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MARKETING INFORMATION _______________________________________________

To be successful and profitable, you must 'START' using the most effective marketing strategies possible within your overall marketing plans.

Less obvious, is the fact that you must also 'STOP' using the most ineffective, money-wasting marketing strategies.

I call them The 13 Costly Marketing Mistakes. While this list doesn't cover 'all' of the possible marketing mistakes, it does describe some of the most expensive, destructive and most 'common' made by many owners of traditional and home based businesses.

1. ONE-STEP MARKETING

The 'One-Step' marketing strategy is the most common marketing strategy used by most small business owners today. It's everywhere -- and it's a big money waster.

It consists of an ad, flyer or other marketing vehicle that simply 'announces' the business name, possibly lists a few basic features of the product or service and ends with an address and phone number.

The prospect is now expected to respond to this type of marketing piece by immediately purchasing the product or service.

Unless you are offering an extremely 'high-demand,' 'hard-to-get' product/service (an original Van Gogh painting for $100, Super Bowl tickets, etc.) this marketing strategy 'almost always' results in little or no response.

This strategy totally disregards the 'psychological buying sequence' of consumers. It's very much like walking up to a stranger at a party and asking

'Would you marry me?' What do you think the response would be?

2. NOT KNOWING WHICH EFFORTS ARE WINNERS OR LOSERS

Not knowing for sure which of your marketing efforts are producing results and which are big 'money-wasters' is a guaranteed way to minimize your results.

Even new businesses are investing in up to a 'dozen' marketing devices at any given time. Not only are we talking about traditional media, like newspaper or Yellow Page ads but 'many' others that may not be as obvious.

These marketing devices are either contributing to your business profit or destroying it. Most business owners don't have a clue as to which is which.

If they did, they could easily guarantee increasing their profitable results by investing more in the winning devices and eliminating the money-wasting, losing devices.

3. NOT TELLING YOUR PROSPECTS WHAT TO DO

Expecting your prospects to 'know' exactly what you want them to do guarantees low results.

Never, never, never assume. Take a look at most small business ads and you'll see that the business owners are almost always 'assuming' that the prospect will know exactly what they want them to do . . . without telling them.

At the bottom of the ad there will be a phone number and an address. Usually nothing more. Ask one of these business owners what they 'wanted' the prospect to do after reading their ad and they will most likely reply, 'Buy my product! Isn't it obvious??'

The answer is a resounding 'No!'

For one, there is rarely enough information in the typical marketing piece for a consumer to make an 'immediate' buying decision. Therefore, that can't be the action expected from the consumer.

Second, the marketing competition for the prospect's consumer dollars is fierce. The prospect is usually exposed to dozens of ads for basically the

same product/service. Obviously, he or she is not going to take 'action' on every single ad.

How do 'you' insure that they will respond to 'your' marketing piece and take the specific action you intended?

Certainly, not by 'assuming' that they will 'know' or 'figure out' what you want them to do.

In order for a business owner to tell prospects exactly what action to take next, the business owner must know what that action should be. Once you know the 'psychological buying sequence' the next expected action becomes obvious.

4. CALL FOR MORE INFORMATION

Closely related to mistake number 3, is the marketing piece that again simply 'announces' the business name, lists a few basic features of the product or service, ends with an address and phone number . . . and then asks the prospect to 'Call for More Information.'

One of the last things a prospect wants, is to feel dumb. What information should they ask for? Does this mean that the business doesn't have a brochure or any other literature? Are they going to have to take notes?? Will there be a test?

The other thing 'no prospect' wants is to feel pressured. Whether it's true or not, the average prospect 'assumes' that they'll get a 'high-pressured' sales pitch if they call. Most do not want to risk this pain.

Therefore, the 'Call for More Information' tag is almost always ignored.

While 'some' prospects may not have a problem responding to this 'vague' directive, the majority do. If you doubt this . . . try putting it at the bottom of your marketing pieces. You'll soon be convinced that few prospects, if any, respond to the 'Call for More Information' marketing mistake.

5. FOCUSING ON YOU INSTEAD OF YOUR CUSTOMER

It seems natural to tell your prospects about you and your company. We're proud of what we do and how we do it and we 'assume' that our prospects will be impressed and motivated to take action.

'We've been in business for 16 years...'

'We are an award winning, cutting-edge organization...'

'We are equipped with the latest micro-techno, laser-guided, nuclear-activated widget-gizmos...'

Too often these phrases evoke the following responses from prospects:

'So what?'

'Big deal.'

'Who cares?'

Please don't misunderstand. I'm not saying that your marketing materials shouldn't include background information about you and your company and/or specifications about your product/service. I'm saying that this should be 'supportive' information, not your 'primary' marketing message.

It's a costly marketing mistake to think that prospects 'care' about the same things you care about.

They rarely do.

However, they do care deeply about something entirely different. Once you know what that is, and you address it powerfully and clearly in your marketing, you will begin to draw prospects to you like a magnet.

6. NOT USING EFFECTIVE FREE/LOW-COST MARKETING METHODS

Ask the typical small business owner what marketing is, and he/she will probably reply, 'Advertising.'

What kinds of advertising?

'Yellow Page ads, newspaper ads, magazine ads, radio ads, television ads, billboards, bus cards, Val-Pak mailings, etc.'

While all of these advertising devices can certainly be a 'part' of a successful marketing strategy, there are also dozens of 'low-cost' and 'no-cost' marketing methods available to the small business marketer.

By simply discovering and applying these simple 'low-cost,' 'no-cost' methods, you will be able to significantly stretch the effectiveness and profitability

13 Costly Marketing Mistakes: Part 2 by Joe Gracia

Click Here to Return to the Idea-Kit Articles Page

It's relatively easy to produce 'profitable' results with a well-planned, tested and 'proven' marketing strategy. However, it's even easier to lose thousands

of dollars by making 'any' of the following Costly Marketing Mistakes.

7. COPYING YOUR COMPETITORS MISTAKES

If 'everyone' else is doing it, then it must be the right thing to do. Remember mom's admonition, 'If everyone was jumping off a bridge, would you want to jump too?'

Look at the local, small business ads in any newspaper and you will find the same basic format, same basic message, same basic strategy (see Marketing Mistake #1). . . and the same basic results; little or no response.

We feel safe in the crowd. Safe doing what everyone else is doing. We also 'assume' that if it works for them, it can work equally well for us.

Unfortunately, a business's success is rarely from 'one' element in their marketing strategy. Their success is the result of 'many' diverse marketing elements; from their location, to their possible lack of competition, to their 'personality' and 'abundance or lack of' marketing aggressiveness.

But we rarely take all of these strategic elements into consideration when 'copying' our competitors. Copying a single marketing element from a

competitor is like reaching into 'their' pile of puzzle pieces, pulling out one piece and then trying to make it fit into your puzzle.

It rarely works because your marketing puzzle is unique and each piece must fit 'perfectly' with all of your other pieces.

In addition, whatever success a competitor may be experiencing can often be from a 'few' of their less obvious or 'visible' marketing methods. Often the highly visible element (ad, flyer, brochure, etc.) is one of the least effective.

You end up copying the profit losers, rather than developing your own profit winners.

8. DIRECTING YOUR MARKETING TO EVERYONE

Directing your marketing to 'everyone' but to 'no one' in particular guarantees that your marketing will be ignored.

Many small businesses have failed to determine who their best prospects are, where those prospects live or how to reach them effectively and efficiently.

This is a critical first step in any successful marketing strategy. By skipping this step, they resort to running vague and generic 'one-step' ads in mass media, such as local newspapers, magazines, radio, television, cable, Val-pak mailings, Internet Web sites, etc.

Their 'hope' is that by presenting their 'generic' message about their business to the 'greatest' number of people, the result will be the highest number of sales. Wrong.

Unfortunately for them, effective marketing doesn't work that way. The fact is, in most cases only a small percentage of the readers/listeners/viewers of mass media will have a 'need' for your product or service at any given time.

Some business owners may have a hard time believing this, but nevertheless, it's true. 'Everyone' does not need or want your product or service.

By not targeting your marketing to your very 'best' and logical prospects, you are wasting most of your marketing dollars on people who have little or no interest in your product or service.

If there are only 100 'true' prospects for your product or service out of 10,000 possible readers of a publication, why would you want to spend thousands of dollars presenting your message over and over to the 9,900 non-prospects?

Yet, this is the method most small business owners choose because they don't know that there is a much more cost-effective and profitable strategy.

9. WASTING MONEY ON IMAGE MARKETING

A major marketing mistake made by many small businesses is pouring their marketing dollars into 'image' marketing. Some of their marketing pieces may be clever, even humorous.

That kind of marketing rarely asks prospects to take 'action.' The result? Wasted marketing dollars, vague ideas of who saw the marketing pieces and frustration.

Giant corporations like Pepsi or Nike are interested in 'name recognition' and a specific 'image' for their brands. Therefore, they spend 'millions' of dollars on creative, often fun marketing pieces designed to impress their target market with their 'image' rather than to generate a direct or immediate sale.

Obviously your image and name recognition are important to the success of your small business. But even 'more' important are immediate and steadily growing sales.

How can you determine if your marketing is primarily focused on 'image' marketing? It is if each of your marketing pieces don't ask for 'immediate and specific' action from your prospects.

This money-wasting and sales destroying marketing mistake is much more common than you may think.

10. GIVING UP ON YOUR PROSPECTS AFTER JUST ONE OR TWO FOLLOW-UPS

Effective marketers know that persistence and repetition are vital for success. But too many business owners spend a great deal of time and money attracting prospects to their businesses and then either follow-up with them just once, or, as incredible as it may sound, never follow-up with them at all.

Successful people in sales know that most of the sales are made after the seventh or eighth call. Few are made after just one follow-up call.

Your prospects have many reasons for not buying from you immediately.

They may not be ready to make a decision. They may have more pressing things on their minds. They may not feel comfortable enough with you, or trust you enough to buy right now. They may have more questions about your product/service, that haven't been answered. They may have information from you and 2-3 of your competitors and are trying to determine which company would be their best choice.

By following up repeatedly, you will have a dramatic advantage over your competitors, since few of them will follow up more than once. When your prospects are ready to buy, which could be one week from now, or six months from now, you will have a better chance of getting the sale if you are uppermost in their minds. You can only do that by consistently following up.

11. CHANGING YOUR MARKETING STRATEGY FREQUENTLY

Henry Ford once told an ad executive from his advertising agency, 'It's time for you to come up with a new ad campaign. We've been using this one for too long and I'm sure the public has to be bored to death with it.'

Ford was reportedly miffed to hear, 'But sir, we haven't even started running this campaign yet. The public has never seen it.'

Having seen the campaign presentations dozens of times, 'he' was bored with it. He wanted to see something 'new and different.'

You should never, never stop using something that is still working, because you, your employees or your friends are 'bored' with it.

In successful and profitable marketing you should only be listening to your 'customers' since they vote with dollars rather than opinions.

12. WAITING FOR REFERRALS TO MAGICALLY APPEAR

Word-of-mouth referrals are an extremely important element of any business's marketing success. But most small businesses are making a big marketing mistake by believing that those referrals will come automatically.

It's true that if you provide good service and your prices are competitive, you will probably get 'some' word-of-mouth referrals. But to generate an abundance and highly profitable level of referrals takes more initiative and effort.

Unless someone comes to us and specifically asks for our recommendation of a good dentist, doctor, veterinarian, insurance agent or auto alarm specialist we are probably not going to actively 'promote' these businesses to our friends and neighbors.

How often in any given year are 'you' asked to recommend a good dentist or auto alarm specialist? The chances are . . . not very often, if at all.

That's why expecting referrals to come to you . . . just by chance (as most small business owners do), is a costly marketing mistake.

The most 'Costly' mistake of all . . .

13. BASING YOUR MARKETING ON GUESSES AND ASSUMPTIONS

Basing your marketing strategy on 'guesses,' 'assumptions' or 'advice' from friends, relatives or business associates is a sure way to guarantee little or no results from your marketing.

'Guessing' at the elements of your marketing strategy is like trying to guess the specific sequence of numbers needed to open a combination lock.

Since each consecutive step is linked to the success of the previous step, one wrong guess destroys your chances for success.

Most people, including many small business owners, mistakenly believe that marketing is more of an 'art' than a 'science.'

Those of the 'marketing is art' point of view believe that anyone's opinion concerning marketing is just as valid as anyone else's.

In reality, marketing is very much a 'science' with specific principles, rules and 'quantifiable' results.

Because of this 'marketing is art' philosophy, most of what people believe about marketing is based on 'myths,' not 'facts.'

Show ten people two ads and ask them to select the one they think is the better ad. Nine out of ten will select the profit loser rather than the profit

winner. Why? Because they are unaware of and don't recognize the marketing principles and strategies that make a powerful marketing piece a profit winner.

So they base their 'opinion' instead on such vague, subjective criteria as 'cleverness,' 'cuteness,' 'different and artistic look,' and the ads' 'fun/pun' appeal.

These criteria rarely have anything to do with generating maximum response but they have everything to do with wasting your marketing investment and destroying your potential sales.

The best way to develop a successful and profitable marketing strategy is to use the knowledge, experience and skills of someone who has already discovered the marketing approaches that 'do work' as well as the approaches that 'don't work.'

These discoveries should always be based on measurable results from objective tests . . . never subjective opinions or assumptions.

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Growing your business doesn't have to be difficult or expensive. These simple, cost-effective ideas are designed to help you increase your sales and profit, without draining your budget.

1. Focus on Helping, Instead of Selling

You shouldn't be trying to force people into purchasing your product or service. You should find people who want your product or service and then focus on offering any helpful information to them so that they can make an informed decision.

2. Target

If you're trying to target everybody, then chances are, you're not targeting anybody. For example, if you're selling something that homeowners would want, as opposed to renters, then target homeowners. State your target clearly in all of your marketing materials.

3. Stop Spending Money on Ineffective Marketing

One great way to save money is to stop wasting it on marketing and advertising that isn't producing for you. Don't forget to track the number of responses you are getting from whatever method you use. If you're not reaching your goals, then your strategy needs to be revised.

4. Network

Networking is a great way to get your message out to a large number of people, for free. Since each person knows about 250 other people, you can

spread the word about your business pretty quickly. Go to your local Chamber of Commerce meetings. Shake hands at business functions. Exchange business cards with associates you see in stores, churches and community events.

5. Set Goals and Deadlines

Collect your thoughts for a moment or two, and set goals and deadlines. These are vital to your business success. State your goals as specific numbers. (e.g. 10 new accounts, 11% increase in sales, etc.)

6. Focus on Benefits Not on Features

Spend your time focusing on how your prospects will benefit if they purchase your product or service. For example, if you're selling central air

conditioning units, don't sell the power of the unit. Sell the benefit of comfort. Selling insurance? Don't sell the coverage amount. Sell the benefit of security.

7. Write Tips Articles

Newspapers and other publications are always looking for helpful tips articles that would be of benefit to their readers. Submit simple, problem/solution

type articles related to your product or service. State the problem, and then share some insightful tips that can help to solve the problem. Always include information at the end of your articles so that people will know how to contact you to receive more information about your services.

8. Be Persistent

Persistence is power when it comes to increasing your sales and profit. Far too many firms fail because they don't follow-up long enough to produce results. Most sales are made after the seventh or eighth contact--the sale is rarely made after just one contact.

9. Submit Press Releases

Press releases are a very cost-effective way to get your message out to many people . . . for free. Submit your press releases to a wide variety of

publications for immediate release. Keep in mind that the newspapers will usually only print releases that are of interest to their readers, rather than of a selling nature.

10. Offer to be a Speaker

Business and civic organizations are always looking for speakers for their meetings and get togethers. Make yourself available by contacting these groups and offering to talk about your area of expertise.

11. Give a Free Demonstration

If possible, give free demonstrations of your product or service to those that might be interested. Follow-up with these prospects in a timely manner to attempt sales conversion.

12. Distribute Samples

If possible, get samples into the hands of people who may be potential customers. People like to try before they buy.

13. Distribute Informative Literature

Make sure that you get your product benefits, features and ideas into the hands of your prospects. If people don't know what you have, how can they make a decision to purchase it?

14. Use the Telephone

The telephone can be one of your most effective, and least expensive, sales tools. Call people who you would like to do business with. Ask for a few minutes of their time so you can show them how your services can help them save time, cut costs, increase sales, etc.

15. Generate Referrals

Referrals are a great way to generate new business. Don't just wait for people to refer you. Proactively ask for referrals from existing customers, acquaintances, family and friends. Don't forget to graciously thank anybody who refers your business to someone.

16. Have Fun

Frustration and stress will slow you down. You will succeed far better when you're doing something that you love.

17. Talk to Your Customers About Them and Their Needs

Most company publications, ads, letters and sales literature are filled with words, photographs and information that do nothing more than toot the company's horn. Talk about your customers needs instead. Rather than using the words, "I," "me," "my," use "you" and "your."

18. Develop Customer-Oriented Relationships

Take an interest in your prospects and customers. Send them helpful articles that you think would interest them. If you know of an event that your

prospect or customer will be celebrating, such as an anniversary or birthday, send them a card or small gift. They will appreciate your generosity and will think of you when they need your service, or if they know someone else who may need your service.

19. Tell Your Prospects and Customers What to Do

Getting your message into the marketplace is important, but getting prospects/customers to respond is the real test. Tell your prospects exactly what you want them to do next (e.g. call for your free brochure, drop your reply card in the mail, etc.)

20. Take Advantage of Testimonials

Whenever an existing or potential customer says something positive about your company, ask them if you could use their statement in your marketing materials. Your company's credibility will increase with the use of testimonials from happy customers.

21. Make it Easy for People to do Business with You

Your customer is not going to work for you. You have to work for them. Do anything you can to make doing business with your company easy and a pleasure.

22. Content First, Form Second

When developing your sales materials and literature, spend less time worrying about the graphics and colors, and more time working on the content --

what's in it for your customers. As long as your message is enticing, black ink on white paper could work just as effectively as expensive four-color materials.

23. Give to Get

There's an old saying, "You can get everything you want, by helping enough people get what they want." Listen carefully to your prospects and customers so you'll know exactly what they want and be generous in your offers. That way you'll be sure to reap the maximum rewards.

24. Learn a New Marketing Technique Every Day

Read, go to seminars, listen to audio tapes. Continuously improving your sales and marketing skills will help you to increase your sales and profits.

25. Associate with Positive, Successful People

Talking to and learning from people who are always striving for and meeting their goals, will help you commit to and achieve your own objectives.

26. Believe in the Product or Service You Sell

If you don't believe in the quality and benefits of your product and service, your prospects won't either. Present the benefits of your product/service with confidence and enthusiasm.

27. Focus on the Lifetime Value of Your Customers

Don't focus on generating one-time customers. Build a relationship so that a prospect becomes a repeat, lifetime customer.

28. Learn from Someone Who Has Experience

Marketing is an important skill based on both knowledge and experience. The fastest way to gain that knowledge is to find someone who knows what works and has done it successfully. Ask about his or her specific experience in generating marketing results, as well as references, or testimonials.

Reasonably priced marketing materials, like books, courses, workbooks, newsletters, audio cassettes, etc. can be excellent resources, that allow you to learn and apply effective marketing systems at your own pace.

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Attracting Unlimited Customers with the Give to Get Marketing Approach by Joe Gracia

It's human nature for us to focus our thoughts and concerns on our personal well-being. We begin as a child learning how to 'get' what we want from others.

We are constantly thinking about what 'we' want, and about how we are going to get it. It could be food, clothes, or a fancy new car -- it doesn't matter what it is. We spend our lives thinking about how we can satisfy our wants and needs.

This is a universal trait in all living creatures. It is at the heart of our very survival.

And within this basic concept lies the problem as well as the solution to your desire to successfully grow your business.

YOU want to generate more income from your business.

And...

YOUR CUSTOMERS want to satisfy their wants and needs.

Here's the key to success:

The more you focus on what 'you' want, the less you will get. But the more you focus on what your 'customers' want, the more you will get.

A MARKETING LESSON FROM THE BIRDS

Let me give you an example. We have a bird feeder outside of our living room window. We put it up, because we wanted to attract the beautiful red cardinals in our area.

However, when we first put the bird feeder up and filled it with generic bird seed, not one cardinal came to our feeder.

You know the reason, don't you?

The cardinals didn't want the seed we put into the bird feeder. And so, they ignored our feeder.

Next time we filled up our bird feeder we filled it with seed especially designed for cardinals. It was the seed that they loved.

And within a few days, we had cardinals visiting our feeder 2-3 times a day.

We gave the cardinals what 'they' wanted -- and only then did we get what 'we' wanted. It's no different with people.

Most small business marketing focuses on the company, or the product/service, and not on the needs of their customers.

Their ads focus on how long they have been in business, how much experience they have, how many awards they've won.

Or they focus on the features of their product or service.

Often these ads include a picture of the business owner.

The bottom line is, your prospects and customers really don't care about you or your company or your products and services.

They care about one thing only -- 'how can you help me get what I want?'

This is where the Give to Get philosophy comes in.

We're not saying that you shouldn't think about what you want -- what you want is very important. We're saying that in order to get what you want, you

must focus all of your energy on figuring out what your customers want and then give it to them. Then you will automatically get what you want.

For instance, we want to grow our business by selling our marketing course -- The Give to Get Marketing Solution, as well as our other products.

But if we just put up a Web site, or pass out flyers, or place ads trying to sell our course in one quick and easy step, we would actually sell very, very few courses.

Why? Because people wouldn't know us, like us or trust us enough to buy from us. They would be skeptical about our claims.

People don't want to be sold -- they want to be helped.

When it comes to most products and services, people want information first before they are ready to make a buying decision.

So we focus on what our prospects and customers want and we give it to them.

Instead of focusing on what we want, we focus on giving you what you want -- free information.

We created a Web site filled with free marketing articles, case studies, and tips all designed to help you grow your business.

We also created this free marketing newsletter to offer you more of the same.

This is what you want -- and we focus 90% of our time and energy on giving you what you want. We only focus 10% on letting you know about our products.

Why do we do this?

Because if we focused 90% on our products, no one would read our newsletters, or go to our Web site.

By focusing on what our prospects and customers want first, we get exactly what we want later -- sales.

As our prospects read our newsletters and our information on our Web site, they are getting to know us and trust that we know what we are talking about. By providing all of this free information, we are removing the natural skepticism that most people have.

It's a win-win philosophy.

How well does this Give to Get philosophy work? It works incredibly well!

With this strategy we generate hundreds of thousands of dollars in sales annually.

This Give to Get philosophy is universal. If you only focus on the 'Get' part -- what you want -- you will actually repel your potential customers.

But if you focus on 'Giving' first -- giving them what they want -- then you will melt away resistance and begin attracting customers like a magnet.

The first step in attracting customers by giving them what they want, is by understanding exactly what your prospects and customers want.

Here are just 6 things that your prospects and customers want:

1) FREE INFORMATION

Isn't that why you are reading this free newsletter? Be generous in the free information you provide to your prospects and customers.

2) SOLUTIONS TO THEIR PROBLEMS

People don't buy products and services. They buy what the products and services can do for them. We don't buy 1/4 inch drills, we buy 1/4 inch holes.

Products and services solve problems for people. What problems does your product or service solve?

3) TO BE HAPPY

In the end, all people want is one thing -- to be happy. They will buy your product or service because they believe they will be happier after buying it.

Make sure you focus on making your prospects and customers happy -- before and after the sale.

4) TO HAVE NO RISK

There is tremendous skepticism in the world. And with good cause. There are many people in the world who don't deliver what they promise, and so, people are afraid that you won't deliver what you promise.

It's up to you to let them know that you will stand behind your products and services 100%. We wouldn't dream of selling one of our products without a

100% money-back guarantee. Such a guarantee promotes trust, and dramatically increases sales.

We also state our privacy policy clearly on our newsletter sign-up page on our Web sites. We will never sell or share your e-mail address with anyone.

5) TO FEEL IMPORTANT

Everyone wants to feel important. Treat your prospects and customers with respect and consideration. Show your appreciation for their purchases, and provide your best customers with special preferred customer offers.

6) THINGS TO BE EASY

People hate things that are difficult or complicated. Design your marketing systems to make it as easy for your prospects and customers as possible.

Make your information request systems easy. Make your ordering system easy, etc.

These are just a few of the things that your prospects and customers want.

This 'Give to Get' philosophy is powerful and it's effective in attracting prospects and customers.

Everything you do to 'give' your prospects and customers what they want, will increase the chances that you will get what you want.

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John L. Burch DDS