Marketing Advice You Should Ignore

Sometimes you can increase sales by forgetting what you think you knew about marketing. With today’s advances in our understanding of consumer behavior, some of the “tried and true” marketing tactics of the past are no longer valid. According to The Wall Street Journal:

• Loyal customers are the most valuable. This is not necessarily true. While loyal customers are valuable, studies show that they make up only 10% of buyers and buy less frequently. Don’t ignore these customers, but don’t focus entirely on this segment.
• There are many ways to gain long-term brand growth. There is really only one way to grow sales. Reach out to new customers in either existing markets or new ones to increase your customer base. Increased customer loyalty and purchase frequency will not increase market share.
• Differentiate your product from those of your competitor. Resist being different just to be different. Creative binges along these lines can distract you from your goals and inhibit your potential, especially if you lose track of your budget in the process.
• Product Promotions bring worthwhile business. There is a slight truth to this. Promotions are good for reducing inventory, but they don’t bring in new loyal customers. Promotions only attract existing customers, giving them discounts on products they would normally be purchasing anyway.
• Companies skilled at the 4 Ps- product, price, place, and promotion-will win. This is true but it leaves out the component of brand strength. Strong brands create trust and are known for their quality and reliability. Young companies should nurture their brand’s reputation while more established companies should exercise caution when introducing new products that could potentially harm the brand.
• Marketing is about hunting and capturing clients. This is not always true. The internet is a tool that can make your company someone else’s prey. If you put your company online, put your products and services in an easy-to-find place and respond appropriately to business requests.

The deluge of marketing information available can certainly make it difficult to know what is best for any company- especially a small business. Where do you turn for marketing advice? If you have found a source that might be valuable to others, please share it with us by responding to this post. If you need some direction, just let me know!