Manizesto

Marketing to money-strapped customers: Part 3

This is part three in a three-part series on marketing to money-strapped customers.

Now that we’ve gone over how important it is to understand your customers and find ways to solve their problems, let’s talk about what may be the most important aspect of marketing in a tough economy: taking care of existing customers.

Here’s what you should work hard to do.

1. Show you understand the circumstances. Nothing is more frustrating to consumers than feeling like a company does not understand them. Companies show this attitude by not being flexible, by having continuously high rates and otherwise communicating indirectly that you’re “business as usual” when the economy says it’s not.

2. Go out of your way to alleviate their difficulties, even if it means losing money initially. Ford is doing this with their payment deferment program, you can think of ways to do this for your customers.

3. Consider a loyalty program. If you’ve thought about it and haven’t developed a loyalty program yet, now is the time to do it. Show you care by providing perks to your best customers to keep them coming back.

4. Make paying easier. Offer monthly payment options, down payments, and other payment plans, and if you don’t accept every form of payment, do it now.

5. Offer stripped-down versions of products & services. Think about how you can simplify your offerings so you can offer them at lower prices. If you have a sandwich shop, offer a sandwich with less toppings; if you have a consulting service, offer less in-depth packages at a lower price point - you get the idea.

6. Give stuff away for free. Free consulting, free samples, free information, free trial memberships. Whatever value you can provide customers that won’t cost them money will help you position yourselves as a company that adds real value to them.

7. Have outstanding customer service. This is the ultimate way to show you care (and it’s free!). Work hard to please every customer, take care of problems, provide deliverables ahead of schedule, and always, always answer the phone. Showing you’re there for customers cannot be overemphasized.

8. No doomsday talk. The last thing you want to keep reinforcing to people is how difficult the economy is. They already know that; no need to keep bringing it up. Keep your messaging positive, understanding and always, always add value.

Photo courtesy dziner.

Marketing to money-strapped customers: Part 2

This is the second in a series of three on marketing to money-strapped customers.

Previously, we talked about the importance of truly understanding your customers during tough economic times, and then I discussed how Ford is showing their understanding following a disastrous tornado in Iowa last month.

So what is next? It’s simple.

Once you understand your customers’ problems, find a way to solve them. Generally, with a weak economy, people are more hesitant to make big commitments with their money, so as a marketer, it’s your job to think about how to ask for smaller commitments from customers than before.

Instead of asking for payment up front, consider down payment options or payment plans. Instead of just giving your price, show your price compared to those of competitors. Instead of asking customer to educate themselves on your products, offer free information (such as white papers, free samples, trial versions, newsletters or webinars) to help them make good decisions. The best solutions are ones that will lead to a long term, mutually beneficial relationship between you and your customers. Think about that as you find ways to reach out to customers in this tough economy.

Stay tuned for part three where we’ll discuss marketing to existing customers in a tough economy.

(photo courtesy rougerouge)

Marketing to money-strapped customers, Part 1a

This is part 1.5 in a series of three on marketing to money-strapped customers

I could not pass up this great example that perfectly illustrates my point of understanding your customers.

Following the devastating tornado that ripped through Iowa late last month, Ford Mo Co has truly stepped up and shown they understand what their customers may be going through.

Ford will allow qualified leasing or buying customers in Iowa to put off monthly payments for one or two months while they put their lives back together.

“Some of our customers may have temporary financial problems because of the devastating tornado,” said Mike Bannister, CEO and chairman of the Disaster Relief Program. “We understand that. We hope our Disaster Relief Program will ease our customers’ financial concerns as they focus on rebuilding and healing.”

It’s brilliant. It makes people feel like the company cares and understands their tough situation, and even though Ford might lose some money up front with the program, in the long run it will pay off. Think of it as a customer retention/acquisition cost.

Stay tuned for more by subscribing to Manizesto. (Photo courtesy julay)

Marketing to money-strapped customers

This is the first in a series of three on marketing to money-strapped customers

We’re all painfully aware that the economy is in a bit of a slump, which to marketers means you’re probably seeing fewer customers making purchases (lower conversion) and those customers spending less than before (lower average order value - AOV). If that’s the case for you, then you’re probably having a tough time keeping the revenue where it needs to be.

So what can you do? There are basically three stages to this, but let’s talk about understanding your customers first. If you’re going to be able to send customers relevant offers, they need to be based on the fact that you understand where they’re coming from.

To get the full picture, look at the current macro-world first. What’s happening in the big picture? Gas prices are high. The housing market is in a slump. Everything is getting more expensive. Consumers are not as eager to take risks and invest. The Dollar is weak. People are spending less money on entertainment and other non-essential items, such as eating out.

That’s a lot of bad news, right? Don’t get too worried. This understanding will help you communicate in the right way with customers and develop offers and messages that resonate with them.

If you’re a truly great marketer, you’ll look for ways to help your target customers and help your business too, without putting either in less desirable situations.

The truth is, a slow economy is actually one of the best environments to build strong relationships with customers. What better to build a long term relationship with a client than to solve their problems during tough times? Think about it.

Next, we’ll talk about what to do once you understand your customers.

To make sure you get the next two segments, subscribe to Manizesto today. (Photo courtesy roujo)