The Essential Guide To Winning The Marketing War The 80-20 Killer Marketing Club The Essential Guide To Winning The Marketing War Part 1 of 12: Introduction and Marketing Strategy Defined 0|Page www.8020Center.com The Essential Guide To Winning The Marketing War WELCOME Hi there and welcome to the first edition of a twelve part series on Winning The Marketing War. I’ve often been asked for a book on marketing for business owners and so I’m writing one chapter per month over the course of 2013. The book will be full of effective strategies and tactics, illuminating examples and practical exercises so that you can implement into your business step-by-step. And as a Killer Marketing Club member you’ll have exclusive access to each installment of what will be a complete book by the end of this year. Here’s the Table Of Contents *… Introduction Chapter 1: Marketing Strategy Defined Chapter 2: Finding The SUN: How to be in different and in demand Chapter 3: The Black Jellybean: How to eliminate competitors Chapter 4: Establishing Your Beachhead: How to accelerate your achievements Chapter 5: Marketing Trickles: how to all but guarantee a flow of high quality new leads Chapter 6: Easy Entry Offers: how to naturally and easily convert prospects into clients Chapter 7: The Maltz Effect: How to increase desire for your products and services Chapter 8: Choose Your Weaponry: How to build an unbeatable marketing arsenal Chapter 9: Creating Scalability: How to decrease your hours and massively increase your earnings Chapter 10: Benchmarking: Creating a system for continuous improvement Chapter 11: “Potentializing”: How to get maximum performance from your people Chapter 12: Ready Fire Aim: What to do when it all goes pear shaped (which it will) Appendix: Additional resources This month you’ll receive both of the first two chapters as your January and February Killer Marketing Reports. Enjoy! * Chapter titles are subject to change if I get a better idea! 1|Page www.8020Center.com The Essential Guide To Winning The Marketing War INTRODUCTION Why I included the word “war” in the title. In the pre-publishing phase of this guide I had kick-back from some whom didn’t like the inclusion of the word “war” in the title. It was suggested that I replace “war” with “game” or “contest” because of the association with suffering that war inevitably brings. Like you, my thoughts are influenced by my philosophy. And as a practitioner of Zen I’m taught to practice compassion and to refrain from promoting violence and so I reflected on the feedback. However Zen also asks me to practice perceiving and working with reality as it is rather than to fool myself with the illusion of what I’d prefer reality to look like. In other words if it’s a spade then see it as a spade and “call a spade a spade”. And so after further reflection I concluded that “war” was the right word because it was the most accurate word to use when describing the reality of marketing. The reasons are multiple: In war the victor destroys the loser and/or the loser’s ability to function. Around the world today, there are literally tens of thousands of businesses that are ceased to exist because they were either too passive with their marketing or they lost the marketing war. It has been this way forever and I can’t see any changes in the next million years or so. It’s true that “competition” fairly describes an aspect of the natural world in which we live. It’s why humans are the dominant species on the planet: because we compete better. It’s why plants with more effective root systems will starve others with lesser roots. And on the subject of starvation, its why sports players, musicians, artists and charities either go hungry or own a private jet. To the victors go the spoils. But the problem with describing marketing as a competition or game is that these terms don’t adequately describe what happens to you when you fail to market your products or services better than your competitors. 2|Page www.8020Center.com The Essential Guide To Winning The Marketing War When you lose in sport you drag your sorry carcass off into the change room but you also get the chance to play in that body again. In business the equivalent to your body is your business. And once your business is dead, it stays dead. There is no coming back from dead. You have to start again with a new business. In the meantime you suffer, your family suffers, your previous employees suffer and so do your ex-suppliers. Furthermore the harsh reality is that you have competitors who want your business to die. Rightly or wrongly there are large and small competitors who want your market share; they want your clients and your revenue and perhaps even your team members. They’re like the Japanese attacking Pearl Harbor: they may not have told you they are at war with you but they are sure as heck attacking your assets. Neither ignorance of the above, nor apathy, nor passivism will save your business from annihilation any more than a million people staging a “sit-in” would have saved Europe from the ruthlessness of the Nazis in World War ll. So how are wars won? The answer is simple: A winning strategy executed well wins wars. And that’s what this guide is all about: “One gram of good strategy will always beat ton of hard work.” Why I included the term “essential” in the title One of life’s time proven principles is the Pareto or 8020 Principle. Hence my business: www.8020Center.com. In a nutshell, 20% of inputs will most often yield 80% of the outcomes. For example, 20% of salespeople make 80% of the sales. 20% of advertisements pull 80% of enquiries. 80% of happiness comes from 20% of time. Naturally these figures are not exact; a ratio may be 99/1 or 72/25. It’s the principle that’s important; not the numbers. If I wanted to give you a comprehensive guide to better marketing, it would be close to the size of an encyclopaedia… “If you want to make a lot of money And build a great big reputation Take something that’s actually quite simple And add a bloody big complication” Often, what is perfectly complete is practically unusable, due to its complexity. 3|Page www.8020Center.com The Essential Guide To Winning The Marketing War My objective is to give you what’s essential to use, not what’s nice to know. The KISS principle: Keep It Short & Simple. To that end I’ll keep the guide as simple as possible, but not simpler, just as the great Einstein recommended. To make it either more complex or more succinct would equally dilute its potency. PART ONE: MARKETING STRATEGY DEFINED Core message summary The most effective Marketing Strategy begins with figuring out what people want to buy that is not being offered anywhere else. Overview You won’t find a lot of “how to” information in this part however it’s important to understand what I mean by the words “marketing” and “strategy” so that when you complete the Action Exercises throughout this book, you’ll be much better prepared. Definition of Marketing Most people think that marketing it all about getting new clients in the door but my definition of marketing extends further than that: “Marketing is any activity that does one or more of the following: 1. brings in more clients 2. has them buy more often 3. has them spend more when they buy 4. has them stay longer By this definition therefore, both sales and customer service functions are a part of marketing and indeed virtually all other business functions have an impact as well. For example, if logistics or billings are sloppy the customers are unlikely to come back and buy more. Marketing versus Selling A useful distinction to note is that whereas both marketing and sales aim to increase revenue it’s a prerequisite of winning marketing strategy that you first figure out what it is that people really want to buy. (And if that thing is not offered by competitors then so much the better.) On occasion I’ve been approached by the owner or CEO of a business whose enquiry can be paraphrased as: “Can you help us sell more stuff?” 4|Page www.8020Center.com The Essential Guide To Winning The Marketing War And whilst I may be able to answer that question in the affirmative, it contains a potential inherent danger in that it assumes that people want to buy the “stuff” that is on offer. And that helps to clarify what marketing is versus what selling is. Effective Marketing is about creating a magnet-like attraction whereas selling is more like hunting. To illustrate the point let’s use bees as a metaphor for clients. There are two ways you can catch bees. Firstly you can grab a net and go hunting for them or you can put out a honey pot and have the bees fly in. Selling is what salespeople do: life insurance salespeople, photocopier salespeople, multi-level marketing people and so on. And selling accelerates revenue growth IF the marketing strategy has been well crafted prior to the sales teams being set lose. In order for selling to be effective it must come after the marketing Big or small, every VIP of Sales should report to the VIP of Marketing. And if you are a solopreneur or a micro business owner that simply means you need nail your marketing strategy first and then ensure that all sales and advertising activity is aligned with that strategy. For example is you decide that you can out-perform competitors on value for money, then all presentations and advertisements need to clearly articulate that advantage. Definition of Strategy Strategy is how you will capture Market Share, stated in broad terms. Implicit in the capture of Market Share is taking revenue from competitors of which there are three categories: direct, indirect and doing nothing. For example a Financial Planner faces direct competition from other Financial Planners and indirect competition from Stock Brokers, Banks and Property Developers. 5|Page www.8020Center.com The Essential Guide To Winning The Marketing War However he or she has a third competitor which is called “doing nothing”. Either way a winning Strategy influences someone to putting their money into your bank account rather than leaving it in their own or putting it somewhere else. A winning Marketing Strategy must overcome all three forms of competition. The difference between Strategy and Tactics Your Strategy is a plan whereas Tactics is how you will execute the plan. Whereas Strategy is primarily about “how”, Tactics is about “what, when, who, where”. Just like Selling needs to come after the Marketing has been figured out, so too Tactics needs to come after the Strategy has been created. Otherwise it’s like the proverbial cart before the horse in that it simply isn’t going to take your business anywhere. Examples of Marketing Strategy Faster delivery time e.g. pizza More reliable e.g. vehicle More accurate e.g. watch Cheaper prices e.g. home furnishings Easier to use e.g. video camera More knowledgeable e.g. newspaper More durable e.g. car tires Customized e.g. bespoke tailors More distribution outlets e.g. soft drink Easier access e.g. drive through fast food More glamorous e.g. premium handbags Safer e.g. car More environmentally friendly e.g. energy 24/7 international support e.g. credit card More innovative e.g. smart phone Better long term return on investment e.g. property Save return on investment e.g. banking More luxurious e.g. air travel 6|Page www.8020Center.com The Essential Guide To Winning The Marketing War Key Points Winning Marketing Strategy figures out firstly what people want (see Part Two) and seeks to create or refine a product so that it delivers it in a way which both appealing and differentiated from competitors (see Part Three). Attempting to sell or advertise a product prior to creating a winning Marketing Strategy makes sustainable success all but impossible. Action Items 1. Make a list of three businesses that are dominant in their market. Alongside each name write down what you think their core strategy is. For example Wal-Mart clearly has a Strategy of lower prices plus extensive range. Business Name Reason they are dominant (Core Strategy) i. ii. iii. 2. Describe what you will do differently and/or better that will cause you to outperform your competiors. Be as specific as possible. For example instead of “better service” you might write “60 minute response time” and instead of “better quality” you might write “10 year unconditional guarantee” For a step by step course for creating your Marketing Strategy see www.8020Center.com/FreeMarketingPlan/ but please note this page will be taken down one day and so my apologies if it’s not still live when you visit. 7|Page www.8020Center.com
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