Marketing Today: A World Made Global by the Internet
March 25th, 2008Marketing Today: A World Made Global by the Internet
IM – Strategic Internet Marketing™
In my last several blogs I’ve mentioned “differential advantage” in comparison to several marketing strategies. The first was Google’s differential advantage over it’s competitors, placing Google as the number one name is Search Engines. Not everyone uses Google; however, just about everone knows who Google is, therefore also giving them superior name recognition.
The second, in my last blog, I briefly touched on was the Yellow Pages differential advantage. They dominated their marketing arena for over a century. At the end of my blog I asked the question: “What do you do with your Yellow Page Book?”
Today I want to dig a little deeper in this thing called “differential advantage” and how the Yellow Pages have lost their edge.
Differential Advantage:
in simple terms is putting your customer first in all aspects of your business. And, looking at your product or services through the eyes of your customer.
When Nokia had gained a huge market place advantage over its competitors by creating a better phone at an affordable price for the masses, they were listening to what their customers wanted. And then, they added better services plans, wider calling areas, free in-bound calls. They saw and understood the needs of their customers. However, they lost much of their momentum when they didn’t listen to their customers changing needs.
A new wave of cell phone users was entering the market, younger, stylish, aggressive, on-the movers who wanted their phones not only to be funtional but to represent the kinds of lifestyles they were living. It was Sony who picked up the reigns first and realized that cell phones are basically cell phones – what sets them apart is YOU! So you should have a phone that represents your lifestyle as much as being functional. When Nokia tried to continue their marketing efforts on the functionality of the phone and add functional features they found that they lost their edge: funcionality vs. stylish. Sony outpaced everyone with their sleek, stylish, colorful and changeable – adapting to your lifestyle phones. Nokia finally caught on but they lost a large part of their market share and had to play catch-up.
How does this compare to the Yellow Pages?
The speed with which people took to the new technological wonder call the Internet and the WWW was nothing short of phenominal. The telephone didn’t grow as fast. I remember one of my favorite quotes said: “Why on earth would we need something like a telephone? That’s why we have all these message boys. — (Reaction to Bell’s new invention 1884)”. Especially if you were the owner of the largest message boy service in a city – would you want to promote or believe in something like a telephone? I mean really! Sending voice messages over thin air and being able to receive them through a tiny thin wire? Come on!
It took less than 10 years for the same number of people to get on the Internet as it took over 60 years for the same number of people to have a television in ones house and over 80 years for the same number of people to have a telephone. Who would of thought of such growth? Certainly not “The Yellow Pages”. They did not jump on the band wagon right away leading the advance into the technological future. Instead, they fought to keep the “message boys” or should I say – their way of marketing – known as traditional marketing. They liked things the way they were and hoped that people would remain loyal because they had been around so long.
They forgot one very important thing: Your current customers don’t have to do business with you anymore!
The Yellow Pages stopped listening to their customers and their customers needs. They tried to hold on to their way of doing business and missed the rapidly changing marketing tool called the Internet. How could they compete? Whti the cost of advertising in the Yellow Pages such that it is, you could build a complete web site for less money, get more pages, include more information, add content rich text and vibrant colors and change information on the fly offering new specials almost instantaneously to current and new customers. Not only that, you could analyse specific marketing dynamics and direct your web site and advertising directly to people who are currently looking for your product instead of hoping to reach someone who might (in the future) need your product. Target Marketing!
With the Internet came the availability to target your market and to even know how many times a day some one searches for your specific product or service. This is a huge advantage over just about any other marketing plan previously available. By the time they decided to capture some of that advertising marketing (it is my belief) they had lost their edge. People realized that there was somewhere else to go and the Yellow Pages – even the new internet site of Super Yellow Pages was outdated, out moded and inefficient. There were other sources – and far superior ones.
Unlike Nokia, the Yellow Pages acted too late and lost any advantage they may have had. What will become of them in the future is anyones guess but it is my hope that they will stop putting paper books at my door and deliver a compendium of their entire listing on DVD (if they have to) at the very least — make it searchable and easy to navigate and I might take a look at it. But for me? even that is probably too late. Since I can find whatever I want on the Internet much faster and the information is far more complete – who needs the Yellow Pages anymore?
Author: CidaGM
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