Thursday, 30 August 2012
How Big is your Market – Continued
Facebook follower Michael Goldie recounted a great story in response to yesterday’s blog.
Back in the early 90's in the days of 75% off and that garbage, one of those guys opened in Cleveland. Advertised like crazy. Funny thing, small store in the back of the same center, had the biggest year in his history, by almost double. Why? Someone advertised jewelry and brought customers out his way.
So, a rising tide lifts all boats? How many of you would welcome a new discount jewellery store to your mall or your street? Might it double your sales?
Back in February, I wrote an article called “Why Can’t we be Friends?” It posed the question of why retail jewellers (and maybe other luxury retailers) should get together on a consumer show that would benefit all participants. If you’re going to spend more time, money and effort on expanding your market, and it’s going to benefit your competitors (like in Michael’s example,) why not involve your competitors to share the cost and effort?
We all know that a full-page print-ad costs less than four quarter-page ads. What if four jewellers formed the “jewellery marketing coop” in order to buy full-page ads under the banner of “Jewellers Marketplace.” I’ll bet that page would get more attention than the lone-wolf jeweller who does his or her own quarter page ad elsewhere in the newspaper. And guess what? Those who buy full pages get preferred placement, better discounts and perks.
Here’s another thought. Rather than ferociously protecting your exclusive buying-group territory, why not encourage a nearby jeweller to join the group and share a portion of your marketing costs?
We’re all so concerned about competition. Never forget that many companies produce tasty and refreshing colas, but Coke and Pepsi have battled their way to such prominence that they’ve marginalized all contenders. I imagine the marketing directors for those two companies secretly clinking beer mugs after a clandestine round of golf to toast their mutual success.
Thanks Michael for the story and for your contribution to The Toddwaz Report.