| A 21-Word Definition of Marketing |
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If you are an Infopreneur, you must accept the fact that the only way to ensure sustainable, profitable growth, you must continually expand your marketing knowledge. Knowledge equals power, and, when it comes to marketing, clear and understandable knowledge is a bit hard to come by. As an Infopreneur, it is your job to know what is possible, what strategies make sense for your business, and what results you should demand from your marketing system. This requires a fundamental understanding of the role of marketing. Marketing is one of the only activities in business that makes you money. And marketing done right can have astounding results. Marketing DefinitionThe first step toward understanding marketing's role in your business it to get a handle on exactly what marketing is. When most small Infopreneurs think of marketing, they are generally thinking about promotion -- either advertising or sales. These are two elements of marketing, but there is more to it than just promotion. The simplest definition of marketing for the Infopreneur is "everything you do in your business that puts money in your pocket." That's a pretty broad definition. But true, nonetheless. Yet this definition, while it makes a good point, doesn't help us really understand what marketing is. I prefer to define marketing this way: Marketing is the business activity of creating value, communicating value, and exchanging value to satisfy the needs of businesses and individuals. This definition covers the entire scope of the marketing function. In your business you create value through products or services, and then you tell people about the value you have created, and then you deliver that value in exchange for something you value: that green energy that fuels your dreams. Let's take it apart to make sure we understand the definition. Satisfy the needs of businesses and individualsAny effective definition of marketing must be built around satisfying the needs of businesses and individuals. Without the need, there can be no value created or exchanged. You will notice that the definition includes "businesses and individuals." Really? Marketing always must serve the needs of both businesses and individuals? Yes, at least so far in my experience. I have yet to see the business that can be truly successful by taking an 'either or' approach to the market. Markets are made up of both businesses AND individuals, no matter what business you are in. Now, you might say "my business is very successful and I focus exclusively on satisfying the needs of my customers. I sell directly to those customers online, I don't need to focus on the needs of other businesses. If I stay focused exclusively on satisfying the needs of my customers (individuals) then I'll continue to be successful." And I would say "True. You are very successful, and your priorities are certainly right, but look for opportunities to partner with other businesses. Look to tap into their potential to become affiliates, strategic allies, distributors, content contributors, etc. You see, marketing is always more powerful when it also meets the needs of both individuals and businesses. Create ValueMarketing is about creating value to satisfy the needs of your market through products or services. The need comes first, and then you create value (products or services) to meet that need. Get it backwards (create a product and go looking for a need) and you are missing a huge part of the marketing process. You know, not too long ago, college marketing courses were actually talking about "creating a need" through advertising. It's always been much more profitable to discover needs and create value to satisfy those needs, but academics are a bit slow when it comes to understanding effective marketing ;-). Communicate ValueNow we get into familiar territory: advertising and messaging. Certainly a large part of marketing is about effective communication. This is where you inform those businesses and individuals about the great value you have created. This is also what most people think of when they think of marketing, but marketing communications is really only a small part of the role of marketing. Exchange ValueFinally, we come to the part where money changes hands. You exchange the value you have created (your products) for something that you value (money). This is one part of the definition that is deceptive. It seems obvious, but this part of the marketing definition is critical and often overlooked. There is a lot packed in to this piece -- the value you have created, how much you will charge for that value, how the money changes hands, how the product is delivered and supported -- these are all big issues. In fact, when you consider that *most* of your profit will come from repeat customers, a high level of satisfaction here is absolutely critical. But Isn't That Everything My Business Does? Aha! Now you have taken the first step to a major shift in thinking that will change the way you look at your business and will significantly improve your profitability. In order to really be successful as an Infopreneur, you need to start thinking of your business as a marketing machine. You might be a fitness expert, but your business is the marketing of fitness information. You might be a software engineer, but your business is the marketing of software. You might be a personal development coach, but your business is the marketing of coaching services. Don't take my word for it.This is what Peter Drucker , who in 1997, Business Week called "the most enduring management thinker of our time." says about it:
Now that you have a workable definition that doesn't leave any critical element out of the mix, you can start to make sense of what this means to your business. If you are in business today, you are a marketer. Your job is to facilitate the exchange of value between your company and an eager market. To really succeed in the marketplace, your entire business must be focused on the business activity of creating value, communicating value, and exchanging value to satisfy the needs of businesses and individuals. When you truly get focused on these three elements of the marketing definition that is when you will see your sales and profit expand dramatically.
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3.23 Copyright (C) 2007 Alain Georgette / Copyright (C) 2006 Frantisek Hliva. All rights reserved." |
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| Last Updated ( Tuesday, 13 May 2008 ) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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