The No 1 marketing rule is: Don't tell them what you do; Tell them what you do for them.
You must tell the listener how your product or service can benefit him, and how you can do it better than others who do what you do. Differentiation, niche marketing, and positioning. But what do these words really mean to you in your business? Usually they mean that a business will attempt to sell a product or service that is somehow different than the competition's to a certain, specific target market. In theory, this is a great idea...Welcome to reality. If your company is innovative enough to develop a truly unique product or service that is earning you a profit, the following inevitably happens: competition springs up from nowhere to imitate your product or service, undersell your price, and steal your market share. It's immutable. Obviously, different is better than "me too." However when we talk about niche marketing the question isn't whether or not to be different, but rather how to communicate those differences in a way that your customers will believe and embrace them. Your Real Opportunity for Innovation Lies in the Marketing.
"You need to realize three things about business to understand marketing. These three things are always true, regardless of what industry you're in:
1. All businesses do just one thing: They Woo Customers - Period.
2. All customers want just one thing: The Best Deal - Period.
3. Your marketing should do just one thing: Articulate Why You are The Best Deal - Period. "
The most important question is does your marketing make your value clear to the prospect?
"- All advertising must make a proposition to the customer: Buy this, and you will receive a specified benefit.
The proposition must be unique; something competitors cannot claim, or have not chosen to emphasise in their promotions.
The proposition must be so compelling that it motivates individuals to act."
A unique selling proposition (USP) is a succinct, memorable message or set of messages that identifies the unique benefits that are derived from using your product or service as opposed to a competitor's. A USP should be used as a strong and consistent part of an advertising campaign. If someone were to ask you or anyone in your business "what is it you do"?, you should be armed with an answer that communicates your value poropsition in less than 60seconds and begs the response from the asker; "how do you do that"? Many companies also have a tag line, which should be, although rarly is derived from your USP that can be painted on the company's cars or trucks, printed on the letterhead, and used in the packaging copy. It becomes, essentially, a positioning statement-a declaration of your company's unique standing within the marketplace as defined by your product's benefits.
USP works because of a simple fact of cognitive behaviour. One of the ways the human mind handles the barrage of advertising it receives is to pick something to believe, then hold that notion until forced to change. Snap judgments become permanent beliefs, since it is uncomfortable and difficult to change convictions once formed. The mind tends to filter out new information that doesn't support already held beliefs. This attribute of the mind, called "anchoring," explains why USP is an effective strategy.
Very often a USP is a quick and snappy condensation of the company's strategy but it's all about the positioning. You must understand that any decision to buy from, or use a company's services, first takes place in the mind of the customer. If your company, products, or services are not in their mind, they probably won't use you. You basically, "aren't there" without a position.
You find or create your own position and communicate it over and over again to the right target market.
You have to be perceived by the public as being different from your competition!
Now, the next thing in determining your strategic position is to discover and communicate the following things:
- Who you are
- What you do
- Why you're different
- How you can benefit your prospects
Too many companies only market on features... Features must be turned into Benefits. A feature is anything you have designed into the product or service. A benefit is what the customer gets out of it. A feature may be useful, but it is not of compelling interest in and of itself. A benefit is a solution to a problem, a fulfilment of a desire.
People will not use you unless they perceive they are going to get some kind of benefit. It is vitally important that you know the benefits you can give prospects and to be able to communicate this to them. When you speak to prospects or customers you must speak in customer language. You must have the view point of the consumer and talk in terms the consumer understands. Think of it this way. If your best customer were to tell someone else why they do business with you, what would they say?
