In a Recession: You Need to be a Marketing Guerrilla

Most small and medium businesses spend too much time and money on the wrong type of marketing.  In the mid Eighties Al Ries and Jack Trout wrote a simple book called ‘Marketing Warfare’ – it’s now over twenty years old and has, with the current economy,  proven to be even more useful  than ever before.

In today’s Blog we are going to focus on the one type of marketing that almost all small and medium businesses should be doing;  Guerrilla.

What are the alternatives?

·         Defensive Marketing – defending your large patch – for market leaders

·         Offensive Marketing – for those able to go to war with a market leader

·         Flanking Marketing – is for smaller BIG  companies who need to battle pick their fights with the big boys carefully

·         Guerrilla Marketing is for local and regional companies – 94% of business.

Big companies may dominate the news, but it’s the rest of us who dominate the landscape – look around you – go for a drive – there are very few big companies in your neighbourhood.  For example:  there are over 200 companies pickling pickles – but most of us have only ever heard of Heinz and the supermarket brands.

What is Guerrilla Marketing?   How does this apply to your business?

·         Find part of the market that you can defend – not too large

·         No matter how big and successful you become do not ever act like you are the market leader

·         Be prepared to move on, quickly if needed. 

Guerrilla Strategies

Strategy #1: Geographic

Newspapers and magazines are good examples here.  A national paper may have hundreds of thousands in national circulation, but within a city, the local paper probably out-guns it. Businesses like this make a big thing of their local credentials – so should you.

Strategy#2: Demographic

Go after a segment of the demographic market.  Look at your potential market by every possible category and then be specific; by age,  income, occupation, business type, etc.  Many companies combine their geographic and demographic strategies

Strategy#3: Industry Guerrillas

Traditionally called vertical markets.  For example you may be in the computer repair business – but your vertical market may be more retail consumer focused or business to business.    Many businesses try to do a bit of both – but the more successful ones have a focus.  Others selling computers but focus on the selling into specifc industries – in recent years there have been a lot of computer manufacturers start up even though most thought the market had turned into a cost driven commodity.  These new companies sell home PC’s but with for example,  a gaming user pr graphics industry customer.

Strategy#4: High Price Guerrillas

Diamond studded mobile phones, £250,000 cars… yes but also…. Starbucks.  Most businesses are too frightened to become High Price Guerrillas and they lose an opportunity.  In most cases what creates the image of the High Price Guerrilla is not some air of mystique – it’s the price.  There is one golden rule:  You have to be FIRST to take the high price ground.

Strategy#5: Product Guerrillas

Small markets with specific products.  Many businesses target markets with unique products that will probably never make enough sales to interest bigger companies.  Work wear suppliers who supply low volumes, of highly individual clothes to individual businesses which would never be profitable for larger companies with their 6 to 1 ratio of total employees to customer facing employees.

Strategy#6: Developing Allies

Strategic Alliances are the most powerful guerrilla strategy – most businesses don’t have enough spending power to market to everyone in their potential target market.  Working with other businesses who have similar target markets to market towards each other customers – saves money and allows you to target a market with w referral from your strategic partner.

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