The recipe for success in marketing services is to:
Gene Stark
An effective brand is the key to finding, attracting and retaining customers and earning profits! Yet most small business owners just don’t know where to start and are doing themselves and their customers a terrible disservice.
Much more has been written about “what is a brand” in the last 20 years then about “how to create it”, especially when it comes to small and medium enterprise.
qubePartners aims to address this need and provide easy to understand and simple to implement guidelines for SME business owners to either ‘do it themselves’ or being well prepared to work together with marketing professionals to achieve the desired business objectives in the shortest possible timeframe with the least amount of investment and personal stress.
Most importantly our aim is to make branding a fun experience! And experience one can learn from easily and provide the ability to apply this to their own circumstances. For example “Branding for Dummies” is a great book but it is over 300 pages long and not the 300 type of pages you can flick through. This blog is designed as a pleasurable read, a coffee table guide if you will, that can be read and absorbed and then referred to when and if required.
Simplicity is hard. It has taken me over 15 years to “simplify” my knowledge gained working on both the client and agency side of the marketing fence into this blog and the templates I will be including in it. You will benefit not only from my personal experience and knowledge gained by working with Australia’s biggest brands as well as over 100 SMEs in the last 5 years, but constant professional development, following the latest findings in professional industry journals and books written on the subject of marketing and branding.
Until my next post, here is my top 10 list of books that I would encourage you to read to both improve your marketing skills as well as provide you with a source of endless ideas and inspiration:
However you can relax in the knowledge that everything you need to develop a powerful brand for your business will be provided.
qubePartners blog will show you how to harness the power of branding to grow your small business. We will be examining the techniques big (famous) businesses use to develop their brands and show you how to apply them to your small business. You will discover how to:
The word brand began simply as a way to tell one person’s cattle from another by means of a hot iron stamp, which makes it the oldest form of marketing or promotion! In the beginning, before modern marketing there was just branding – a form of DIFFERENTIATION. Today RELEVANT DIFFERENTIATION is still the cornerstone of modern marketing.
Here are a few definitions of branding:
Brand (noun):
– a mark made by burning or otherwise, to indicate kind, grade, make, ownership, etc.
– a kind or variety of something distinguished by some distinctive characteristic
– verb (used with object) to label or mark with or as if with a brand.
David Ogilvy, the father of modern advertising defined it as:
“The intangible sum of a product’s attributes: its name, packaging, and price, its history, its reputation, and the way it’s advertised. A brand is also defined by consumers’ impression of the people who use it, as well as their own experience.”
BusinessDictionary.com
Entire process involved in creating a unique name and image for a product (good or service) in the consumers’ mind, through advertising campaigns with a consistent theme. Branding aims to establish a significant and differentiated presence in the market that attracts and retains loyal customers.
Entrepreneur.com
The marketing practice of creating a name, symbol or design that identifies and differentiates a product from other products. Your brand is your promise to your customer. It tells them what they can expect from your products and services, and it differentiates your offering from that of your competitors. Your brand is derived from who you are, who you want to be and who people perceive you to be.
Hence getting your branding “right” is the cornerstone of all your future marketing communications. Unfortunately most small businesses do not get this right and their marketing becomes a painful experience akin to getting “marked” with a hot iron – for all the wrong reasons.
History of Branding
A 2008 PwC survey, “Private Business Barometer IV” paints a depressing yet realistic picture of the Australian small business state of play – about 92% considered cutting their marketing budget. Gregory Will, partner at PwC, rightly points out that these are the very areas that are the source of most small businesses’ competitive advantage. 3 years on and nothing much has changed!
The reality seems to be that we’ve gone from riding on a sheep’s back to acting like them at a time when we need leaders, not followers!
You can call farmers “battlers”, but not the majority of SME business owners – their droughts are mostly self inflicted. The following is a statistic I found on the CPA Australia website – 3 years ago – and it estimated that one in three new small businesses in Australia fail in their first year of operation, 2 out of 4 by the end of the second year, and 3 out of 4 by the fifth year, with only approximately 8% of small businesses succeeding beyond five years.
Failure to plan is a plan for failure
Conducting a business without a formalised plan is much like trying to drive a car to an unknown destination without a map. Yet the estimates are that only 3% to 5% of Australian small businesses starting from scratch prepare a business and marketing plan; that is, know that their business is feasible and have a formal plan to steer that business towards success. Based on the fact that a Feasibility Study, a SWOT Analysis and a Marketing Plan are a part of any Business Plan, I suggest that approximately 70% of all business failures and almost 100% of lack of business growth are due to inadequate Marketing.
Peter Drucker, the grandfather of modern management said business is about 2 things and 2 things only – innovation and marketing! A number of studies conducted since WWII showed something that marketers have known all along – keep marketing through the downturn. The following quote is from Professional Marketing, Oct-Dec 2008 – article titled “All Hands On Deck”: “…companies that increased marketing spend (relative to market size) during a recession, increased their return on capital employed by 5% in the recovery, compared to a 1% decline for the budget cutters”
Most businesses are either ignorant or choose to ignore the empirical evidence for maintaining or even increasing marketing investment in a weak economy
– Competitors tend to cut spending, creating opportunities
– Maintaining promotional spend will sustain or even grow market share
– Stealing share of mind is a bargain during a recession
– Consumers don’t “go away” during a recession, they become more conservative
For most SME’s marketing is an expense and not an investment.
Most SME business owners do not understand the meaning of marketing or branding let alone have any basic understanding of advertising principles to effectively and efficiently reach their target audience. Much of the SME marketing efforts are wasted anyway – just open your local paper, look into your mailbox and see the standard or the lack of it in SME marketing communication. Only a few weeks ago the ABS released a frightening statistic that 66% of Australian businesses do not have a website!
Attitudes have to change
“Ego and advanced ignorance have killed many a business, and continue to do so. …ignorance is acceptable because it means we don’t know. Advanced ignorance, however, is ‘knowing we don’t know’ and doing nothing about it! It’s deadly….there’s information readily available on every conceivable issue relevant to growing a healthier business, but it’s far easier not to seek anything at all.” Says Brett Lowe of Business Planning Works.
There are businesses still around today, that perceive customer service to be a “Thank You” on the invoice
A study of 460 B2B organizations that employed 100+ people, conducted by Strike Force Sales, found that only 6% of Australian companies pick up the phone and respond to a web generated sales inquiry with a phone call. The MD of the company, Chris Moriarty brings this reality home with another statistic that shows 46% of the time auto-response emails are never followed up.
In the last 5 years, I have met hundreds of SME proprietors and completed over 70 SME marketing projects. I have discussed the SME challenges with colleagues and other consulting professionals and have to say that there are glimmers of hope. These generally lie with the younger more entrepreneurial SME business owners who have grown up on the ‘brand rich media diet’.
There is plenty of professional help out there, admitting you need it, is the hard part…
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