7 Mistakes of a Marketer. Mistake #6: Joining the Vicious Circle of Cost-Down Policy

September 4, 2014

I don’t know if this trend only exists in IT industry, but this is probably one of the most unwise decisions to make in the economy like today, especially when advances in production makes a lot of things not as hard to get as they used to be. 

 

Take mobile phones for example, younger people today probably had no idea how Nokia and Motorola conquered the world market with their feature phones. Back in those days, with few simple feature updates targeting specific potential users plus various casings, these products cost almost the same as those range from mid to high-end smartphones today. Even the market hierarchy was unbreakable, but the wars on commercials or campaigns between them never ceased.

 

A lot people probably agree that Apple as a game changer later, but when you stop and take time checking the mobile phone market now, you would agree with me on how they should miss out the players from the other side of the world, who multiplied in recent years and pushed the competition into incandesce by the strategy as we now as cost-down. 

 

With cheaper labour and inexperienced workers, by making poorer quality and less reliability products, and via the strategy of cutting down the marketing resources by feeding on others’ innovations, they changed the game. 

 

But not all of them. When people make decision on the purchase, they are still looking for the ideal prototype long rooted in their mind. Even among the mass replications, they still choose the more reliable and trust-worthy brand that they have heard, known, and read about. They still need to find the tiny differences that they believe and recognize. And this is what marketing with right calories does, and how marketing with balanced calories actually works: helping people find what they are looking for and make decisions. 

 

So, next time, when someone talks about cost-down and target your department or expenses, don’t forget to share this thought and mention the contributions you guys make. 

 

Have a brilliant marketing day, everyone.

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