5.15.80: DISCIPLINE FOUR - MARKETING PENETRATION & POSITIONING - WILLIAM EASTMAN

PROFIT RADIO - "A Network of Entrepreneurs for Entrepreneurs"

Introduction
​We introduced the 5.15.80 Model at the beginning of the Season. It was a combination of research into small business performance and our practical experience from the last 2 decades. You could go to any area around the global with a market based economy and randomly select 1,000 companies, here is the distribution you would find: 5% or 50 companies that own their markets, 15% or 150 companies that are making money, and 80% or 800 companies that are barely surviving.

This series is about how to move from one level up and our concern in this series is the 15%, not how you get here which which is covered in the 80% series; the focus now is how to ACHIEVE market leadership.

LISTEN > ENGAGE > APPLY

Show Objectives
Today we start 3 of the 9 Disciplines of Fast Growth. These are the intermittent disciplines that will move a successful business to a market dominator.

Disciple 4 is the first in the sequence and starts with ways to improve market and sales performance. 
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Key Issues - Owner Perspective:

1. What should I do to compete against my major competitors who dominate my market?

What You Need to Know
BreakThru to PROFIT: 3 Critical Elements

1. Market Penetration & Positioning
   1. Current Market
   2. Adjacent Market
   3. New Market
   4. Share of Wallet
   5. Share of Market
2. Narrowcasting the Offer
3. Aggressive Marketing & Selling

What You Need to Do
Market Penetration & Positioning

• Market Penetration: the degree or how much of an offer, products & services, are being used by customers compared to the targeted market? SAM vs. TAM
  • Market Penetration = Current Sales of each product & service divided by the total sales of the product & service
    • MP = Current Sales / Total Sales
  • Strategies
    • Current Purchasers - convince them to shift from current providers
    • New Purchasers - attract first time buyers
  • Tactics
    • Use Price (Lower or Discounts)
    • Increase Marketing Spend (Pull)
    • Incentivize Distribution Channels (Push)
    • Market Intelligence (Buyer Behavior)
    • Upgrade Offer (New Features, Greater Uniqueness)
• Marketing Positioning: define, obtain, defend a valuable offer position and user experience (UX) relative to the competition
  • Strategies
    • Needs Based
    • Prevailing Group Think
    • Brand Symbols (Image)
    • Price
    • Offer Quality (Results Expectations)
    • User Friendly (Ease of Use)
    • User Experience
  • Tactics
    • Objective (Position, Share, Both)
    • Strategy (How)
    • Branding (Reflect the Campaign)
    • Execute (Agile Projects)

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How to build or improve your business with IBGR

1. Follow the 5.15.80 Series all season.​
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3. JOIN the IBGR Community
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5. RESEARCH anything related to Starting, growing, or Exiting a business on the IBGR Network

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Make sure you leave some thoughts in the comment section below. I am interested in continuing the conversation.