by Michael McCandless

Created on: May 16, 2010

THE PRINCIPLES OF MARKETING

First of all, it’s ALL marketing. The greatest 20th century thinker on management, Peter Drucker, wrote that business only does two things: innovation and marketing. If innovation is creating products, then marketing is ... everything else.

Think of it this way. You can do innovation in a cave. You can invent by yourself to your heart’s content and you’ll never sell product one. Telling people about your product and converting them into happy customers is what marketing does.

This means that marketing is advertising, promotion, selling, communication, partnering, packaging, selling, training, customer service, and market research. It’s everything that has to do with closing the loop between innovation and long-term customer satisfaction. It’s really important to internalize this so that you don’t waste time trying to figure out what is marketing and what is not, or who has a marketing role and who does not. It’s ALL marketing, and everyone...even the innovators...are on the marketing team.

Second, all marketing before the sales is lead generation. It may seem like much more than that, but if your marketing is not producing qualified sales prospects, what’s the point? You may say, “But what about brand building and corporate awareness? Those aren’t just trying to generate leads.” Sure they are. You will always have at least two things you are trying to sell: a product and your company or organization. This is obvious if you are a public company or getting ready to go public. But your company will always needs a good reputation, or good will, in the marketplace as a critical part of building long-term success.  Lead generation is about driving people to your product or your company so they can become customers or just fans who influence others to become customers.

Third, all marketing after the sale is customer service. Always distinguish between first-time buyers and true customers. Don’t think of a first-time buyer as a customer until they have bought from you a second time. This puts the emphasis on all aspects of customer service. Completing the sales transaction is only one small step in creating customer satisfaction and building a long-term relationship. It may feel so good to close the sale that you’re tempted to relax. Don’t! This is the time when your marketing needs to go into overdrive.

So, remember, it’s all marketing. Train yourself to do the marketing thoughtware before you try to sell the hardware, software, or serviceware. Get your people used to the idea that everyone is in marketing.  Being market-sensitive and effective isn’t an option if you’re in business to succeed.

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