This is the eighth episode in our series about selling without being fake. In this episode, we talk about how to create a market posture and strategic marketing budget for your business.
Podcast Transcript:
Joshua MacLeod:
We started Growability because of the statistic that 8 out of 10 small businesses fail. Well, the two that don’t fail, always understand their market. They’re not just thinking about, “What do I want to do?” They’re thinking, “Are there enough customers out here to have another AC unit place in town? Are there enough customers out here to have another ice cream shop in town?”
Podcast Announcer
Welcome to the Growability Podcast, teaching business and to nonprofit leaders, a more excellent way to run a business. Visit growability.com for your leadership, coaching consultation and business collaboration needs. This is the eighth episode in our series about selling without being fake. In this episode, we talk about how to create a market posture and strategic marketing budget for your business. Here are your hosts, Joshua MacLeod & Bernie Anderson.
Joshua MacLeod:
There’s four different ways that you can present yourself to the market, for four different ways that you can see yourself in order to present yourself to the market. The first is the leader. The leader is like where the biggest billions and billions of customer served. So the second posture is the challenger. We are not the McDonald’s, we’re the king of burgers, we’re Burger King. So you’ve got the leader in the hamburger space and then you’ve got the challenger in the hamburger space. Now the third posture is the, why pay more? We were talking about Oreo cookies and then right next to them, they’re like chocolate sugar wafers with a cream center. Very similar cookie, cheaper price, why pay more? So a lot of brands come to the market as the, why pay more? The fourth posture is the niche.
Joshua MacLeod:
We only do just this one thing and we do it better than anyone else. You’ve got to figure out from a posturing standpoint, how are we going to communicate who we are to the market? Are we going to dominate? Are we going to challenge the organization that’s dominating? Are we going to be the price leader or are we going to be the unique specialty organization? So if you clarify how you’re going to posture yourself, then you have a really good foundation for the message of bringing who you are into the market. If you don’t clarify how you’re going to posture yourself then a lot of times your marketing message will be cluttered.
Bernie Anderson:
If you are a heating and air conditioning company coming into a smaller market and if you came in with a large startup budget where you could put in like all kinds of advertising, you blasted all the radio stations, the internet, billboards, like everywhere, you could come in and posture yourself as a leader if you had the startup resources to actually do that.
Joshua MacLeod:
That’s exactly right.
Bernie Anderson:
Yeah.
Joshua MacLeod:
So if I go into the market and I’m like, I’m living in Smithville, Georgia, and I want to start a heating and air company and I do the research and there are 16 heating and air companies in Smithville, Georgia and one of them has 80% of the market share. And there are 15 little guys that are competing for the 20% that’s left. And I want to jump into that market as one of the little guys, that’s not a really good idea. It may be a good idea if I say, “You know what? The number one group is way overcharged and I have $50 million and I’m going to take over from their group and I’m going to take 40% of their client base to me and I’m going to be the challenger in Smithville.” Well now, okay,