As regular readers know, I have been riding the rails of Amtrak
with Jane Applegate and the Back on Track America (BOTA) team,
helping entrepreneurs all over the U.S. refocus and re-energize in
the aftermath of 9/11. Our task has been complicated by the
recession we're mired in. At the four BOTA events I've
attended, the marketing seminars have been packed with
entrepreneurs trying to come up with new ideas and strategies to
reach increasingly elusive or reluctant customers.
Seminar attendees at the BOTA event in Palo Alto, California,
were privileged to learn from Jay Conrad Levinson, author of the
myth-shattering Guerilla Marketing. Jay delivered so much valuable
advice (in only 12 short minutes), that I wanted to share it with
those of you who couldn't be there. Here, then, (paraphrased
from my notes) is the wisdom of Jay Conrad Levinson:
One of the most common mistakes businesses—large and
small—make is to stop or curtail their marketing efforts in
tight economic times. That's wrong. Really wrong. Indeed,
recessionary marketing can be very effective. Just remember, during
times like these, customers and clients seek value. And value does
not necessarily translate to lowest price. What consumers want
today is to know they're getting more for their money. And that
you're going to be there to stand behind your product or
service.
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One way to convey that is to offer a guarantee. Many business
owners don't realize the longer the guarantee, the fewer the
people who ask for their money back. Six-month guarantees get used
less than 30-day ones. And lifetime guarantees get the fewest
takers of all.
The primary goal of recessionary marketing should be to increase
the size of your orders, to get more transactions from the same
customers. This is easier, and cheaper, to accomplish (especially
today) than finding new customers. While you should treat your
"B" list customers like royalty, you should treat your
"A" list like family. One way to get them to buy more is
to give them something. Try free samples, seminars, consultations
or speeches. You'll also save money by practicing "consent
marketing," or, as another marketing guru, Seth Godin, calls
it, permission marketing. This works because people who've told
you they want to hear about your products or services are obviously
more open to buying from you.
This is not to say you should ignore attracting new clients.
Here you can offer the tried and true-discount coupons, but with a
small twist. Try handing out the coupons at other businesses that
have clientele similar to yours. Use a different brochure to snare
the newbies; first-time customers may need more explanation from
you than your regulars.
Do not ignore Web marketing. You can provide content to your
buyers, whether on your own site or on someone else's.
E-mailing is more cost-effective than mailing, and often draws
impressive results. You can buy e-mail lists and test them (make
sure the list is opt-in; you don't want to start spamming
people).
One of the most effective marketing methods remains using your
existing client base to bring in new buyers. This can be
accomplished through use of testimonials and endorsements. All your
customers are members of something, be it a church, an association
or the PTA. Enlist them in spreading the word about you and your
business. Remember, nothing sells like positive word-of-mouth.