In response to Rachel's post

Rachel talked about the 5 Things Every Entrepreneur Should Know about Marketing, and posed the question, "Can you think of a company that didn't follow these guidelines, and failed because of it?"


After reading the post, I couldn't help but be struck, once again, by how important branding is to a company. I remember last year, or possibly the year before, when Gap attempted to change their logo that they have had for year and years. 

Old logo on the left, new on the right.

The response to the new logo was terrible! They immediately changed back to their old logo. It just goes to show that a group of customers can be fiercely loyal to something as a logo.


The same can be said of Facebook users. How often does the layout change, and all us users complain about the new layout? How many petitions get started to change things back to the way they were? It only takes a few weeks before we've all adjusted and forgotten about our hatred for this new layout. 


Getting back to what you asked, the biggest failure that I can think of is the Netflix/Qwikster ordeal that happened last year. Netflix, in an attempt to create separate companies for their streaming and rental services, decided to split the company into two separate ones. This was a terrible, terrible idea. The reasoning behind the split made sense on a business level, but not on any other. In order to cope with the rising cost of licensing online material and focusing efforts on acquiring said content licenses, Netflix would become a online streaming only service, while Qwikster would be for mail-in DVD rentals.

Bad idea on top, good idea on bottom.

As a Netflix user, I was not looking forward to that split. I didn't like the idea of having to menage two queues full of DVDs. Since I still like the mail in DVD service, I didn't want to have to pay two separate companies for those services, and that's what Netflix was basically forcing all it's users to do.


With a lot of customers already upset over the price hike from the summer (a $7 [50%] increase for the 1 DVD at a time, unlimited streaming service), the remaining customers were infuriated. Because of the announced split, Netflix reported a loss of 800,000 members that quarter. That's a lot of money, and a lot of unhappy customers! 


My point with this whole long explanation is that Netflix didn't understand their brand, their customers, or their market. What their customers want is a cheap, easy way to watch and rent movies. What those customers don't want is two separate services. Fortunately, CEO Reed Hastings realized his mistake and announced that Netflix won't splint into two companies. Unfortunately, he didn't all his customers back.


What's your opinion on Netflix and their mistake? Have their been any other companies who made near fatal mistakes?


Source: Netflix blog
Source: NY Times
Source: Huffington Post

Why marketing?

Why would a course in marketing be helpful even if you don't pursue marketing as a career?

A lot of my professors assume that whoever is in their class is going to go into that field after graduation. I had a professor who taught a business statistics class, and every day, would say "Good morning, fellow statisticians!" Needless to say, I'm not going to be doing business statistics later in life. 

I'm a Film Production major and, last year, I took on a Management minor. My thinking behind this was to broaden my future employment possibilities and give the ability to open my own company one day, if I choose to. I had plenty of family members who, upon hearing my major, would get a puzzled look on their face, and ask what I planned to do with that. While I already have future employment prospects, telling them I'm minoring in management has seemed to assuage their worst thoughts and fears. 

As to why marketing is important, you would only need to look to my last post. Understanding how to brand yourself and market your positive attributes can secure future jobs. That is especially important in an industry where networking and word of mouth are the main ways to gain clients. Understanding what your target market needs from you and your business can help ensure future gigs, as you would say.

I work for a company that has a special department just for handing their brand. Any post to their Facebook, Twitter or website must go through these people to assure that the right message is being put out. Even emails to potential clients or suppliers goes through the same process. Anything that will reach the public is screened and edited to make sure they are presenting themselves the way that will most benefit them. Understanding how to do this for myself can only effect me positively. 

On a more more cynical note, by taking marketing, it gives me an insight as to how companies are marketing themselves to me. I can understand the tricks of the trade, and possibly not be duped into becoming a blind consumer. 

Do you think it's important to take a marketing/management class? How do you think understanding marketing can benefit you in your career or every day life?

Marketing Myself

Think of yourself as a product. How would you market yourself to a future employer using the other "3 P's"?

The P's are a part of the marketing mix. They consist of product, place, promotion and price, each of which is divided up to give a better idea of what can be done to market something. Since I am the product in this scenario, I will focus on the other 3 P's.


Place- Location and transportation are two subcategories that would apply to me. One of the biggest selling points that I have is that I own a reliable 4-wheel drive vehicle. I would be able to assure a prospective employer that I could get to work, despite numerous road conditions. Being able to arrive on time is obviously very important to an employer. I am also willing to travel to take a lucrative job. My current location is not indicative of where I will live, nor does it limit me from job opportunities. 


Promotion- The best way to advertise myself, aside from an interview, is through my resume. It provides the employer with all the information about me to help them make an informed decision. It would also highlight my best qualities and achievements, as any good advertisement should do. During an interview, I would give the best impression possible. Just as you package a product in an appealing way, it's important to dress nicely and maintain your hygiene. I could also promote myself though positive recommendations from previous employers. Good publicity of any product will persuade the intended buyers, or in this case, hiring managers. With that, I've covered the advertising and publicity/PR subcategories.


Price- Every person has a 'list price', or a pay rate that they hope they will be hired at. As a college student, I will most likely ask for lower that what I should, albeit unknowingly. This is a plus for companies, as they will be able to pay me less. 


What do you think is the most important feature, skill or way to market yourself to a possible employer?