When opening up a business, the most important thing is to make customers come to you. These customers can become long-term patrons to your business with an excellent strategy. The more customers you have the bigger the potential profit you rake in. We will teach you some of the basic concepts on how to attract customers to your business.
What are the Ways to Make Customers Come to Your Business?
There are two basic concepts on how to attract customers. These are marketing and selling. Although it may seem they mean the same thing but these two concepts are totally different. Even in large companies, they have a marketing department and a sales department. This is how important these concepts are.
What is Marketing?
Marketing is all about creating and promoting your brand. Reis and Trout defined marketing in their book "Positioning: The Battle for Your Mind" as the creation of demand in a customer's mind. By creating this demand you plant a foothold of asserting your brand image in the market. Having a good brand image makes customers more likely to try your products and service.
What is Selling?
If marketing is to brand then selling is to product. Selling is the seeking of customers and making them order your products. Many sources online will refer to this as a "conversion" - converting prospects to customers. A product is something that is produced or created by your business. These products are then placed in stores or given to sales agents to sell.
What is the Difference Between Marketing and Selling?
As mentioned, marketing is to brand and selling is to product. A brand is something you build overtime. It is something that exist in the mind of your customers. The mind is a mental product grid. It contains information regarding to a specific brand. Commonly, the mind can retain three brands at most.
Some brands are differentiated from each other through quality preferences. In specific types of products, we have a brand that we categorized as having a "unique" set of attributes. This brand is our only preference and we prefer no other alternatives.
Brands can also be ranked. Rankings are based on our personal preferences. Ranking positions of the brands can change if our personal preference changes.
When quality preference is not what we need, we usually categorize products according to the "cheapest". Cheapest at times does not mean the least priced product. Cheapest can mean the best product with the least cost. When we have this type of product preference, we usually have a price range in mind.
Selling products, on the other hand, is a different story. It's not about instilling an image of your brand in the customers. It's about ways and methods on how to reach, attract, and convert your audience to customers.
Products can be accessible to customers in various ways. It's important for you to know the various ways of reaching out to your customers.
Here are some common ways to sell products:
- Local store (aka a brick and mortar shop) - It's an avenue for customers to buy your products. This is located in the region where your product is produced.
- Sales agent - is paid or commissioned to reach out to buyers and sell your products.
- Online shop - is an internet-based shop you personally setup. It may be through using your own website or various social media platforms like Facebook & Instagram.
- Online shopping site - is a website used specifically to showcase various types of products in one host website. Examples of this are Amazon and Ebay.
What is Direct Response Marketing?
Direct response marketing is a marketing strategy designed to obtain an immediate response and make potential customers to take some action. This includes subscribing to your email list, contacting you for more information, and placing an order or being directed to a web page.
Unlike large major companies who have the financials to support paid advertisements, billboards and commercials, small business can't afford to do this. In order to compete and mitigate this, direct response marketing is used.
Why Should You Use Direct Response Marketing?
- Customers' response can be traced and measured. When customers respond to you, you know what type of ad prompted them to respond to you. You can then make data from this and measure the effectiveness of your ads. Ads that do not return you profit can either be changed or dropped.
- It tempts customers to buy using eye-catching ads. Direct response marketing uses attention-grabbing headlines to entice customers. Others use visual image depending on what products they are attempting to sell.
- It is made for a specific group of consumers. Specific types of your ads are catered to a specific consumer group. This makes your ads more impactful and appealing to them.
- It makes specific offers and short-term follow up. You can entice customers by using time-limited value offers, sales & discounts, package deals, etc… this can lead to follow-up offers based on information gathered from the customer. You can make customers come to your store or subscribe to your email in exchange for a value offer. This offer usually has a time limit.
Direct response marketing is a cost-effective way of showcasing your products. When making ads, you should have a clear objective on what the purpose of the ad should be. You should also establish a sales expectation for the advertisement.