Selling
It!
THE
DIFFERENCE BETWEEN MARKETING AND ADVERTISEMENT
There appears to be a great deal of confusion by entrepreneurs
about marketing and advertisement and how they differ. Marketing
is best defined as the "who, what, where, when and how"
theory often used by news reporters in tackling an important
assignment.
This
theory consists of:
- WHAT are you going to sell?
- WHO are your customers?
- WHERE are your customers located?
- WHEN will you start your business?
- HOW will you reach your potential customers?
Unless
you do this marketing homework, no amount of advertisement will
make you succeed.
In
order to start a business, you should start with a Marketing
Plan. This plan is an organized way of finding objective responses
to the questions every entrepreneur must answer to succeed.
These are written statements of what your marketing outcomes
should be and the time-related strategies for carrying them
out.
Your
product or service must be unique in order to enter the market
place in the first place. The American dream is still based
upon the theory of "finding a need and satisfying it".
The need has to be clearly identified and then sufficient customers
targeted in order to make your business profitable.
The
price you charge for your goods or service must be in line with
your competitors, yet allows enough for a good profit margin.
If you can't sell at a profit, then why go into business at
all?
Now
once you have identified enough customers and it appears that
they want and need your product or service, and then you must
decide on how to reach out to attract them. Your reaching-out
strategies are known as advertisement.
Advertisement
strategies are too important to leave to anyone but you. No
one knows your product or service better than you and at start-up
time, you cannot afford the high cost of an effective advertisement
firm. You must take time to research and pilot test various
methods of advertising. Measuring the results of your advertisement
is the key to effectiveness and success.
The
purpose of effective advertisement is to reach the most customers
that you possibly can, get the most people to buy, convince
customers that they need your product or service and can't live
without you! Advertisement should get your name "out there"
and it should enhance your image.
The
amount that you should use for advertisement may be a percentage
of sales or profits, a set amount every month or a figure determined
by you and your marketing advisor. It doesn't matter what method
you select to determine your marketing dollars, it is vital
that you set aside "something" on a regular basis.
Your
advertisement can take many shapes and forms such as newspaper,
direct mailing, magazines, yellow pages, brochures, cooperative
advertisement, television, handouts, catalogs, samples and direct
personal contacts. It is often difficult to select what advertisement
strategy is best for your business. Many times it is thought
that a "mix" of several different types of advertisement
may be most effective. You must explore all of them and then
take a calculated risk on one or more.
You
need to be able to measure your advertisement activities in
order to learn what is cost-effective. Begin by asking your
customers where they learned about your product or service use
a coupon and record their return or check your sales when a
new advertisement promotional is used. Unless you determine
how effective your advertisement techniques are, there is no
reason to use them at all.
Of
course, without ongoing advertisement of some sort, you are
doomed to advertise your "Going Out of Business" sale.
So take a look at your marketing and advertising and get going
on a marketing plan!
http://www.sba.gov/gopher/Business-Development/Business-Initiatives-Education-Training/Marketing-Plan/http://www.onlinewbc.gov/docs/market/
|
