What If You Do Not Address Your Customers’ Problem?
In my last post, I discussed the costs of your customers’ problem. This post considers your long-term business prospects and consequences, if you do not address your customers’ problem. This applies equally to your own business and your customer’s, if your customer is a business that needs to understand its customer’s problem.
Local Marketing – Worked Example
A cost is something that can be directly assessed, such as income or membership. In my last post I looked at the impact of poor marketing on organisations. I considered some indirect consequences such as stress and bureaucracy. Poor marketing matters because it implies you do not understand your customers’ problem.
The long-term consequences of bad practice is likely to be failure. For a business, this is likely to mean closure at some stage.
Can You Manage Without Marketing?
However, many organisations continue for years without worrying about marketing. This is common in community and voluntary sectors, where activity is not so cash dependent. Many organisations keep going on membership fees and annual fund-raisers because volunteers run them. It can also be true of businesses that have a proven product or service that maintains income.
So, let’s assume cash flow is not a problem and your organisation is financially secure although not marketing. It may have established customers that spread the word by word of mouth. A shop-front or a few ads in Yellow Pages may be enough for some businesses.
This can be a stable state of affairs. Everyone needs plumbers from time to time and so it may not be necessary to market plumbing. Most people know they need to call one if water is coming through the ceiling. They are also likely to be very much aware of prospects and consequences of not calling a plumber.
But are they fully aware of all the services a plumber can offer? Are they aware of the benefits of calling in a professional and not trying to do it yourself? Or perhaps of some basic tips if you do attempt something yourself?
For a business such as a plumber, it may be possible to do well with minimal marketing. So, it is important to understand not all prospects and consequences apply equally to all businesses or organisations.
Likely Prospects and Consequences When You Ignore Marketing
- Of course, the most likely result is they will go out of business
- They make no contribution to their community
- Educational contribution to customers, staff and the community in general will be minimal
- Fewer partnerships supporting the local marketplace
- Less strategic planning for the city
- Reduced investment in new start-ups or indeed community initiatives
- Supports the view that business is either too risky or a game grasping capitalists play
- Fewer people achieve their dreams
You will note most of these are community prospects and consequences. This is why all organisations should prioritise marketing for the benefit of the community and not solely to protect their future. The benefits of marketing are not solely to the business; lose the business and you lose the benefits it brings to the community.
The General Challenge
This question challenges all businesses to think beyond their immediate interests and consider the prospects and consequences of having a business actively solve the problem it has identified.
If you can name the benefits you bring to the wider community, then you can use this in your marketing. Just as selling double-glazing or solar panels reduced carbon consumption, your business will bring benefits to the wider community.
These benefits are part of your marketing strategy. After all many people will purchase double-glazing because it reduces fuel bills and keeps their house warmer. However, they may tell their friends that it reduced carbon consumption and this may encourage some of their friends to consider buying them too.
Marketing is not an exact science. Something that sells to many people may turn a few people off. But understanding your customer’s problem, the benefits you bring and a commitment to educating the public about them, is the aim of any considered marketing campaign.
Can you think of examples of prospects and consequences from your marketing campaign?