I worked with a CMO twelve years ago who complained about the changing marketing environment he was forced to deal with.
“It’s so complicated I just don’t know what the right decision is most of the time.”
Take note, this was twelve years ago. Marketing in general, and Relationship Marketing in particular, is a whole lot more complicated today.
Earlier this week I met with a young entrepreneur through my involvement with Pacific Community Ventures.
PCV develops and invests in California businesses that provide economic gains to low and moderate income communities. One of they ways they do this is by connecting experienced business executives with entrepreneurs who are building their businesses in the targeted communities.
He had a good idea and a great product but was confounded by all the marketing choices he faced.
So how do you keep it all straight? How does a marketer decide which media channel, which tactic is the best choice in any given situation?
I suggest you start by considering two things:
- Consumer interest in the category changes over time, and
- Each consumer’s worth, the value they bring to the category is disctinct.
For example, accept that consumers aren’t a homogeneous blob; women, 18 – 49 doesn’t define them. They are individuals and at any given time, each is at a different stage in their relationship with the category and the brands in the category.
You also need to change your mind about consumer worth. Again, they aren’t all the same. In fact, heavy category users, while typically a small percentage of your consumers, are worth a whole lot more than the rest.
This line of thought generated an idea,
“What if we made a matrix representing the two perspectives.”
This simple idea led to the relationship marketing matrix, a tool, it’s pictured above, that compares a consumer’s interest in the transaction over time with their worth.
Make your choices about marketing tactics by considering each from these perspectives. Place each tactic inside a cell in the matrix and consider its fit to consumer interest and value. Some will fit nicely. These you keep. And some, not so much. These you move to another cell until you find the best fit or you put them aside for another time or situation.
It was useful when I created it twelve years ago and, I suspect, it is even more useful today. What do you think? Would a tool like this help you make better decisions?