolutionize the packaged-goods industry. Brands are out. People will read the labels and buy products on their merits rather than on the size of the brand’s advertising budget. It is all hype.
But for the most part, hype is hype. Real revolutions do not arrive at high noon with marching bands and coverage on the 6 pm news. Real revolutions arrive unannounced in the middle of the night and kind of sneak up on you.
It takes a while but many Internet Marketing entrepreneurs learn the Law of Hype. They learn to identify their target market with keyword research and keyword research tools as they know they can not guess what the market desires and it is difficult to benefit from all the hype.
To accomplish this, they use various methods, tools, and follow a traffic formula to build relationships with their leads and customers. They build websites that create trust. They collect name and email addresses using an Optin form on a Landing Page. They use email systems with both auto-responders and broadcast capabilities in order to send messages to their leads and customers. These email messages frequently send information, provide knowledge, and occasionally promote an offering. Many Internet Marketing entrepreneurs learn that leads and customers do not like to be sold to however they will browse and shop. Over an extended period of time, skilled Internet Marketers are able to use hypnotic writing skills, in their marketing campaigns, to get leads and customers to take the action they want. This is how they learn to identify a target market, stay focused, and add value to their target market. They learn to leverage the equity in their list and be successful in the world that includes the Law of Hype.
It looks easy but marketing is not a game for amateurs. Marketing is not a battle of products. It is all about the strategy you use to benefit from the Law of Hype is often the opposite of the way it appears in the press.
You can find out more about Internet Marketing and home-based businesses by reading updates that will be posted at my blog over the next few weeks.
Finally, a great book to read is "The 22 Immutable Laws of Marketing" by Ries & Trout. It is the source of some of the material provided in this article.
In closing, be sure to meet me at my website, WhoIsMikeFarrell, learn some tips about being No 1 on Google at aspenIbiz My Go-To-Market Partners, and learn how to be savvy with your money like the insiders at aspenIbiz The Conspiracy For Your Money Blog.
When things are going well, a company does not need the hype. When you need the hype, it usually means you are in trouble.
Young and inexperienced reporters and editors tend to be more impressed by what they read in other publications than by what they gather themselves. Once the hype starts, it often continues on and on.
No newspaper has received more hype than USA Today. At its launch a number of years ago were the president of the United States, the speaker of the House of Representatives, and the majority leader of the U.S. Senate. The residue of this initial hype is still so great that most people can not believe USA Today is a loser.
History is filled with marketing failures that were successful in the press. The Tucker 48, the U.S. Football League, the personal helicopter, and polyester suits. The essence of the hype was not just that the new product was going to be successful. The essence of the hype was that existing products would now be obsolete.
Polyester was going to make wool obsolete. The personal helicopter was going to make the roads and highways obsolete. The Tucker 48 with its cyclop’s eye headlight would revolutionize the way Detroit makes automobiles however only 51 were ever built.
These predictions violate the law of unpredictability. No one can predict the future, not even a sophisticated reporter for the Wall Street Journal. The only revolutions you can predict are the ones that have already started.
Did anyone predict the overthrow of communism and the Soviet Union? Not really. It was only after the process had started that the press jumped on the “crumbling communist empire” story.
Forget the front page. If you are looking for clues to the future, look in the back of the paper for those innocuous little stories.
Over the years, the greatest hype has been for those developments that promise to single-handedly change an entire industry, preferably one that is vital to the American economy.
Remember the helicopter hype after World War II? They hype was that every garage would house a helicopter, making roads, bridges, and the entire automobile industry obsolete overnight. Did Donald Trump get a helicopter? Did you get yours? The Donald actually did get his.
From time to time, no-frills food makes the headlines. It is reported that this development will revolutionize the packaged-goods industry. Brands are out. People will read the labels and buy products on their merits rather than on the size of the brand’s advertising budget. It is all hype.
But for the most part, hype is hype. Real revolutions do not arrive at high noon with marching bands and coverage on the 6 pm news. Real revolutions arrive unannounced in the middle of the night and kind of sneak up on you.
It takes a while but many Internet Marketing entrepreneurs learn the Law of Hype. They learn to identify their target market with keyword research and keyword research tools as they know they can not guess what the market desires and it is difficult to benefit from all the hype.
To accomplish this, they use various methods, tools, and follow a traffic formula to build relationships with their leads and customers. They build websites that create trust. They collect name and email addresses using an Optin form on a Landing Page. They use email systems with both auto-responders and broadcast capabilities in order to send messages to their leads and customers. These email messages frequently send information, provide knowledge, and occasionally promote an offering. Many Internet Marketing entrepreneurs learn that leads and customers do not like to be sold to however they will browse and shop. Over an extended period of time, skilled Internet Marketers are able to use hypnotic writing skills, in their marketing campaigns, to get leads and customers to take the action they want. This is how they learn to identify a target market, stay focused, and add value to their target market. They learn to leverage the equity in their list and be successful in the world that includes the Law of Hype.
It looks easy but marketing is not a game for amateurs. Marketing is not a battle of products. It is all about the strategy you use to benefit from the Law of Hype is often the opposite of the way it appears in the press.
You can find out more about Internet Marketing and home-based businesses by reading updates that will be posted at my blog over the next few weeks.
Finally, a great book to read is "The 22 Immutable Laws of Marketing" by Ries & Trout. It is the source of some of the material provided in this article.
In closing, be sure to meet me at my website, WhoIsMikeFarrell, learn some tips about being No 1 on Google at aspenIbiz My Go-To-Market Partners, and learn how to be savvy with your money like the insiders at aspenIbiz The Conspiracy For Your Money Blog.
Sunday, May 29, 2011
The Law of Failure – Failure is to be expected and accepted
Too many companies try to fix things rather than drop things. “Let’s reorganize to save the situation” is their way of life.
Admitting a mistake and not doing anything about it is bad for your career: A better strategy is to recognize failure early and cut your losses. Many years ago, IBM should have dropped copiers and Xerox should have dropped computers years before they finally recognized their mistakes.
The Japanese seem to be able to admit a mistake early and then make the necessary changes. Their consensus management style tends to eliminate the ego. Since a large number of people have a small piece of a big decision, there is not stigma that can be considered career damaging. In other words, it is a lot easier to live with “We were all wrong” than the devastating “I was wrong.”
This egoless approach is a major factor in making the Japanese such relentless marketers. It is not that they do not make mistakes, but when they do, they admit them, fix them, and just keep coming.
The hugely successful WalMart has another approach that enables the company to deal with failure. It is called Sam Walton’s “ready, aim, fire” approach. It is an outgrowth of his penchant for constant tinkering.
Walton was well aware that nobody hits the target every time. But at WalMart, people aren’t punished if their experiments fail. As WalMart’s chief executive said in a Business Week article, “If you learn something and you’re trying something, then you probably get credit for it. But woe to the person who makes the same mistake twice.”
WalMart is different from many large corporations because, so far, it appears to be free of an insidious disease called the “personal agenda” that can creep into any corporation. Marketing decisions are often made first with the decision maker’s career in mind and second with the impact on the competition or the enemy in mind. There is a built-in conflict between the personal and the corporate agenda.
This leads to failure to take risks. (It is hard to be first in a new category without sticking our neck out). When the senior executive has a high salary and a short time to retirement, a bold move is highly unlikely.
Ever junior executives often make “safe” decisions so as to not disrupt their progress up the corporate ladder. Nobody has ever been fired for a bold move they did not make.
In some American companies nothing gets done unless it benefits the personal agenda of someone in top management. This severely limits the potential marketing moves a company can make. An idea gets rejected not because it is not fundamentally sound but because no one in top management will personally benefit from its success.
One way to defuse the personal agenda factor is to bring it out in the open. 3M uses the “champion” system to publicly identify the person who will benefit from the success of a new product or venture. The successful introduction of 3M’s Post-It Notes illustrates how the concept works. Art Fry is the 3M scientist who championed the Post-It Notes product, which took almost a dozen years to bring to market.
While the 3M system works, in theory the ideal environment would allow managers to judge a concept on its merits, not on whom the concept would benefit.
If a company is going to operate in an ideal way, it will take teamwork, esprit de corps, and a self-sacrificing leader: One immediately thinks of Patton and his Third Army and its dash across France. No army in history took as much territory and as many prisoners in as short a period of time.
Patton’s reward? Eisenhower fired him.
Small companies are mentally closer to the front line than big companies. They have not been tainted by the Law of Failure. That might be one reason why they grow more rapidly and are viewed as the engine to revive the economy.
It takes a while but many Internet Marketing entrepreneurs learn the Law of Failure. They learn to identify their target market with keyword research and keyword research tools as they know they can not guess what the market desires nor can they predict the future.
To accomplish this, they use various methods, tools, and follow a traffic formula to build relationships with their leads and customers. They build websites that create trust. They collect name and email addresses using an Optin form on a Landing Page. They use email systems with both auto-responders and broadcast capabilities in order to send messages to their leads and customers. These email messages frequently send information, provide knowledge, and occasionally promote an offering. Many Internet Marketing entrepreneurs learn that leads and customers do not like to be sold to however they will browse and shop. Over an extended period of time, skilled Internet Marketers are able to use hypnotic writing skills, in their marketing campaigns, to get leads and customers to take the action they want. This is how they learn to identify a target market, stay focused, and add value to their target market. They learn to leverage the equity in their list and be successful in the world that includes the Law of Failure.
It looks easy but marketing is not a game for amateurs. Marketing is not a battle of products. It is all about the strategy you use to benefit from the Law of Failure as no one can predict the future with any degree of certainty.
You can find out more about Internet Marketing and home-based businesses by reading updates that will be posted at my blog over the next few weeks.
Finally, a great book to read is "The 22 Immutable Laws of Marketing" by Ries & Trout. It is the source of some of the material provided in this article.
In closing, be sure to meet me at my website, WhoIsMikeFarrell, learn some tips about being No 1 on Google at aspenIbiz My Go-To-Market Partners, and learn how to be savvy with your money like the insiders at aspenIbiz The Conspiracy For Your Money Blog.
Admitting a mistake and not doing anything about it is bad for your career: A better strategy is to recognize failure early and cut your losses. Many years ago, IBM should have dropped copiers and Xerox should have dropped computers years before they finally recognized their mistakes.
The Japanese seem to be able to admit a mistake early and then make the necessary changes. Their consensus management style tends to eliminate the ego. Since a large number of people have a small piece of a big decision, there is not stigma that can be considered career damaging. In other words, it is a lot easier to live with “We were all wrong” than the devastating “I was wrong.”
This egoless approach is a major factor in making the Japanese such relentless marketers. It is not that they do not make mistakes, but when they do, they admit them, fix them, and just keep coming.
The hugely successful WalMart has another approach that enables the company to deal with failure. It is called Sam Walton’s “ready, aim, fire” approach. It is an outgrowth of his penchant for constant tinkering.
Walton was well aware that nobody hits the target every time. But at WalMart, people aren’t punished if their experiments fail. As WalMart’s chief executive said in a Business Week article, “If you learn something and you’re trying something, then you probably get credit for it. But woe to the person who makes the same mistake twice.”
WalMart is different from many large corporations because, so far, it appears to be free of an insidious disease called the “personal agenda” that can creep into any corporation. Marketing decisions are often made first with the decision maker’s career in mind and second with the impact on the competition or the enemy in mind. There is a built-in conflict between the personal and the corporate agenda.
This leads to failure to take risks. (It is hard to be first in a new category without sticking our neck out). When the senior executive has a high salary and a short time to retirement, a bold move is highly unlikely.
Ever junior executives often make “safe” decisions so as to not disrupt their progress up the corporate ladder. Nobody has ever been fired for a bold move they did not make.
In some American companies nothing gets done unless it benefits the personal agenda of someone in top management. This severely limits the potential marketing moves a company can make. An idea gets rejected not because it is not fundamentally sound but because no one in top management will personally benefit from its success.
One way to defuse the personal agenda factor is to bring it out in the open. 3M uses the “champion” system to publicly identify the person who will benefit from the success of a new product or venture. The successful introduction of 3M’s Post-It Notes illustrates how the concept works. Art Fry is the 3M scientist who championed the Post-It Notes product, which took almost a dozen years to bring to market.
While the 3M system works, in theory the ideal environment would allow managers to judge a concept on its merits, not on whom the concept would benefit.
If a company is going to operate in an ideal way, it will take teamwork, esprit de corps, and a self-sacrificing leader: One immediately thinks of Patton and his Third Army and its dash across France. No army in history took as much territory and as many prisoners in as short a period of time.
Patton’s reward? Eisenhower fired him.
Small companies are mentally closer to the front line than big companies. They have not been tainted by the Law of Failure. That might be one reason why they grow more rapidly and are viewed as the engine to revive the economy.
It takes a while but many Internet Marketing entrepreneurs learn the Law of Failure. They learn to identify their target market with keyword research and keyword research tools as they know they can not guess what the market desires nor can they predict the future.
To accomplish this, they use various methods, tools, and follow a traffic formula to build relationships with their leads and customers. They build websites that create trust. They collect name and email addresses using an Optin form on a Landing Page. They use email systems with both auto-responders and broadcast capabilities in order to send messages to their leads and customers. These email messages frequently send information, provide knowledge, and occasionally promote an offering. Many Internet Marketing entrepreneurs learn that leads and customers do not like to be sold to however they will browse and shop. Over an extended period of time, skilled Internet Marketers are able to use hypnotic writing skills, in their marketing campaigns, to get leads and customers to take the action they want. This is how they learn to identify a target market, stay focused, and add value to their target market. They learn to leverage the equity in their list and be successful in the world that includes the Law of Failure.
It looks easy but marketing is not a game for amateurs. Marketing is not a battle of products. It is all about the strategy you use to benefit from the Law of Failure as no one can predict the future with any degree of certainty.
You can find out more about Internet Marketing and home-based businesses by reading updates that will be posted at my blog over the next few weeks.
Finally, a great book to read is "The 22 Immutable Laws of Marketing" by Ries & Trout. It is the source of some of the material provided in this article.
In closing, be sure to meet me at my website, WhoIsMikeFarrell, learn some tips about being No 1 on Google at aspenIbiz My Go-To-Market Partners, and learn how to be savvy with your money like the insiders at aspenIbiz The Conspiracy For Your Money Blog.
Thursday, April 28, 2011
The Law of Success
Ego is the enemy of successful marketing.
Objectivity is what’s needed.
When people become successful, they tend to become less objective. They often substitute their own judgment for what the market wants.
Donald Trump is an example of people blinded early by success and untainted by humilty. And when you are blind, it is indeed hard to focus.
Trump’s strategy was to put his name on everything, committing the cardinal sin of line extension. Denial seems to go hand in hand with a big ego. When first meeting the Donald, he will frequently begin with a discussion about how people accuse him of having a big ego; which he denies. However, while he is speaking, it is hard to avoid noticing big T symbols all around; so much for the sermons about not having a big ego.
Success is often the fatal element behind the rash of line extensions. When a brand is successful, the company assumes the name is the primary reason for the brand’s success. So they promptly look for other products to plaster the name on.
Actually it is the opposite. The name did not make the brand famous (although a bad name might keep the brand from becoming famous). The brand got famous because you made the right marketing moves. In other words, the steps you took were in tune with the fundamental laws of marketing.
You got into the mind first. You narrowed the focus. You preempted a powerful attribute.
Your success puffs up your ego to such an extent that you put the famous name on other products. Result: early success and long-term failure as illustrated by the actions of Donald Trump.
The more you identify with your brand or corporate name, the more likely you are to fall into the line extension trap. It can’t be the name, you might be thinking when things go wrong. We have a great name. Pride goeth before destruction and a haughty spirit before a fall.
One aspect of the problem is the allocation of time; too many industry activities, too many outside board meetings, too many testimonial dinners.
According to a recent survey, the average CEO spends 18 hours a week on outside activities. The next time waster is internal meetings with approx 17 hours a week attending corporate meetings and 6 hours a week preparing for those meetings.
Since the typical top executive works 60 hours a week, this leaves only 20 hours for everything else including managing the operation and going down to the front line. No wonder the chief executives delegate the marketing function, which is a big mistake.
Marketing is too important to be turned over to an underling. If you delegate anything, you should delegate the chairmanship of the next fund-raising drive; like the VP of the US attends state funerals, not the president.
The next activity to cut back is the time spent on the meetings. Instead of talking things over, walk out and see for yourself. As Gorbachev told Reagan, “It is better to see once than to hear a hundred times.”
Small companies are mentally closer to the front than big companies. That might be one reason why they grow more rapidly and viewed as the engine to revive the economy. They have not been tainted by the law of success.
It takes a while but many Internet Marketing entrepreneurs learn the Law of Success. They learn to identify their target market with keyword research and keyword research tools as they know they can not guess what the market desires nor can they predict the future.
To accomplish this, they use various methods, tools, and follow a traffic formula to build relationships with their leads and customers. They build websites that create trust. They collect name and email addresses using an Optin form on a Landing Page. They use email systems with both auto-responders and broadcast capabilities in order to send messages to their leads and customers. These email messages frequently send information, provide knowledge, and occasionally promote an offering. Many Internet Marketing entrepreneurs learn that leads and customers do not like to be sold to however they will browse and shop. Over an extended period of time, skilled Internet Marketers are able to use hypnotic writing skills, in their marketing campaigns, to get leads and customers to take the action they want. This is how they learn to identify a target market, stay focused, and add value to their target market. They learn to leverage the equity in their list and be successful in the world that includes the Law of Success.
It looks easy but marketing is not a game for amateurs. Marketing is not a battle of products. It is all about the strategy you use to benefit from the Law of Success as no one can predict the future with any degree of certainty.
You can find out more about Internet Marketing and home-based businesses by reading updates that will be posted at my blog over the next few weeks.
Finally, a great book to read is "The 22 Immutable Laws of Marketing" by Ries & Trout. It is the source of some of the material provided in this article.
In closing, be sure to meet me at my website, WhoIsMikeFarrell, learn some tips about being No 1 on Google at aspenIbiz My Go-To-Market Partners, and learn how to be savvy with your money like the insiders at aspenIbiz The Conspiracy For Your Money Blog.
Objectivity is what’s needed.
When people become successful, they tend to become less objective. They often substitute their own judgment for what the market wants.
Donald Trump is an example of people blinded early by success and untainted by humilty. And when you are blind, it is indeed hard to focus.
Trump’s strategy was to put his name on everything, committing the cardinal sin of line extension. Denial seems to go hand in hand with a big ego. When first meeting the Donald, he will frequently begin with a discussion about how people accuse him of having a big ego; which he denies. However, while he is speaking, it is hard to avoid noticing big T symbols all around; so much for the sermons about not having a big ego.
Success is often the fatal element behind the rash of line extensions. When a brand is successful, the company assumes the name is the primary reason for the brand’s success. So they promptly look for other products to plaster the name on.
Actually it is the opposite. The name did not make the brand famous (although a bad name might keep the brand from becoming famous). The brand got famous because you made the right marketing moves. In other words, the steps you took were in tune with the fundamental laws of marketing.
You got into the mind first. You narrowed the focus. You preempted a powerful attribute.
Your success puffs up your ego to such an extent that you put the famous name on other products. Result: early success and long-term failure as illustrated by the actions of Donald Trump.
The more you identify with your brand or corporate name, the more likely you are to fall into the line extension trap. It can’t be the name, you might be thinking when things go wrong. We have a great name. Pride goeth before destruction and a haughty spirit before a fall.
One aspect of the problem is the allocation of time; too many industry activities, too many outside board meetings, too many testimonial dinners.
According to a recent survey, the average CEO spends 18 hours a week on outside activities. The next time waster is internal meetings with approx 17 hours a week attending corporate meetings and 6 hours a week preparing for those meetings.
Since the typical top executive works 60 hours a week, this leaves only 20 hours for everything else including managing the operation and going down to the front line. No wonder the chief executives delegate the marketing function, which is a big mistake.
Marketing is too important to be turned over to an underling. If you delegate anything, you should delegate the chairmanship of the next fund-raising drive; like the VP of the US attends state funerals, not the president.
The next activity to cut back is the time spent on the meetings. Instead of talking things over, walk out and see for yourself. As Gorbachev told Reagan, “It is better to see once than to hear a hundred times.”
Small companies are mentally closer to the front than big companies. That might be one reason why they grow more rapidly and viewed as the engine to revive the economy. They have not been tainted by the law of success.
It takes a while but many Internet Marketing entrepreneurs learn the Law of Success. They learn to identify their target market with keyword research and keyword research tools as they know they can not guess what the market desires nor can they predict the future.
To accomplish this, they use various methods, tools, and follow a traffic formula to build relationships with their leads and customers. They build websites that create trust. They collect name and email addresses using an Optin form on a Landing Page. They use email systems with both auto-responders and broadcast capabilities in order to send messages to their leads and customers. These email messages frequently send information, provide knowledge, and occasionally promote an offering. Many Internet Marketing entrepreneurs learn that leads and customers do not like to be sold to however they will browse and shop. Over an extended period of time, skilled Internet Marketers are able to use hypnotic writing skills, in their marketing campaigns, to get leads and customers to take the action they want. This is how they learn to identify a target market, stay focused, and add value to their target market. They learn to leverage the equity in their list and be successful in the world that includes the Law of Success.
It looks easy but marketing is not a game for amateurs. Marketing is not a battle of products. It is all about the strategy you use to benefit from the Law of Success as no one can predict the future with any degree of certainty.
You can find out more about Internet Marketing and home-based businesses by reading updates that will be posted at my blog over the next few weeks.
Finally, a great book to read is "The 22 Immutable Laws of Marketing" by Ries & Trout. It is the source of some of the material provided in this article.
In closing, be sure to meet me at my website, WhoIsMikeFarrell, learn some tips about being No 1 on Google at aspenIbiz My Go-To-Market Partners, and learn how to be savvy with your money like the insiders at aspenIbiz The Conspiracy For Your Money Blog.
Thursday, March 31, 2011
The Law of Unpredictability – Unless You Write Your Competitor’s Plans, You Can’t Predict the Future
Most marketing plans make assumptions about the future.
Have you ever noticed that even with hundreds of computers and an army of meteorologists, no one can predict the weather more than three days in advance? So how do you expect anyone to predict what the market conditions will be like in one to three years?
Failure to forecast competitive reaction is a major reason for marketing failures. Yet there are those who would say that America’s big problem is the lack of a long view and that American management is too short term in thinking. Without including a forecast of the future, in marketing plans, wouldn’t things be even worse?
On the surface, those concerns are real. But it is important to understand what is meant by long terms versus short term. Most of corporate America’s problems are not related to short-term marketing thinking; they are related to short-term financial thinking.
Most companies live from quarterly report to quarterly report. That is a receipt for problems. Companies that live by the numbers, die by the numbers.
For example, General Motors was doing fine until the financial folks took over and put the focus on the numbers instead of the brands. That allowed Alfred P. Sloan’s plan of differentiated brands to fall apart. Every division head, in order to make their short-term numbers, started to chase the middle of the market. Over time, this approach contributed to the bankruptcy in 2009.
Good short-term planning is coming up with that angle or word that differentiates your product or company. You then setup a coherent long-term marketing direction that builds a program to maximize that idea or angle. It is not a long-term plan, it is a long-term direction.
For example, Tom Monaghan’s short-term angle at Domino’s Pizza was to come up with that home delivery idea and build a system that delivered pizzas quickly and efficiently. His long-term direction was to build the first nationwide home delivery chain as rapidly as possible.
Monaghan determined he could not own the words, home delivery, until he had enough franchises to afford national advertising. He accomplished both objectives and today Domino’s is a multi-billion dollar company with a significant share of the home delivery business. Monaghan did it all without a complex, 10-year plan.
So what can you do? How can you best cope with unpredictability? While you can not predict the future, you can get a handle on trends, which is a way to take advantage of change.
One example is American’s growing orientation toward good health and wellness. This is estimated to be The Next Trillion $ industry and it has barely gotten started.
However, the danger in working with trends is extrapolation. Many companies jump to conclusions about how far a trend will go. For example, if you believed the prognosticators of a few years ago, everyone today should be eating fish or chicken; however hamburger sales are still doing just fine.
Equally bad as extrapolating a trend is the common practice of assuming the future will be a replay of the present. When you assume that nothing will change, you are predicting the future just as surely as when you assume that something will change. Remember Murphy’s Law, the unexpected always happens.
While tracking trends can be useful tool in dealing with the unpredictable future, market research can be more of a problem than a help. New ideas and concepts are almost impossible to measure. People do not know what they will do until they face an actual decision.
For online marketers, this is where keyword research is very helpful. By using keyword research tools, the online marketer is able to learn what ideas, concepts, trends, and products are in demand based on what people are searching for online. In addition, market profitability, and the amount of competition, can be determined based on good keyword analysis with the right keyword research tools.
One final note that is worth mentioning is that there is a difference between predicting the future and taking a chance on the future. Orville Redenbacher’s Gourmet Popping Corn took a chance that people would pay twice as much for high-end popcorn. This was not a bad risk in today’s affluent society.
No one can predict the future with any degree of certainty nor should they have marketing plans that try to predict the future unless they are writing the marketing plans of their competitors.
Marketing is a battle of ideas. If you are to succeed, you must describe your value and deliver sustainable results. Without capability, you had better have a low price; a very low price.
It takes a while but many Internet Marketing entrepreneurs learn the Law of Unpredictability. They learn to identify their target market with keyword research and keyword research tools as they know they can not guess what the market desires nor can they predict the future.
To accomplish this, they use various methods, tools, and follow a traffic formula to build relationships with their leads and customers. They build websites that create trust. They collect name and email addresses using an Optin form on a Landing Page. They use email systems with both auto-responders and broadcast capabilities in order to send messages to their leads and customers. These email messages frequently send information, provide knowledge, and occasionally promote an offering. Many Internet Marketing entrepreneurs learn that leads and customers do not like to be sold to however they will browse and shop. Over an extended period of time, skilled Internet Marketers are able to use hypnotic writing skills, in their marketing campaigns, to get leads and customers to take the action they want. This is how they learn to identify a target market, stay focused, and add value to their target market. They learn to leverage the equity in their list and be successful in the world that includes the Law of Unpredictability.
It looks easy but marketing is not a game for amateurs. Marketing is not a battle of products. It is all about the strategy you use to benefit from the Law of Unpredictability as no one can predict the future with any degree of certainty.
You can find out more about Internet Marketing and home-based businesses by reading updates that will be posted at my blog over the next few weeks.
Finally, a great book to read is "The 22 Immutable Laws of Marketing" by Ries & Trout. It is the source of some of the material provided in this article.
In closing, be sure to meet me at my website, WhoIsMikeFarrell, learn some tips about being No 1 on Google at aspenIbiz My Go-To-Market Partners, and learn how to be savvy with your money like the insiders at aspenIbiz The Conspiracy For Your Money Blog.
Have you ever noticed that even with hundreds of computers and an army of meteorologists, no one can predict the weather more than three days in advance? So how do you expect anyone to predict what the market conditions will be like in one to three years?
Failure to forecast competitive reaction is a major reason for marketing failures. Yet there are those who would say that America’s big problem is the lack of a long view and that American management is too short term in thinking. Without including a forecast of the future, in marketing plans, wouldn’t things be even worse?
On the surface, those concerns are real. But it is important to understand what is meant by long terms versus short term. Most of corporate America’s problems are not related to short-term marketing thinking; they are related to short-term financial thinking.
Most companies live from quarterly report to quarterly report. That is a receipt for problems. Companies that live by the numbers, die by the numbers.
For example, General Motors was doing fine until the financial folks took over and put the focus on the numbers instead of the brands. That allowed Alfred P. Sloan’s plan of differentiated brands to fall apart. Every division head, in order to make their short-term numbers, started to chase the middle of the market. Over time, this approach contributed to the bankruptcy in 2009.
Good short-term planning is coming up with that angle or word that differentiates your product or company. You then setup a coherent long-term marketing direction that builds a program to maximize that idea or angle. It is not a long-term plan, it is a long-term direction.
For example, Tom Monaghan’s short-term angle at Domino’s Pizza was to come up with that home delivery idea and build a system that delivered pizzas quickly and efficiently. His long-term direction was to build the first nationwide home delivery chain as rapidly as possible.
Monaghan determined he could not own the words, home delivery, until he had enough franchises to afford national advertising. He accomplished both objectives and today Domino’s is a multi-billion dollar company with a significant share of the home delivery business. Monaghan did it all without a complex, 10-year plan.
So what can you do? How can you best cope with unpredictability? While you can not predict the future, you can get a handle on trends, which is a way to take advantage of change.
One example is American’s growing orientation toward good health and wellness. This is estimated to be The Next Trillion $ industry and it has barely gotten started.
However, the danger in working with trends is extrapolation. Many companies jump to conclusions about how far a trend will go. For example, if you believed the prognosticators of a few years ago, everyone today should be eating fish or chicken; however hamburger sales are still doing just fine.
Equally bad as extrapolating a trend is the common practice of assuming the future will be a replay of the present. When you assume that nothing will change, you are predicting the future just as surely as when you assume that something will change. Remember Murphy’s Law, the unexpected always happens.
While tracking trends can be useful tool in dealing with the unpredictable future, market research can be more of a problem than a help. New ideas and concepts are almost impossible to measure. People do not know what they will do until they face an actual decision.
For online marketers, this is where keyword research is very helpful. By using keyword research tools, the online marketer is able to learn what ideas, concepts, trends, and products are in demand based on what people are searching for online. In addition, market profitability, and the amount of competition, can be determined based on good keyword analysis with the right keyword research tools.
One final note that is worth mentioning is that there is a difference between predicting the future and taking a chance on the future. Orville Redenbacher’s Gourmet Popping Corn took a chance that people would pay twice as much for high-end popcorn. This was not a bad risk in today’s affluent society.
No one can predict the future with any degree of certainty nor should they have marketing plans that try to predict the future unless they are writing the marketing plans of their competitors.
Marketing is a battle of ideas. If you are to succeed, you must describe your value and deliver sustainable results. Without capability, you had better have a low price; a very low price.
It takes a while but many Internet Marketing entrepreneurs learn the Law of Unpredictability. They learn to identify their target market with keyword research and keyword research tools as they know they can not guess what the market desires nor can they predict the future.
To accomplish this, they use various methods, tools, and follow a traffic formula to build relationships with their leads and customers. They build websites that create trust. They collect name and email addresses using an Optin form on a Landing Page. They use email systems with both auto-responders and broadcast capabilities in order to send messages to their leads and customers. These email messages frequently send information, provide knowledge, and occasionally promote an offering. Many Internet Marketing entrepreneurs learn that leads and customers do not like to be sold to however they will browse and shop. Over an extended period of time, skilled Internet Marketers are able to use hypnotic writing skills, in their marketing campaigns, to get leads and customers to take the action they want. This is how they learn to identify a target market, stay focused, and add value to their target market. They learn to leverage the equity in their list and be successful in the world that includes the Law of Unpredictability.
It looks easy but marketing is not a game for amateurs. Marketing is not a battle of products. It is all about the strategy you use to benefit from the Law of Unpredictability as no one can predict the future with any degree of certainty.
You can find out more about Internet Marketing and home-based businesses by reading updates that will be posted at my blog over the next few weeks.
Finally, a great book to read is "The 22 Immutable Laws of Marketing" by Ries & Trout. It is the source of some of the material provided in this article.
In closing, be sure to meet me at my website, WhoIsMikeFarrell, learn some tips about being No 1 on Google at aspenIbiz My Go-To-Market Partners, and learn how to be savvy with your money like the insiders at aspenIbiz The Conspiracy For Your Money Blog.
Sunday, February 27, 2011
The Law of Singularity – Only One Move Produces Sustainable Results
Many marketing people see success as the sum total of a lot of small efforts beautifully executed. They think they can pick and choose from a number of different strategies and still be successful as long as they put enough effort into the program. They seem to think that the best way to grow is the puppy approach - get into everything.
If they're not with the leader, they often end up trying to do the same as the leader but they try to be a little better or try a little harder. However, trying harder is not the secret of marketing success.
Whether you try hard or try easy, the differences are marginal. Furthermore the bigger the company, the more the law of averages wipes out any real advantage of a trying-harder approach.
History teaches that the only thing that works in marketing is the single, bold stroke. Furthermore, in any given situation there is only one move that will produce substantial results.
Successful generals study the battleground and look for that one bold stroke that is least expected by the enemy. Finding one is difficult. Finding more than one is usually impossible.
Military strategist and author B. H. Liddell Hart calls this bold stroke "the line of least expectation." The Allied invasion came at Normandy, a place whose tide and rocky shore the Germans felt would be an unlikely choice for a landing of any scale.
So it is in marketing. Most often there is only one place where a competitor is vulnerable. And that place should be the focus of the entire invading force.
What works in marketing is the same as what works in the military; the unexpected.
Hannibal came over the Alps, a route deemed impossible to scale. Hitler came around the Maginot Line and sent his panzer divisions through the Ardennes, terrain the French generals thought impossible to traverse with tanks. (As a matter of fact, he did it twice - once in the Battle of France and again in the Battle of the Bulge.)
The automobile industry is an interesting case in point. In recent years there have been only two strong moves made against GM. Both were flanking moves around the GM Maginot Line. The Japanese came at the low end with small cars like Toyota, Datsun, and Honda. The Germans came at the high end with super-premium cars like Mercedes and BMW.
With the success of Japanese and German flanking attacks, General Motors was under pressure to commit resources in an attempt to shore up the bottom and the top of its lines.
GM made the fateful decision to build many of its midrange cars using the same body style. Suddenly, no one could tell a Chevrolet from a Pontiac, Oldsmobile, or a Buick. They all locked alike. Its’ look-alike cars weakened General Motors in the middle as Ford broke through with the Sable. And then the Japanese jumped in with Acura, Lexus, and Infiniti. General Motors, weak across the board, spun into bankruptcy during 2008 after the start of the Global Financial Crisis.
To find that singular idea or concept, marketing managers have to know what's happening in the marketplace. They have to be down at the frontline in the mud of the battle. They have to know what's working and what isn't. They have to be involved.
Because of the high cost of mistakes, management can't afford to delegate important marketing decisions. That's what happened at General Motors.
When the financial people took over, the marketing programs collapsed. Their interest was in the numbers, not the brands. The irony is that the numbers went south, along with the brands.
It's hard to find that single move if you're hanging around headquarters and not involved in the process.
Marketing is a battle of ideas. If you are to succeed, you must have a single successful move to describe your value and deliver sustainable results. Without one, you had better have a low price; a very low price.
It takes a while but many Internet Marketing entrepreneurs learn the Law of Singularity. They learn to identify their target market and focus on a single successful move to promoting products that will appeal and add value to their target market.
To accomplish this, they use various methods, tools, and follow a traffic formula to build relationships with their leads and customers. They build websites that create trust. They collect name and email addresses using an Optin form on a Landing Page. They use email systems with both auto-responders and broadcast capabilities in order to send messages to their leads and customers. These email messages frequently send information, provide knowledge, and occasionally promote an offering. Many Internet Marketing entrepreneurs learn that leads and customers do not like to be sold to however they will browse and shop. Over an extended period of time, skilled Internet Marketers are able to use hypnotic writing skills, in their marketing campaigns, to get leads and customers to take the action they want. This is how they learn to identify a target market, stay focused, and add value to their target market. They learn to leverage the equity in their list and be successful in the world that includes the Law of Singularity.
It looks easy but marketing is not a game for amateurs. Marketing is not a battle of products. It is all about the strategy you use to benefit from the Law of Singularity where only one move produces sustainable results.
You can find out more about Internet Marketing and home-based businesses by reading updates that will be posted at my blog over the next few weeks.
Finally, a great book to read is "The 22 Immutable Laws of Marketing" by Ries & Trout. It is the source of some of the material provided in this article.
In closing, be sure to meet me at my website, WhoIsMikeFarrell, learn some tips about being No 1 on Google at aspenIbiz My Go-To-Market Partners, and learn how to be savvy with your money like the insiders at aspenIbiz The Conspiracy For Your Money Blog.
If they're not with the leader, they often end up trying to do the same as the leader but they try to be a little better or try a little harder. However, trying harder is not the secret of marketing success.
Whether you try hard or try easy, the differences are marginal. Furthermore the bigger the company, the more the law of averages wipes out any real advantage of a trying-harder approach.
History teaches that the only thing that works in marketing is the single, bold stroke. Furthermore, in any given situation there is only one move that will produce substantial results.
Successful generals study the battleground and look for that one bold stroke that is least expected by the enemy. Finding one is difficult. Finding more than one is usually impossible.
Military strategist and author B. H. Liddell Hart calls this bold stroke "the line of least expectation." The Allied invasion came at Normandy, a place whose tide and rocky shore the Germans felt would be an unlikely choice for a landing of any scale.
So it is in marketing. Most often there is only one place where a competitor is vulnerable. And that place should be the focus of the entire invading force.
What works in marketing is the same as what works in the military; the unexpected.
Hannibal came over the Alps, a route deemed impossible to scale. Hitler came around the Maginot Line and sent his panzer divisions through the Ardennes, terrain the French generals thought impossible to traverse with tanks. (As a matter of fact, he did it twice - once in the Battle of France and again in the Battle of the Bulge.)
The automobile industry is an interesting case in point. In recent years there have been only two strong moves made against GM. Both were flanking moves around the GM Maginot Line. The Japanese came at the low end with small cars like Toyota, Datsun, and Honda. The Germans came at the high end with super-premium cars like Mercedes and BMW.
With the success of Japanese and German flanking attacks, General Motors was under pressure to commit resources in an attempt to shore up the bottom and the top of its lines.
GM made the fateful decision to build many of its midrange cars using the same body style. Suddenly, no one could tell a Chevrolet from a Pontiac, Oldsmobile, or a Buick. They all locked alike. Its’ look-alike cars weakened General Motors in the middle as Ford broke through with the Sable. And then the Japanese jumped in with Acura, Lexus, and Infiniti. General Motors, weak across the board, spun into bankruptcy during 2008 after the start of the Global Financial Crisis.
To find that singular idea or concept, marketing managers have to know what's happening in the marketplace. They have to be down at the frontline in the mud of the battle. They have to know what's working and what isn't. They have to be involved.
Because of the high cost of mistakes, management can't afford to delegate important marketing decisions. That's what happened at General Motors.
When the financial people took over, the marketing programs collapsed. Their interest was in the numbers, not the brands. The irony is that the numbers went south, along with the brands.
It's hard to find that single move if you're hanging around headquarters and not involved in the process.
Marketing is a battle of ideas. If you are to succeed, you must have a single successful move to describe your value and deliver sustainable results. Without one, you had better have a low price; a very low price.
It takes a while but many Internet Marketing entrepreneurs learn the Law of Singularity. They learn to identify their target market and focus on a single successful move to promoting products that will appeal and add value to their target market.
To accomplish this, they use various methods, tools, and follow a traffic formula to build relationships with their leads and customers. They build websites that create trust. They collect name and email addresses using an Optin form on a Landing Page. They use email systems with both auto-responders and broadcast capabilities in order to send messages to their leads and customers. These email messages frequently send information, provide knowledge, and occasionally promote an offering. Many Internet Marketing entrepreneurs learn that leads and customers do not like to be sold to however they will browse and shop. Over an extended period of time, skilled Internet Marketers are able to use hypnotic writing skills, in their marketing campaigns, to get leads and customers to take the action they want. This is how they learn to identify a target market, stay focused, and add value to their target market. They learn to leverage the equity in their list and be successful in the world that includes the Law of Singularity.
It looks easy but marketing is not a game for amateurs. Marketing is not a battle of products. It is all about the strategy you use to benefit from the Law of Singularity where only one move produces sustainable results.
You can find out more about Internet Marketing and home-based businesses by reading updates that will be posted at my blog over the next few weeks.
Finally, a great book to read is "The 22 Immutable Laws of Marketing" by Ries & Trout. It is the source of some of the material provided in this article.
In closing, be sure to meet me at my website, WhoIsMikeFarrell, learn some tips about being No 1 on Google at aspenIbiz My Go-To-Market Partners, and learn how to be savvy with your money like the insiders at aspenIbiz The Conspiracy For Your Money Blog.
Friday, January 28, 2011
The Law of Candor – Admit a Negative and the Prospect Will Give You a Positive
It goes against corporate and human nature to admit a problem. For years, the power of positive thinking has been drummed into us and “think positive” has been the subject of endless books and articles.
So it may come as a surprise to you that one of the most effective ways to get into a prospect’s mind is to be candid and first admit a negative, then twist it into a positive.
Avis is only No 2 in rent cars.
With a name like Smucker’s it has to be good.
What’s going on here? Why does a dose of honesty work so well in the marketing process?
First and foremost, candor is very disarming. Every negative statement you make about yourself is instantly accepted as truth. Positive statements, on the other hand, are looked at as dubious at best especially in an advertisement.
You have to prove a positive statement to the prospect’s satisfaction. No proof is needed for a negative statement.
“With a name like Smucker’s it has to be good.” Most companies, especially family companies, would never make fun of their name. Yet the Smucker family did, which is one reason why Smucker’s is the No 1 brand of jams and jellies. If your name is bad, you have two choices: change the name or make fun of it.
Avis is only No 2 in rent cars so why go with them? They must try harder. Everybody knew that Avis was second in rent cars.
So why go with the obvious? Marketing is often a search for the obvious. Since you can’t change a mind once it is made up, your marketing efforts have to be devoted to using ideas and concepts already installed in the brain. You have to use your marketing programs to “rub it in.” No program did this as brilliantly as the Avis No 2 program.
The explosive growth of communications in our society has made people defensive and cautious about companies trying to sell them anything. Admitting a problem is something that very few companies do.
When a company starts a message by admitting a problem, people tend to, almost instinctively, open their minds. Think about the times that someone came to you with a problem and how quickly you got involved and wanted to help. Now think about people starting a conversation about some wonderful things they are doing. You probably were a lot less interested.
Now with that mind open, you are in a position to drive in the positive, which is our selling idea. Some years ago, Scope entered the mouthwash market with a good tasting mouthwash thus exploiting Listerine’s truly terrible taste.
What should Listerine do? It certainly could not tell people that Listerine’s taste was not all that bad. That would raise a red flag that would reinforce a negative perception. Things could get worse. Instead, Listerine brilliantly invoked the law of candor: “The taste you hate twice a day.”
Not only did the company admit the product tasted bad, it admitted that people actually hated it (now that’s honesty). This admission setup the selling idea that Listerine “kills a lot of germs.”
The prospect figured that anything that tastes like disinfectant must indeed be a germ killer. A crisis passed with help of a heavy dose of candor.
One final note: The law of candor must be used carefully and with great skill. First, your negative must be widely perceived as a negative. It has to trigger an instant agreement with your prospect’s mind. If the negative does not register quickly, your prospect will be confused and will wonder, “What is this all about?”
Next you have to shift quickly to the positive. The purpose of candor is not to apologize. The purpose of candor is to setup a benefit that will convince your prospect.
This law only proves the old maxim: Honesty is the best policy.
Marketing is a battle of ideas. If you are to succeed, you must have a unique attribute to focus and describe your value. Without one, you had better have a low price; a very low price.
It takes a while but many Internet Marketing entrepreneurs learn the Law of Candor. They learn to identify their target market, focus on promoting products that will appeal and add value to their target market.
To accomplish this, they use various methods, tools, and follow a traffic formula to build relationships with their leads and customers. They build websites that create trust. They collect name and email addresses using an Optin form on a Landing Page. They use email systems with both auto-responders and broadcast capabilities in order to send messages to their leads and customers. These email messages frequently send information, provide knowledge, and occasionally promote an offering. Many Internet Marketing entrepreneurs learn that leads and customers do not like to be sold to however they will browse and shop. Over an extended period of time, skilled Internet Marketers are able to use hypnotic writing skills, in their marketing campaigns, to get leads and customers to take the action they want. This is how they learn to identify a target market, stay focused, and add value to their target market. They learn to leverage the equity in their list and be successful in the world that includes the Law of Candor.
It looks easy but marketing is not a game for amateurs. Marketing is not a battle of products. It is all about the strategy you use to benefit from the Law of Candor when you admit a negative, the prospect will give you a positive.
You can find out more about Internet Marketing and home-based businesses by reading updates that will be posted at my blog over the next few weeks.
Also, a great book to read is "The 22 Immutable Laws of Marketing" by Ries & Trout. It is the source of some of the material provided in this article.
In closing, be sure to meet me at my website, WhoIsMikeFarrell, learn some tips about being No 1 on Google at aspenIbiz My Go-To-Market Partners, and learn how to be savvy with your money like the insiders at aspenIbiz The Conspiracy For Your Money Blog.
Finally, I would like to provide Best Wishes for a Prosperous New Year!
So it may come as a surprise to you that one of the most effective ways to get into a prospect’s mind is to be candid and first admit a negative, then twist it into a positive.
Avis is only No 2 in rent cars.
With a name like Smucker’s it has to be good.
What’s going on here? Why does a dose of honesty work so well in the marketing process?
First and foremost, candor is very disarming. Every negative statement you make about yourself is instantly accepted as truth. Positive statements, on the other hand, are looked at as dubious at best especially in an advertisement.
You have to prove a positive statement to the prospect’s satisfaction. No proof is needed for a negative statement.
“With a name like Smucker’s it has to be good.” Most companies, especially family companies, would never make fun of their name. Yet the Smucker family did, which is one reason why Smucker’s is the No 1 brand of jams and jellies. If your name is bad, you have two choices: change the name or make fun of it.
Avis is only No 2 in rent cars so why go with them? They must try harder. Everybody knew that Avis was second in rent cars.
So why go with the obvious? Marketing is often a search for the obvious. Since you can’t change a mind once it is made up, your marketing efforts have to be devoted to using ideas and concepts already installed in the brain. You have to use your marketing programs to “rub it in.” No program did this as brilliantly as the Avis No 2 program.
The explosive growth of communications in our society has made people defensive and cautious about companies trying to sell them anything. Admitting a problem is something that very few companies do.
When a company starts a message by admitting a problem, people tend to, almost instinctively, open their minds. Think about the times that someone came to you with a problem and how quickly you got involved and wanted to help. Now think about people starting a conversation about some wonderful things they are doing. You probably were a lot less interested.
Now with that mind open, you are in a position to drive in the positive, which is our selling idea. Some years ago, Scope entered the mouthwash market with a good tasting mouthwash thus exploiting Listerine’s truly terrible taste.
What should Listerine do? It certainly could not tell people that Listerine’s taste was not all that bad. That would raise a red flag that would reinforce a negative perception. Things could get worse. Instead, Listerine brilliantly invoked the law of candor: “The taste you hate twice a day.”
Not only did the company admit the product tasted bad, it admitted that people actually hated it (now that’s honesty). This admission setup the selling idea that Listerine “kills a lot of germs.”
The prospect figured that anything that tastes like disinfectant must indeed be a germ killer. A crisis passed with help of a heavy dose of candor.
One final note: The law of candor must be used carefully and with great skill. First, your negative must be widely perceived as a negative. It has to trigger an instant agreement with your prospect’s mind. If the negative does not register quickly, your prospect will be confused and will wonder, “What is this all about?”
Next you have to shift quickly to the positive. The purpose of candor is not to apologize. The purpose of candor is to setup a benefit that will convince your prospect.
This law only proves the old maxim: Honesty is the best policy.
Marketing is a battle of ideas. If you are to succeed, you must have a unique attribute to focus and describe your value. Without one, you had better have a low price; a very low price.
It takes a while but many Internet Marketing entrepreneurs learn the Law of Candor. They learn to identify their target market, focus on promoting products that will appeal and add value to their target market.
To accomplish this, they use various methods, tools, and follow a traffic formula to build relationships with their leads and customers. They build websites that create trust. They collect name and email addresses using an Optin form on a Landing Page. They use email systems with both auto-responders and broadcast capabilities in order to send messages to their leads and customers. These email messages frequently send information, provide knowledge, and occasionally promote an offering. Many Internet Marketing entrepreneurs learn that leads and customers do not like to be sold to however they will browse and shop. Over an extended period of time, skilled Internet Marketers are able to use hypnotic writing skills, in their marketing campaigns, to get leads and customers to take the action they want. This is how they learn to identify a target market, stay focused, and add value to their target market. They learn to leverage the equity in their list and be successful in the world that includes the Law of Candor.
It looks easy but marketing is not a game for amateurs. Marketing is not a battle of products. It is all about the strategy you use to benefit from the Law of Candor when you admit a negative, the prospect will give you a positive.
You can find out more about Internet Marketing and home-based businesses by reading updates that will be posted at my blog over the next few weeks.
Also, a great book to read is "The 22 Immutable Laws of Marketing" by Ries & Trout. It is the source of some of the material provided in this article.
In closing, be sure to meet me at my website, WhoIsMikeFarrell, learn some tips about being No 1 on Google at aspenIbiz My Go-To-Market Partners, and learn how to be savvy with your money like the insiders at aspenIbiz The Conspiracy For Your Money Blog.
Finally, I would like to provide Best Wishes for a Prosperous New Year!
Thursday, December 30, 2010
The Law of Attributes – Every Attribute Has an Opposite Effective Attribute
In a previous (Feb 4th 2010) blog post about The Law of Exclusivity, a point was made that you can’t own the same word or position that your competitor owns. You must find your own word to own. You must seek out another attribute.
Too often a company attempts to emulate the leader. “They must know what works,” goes the rationale, “so let’s do something similar.” This is not good thinking.
It is much better to search for an opposite attribute that will allow you to play off against the leader. The key word here is opposite so similar will not do.
The leading cola drink was the original and thus the choice of older people. Pepsi successfully positioned itself as the choice of the younger generation.
Since Crest owned the word cavities, other toothpastes avoided cavities and jumped on other attributed like taste, whitening, breath protection, and baking soda.
Marketing is a battle of ideas. So if you are to succeed, you must have an idea or attribute of your own around which to focus your efforts. Without one, you had better have a low price; a very low price.
Some say all attributes are not created equal. Some attributes are more important to customers than others. You must try and own the most important attribute to your target prospects and customers.
For example, cavity prevention is the most important attribute in toothpaste. It is the one to own. But The Law of Exclusivity points to the simple truth that once an attribute is successfully taken by your competition, it is gone. You most move on to a lesser attribute and live with a smaller share of the category. Your job is to seize a different attribute, dramatize the value of your attribute, and thus increase your share.
Here is another example. Burger King was unsuccessful when it tried to take the attribute “fast” from McDonald’s. What should Burger King have done? Use the opposite attribute? The exact opposite attribute, “slow” would not do for a fast food place however the there is an element of slowness in the broiling concept.
To drive the concept into a prospect’s mind, Burger King needed a term or attribute to describe it’s new concept … it came up with the “flame-broiled taste of Burger King.” This new concept for Burger King, at the time, created fear and terror in the boardroom at McDonald’s … this is always a good sign of an effective program.
Marketing is a battle of ideas. If you are to succeed, you must have a unique attribute to focus and describe your value. Without one, you had better have a low price; a very low price.
It takes a while but many Internet Marketing entrepreneurs learn the Law of Attributes. They learn to identify their target market, focus on promoting products that will appeal and add value to their target market.
To accomplish this, they use various methods, tools, and follow a traffic formula to build relationships with their leads and customers. They build websites that create trust. They collect name and email addresses using an Optin form on a Landing Page. They use email systems with both auto-responders and broadcast capabilities in order to send messages to their leads and customers. These email messages frequently send information, provide knowledge, and occasionally promote an offering. Many Internet Marketing entrepreneurs learn that leads and customers do not like to be sold to however they will browse and shop. Over an extended period of time, skilled Internet Marketers are able to use hypnotic writing skills, in their marketing campaigns, to get leads and customers to take the action they want. This is how they learn to identify a target market, stay focused, and add value to their target market. They learn to leverage the equity in their list and be successful in the world that includes the Law of Attributes.
It looks easy but marketing is not a game for amateurs. Marketing is not a battle of products. It is all about the strategy you use to benefit from the Law of Attributes as for every attribute, there is another attribute that is opposite and effective.
You can find out more about Internet Marketing and home-based businesses by reading updates that will be posted at my blog over the next few weeks.
Finally, a great book to read is "The 22 Immutable Laws of Marketing" by Ries & Trout. It is the source of some of the material provided in this article.
In closing, be sure to meet me at my website, WhoIsMikeFarrell, learn some tips about being No 1 on Google at aspenIbiz My Go-To-Market Partners, and learn how to be savvy with your money like the insiders at aspenIbiz The Conspiracy For Your Money Blog.
Finally, I would like to provide Best Wishes for a Happy Holiday Season and a Prosperous New Year!
Too often a company attempts to emulate the leader. “They must know what works,” goes the rationale, “so let’s do something similar.” This is not good thinking.
It is much better to search for an opposite attribute that will allow you to play off against the leader. The key word here is opposite so similar will not do.
The leading cola drink was the original and thus the choice of older people. Pepsi successfully positioned itself as the choice of the younger generation.
Since Crest owned the word cavities, other toothpastes avoided cavities and jumped on other attributed like taste, whitening, breath protection, and baking soda.
Marketing is a battle of ideas. So if you are to succeed, you must have an idea or attribute of your own around which to focus your efforts. Without one, you had better have a low price; a very low price.
Some say all attributes are not created equal. Some attributes are more important to customers than others. You must try and own the most important attribute to your target prospects and customers.
For example, cavity prevention is the most important attribute in toothpaste. It is the one to own. But The Law of Exclusivity points to the simple truth that once an attribute is successfully taken by your competition, it is gone. You most move on to a lesser attribute and live with a smaller share of the category. Your job is to seize a different attribute, dramatize the value of your attribute, and thus increase your share.
Here is another example. Burger King was unsuccessful when it tried to take the attribute “fast” from McDonald’s. What should Burger King have done? Use the opposite attribute? The exact opposite attribute, “slow” would not do for a fast food place however the there is an element of slowness in the broiling concept.
To drive the concept into a prospect’s mind, Burger King needed a term or attribute to describe it’s new concept … it came up with the “flame-broiled taste of Burger King.” This new concept for Burger King, at the time, created fear and terror in the boardroom at McDonald’s … this is always a good sign of an effective program.
Marketing is a battle of ideas. If you are to succeed, you must have a unique attribute to focus and describe your value. Without one, you had better have a low price; a very low price.
It takes a while but many Internet Marketing entrepreneurs learn the Law of Attributes. They learn to identify their target market, focus on promoting products that will appeal and add value to their target market.
To accomplish this, they use various methods, tools, and follow a traffic formula to build relationships with their leads and customers. They build websites that create trust. They collect name and email addresses using an Optin form on a Landing Page. They use email systems with both auto-responders and broadcast capabilities in order to send messages to their leads and customers. These email messages frequently send information, provide knowledge, and occasionally promote an offering. Many Internet Marketing entrepreneurs learn that leads and customers do not like to be sold to however they will browse and shop. Over an extended period of time, skilled Internet Marketers are able to use hypnotic writing skills, in their marketing campaigns, to get leads and customers to take the action they want. This is how they learn to identify a target market, stay focused, and add value to their target market. They learn to leverage the equity in their list and be successful in the world that includes the Law of Attributes.
It looks easy but marketing is not a game for amateurs. Marketing is not a battle of products. It is all about the strategy you use to benefit from the Law of Attributes as for every attribute, there is another attribute that is opposite and effective.
You can find out more about Internet Marketing and home-based businesses by reading updates that will be posted at my blog over the next few weeks.
Finally, a great book to read is "The 22 Immutable Laws of Marketing" by Ries & Trout. It is the source of some of the material provided in this article.
In closing, be sure to meet me at my website, WhoIsMikeFarrell, learn some tips about being No 1 on Google at aspenIbiz My Go-To-Market Partners, and learn how to be savvy with your money like the insiders at aspenIbiz The Conspiracy For Your Money Blog.
Finally, I would like to provide Best Wishes for a Happy Holiday Season and a Prosperous New Year!
Tuesday, November 30, 2010
The Law of Sacrifice – You Have to Give Up Something in Order to Get Something
The Law of Sacrifice is the opposite of the Law of Line Extension. If you want to be successful today, you should give something up.
In the world of business and marketing, there are three areas to sacrifice: product line, target market, and constant change.
The first area to review is the product line.
Where is it written that the more you have to sell, the more you sell?
Marketing is a game of mental warfare. It's a battle of perceptions, not products or services. In the mind of the prospect, Eveready was the long-time leader in batteries and then new technology arrived-as it does in most industries. The first technology to change the battery business was the heavy-duty battery. What would you call your heavy-duty battery if you had the No.1 name in batteries? You'd probably call it the Eveready heavy-duty battery, which is what Eveready did. Soon after, the alkaline battery arrived. Again, Eveready called it the alkaline battery. It seemed to make sense.
Another company, P.R. Mallory then introduced an alkaline batteries only product line and the company gave the line a better name; it called them Duracell.
The power of the sacrifice (meaning it gave up a broad product line) for Duracell was in being able to put the "long-lasting battery" idea in the mind of the customer. Duracell lasts twice as long as Eveready said the advertising.
As a result of this success, Eveready was forced to change the name of its alkaline battery to "the Energizer" but it was too late. Duracell had already become the leader in the battery market.
One more example of the law of sacrifice is from the retail industry. Many retail chains that are successful have a pattern or formula of a narrow focus with in-depth stock. Here are some examples.
In the retail field, generally the big successes are the specialists:
- The Limited - Upscale clothing for working women.
- The Gap - Casual clothing for the young at heart.
- Benetton - Wool and cotton clothing for young swingers.
- Victoria's Secret - Sexy undergarments.
- Foot Locker - Athletic shoes.
- Banana Republic - Safari wear.
(When a clothing chain with a name like Banana Republic can be successful, you know we live in the age of the specialist.)
Let's review the second area of sacrifice which is the target market.
Where is it written that you have to appeal to everybody?
Take the cola field. Coca-Cola got into the prospect's mind first and built a powerful position. In
the late fifties, for example, Coke outsold Pepsi more than five to one. What could Pepsi-Cola do to go against Coke's powerful position?
In the early sixties, Pepsi-Cola finally developed a strategy based on the concept of sacrifice. The company sacrified everything except the teenage market and then it brilliantly exploited this market by hiring its icons: Michael Jackson, Lionel Richie, and Don Johnson.
Within one generation, Pepsi closed the gap and to be within 10 percent of Coca-Cola in total U.S. cola sales. (In the supermarket, Pepsi-Cola actually outsells Coca Cola.)
In spite of Pepsi-Cola’s success the pressure for enlarging the tent is always present. In the mid 80s, it succumbed to the temptation and according to a report in Advertising Age, "Pepsi-Cola Co. had outgrown the Pepsi generation. In a major marketing shift, flagship Pepsi will be pitched as the soft drink for the masses."
"Gotta have lt" became Pepsi's new theme and the advertising promotions showed older people like Yogi Berra and Regis Philbin drinking Pepsi.
According to Fortune magazine, “Coca-Cola is still the world's most powerful trademark. When an also-ran like Pepsi-Cola develops a narrowly focused strategy that puts it within an eyelash of the leader, why would it change its powerful strategy?”
Finally, the third sacrifice area is constant change.
Where is it written that you have to change your strategy every year at budget review time?
If you try to follow the twists and turns of the market, you are bound to wind up off the road. The best way to maintain a consistent position is not to change it in the first place.
A little over 20 years ago, People Express was a startup airline carrier and it had created a brilliant "niche" position. It was the no-frills airline that flew to no-frills cities at no-frills prices. People used to get on a People Express plane and say, "Where are we going?" They didn't care as long as it was cheap enough.
What did People Express do after it became successful? It tried to be all things to all people. It invested in new equipment like 747s. It started to fly the heavily traveled routes to places like Chicago and Denver as well as Europe. It also bought Frontier Airlines. It added frills like first-class sections.
People Express then promptly lost altitude and only escaped bankruptcy court by selling itself to Texas Air which did it for them.
Good things come to those who sacrifice.
It takes a while but many Internet Marketing entrepreneurs learn the Law of Sacrifice. They learn to identify their target market, focus on promoting products that will appeal to the target market, and to stay the course with persistent effort and not have constant change.
To accomplish this, they use various methods, tools, and follow a traffic formula to build relationships with their leads and customers. They build websites that create trust. They collect name and email addresses using an Optin form on a Landing Page. They use email systems with both auto-responders and broadcast capabilities in order to send messages to their leads and customers. These email messages frequently send information, provide knowledge, and occasionally promote an offering. Many Internet Marketing entrepreneurs learn that leads and customers do not like to be sold to however they will browse and shop. Over an extended period of time, skilled Internet Marketers are able to use hypnotic writing skills, in their marketing campaigns, to get leads and customers to take the action they want. This is how they learn to identify a target market, stay focused, and add value to their target market. They learn to leverage the equity in their list and be successful in the world that includes the Law of Sacrifice.
It looks easy but marketing is not a game for amateurs. Marketing is not a battle of products. It is all about the strategy you use to benefit from the Law of Sacrifice as you have to give up something in order to get something.
You can find out more about Internet Marketing and home-based businesses by reading updates that will be posted at my blog over the next few weeks.
Finally, a great book to read is "The 22 Immutable Laws of Marketing" by Ries & Trout. It is the source of some of the material provided in this article.
In closing, be sure to meet me at my website, WhoIsMikeFarrell, learn some tips about being No 1 on Google at aspenIbiz My Go-To-Market Partners, my affiliate website, and learn how to be savvy with your money like the insiders at aspenIbiz The Conspiracy For Your Money Blog.
In the world of business and marketing, there are three areas to sacrifice: product line, target market, and constant change.
The first area to review is the product line.
Where is it written that the more you have to sell, the more you sell?
Marketing is a game of mental warfare. It's a battle of perceptions, not products or services. In the mind of the prospect, Eveready was the long-time leader in batteries and then new technology arrived-as it does in most industries. The first technology to change the battery business was the heavy-duty battery. What would you call your heavy-duty battery if you had the No.1 name in batteries? You'd probably call it the Eveready heavy-duty battery, which is what Eveready did. Soon after, the alkaline battery arrived. Again, Eveready called it the alkaline battery. It seemed to make sense.
Another company, P.R. Mallory then introduced an alkaline batteries only product line and the company gave the line a better name; it called them Duracell.
The power of the sacrifice (meaning it gave up a broad product line) for Duracell was in being able to put the "long-lasting battery" idea in the mind of the customer. Duracell lasts twice as long as Eveready said the advertising.
As a result of this success, Eveready was forced to change the name of its alkaline battery to "the Energizer" but it was too late. Duracell had already become the leader in the battery market.
One more example of the law of sacrifice is from the retail industry. Many retail chains that are successful have a pattern or formula of a narrow focus with in-depth stock. Here are some examples.
In the retail field, generally the big successes are the specialists:
- The Limited - Upscale clothing for working women.
- The Gap - Casual clothing for the young at heart.
- Benetton - Wool and cotton clothing for young swingers.
- Victoria's Secret - Sexy undergarments.
- Foot Locker - Athletic shoes.
- Banana Republic - Safari wear.
(When a clothing chain with a name like Banana Republic can be successful, you know we live in the age of the specialist.)
Let's review the second area of sacrifice which is the target market.
Where is it written that you have to appeal to everybody?
Take the cola field. Coca-Cola got into the prospect's mind first and built a powerful position. In
the late fifties, for example, Coke outsold Pepsi more than five to one. What could Pepsi-Cola do to go against Coke's powerful position?
In the early sixties, Pepsi-Cola finally developed a strategy based on the concept of sacrifice. The company sacrified everything except the teenage market and then it brilliantly exploited this market by hiring its icons: Michael Jackson, Lionel Richie, and Don Johnson.
Within one generation, Pepsi closed the gap and to be within 10 percent of Coca-Cola in total U.S. cola sales. (In the supermarket, Pepsi-Cola actually outsells Coca Cola.)
In spite of Pepsi-Cola’s success the pressure for enlarging the tent is always present. In the mid 80s, it succumbed to the temptation and according to a report in Advertising Age, "Pepsi-Cola Co. had outgrown the Pepsi generation. In a major marketing shift, flagship Pepsi will be pitched as the soft drink for the masses."
"Gotta have lt" became Pepsi's new theme and the advertising promotions showed older people like Yogi Berra and Regis Philbin drinking Pepsi.
According to Fortune magazine, “Coca-Cola is still the world's most powerful trademark. When an also-ran like Pepsi-Cola develops a narrowly focused strategy that puts it within an eyelash of the leader, why would it change its powerful strategy?”
Finally, the third sacrifice area is constant change.
Where is it written that you have to change your strategy every year at budget review time?
If you try to follow the twists and turns of the market, you are bound to wind up off the road. The best way to maintain a consistent position is not to change it in the first place.
A little over 20 years ago, People Express was a startup airline carrier and it had created a brilliant "niche" position. It was the no-frills airline that flew to no-frills cities at no-frills prices. People used to get on a People Express plane and say, "Where are we going?" They didn't care as long as it was cheap enough.
What did People Express do after it became successful? It tried to be all things to all people. It invested in new equipment like 747s. It started to fly the heavily traveled routes to places like Chicago and Denver as well as Europe. It also bought Frontier Airlines. It added frills like first-class sections.
People Express then promptly lost altitude and only escaped bankruptcy court by selling itself to Texas Air which did it for them.
Good things come to those who sacrifice.
It takes a while but many Internet Marketing entrepreneurs learn the Law of Sacrifice. They learn to identify their target market, focus on promoting products that will appeal to the target market, and to stay the course with persistent effort and not have constant change.
To accomplish this, they use various methods, tools, and follow a traffic formula to build relationships with their leads and customers. They build websites that create trust. They collect name and email addresses using an Optin form on a Landing Page. They use email systems with both auto-responders and broadcast capabilities in order to send messages to their leads and customers. These email messages frequently send information, provide knowledge, and occasionally promote an offering. Many Internet Marketing entrepreneurs learn that leads and customers do not like to be sold to however they will browse and shop. Over an extended period of time, skilled Internet Marketers are able to use hypnotic writing skills, in their marketing campaigns, to get leads and customers to take the action they want. This is how they learn to identify a target market, stay focused, and add value to their target market. They learn to leverage the equity in their list and be successful in the world that includes the Law of Sacrifice.
It looks easy but marketing is not a game for amateurs. Marketing is not a battle of products. It is all about the strategy you use to benefit from the Law of Sacrifice as you have to give up something in order to get something.
You can find out more about Internet Marketing and home-based businesses by reading updates that will be posted at my blog over the next few weeks.
Finally, a great book to read is "The 22 Immutable Laws of Marketing" by Ries & Trout. It is the source of some of the material provided in this article.
In closing, be sure to meet me at my website, WhoIsMikeFarrell, learn some tips about being No 1 on Google at aspenIbiz My Go-To-Market Partners, my affiliate website, and learn how to be savvy with your money like the insiders at aspenIbiz The Conspiracy For Your Money Blog.
Saturday, October 30, 2010
The Law of Line Extension – There Is an Irresistible Pressure to Extend the Equity of the Brand
If violating any of the laws of marketing was a punishable offense, a large portion of corporate America would be in jail.
By far the most violated law of marketing is the law of line extension. What’s even more diabolical is that line extension is a process that takes place continuously with almost no conscious effort on the part of the corporation. It’s like a closet or desk drawer that fills up with almost no effort on your part.
One day a company is tightly focused on a single product that is highly profitable. The next day the same company is spread thin over many products and is losing money.
Take IBM. Over the years, IBM has been a mainframe computer company that made a ton of money. Then they evolved into a company that had everything, midrange computers, personal computers, pen computers, workstations, software, networks, telephones, and of course professional services. They even tried to get in the home computer market with the PCjr.
Along the way, IBM spent millions on copiers (later sold to Kodak), Rolm (sold to Siemens), Satellite Business Systems (shut down), the Prodigy network (which evolved into an ESPN website and a Yahoo content portal), as well as software products including SAA, TopView, OfficeVision, and OS2.
In the early 2000s, IBM was close to collapsing under its own weight. It diversified, sold off, or closed down most of these product lines and focused on world wide professional services.
When a company becomes incredibly successful, it invariably plants the seeds for its future problems.
Take Microsoft, without a doubt the most successful company in the software field. Microsoft has been heard to say it intended to aggressively seek the dominant share in every major software applications category in the personal computer field with a goal to have as much as a 70 percent share in every major software category.
Microsoft Corp has continued on its quest in line extension with online products (MSN), games (Xbox), and smart phones and mobile devices (Windows Mobile). Even with challengers in all these categories, as of 2008, MSFT had a global annual revenue over $60B with nearly 90,000 employees in 105 countries. It develops, manufactures, licenses, and supports a wide range of software products for computing devices.
However, there continues to be ominous signs of softness in Microsoft’s overall strategy.
Whom does that sound like – IBM? Microsoft is setting itself up for a collapse along the lines of IBM ten years earlier.
When you try to be all things to all people, you inevitably end up in trouble. “I’d rather be strong somewhere,” said one manager, “than weak everywhere.”
In a narrow sense, line extension involves taking the brand name of a successful product and putting it on a new product you plan to introduce.
It sounds so logical. But marketing is a battle of perception, not product.
There are as many ways to line extend as there are galaxies in the universe. And new ways get invented every day. In the long run and in the presence of serious competition, line extension almost never works.
In spite of evidence that line extensions don’t work, companies continue to pump them out. Here are some examples
Ivory soap. Ivory shampoo?
Life Savers candy. Life Savers gum?
Bic pens. Bic lighters?
Tanqueray gin. Tanqueray vodka?
USA Today. USA Today on TV?
Why does top management believe that line extension works, in spite of the overwhelming evidence to the contrary? One reason is that while line extension is a loser in the long term, it can be a winner in the short term (previous blog post titled The Law of Perspective). Management is also blinded by an intense loyalty to the company or brand.
More is less. The more products, the more markets, the more alliances a company develops, the less money it makes. “Full-speed ahead in all directioins” seems to be the call from the corporate office. When will companies learn that line extension ultimately leads to oblivion?
Less is more. If you want to be successful today, you have to narrow the focus in order to build a position in the prospect’s mind.
In the conventional view, a business strategy usually consists of developing an all-encompassing vision. In other words, what concept or idea is big enough to hold all of a company’s products and services on the market today as well as those that are planned for the future?
In the conventional view, strategy is a tent. You stake out a tent big enough so it can hold everything you might possible want to get into.
For many companies, line extension is the easy way out. Launching a new brand requires not only money, but also an idea or concept. For a new brand to succeed, it needs to be first in a new category (previous post titled The Law of Leadership). Or the new brand needs to be positioned as an alternative to the leader (previous post titled The Law of the Opposite). Companies that wait until a new market has developed often find these two leadership positions already preempted. So they fall back on the old reliable line extension approach.
The antidote for line extension is courage, a commodity in short supply.
It takes a while but many Internet Marketing entrepreneurs resist the pressure to extend the equity of their brand. As a result, they participate in Affiliate Marketing programs. They use various methods, tools, and follow a traffic formula to build relationships with their leads and customers. They build websites that create trust. They collect name and email addresses using an Optin form on a Landing Page. They use email systems with both auto-responders and broadcast capabilities in order to send messages to their leads and customers. These email messages frequently send information, provide knowledge, and occasionally promote an offering. Many Internet Marketing entrepreneurs learn that leads and customers do not like to be sold to however they will browse and shop. Over an extended period of time, skilled Internet Marketers are able to use hypnotic writing skills, in their marketing campaigns, to get leads and customers to take the action they want. This is how they learn to add value and leverage the equity in their list and be successful in the world that includes the Law of Line Extension.
It looks easy but marketing is not a game for amateurs. Marketing is not a battle of products. It is all about the strategy you use to benefit from the Law of Line Extension as there is an irresistible pressure to extend the equity of their brand.
You can find out more about Internet Marketing and home-based businesses by reading updates that will be posted at my blog over the next few weeks.
Finally, a great book to read is "The 22 Immutable Laws of Marketing" by Ries & Trout. It is the source of some of the material provided in this article.
In closing, be sure to meet me at my website, WhoIsMikeFarrell, learn some tips about being No 1 on Google at aspenIbiz My Go-To-Market Partners, my affiliate website, and learn how to be savvy with your money like the insiders at aspenIbiz The Conspiracy For Your Money Blog.
By far the most violated law of marketing is the law of line extension. What’s even more diabolical is that line extension is a process that takes place continuously with almost no conscious effort on the part of the corporation. It’s like a closet or desk drawer that fills up with almost no effort on your part.
One day a company is tightly focused on a single product that is highly profitable. The next day the same company is spread thin over many products and is losing money.
Take IBM. Over the years, IBM has been a mainframe computer company that made a ton of money. Then they evolved into a company that had everything, midrange computers, personal computers, pen computers, workstations, software, networks, telephones, and of course professional services. They even tried to get in the home computer market with the PCjr.
Along the way, IBM spent millions on copiers (later sold to Kodak), Rolm (sold to Siemens), Satellite Business Systems (shut down), the Prodigy network (which evolved into an ESPN website and a Yahoo content portal), as well as software products including SAA, TopView, OfficeVision, and OS2.
In the early 2000s, IBM was close to collapsing under its own weight. It diversified, sold off, or closed down most of these product lines and focused on world wide professional services.
When a company becomes incredibly successful, it invariably plants the seeds for its future problems.
Take Microsoft, without a doubt the most successful company in the software field. Microsoft has been heard to say it intended to aggressively seek the dominant share in every major software applications category in the personal computer field with a goal to have as much as a 70 percent share in every major software category.
Microsoft Corp has continued on its quest in line extension with online products (MSN), games (Xbox), and smart phones and mobile devices (Windows Mobile). Even with challengers in all these categories, as of 2008, MSFT had a global annual revenue over $60B with nearly 90,000 employees in 105 countries. It develops, manufactures, licenses, and supports a wide range of software products for computing devices.
However, there continues to be ominous signs of softness in Microsoft’s overall strategy.
Whom does that sound like – IBM? Microsoft is setting itself up for a collapse along the lines of IBM ten years earlier.
When you try to be all things to all people, you inevitably end up in trouble. “I’d rather be strong somewhere,” said one manager, “than weak everywhere.”
In a narrow sense, line extension involves taking the brand name of a successful product and putting it on a new product you plan to introduce.
It sounds so logical. But marketing is a battle of perception, not product.
There are as many ways to line extend as there are galaxies in the universe. And new ways get invented every day. In the long run and in the presence of serious competition, line extension almost never works.
In spite of evidence that line extensions don’t work, companies continue to pump them out. Here are some examples
Ivory soap. Ivory shampoo?
Life Savers candy. Life Savers gum?
Bic pens. Bic lighters?
Tanqueray gin. Tanqueray vodka?
USA Today. USA Today on TV?
Why does top management believe that line extension works, in spite of the overwhelming evidence to the contrary? One reason is that while line extension is a loser in the long term, it can be a winner in the short term (previous blog post titled The Law of Perspective). Management is also blinded by an intense loyalty to the company or brand.
More is less. The more products, the more markets, the more alliances a company develops, the less money it makes. “Full-speed ahead in all directioins” seems to be the call from the corporate office. When will companies learn that line extension ultimately leads to oblivion?
Less is more. If you want to be successful today, you have to narrow the focus in order to build a position in the prospect’s mind.
In the conventional view, a business strategy usually consists of developing an all-encompassing vision. In other words, what concept or idea is big enough to hold all of a company’s products and services on the market today as well as those that are planned for the future?
In the conventional view, strategy is a tent. You stake out a tent big enough so it can hold everything you might possible want to get into.
For many companies, line extension is the easy way out. Launching a new brand requires not only money, but also an idea or concept. For a new brand to succeed, it needs to be first in a new category (previous post titled The Law of Leadership). Or the new brand needs to be positioned as an alternative to the leader (previous post titled The Law of the Opposite). Companies that wait until a new market has developed often find these two leadership positions already preempted. So they fall back on the old reliable line extension approach.
The antidote for line extension is courage, a commodity in short supply.
It takes a while but many Internet Marketing entrepreneurs resist the pressure to extend the equity of their brand. As a result, they participate in Affiliate Marketing programs. They use various methods, tools, and follow a traffic formula to build relationships with their leads and customers. They build websites that create trust. They collect name and email addresses using an Optin form on a Landing Page. They use email systems with both auto-responders and broadcast capabilities in order to send messages to their leads and customers. These email messages frequently send information, provide knowledge, and occasionally promote an offering. Many Internet Marketing entrepreneurs learn that leads and customers do not like to be sold to however they will browse and shop. Over an extended period of time, skilled Internet Marketers are able to use hypnotic writing skills, in their marketing campaigns, to get leads and customers to take the action they want. This is how they learn to add value and leverage the equity in their list and be successful in the world that includes the Law of Line Extension.
It looks easy but marketing is not a game for amateurs. Marketing is not a battle of products. It is all about the strategy you use to benefit from the Law of Line Extension as there is an irresistible pressure to extend the equity of their brand.
You can find out more about Internet Marketing and home-based businesses by reading updates that will be posted at my blog over the next few weeks.
Finally, a great book to read is "The 22 Immutable Laws of Marketing" by Ries & Trout. It is the source of some of the material provided in this article.
In closing, be sure to meet me at my website, WhoIsMikeFarrell, learn some tips about being No 1 on Google at aspenIbiz My Go-To-Market Partners, my affiliate website, and learn how to be savvy with your money like the insiders at aspenIbiz The Conspiracy For Your Money Blog.
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