These company's marketing strategy is based on low price or something that is designed to cause the customer to become a client. Trying to be a low-cost leader or a value-seller.
Client creation is the most costly and difficult task in marketing. And yet, it is needed.
Chasing Demand (advertising to those ready to buy) is the most competitive, most expensive, least effective, and the hardest to get a buyers attention.
And usually it is only 3-4% of a given market. It could be as high as 8-10% if we throw in those who are considering buying.
Lack of Momentum
There is no momentum in demand chasing. Because once the demand is fulfilled, there is no more demand. And with only 3-4% of a given market actually demanding something . . . well, you do the numbers.
In demand chasing you are competing with every other company in your market for the same customers.
Creating Demand
When you create demand, when you create a message, that excites people and puts an idea in their mind that causes them to make a decision.
If not a decision, it at least moves them from a place of not interested to interested.
Now there is awareness, you have something that can generate income.
The most successful companies have moved from demand chasing to creating demand, and in some cases creating their own market.
In order to not work harder and longer, we have to create momentum. Without momentum, what you make today is a direct result of what you do today.
You Have A Choice.
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