Marketing needs come in all sorts of flavors:
- I'm a chiropractor working 12 hour days. When do I have time for marketing?
- I'm a CPA and I can only take on clients within an X-radius driving distance.
- I'm a licensed psychologist looking to get new customers in the [region] area.
- I'm a writer for the entertainment industry and I have a script to pitch.
- I'm a wellness health professional with a small retail storefront, what's the best way to attract new and retain old customers?
The way marketing has evolved with the digital landscape has made it easier than ever for small businesses and sole proprietorships to market their products or services to new, undefined customer segments.
Budget has always been a factor for the type(s) of marketing programs used to acquire or retain customers. The deeper the pockets, the better the program? Not necessarily so. You can always use a "no-frills", open source application to handle some of the marketing. You could use Microsoft Word to design a sales brochure in-house and either print it yourself or at a local printshop. A marketer can help you craft the right message and what to say that sells your services to a new customer.
People have to make the time to seek out marketing best practices for their industry and to utilize that knowledge that separates them from the competitors who attended the same seminar on how to market their business.
No one knows a business like the owner of a company. This is why effort is a key factor for marketing success. If you're not working with an outside marketing consultant or have one in-house, you'll be doing all the marketing yourself in addition to everything else your company does. It takes an active understanding of what marketing tools are best for your line of business. The days of flat advertising in the "yellow book" are no longer relevant.
Here's a tip on competitive intelligence:
Find a company that's similar to your own and search for them with all the methods you know. Telephone book ad, online listing, local flyer/message board ad, or where they appear in a search query on your favorite search engine. What is it about their marketing message that caught your attention? If you were their customer, would you respond?
The Pareto principle (a.k.a the 80-20 rule, Haddad's Theorem) states that 80% of the effects come from 20% of the causes. In the business world, this has come to mean that 80% of your revenues typically comes from 20% of your customers. Businesses have long sought after more customers who are akin to the 20% that generates the most revenues. How is it done? One method is to use customer segmentation.
Is this scenario familiar to you?
You're putting together list acquisition specs for business unit of your company (or your client's). The BU manager wants to launch a customer acquisition campaign that targets all small and medium sized businesses which have 100-500 employees, have $XX+ millions in revenues, and are geographically located in southern California. Their best repeat business customers comes from professional offices such as engineering, architectural, CPA, and law firms.
Do the specs and requirements match?
Traditional segmentation used to mean that you'd take a database (or list) of customers and carve them out into customer groups based on demographics or socio-psychographic data (e.g., Claritas). Value-based segmentation looks at groups of customers in terms of the revenue they generate and the costs of establishing and maintaining relationships with them. ROI is not just a financial statement hot item, it is a typical key performance indicator (KPI) to gauge how useful customer acquisition strategy is by comparing what measures it took to get that customer's business, how many units of X they purchased, and how many more units of X they intend to purchase.
Just who are your customers anyways?
The basics of customer segmentation answers the following parameters of any industry its applied to: Who, What, Where, Why, and How.
Who
Consumers? Businesses?
What
Your products or services.
Where
Not just for postal recipients. Did they respond to web or email advertisements? Attend a webinar? Buy directly from you or from an affiliate merchant?
Why
The reasons(s) why your products or services won the sale. Is your product or service better than that of the next best substitution product/service? Cheaper? Easier to use? A simple followup with a customer survey usually answers this and keeps the feedback door open.
How
How was it purchased? online? at a physical storefront? at the company store? at a tradeshow/seminar event?
