Marketing is often the difference between success and failure of a start up business…
Successful businesses all have an understanding of their customers needs or rather perceived needs and a total dedication to their customers.
Their marketing strategy is built around the customer – “what must the business be for the customer to choose us?”
Everything they do is focused on the customer and they are continuously improving how they do it.
In order to do this they need to understand the demographics (who they are) and the psychographics (why they buy) of their customers. Only then can you build your business to serve them.
Customers buy perceived value, which is the difference between the perceived benefits and the price. The more you increase the difference the more value that is added to the customer. The benefits are unlimited but there’s only so low the price can go which is why it’s often better not to work on the basis of price-cutting.
Explaining that a pair of shoes are made of leather, why they are more comfortable, shock absorbing, will last, etc will make their perceived value higher than the same shoes that are not so described.