Chapter 8-١
Chapter 8-١
Business Management
Ninth Edition, Global Edition
Chapter 8
Building a Powerful
Bootstrap Marketing
Plan
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Learning Objectives (1 of 2)
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Learning Objectives (2 of 2)
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Building a Bootstrap Marketing Plan (1 of 2)
• Marketing:
– The process of creating and delivering desired goods
and services to customers.
– Involves all of the activities associated with winning
and retaining loyal customers.
• A solid business plan needs to contain both a financial plan
and a marketing plan.
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Building a Bootstrap Marketing Plan (2 of 2)
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A Bootstrap Marketing Plan: Three
Objectives
1. Pinpoint the specific target markets the company will
serve.
2. Determine customer needs and wants through market
research.
3. Analyze a firm’s competitive advantages and create a
marketing strategy to communicate its value proposition
to the target market.
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Pinpointing the Target Market
• Target Market: the specific group of customers at whom
the company aims its products or services.
– Marketing strategy must be built on a clear definition of
a company’s target customers.
– Example: BlackRapid
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Pinpointing the Target Market
• Target customer must permeate the entire business –
merchandise sold, background music, layout, décor, and
other features.
• Without a clear image of its target market, a small
company tries to reach almost everyone and ends up
appealing to few.
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Market Research
• Determining customer needs:
– Demographics: the study of important population
characteristics, such as age, income, race, and
education.
– Market Research: the vehicle for gathering the
information that serves as the foundation for the
marketing plan.
▪ Never assume that a market exists for your
company’s product or service; prove it!
– Market research does not have to be time consuming,
complex, or expensive to be useful.
▪ Online surveys, social media, etc.
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How to Conduct Market Research
1. Define the objective.
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Building a Competitive Edge (1 of 10)
• Bootstrap marketing principles:
– Find a niche and fill it.
– Use the power of publicity.
– Don’t just sell; entertain!
– Strive to be unique.
– Build a community with customers.
– Connect with customers on an emotional level.
▪ Build trust.
▪ Define a unique selling proposition (USP).
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Unique Selling Proposition
• A key customer benefit of a product or service that sets it
apart from its competition.
– Answers key customer question: “What’s in it for me?”
– Consider intangible or psychological benefits as well as
tangible ones.
– Communicate your USP to your customers often.
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Building a Competitive Edge (2 of 10)
• Create an identity for your business through branding.
– Branding: communicating a USP to the target market
in a consistent and integrated manner.
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Branding and a USP
Figure 9.2 The Connection Between Branding and a USP
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Building a Competitive Edge (3 of 10)
• Create an identity for your business through branding.
– Branding
• Embrace social marketing.
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Embrace Social Marketing
• Social networks sites, such as Facebook, LinkedIn, and
Twitter, allow entrepreneurs to connect with potential and
existing customers at little or no cost.
• 96% of entrepreneurs use social media to connect with
existing and potential customers.
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Building a Competitive Edge (4 of 10)
• Create an identity for your business through branding.
– Branding
• Embrace social marketing.
– Start a blog.
▪ 37% of companies use blogs as part of their
marketing strategies.
▪ Economical and effective online communication.
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Blog Guidelines
• Develop a clear purpose for your blog.
• Position the blog with other blogs that already exist.
• Focus on key words.
• Cultivate the image of an expert or trusted friend.
• Be patient.
• Be honest, balanced, and interesting.
• Ask customers for feedback.
• Use services such as Google Alerts.
• Be cautious.
• Promote the blog via social media and e-mail.
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Building a Competitive Edge (5 of 10)
• Create an identity for your business through branding.
– Branding
• Embrace social marketing.
– Start a blog.
– Create online videos.
– Host a special event.
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Building a Competitive Edge (6 of 10)
• Create an identity for your business through branding.
– Branding
• Embrace social marketing.
• Be dedicated to service and customer satisfaction.
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Focus on Customer Satisfaction
• 79% of unhappy customers tell others about their
experiences.
– 48% of shoppers say they won’t patronize stores where
they know others have had negative experiences.
– For every complaint a company receives,17 other
complaints go unspoken.
– Disgruntled customers often post their experiences
online.
• Address comments and complaints!
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Addressing Comments and Complaints
• Humanize your responses.
• Respond quickly.
• Respond publicly.
• Avoid a defensive tone when confronted with negative
comments.
• Set up alerts.
• Create a database of complaints and suggestions.
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Achieving Stellar Customer Service and
Satisfaction (1 of 2)
• Listen to customers.
• Define customer service expectations.
• Set standards and measure performance.
• Examine your company’s service cycle.
• See customer complaints as a mechanism for improving
customer service.
• When you create a negative customer experience,
apologize and fis it – fast.
• Hire the right employees.
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Achieving Stellar Customer Service and
Satisfaction (2 of 2)
• Train employees to deliver superior service.
• Empower employees to offer superior service.
• Treat employees with respect and demonstrate to them
how valuable they are.
• Use technology to provide improved service.
• Reward superior service.
• Get op managers’ support.
• Give customers an unexpected surprise.
• View customer service as an investment, not an expense.
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Building a Competitive Edge (7 of 10)
• Create an identity for your business through branding.
– Branding
• Embrace social marketing.
• Be dedicated to service and customer satisfaction.
• Retain existing customers.
– Customer experience management
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Retain Existing Customers (1 of 2)
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Retain Existing Customers (2 of 2)
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Building a Competitive Edge (8 of 10)
• Create an identity for your business through branding.
– Branding
• Embrace social marketing.
• Be dedicated to service and customer satisfaction.
• Retain existing customers.
– Customer experience management
• Be devoted to quality.
– Total quality management (TQM)
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Devotion to Quality
• World-class companies treat quality as a strategic
objective, an integral part of company culture.
• Total Quality Management (TQM):
– Quality in the product or service itself.
– Quality in every aspect of the business and its
relationship with the customer.
– Continuous improvement in quality.
• Get it right the first time!
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Building a Competitive Edge (9 of 10)
• Create an identity for your business through branding.
• Embrace social marketing.
• Be dedicated to service and customer satisfaction.
• Retain existing customers.
• Be devoted to quality.
• Attend to convenience.
– Make it easy to do business with you.
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Make it Easy to do Business (1 of 2)
• Questions to ask:
– Is your business conveniently located near customers?
– Are your business hours suitable to your customers?
– Would customers appreciate pickup and delivery
services?
– Do you make it easy for customers to buy on credit or
with credit cards?
– Do your employees treat customers with courtesy?
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Make it Easy to do Business (2 of 2)
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Building a Competitive Edge (10 of 10)
• Create an identity for your business through branding.
• Embrace social marketing.
• Be dedicated to service and customer satisfaction.
• Retain existing customers.
• Be devoted to quality.
• Attend to convenience.
• Concentrate on innovation.
• Emphasize speed.
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Emphasis on Speed (1 of 3)
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Emphasis on Speed (2 of 3)
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Emphasis on Speed (3 of 3)
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Conclusion
• You don’t need a large marketing budget to successfully
reach your customers!
• Use clever, innovative bootstrap marketing strategies to
put your company in the spotlight and make a special
connection with your customers.
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Copyright
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