Getting to scale: direct marketing vs. mass market thinking

Business Marketing

I have always been a fan of test small and then scale it up.

With great success I have taken 100 to 500 person tests from good results to great results with little tweaks, when I finally mailed the 10,000 pieces I had great results.  If I mailed the 10,000 right off I might have done alright but when I got it right with a few hundred and then rolled it out I was ecstatic.

TEST TEST TEST. 

But a word of caution don’t get so caught up in the test you never get the final piece out – It takes “Pig Headed Dedication and Determination” to see your efforts through.

Enjoy!

~Jonathan

from Seth Godin’s blog

A mass marketer needs to reach the masses, and to do it in many ways, simultaneously. The mass marketer needs retail outlets and fliers and a website and public relations and tv ads and more more more and then… bam… critical mass is reached and success occurs.

Best Buy is a mass marketer, but so are Microsoft and the Red Cross. Ubiquity, once achieved, brings them revenue, which advances the cycle and they reach scale.

The direct marketer, on the other hand, must get it right in the small. That pitch letter can be tested on 100 houses and if it gets a 2% response rate, then it can be mailed to 100,000 houses with confidence. That business-to-business sales pitch can be honed on one or two or three prospects, and then when it works, can be taught to dozens or hundreds of other salespeople.

The key distinction is when you know it’s going to work. The mass marketer doesn’t know until the end. The direct marketer knows in the beginning.

The mass marketer is betting on thousands of tiny cues, little clues, and unrecorded (but vital) conversations. The direct marketer is measuring conversion rates from the first day.

That’s the reason we often default to acting like mass marketers. We’re putting off the day of reckoning, betting on the miracle around the corner, spending our time and energy on the early steps without the downside of admitting failure to the boss.

Of course, just because it’s our default doesn’t mean it’s right. Business to business marketing is almost always better if you treat it like direct marketing. Most websites that do conversion as well. Same with non-profit fundraising. As well as marketing goods and services to the bottom of the pyramid, people who live in villages where mass media and mass distribution are difficult and have little impact.

Get it right for ten people before you rush around scaling up to a thousand. It’s far less romantic than spending money at the start, but it’s the reliable, proven way to get to scale if you care enough to do the work.

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Written By Jonathan Munsell

First and foremost, Jonathan Munsell is the father of two amazing boys, Maximus & Wyatt. He lives in Cary, North Carolina. Jonathan is a former Multi-Unit Restaurant and Catering Company owner. He built a collection of brands which he sold in 2010 and went into consulting full time. His real passion is helping restaurant owners and entrepreneurs of all kinds improve their business and their life. His fundamental teachings around systems, operations and marketing with the real goal of helping them understand they need to work on their business and less in it. Besides being the Founder & Creator at Success Systems, Jonathan has created and currently owns several multi-million-dollar companies. He recently took a multi-faceted International Franchise Company in the Car Care Industry to over 300 locations worldwide. He is an Angel Investor, he's involved with several associations and he's hell bent on eradicating cancer in the world, especially for children.

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