From attracting new customers, to finding out public perception about your company, marketing holds the key to the success of many aspects of your business.
When done correctly, marketing can be one of the biggest drivers of growth in an organisation, helping to increase the client base through brand awareness and thus boosting sales.
However, there are many misconceptions about marketing best practices. Before engaging in any marketing campaign, it is important to devise an expert strategy tailored to your business plan.
This can be intrinsic to the success of your company, so make sure you take the time to get it right. Below, we run through three of the most common misconceptions concerning the field of marketing so you can avoid any pitfalls when executing your strategy.
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Marketing is just about finding new customers
Customer acquisition is one of the best metrics for measuring the growth of a company, since more customers typically leads to more profits.
However, experts suggest that similar (if not greater) efforts should be put into customer retention, which is arguably a better yardstick to assessing the success of a business. After all, if customers keep returning, it means your service is reliable and trustworthy.
Research has shown that acquiring a new customer’s business is five times more expensive than retaining that of an existing customer.
Furthermore, old clientele can be a useful marketing tool in themselves, with well-treated customers likely to spread the word about your company.
There are several marketing strategies that can be employed to bolster your customer retention levels, from engaging with feedback on social media, to creating loyalty schemes.
Marketing to as many customers as possible will yield better results
However much you believe in your company and its product, you will not be able to sell to everyone.
For example, cat owners won’t be interested in your ‘tastiest ever’ dog food recipe, nor will vegans be enticed by your new range of beef burgers. Taking the approach that marketing to anyone and everyone will equate to a greater ROI will likely have just the opposite effect.
Instead, through thorough research, you can determine your target audience and then focus your marketing and advertising efforts on this set demographic.
Not only will this mean you are reaching out to more people who are likely to be interested in your company, but it will also save you time and money on wasted marketing endeavours.
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Marketing is the same as advertising
This is one of the most common marketing misconceptions.
Whilst the terms ‘advertising’ and ‘marketing’ are often mistakenly used interchangeably, they are actually very different concepts and it is crucial to understand the distinctions between them.
Advertising is simply the creation of content designed to spread awareness of a product or service to an audience.
Meanwhile, marketing is the much broader of the two terms, and encompasses all aspects of advertising, as well as public relations, market research, and many more facets.
It is much more about determining the needs and wants of a customer, and then figuring out how to meet them, rather than just brand awareness.
Knowing the differences between the two is particularly important for small businesses looking to get a foothold in the market.
Whilst business owners will be keen to generate interest in their product or service as quickly as possible with an advert, it is vital you first form a relationship with your customers.
This can be done via an email campaign, event, or PR practices to name just a few potential approaches.