Allegedly there’s been a recession on. I know this because the media has told me. Personally, I’ve chosen to ignore it (and somehow it hasn’t affected my business?coincidence, or mindset I wonder?!).
But, the world has become a savvier place. The good news is that people ARE still buying, but what they want now is added value. Actually, they wanted it before, but now they’re being more demanding.
I was doing some research a while back for a client whose target market is high net worth individuals, worth around Â£3 – Â£5 million (and this is the lower end of that particular group!). No worries for them, then, about paying their bills, but the research was interesting.
It showed that this group of people were being more cautious in their purchases and investments, and looked for higher returns from their investments, and additional value from their purchases. Family values were their #1 driver in the majority of their purchases.
The thing is, my observation as a marketer is that this is reflected across the rest of society too. No matter what income bracket you, or your target market, fall in to, the legacy of the recession seems to be one of “going back to basics” (which encompasses the family) and looking for that extra value all the time.
This is a good thing for you as a business owner. Firstly, I don’t believe in discounting your prices just to get business, as that just devalues what you sell. (This is a trap a lot of small businesses fall in to when they need business). But, adding value?now that’s another matter. Normally you can add value to your customer’s purchase, without much cost to yourself.
To add value, you can offer something else that you sell (product or service), or do a deal with a complementary business to yours.
I heard a great story on the radio a few month’s ago?a car dealer in the USA was running a special offer: Buy one of his cars, and get a voucher for a free Kalashnikov from the dealer up the road!! And this was Radio 4 reporting it as part of their story on the (then) upcoming US mid term elections, so it must be true!
I have no idea on the perceived value of an AK-47 (my mini research tells me they’re one and the same as a Kalshnikov!), but I would hope that the car dealer has done his research and found out what his target market is interested in, and that the rifle does indeed get them to come racing in to buy one of his cars!
I don’t think this particular promotion would go down too well in the UK, but there are plenty of other added value promotions you could do to enhance your customer’s purchase of your product or service, and make them feel good about buying from you.
All you need to do is be creative!
Have a great week,