| There are now 8 P's of marketing a start-up | | | | product or service to fit the consumer is a fast |
| business: No longer can we rely on the status quo | | | | growing movement in marketing. If you intend on |
| in starting a new business. You've been taught or | | | | staying competitive - you should have a |
| have read that there are 4 P's for marketing a | | | | personalization strategy that sets you apart. |
| business - Price, Promotion, Place and Product. | | | | 4. Lastly, profitability is essential. Profit can be |
| The 4 P's have helped many companies keep | | | | analyzed through direct profitability, life-cycle |
| their marketing focused and targeted considering | | | | profitability, market-based profitability, category |
| some of the most important components of | | | | management, life-time value and/ or profit |
| selling their products and services successfully. But | | | | acceleration. Why should we focus on profitability? |
| now, times have changed. With new social media | | | | Because it's important for us as small business |
| networking trends and rapidly changing | | | | marketers to compete in today's competitive |
| competitive environments, there is more to | | | | marketplace and in order to do that we should |
| consider. Think about adding a few new concepts | | | | classify products as high, medium or low |
| to the list: People, Passion, Personalization and | | | | performers helps managers to focus promotional |
| Profitability. | | | | strategies and activities around those products |
| | | | and services that bring in the most profits to the |
| 1. First, let's examine people. In order to | | | | least. |
| differentiate your company from the rest, you | | | | What can you do now? |
| need to have a people strategy. This entails | | | | - Design a people strategy to include a personal |
| developing an environment where people are free | | | | development plan (PDP). This plan will allow new |
| to act (decision-makers), free to think | | | | employees and potential staff to offer insight on |
| (innovators) and are able to contribute to the | | | | the type of work they like to do that creates |
| overall vision of the company (committed). Too | | | | passion and excitement for them at work. |
| many companies are too structured; making them | | | | Development areas can include training, |
| less reactive to changing environments. As a new | | | | short-term and long-term objectives, starting |
| business, you have an opportunity to be less rigid | | | | position and target position as well as timeframes. |
| than your counterparts. Let's face it, being | | | | - Make sure your brand tells a story. Consumers |
| responsive and innovative are the driving factors | | | | recognize passion and can relate to your brand if |
| to success. Sometimes big businesses make it | | | | you have passion. To encourage passion, develop |
| difficult for their 'people' to be able to respond | | | | a brand story and a brand promise. Refer to John |
| quickly to change and do not encourage out-of | | | | Deere, a brand that has been around for 150 |
| the box thinking leaving a huge window of | | | | years, to see how a strong brand promise can |
| opportunity for small businesses. Successful | | | | build a passionate environment. |
| business owners know how to match the right | | | | - Start a personalization strategy by brainstorming |
| people, to the right position. As you begin to grow | | | | with your partners, staff or even friends. Come |
| your business, consider adopting people strategies | | | | up with something unique and different. You can |
| that will set you apart from your competitors. | | | | use social media, email or packaging to create an |
| 2. Second is passion. One of the reasons so many | | | | interesting, personal experience for consumers. |
| people start a new business in the first place is | | | | - Identify your products and services and label as |
| because of passion. Make sure to carry the | | | | high, medium or low performers to examine |
| passion throughout everything you do. Marketing | | | | profitability so that you know where to focus |
| strategists call this branding. What is branding | | | | your efforts. |
| exactly? Branding can best be described as | | | | - Develop your 8 P's marketing strategy around |
| 'everything you do'. With passion comes an | | | | product, price, promotion, place, people, passion, |
| emotional connection to consumers. Make sure | | | | personalization and profitability. |
| your brand tells a story and demonstrates passion | | | | - Exercise scenario planning (what if planning) to |
| consistently. Because new businesses have the | | | | see what you can do to optimize your promotion |
| opportunity to be flexible and are small enough to | | | | strategies while thinking through what if scenarios. |
| create unique experiences for consumers quickly, | | | | - Research and stay abreast of accountability |
| passion will drive your success. | | | | measures such as direct profitability, life-cycle |
| 3. Third, consider personalization. Social media has | | | | profitability, market-based profitability, category |
| brought personalization to the forefront and is a | | | | management, life-time value and/ or profit |
| growing trend in marketing businesses. | | | | acceleration then decide which approach is best |
| Personalization can be defined as the personal | | | | for your company. |
| connection that your client experiences from your | | | | - Take a Managerial Accounting class at your local |
| products and services. Personalization strategies | | | | Small Business Administration office or local |
| can be considered in several ways. By using social | | | | community college. |
| networks you can stay connected instantly with | | | | The fact is the new concept of eight (8) P's is a |
| your followers while creating interest and buzz | | | | great way to focus your marketing and |
| around your business. Email marketing is another | | | | promotions around the 'entire' strategic focus of |
| way you can personalize your marketing. Most | | | | the company; taking a holistic approach to |
| email systems that are used today on Web sites | | | | marketing. Exploring the concept of profit as an |
| or by entering new clients into the system will | | | | eighth 'P' will help marketers to hone in on not |
| allow you to put them into specific buckets. | | | | only marketability but accountability. The key here |
| Meaning, you can better define your target and | | | | is competitive advantage and making sure that |
| tailor your marketing messages. Let's not forget | | | | small businesses have the same exposure to |
| that most small businesses are not as complex at | | | | marketing trends that fortune 500's employ |
| this point. Why not put a label on the package | | | | every day. |
| with the consumers initial. Personalizing your | | | | |