www.nomoneymarketing.org
Frugal Marketing
1
Jessie Paul
http://www.flickr.com/photos/alancleaver/
1Wednesday 16 September 2009
www.nomoneymarketing.org
When is frugal marketing required?
1. New business model challengers
2. Old model, new market challengers
high
high
low
low
Rel
ativ
e M
arke
tsha
re
Relative Growth Rate
Mature Champions
Laggards Challengers
Upstart brands take on brands that are larger, more established than themselves
2Wednesday 16 September 2009
www.nomoneymarketing.org
Cheese or Mousetrap? Core or Surround?
People
Delivery Facilities
Price
Country of origin
Executive Management
Vision
Corporate Governance
SURROUND
Delivery Process
Business Benefits
Quality
CORE
Photo Credit: Rennett Stowe
3Wednesday 16 September 2009
www.nomoneymarketing.org
Core vs Surround Branding
Input Elements
Core Service Attributes
Output Impact
People
Elements that are directly related to service performance
Service Delivery Process
Delivery Facilities
PriceCountry of origin
Executive Management
Vision
Corporate Governance
Environment
Community
Investor Returns
Business Benefits
Industry Development
Sur
roun
d Surround
Core
Quality
No Money Marketing, Jessie Paul, Tata McGraw-Hill
4Wednesday 16 September 2009
www.nomoneymarketing.org
Infrastructure: •Telecom• Facilities
People: •Domain experts•Process experts
• Framework/ Methodologies:
• For process optimization• Process management•Process quality
VALUE ADDERS – CUSTOMER BENEFITSReliability
Cost savings
Increased efficiency/ speed
Ability to identify &/ capture new business opportunities
DIFFERENTIATORSBusiness Optimization thro business
analytics & domain knowledge
TABLE STAKES
SATISFICERSPhysical & Data Security, Infrastructure
WHO AM I?
WHY BUY ME?
WHY NOT BUY SOMEONE ELSE?
5Wednesday 16 September 2009
www.nomoneymarketing.org
Flat World Trends
1.
2.3.
The market is very small: You have a target audience of one4.
Advertising is free: But getting it is hard work
Digitization, Globalization: People are buying things they cannot see
The world is interconnected: Everyone is a journalist, opinion-maker and salesperson!
6Wednesday 16 September 2009
www.nomoneymarketing.org
Flat World Trends
1.
2.3.
The market is very small: You have a target audience of one4.
Advertising is free: But getting it is hard work
Digitization, Globalization: People are buying things they cannot see
The world is interconnected: Everyone is a journalist, opinion-maker and salesperson!
6Wednesday 16 September 2009
www.nomoneymarketing.org
IndividualsInterconnected
Marketing changes in the Flat World
Location-specificLocation-independentCustomers
Access controlledEasily accessibleAt costFreeInformation
One way2-way, interactiveLagInstantaneousOpt outOpt-inAt costFreeCommunication Old WorldFlat World
No Money Marketing, Jessie Paul, Tata McGraw-Hill
7Wednesday 16 September 2009
www.nomoneymarketing.org
Own your eco-system
Industry Associations
Analysts
Consumer Reports
Consulting Firms
Sourcing Advisors
Other Customers
Journalists
Expert Users
Government
Academics Internet Pundits
Friends & Family
Employees
SalespersonDecision Maker
8Wednesday 16 September 2009
www.nomoneymarketing.org
Leveraging resources for smart branding
Thought Leadership
PR
Awards
Online presence
• Executive Branding
• Pricing
• Country of Origin
• Sustainability
Channels
Levers
9Wednesday 16 September 2009
www.nomoneymarketing.org
Executive Branding
MyBo
YouTube
MySpace
Barack Obama
Create a brand blueprint
Stars are created, not
born
Be accessible
Have a point of view
Be everywhere
Spend your time generously
Photo Credit Jurvetson
10Wednesday 16 September 2009
www.nomoneymarketing.org
Price as a differentiator
Pricing is about perceived value
Use Extreme Pricing – Either Low-cost or
Premium
Consumers associate high prices with high
quality
Pricing depends on ability to experiment
Reproduced from No Money Marketing
11Wednesday 16 September 2009
www.nomoneymarketing.org
You can CHOOSE your home country
Does your “home” add value or detract?
Have you invested in relationships at home?
How much of national flavour is differentiating and not
overbearing?
Country of Origin
12Wednesday 16 September 2009
www.nomoneymarketing.org
Sustainability
PartnersCommunity
Customers
Suppliers
Employees
Bio-diversity
Waste Water
Energy
WIPRO
All other things being equal, consumers would prefer a “green” offering
Regulations will drive greener practices
13Wednesday 16 September 2009
www.nomoneymarketing.org
Thought Leadership
Analysts CustomersJournalistsExpert Users EmployeesSalesperson
Thought Leadership
Useful information on latest trends and how it affects them
Door-opener to have a non-sales business discussion with a prospect
Reassurance that their organization is on the cutting-edge
Current developments that can trigger exclusive stories
Information on how the latest trends can benefit their business
Allows an intellectual dialogue on recent developments
14Wednesday 16 September 2009
www.nomoneymarketing.org
PR
Be contrarian
Be different in the context
Use controversies
Personal touch
Information is cheap. Insight is rare.
Swiss Spaghetti Harvest
BBC Panorama, April 1, 1957
15Wednesday 16 September 2009
www.nomoneymarketing.org
Awards
Awards add credibility
Win awards
Give awards
16Wednesday 16 September 2009
www.nomoneymarketing.org
Online Media
www.wipro.com
YouTube
Co-branded portal
Second Life
Wipro
Everyone can be a broadcaster. Free.
Build a hub-and-spoke model
You can’t always “own”. Rent.
Instant responses.
Everyone can have an opinion. Trust is the differentiator.
17Wednesday 16 September 2009
www.nomoneymarketing.org
5 Tips for Frugal Marketing
Create Your OwnMarketing Channels
Insights vs Information Go Online
Own the Eco-
system
Define your
Audience Narrowly
1 2 3 4 5
18Wednesday 16 September 2009
www.nomoneymarketing.org
www.nomoneymarketing.org
www.jessiepaul.comwww.twitter.com/
jessie_paul
19Wednesday 16 September 2009
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