5 Core Marketing Concepts Lifelong Learning 2007 Presented by Paul Franklin

2 The Five Core Marketing Concepts zEverything we do is marketing. zWe want to segment the market. zWe should market affectively, not just cognitively. zWe are part of the direct marketing business. zRetention marketing supports growth.

3 Goal of Marketing zThe primary goal of marketing is to establish a positive image and relationship with your present & potential participants.

Everything We Do is Marketing 4

5 Ways You Portray Your Program zThe facility you hold your courses/events zThe way you reject potential teachers zHow you say “hello” zYour hold button yHow long is someone on hold? yIs there music? What kind? zYour course/event selection zYour registration process zYour website zYour shopping cart

6 Establish a Position in Your Participants’ Minds zYour program’s name LERN zA slogan “Information That Works!” zA logo

We Must Segment the Market 7

8 Average Segment Segment the Market zYou want to segment the market because you serve some, but not all, demographic groups. zThere is no average participant.

9 The ideal number of market segments is 7. Market Segmentation zA process by which you distinguish or differentiate your top customer groups, build separate demographic profiles, and then deliver different products, marketed by different promotions to your different customer groups.

Market Affectively, Not Just Cognitively 10

11 AffectiveCognitive Market Affectively, Not Just Cognitively zYou want to create a feeling about your program through your promotions. zMarket to people’s hearts, emotions and feelings, not just to their heads.

RULE z3 seconds to GRAB ATTENTION. yThat’s the job of the cover or headline. z30 seconds to answer the question – WHAT’S IN IT FOR ME? yThat’s the first two pages or first paragraph. z3 minutes to reinforce and bring ‘em to ACTION. yThat’s the balance of the piece and registration.

13 I = Interest = First 2 Pages D = Desire = Session/Course Description Plus other copy A = Action = Registration Information and Form AIDA A = Attention = Cover

We Are Part of the Direct Marketing Business 14

15 Direct Marketing zDirect marketing can be measured, and you can find out what does and doesn’t work. zDirect marketing is: yMeasurable yTracked and quantified yTested yMathematical relationships

16 Direct Marketing makes marketing more science than art zEXAMPLE: Major brochure cover change yOptions: x1. Just do it. I know best and my graphics person agrees with me. x2. Split test new concept against the old and see which one works the best. x3. Focus group.

17 Direct Marketing makes marketing more science than art zEXAMPLE: Title for new certificate program yOptions: x1. Staff brainstorm and I pick the best. x2. Survey “best” customers, quantify the results and use the one rated the highest.

18 Direct Marketing makes marketing more science than art zCollect brochure response rates & analyze the results. zAnalyze responses for different dates mailed/ ed. zAnalyze mix of media. zAnalyze days of the week. zAnalyze venues. zCollect data and analyze it all!

19 Direct Marketing Techniques… zMake it more science than art. zTake away some of the risks. zReduce stress. zMake you more money. zLead to happier and more satisfied customers because you better appeal to them and their interests and needs.

Retention Marketing Supports Growth 20

21 The Value of Retention $$$$$$$$$$$$$$$$$$$$$$$$$$ It costs 6 times more to get a new customer than it does to retain a current customer.

22 Retention Marketing Supports Growth K 2K 500 Sign Up Both Years 50% Repeat Rate 500/1K = 50%

23 Repeat Business Provides Exponential Dollar Value The Power of Life Time Value….

24 LifeTime Value 1 (1-repeat rate) x average course/event fee 1 (1-.66) x $100 = $303.30

1 (1-.75) x $100 = $400 *If you can increase the repeat rate, you will increase the LifeTime Value (LTV). 1 (1-.66) x $150 = $ *If you can increase your average course/event fee, you will increase the LTV. Repeat customers also generate customer referrals, which generate additional income 25

Thank You!