BuildYourUpstreamMarketingCapabilitiesandActivities
Upstreammarketingmeansidentifyingwhichcustomersegmentstofocusonandwhatwillbeneededtowinthecustomeratvariouspricepoints.Veryfewcompanieseverengageinupstreammarketing,whichisagreatwaytogrow.
Mostpeopletendtoignoreupstreammarketingandinsteadgethungupondownstreammarketingactivities—branding,advertising,pro-motions,timelydelivery,customerservice,customerrelationshipmanagement,etc.Whilethesedownstreammarketingactivitiesareimportant,theyaredependantonthequalityofyourupstreammarketing.Untilyoufigureoutindetailwhoyouwanttoselltoandwhatyouwanttosellthem,nothingmuchwillhappen.Upstreammarketingprovidesthebase,anddownstreammarketingthenworkstoincreasedemandforwhatisoffered.
BuildUpstreamMarketingCapabilities
■Startwithamarketmap—abird'seyeviewofhowyouroverallmarketiscurrentlybrokendownintovarioussegments.Thismarketmapcanusewhatevercriteriamakessensetoyou.Agoodmarketmapwillsetoutwhoyourcurrentcustomersare,whattheirneedsareandwhytheypreferyourproductsandservicesoverthoseofferedbyyourcompetitors.
■Addunfilteredinformationaboutwhatcustomersneed—eitherbypersonallygettingsidebysidewithcustomersorbyputtingtogetherquickmarketintelligenceusinginformationgatheredbykeyemployees.Youalsoneedtounderstandeverylinkinthedemandchainsoyoucanunderstandtheneedsofboththepersonwhobuysfromyouandtheenduser,iftheyaretwodifferentpeople.
Inadditiontoknowingyourcustomers,youalsoneedtoanalyzehowcustomersmaketheirpurchasedecision.Ifpossible,participateinthisprocessfirsthand.Becomeawarewhathastobedonetoconvincethedecisionmakerstobuy.Findouthowthisprocesshaschangedovertime,andwhereit'slikelytoheadinthefuture.
■Next,lookathowyoucurrentlysegmentthemarketinfinedetail—becausechangingyourmarketsegmentationwillbethekeytodoingupstreammarketing.Customershavedifferentperceptionsanddifferentneedsthatchangeandevolveovertime.It'simpracticalforacompanytoattempttosatisfytheentiremarketplace,soit'shelpfultobreakthebroadermarketdownintogroupsorsegmentsthathavesimilarcharacteristics.Byresegmentingthemarketplace,youmightfindsegmentsthatyou'renotcurrentlyservingthatcouldbeservedifyoujustmadeafewminoradjustmentstoyouroffering.Everytimeyoumoveintoanewmarketsegment,youhaveanopportunitytoincreasesalesrevenues.Theobjectiveofdoingthisresegmentingistofindwheretoputmoreresourcesinordertogeneratemorerevenue.Resegmentingcanalsobeawaytofigureouthowyoucanspendlessandstillachievethesamesales.