Marketing, Economics, Branding: A Simple (But Complete) Guide

Do you ever think of exploring all the possible ways to market your product?

Do you think why marketing is important?

Do you know how marketing works?

Why companies spend a lot of money on marketing?

Does marketing guarantee the success of your product?

Will digital marketing overtake traditional marketing?

Why an understanding of economics is important for marketing?

If you have thought of any of these questions and want to know the answers to them, then this article is for you.

Let’s start at…

What do you think marketing is? Who can be a good marketer? The one who thinks creative? The answer is ‘no’. Marketing is based more on ‘science’, than on creativity. Confused? Ok, let me explain it to you through an example.

You may come up with a creative ad to attract the audience but does it guarantee the success of your product if you have not understood the needs of your customers? In reality, marketing is a science to look for the patterns in the market and in customers. It’s a science to understand your customer. Marketing is done by understanding quantitative and qualitative data.

You should create a product which fits the need of your customers. Marketing starts way before the product exists and continues even after selling the product.

A satisfied customer is the best way to do marketing. Why? The word of mouth plays an important role, it helps you gain more customers without spending extra money on getting a new customer. As a matter of rough fact, in order to get a new customer, the company has to spend 5 times the cost to retain an existing customer.

“Marketing creates integrated campaigns to generate leads that positively influence sales, brand, value and vision.” — Jayme Soulati.

Law of marketing

Just like the law of judiciary, marketing too has it’s law.

Do you think being No.1 in the market is important? The answer to this is “No” what is more important is being the No.1 in the minds of your customer.

Marketing creates a perception in the minds of your customers which leads them to buy your product. And the product creates a reality for your customers. Thus, it can be said that marketing is a game of perception and product is a game of reality.

Don’t use unethical ways to sell your products you may be successful in the short-term but you will not be able to survive in the longer future.

Don’t be arrogant, it will lead you to failure. Drop your ego and be objective.

In order to be successful, build your programs on trends, not on fads.

Why learning and mastering marketing is good?

Marketing helps you to sell your product better. How? It’s a feeling, an emotion that helps you to connect better with consumers. You need to tell a story while selling a product that emotionally connects with the consumer. Consumers’ buying decisions are driven more by feelings rather than logic. Emotions create a meaningful relationship with the consumer. No robot in the future can replace it as the feeling and emotions will be missing.

For example, programmers, they always have to learn a new programing language which is in demand. But in the future, they will be replaced by machine learning and AI. These two will be impacting a lot of jobs in the future like having driverless cars, telemarketing, market research analyst. This case of being replaced isn’t the same for someone who does marketing.

How economics and marketing are co-related?

The Law of diminishing returns explains the correlation between economics and marketing. This law explains how the resources can be allocated to maximize return on investment. Over time a company may find that its expenses are more or equal to the product they are selling. The reason behind this maybe because of the change in the taste of the consumer, or because of the entry of a new rivalry. This can also happen because of the price of the product is either too high or too low.

To sell your product you need to understand your target segment very well. As per Mr. Sajith Pai, Director at Blume, Indian market can be divided into 3 categories:

sajith pai

Mr. Pai supports investments in media, edtech, and e-commerce, and simultaneously building a research and knowledge platform. 

Traditional vs Digital Marketing

Do you think that in future digital marketing will end the traditional marketing? Why? because you see increasing demand in digital marketing? Do you know how much traditional marketing has its reach to the audience? Although, digital marketing helps you to reach out to your target audience, but it won’t end the era of traditional marketing. Traditional marketing is needed for generic products to reach out to a wider audience. Let us see the data:

India has TVs in 195 million homes, with an average of 4–5 members per household. TVs have a reach to anywhere between 800 million and 1 billion people in the country. (Source: Statista©)

Radio has a reach to 65% of the Indian population (Source: Financial Express)

The newspaper has a reach of 165 Million people (Source: Business Standard)

Digital marketing has a reach of 100 Million users. Digital marketing does have a direct reach to its customer. Yet, it has a long way to go in competing with traditional marketing as far as audience reach is concerned.

Direct Response Marketing

It is a type of marketing that encourages a prospective customer to take action immediately. It requires very little time to see measurable results. The goal is to make the customer take action by a call, or by visiting the website. Direct Response Marketing can be done through emails, newspapers, flyers, outdoor advertising, phone calls, etc.

What is CATT Marketing Funnel? Why it is important?

The formula for CATT Funnel is:

Wealth = n^CATT

[n] Niche: You should choose a niche in which you will be going deeper, your success and wealth depend on it. Do not try to do everything, focus on one thing only in the starting.

[c] Content: Create useful content based on your niche to attract the audience.

[A] Attention: Drive attention or traffic to your content using SEO, Social media, paid ads, referrals.

[T] Trust: Build trust with your audience with marketing automation and retargeting. Without building trust you won’t be able to get them to buy your products.

[T] Transaction: This is the important part, by now you have your audience and you have built trust in your audience and now you have to make them do a transaction by making them purchase your product.

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It is important to use the CATT funnel because it is a predefined process through which you can build a successful business. The successful marketers use CATT funnel.

How should you do Integrated Digital Marketing?

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Step 1 [Paid Advertisement]: Initially run paid advertisements where you offer good content for free. This will help you in gaining customer attention.

Step 2 [Content Marketing]: A paid advertisement will lead your prospect consumer to your content. The content will help you gain the contact such as email id of your consumers.

Step 3[Email Marketing]: When you publish new content let your consumers know it by sending the emails which you have collected from your content.

Step 4[SEO]: Your content will be listed on search engines when people will start accessing your content. And this will help you in improving your search engine ranking.

Step 5[Social Media]: Start publishing your content on social media so that you can gain more consumers on your content.

Step 6[Sell & Convert]: When you follow all these procedures you will be able to build the trust of your consumers and this trust will help you sell and convert your prospective consumers.

Why Personal branding is important?

Brand creates trust and makes people feel comfortable. Trust plays an important role when you are selling a product to your customers. Personal branding helps a person to build connections with other people who are specialists in their field. Personal branding help in gaining recognition in their area of expertise. It builds the credibility of the person in the market. This helps in building up the confidence of the person.

How can you create your own personal brand?

Learn: Learning a new concept will help you gain more knowledge. When you learn a new skill, understand the concept, fact, and procedure. If you want to grow you should always learn new skills.

Work: When you learn a new skill do not leave it, infact put your new skills to work. Implementing the new skill into the work will make you better at it.

Blog: Start writing a blog on various mediums. Blogs help you a lot in building up your personal brand. When you put things into work, you learn and know things better. Start writing about your experiences and your learnings.

Consult: Start giving free consultation in the beginning. Later, start your own business and leave your job. When you start giving consultation, it will help you understand things more and better.

Mentor: Become a mentor to help others in growing by teaching them what you have learned. By becoming a mentor, you can build a good personal brand.

Startup: Now it’s the time to have your own startup. Your strong personal branding and learnings will help you in running your business smoothly.

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Why Communication Skills are needed?

Having good communication skills is important, you don’t have to use sophisticated English while writing an article or communicating a message. Communication skills just mean that you are just able to communicate your message to your consumer. Look at my way of writing article, I have kept the article simple and easy to understand so that everyone can understand it.

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