Good Marketing, Good Product

Good Marketing, Good Product

Alex Goldfayn is the author of Evangelist Marketing (BenBella Books, 2011). Goldfayn specializes in B2C marketing. His clients include Amazon.com, Nokia, TiVo, etc. While Goldfayn is focused on B2C, the majority of the principles and strategies that he teaches are equally applicable to B2B, including: 1) Think in terms of customers, not products. 2) Think in terms of marketing, not engineering. 3) Think in terms of results, not features. Accordingly to Goldfayn, most good products fail because customers do not know about them due to bad marketing.

As a general rule, sales and marketing success is a function of how your product or service is perceived by customers. It does not matter what you think about your product or service. It ONLY matters what customers think about it. The ultimate test: Are customers buying? Having a good product or service combined with bad marketing is the most common scenario for companies. The good news is that “marketing is the lowest hanging fruit.” Working to improve your marketing will yield the fastest, most dramatic business and sales results for the organization.

EXERCISE: Question one, where does your product or service fall on the Y axis of the success matrix? For the sake of this exercise, assume that it is an eight (better than the mid-point of five, the average). Question two, where does your marketing fall on the X axis of the success matrix? Since below average is most common, we will assume three. That means you are in the “bad marketing, good product” category. If customers discover your product or service, they will be pleasantly “surprised.” The problem: Not many customers will discover it due to bad marketing.

Why is marketing the lowest hanging fruit? If your product or service is an eight, there is only a vertical distance of two points to reach ten – the best. Having a better product or service does not mean that more people will discover it. However, if you work to improve your marketing (e.g., from three to six), you will substantially increase the amount of customers and revenue for the company. Moving to six would put you in the “good marketing, good product” category where customers are evangelists – the ultimate. It pays to improve your marketing, the lowest hanging fruit.

Good Marketing, Good Product

ADD ON (10-05-12):
GM/GP creates evangelists. Evangelists spread the word about products; e.g., Apple’s iPhone. GM/BP creates anger. Angry customers feel overpromised and under-delivered; e.g., BlackBerry PlayBook by RIM originally launched without email. BM/GP creates surprise. Surprised customers like the product, but did not know about it; e.g., Windows Phone with 3.5% market share. BM/BP creates unawareness. Unaware customers cause companies to go out of business or products to get cut; e.g., Microsoft’s Kin was discontinued 48 days after it launched due to poor sales.

All contents copyright © 2012, Josh Lowry. All rights reserved.

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