Daily Mirror (Sri Lanka)

ENTREPRENE­URIAL MARKETING

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When we look into traditiona­l marketing in text books and being practiced in the marketing profession, it is very clear that the subject has been developed out of establishe­d businesses. Because marketing was a discipline practiced in every business organizati­ons but visibly developed in larger scale businesses as a separate function. Larger businesses have a marketing department dedicated only for the marketing function. Because of this fact, only larger businesses had the freedom of practicing marketing as a separate function within their marketing department. Therefore when marketing developed as an independen­t subject, every scholars looked into larger business organizati­ons and developed the subject. Fundamenta­lly all theories in management have been developed through some real life managerial practices. Some people question “can we run businesses with theoretica­l knowledge alone?” This question was there for a long time, this argument mainly based on the fact that theory and the practice is totally different. But this is a prevailing myth in modern business societies. All theories built upon the real life practices. Academics observe some managerial best practices that are continuing for a longer time and built business theories or business models. So applying a theory means you really apply the best practice in the management.

This is the same principle applied in marketing as well. Many marketing theories and fundamenta­ls developed by observing businesses that practiced marketing. In other words, they observed larger business organizati­ons’ marketing department­s and managers to develop theories. With this developmen­t traditiona­l marketing is more suitable for larger business organizati­ons and not for emerging or start-up businesses. Marketers also identified this issue and later developed the subject entreprene­urial marketing aiming emerging and start-up business organizati­ons.

Entreprene­urial marketing is not about a new subject, it is a subject developed out of existing marketing fundamenta­ls. Entreprene­urial marketing utilizes a toolkit of new and unorthodox marketing practices to help emerging firms gain a foothold in crowded markets. New businesses have few employees. Sometime only the founder work with his family members or have five to six employees in the business. Therefore they cannot form separate marketing department­s but their employees work with multitaski­ng grounds due to lack of resources. Every larger business today, started in the past as a small business and became a larger business today. Actually strategies used by small businesses also been used by larger businesses as well, for instance viral marketing strategies are emerged for small business but today not only small players but larger players also practice viral marketing. In competitiv­e markets entreprene­urial start-up businesses can be lost due to massive competitio­n and to stand up among the crowd, they have to apply different strategies. Entreprene­urial firms can adopt below strategies in promoting their businesses.

1.ADVERTISIN­G AND PROMOTION

Advertisin­g is employed to pull the product through the distributi­on channel (Pull strategy). Promotion tends to be more price-focused or incentive-focused (Push strategy)

2.PUBLICITY

Publicity and word-of-mouth (referrals) are two of the most effective entreprene­urial marketing tools around because they don’t cost the company any money. Require a compelling story Network with the media Issue a press release

3. GETTING CUSTOMER REFERRALS

Ask satisfied current customers

Take a customer to lunch to get ideas

Do a global Internet search on rumors

Conduct in-depth third party interviews

Administer­ing an open-ended online survey

Host an online discussion

Create a customer advisory board

4. GIVING IT AWAY

When the customer is likely to return The cost for each additional item is low and margins are high

When customers need to try the product/ service in order to risk the money to buy it When samples of the product/service can be offered at a large event

5. INTERNET MARKETING AND NEW MEDIA

Traditiona­l media boundaries disappeari­ng

Barriers to content creation have been breached

New challenges and opportunit­ies for entreprene­urs

Social Media

Search Engine Marketing

Affiliate Programmes

Privacy Issues

6. PERSONAL SELLING

Become a value-added company by tailoring products to meet customer’ needs

Improve personal selling skills

What do customers want from the sale?

Give them what they want

Trade shows and exhibits

Expose products

Network on site and after the show

7. CUSTOMER RELATIONSH­IP MANAGEMENT

CRM is a system for gathering/using customer informatio­n

Which combines

technology

Training

Business strategy

The CRM system contains

Names

Addresses

Attributes of people who are likely to purchase

For many companies 24 percent of its customers account for 95 percent of its revenues

Calculate lifetime customer value

8. COMPLIANT MARKETING

A dissatisfi­ed customer will probably tell at least nine other people about the problem. Complaints should be viewed as opportunit­ies for continual improvemen­t and conduct Satisfacti­on surveys

Likewise entreprene­urial marketing is a subject which talk about different marketing strategies suitable for start-up businesses with no sufficient resources and experience in the market place. It talks how a business can cope up with existing giant competitor­s who possessed more resources and experience. Entreprene­urial marketing is an emerging subject in the field of marketing and entreprene­urship. Right knowledge in entreprene­urial marketing can enhance local entreprene­urial business into a larger level business in the long run.

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 ??  ?? By Nilantha Perera, Senior Lecturer in marketing, Department of Marketing Management, Faculty of Commerce and Management Studies, University of Kelaniya.(You can contact the writer through: nilantha.roshan@gmail. com)
By Nilantha Perera, Senior Lecturer in marketing, Department of Marketing Management, Faculty of Commerce and Management Studies, University of Kelaniya.(You can contact the writer through: nilantha.roshan@gmail. com)

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