Good news - more rules

One of the single biggest things many new businesses and entrepreneurs find very challenging is the way their target markets behave. Even with our knowledge and experience, there are moments when it looks like everyone in a market has given their brains the day off.

However there is good news, there are rules and all markets follow them. This makes it much easier for you to understand why your target markets are not doing what you expect them to. We call them the Market Rules and if you have read through the website, you already know rule number one. If not you can always read about it here - http://bit.ly/YmuuIr 

Here is another one for you consideration – Its not your product customers buy, it’s the outcome the product delivers they buy.

This rule is like rule one, in that it is unbreakable and if you think about it pretty obvious. The reason I want to mention it on this blog is to discuss new or disruptive products and how to use this rule to your advantage.

If you are selling a known product in a known category like a watch for example, you don’t have to describe what the product does – unless your target market is an as yet undiscovered tribe of Amazonian natives who might not know what a watch is. Why, because we all know what watches do, its just a question of positioning it in the market to attract your target market.

On the other hand if you are selling something completely new that no one has ever seen or used before then how would they know what the outcomes are?

Those situations are where going through a proper commercialization process is vital if you want to get the market and enjoy the volume of sales you are aiming for.

Think of it this way, a long, long time ago when someone invented the wheel how did they get the message out there that wheels were the best product for people wanting to move large or heavy objects any distance? The inventor would have had to explain what the product does and the outcome it delivers - faster movement with fewer people required for example.

Without that what would people think – “ooh that’s a big plate,” or “wow that would make a great coffee table when they invent coffee.” 

I am being frivolous, but I also hope the point is coming across for an entirely new product, you have to find a way to get the message across about all of it, but most importantly you have to be able to demonstrate to your target customer that your product outcomes will benefit them.

By Tim Sandford

You are what the market says you are

In yesterday’s blog we mentioned that the market will categorize your business to suit it's own perceptions of what you do. You have little or no choice in the matter.

‘No way, we are totally different, unique. There is no one like us. We’re in a category of our own,’ you cry indignantly and we can understand why. But….

…unfortunately its true - the market decides not you.

There are a number of reasons for this, but for the purposes of this blog entry, we’ll just cover the one that our experience shows is the most important.

First and foremost – markets have a habit of categorizing things to make it easy to find, compare and buy what it classes as similar products. If they didn’t can you imagine how many unique categories vendors would invent to make their products special. Just think about how difficult it would be to buy something as simple as a packet of clothes washing powder, or is it liquid, or tabs, or liquitabs or whatever comes next.

See what I mean and that’s only for one tiny category.

Now for the kicker. The washing powder marketers have gone to all that effort to invent a new product category so their products are different, shiny and exciting. So what do the supermarkets do? They stack them all in the same aisle as the traditional washing powder.

Why, because that is where the washing powders and detergents all belong and where we expect them all to be, no matter how much the manufacturers and their marketing teams might complain.

If they were in a different aisle you would have to go and look for it. Have you got the time for that and can you be bothered? Me neither.

So what has this to do with Triple X or your products? Well we cover this in the book, which is just about ready to publish, but it boils down to making your products easy to find, compare and choose for your customers. 

If you don't the chances are you won't make the sales you want.

Of course you could completely ignore all of this and go down the ‘educate the market’ road but you’ll probably need some pretty deep pockets for that.

By Tim Sandford