Marketing Strategy by the Numbers: Budget, Price Point and Profitability
The culture of startups and SMB is fast-paced, unpredictable and often ill-resourced. Often smaller businesses are good at what they do, but they don’t know how exactly to display it to others. Developing a marketing strategy is crucial even in the most minute stages of growth. If developed properly, it will jumpstart your business for a successful future and help you look at the numbers behind your company’s growth!
The Why Behind Marketing Strategies
As a little refresher let’s remind ourselves the explicit purpose and definition of marketing strategies:
As mentioned last week, “Marketers who set goals have a 429 percent greater chance of reporting successful campaigns, and 81 percent achieve their goals.” Creating a plan solidifies our objectives and pushes us one step closer toward our goals. We might be blindfolded if we didn’t see the correlation between the planning of goals and their eventual achievement.
This clear division of goals that a marketing strategy allows us to implement will even take strides in improving alignment between teams. Last week we studied the idea that “documenting your strategies gives you a 538 percent greater chance of being successful in your efforts.”
Marketing Strategies can help crucially in developing:
- Price Point
A study conducted by CoSchedule revealed that:
Statistics don’t lie. There’s a reason that these numerical figures have correlations with success. If you’re not developing and implementing a marketing strategy in today’s fast-paced, dog-eat-dog business culture, then it’s likely that you’re falling behind. And no one wants to be a straggler. Let’s look at three numerical areas where developing a marketing strategy will put your business on the fast-track to success:
1. Budget In Advance
Developing a marketing strategy affords different departments of your business (we realize if you are a startup, all departments might mean a mere 6 people) to develop their budgets in advance. Marketing strategies are particularly effective in the development of an advertising budget. When we talk about the practices of PR and advertising, they truly fall under a broader umbrella of marketing.
When we create a marketing plan with set objectives it gives a transparent picture of where we are heading–once they know the objectives and key messaging for the year, advertisers can create visual, print and digital branding that works in line with your business’s goals. Methods under the awning of marketing strategies formulate a broader scope for the advertising plan. A marketing strategy even has: “determines the revenue generated by the advertising plan.”
2. Profitable Products and Services
Humor strikes at unexpected times. I think we’re all floored when a close friend or co-worker shows us that we’ve been doing something wrong or less effective than we could have been. A marketing strategy is like a close friend that shows us the error in our ways.
Often it’s in the strategy development stage that companies realize a major strategic flaw in their product. Startups and SMB alike are forced to reinvent or re-discover certain aspects of their work. If that sounds tedious or like extra work to you, it’s because it is extra work, however, in the long run, the emphasis on that extra work will be the very thing that makes your product or services soar over competitors. Strategic planning creates a medium where the advertising department can develop content, budget for locations and the full scope of advertising in advance. With the foresight that a strategy provides, we can save resources, time spent in cross-department communication and other areas that might drain our business.
3. Market Research Determines Price-Point
Don’t over or undersell your product’s value. There might be a reason no one is buying your product or services. There might also be an equally valid reason why you’re in Q4 still losing money on a fantastic product.
Part of what makes marketing strategies so valuable is their ability to save you capital and resources in so many different avenues. If you are overselling or underselling your product–and losing money as a result of it–a marketing strategy will ensure that you are operating within the right lane within your market. Perhaps you’re underpricing or overpricing your product because you are selling to the wrong product audience. Management Study Guide explains that a marketing strategy:
“…helps in fixing the right price for organization’s goods and services based on information collected by market research.”
Market research will provide you with the insight you need to ensure that you have the right target audience to sell to the correct demographic for your product. Take the time to plan so that you don’t unnecessarily lose capital and lackadaisically squander resources.
A Solution for the Future of Marketing Strategies
For most startups and SMB your business, from product design to marketing and advertising departments you might only have 6 people. You can see the importance of a marketing strategy for your business, however, for the size of your company and your dwindling resources the development and implementation seem out of reach. If that is the case for your business, don’t hesitate. Use our Robotic Marketer AI-based software to create your Marketing Strategy in only a matter of hours. Our plan is cost-effective and sure to make your business thrive in its marketing efforts. It only costs your business $3950 and is sure to create an increase in your ROI. Explore the future of Marketing strategies with Robotic Marketer here.