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3 Critical Principles of Marketing that New Entrepreneurs Routinely Ignore
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Forget blue ocean.
Forget lean startup.
Forget the 4 Disciplines.
If you don't understand these 3 critical marketing principles you are dead in the water.
Forget blue ocean.
Forget lean startup.
Forget the 4 Disciplines.
If you don't understand these 3 critical marketing principles you are dead in the water.
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1. People Face Tradeoffs
Opportunity cost is the concept that
in order to acquire something we want
we usually have to give something up to get it.
1. People Face Tradeoffs
Opportunity cost is the concept that
in order to acquire something we want
we usually have to give something up to get it.
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EVERYTHING IS A CHOICE!
If you forget that then your marketing will be frail
as your competitor hones in on your customers problems
more accurately than you.
EVERYTHING IS A CHOICE!
If you forget that then your marketing will be frail
as your competitor hones in on your customers problems
more accurately than you.
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Your prospects donât want to buy things â they want to solve their problems.
The goal is to help them make an easy choice to solve their problems.
They'll forget about their other options.
You'll win the tradeoff battle
Your prospects donât want to buy things â they want to solve their problems.
The goal is to help them make an easy choice to solve their problems.
They'll forget about their other options.
You'll win the tradeoff battle
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2. Rational people want what is optimal in all areas.
Essentially, this means that consumers will choose the product or service that meets their needs in the most optimal way possible
balancing price
opportunity cost
and perceived benefits in every txn
2. Rational people want what is optimal in all areas.
Essentially, this means that consumers will choose the product or service that meets their needs in the most optimal way possible
balancing price
opportunity cost
and perceived benefits in every txn
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To do this, your prospects need as much information as they can get
in order to make an informed (and therefore rational) decision.
So what do you do?
To do this, your prospects need as much information as they can get
in order to make an informed (and therefore rational) decision.
So what do you do?
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You build a funnel-based, solution-focused, educational experience that leads to a transaction.
Justify the price with real value.
Reduce opportunity cost through branding and clear USPs.
Speak to benefits rather than features wherever logical.
You build a funnel-based, solution-focused, educational experience that leads to a transaction.
Justify the price with real value.
Reduce opportunity cost through branding and clear USPs.
Speak to benefits rather than features wherever logical.
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3. People Respond to Incentives
In economic terms, incentive refers to market forces that affect the price of goods.
3. People Respond to Incentives
In economic terms, incentive refers to market forces that affect the price of goods.
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For example, when the price of a product rises, consumers are often dissuaded from buying it.
When the price of a product goes down, consumers are persuaded to buy it.
For example, when the price of a product rises, consumers are often dissuaded from buying it.
When the price of a product goes down, consumers are persuaded to buy it.
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However, in marketing terms, incentive has more to do with overcoming consumersâ choice between service providers in a competitive market.
Why go with them when I can go with you and get a bonus.
However, in marketing terms, incentive has more to do with overcoming consumersâ choice between service providers in a competitive market.
Why go with them when I can go with you and get a bonus.
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So keep these 3 principles in mind whenever you build a brand or company.
1. Tradeoffs
2. Rational Purchasing
3. Incentives
You'll find your modern tactics work even better when rooted in classical principles.
So keep these 3 principles in mind whenever you build a brand or company.
1. Tradeoffs
2. Rational Purchasing
3. Incentives
You'll find your modern tactics work even better when rooted in classical principles.
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For me there is nothing more exciting that learning a principle rather than a tactice because I know it is going to last much longer.
Let's help others become better marketers!
RT this thread and share your take below!
For me there is nothing more exciting that learning a principle rather than a tactice because I know it is going to last much longer.
Let's help others become better marketers!
RT this thread and share your take below!
