Download - Marketing Simplified
Marketing Marketing -- SimplifiedSimplified
Distilled From One Of Al Ries’ & Jack Trout Books
by
Rajesh Sengamedu
13 Mar 2010
Disclaimer & NotesDisclaimer & Notes� This is not my original presentation. I thank the authors for their wonderful insights
� I prepared the presentation from my notes taken while reading the book (unfortunately forgot
to write down the name of the book)
� I found the simplicity of ideas expressed as the most compelling value proposition of the book.
� Our own experiences* in the startup, reaffirms some of the key points especially with
◦ Branding for product
◦ Distribution
◦ Pricing
◦ Promo tactics
◦ Market Research
� I think the book underplays the importance of Internet and considers it useful only as a promotional media, which I strongly disagree.
◦ Internet is not only a good promotional vehicle, but is also the most important and cheapest method of reaching a large consumer base spread across multiple geographies – both for selling products and services
*: Any one interested to learn more drop me an email: rajesh dot sengamedu at gmail dot com. Would help if you can explain the real world difficulties /dilemmas that you are facing wrt your marketing strategy for me to provide you with a better response.
What Is Marketing?What Is Marketing?
� Marketing is:
◦ “Simply figuring out what you have to do to sell your product or service for a profit”
◦ Like a Movie with the product as the star. Everyone and everything in the movie is part of telling a simple story about why my product is different and it should be bought instead of other products
How Much To Spend On How Much To Spend On Marketing?Marketing?� Spend enough to do the job� Ground Rules to spend:◦ Prepare marketing plans that present each
product in terms of its marketing life cycle ( Is it a new market, what is competition doing, what is differentiation etc)◦ Rank product opportunities (can we get
premium pricing?, is it a new idea that can establish leadership?, Is it commodity business?, Is the competition already established?)◦ Assign advertising tasks◦ Stop when you are out of money
Rules Of Distribution ChannelRules Of Distribution Channel
� The more direct the channel, the more
control
� Don’t compete with your customers
� Always ‘show the money’ to your
distribution channel
How to Brand?How to Brand?
� Figure out a simple brand name that
explains product benefit
� Figure out and communicate product
differentiation
How Should One Develop How Should One Develop Product Strategy?Product Strategy?� Product should always be either #1 or
#2 or something new
� Something new means
◦ Offering to a new sub-category (can be done if you segment the market well enough)
� Avoid line extensions as it dilutes the
brand
Pricing GuidelinesPricing Guidelines
� Always stay in the ballpark of competition
� People will pay a little higher for perceived value
� High quality products should be more expensive
� High priced products should offer prestige
� High prices & high profits attracts competition
� Its hard to win with low price
� Prices can go down
Market ResearchMarket Research
� Remember that most customers ‘talk
and act differently’ and ‘buy what
others buy’
◦ So, its pointless to research what customers want!
� Best way of spending money on
market research:
◦ Figuring out differentiators as it exists in a customers’ mind for a particular category
What Is Good Advertising?What Is Good Advertising?
� Should dramatize a product’s point of difference. It should supply a reason a buy
� Avoid meaningless slogans� Judge how well the ad dramatizes the
product difference� Judge how honest the message is, how
simply the message is presented and whether or not there is some interesting news for the customer that translates into a benefit
How to Pick The Right Medium How to Pick The Right Medium for Advertising?for Advertising?� Media with ‘sound’ is more powerful than without
sound
� Use the following◦ PR: To launch the idea, give it credibility, create a
buzz
◦ Advertising: To build the awareness rapidly for the idea
◦ Trade Shows: Generate excitement among industry insiders or distribution channels for the idea
◦ Internet: Offer more info on the idea (I disagree here)
◦ Direct Mail: Present the idea to a list of best or biggest customers
◦ Promotions: Generate trials for your new idea
What about product logo?What about product logo?
� Design a logo around the product
name
� A product name is more powerful than
a symbol