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I've always thought of marketing as an expense you pay for having a boring product. CPG companies have boring products, so in turn marketing expenses outpace CO
by vgeek 12y ago
I've always thought of marketing as an expense you pay for having a boring product. CPG companies have boring products, so in turn marketing expenses outpace COGS.
That being said, there is so much noise in the marketplace that the best piece of software may not ever be discovered if it cannot convey why it is better than the alternatives. Engineers may be looking for a technical specification checklist, while a manager may be looking for a case study tailored to their own needs. A great product that no one knows about is pointless.
Marketing is creating a wedge between perceived value and intrinsic value. If your product saves $X per quarter, your price should be as close to $X as possible. If it will increase sales $Y, the same strategy applies. If it does neither, then tell the consumer it will improve the opposite sex's opinion of them, and charge as much as possible.