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  • The Difference Between Marketing and Advertising

    Posted February 11, 2015 By in - JPM Jingle, Business Tips With | Comments Off on The Difference Between Marketing and Advertising

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    Marketing vs Advertising

    In December, we shared tips on Developing A Marketing Plan For Your Store.  In that blog post we talked specifically about creating a marketing plan to benefit your business.  Today we want to talk about ADVERTISING which can sometimes be confused with marketing.

    When it comes to retail, marketing and advertising have the same end goal–getting products and services sold! Despite that common goal, there are distinct differences between marketing and advertising and how you should be using them to drive your business.

    Marketing

    What is Marketing

    Marketing is the process of defining your brand and attracting the customers and market that you want.  It involves understanding who your customers are and what they want from your products and services. Your company logo, tagline, packaging and other branding elements are integral in connecting the types of products you offer to your target customer base.

    To market your products or services, you need to understand who it is that you want as a customer.  If your customer base is conservative and quality conscious, develop a marketing plan that showcases your brand as being high end, classic and value oriented.  If you customer base is younger and trend conscious, develop a marketing plan that speaks to them.  Incorporate both visual and written messaging that appeals to that audience.  Create a tagline that communicates your brand message and sets the tone and personality of what your store is all about.  Then build a product mix, store environment, brand collateral and promotional materials that reflect the image you want to convey.

    Anthropologie

    Marketing can be summed up by seven components known as the 7 P’s of Marketing:

    The-7-Ps-of-the-Marketing-Mix-Factors-For-Service-Marketing

    PriceWhat price points do you offer for the goods and services you sell? Every year make it a practice to examine the prices of the products and services you sell to make sure they’re still appealing to your customers and appropriate to the current market.

    PromotionPromotion includes all the ways you tell your customers about your products or services and how you then market and sell to them.

    Product-Is your current mix of products and services suitable for the market and the customers of today?  Ask yourself, do your products set you apart from your competition and do you have services that are superior in some way to anything else available.  Continuing to challenge and develop your product mix will help move your business forward.

    Place–Place refers to the physical place where your products or services are actually sold. As your business develops, review your location and ensure it meets the needs of your brand, your products and your customers.

    Packaging–Packaging refers to the way your products or services appear from the outside.  It’s been proven that customers form their first impression about a business within the first 30 seconds of seeing what the store has to offer and how it looks. Take time to analyze all the packaging elements of your store, everything the customer sees from the first moment of contact with your company all the way through the purchasing process. Packaging also refers to your people and how they dress and groom. It refers to your brochures, your correspondence and every single visual element about your company. Everything counts. Everything helps or hurts. Everything affects your customer’s confidence about dealing with you.

    Positioning— Thinking continually about how your business is positioned in the hearts and minds of your customers will help you succeed.  How do people think and talk about your company? What specific words do people use when they describe you and your offerings to others?

    People–People refers to the people inside and outside of your business who are responsible for every element of your sales, marketing, and daily business functions. Are you doing what it takes to select, recruit, hire and retain the proper people, with the skills and abilities to do the job you need to have done? The people you bring into your business represent you and can be one of the most important elements of your success.

    Now let’s look at advertising…

    Advertising

    What is Advertising

    Advertising is the process of making your products and services known to potential customers. It is spreading the word about what your company has to offer. While marketing is the way in which you convince potential buyers that you have the right product for them, advertising is how you communicate to them that the products are available to purchase.

    Once you’ve outlined a marketing strategy and understand who it is that you want to attract to your store, it’s time to develop an advertising plan to present your product and services to your audience.  An effective advertising plan will allow you to focus your advertising dollar on the specific types of media used by the audience to increase the likelihood of gaining new customers and increasing sales.  Advertising can be done via print, television, radio or the internet–all which are more traditional methods to communicate your brand to potential buyers.

    Tip #1:  Did you know that many of the manufacturers you buy from, like Melrose, have pre-designed advertising templates that you can take advantage of and use as part of your advertising?  Ask your sales rep to research this for you.

    And don’t over-look social media which is a relatively new, powerful and inexpensive advertising option that you can use to grow your business.

    Tip #2:  Many brands are now working with bloggers to share their products with the 1000’s of readers that follow them.  Research local bloggers in your area that you could develop partnerships with.

    Plume Advertising

    There are 5 M’s of Advertising that make it easy to understand:

    5 Ms of Advertising

    Mission–Your business should have a mission statement and so should your advertising plan.  Establish a clear mission of what you want to achieve through advertising–more customers, an  increase in repeat sales or more sales in total. As you develop advertising plans, having an established mission will help you analyze if your efforts were worth the investment of time and money.

    Money–Plain and simple–how much have you allocated to spend on advertising your business?

    Message–Your message is the idea, information, literature and theme you want to communicate to your target customer.   Does your target audience respond to tv ads or print media?  Understanding the best method to communicate with your customers will help you define your advertising message.

    Media–Media describes the method of advertising–tv, print, internet etc. Print media is much more costly than online advertising so determine where your dollars best spent based on the customer base you have?

    Measure–Once an advertising initiative is complete, measure and evaluate its success against how much gain your generated vs how much the initiative cost.

    It can all be summed up like this…

    M vs A

    As a specialty retailer, there are lots of elements that drive your business and marketing and advertising are just two components to help you be successful!

    Until next time…

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