When you think about creating your marketing strategy, you're usually thinking more. More business. More revenues. More customers. More.
But should this be your strategy? Sometimes, more is not the right answer. Sometimes the right answer is different. Here are some questions you should ask yourself:
1. Are you really targeting the right customers?
Are there some customers that are sucking the life out of you - that you'd be only too happy to get rid of? We all have them. But like most business owners, you may subscribe to the "every customer is always right" theory - and you should hang on to anyone who will pay for your products or services. The problem is that it may actually be you, the business owner, who is paying the price.
These problem customers may be costing you more than you realize. How many hours are you spending with them handing customer service issues? What are these customers saying about you to others? These customers that you're so desperately holding on to could actually be costing you more money than they're bringing in and affecting you negatively with other potential customers.
On the other end of the spectrum are the customers that make you think, "If I could just have 10,000 more of you I would be happy". These are the customers that are both profitable and refer you to others. And what's better than having your customers market for you?
So why not take some time to analyze your customer base and group your customers into quadrants. Identify those who are profitable/not profitable, referrers/detractors. Then, take a really close look at your ideal customers (profitable and refer). What is common about them? Once you have this information, why not phase out some of your problem customers (yes - fire them - but nicely), and focus all your time and attention on all those customers you love to work with.
2. Are You Charging the Right Price?
You'd be surprised at how many companies, especially small businesses, originally came up with their pricing on a whim and have never looked back. Originally, this pricing could have been based on what the competitors were charging, or just what they thought they should charge.
Now might be the time to revisit your pricing. And the first thing to consider is whether you are currently competing on value or on price. If you feel that every sales deal comes down to whether you or your competitor is cheaper, then you are competiting on price. If you don't have a clear vision on how you're different, what makes you stand out from everyone else - then you are likely competing on price.
Unless your marketing strategy is to be the low cost provider (and it very well may be - Walmart is a prime example), then you need to really identify what makes you different, and effectively communicate this difference. Only then will you be able to start competing on value vs. price. Plus, you may be able to reconsider your pricing model and start charging a premium.
So how do you figure out your core difference? The first place to start is to ask your customers. Yes, those ideal customers we talked about in point one.
Whenever I first start working with a client, this is one of the first steps I take. And nine times out of 10, the results are shocking. As business owners, we tend to be too close to our busineses to be entirely objective. So what we believe our customers think is unique and special about us - is often not what the customers think at all.
3. Are You Properly Packaging Your Products or Services?
I often get blank stares when I initially ask this question, but when we delve in further, business owners tend to latch on and become creative geniuses. Do you offer massage therapy services - or - do you offer: Sports Rehabilitation and Competition Preparation massage packages? Do you offer small business computer services - or - do you offer No Down Time Pacakges for accounting firms.
Packages tend to feel more tangible, and you can target them to specific audiences or to the specific needs of a single audience. Packages are also a great way to change your pricing in a subtle way. By packaging your products or services, you can build more value and charge a premium.
Before You Think About More, Consider Different
While we all want more customers and more revenue, stop and think about different first. If you can target an audience that is profitable and you love working with, with a package that is tailored to their needs and offer a value proposition that is different from everyone else, then you might just be able to reach those revenue goals a little more quickly - and regain some of that passion for your business (after all you'll have said goodbye to all those customers who were sucking the life out of you). Then you can start thinking about more. More of the customers you want to work with. More of the customers who will become your raving fans and refer you over and over.
How to Create a Marketing Strategy that is Perfect for Your Business:
If it's time to really start thinking about your marketing strategy, then our eBook, How to Create a Marketing Strategy that is Perfect for Your Business is a great place to start:
