Depth of Marketing and Economics Aspiring Entrepreneurs Should Know About!

Do you want to understand how marketing and economics are impactful to grow your business?

How can you get a Market for an Unknown Product?

Well! you have come across the right article to understand how marketing and various form of marketing will get the business you require for the product. It will also make you understand how global economics will help you in targeting your marketing sector for your business.

The Fundamentals of Marketing.

Philip Kotler defined marketing as "Satisfying needs and wants through an exchange process".and a decade later defines it as "a social and managerial process by which individuals and groups obtain what they want and need through creating, offering and exchanging products of value with others". 

Marketing is all about sending the right message, to the right person, at right time. Marketing is not just about selling but it is also about building a relationship through communication so that they become a customer for a lifetime. To maintain your presence in the market you need to be disciplined and come up with tons of strategies, and tactics to tackle the uncertainty in the market.

Marketing is just a game of perceptions. In reality, what matters is the product. The product should be created as such that it should sell itself. Once the product is accepted by the customer, the customer becomes your brand ambassador and they attract other customers.  We must accept and understand that you need to have a great product, as marketing helps people to discover a product. Advertising, the salesperson, copywriting are all components of marketing. Word of mouth is still considered the best marketing channel.

Consider you started with the business of your dream. Follow these 4 fundamentals to bring and attract customers to your business.

• Know your Target Audience- To know your target audience ask yourself these questions, Who are you trying to reach? Have you identified your niche? What do they look like? What do they do? What do they read? Where can you find them? Often business owners and even marketers think that if you cast the net wide you will reach more people, but the opposite is true. When you cast your net wide you miss the ability to hone your craft, tailor your message, and reach the pain points of those you are looking to serve. More is not necessarily better. Focus is always better. Know your audience like the back of your hand

• Educate on your benefits:- Once you have found out your niche market. You need to educate the audience on why they should choose your product or service. Educate them on the benefits of purchasing such a product or service. Educate them in such a way you are speaking to them on an individual level directly.

• Call to action:- The entire purpose of marketing is defeated if the prospect doesn't take any action towards your business. The basic idea marketing is to get the sale right? Engage your audience into your product so much that they proceed to buy it. Create a method so easy that it removes all the obstacles of purchasing.

• Measure, Monitor, Log, Report and Learn:- Always monitor the efforts you put in to create a purchase for your business. Analyze the data and learn what can be changed to attract customers.

Building a Strong Brand.

While creating a product you must always keep in mind how will your product become a strong brand in the upcoming future. It is necessary to choose a proper category that you can lead-in. If you are unable to do that then what are you going to sell in the market? So selecting the right category is a must. 

Do not try to become no. 1. Be the only one in the market. You have not entered the market to compete with others, you are here to rule. So if you are not able to be a leader in a category of product you can surely try to be the leader in a subcategory of product. Eg When we talk about mobiles each and every brand of Android mobiles is a leader in subcategory viz Samsung - A phone for Business people with superior features, Google - Established itself having the best camera and storage capacity in Android Version phones, Xiaomi - Established itself in budget fit mobiles for all.

Once you create your product as a strong brand, it is easier to remember the product. Due to this reason all your marketing costs, customer acquisition costs go downs. They will rely on you and will become a customer for a lifetime. 

Importance of Communication in Marketing.

Communication skills are the abilities you use when giving and receiving different kinds of information. Some examples include communicating new ideas, feelings, or even an update on your project. Communication skills involve listening, speaking, observing, and empathizing. I would say great marketing can only be achieved if you have great communication. You should not be confused with language skills to communication skills. Effective communication skills in the form of personal interaction, team communications, written and visual messages are essential traits of a successful marketer. Developing communication skills can help many aspects of your life from your professional career to social gatherings, to your family life. Basically, write how you talk. If you want to improve your communication skills start to write. You can improve your vocabulary by watching shows and podcasts. The basic idea to keep in mind is that you communicate the message to the customer properly in the simplest way possible. Good Communication skills give you below mentioned benefits they are as follows:

• Effective communication builds and maintains relationships.
• It facilitates Innovation of new ideas of Marketing 
• Enhances Transparency.
• Overcomes Marketing Obstacles 
• Boost the Morale of the Marketer.

Traditional Marketing v/s Digital Marketing 

The main difference between traditional marketing and digital marketing is through a medium which public or target customers comes across marketing message. While on the one hand traditional marketing uses newspapers, billboards, hoardings, salesperson, TV commercials, Magazines, Radio, etc. on another hand Digital Marketing uses digital platforms such as social media, websites, online ads, SEO, and SEM, blogging, content marketing.

Samsung mobile phones are a generic product. It still does TV ads to reach millions of customers at a time.

To reach a wider audience when the product is generic then TV commercials are much recommended and it also costs less than digital marketing. Over 197million out of 298 million have a television at home considering 4-5 members per household. Television reaches over 800 million to 1billion people. While Digital Marketing is nowhere near or close to these numbers. - Source Wikipedia

Digital Marketing is the best medium to reach people who are good at the fluent English speaking population in the country with great spending power. They are about 100 million people which is not anywhere close to TV commercials. - 

Radio has reached over 65%  of the total population in India. - Source Financial Express

Even newspapers have a reach of near about 465million. - Source Business Standard 

In 2020 the key to find and run a perfect marketing campaign is through finding the right balance between traditional and digital marketing. They both have important marketing strategies and elevate each other when used in unison.

Pros of Traditional Marketing:

• Can reach millions at a very low cost when the product is generic.
• Easy to Understand.
• Something physical.- like newspapers, brochures, magazines.

Cons of Traditional Marketing 

• Can be less engaging.
• Can eat up your marketing budget at once.
• Difficult in gathering Data.
• Customized marketing is not possible.

Pros of Digital Marketing 

• Reaches a large audience if posted on social media or website it not only reaches the customer in the same town but also across the continent.
• Personalized content.
• More Engaging.
• More immediate response.
• Return on investment can be measured.

Cons of Digital Marketing

• Negative Feedback. 
• Nothing physical.

The CATT Funnel of Marketing

When we talk about marketing and making your business profitable we always think if there is any formula that can help us achieve our goal and earn money. While I was working as an intern to learn digital marketing I came across such a method taught me by Digital Deepak.

Wealth = n^CATT

[n] stands for Niche:- Success and wealth totally depends upon the niche you select. It is the category you select to do business.

[C] stands for Content:- Content is the key that will be attracting the customer to your business/brand. Develop content focusing on the benefits and features of your brand. It can be in the form of blog posts, audiobooks, checklist, webinars, free training, etc.

[A] stands for Attention:- Now your content is ready in various forms now it is the time to gain attention from niche selected. All we need to do is get traffic so that the customer starts to get aware of the brand in the market through advertisements, digital marketing, social media, referrals, SEO, paid to advertise, and other primary means.

[T] stands for Trust:- Once your content is ready and you have proceeded with the step of gaining the attention it's all about building trust in the customer. Its all about changing the attitude of the customer and make them take any action on your business/brand.

[T] stands for Transaction:- Once you have built a trust in customers about your brand. The whole purpose of marketing is solved as the customer makes a transaction. But the journey doesn't end here as there are few things like services, warranties, etc comes into the picture. If the purchase is successful and the need of the customer is fulfilled he will automatically promote your products to other potential prospects.

Integrated Digital Marketing 

To understand in simple terms, as it sounds integrated digital marketing is an integration of a variety of marketing strategies with an online approach to start and run a business. The idea behind integrated digital marketing is that, while each individual strategy doesn’t have a huge impact on its own, when used in conjunction, you can create a more influential online presence.

It is always what people do is invest in either of the integrated marketing techniques and expect for sale to happen or get a prospect to become a customer for their business. But digital marketing doesn't work like that. You need to create quality content, grab attention through paid advertisements, engaging them on social media, sending it across using email lists via email marketing, building trust, and then making a sale. That is the reason when all the digital marketing techniques used or applied together gives better results then used individually.

Power of Personal Branding 

Now since you have understood how to market your business/brand, it is now necessary to develop yourself as a personal brand. Customers are here to hear from a personality and not from brands. The personality becomes influences, other people, to invest in the brand and henceforth the personal brand becomes an influencer. That's the reason the top companies have brand ambassadors and the brand is recognized by those brand ambassadors. Eg: PUMA in India is a well-known brand for shoes and the face and personality or I would say the brand ambassador is Virat Kohli and that's the reason PUMA has a great market in India.

When you create your strong presence in the market you will understand your customers more deeply. It helps to establish credibility in the market. A personal brand also helps to develop your professional career and even develop or start a business or a movement. It helps to reach new heights in your business and in life.

Eg:- Virat Kohli starting his own clothing brand as WROGN is still more sellable because of the personal brand he created of himself in the eyesight of generic customers. Even though he is from a sports industry he has developed himself as a personal brand that the customers find themselves connected to him. He has already gained the trust of the other people about his personality over the years by being a role model sportsman and now taking the benefit of the image he created he can now sell anything he wants and people will buy the product if it suits to their requirement due to image he has developed.

Mass Trust Blueprint

• Learn: Develop and learn new skills through Concepts, Procedures & Facts.

• Work:- Your development and idea of upskilling your self will remain incomplete if you don't execute what you try to learn. That is the reason working and implementation is required to upskill yourself.

• Blog:- Start to write about what you have learned. Tell about your experiences through blog content. Writing will make you crisper. You will understand better when you write. 

• Consult:- So when you have become a personal brand you can start to consult to business about their customer acquiring strategies by the experience you have gained rather than working for them work with them.

• Mentor:- Start mentoring what you have developed as a new skill and your experience. Mentoring a group of people will help you explore new leaning and possibilities on another level. Mentor the ones who want to be like you.

• Startup:- You are now ready to start your own business. As now you have understood about the market so you can start your business through product or service by the experience you gained.

Understanding Economics in detail

Economics is a social science concerned with the production, distribution, and consumption of goods and services. It studies how individuals, businesses, governments, and nations make choices about how to allocate resources. We must understand that economics has a direct impact on marketers and their business as it makes them decide how to allocate resources and how you push your product to the end customers. 

It is basically a study to maximize the return on investment.

Now when we understand the term economics in detail we should also know what is the global economy? So the global economy is an interconnected exchange of economic activities between different countries. We always have the misconception that the global economy is controlled by the government bodies of the largest economies. But in reality, they do not, although they do hold the power to control the economies, but here the big banks and largest corporations hold the power to control the economy essentially and fund these governments.

Now the question is how do these economies work? The answer is basic which is via transaction between the top global economies of products and services. The international trade between the countries for the exchange of a variety of goods and services.

The benefits of global economies are that it leads to free trade which leads them to trade and produce products that they have a comparative advantage. It also provides movement of labor. So now skilled professionals and skilled laborers can look for jobs in other countries. Due to the presence of the global economy, it has become easier for countries to attract short-term and long-term investment. Investments in developing countries go a long way in improving their economies.

 

I know this has been a very long article to learn about marketing and economics to run a business or become an entrepreneur. But after understanding each and every factor in detail we come across that how a product, to become successful needs to be a brand to establish itself in the minds of customers and how marketing by traditional or digital means are so important to attract our customers by understanding the economics of the world.