Product marketing is a strategy for bringing a specific product to market and accompanying it throughout its lifespan in the market. The set of measures for acquainting the target audience with the product and setting up communication with potential buyers is quite large and covers many marketing areas.
In each company, the concept of “product marketing” requires a different set of actions and the degree of responsibility for the marketer. Therefore, many product marketing professionals face new challenges in their field, especially when moving to a new company, even as experienced professionals.
Most often, the concept of product marketing includes the following responsibilities:
- Analysis of the target audience.
- Communicating with the target audience.
- Directly launching the product on the market.
- Content support.
- Testing the effectiveness of marketing tools.
- Monitoring the effectiveness of the marketing campaign.
Traditionally, product marketing is based not only on the persuasion to buy a product but also on informing potential buyers about the product’s benefits, uniqueness, and competitive advantages. The ultimate goal of all marketing activities is the growth of micro and macro conversions.
Skills You Need in Product Marketing
Effective promotion of any product is impossible without broad relevant competencies and mastery of modern marketing tools. To identify the target audience and build a dialogue with it correctly, you will need skills in all areas of marketing.
For most employers, a bachelor’s degree or higher is considered the optimal level of education for a marketer. Employers also value experience with launching a product on the market. Additionally, analytics and content management skills, knowledge of marketing research automation services, experience working with the target audience, and communication skills are highly valued.
Planning and project management
A successful product launch will require careful campaign planning and detailed preparation of the project for its implementation. At this stage, the analysis of competitors and their promotion strategies is helpful. The experience of other brands, combined with the target audience’s expectations, will make the product launch the most efficient and predictable. Combining creativity with the strategic thinking of a product marketer increases the chances of success.
Research and analysis
The analysis skill allows the marketer to consider their audience in more detail and build communication with potential customers based on the study of the characteristics of a particular group.
It is appropriate to inform about products through storytelling – potential customers will be able to transfer their life experience to situations in which the product has already shown its best side. A product marketer needs this skill as much as writing convincingly and emotionally.
An effective product marketer needs to consolidate and analyze information using automated systems and analysis tools. Ownership of basic services will help control the progress of the presentation campaign and its results.
Strategic Thinking Skills
Strategic thinking in a product marketing manager provides an understanding of the prospects for each action, its impact on the reputation and interest in the product among the target audience.
Understanding of Business Basics
Knowing the basics of doing business will help the marketer make economically sound decisions. He will effectively choose the tools for promoting the product and form a budget for the campaign.
Components of Product Marketing
In a competitive environment, consumers take the product for granted. But its additional properties and benefits are of maximum interest to them. The task of a product marketer is to present a product so that it is commensurate with the values of potential buyers. The complex of product marketing is based on four central positions, which will be discussed below.
Product Brand Strategy
The brand strategy allows the new product to be linked to the main company and positioned as one of the elements of a larger phenomenon. This approach does not apply to all products, but the need for a brand strategy often arises after the product is released to the market.
The hierarchy of products is designed to divide their elements into groups to make it easier for a potential buyer to navigate the list of offers. In this case, it will be convenient for specialists to point-to-point marketing messages to a particular audience.
The correct hierarchy of products aims to form priorities logically and present your products as profitably as possible. This is the principle behind Yum!, which has sub-brands KFC, Taco Bell, and Pizza Hut for different target audiences.
Smart packaging and product presentation are relevant for both physical products and digital offerings. They can combine several products, motivating the customer to purchase a package. Or vice versa – to demonstrate the exclusivity of the product. The main goal of any packaging is to make your product attractive to the buyer and help the marketer with the presentation of the product.
Positioning determines where your product is in the market and how it can solve customer problems. It is also used to differentiate from competitors – to present unique solutions that will interest the target audience.
By leveraging the hidden power of strategy, establishing a hierarchy, and paying attention to packaging and product positioning, the marketer will attract the target audience’s attention to his product. And also determine its good place in the market and influence the sale of digital or traditional goods.
Product Marketing Strategy
A product marketing strategy is just four steps that determine the effectiveness of the entire campaign. These include:
- Selection and analysis of the target audience.
- The choice of methods of communication with potential users of the product.
- Goal setting.
- Pricing process.
Let’s look at the details in more detail.
Define the Target Audience
Understanding the portrait of a potential buyer helps make communication more effective. A specialist will present a product to identify a specific group of people with a tool for solving their problems and pains.
Selecting the target audience is one of the first and most important tasks. Its correct decision will make it possible further to adapt the models of communication with a potential buyer.
For example, Netflix takes care of personalizing accounts to only offer exciting content for each user.
Determine Messaging and Positioning
The communication methods in your campaign and the channels of communication with your competitors’ audience may overlap, meaning both you and the competitor are likely to target the same people.
To stand out from the competition, you need to choose a different positioning and pay attention to the features of your product.
For example, Tesla Inc focuses on the sustainability of its vehicles since this factor is of great importance for the brand’s target audience.
Goal setting in product marketing allows you to monitor the effectiveness of measures and determine the strengths and weaknesses of the campaign. Among the main goals that are set in product marketing is dominated by:
- Increase in revenue or market share.
- Increased awareness among the target audience.
- Improving customer engagement and more.
It is incredibly convenient to form goals using the SMART method. They must be measurable, specific, achievable, realistic, and time-limited.
Experienced marketers are often recruited to help price a product. You can offer similar prices to competing products or justify a higher price for your product. If the difference in cost will be significant compared to identical or similar products, you need to argue the difference with the competitive advantages of your product.
As an example: the TOMS company donates a pair of shoes in addition to each purchased one. This approach allows you to popularize the brand and expand the loyal audience.
Product marketing focuses on effectively presenting new products or services. It includes a set of measures to familiarize, promote and popularize the product.
Launching a new product requires a specialist to have knowledge in various areas of marketing, which will allow him to present his product most effectively.