The 7C's of Marketing - Part 2: Cost
This is part two of a seven part series diving deep into the "7C's of Marketing" and what they mean for your business and ours.
The "7C's of Marketing" are guides of sorts. A baseline for what your business should focus on when thinking about your marketing strategy and attracting and keeping clients. When followed and learned from, the "7C's of Marketing" can help keep you and your business focused on what really matters.
The 2nd "C": Cost
"Cost" is often misunderstood in the world of business. What is cost really? Can things cost more than just money? Are there hidden costs that keep potential clients from working with you? In the world of marketing there are really two different forms of "cost": cost to your clients, and the costs to you. One of these comes down to the type of client you are hoping to attract (usually in the form of price that they pay), and the other comes down to your own marketing and promotions budget. Both of these costs, however, will be an important part in how you you decide to run your promotions and marketing campaigns.
The Cost of your Product
Many people mistakenly get caught up in the idea that the lowest price will always win out with potential clients. Look no further than Louis Vuitton, Oakley, Rolex, and many other expensive brands to dispel that notion. The cost at which you decide to set your product could inform your clients about the assumed quality of the product, the "customer service" of the business or firm, the social status that they may achieve with the purchase, or dozens of other things. There are many reasons a person may choose to spend more money on one product over another.
However, not everyone who wants a watch is looking for a Rolex. Not everyone cares for the name, not everyone can afford one, and not everyone cares about the "extras" that come with the purchase of an expensive name brand object. That's good news for all the other watch brands out there.
The cost of your products goes way beyond how much profit you are looking to make. The cost of your product will attract a very specific portion of the market, will inform your clients on dozens of little details about your brand, and will ultimately inform you on how to structure and target your marketing and promotional campaigns. After all, you probably won't find a Rolex ad above the $20 watch counter at Walmart.
Marketing Costs to You
The cost of your products is only half the battle when it comes to marketing. Say you have everything set up: you've got the products set, you've found your target audience, and you have set the cost of your products. Now what? How do you reach out? What strategy is best for you?
The answer to these questions are determined by how much you are willing to spend. Your budget may consist of money, or time (not everything costs only money). Creating posts on social media, for example, can either take you a number of hours each week, or it will cost you money in the form of hiring someone. Focusing on organic word-of-mouth advertising also costs quite a bit of time. Figure out how much you are willing to spend, and go from there.
The Marketing Angle
Once you have figured out the cost to your clients, and the cost to you, all that's left is to decide on a strategy. Depending on your budget, you can do social media, you can do mailouts, email, billboards, google ads, or a combination of everything. The possibilities are endless. You should use the "costs" to inform yourself on what is plausible and best for you situation!
Read Part 1 Here: Part 1: Clients
Still not sure about costs and what they are for your business? Give 7C's Marketing a call! We would be happy to discuss with you strategies and options based on your specific needs.
Give us a call or shoot us a text: 210-954-9953
Check out our website: www.7csmarketing.com
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We look forward to hearing from you!