Showing posts with label business model. Show all posts
Showing posts with label business model. Show all posts

Wednesday, November 26, 2008

Sequence

Normal: Product - Promotion
If you want to include a product into catalogue, first ensure that you know the product, the supplier, the terms.

Preverse: Promotion - Product.
A company decides to act like others and includes first positions into catalogue without thinking out the supplier and terms. Result - a holy crap for communication dept to find pics, and then for buying dept to find this f#$king supplier... In the end clients want the damned product and the company still doesn't have it.

The preverse scheme occures when the CEO wants something to be included and other depts (sales, buyers) don't want to loose their time for preparation. When a smart decision comes - to make a last step to push others to act.

As to me I hate this reverse logic. Especially when I'm the last step executor.

Sunday, February 3, 2008

free+ or how to make money on add-ons

Seth Godin just gave a link to Kevin Kelly post "More than free" about eight ways of making something worth charging for.

He mentions the following:
1. Immediacy - get now or at least earlier than others.
2. Personalization - generic version is for free, customized one is not.
3. Interpretation - software, free, the manual, $10000.
4. Authentacity - how much are you ready to pay for a trueness certificate?
5. Accessibility - low access cost, how much are you ready to pay for it?
6. Embodiement - making services r intangible goods tangible.
7. Patronage - audiences want to pay the creators.
8. Findability - makeing money by helping the audience find works they love

I love the article.

Monday, July 16, 2007

from other blog notes

I've got the perfect marketing professor finally. My russian professors were at most regular (except one pricing guy who was tough, but ok). And here I was disappointed, even started hating the subject.

http://www.billcarney.org/

This guy changed a lot. I've got a bunch of quotations from his classes. Here they are.
  • In our knowledge we have perception "the more the better". It depends upon whom this more belongs and how much they're paying for that.
  • You make money on similarities, but differences cost you money.
  • Approach to non-mutinational company - do product, do marketing idea and push everything to distributors - they should be interested in product distributio. Put marketing effort - promotion, sampling etc to them - you don't have time for that.Distributors know their markets. If you are ok to tell them what to do, you don't need them. Just go to the market and do it yourself.
  • Marketing strategy is a carefully designed plan of actions which aim is to elicit specific response of a specific target group of customers. Official, but according to the scheme Who-What-How.
  • Pricing is the marketing mix element by which you meet your financial obectives. Wrong price - unsatisfied consumer - lost profit - failed financial goal.
  • All your efforts should be done to customers who are sesitive to your core business values. First focus on the customers that is easier to obtain.
  • Salestaff compensation normally consists of 3 parts: base salary, comission, bonus. What the mix? Depends upon your target. Sales compensation is now used for manipulating. Base salary is a primary control - discipline, business practices etc. Comission which is a percentage from sales is a working icentive, the more you sell the more u get. And finally bonus is an appreciation of teamwork and collaboration. You as a manager define the mix since you know your staff better.