tag:blogger.com,1999:blog-37447187208809134682024-03-20T04:52:00.924-07:00Physics of MarketingMarketing and science, do they go hand in hand? Explore here whereby science intertwines with business. Besides, it also features everything and anything about marketingPhysics of Marketinghttp://www.blogger.com/profile/09378617803068846378noreply@blogger.comBlogger22125tag:blogger.com,1999:blog-3744718720880913468.post-38263059823187732192007-11-21T17:57:00.000-08:002007-11-21T17:58:40.203-08:00Money doesn't existI've had an interesting chat with a friend of mine, lamenting that he has lost a substantial amount of money in investments. Money never seems to be enough and we're always working to make our cashflow look more impressive. In between feeling the loss and the pains of money, we've came to the conclusion that money really doesn't exist.<br /><br />The key term here is reification - creating by mere definition of concept. As a society, as an economy, we have defined what we mean by money and by virtue of this definition, we assume it to exist. But in actual fact, it doesn't<br /><br />We speak of concepts, duly defined, and take items of the real world and attach these conceptual labels to them. We convince ourselves that we're actually describing the world by abstracting and assigning categories. But, in essence, what we're really doing is merely revealing the workings of our minds.<br /><br />Take example, there is no chair, only things we sit on. Is a pile of books a chair? Sure, we can sit on a pile of books; and if someone says 'take a seat' and gestures you to the pile of books, you'll get the idea that he wants you to sit on them. But does that make them a chair? How about he says 'sit down' and gestures you to books scattered horizontally across the floor. Would you then understand he wants you to pile them up to create a chair to sit on?<br /><br />That's reification and in a very real sense, it goes the same for money. Or maybe we're just sore losersPhysics of Marketinghttp://www.blogger.com/profile/09378617803068846378noreply@blogger.com5tag:blogger.com,1999:blog-3744718720880913468.post-43233574105683221092007-11-19T19:20:00.000-08:002007-11-19T19:44:39.871-08:00The power of McDonald's marketing gripIt's November 20th and it's a special day as it's <strong><span style="color:#cc0000;">World Children's Day</span></strong>. Give a child a hug today.<br /><br />To coincide with this fantastic day, I would like to scrutinize McDonalds again. Yes, again.<br /><br />So McDonald's have a charity setup specially for children called the <a href="http://www.mcdonalds.com/rmhc/index/about.html"><strong><u><strong>Ronald McDonald House Charities</strong></u></strong></a>.<br /><br /><strong><span style="color:#cc0000;">This is their motto</span></strong>: A strong mind. A strong body. And a safe, supportive place to grow. These are things that every child needs - and deserves. Helping to provide these things is what we do.<br /><br />Tsk...Tsk...Tsk... You've probably remembered my previous post about <a href="http://physics-of-marketing.blogspot.com/2007/11/ba-da-ba-ba-baa-im-loving-it.html"><strong><u><strong><span style="color:#cc0000;">the power that McDonalds have on children</span></strong></u></strong></a><br /><br />With so much power McDonald's have over children's choice of food, so why can't McDonald's change their menu to include healthier food for the love of the children?<br /><br />To make matters worse, McDonald's thinks it <strong><span style="color:#cc0000;">IS</span></strong> serving healthier food because their Happy Meals contain Apple Dippers with caramel dipping sauce loaded with high fructose corn syrup and lower fat in the rest of the food.<br /><br />Here's an excerpt from a certain McSpokesman."This [better food choices] is an important subject and McDonald's has been actively addressing it for quite some time," said company spokesman Walt Riker. "We've always wanted to be part of the solution and we are providing solutions."<br /><br />Hah. Everyone can see that as a bluff already. You lose even if you have that dead on poker face, MCSpokesman. You know the jackpot is already yours. Why not show us your cards instead? What are your solutions?<br /><br />How about offering some plain fresh strawberries instead of apples and a high-sugar dip? Why not offer the much healthier portions of meat for children to build their little bodies? Why not lower the salt and cholestrol levels in their fries?<br /><br />I guess sadly, we will only hear and read more about child obesity, child onset diabetes, high cholestrol and a host of other illnesses inflicting our childrenPhysics of Marketinghttp://www.blogger.com/profile/09378617803068846378noreply@blogger.com0tag:blogger.com,1999:blog-3744718720880913468.post-41294767956399453082007-11-16T01:10:00.000-08:002007-11-16T01:47:55.461-08:00Ba Da Ba Ba Baa... I'm Loving It!So much have been known about <strong><span style="color:#cc0000;">McDonald's</span></strong> marketing and advertising campaign, one of the largest brand name in the world. McDonald's have one of the most impressive advertising campaigns to boost its status to date. McDonald's has for decades maintained an extensive advertising campaign. In addition to the usual media (television, radio, and newspaper), the company makes significant use of billboards and signage, sponsors sporting events from ranging from Little League to the Olympic Games. Nonetheless, television has always played a central role in the company's advertising strategy.<br /><br />So, who is the target audience behind their advertising campaigns? Who holds the golden key to McDonald's success?<br /><br />You're probably not suprised that the answer is their child and adolescent customers. <strong><span style="color:#cc0000;">CHILDREN</span></strong> of course!! The tremendous spending power and influence of children on parental purchases has attracted marketers, and, as a result, marketing strategies aimed at children and adolescents have increased. Currently, about one-fourth of all television commercials are related to food, and approximately one-half of these are selling snacks and other foods low in nutritional value. Many of the commercials aimed at children and adolescents use catchy music, jingles, humor, and well-known characters to promote products. The impact of these strategies is illustrated by studies showing that when a majority of television commercials that children view are for high-sugar foods, they are more likely to choose unhealthful foods over nutritious alternatives, and vice versa. So, why am I not surprised that McDonald's is also part of the ratpack?<br /><br />Here's proof of what a strong grip they have on children due to years or exposure to their cleverly crafted marketing campaigns:<br /><br /><strong><span style="color:#cc0000;">The Aim</span></strong>: Lead researcher Dr. Thomas N. Robinson, Associate Professor of Pediatrics and of Medicine at the Stanford University School of Medicine, and his fellow researchers wanted to examine the "effects of cumulative, real-world marketing and brand exposures" on toddlers to see what effect, if any, consumer branding would have on their food preferences.<br /><br /><strong><span style="color:#cc0000;">The Experiment</span></strong>: A total of 63 children between the ages of 3 and 5 from low-income families from the government assistance Head Start program in San Mateo County, CA were give five pairs of identical foods and beverages--hamburgers, chicken nuggets, French fries, milk or juice, and carrots--that were packaged in wrappers stating they were from McDonald's and another in plain packaging. Each of the study participants were asked to tell the researchers if the foods tasted the same or if they had a preference for one over the other.<br /><br />The stunning results? The children almost universally preferred the food and said it tasted better when it was wrapped in McDonald's packaging than the plain packaging. Remember, <strong><span style="color:#cc0000;">IT WAS EXACTLY THE SAME FOOD!<br /></span></strong><br />Here are some of the other key findings in the study:<br /><br /><span style="color:#cc0000;">- 77% preferred the French fries they thought were from McDonald's<br />- Only 13% liked the non-labeled French fries<br />- 54% liked the McCarrots compared to 23% in the plain wrapper<br />- 29 kids chose McDonald's hamburger, 22 the other one<br />- Less than one in four said all the food tasted the same<br /></span><br />A closer analysis of the study participants who had multiple television sets in their homes and were more heavy users of McDonald's found that there was an even "greater effect of branding" among this group.<br /><br />So, now you can understand why the advertisements and jingles for McDonald's are heavily child oriented, the world-reknowned friendly Ronald McDonald and other cute food mascots. Also their special kid's happy meals and not forgetting child-friendly freebies that are oh-so-irresistible.<br /><br />McDonald's has such power over kid's food choices but are they going to use their advantage to promote healthier eating habits among children? Will they change their menus to cater to a more balanced meal for their children?<br /><br />The world is still waiting...Physics of Marketinghttp://www.blogger.com/profile/09378617803068846378noreply@blogger.com0tag:blogger.com,1999:blog-3744718720880913468.post-39112644234179621822007-11-13T22:50:00.001-08:002007-11-13T23:13:03.863-08:00Broing blogs getting U down?Sometimes we tend to right real boring articles that do not inspire nor stir any interests. Yep, they are lots of them out there, just read any of the millions of blogs out they.<br /><br /><strong><span style="color:#cc0000;">So Hwo do you jazz your blog up?</span></strong> Just by doing something out of e ordinary. Blog readers these days are very in-tune with the blogosphere, they have certain xpectationz and criteria when they chooses to spend a few seconds scanning a blog to deem interesting or not. The ugly tRuth is, no reader will actually reed word for word whatever that's writt(en). Be real, come on! They scan teh p&ge and only s+op if it interests them enuff<br /><br />How to stand out then? You cna always tyr somwthin different and out of theOrdinary. Don't have2 stick to generAl rulz and be like the mess<br /><br />PS: The grammatical and spelling mistakes are intentional.<br /><br />This article simply illustrates that we readers already have a certain expectation instilled in us and sometimes something out of the blue can jolt the expectations and stir some new-found interest. So don't be square!! Think <a href="http://physics-of-marketing.blogspot.com/2007/11/viral-marketing-yes-or-no.html"><strong><u>VIRAL</u></strong></a>Physics of Marketinghttp://www.blogger.com/profile/09378617803068846378noreply@blogger.com0tag:blogger.com,1999:blog-3744718720880913468.post-466380837709929002007-11-13T18:45:00.000-08:002007-11-13T19:01:12.085-08:00Viral Marketing - Yes or No?I've grown up studying Kotler's marketing like my new bible. Most of you probably would have been familiar with Kotler's theories. I love Kotler with all my heart. That was in the past... Don't get me wrong, I'm not saying Kotler is outdated, but his theories are perfect for marketing in the real world, but not really for marketing in this cyber era. For example, take his 4Ps. Place would be rendered obsolete in the realms of the cyberspace.<br /><br /><span style="color:#cc0000;"><span style="color:#000000;">Why this article came about is due to the fact that in the US, only a disappointing 15% of all marketing efforts are concentrated on viral marketing. Now, that seems shocking even for US standards who birthed the shock culture much to the amusement of the world.</span> </span><br /><strong><span style="color:#cc0000;"></span></strong><br /><strong><span style="color:#cc0000;">Viral marketing</span></strong> is the answer and the new generation of marketing, the wild child, the untamed new marketing of today. Viral marketing needs no introduction anymore, so I shall skip the basic viral marketing definition and theories.<br /><br />In my opinion, viral marketing is free, creative and knows no boundaries. The only limitation would probably be the space between your head. So, think out of the box, embrace viral marketing like never before and use it to your advantage. Viral marketing is not simply word-of mouth as many critics have shot it down outright. Viral marketing's potential knows no bounds and the effect is tremendous in brand recognition. Word-of-mouth spreads for a while and dies down shortly after that. Viral marketing stretches far beyond that. Especially when the consumer segments are more <a href="http://physics-of-marketing.blogspot.com/2007/11/checklist-for-gen-yers.html"><strong><u><strong>technology savvy</strong></u></strong></a>. Think youtube.<br /><br />Start your viral campaign today instead of debating should you contemplate utilizing viral marketing.Physics of Marketinghttp://www.blogger.com/profile/09378617803068846378noreply@blogger.com0tag:blogger.com,1999:blog-3744718720880913468.post-58633198104557880242007-11-07T22:54:00.000-08:002007-11-07T23:31:53.152-08:00Checklist for Gen Yers<p>Yesterday, we're talked about <a href="http://physics-of-marketing.blogspot.com/2007/11/generation-gap-are-you-y.html"><strong><u>Generation Y</u></strong></a>. Now, to be really sure, here is a checklist of Gen Yers:<br /><br /><br /><span style="color:#cc0000;"><strong>They are financial savvy</strong></span><br />After witnessing the financial insecurity that beset earlier generations stung by layoffs and the dot-com bust, today's newest entrants into the workforce are generally savvy when it comes to money and savings. They care about such benefits as 401(k) retirement plans. They invest and want to make sure that they have a comfortable retirement and a stash of savings to enjoy life after retirement. Investing in bonds, funds, shares and other investments are part of their financial smarts<br /><br /><br /><strong><span style="color:#cc0000;">Work hard, play harder</span></strong>.<br />Unlike boomers who tend to put a high priority on career, today's youngest workers are more interested in making their jobs accommodate their family and personal lives. They want jobs with flexibility, telecommuting options and the ability to go part time or leave the workforce temporarily when children are in the picture. Life is short, why waste it all by sitting on your office desk?<br /><br /><strong><span style="color:#cc0000;">Change, change, change.</span></strong><br />Generation Yers don't expect to stay in a job, or even a career, for too long — they've seen the scandals that imploded Enron and Arthur Andersen, and they're skeptical when it comes to such concepts as employee loyalty, Tulgan says. They're like Generation X on steroids. They are also not afraid to change how the organization works as they deem fit<br /><br /><br /><strong><span style="color:#cc0000;">Conflicts over casual dress</span></strong><br />In the workplace, conflict and resentment can arise over a host of issues, even seemingly innocuous subjects such as appearance, as a generation used to casual fare such as flip-flops, tattoos and capri pants finds more traditional attire is required at the office.<br /><br /><br /><strong><span style="color:#cc0000;">Technology savvy</span></strong><br />And then there's Gen Y's total comfort with technology. While boomers may expect a phone call or in-person meeting on important topics, younger workers may prefer virtual problem solving, Tulgan says.<br /><br /><br /><strong><span style="color:#cc0000;">Conflicts in management style</span></strong><br />Unlike previous generations who've in large part grown accustomed to the annual review, Gen Yers have grown up getting constant feedback and recognition from teachers, parents and coaches and can resent it or feel lost if communication from bosses isn't more regular.<br /><br />Gen Yers are well travelled and are more enriched in experiences than the Gen Xes. Gen Yers ruthlessly want what they have set their sights on. Could it be because they have been groomed by their parents? Soccer practice, piano classes, karate, everything. Anything is possible. However, they lack certain social skills. They don't treat older employees as well as they should<br /><br />There is tension between older employees and Gen Yers. The older employess dismiss the abilities of the new comers and the Gen Yers dismiss the ability of the old timers - they're outdated. Period<br /><br />Gen Yers are no obedient sheep. They're not those that say 'how high' when told to jump. They are quick to question authority and to justify their own convictions<br /><br /><br /><strong><span style="color:#cc0000;">Perks and recruitment</span></strong><br />Companies are realizing how valuable Gen Yers are to their organization. Many have come up with attractive perks to attract Gen Yers. For example, Aflac, an insurer based in Columbus, Ga., is highlighting such perks as time off given as awards, flexible work schedules and recognition.</p><p>If you're reading this blog, you're probably a Gen Y. Sounds familiar?</p>Physics of Marketinghttp://www.blogger.com/profile/09378617803068846378noreply@blogger.com0tag:blogger.com,1999:blog-3744718720880913468.post-42495826895441086392007-11-06T22:17:00.000-08:002007-11-07T23:26:16.275-08:00The Generation Gap - Are you a Y?They're young, smart, brash. They may wear flip-flops to the office or listen to iPods at their desk.They want to work, but they don't want work to be their life. If you're guilty as charged, you are a <span style="color:#cc0000;"><strong>Generation Y</strong><br /></span><br /><strong><span style="color:#cc0000;">Who are the Gen Y?</span></strong><br />Gen Y would be one of the fastest growing segment of workforce that are under 30 years of age. Highly motivated, goal oriented and ever ready to learn and to grow professionally.<br /><strong><span style="color:#990000;"></span></strong><br />Gen Yers have high expectations:<br /><br /><br /><ul><li>High expectations of self: They are goal oriented and highly motivated. they expect themselves to be faster and more efficient than the others. </li></ul><br /><br /><ul><li>High expectations of employers: They want bosses who are fair and directly involved with their professional development</li></ul><br /><br /><ul><li>Ongoing learning: They seek out creative challenges and view colleagues as vast resources from whom to gain knowledge.</li></ul><br /><br /><ul><li>Immediate responsibility: They want to make an important impact right on Day 1.</li></ul><br /><br /><ul><li>Goal-oriented: They want small goals with tight deadlines so they can build up ownership of tasks. </li></ul><br />(Source: Bruce Tulgan of RainmakerThinking)<br /><br /><br />This Gen Yers are infiltrating companies with an aging workforce. This age group is moving into the labor force during a time of major demographic change, where fresh-faced college graduates are working alongside old timers. Young college graduates are overseeing employees old enough to be their parents. And new job entrants are changing careers faster than college students change their majors, creating frustration for employers struggling to retain and recruit talented high-performers.<br /><br />Unlike the generations that have gone before them, Gen Y has been pampered, nurtured and programmed with a slew of activities since they were toddlers, meaning they are both high-performance and high-maintenance, Tulgan says. They also believe in their own worth.<br /><br />"Generation Y is much less likely to respond to the traditional command-and-control type of management still popular in much of today's workforce," says Jordan Kaplan, an associate managerial science professor at Long Island University-Brooklyn in New York. "They've grown up questioning their parents, and now they're questioning their employers. They don't know how to shut up, which is great, but that's aggravating to the 50-year-old manager who says, 'Do it and do it now.' "<br /><br />So do you think you're a Gen Yer?Physics of Marketinghttp://www.blogger.com/profile/09378617803068846378noreply@blogger.com0tag:blogger.com,1999:blog-3744718720880913468.post-14159044587977249142007-11-03T02:19:00.000-07:002007-11-03T03:04:07.560-07:00How to give presentations? - Be heard!!Presentations are an all important tool in selling and marketing. All marketers and sales people should master this all-important skill. They equip themselves with Powerpoint, video, slideshows, charts, handouts - all part of presentation tools. However, the general notion is, these tools are <em>the</em> most important in a presentation. Wrong. <strong><span style="color:#990000;">YOU</span></strong> are the focal of all presentations. You are the most important selling tool.<br /><br />Have you ever experienced being in a meeting and it's boring and your mind starts wandering? Chances are the speaker is reading his notes with his head buried down, too many slides, long hand outs, monotonous speech, no contact with audience. Well just plain boring. I have and to be honest I abhorr sitting in boring presentations.<br /><br />I'm not going into details on how to speak, let's leave that to the experts. But I will guide you on how to do impressive powerpoint:<br /><br />1) Dont put too many words in a slide - Limit to not more than 7 words per sentence. You don't want the audience to try to read what's on the slide instead of listening to you. Instead, opt to just feature key words in your slide and you present from there<br /><br />2) Put graphics instead of words - Yes, you can just put a picture instead of any words. It's more interesting. Chances are, the audience would look up and start listening to you. An easy example, if you're doing a presentation on health, you can just put the pic of an apple (An apple a day keeps the doctor away, in case some of you don't get it) You have an infinite option of relevant graphics to put on your slides. Key note: relevant graphics<br /><br />3) Don't make your slides like a merry-go-round - One thing people like to do is to incorporate sounds and music to their slides. Well, to be honest they are tacky. But it all depends on which subject and field you're in. Come on, use your common sense to discern what's appropriate and what's not<br /><br />4) Handouts - Popular practice to give the audience the handout in the beginning of the presentation. Wrong again. You will only encourage them to read instead of listening to you. Hand the handouts only <strong><span style="color:#990000;">AFTER</span></strong> the presentation. Remember you are the focal point<br /><br />5) Don't be boring - Don't put too many slides in a presentation. People get bored really easily. So, capitalize on your selling with the knowledge of their short attentin span and don't bore them with too many slides.<br /><br />6) Notes - Don't read your notes as you present. If the audience is going to be reading your notes while you present, why bother having a presentation at the first place? You can just mail them the notes and save each others' time<br /><br />Here are just some of the points that I see frequently done wrongly in presentations. Make your presentations as creative and interesting as possible. Think out of the box. Don't be square but dare to challenge your audience. Go ahead and make great presentations from now onPhysics of Marketinghttp://www.blogger.com/profile/09378617803068846378noreply@blogger.com0tag:blogger.com,1999:blog-3744718720880913468.post-66829583657915364922007-11-02T00:16:00.001-07:002007-11-02T00:17:33.436-07:00Physics of Marketing is back!!Hey people, sorry for the long hiatus but just to let you know, I'm back again. I would be expounding on other physics equations and any other topics on marketing. Feel free to share your opinion and thoughts with me. Comments are most appreciated. So wait up for my new posting tomorrow. See you real soonPhysics of Marketinghttp://www.blogger.com/profile/09378617803068846378noreply@blogger.com0tag:blogger.com,1999:blog-3744718720880913468.post-69564080683217944152007-04-17T17:46:00.000-07:002007-04-18T00:18:26.088-07:00To diversify or to stay focused?Here's a follow up article to <a href="http://physics-of-marketing.blogspot.com/2007/04/what-consists-of-customers-purchasing.html"><strong><u>What consists of customer's purchasing decision?</u></strong></a> As mentioned, in the marketplace there are 3 Physics theory that govern it. Now, this is the second theory - Law of market inertia.<br /><br /><strong>Law of Market Inertia</strong>: According to the concept of Inertia, if a body is in motion, it will stay in motion unless there are no outside force to make it stop. As for a body at rest, it will remain at rest as long as there are no outside forces to change its state of rest. This when put into marketing terms. it translates that a large company tends to stay in motion whereas a new venture needs to build momentum.<br /><br />In the business realm, market leaders have an advantage because they already have a strong command in the marketplace and they are already generating sales. A strong competitor usualy has no problems facing their competitors. But launching a new product--even with the best product or a strong dominance in a hungry marketplace-requires surprising energy. As competitors continue to rack up sales by improving what they do best and customers spend their purchasing power elsewhere, inertia is against you.<br /><br />Companies can manage market inertia through "competitive focus"--or in other words in a <a href="http://physics-of-marketing.blogspot.com/2007/02/love-your-competitors.html"><strong><u>niche market</u></strong></a>. This means creating one unified strategy to concentrate resources and to fortify market position, focusing on one product, one group of customers, and one clear, consistent message. If you divide your energy among many paths, you are stretching yourself too thin, not focussing on your core cash cows. Another thing to keep in mind, the degree of focus required is proportional to company size and competitive forces. The smaller the company and stronger the competition, the greater the focus required to carve out a profitable piece of the market.<br /><br />Few companies that sell many diverse products can survive well. If you try to recall, most of the great household brands are also companies in a certain niche market. Think Coca Cola for example. Throw lots of pebbles in a pond and you'll cause some ripples, but throw in one big boulder and you'll make a big splash. When you diversify, you are allocating company resources in various directions. This could be a setback as you have many diverse products but they may be more slow-moving as compared to a single-minded highly focused company who actively pursue all marketing strategies, advertising, messages and company resources in one direction, thus making a greater impact.<br /><br />The downside of inertia is that once you get the ball rolling, changing direction can be difficult. For example, TV Guide has one of the most recognizable brands. But the marketplace has shifted. The company needs to find a foothold in the new multimedia economy. TV Guide's strong brand may speed customer recognition, but how far can they stray from that ubiquitous weekly guide before customers get confused?Physics of Marketinghttp://www.blogger.com/profile/09378617803068846378noreply@blogger.com0tag:blogger.com,1999:blog-3744718720880913468.post-73140895479239103252007-04-14T02:14:00.000-07:002007-04-14T02:50:44.786-07:00What consists of a customer's purchasing decision?Marketing seems to easy when we look at successful marketing campaigns. The ideas are easily grasped by target audience and the message is clearly sent to them. Thus, that is a successful marketing campaign. However, sometimes marketers fail to see that simplicity is almost always the best policy. The message is direct and straight to the point.<br /><br />Just as the physical world is guided by certain laws of nature, businesses cannot escape the laws of the marketplace. Even in this New Economy, there remain indisputable laws of marketing, much the same as the laws of motion, thermodynamics, gravity and relativity. We'll call them the:<br /><br />Law of Market Relativity - Customer's purchasing decisions<br />Law of Market Inertia<br />Law of Market Entropy<br /><br />For today's entry, we will speak about Market Relativity only. I will come up with following posts on Market Inertia and Market Entropy. So, stay tuned.<br /><br />The law of market relativity, E = [mc.sup.2]. Ok, probably looks like alien language to you now. Simply put in marketing terms, Law of Market Relativity means puchase decisions made by consumers are ALWAYS involved with a mix of logic and emotions. Ok, in simpler terms, Law of Market Relativity governs customer's purchasing decision.<br /><br />Following the equation above, in marketing terms:<br /><div align="center"><br />Emotional decision to buy(E) = mental logic(Mc) x considerations of the buyer(sup) x content of the marketing(2)</div><div align="center"> </div><div align="left">whereby, </div><div align="left"> </div><div align="left">Emotional decision to buy (E) = the final purchase made by consumers, </div><div align="left">Mental logic (Mc) = customer's pros and cons for the purchase, financial considerations and the urgency need for product</div><div align="left">Considerations of the buyer (sup) = what the consumer perceive of the product based on experience or word of mouth or through advertising</div><div align="left">Content of marketing (2)= Marketing strategies</div><div align="left"> </div><div align="left">Therefore, Theory of Relativity leads to two conclusions, which is:</div><div align="left"> </div><div align="left">(a) all puchase decisions made by consumers are a combination of emotions and logic</div><div align="left">(b) the level of emotion is affected directly by marketing tactics employed by marketers and personal considerations of the buyer<br />Relativity leads to two conclusions: (1) all purchase decisions are based on a combination of emotion and logic; and (2) the level of emotion is affected by the marketing tactics and personal considerations of the buyer. </div><br />For example, buying a book online, you should logically balance price, delivery time, and e-tailer reliability to get your book quickly and cheaply. But even without checking price, you might enjoy customer-friendly navigation at Amazon.com, or you may root for the underdog and buy from a lesser-known site. Even for this simple purchase, emotion and logic work together to influence your decision.<br /><br />The purchase decision is more emotional if products are more exclusive and expensive. Few people buy jewelry that often, therefore, jewelry marketing stresses style and glamour and a posh lifestyle that appeals to its specific target audience. Car purchases are also the same. In reality, as long as a car that is functionable and reliable with low or little mainenance, it is considered a good car. However, there are some people who still favour a Porsche, SUV, 4WD, or even a mini cooper just to name a few, over other cars. When in effect it works almost as well as other cars - bringing you safely from Point A to Point B and back to Point A. And how often do these consumers burn the tracks in the highway on their Porshe, haul a ton of rocks in their pickup trucks or go on a road trip with their SUV? And yet, they feel they have made the best purchase for their choice of car. That clearly shows an emotional decision over logical decisions. <br /><br />Therefore, these clearly illustrates that every single decision to purchase involves a mix of logical and emotional feelings and never devoid of any, no matter how insignificant or how big a purchase is. Knowing that customer's decisions are based on both logical and emotional feelings, it will be wise to know which type of product or service you have. In this way, you can put in the right marketing efforts that corresponds to the emotional appeal of the customers to your product or service.Physics of Marketinghttp://www.blogger.com/profile/09378617803068846378noreply@blogger.com0tag:blogger.com,1999:blog-3744718720880913468.post-78793666757087653182007-04-12T01:55:00.000-07:002007-04-12T02:07:10.697-07:00Recognize your target audienceIt is very important to rcognize your target audience and their needs and what gravitates them to be loyal customers of yours. When you have that information, you have the key to optimizing what you do best to draw the same crowd to you, so much so that your product or service becomes entertwined as a big part of their lives. This can also be translated as a <a href="http://physics-of-marketing.blogspot.com/2007/02/love-your-competitors.html"><strong><u>niche market</u></strong></a> where you fulfill the specific needs of this specific targeted group.<br /><br />Here's a fine example of a big marketing flop. The example clearly shows that if you do not grasp your target audiences' needs well enough, you will in turn lose your customers. These customers come to you for a very specific product/service that they are very accustomed to, altering alittle or a total revamp on your product/service will be an unwise option, as you lose the core reason why these customers are loyal to you in the beginning.<br /><br />Here's the failed marketing strategy deployed by Pat Boone for a new image makeover:<br /><br /><strong>Pat Boone: Metalhead</strong><br /><br />Pat Boone is known as a devout Christian and wholesome family man. He originally became famous by recording "white bread" cover versions of R&B hits by performers like Little Richard and "Fats" Domino -- minus their soul, sex appeal and rebellion. Face it, Pat Boone is about as "square" as it gets. That's his positioning!<br /><br />But despite the fact that Boone has been hugely successful -- with sales of over 45 million records -- that was a long time ago. Outside of the religious community, he has been irrelevant in the mainstream music business since the mid '60s.<br /><br />His solution was a new group of performers to cover and a radical "image change." So Pat Boone released a "heavy metal" album earlier this year...<br /><br />Called In a Metal Mood: No More Mr. Nice Guy, the album contained versions of such songs as Paradise City, Smoke On The Water, Stairway To Heaven and, of course, the title track.<br />Then, to promote the album, Boone appeared in black leather, a studded dog collar, dark shades and fake tattoos at The American Music Awards and The Tonight Show!<br /><br />Of course, the whole thing was kind of a spoof...essentially, Pat Boone making fun of his own "goodie two shoes" image.<br /><br />Unfortunately, he forgot that some of his (former) "target audience" has little sense of humor. He received a lot of hate mail. And the Trinity Broadcasting Network actually canceled his weekly music show, Gospel America. TBN said the decision was based on "recent changes in the focus and content of Pat's music."<br /><br />As for Pat's reaction, he said: "I'm going to wind up losing a lot of fans, but I'll gain new ones who realize I'm not as square as they thought."<br /><br />Sure.<br /><br />Moral of the story is, stick to what works for you. If you need to revamp and try to cash in on new market segment, diversify to a new product or service, instead of messing with the product or service that is already working well for you.Physics of Marketinghttp://www.blogger.com/profile/09378617803068846378noreply@blogger.com0tag:blogger.com,1999:blog-3744718720880913468.post-27372130705550774062007-04-01T17:34:00.000-07:002008-12-10T13:34:56.284-08:00Motorola being honest?<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgLs8oiniAwYZg3XInjNP_r_IQl-im5mDlB9sTuZk1I724e3mtLi5VmfJ1X55Gm399QdgKw0A_WF2bCQwy7AMnE_bCjirOyDawIEm6g1dzn8P692X0stpysRPuEA6gQuH-Ly2uExis1Wpk/s1600-h/SneakPictureOfAslidePresentedAtMotorola.jpg"><img id="BLOGGER_PHOTO_ID_5048622829670753618" style="DISPLAY: block; MARGIN: 0px auto 10px; WIDTH: 435px; CURSOR: hand; HEIGHT: 400px; TEXT-ALIGN: center" height="400" alt="" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgLs8oiniAwYZg3XInjNP_r_IQl-im5mDlB9sTuZk1I724e3mtLi5VmfJ1X55Gm399QdgKw0A_WF2bCQwy7AMnE_bCjirOyDawIEm6g1dzn8P692X0stpysRPuEA6gQuH-Ly2uExis1Wpk/s400/SneakPictureOfAslidePresentedAtMotorola.jpg" width="390" border="0" /></a><br />So, there you go, in that sneak picture taken out of a Motorola presentation. Have they finally come out in the open that they have lost out to the 'little known company from Finland'? I give you just ONE chance to take a guess which company they are referring to. If you are not sure, well have you been orbitted out of the galaxy for ages ago? Just kidding.<br /><br />For more details, you can read about the <a href="http://physics-of-marketing.blogspot.com/2007/02/marketing-myopia.html"><strong><u>history of Motorola and the 'little known company from Finland'</u></strong></a> here to say, refresh your memory.Physics of Marketinghttp://www.blogger.com/profile/09378617803068846378noreply@blogger.com0tag:blogger.com,1999:blog-3744718720880913468.post-38359862481847790332007-02-15T20:30:00.000-08:002007-02-16T17:27:51.581-08:00Marketing myopiaBetween Nokia and Motorola, which company in your opinion is more dominant in the mobile telephony?<br /><br />Before you answer, listen to this little piece of history.<br /><br />Cellular telephony was invented in America, at Bell Laboratories and Motorola was one of the pioneers at mass producing mobile phones. They had the most efficient value chain of suppliers, from raw materials such as semi conductors right down to advertising. Nokia, on the other hand, is an old and large company founded in Finland in 1865, with very diverse products and services. Now, the question is, comparing these two titans, how did Nokia emerge as the leader in the mobile telephony? Is it due to the fact that Nokia had a longer history as a company than Motorola or was it because Nokia had the foresight of new market trends and efficiently applied the right marketing strategies to propel them to the top?<br /><br />Let the story unfold.<br /><br />Nokia is very well-tuned to global consumer trends. They have a strong market intuition and they are relentless in their marketing intelligence for customer needs. They have the ability to tap into knowledge of new technologies and to monitor customer needs from all over the world. Nokia had the foresight to foresee that mobile phones will be used as fashion accessories, instead of just a boring lack-lustre phone, from their research in Asia - China and Japan. They have seen the potential that mobile phones will turn into necessary items instead of a luxury item in countries like China, Africa and India; where mobile phones take over the importance of land lines. They also understood the need to customize different handsets for different segments of users in the Europe, a new finding, as before, mobile phones are mass produced with the assumption that all users are from one homogenous market segment. Observing pilot users in Scandinavia, they were the first to recognize that digital technology could dramatically improve the functionability of mobile phones.<br /><br />While Nokia was prospecting the world for precious data about promising new technology, diverse consumer behaviour, new trends for mobile phones, new market segments for mobile phone users globally, Motorola was still at their own backyard developing and reproducing the knowledge and technology that they have been doing all along.<br /><br />As a result, Motorola failed to foresee the possibility of turning mobile phones into fashionable items. Motorola had a setback to shift to the digital mobile telephony and the European GSM Standard. Motorola has pigeonholed themselves into 'one size fits all' mobile products, without fully realizing that mobile users are fragmented and each fragmented market segments has their own usage behaviour, needs and wants, which is a gold mine as a niche market. Motorola has lost their dominance in the mobile telephony industry to Nokia, just because Nokia did not concentrate solely in their own home market but they have captured the potential of global markets and the innovative ideas in them. They have fully explored the vast potential of their business.<br /><br />Motorola's marketing myopia has served as a painful lesson to all of us. It is dangerous to rely solely on technologies and market understanding in your own home turf. You run the risk of missing out on valuable customer trends emerging around the globe. Myopic competition, benchmarking your business only against domestic competitors, perfecting your product/service to domestic markets, innovating on home knowledge in home markets spell disaster in the age and times of today, where knowledge is king. Not realising the full potential of what you can bring out of your business is a bitter pill to swallow too.<br /><br />Moral of the story: Whether you want to be a national leader or a global giant, you need to engage with other countries in the world. The world does not revolve around you, so why should you shut yourself out from the world?Physics of Marketinghttp://www.blogger.com/profile/09378617803068846378noreply@blogger.com5tag:blogger.com,1999:blog-3744718720880913468.post-15361316659298119512007-02-14T12:00:00.000-08:002007-02-23T17:12:01.798-08:00Valentine's<div align="left">My formula for the perfect Valentine's:</div><div align="left"></div><div align="left"></div><div align="center"><span style="font-size:130%;"></span></div><div align="center"><span style="font-size:130%;">Love + Sincerity + Element of surprise -----> Pure happiness</span></div><div align="center"></div><div align="center"></div><div align="center"><span style="font-size:130%;"></span></div><div align="center"><span style="font-size:130%;"></span></div><div align="left">Achievable? I have</div><div align="left"><span style="font-size:130%;"></span></div>Physics of Marketinghttp://www.blogger.com/profile/09378617803068846378noreply@blogger.com0tag:blogger.com,1999:blog-3744718720880913468.post-45233046373068162022007-02-13T10:37:00.000-08:002007-02-12T17:47:29.205-08:00Love your competitors<p align="left"><strong>Newton's Third law of motion</strong></p><ul><li><div align="center">To every action there is always opposed an equal reaction; or, the mutual actions of two bodies upon each other are always equal, and directed to contrary parts.- Newton's Third Law of Motion, translated from the <em>Principia's</em> Latin </div></li></ul><p align="left">So, in plain words, it means every action there is an equal reaction. Simple.</p><p align="left">In marketing sense, try not to launch direct offensives at your competitors, as it will spark a row of offensives from your competitors to you. Now you ask, why not eliminate competition altogether? Let me tell you why. </p><ol><li><strong>Competition is healthy</strong> - Competition keeps you busy, keeps you on your toes and always makes you want to innovate to make your product more remarkable and fascinating, which customers are willing to fork out more money because your product is that good</li><li><strong>It keeps the customers coming to you</strong> - Why you ask. Because with competition, people can compare your products are your competitors. How can people know that your products are better than your competitors if they have nothing to compare with? So, to ensure your customers are loyal, you have to give them a superb product. Win-win situation</li><li><strong>Creates a marketplace</strong> - When there are competitors around you, it creates a buzz that attracts people - potential customers to you and your competitors alike. Without competition, it would be too quiet and there will be not enough customers. It is a healthy situation, you have healthy competition, it creats a steady stream of customers to choose from you or your competitors and you are always ready to give a more remarkable product</li><li><strong>Helps to build YOUR niche market</strong> - Well, after all the buzz you and your competitors have created, some customers will stay loyal to you. From this data, you will find out which are your core strengths that you should build on. Then, you further innovate on your unique core strengths and then you realise you have a steady following. You have just created a niche market for yourself. Therefore, you can be rest assured your competitors can't steal your customers from you as you have a product that your niche customers need. It's quality over quantity. You do not alway have to have the most marketshare, because a niche market can generate more sales for you. Example, again the Rolex example. Rolex is a very niche market. Customers are willing to pay a premium for the products. Higher price, guaranteed sales, it's already doing half the marketing work for you</li></ol><p>In a nutshell, your competitors are not your enemies. Embrace them with open arms. </p>Physics of Marketinghttp://www.blogger.com/profile/09378617803068846378noreply@blogger.com0tag:blogger.com,1999:blog-3744718720880913468.post-37707627380024671712007-02-13T00:11:00.000-08:002007-02-13T00:23:58.875-08:00Fire your marketing teamGoing global is the trend these days, so it's not surprising that many multi-international bigwigs have joined in the bandwagon. You would think that these big boys had it easy, well, not so apparently:<br /><br />Ford had a problem in Brazil when the Pinto flopped. The company found out that Pinto was Brazilian slang for "tiny male genitals". Ford pried all the nameplates off and substituted Corcel, which means horse.<br /><br />When Parker Pen marketed a ballpoint pen in Mexico, its ads were supposed to say "It won't leak in your pocket and embarrass you." However, the company's mistakenly thought the spanish word "embarazar" meant embarrass. Instead the ads said that "It wont leak in your pocket and make you pregnant."<br /><br />Chicken-man Frank Perdue's slogan, "It takes a tough man to make a tender chicken," got terribly mangled in another Spanish translation. A photo of Perdue with one of his birds appeared on billboards all over Mexico with a caption that explained "It takes a hard man to make a chicken aroused."<br /><br />Hunt-Wesson introduced its Big John products in French Canada as Gros Jos before finding out that the phrase, in slang, means "big breasts." In this case, however, the name problem did not have a noticeable effect on sales.<br /><br />In an effort to boost orange juice sales in predominantly continental breakfast eating England, a campaign was devised to extoll the drink's eye-opening, pick-me-up qualities. Hence, the slogan, "Orange juice. It gets your pecker up."<br /><br />...and you think sex sellsPhysics of Marketinghttp://www.blogger.com/profile/09378617803068846378noreply@blogger.com0tag:blogger.com,1999:blog-3744718720880913468.post-42236040183925730252007-02-12T15:00:00.000-08:002008-12-10T13:34:56.563-08:00Marketing Strategies' StrategyNow, let's discuss marketing strategies with Laws of Gravity.<br /><br />In the <em>Principia</em>, Newton defined the force of gravity in the following way (translated from the Latin):<br /><ul><li>Every particle of matter in the universe attracts every other particle with a force that is directly proportional to the product of the masses of the particles and inversely proportional to the square of the distance between them</li></ul><p><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEg6sORMmuQoYONfqPv2UINr2ByX9QG65bh5qJYnKdyR6oynfdkd5DtEaAKXHLubmWaGoLPL2Rxs6pPKuJWlkaJDYs0RXZ55mxiQJoAfsaUtUXwAkpSy9s3-rDR14hFrpC684jmdkA92e4Y/s1600-h/ForceGravity.jpg"><img id="BLOGGER_PHOTO_ID_5030584027632253522" style="FLOAT: left; MARGIN: 0px 10px 10px 0px; WIDTH: 163px; CURSOR: hand; HEIGHT: 113px" height="133" alt="" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEg6sORMmuQoYONfqPv2UINr2ByX9QG65bh5qJYnKdyR6oynfdkd5DtEaAKXHLubmWaGoLPL2Rxs6pPKuJWlkaJDYs0RXZ55mxiQJoAfsaUtUXwAkpSy9s3-rDR14hFrpC684jmdkA92e4Y/s200/ForceGravity.jpg" width="163" border="0" /></a></p><p>In mathematical equation.</p><p>F=Force, m1= Mass of object 1, m2= Mass of object 2, r2= distance</p><p></p><p></p><p></p><p>Th<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhpuQQfTDc3zYchSzpXujSPHiqcTvj0G-tTpgbdbgOPVwyBwDM1-dKXIvHf8-4vqZ6H8bYpPB98xFe0qlbNIvWdPRvSZKfhP8WI_k6x8J316tnLOhzcnV7HDCKgGqRzM0TS6PiMahP-YBo/s1600-h/forcegravity2.bmp"><img id="BLOGGER_PHOTO_ID_5030584817906236002" style="FLOAT: left; MARGIN: 0px 10px 10px 0px; CURSOR: hand" alt="" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhpuQQfTDc3zYchSzpXujSPHiqcTvj0G-tTpgbdbgOPVwyBwDM1-dKXIvHf8-4vqZ6H8bYpPB98xFe0qlbNIvWdPRvSZKfhP8WI_k6x8J316tnLOhzcnV7HDCKgGqRzM0TS6PiMahP-YBo/s200/forcegravity2.bmp" border="0" /></a>e explaination:</p><p>Which means, in this picture, you will see that, despite their different mass and sizes, they pull on each other with equivalent force. according to Newton's Three Laws of Motion we see that the particle with less mass (which may or may not be the smaller particle, depending upon their densities) will accelerate more than the other particle. This is why light objects fall to the Earth considerably faster than the Earth falls toward them. Still, the force acting on the light object and the Earth is of identical magnitude, even though it doesn't look that way. </p><p>It is also significant to note that the force is inversely proportional to the square of the distance between the objects. As objects get further apart, the force of gravity drops very quickly. </p><p>In marketing sense:</p><p>F = Effectiveness of marketing campaign, M1=Campaign effectiveness, G=Customer acceptance R=length for customers to understand marketing campaign </p><p>Now, assuming, G = constant , so we take it out of equation and in this marketing case, we take out M2 in our equation</p><p align="center"><strong><span style="font-size:180%;">F=</span></strong><strong><span style="font-size:180%;"><u>M1<br /></u> R</span></strong></p><p align="center"><strong><span style="font-size:180%;">or</span></strong></p><p align="right"><strong><span style="font-size:130%;">Marketing effectiveness(F) = <u>Marketing campaign(M1)</u><br />Length to reach customers(R) </span></strong></p><p align="left">Remember, the heavier the object(M), the longer it takes to fall(R), and F is inversely proportionate to the distance R</p><p>In plain words, </p><p>The heavier and more confusing your marketing campaign is (M1), the longer it takes to reach your customers (length to reach customers R). Since F(Marketing effectiveness) is inversely proportionate to R(length to reach customers), therefore, M1(marketing campaign) should be lighter, in other words, less confusing to the clients and straight to the point.</p><p>So, keep your campaigns short and sweet and straight to the point. Adopt KISS (Keep It Short and Sweet). Keep your marketing campaign one idea at a time. With just one focused idea for your campaign, the customers will grasp your idea quicker than to put in, for example, 6 ideas with chances of confusing them and customers will not remember any of them. </p><p>In a nutshell, KISS and one step at a time.</p>Physics of Marketinghttp://www.blogger.com/profile/09378617803068846378noreply@blogger.com0tag:blogger.com,1999:blog-3744718720880913468.post-21100084641483733932007-02-11T11:00:00.000-08:002007-02-13T18:49:48.422-08:00Business letter 101 - Requesting for a raiseA friend recently asked me how to ask for a raise in salary offered in a new prospect company.<br /><br />As written by my friend:<br /><br /><div align="justify"><em>Dear Sir,</em></div><div align="justify"><em></em> </div><div align="justify"><em></em></div><div align="justify"><em></em></div><div align="justify"><em></em></div><div align="justify"><em>However, would it be possible for me to get (amount of money proposed) for my basic salary? I am very keen to join your company and love the new prospects at (name of soon-to-be new company).</em></div><div align="justify"><em></em> </div><div align="justify"><em></em></div><div align="justify"><em></em></div><div align="justify"><em></em></div><div align="justify"><em>Sincerely,</em></div><div align="justify"><em></em></div><div align="justify"><em>(Signature)</em></div><div align="justify"><em></em> </div><div align="justify"><em></em></div><div align="justify"><em></em></div><div align="justify"><em></em></div><div align="justify">Well, I think that letter is too straight forward and doesn't carry any emotional values that appeals to the new prospect company. This is what I think which would be more appropriate:</div><div align="justify"> </div><div align="justify"></div><div align="justify"></div><div align="justify"><em></em></div><div align="justify"><em>Dear Sir,</em></div><div align="justify"><em></em> </div><div align="justify"><em></em></div><div align="justify"><em></em></div><div align="justify"><em></em></div><div align="justify"><em>Thank you for offering me your invitation to join your company soon. I would love to have this opportunity to share my experiences and my knowledge to work closely together.</em></div><div align="justify"><em></em> </div><div align="justify"><em></em></div><div align="justify"><em></em></div><div align="justify"><em></em></div><div align="justify"><em>However, I would like to share with you my current situation. My present company values me highly as their current employee and I am very attached to my present company too. It may be more justifiable for my move if I'm getting (insert amount of money desired) instead of (currently offered salary) as they would like to view my offer letter from you too. </em></div><div align="justify"><em></em> </div><div align="justify"><em></em></div><div align="justify"><em></em></div><div align="justify"><em></em></div><div align="justify"><em>I'm very keen to work with you soon and to explore all the new prospects and opportunities at (name of new company). Thank you for your co-operation in advance. I hope to hear from you soon.</em></div><div align="justify"><em></em> </div><div align="justify"><em></em></div><div align="justify"><em></em></div><div align="justify"><em></em></div><div align="justify"><em></em></div><div align="justify"><em>Yours Sincerely,</em></div><div align="justify"><em>(Signature of applicant)</em></div><div align="justify"><em></em> </div><div align="justify"><em></em></div><div align="justify"><em></em></div><div align="justify"><em></em></div><div align="justify">Let me explain why.</div><div align="justify"> </div><div align="justify"></div><div align="justify"></div><div align="justify"></div><div align="justify">First paragraph, you thank them for offering you an invitation to work with them. This doesnt put you in a lesser position than them. Notice the usage of the word invitation instead of offer. So, it appears to change the mood of the letter. Then you proceed to say you love to have this opportunity to shrea your expertise with them. Everyone loves benefits, and you are telling them with your employment with them, you are offering them a benefit.</div><div align="justify"> </div><div align="justify"></div><div align="justify"></div><div align="justify"></div><div align="justify">Second paragraph, you ask your subject matter. Importance is, the mood has already changed after your first paragragh. You're no longer looking desperate and eager. You sound more poised and composed and it's almost justifiable for them to give you a raise.</div><div align="justify"> </div><div align="justify"></div><div align="justify"></div><div align="justify"></div><div align="justify">Third paragraph, you are showing your enthusiasm for working with them soon. On the whole, your letter has transformed into a different note than a normal, dry, straight-in-the-face request for a salary increase.</div><div align="justify"> </div><div align="justify"></div><div align="justify"></div><div align="justify"></div><div align="justify">The trick is not to lie in your letter, but to use a few choice words to totally change the mood of your letter.</div><div align="justify"> </div><div align="justify"></div><div align="justify"></div><div align="justify"></div><div align="justify">My 2 cents</div>Physics of Marketinghttp://www.blogger.com/profile/09378617803068846378noreply@blogger.com0tag:blogger.com,1999:blog-3744718720880913468.post-1513787972260378232007-02-10T01:37:00.003-08:002007-02-12T17:43:25.362-08:00Is your marketing at work?Work, as defined in science is:<br /><br /><div align="center"><strong><span style="font-size:130%;">Work (W) = Force (F) x Distance moved along direction of force (d)</span></strong></div><div align="center"><strong><span style="font-size:130%;"></span></strong> </div><div align="center"><strong></strong></div><div align="left">In business sense:</div><div align="left"> </div><div align="left"><strong></strong></div><div align="left">Work (W) = Receptiveness to your marketing campaign, Force (F) = Marketing campaign, Distance moved along direcetion of force (d) = Movement of customers to your product/</div><div align="left">Sales</div><div align="left"> </div><div align="left"></div><div align="left">Why you say so? Because, the end result of the effectiveness of our work is to achieve customer receptiveness to our products (W). If it is a positive result, work has been done. Force that drives the work is naturally your marketing campaign (F) and distance moved along direction of force, we would quantify as the movement of customers towards your products generated by your marketing campaign, which generates sales (d), of course.</div><div align="left"> </div><div align="left"></div><div align="left">Here, it is:</div><div align="left"> </div><div align="left"></div><div align="center"><strong><span style="font-size:130%;">Receptiveness of customers (W)= Marketing Campaign (F) x Sales(d)</span></strong></div><div align="center"><strong><span style="font-size:130%;"></span></strong> </div><div align="center"></div><div align="left">In other words, the receptiveness of customers to your product (W), is the direct combined result of how effective your marketing campaign (F) is and the sales (d) generated from the products after your marketing efforts. If there is <span style="font-size:180%;">0</span> movement of customers/sales to your products, hence resulting in non receptiveness of customers. Hypothesis: marketing campaign is not effective.</div><div align="left"> </div><div align="left"></div><div align="left">Which literally means:</div><div align="left"> </div><div align="left"></div><div align="center"><strong><span style="font-size:130%;">Receptiveness of customers (W) = Marketing Campaign (F) x <span style="font-size:180%;">0</span> (d) = </span><span style="font-size:180%;">0</span></strong></div><div align="center"><strong><span style="font-size:180%;"></span></strong> </div><div align="left"></div><div align="left"></div><div align="left">Time to change your marketing campaign?</div><div align="left"><strong></strong></div><div align="left"><strong></strong></div>Physics of Marketinghttp://www.blogger.com/profile/09378617803068846378noreply@blogger.com0tag:blogger.com,1999:blog-3744718720880913468.post-40178110386496865132007-02-10T01:37:00.002-08:002007-02-11T23:03:32.749-08:00Marketing strategies = Revenues/Sales<p><strong>Newton's Second law of Motion</strong></p><ul><li><div align="center">The acceleration produced by a particular force acting on a body is directly proportional to the magnitude of the force and inversely proportional to the mass of the body.- Newton's Second Law of Motion, translated from the <em>Principia's</em> Latin </div></li></ul><p align="left">The mathematical formulation for this law is:</p><p align="center"><strong><span style="font-size:180%;">F = ma</span></strong></p><p align="center"><span style="font-size:180%;"><span style="font-size:100%;">Whereby, F=Force, m=mass of the object,</span> </span><span style="font-size:100%;">a=acceleration</span></p><p align="left">In marketing terms that we understand better, F=Sales/revenues, M=Customer, a=Marketing strategies</p><p align="left">Therefore, it will look like this:</p><p align="left"><span style="font-size:180%;"><strong>Sales/Revenues = (Customer)(Marketing strategies</strong></span> </p><p align="left">Now, assuming, Customer is a constant, it becomes:</p><p align="center"><span style="font-size:180%;"><strong>Sales/Revenues = Marketing strategies</strong></span></p><p align="left"></p><p align="left">Enough said? </p>Physics of Marketinghttp://www.blogger.com/profile/09378617803068846378noreply@blogger.com0tag:blogger.com,1999:blog-3744718720880913468.post-27030908335459352882007-02-09T13:37:00.000-08:002007-02-12T00:45:28.599-08:00Marketing and Physics<p><strong>Newton's First Law of Motion and Marketing</strong> </p>Newton's First Law of MotionEvery body continues in its state of rest, or of uniform motion in a straight line, unless it is compelled to change that state by forces impressed upon it.- Newton's First Law of Motion, translated from the <strong>Principia's</strong> Latin.<br /><br />This is also known as the Law of Inertia. Law of Inertia simply means:<br /><ol><li><br />An object that is stationary will not move unless a force is acting on it </li><li><br />An object that is moving will not change its velocity(including stopping) unless a force is acting on it</li></ol><p>Having said these, let’s explore. </p><p><strong>First theory</strong></p><p>Customers or the market would be the stationary object. Now, force will be marketing, of course. If no marketing is employed, the consumers will not know of a new product or would not be motivated to even get to know the product. Hence, customers remain stationary, no sales generated from the product. But, if marketing is applied, it will be a force that pushes customer towards the product, hence increasing sales of that product. </p><p align="center">Customer (Marketing) Products<br />------------------></p><p align="left"><br />Of course, the marketing efforts could be good marketing or bad marketing, which influences positively or negatively the movement of customers towards the product. Example, Co Cola is the number one beverage in USA. Hence, Coca cola would not have been no. 1 if they didn’t employ smart marketing. Easier said than done? </p><p align="left"><br /><strong>Second theory</strong></p><p align="left">So, in this second theory, we assume the market (moving object) is reaching out towards the product. But, when a force acts upon it, the moving object stops. Here, the force would be competition. When a new product emerges in the market, with an equally smart marketing strategy, it is a force to reckon with that eventually leads to customers switching to this new product (customers stop buying from the first brand) In common sense, we know the movement of sales of a product will stop if no efforts are put to it. Nothing moves forever. Rethink your strategies if you think you can rest on your laurels after you see booming sales on your product.</p><p align="left">Scientifically, according to Newton's laws, this is because a force is acting on the object and, this force, is in the direction opposite the movement. It's this force which causes the object to slow to a stop. Hence, competitors will strategize their marketing to move away from your product to their product, so the customers will stop moving to your product and to theirs instead. In the absence (or virtual absence) of such a force (competition), this is when total monopoly of your product in the market happens. In real life, this is really not possible. </p><p align="center"><br />Marketing----->Customers<-----Competitors</p><p align="center"></p><p align="left">Another way of looking at Newton’s law:</p><p align="center">A body that is acted on by no net force moves at a constant velocity (which may be zero) and zero acceleration</p><p align="left"><br />So with no net force, the object just keeps doing what it is doing. It is important to note the words net force. This means the total forces upon the object must add up to zero. An object sitting on my floor has a gravitational force pulling it downward, but there is also a normal force pushing upward from the floor, so the net force is zero - therefore it doesn’t move. </p><p align="center">Marketing<br />l<br />l<br />l<br /><span style="font-size:85%;">V<br /></span>Customer<br /><span style="font-size:130%;">^<br /></span>l<br />l<br />l<br />Market Inertia<br /></p><p align="left">This is what happens when marketers are too happy with their sales of product and start neglecting marketing strategies. Market inertia is the customers' resistance to marketing strategies or the market's state of rest (no consumption, no sales) and it happens all the time. When marketing strategies dip and market inertia is ever present, sales of your product comes to a standstill. This is what I call stagnation. In other words, you are losing out on market share and revenues. Wake up!</p><p align="left">Ideally, marketing efforts should be more like this:</p><p align="center">Marketing-----> Customer<br /><span style="font-size:130%;"> ^</span><br /> l<br /> l<br /> l<br /> Market Inertia<br /><br />Whereby, Marketing > Market inertia</p><p align="left">Having said, when your marketing strategy is more powerful than market inertia, it pushes customers towards you. For example, why is Rolex such a popular watch brand when it is priced way higher than other watches? It's because the brand name itself, is a marketing strategy. The brand name is so powerful that it is greater than market inertia, so, there will still be a line of customers for them. </p><p align="left">Marketing is not just pure science; it's a little of intuition and common sense and taking bold risks. If you’re already a Rolex, kudos to you.</p>Physics of Marketinghttp://www.blogger.com/profile/09378617803068846378noreply@blogger.com0