Module Four

Why Is the Marketing of a Product Important?

If you are reading this chapter, you might already have an online eCommerce store. Now, you might be looking for strategies to bring in more visitors and boost sales. Right? 

 

If you are still getting ready with the store, you can check out our previous modules, where we discussed each of the aspects in detail. So, moving forward, now let us proceed with this chapter, why is the marketing of a product important? 

What is marketing? How can it help your eCommerce business? You must have at least once thought about it. The current chapter will help you understand it from a detailed perspective. So, let us start our discussion. 

 

What is Marketing?

 

When we come across the term marketing, we think of selling something. We think that marketing refers to the technique of convincing people to buy a product or service. But in reality, marketing is much more than that.

 

Marketing is about ensuring that people understand, know, and trust your brand. In an eCommerce business, the right marketing is the key to unlocking the complete potential of your business in terms of sales and profitability. 

 

Do you know, that about 66% of marketers enhanced their company’s credibility through one of the marketing strategies? Today, with technology being on the rise and a smartphone in almost every individual’s pocket, different channels of marketing like digital are complementing traditional methods. 

 

So, marketing is the process of promoting and selling products or services, including market research and advertising. With effective marketing, potential customers become aware of the product and understand its value. Let us explore a bit more in detail as to what it is that marketing brings to the table for you. 

 

Importance of Brand Awareness

Keep yourself in the customer’s shoes for a while and think of a situation where you are planning to buy new sneakers. Now when you think of sneakers, there are 2-3 brands that would pop up in your mind. Brands like Nike, Adidas, Puma, and more naturally become the primary choices. 

 

How is that possible? Well, this is the importance and potential of brand awareness. Imagine the possibility that people know your eCommerce store by name. It will automatically set you apart from the competition. 

 

In addition, it would ensure that people think of your brand/name whenever they are looking forward to buying a particular product or service. Right? One amazing example that we can consider here is Coca-Cola’s extensive advertising campaigns that make it one of the most recognizable brands globally.

 

If we consider the eCommerce world, we can observe companies like Myntra and Meesho. Because of some amazing marketing strategies, they have established themselves well in the market. Now, if you want to buy clothes online? Won’t Myntra be definitely on your list of options? 

 

Impact on Sales and Revenue

 

Are you aware of the fact that businesses that follow and adapt to strong marketing strategies have 67% more efficiency in closing deals? Right! There is a direct correlation of marketing and sales. 

 

With the right marketing strategy that has been executed well, your eCommerce business can witness increased sales and even generate higher revenue. Since your business reaches more and more customers, naturally your sales and revenue are going to skyrocket. 

 

Furthermore, one of the prime advantages for sales and revenue that happens because of effective marketing is it attracts new customers and retains existing ones. Understanding this would be much easier with an example.

 

Let us understand Apple’s product launches and marketing campaigns. We have observed that Apple’s product launches are nothing less than a big crazy event in itself. All the influencers and creators are called, people are called, and then the whole event takes place. 

 

In addition, to reach more and more audiences, live streaming of the event is also conducted. New products and features are presented in the market in a manner that grabs the attention of the masses. More and more people are interested in the product launch.

 

As a result, we always see a better sale and revenue for the company. Thus, we observe that effective marketing strategies can skyrocket your sales and boost your revenue. By reaching the right audience and conveying your product’s value, you turn potential buyers into loyal customers.

 

Building Customer Trust and Loyalty

 

When it comes to marketing, we need to understand that it is a lot more than just making sales. Marketing, especially in the context of eCommerce business, is more about building a relationship. 

In this relationship, trust and loyalty are two of the most valuable and crucial aspects that play a significant role. For an eCommerce business, it is essential that the customers, who once purchased the product, stay loyal and come for the next one too. 

It is possible with the right marketing strategy that focuses more on building customer trust and loyalty than merely sales. So, as an eCommerce business, I always look forward to providing a good and transparent experience to the customer. 

 

Do not forget that loyal customers are more likely to make repeat purchases and recommend the product to others. So, always value them.

 

Case Study Showing Marketing Success

 

Let us here, discuss a case study for Amazon Prime Membership campaign and see how right marketing in eCommerce can lead to success. 

 

Amazon Prime Membership Campaign

 

The following pointers will provide you with a clear understanding of this:

 

• Amazon Prime was launched in the year 2005 as a membership program that offered free two-day shipping. 
• The campaign aimed to increase customer loyalty and repeat purchases. 
• Later, they started providing additional value services such as Prime Video, Prime Music, and some exclusive deals on prime days. 
• More services were added such as Prime Pantry, Prime Now, and Amazon Fresh to enhance the value proposition.
• Thus, prime members spend more time than non-members because of the perceived value of benefits.
• The company created a sense of exclusivity and convenience for members. 
• Prime Day, an annual event, significantly boosts sales, rivaling Black Friday and Cyber Monday.
• Moreover, special discounts and early access to deals drive a surge in sales and new memberships.
• For global expansion, the company rolled out services in different countries, curating benefits to local markets. 
• Utilizes customer data to provide personalized recommendations and experiences.
• Aggressive marketing campaigns through various channels, including social media, TV, and online ads.
• Used influencer partnerships and strategic alliances to promote Prime.
• As a result, it has solidified Amazon’s position in the global market as a leader in eCommerce.Competitors have introduced similar programs, but Prime remains a benchmark for customer loyalty programs.

Long-Term Benefits of Effective Marketing

Effective marketing contributes to the long-term success and growth of a business. It provides you with sustainable growth and a loyal customer base. 

Once you become a prominent name in the market, you will have the capability to maintain market share and adapt to market changes.

Not just an advantage over the rest of your competitors, you will also yield better returns on each of your efforts. Truly, effective marketing in the long-term, has the potential to uplift your eCommerce business to a whole new level. So, when are you going to make use of it?

Image Source: Unsplash.

Crucial Takeaways from This Chapter

• Effective marketing increases brand recognition, ensuring your business stands out and becomes a top choice for consumers.
• Implementing strong marketing strategies directly correlates with higher sales and increased revenue by reaching more customers and closing deals more efficiently.
• Marketing builds lasting relationships, fostering trust and loyalty that encourage repeat purchases and customer referrals.
• Amazon Prime’s marketing campaign demonstrates how adding value and creating exclusivity can lead to significant sales boosts and long-term customer retention.
• Consistent and effective marketing drives sustainable growth, helping maintain market share, adapt to changes, and achieve better returns on investment.