I’ve been thinking a lot about why this is a remarkable idea. It seems so obvious to me that buyers who’ve been happy with their purchases from you would be eager to buy more if you would just offer new options they’d love.
When I ask what they mean by “focusing” they usually say they should:
Measure their numbers; know their competition; and manage time better.
This type of thinking is a fool’s errand. Why? Because all buyers are not the same, and one message does not resonate with disparate groups. I say this no matter how many social media experts tell you otherwise!
The more your offerings are specific and customized to buyers’ needs and priorities, the higher the likelihood those buyers will make a purchase. Thus I urge every company to focus deeply on current buyers. Current buyers will supply the vast majority of revenue growth.
Apple did that with the iPod. It was not like anything anyone had ever before produced. It may be hard to believe from today’s vantage point, but the first year of sales was slow and disappointing. However, Apple maintained its Number One positioning strategy for the iPod and it generated huge revenue increases and well as a revolution in digital products.
Apple, Amazon, Whole Foods.
Which companies are second or third in these categories? There’s no one clear answer.
Do it early and often? As a normal, comfortable part of your marketing? Whether or not they’ve expressed a new need or desire?
Do you hear the opportunity in these comments? He was telling me about a significant barrier to fulfilling the company’s vision and values. If he allows these barriers to stand, the company’s revenue growth is constricted. I know that a company’s values and their need for performance accountability can reinforce each other when addressed. It doesn’t have to be one or the other.
In spite of this belief, I find at least one, and sometimes all, of these three counterproductive marketing practices in their companies. They hinder the company’s ability to generate new revenue from current buyers.
I said “you may think that not moving is the same as not losing ground. Not so. Many of the people literally passing you by are on their way to companies where they will pass you by in revenue and profit growth; in improvements and innovation; in client retention. Standing still will pretty quickly mean you are losing ground.”