This is part 7 in a series of 12 step-by-step guide to help you succeed in today's global export market.
MARKETING PLAN (a)
Creating a Marketing Plan
One of the major challenges for service exporters is to determine how to
best market a service which is intangible. Clients really do not know exactly
what they are buying until the service is completely delivered. Therefore, it
is important that you establish credibility and confidence in your export
market.
A clear and concise marketing plan is an essential element of a service
firm’s export strategy. A sample 1-page Marketing Plan has been provided under
the Plan icon in this module. It is important however, to first of all
understand that the marketing of services is quite different from the
marketing of goods. By reviewing the information contained in this module you
will gain new insights into the unique approaches you should consider adopting
in order to enhance your chances for success in the marketing of your services
internationally.
Definition of Marketing
There are many definitions of marketing. One of the most practical ones
comes from the United Kingdom (U.K.) Institute of Marketing which defines
marketing as "the management process responsible for identifying, anticipating
and satisfying customer requirements profitably". The term "marketing" should
not be confused with advertising, sales, promotion; in fact, marketing is the
strategy which drives these processes which all result in communicating a
message to the target audience. It is important to fully understand customer
needs, a task which is normally accomplished through in-depth market research.
This module deals with suggested activities which can be undertaken by service
firms to successfully market their services.
The Marketing of Services is Different
When marketing your services internationally, it is essential to
differentiate your service and gain the trust of buyers. The three most
important things to remember when starting to prepare your marketing plan are:
a) Services marketing is based on the sale of intangibles; as a
result, it is critical to be able to explain and describe the benefits and
outcomes resulting from the use of your services.
b) Services marketing is very much about "relationship"
marketing or selling; as a result, your performance is the
deliverable.
c) You need to build credibility for yourself and your firm before
foreign customers are likely to buy from you.
To be successful in any market, you must be able to quickly and effectively
communicate your unique expertise and the reasons why a potential customer
should buy from you.
Understanding Your Customer
Customer Identification
You may identify high potential markets and customers by:
- Profiling Potential Customers
- Profiling Buyers
- Profiling End-Users
Profiling Potential Customers
In order to determine the best marketing approach, you may need to
categorize your potential clients into one of the following groups; and
determine how best to reach them in your target market.
a) Service industry
Service providers are also service users,
requiring many services including accounting, advertising, legal, market
research, systems integration, management consulting, etc.
b) Manufacturing
This sector requires services which often
include environmental, production management, engineering, post-sales
service, training, etc...
c) Government
Governments purchase services from a variety of
sources, for both domestic and international markets.
d) Public
Many business-to-business services are being
purchased by the public as well. If you have had success with mass markets
locally, you may want to replicate this success in your target market?
e) Local Enterprises
Other local businesses from your country that are
active in your target market are good potential customers. In addition,
selling indirectly can be the one of the best methods of entering a foreign
market for the first time.
Profiling Buyers
The following are some of the factors to consider when profiling purchasers
of services:
Profiling End-Users
If the end-user is different from the buyer, you need to consider the
following: a) General description
- Who are they?
- How does the service provide solutions to them?
- What do they care about: features, cost, timeliness, other...
b) Factors influencing buying:
- cultural characteristics
- level of development
- religion
- attitude towards foreign services/foreigners
- level of consumerism, fashion
- political attitudes
- social consciousness
- technology
- What is the positive impact of the service purchase on day to day
business?
Positioning Your Firm
Describing Your Services
Your ability to quickly and meaningfully describe your firm, expertise and
"why us" can make or break a new business encounter. You might only have an
elevator ride, lasting 30 seconds, to attract attention!
Can you answer each of these key questions in 25 words or less, or in the
time it takes to go up an elevator with a potential client? Can you pass the
elevator test?
a) What service does your company provide?
b) Why should I buy from
you?
c) What distinguishes you from your competitors?
Differentiating Your Firm and Its Services
Establishing unique positioning is an important success factor. Consider
using some of the following as you develop your firm’s unique selling points:
- your experience in delivering quality service quickly·400
- international projects and experience that might be complementary to
potential partners or customers
- free trials, service guarantees and other features that may distinguish
you from your competitors
- your multilingual capability, which may interest potential partners who
themselves may be targeting other countries
- how your service can save potential partners or customers time and/or
money or make their job easier
Your Experience Counts
Past and present customers are crucial in establishing your profile and
credibility by:
being quoted in your literature or acting as references
furnishing referrals to a parent company, subsidiary or affiliate firms in
the target markets
introducing you to their customers and contacts in the target market
acting as a joint venture partner to explore further market opportunities
Building Awareness
Building awareness about your services is critical for establishing a
presence in new markets. Look for ways to gain media exposure and/or to take
advantage of publicity opportunities. Consider the following:
- Visibility at events
Profiling your capabilities locally is important! Position yourself as an
expert. Ask to be part of a panel at conferences and trade shows. Develop
short workshops that you could deliver on various aspects of your specialty.
- Association Membership
By joining foreign industry associations, you will be exposed to
networking and partnering opportunities through their events, newsletters
and membership directories.
- Company Promotion Activities
A positive portrayal of your company in the press can yield important
results, such as investor interest, endorsement of your service and gains in
market share.
- Company News and Company Profile
Company News:
- Distinct from specific product or service news, usually of interest to
journalists and writers who follow specific industries, it can include
information on business deals, financial performance and
personnel.
Company Profile:
- Trade publications often cover companies that are industry
leaders.
- To sell writers and editors on the idea of profiling your company,
approach them with their publications’ audience and editorialapproach
clearly in mind. In particular, promote a story idea with a compelling
angle that fits the publication’s editorial mission.
- Feature Articles
To get feature article coverage, make sure that journalists know the
relevance of your company’s service to their readers. Demonstrate your
understanding of their readership. You may want to ask for an audience
profile.
Note that there are many types of feature articles, dealing with case
studies or some type of trend stories dealing with such topics as: end user;
industry; society; technology; or miscellaneous publicity.
Knowing Your Audience and Clients
Tailor your message for different types of contacts. Ask yourself:
- What does each particular audience really need to know?
- What is important to them?
- What do you want from them?
Examples of how to tailor your message if you are an architectural
services firm:
|
Contact |
Contact provides |
Example of Statement |
|
Professional association |
Credibility and networking |
All our architects are licensed in at least two provinces, and our
major clients are x and y. |
|
Media |
Coverage and credibility |
We have developed innovative approaches to providing
fully-accessible housing at a moderate cost. For example... |
|
Influencers |
Networking |
We won the --- award in 19— and we are looking for a strategic
partner in x region. |
|
Government buyers |
Potential customers |
We have done two contracts for the Government of --- and have
completed contracts in Spain and Jamaica. |
|
Architectural firms |
Potential partners |
We have 10 architects on staff specializing in --- and we won the
--- award in 19--. |
|
Engineering firms |
Potential partners or clients or referrals |
We are experienced in joint ventures and our major clients are
... |
|
Universities/research firms |
Potential partners or suppliers |
Our strengths are in the --- field, and we are looking for partners
to complement our offerings in the area of ---- |
|
--- trade commissioners and trade officers at posts |
Major link with the target market |
We are experienced in joint ventures and seek strategic partners in
x region. |
|
