1. The word “Marketing” is used as a synonym for selling, promotion, or marketing communications.
  2. Marketing and Sales are at odds… see each other as different departments or business units, exhibit power tussles and can be uncollaborative. Sales people are left to do all the selling.
  3. There s no Marketing qualified executive on the Board of Directors
  4. The CMO or head Marketing executive does NOT possess an MBA or actual Marketing degree.
  5. Marketing Planning is NOT a priority and routine in your organisation
  6. Client satisfaction levels are below 85%
  7. There is high animosity between the employees and management of the Company.
  8. Your brand actually disturbs a proportion of your market rather than attracts it.
  9. Trade partners and stakeholder hold you in low regard.
  10. Market share and/or profitability are falling or steady.

If any of these symptoms exist in YOUR Company, you AT LEAST should read and consider, “The Four Faces of Marketing”, free at … http://j.mp/ALLmktg

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Better Sales from Marketing

Business people share a lust for sales. Great sales! Extraordinary sales! Record-breaking sales.

“How to get better sales” preoccupies them, drives them, absorbs them.  They pine for profitable sales, AND they crave sales that are as easy as possible.

Business turned to academia… Economics couldn’t

Economics couldn’t conjure up sales. Accounting couldn’t stimulate sales or forecast accurately. Finance couldn’t initiate faster, better or increased exchange…

So, from the insatiable hunger for ‘more’, NEED spawned the science of “Marketing”.

The Business Reason Behind “Marketing” as a Profession – How to Consistently Grow Profitable Sales?

In the 60’s , the discipline of modern-day “Marketing”, as a specialist profession, was really born. Out of the School of Economics, studies of true business successes were initiated when Industry said, “We want to find out why sales progress, and how to

Out of the School of Economics, studies of true business successes were initiated when Industry said, “We want to find out why sales progress, and how to re-produce these sales successes”.

Empirical academic studies and practical, industry-sponsored studies, quickly identified key models and concepts that became cornerstone to modern commercial success: Everyday tools to business strategists and marketing directors of successful companies around the world. A database of all the profit-making methods was even built, and maintained for over a decade (called “The ‘PIMS’ Database[1]”).

How to get best possible sales? Use appropriate marketing!

Sadly, many executives who are responsible for Sales, have built careers on – and only know – systems, routines and operational ways to get great sales… and, because there are many great sales people in most industries, these commonly shared methods undermine competitive advantage.

Generating extraordinary sales, record-breaking sales, and genuinely better sales, elude many., because what they THINK is Strategic Marketing is actually Tactical/Operational Marketing.

Strategic Marketing is the SUSTAINABLE path to profitable sales and growth, mostly evolving from planned and well-managed application of marketing science, marketing models and methods, complex and skilled permutations of advanced techniques, and marketing devices under-educated marketing consultants only wish they knew and understood.

Yes, there ARE exceptions: Dynamically Continuous Innovations and Discontinuous Innovations (which have recently been trendily described as “Disruptive Innovation”) but these will be short-lived without strategic marketing disciplines.

The Conundrum of Marketing

The Conundrum of Marketing is that few understand the breadth and depth of the discipline; the advent of the digital era has allowed  convincing sales people to twist and distort the meaning to their own advantage.

Lack of advanced understanding comes with lack of education. ANYONE who calls himself, or herself, a Marketing Professional, who hasn’t completed at least one full [dedicated] degree in Marketing, is far short of properly trained in strategic marketing.

However, they may be brilliant in Operational Marketing… so others, who are also ignorant of the extensive nature of the discipline, believe Operational Marketers to be competent and qualified in strategic marketing.

Operational Marketers, naïve of the knowledge that can be honed from strategic marketing training, themselves believe they have mastered their art.

They are like witch doctors completely unaware of modern medicine: They know what to do in a singular, unchanged environment, but are lost in new or unfamiliar circumstances.

This is how big, omni-potent businesses go bust.

In 1986, Fortune Magazine named Digital founder Ken Olsen, “America’s most successful entrepreneur”. He said there was ‘no reason for any individual to have a computer in his home’. OPERATIONAL thinking, not STRATEGIC.

In my earliest days I was guilty, myself, of a limited operational perspective and I have witnessed peers, friends, superiors, students, competitors, the most well-meaning and the most arrogant, ALL suffer the inevitable ignominy (and pain) of defeat, that could have been wholly and completed avoided if they’d only been empowered with strategic marketing skills.

Businesses don’t fail! Products don’t fail. It is PEOPLE who fail!

The evidence is around us … 90% of new products should NOT fail. 67% of businesses should not close within 10 years! Established businesses SHOULD be immortal.

In Australia alone, 44 business close down every day! A staggering 42% of business closed down 2003-7… BEFORE the GFC!

Product launches that fail. Businesses that close their doors. Corporations that lose millions. These are ALL symptoms of weak or missing Strategic Marketing.

To serve the global community and those who are willing to listen, I have penned a small book, to introduce those with an interest in sales growth, to the differences between operational and strategic Marketing.

IF you’re keen, you can download it from j.mp/ALLmktg or drop me a line & I’ll send you a copy.

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[1] Profit Impact of Marketing Strategies

So many businesses could boom beyond all expectations…
… If ONLY they knew how much they don’t know, when it comes to ‘marketing’.

So many still think that “marketing” is “promotion”. Others perceive it as simply ‘selling’. Dangerous CEO’s think marketing is just ‘fluff’.

Companies that have leaders with this perception are ultimately doomed… proven infinitely, too often, by companies, businesses, brands and products that ‘fail’.
In fact, companies, businesses, brands and products do NOT fail, management does!

But try telling the naïve, the ignorant and the uninformed: They don’t know how, if they’d only opened their minds, the bulletproof armour that ‘true’ marketing provides.

The complexity of this problem is exacerbated by the fact that too few senior executives were exposed to advanced marketing study at tertiary level, and that TOO MANY were so badly taught by so many inept academics, that the power of marketing methods was never revealed, ad that many students at University were so focussed on finishing their full-time degree and getting a job that they too quickly forgot the advanced skills they were taught much sooner in their careers than when they were called upon to use these skills.

When you cross-pollinate the additional issue of operational knowledge vs. academic knowledge (industry specific knowledge vs. strategic theory) the issue of corporate (and personal) arrogance raises its ugly head.

A common example of this is strategy problems that could easily be solved by product typing.

Take, for example, the B2C model of product type.
If you are selling guttering, time-share, insurance, or any other unsought good, the ‘rules’ say awareness is key. Too many guttering, all time-share and struggling insurance businesses don’t even grasp this!

Then, those that do don’t understand segmentation must be bought to turn this knowledge into profitable strategy development. Then, those that can, don’t have the acumen to brief, commission, or recognise good marketing research in terms of a segmentation study… and THAT’S assuming their management will empower them with enough funding to acquire this knowledge.

Then the organisation may not have adequately skilled people to interpret the research, brief and control the creative development in marketing communications, exercise scientific management of media variables (weight, reach, timing, competitive response, etc.) or the management of channels, production, product portfolio, pricing, people, processes, positioning, etc.

What happens in almost every industry is the LEAST WORSE battle for major market share, the completely devoid of know-how battle for crumbs.

IF a company flukes or actually plans using advanced, integrated strategic marketing, they end up with ‘unnatural’ marketing share levels of 80% plus… long term!
Look at Coke, Mars, McDonalds, and P&G: Companies embracing marketing scientists & enjoying the benefits.

Look at Ansett, FAI, thousands of SME’s that collapse annually… victims of their own refusal to believe they need marketing science.

Imagine a world where businesses, NFP’s and government bodies actually were truly marketing led and managed… utopia!

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Begin your trip towards explosive growth in sales and profits, by starting at:
http://bit.ly/MktgDef

Frustration is viral

November 20, 2013

Frustration is a viral sentiment spreading throughout the global business community, “How do you find executive management who can truly achieve results, embrace cutting-edge methods and implement bold new ways to succeed?”

Business success comes not by natural intuition, through costly mistakes, charismatic diplomacy or knowing the ‘right’ people. (This attitude has, and continues to, put potentially immortal companies at risk and costs billions in avoidable commercial failures.)

Business success comes from wisdom-based talent layered upon experience and knowledge.

Many large international businesses need to experience change and renewal, particularly those with a number of market leading products, in established industries, major categories and competitive businesses.

They desperately NEED sustainable competitive advantage, which comes from innovation built upon solid strategic skills, genuine strategic innovation, blue-ocean growth initiatives spawned by the ability to identify key challenges effecting the organisation, and ability to develop and conceptualise strategies to improve competitiveness, steering those initiatives to improve overall business performance.

This calls for a leader with academic grounding, a breadth of experience that is rare among business individuals, and genuine successes in SME as well as middle sized and large companies. (The premise being no one person is ever responsible for success in large organisations, so ‘pure corporate’ executives from this background are more likely to behave been at the right place, at the right time, as often as they are a true performer.)

Boards must now scour the executive labour market for a new beast: Someone best suited is now an individual with success across a plethora of industries, who possesses demonstrable ability to understand new concepts quickly and act as an innovative thinker, with numerous experiences setting product strategy as well as the ability to implement.

Breakthrough performers must possess a passion for marketing strategy and instinctual understanding of buyer behaviour. They must be endowed with insight into the mechanics of marketing planning and business issues, and a wisdom that is unlikely to been seen in a young, corporate “climber”.

Self assured, mis-perceived as arrogant, or over-confident, ‘hero’ CEO’s dispel doubt when allowed to apply their craft and when results evolve.

All it takes is for an imaginative and dynamic Board or Shareholders to dare to try… the outcome being greater than the pain of resistance to change if they do.

What about the future?

November 20, 2013

Many businesses reach the height of their success just before they expire. Why?

Under the operational umbrella, they they have learned rights and wrongs, developed an understanding for their strengths and weaknesses, developed quality networks, and streamlined efficiencies.

Under the strategic umbrella, leadership and management are starved of skills.

Ignorance, being blissful – until things go wrong – remains in tact. Management blames the economy, their workforce, their trade channels, their advertising agencies, even their customers, for their demise.

The truth is they do NOT know what strategy is. They do not have strategic skills. They have not managed, or planned, strategically.

A decent strategic marketing plan protects against an adverse future, in fact it creates a utopian one.

A decent strategic marketing plan understands industry dynamics, capitalises upon competitive circumstances, caters for and creates opportunity in economic change, and prepares an organisation for evolutionary adaption to new market forces.

Life cycle stage analysis is a crucial element of strategic marketing. So is product portfolio management. So is brand portfolio management. So is trend analysis. Tracking change in market and segments alike is mandatory for strategic planning.

I was once told by the CEO of Australia’s biggest software and hardware distributor at the time (with 75% market share), “We write a marketing plan in 3 weeks”. They went broke within 2 years.

I once expressed concern to Australia’s biggest Office Equipment supplier that they needed to think about Strategic Marketing. The Sales Director replied, “Don’t talk to me about ‘marketing’, we just need to get out there and sell!” They collapsed into liquidation 18 months later.

I counselled a company for three years in photographic services and forewarned them of changes to consumer behaviour. Their CEO said, “This company has been going 44 years, and you think you can predict its demise.” Four years later he, and his business, were dead.

National Account managers in FMCG, senior consultants in global consultancies, CEO’s of multi-nationals… all can fall into the trap of mistaking tactics for strategies: Perceiving operational skills as strategic ones, with impressive success camouflaging the absence of outstanding success.

When a business becomes bullet proof, immortal, and self-perpetuating; even then there can be no rest. This is (traditionally) when the smooth talkers, diplomats and bureaucrats – overshadowing the gifted strategic thinker – win Board level roles.

Insightfullness, the ability to see the future with clarity, the skills to determine what factors are relevant, crucial or significant, is not necessarily accompanied by charisma, diplomacy, or graciousness.

It takes a brilliant mind, wisdom of the ages, entrepreneurial spirit and great basic training to lead a company to a dominant future.

This is the aspiration great leaders must envisage and pursue. This is how CEO’s should be assessed and evaluated, and rewarded. For my money, it’s ALL about the future.

[Anyone wanting to know more about strategic planning should go to: http://j.mp/markstrat ]