Marketing

How to serve your customers better?

/ Marketing
Knowing and Serving Your Customers

Peter Drucker wisely said, “The aim of marketing is to know and understand the customer so well that the product or service fits him and sells itself.” But how do we do this well? Here are some tips that I think are crucial to understanding if you want to know and serve your customers well.  

EVERYONE SHOULD GET INVOLVED, NOT JUST MANAGERS.

When it comes to marketing, it is important to realise that it is everyone’s task in the organization. Irrespective of their department or designation within the company, each and every employee plays a role in the effective marketing of the company. To this end, internal communication between marketing and other departments of an organization is important so that all employees share their genuine concerns towards enhancing customer experience and satisfaction. 

USING SOCIAL MEDIA EFFECTIVELY.

Obviously, most companies nowadays deploy various social media platforms to enhance the effectiveness of their marketing. The greatest benefit of social media is that it allows businesses to follow the activities of our customers and potential buyers. Customers’ requirements, wants, behaviour, and satisfaction, as well as their joys, frustrations, and feelings in private contexts (even subtle ones), must be recorded in the form of data! This ensures that as marketers, companies are more informed about their target audience so that they can create tailor-made marketing strategies to attract customers.

While social media by itself cannot propel business growth, they help raise brand awareness and improve leads for sales. As a marketing strategy, it enables the company to create fruitful connections. It also gives the business a chance to talk about itself and build a reputation, thus raising the profile of the company.

CAPTURE THE EMOTIONAL RESPONSES OF CUSTOMERS

Understanding customers is the key to giving them good service which in turn results in strong customer relationships and new sales through positive word-of-mouth recommendations. The consumer at times is driven by emotions while buying certain products. In such cases, the consumer does not bother to make the intelligent or right decisions. 

Emotionally, the buyer develops a sort of affection toward the product. The value of the product is not in its specifications, quality of the materials, features, or benefits. The value is in how it makes customers feel. The product is the experience. It’s not the price, or the discount, but the feeling that you are getting a good deal that counts. 

Even premium brands need to provide the feeling of offering a good deal. It does not have to be a discount, though: sometimes free shipping, personalization or an accessory could do the trick.

An article I read about product buying motives (see reference), interestingly points out how the customer is drawn towards the product due to some physical or psychological attraction to the product. It lists ten such motives, but I thought these five make the most sense! 

1> Displaying Status

People always strive to gain the respect and admiration of their fellow citizens. They constantly take care to maintain their status and display their pride in the assets that they own. Most purchases of imported vehicles, unique furnishings, etc. are based on this motive.

2> Imitating Trends in the market

People frequently try to mimic or emulate others, especially athletes and movie stars. Because of this, new businesses frequently use well-known actors in their product advertisements to appeal to this buying motivation.

3> Showing Affection for family

Affection and love for one’s family, community, and country frequently influence consumer purchasing decisions. The purchase of items like baby food, chocolates, toys, clothing, cookies, etc. may be motivated by affection for children. At the same time, for parents, one may buy shawls, spectacles, gadgets and other items. The motivation behind purchasing gift items for your spouse is also a factor that drives buying behaviour.

4> Being a Creature of comfort

Habits like cigarette smoking, drinking tea, coffee, and soft drinks, sewing only at a specific store and purchasing ready-made clothing from a specific business frequently act as a motivator for customers to purchase specific goods or services. It can create value of brand loyalty within the customer. Comfort plays a significant role in the marketing of luxury goods too.

5> Enjoying Aesthetic Value

Each person has a subjective experience of what feels good aesthetically. If one person prefers a strong scent, another may choose one that is quite light, and vice versa for a white automobile vs a black one. These variations have led to the production of a wide range of goods. This drive for sensory gratification or aesthetic pleasure has changed the design and beauty of items like jewellery, luxury automobiles, wrist watches, furniture, house or factory decorating, etc. 

In Summary

You need to step up your marketing to better understand and serve your clients. The three approaches, according to me, to tackle this are: first, improve internal communication across all departments, not just marketing; second, use social media data effectively; and last, understand your target audience’s emotional drives when you advertise to them.

I hope this blog post was helpful to you. Please share your thoughts in the comment section below.

Reference

  • accountlearning. “10 Emotional Product Buying Motives of Consumers.” Content for Management Studies |, 14 July 2020, accountlearning.com/10-emotional-product-buying-motives-consumers.

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Conquer your goals bit by bit #GreatMinds

/ Great Minds, Marketing

Many times in life, we are confronted with huge, important tasks that require our attention. Daunted by the challenge, we procrastinate. We don’t know how to begin to tackle them. At this point, a good productivity tip to follow is — break down your larger goal or project into small, achievable microtasks. You can even break them down by limiting the time you work on it, say, 20 minutes per task. My friend Jyoti Nair sent me an excellent graphic representing this technique.

This practice not only helps you prioritize but also helps you track your progress. You feel less stressed, and more accomplished after each microtask that you check off from the list.

Here’s what Mark Twain, American writer and humorist, has to say,

WHAT DO YOU THINK?

Let me know in the comments section.

In this ongoing series #GreatMinds on my blog, I am shining a spotlight on the important ideas that some very successful people keep talking about in their public life.

Conquer your goals bit by bit #GreatMinds Read More »

Marketing Research #GreatMinds

/ Great Minds, Marketing

The marketing research process requires an outlined, methodical gathering of market data to aid in business and managerial decision making. Additionally, market research helps business owners and entrepreneurs identify problems and opportunities in their respective niches. Entrepreneurs and companies must follow a specific set of steps to collect data and complete an effective market research study.

Here’s what Clive Cussler, an American author who has reached The New York Times fiction best-seller list more than 20 times, has to say:

WHAT DO YOU THINK?

Let me know in the comments section.

In this ongoing series #GreatMinds on my blog, I am shining a spotlight on the important ideas that some very successful people keep talking about in their public life.

Marketing Research #GreatMinds Read More »

Social Media as a marketing tool #GreatMinds

/ Great Minds, Marketing

We can deploy various social media networks to enhance our marketing effectiveness and to allow our business to follow the activities of our customers and potential buyers. Whereas social media, by itself, is not enough to drive business growth – social platforms can help you connect with your customers, increase awareness about your brand, and boost your leads and sales. When we use social media as a marketing tool for our business, it helps us build fruitful relationships and share our business expertise with many others. It enhances our brand’s visibility. Whether it’s Twitter, Instagram, Facebook, LinkedIn or a host of other apps, it has given all of us an immediate way to connect and share with friends, family and those who share our interests.

Here’s what Paul Barron, CEO, Executive Producer and Editor in Chief of Foodable Network, has to say:

WHAT DO YOU THINK?

Let me know in the comments section.

In this ongoing series #GreatMinds on my blog, I am shining a spotlight on the important ideas that some very successful people keep talking about in their public life.

Social Media as a marketing tool #GreatMinds Read More »

How societal marketing is different?

/ Marketing
Marketing with a strong social message!

We are all familiar with the definition of marketing. Typically, marketing is defined as the management process responsible for identifying, anticipating, and satisfying customer requirements profitably. There are many different types of marketing: traditional marketing, digital marketing, content marketing etc. Today, I want to focus on one of them: Societal Marketing!

Societal marketing is a concept that emphasizes social awareness. Here a company markets a product not only with the consumer’s and the company’s needs in mind but also the long-term wellbeing of society. Societal marketing also focuses upon building goodwill among customers, quite often taking advantage of the relevant social messages. 

Do any advertisements come to your mind when I mention this type of marketing?

Look at these examples:

A very good example of an organization following societal marketing is the Body Shop. The company uses only natural, vegetable-based materials as ingredients for its products.

The cosmetic company Body Shop outlined its plan of pursuing corporate sustainability.

Unilever’s Dove had a Campaign for Real Beauty which was a worldwide marketing campaign launched in 2004. It aimed to build self-confidence in women and young children. It used various hashtags like #ChangeTheRulesofBeauty #RealBeauty etc.

In 2005, Procter & Gamble (P&G) as part of its CSR program ‘P&G Shiksha‘ with an aim to provide children from underprivileged backgrounds access to holistic education

Dove’s campaign in 2016 launched a campaign to highlight the diversity in beauty and help young girls with self-esteem workshops.
P&G launched a cause marketing campaign called ‘Shiskha’ to educate underprivileged children in the country

Let me caution you — this type of marketing is often confused with social marketing! So, let me quickly point out the differences:

While in social marketing, the social good is the primary objective; societal marketing focuses upon the profit generation for the organization as its primary objective. The social good is the secondary objective. 

When we apply marketing techniques or tools to tackle social problems, it is social marketing or socially responsible marketing. It can target an individual or a group or an organisation so that influence will spread throughout society. It is believed that social marketing can encourage people to adopt a behaviour that contributes to the larger interests of society. 

Look at these examples of social marketing:

Campaigns relating to Polio Drops or AIDS Awareness.

Amitabh Bachchan in a popular “do boond zindagi ke” campaign raising awareness for Polio vaccination.
World AIDS day 2019 campaign to spread awareness and debunk myths

You must have seen the billboards on Driving Discipline, Safe Driving by Mumbai Police.

Mumbai Police tackling the issue of traffic indiscipline with ads

On the other hand, Societal Marketing is a different ballgame altogether. Societal marketing blends social, company and customers interests! 

The Synergy of Sustainability and Societal Marketing

Companies that market organic ingredients or no chemicals or additives in their products consider consumer health in making their products. Marketing campaigns that focus on consumer health fall into societal marketing.

Another example of societal marketing is the new trend of eco-friendly marketing. In their marketing, many companies have started to emphasize that their manufacturing process does not damage the ozone layer or that they make organic products or simply, that their products are recyclable.

Some companies market themselves as “green” and emphasize that they use all recycled products in the day-to-day operation of the business, as well.

Companies that do not import raw materials practice a more contained form of societal marketing: they market their products as “obtained from local sources.”

These are all examples of societal marketing. The focus remains on appealing to the environmentally-conscious consumer for the sale of the company’s product!

Look at some more examples of Societal Marketing:

Bamboo straws have replaced plastic straws
Unilever intends to use recyclable tubes for packaging in the next four years

BENEFITS OF SOCIETAL MARKETING

The advantages for the society include social welfare, customer satisfaction, better standard of living.

It helps in increasing sales and market share for the company. 

It facilitates expansion and growth in the long term.

The company or the organization gains by way of creating an edge over the competition, building a positive brand image, and improving long-term customer relationships.

When manufacturers pay good wages to their workers, this builds goodwill in society. 

Adopting environment-friendly green approaches could help a company win over many customers in the long run.

Lastly, I would like to add the societal marketing concept calls upon marketers to build social and ethical considerations into their marketing practices. They must balance and juggle the often conflicting criteria of company profits, consumer wants and satisfaction, and public interest. If they do it well, the pay-off is great!

Let me know in the comments what advertisements came to your mind while reading this article!

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Sale means Profit!

/ Business, Marketing

“Marketing is not only much broader than selling; it is not a specialized activity at all. It encompasses the entire business. It is the whole business seen from the point of view of its result, that is, from the customers’ point of view. Concern and responsibility for marketing must, therefore, permeate all areas of the enterprise.”
– Peter Drucker.

Marketing and Sales are somewhat intertwined whenever we think of a business enterprise. We all know well that for a business to achieve great sales, it needs to have a high level of marketing. When marketing and sales work together – the business can easily achieve its profit goals. 

Have a look on the righthand side of any firm’s Profit & Loss Account – you see the Rupee Value of Sales. All the expenses on the left-hand side are deducted from this sales revenue and we arrive at Gross Profit (EBIDTA). This is the magic of sales. Increase your sales volumes, realise an attractive unit price for your product, you have a handsome sales revenue. And the more the sales revenue, the more will be your profit.  

Price is the most important element in the Marketing Mix

  • PRICE
  • PRODUCT
  • PLACE
  • PROMOTION

We all know the concept of the marketing mix. The marketing mix comprises 4Ps, namely, Product, Price, Place and Promotion. Of these, Price is the most important component because it relates to selling and obtaining profits. The other three Ps (Product, Place and Promotion) are indicative of expenditure in product creation, distribution, advertising, and promotion. 

Marketing & Sales are not the same:

Whereas we generally use the word marketing and sales interchangeably, there is a big difference between these two concepts. Marketing creates an environment where the customers/prospects get interested in the product. Excellent marketing can potentially negate the need for sale. If marketing is strong, lesser sales efforts may be required. We see many examples in this category like several branded products from famous companies like Phillips, Apple, Samsung, and others. On the other hand, if marketing efforts are average, more efforts may be required for selling the product as is the case with many non-branded products from micro, small, and medium enterprises.

Whereas sale is linear, marketing is exponential. Whereas sale is immediate, marketing is long-term. Whereas sale relates to asking questions, marketing relates to telling stories. Another important point – while marketing focuses on the customer and the product, all the focus of sales is on the skills of the salesperson.

The Way Forward:

We can conclude from the foregoing that marketing and sales together contribute a great deal to the success and the profitability of any organization. Let us now discuss, how we can make the best use of our knowledge about marketing and sales to effectively manage our business operation and achieve sustainable profits. As explained above, a well-developed marketing plan and situation-specific marketing strategies will go a long way in generating excellent sales leads. We should also work appropriately on brand development and positioning aspects. It is said and believed that marketing is the battle of customers’ perception of the product. And therefore, we must work hard to create a positive image of the product in our customers’ minds.

Along with effective marketing interventions, we must focus our attention on the following to effectively handle and manage the sales function:
  • Educating and training our salesforce on product knowledge, presentation, and negotiation skills, handling objections, and closing sales.
  • Initiating steps to improve sales team performance.
  • Streamlining incentives and rewards.
  • Developing sales processes and flow charts, documenting, and uploading these on the company’s intranet. 
  • Taking necessary steps for grooming of salespersons; developing suitable dress codes.
  • Providing sales team members with necessary marketing collaterals, catalogues, order forms, etc.
  • Creating a database of old customers, current customers, and our prospects to ensure our regular interaction with them.
  • Taking adequate initiatives for up-selling and cross-selling of our product/offerings.
  • Obtaining continuous feedback and referrals from our customers (and consumers).
  • Ensuring that our current customers remain happy and satisfied. They can later become our loyal customers and do advocacy towards our products.
  • We must try to find reasons as to why our past customers stopped patronizing us.
  • Carefully identifying our target audience, their needs, wants and pain points.

Recently, I attended an interesting seminar on “Business Freedom,” which included an engaging module on sales and marketing. Immediately after the conclusion of the seminar, I was inspired to write this post on the importance of sales in business.

Sale means Profit! Read More »

Know your customers! #GreatMinds

/ Great Minds, Marketing

Whatever products or services you have decided to offer to your customers must be sourced and/or designed, created, or manufactured keeping in view the fast-changing needs, choices, and preferences of your prospects/customers. It is important here to understand and appreciate that customer needs and wants are dynamic and are changing at a mind-boggling speed. Business managers and marketers will therefore have to keep a frequent tab on the market pulse through necessary market research, customer feedback, and surveys so that they can keep their offerings in tune with the changing customer requirements and preferences.

Here’s what Seth Godin, American entrepreneur, author and public speaker, has to say:

WHAT DO YOU THINK?

Let me know in the comments section.

In this ongoing series #GreatMinds on my blog, I am shining a spotlight on the important ideas that some very successful people keep talking about in their public life.

Know your customers! #GreatMinds Read More »