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Building a Guerrilla
Marketing Plan
Copyright ©2009 Pearson Education, Inc.
Publishing as Prentice Hall
1
CONTENTS
 Components of a guerrilla marketing plan
 How small companies can pinpoint their target market
 Market research
 Guerrilla marketing strategies
 Online marketing
 The marketing mix
Copyright ©2009 Pearson Education, Inc.
Publishing as Prentice Hall
2
Components
of a guerrilla
marketing
plan
3 vital resources:
• People
• Information
• Technology
4 objectives:
• Pinpoint the target
market
• Understand the target
market
• Build marketing
strategies
• Create marketing mix
3
Marketing
 The process of creating and delivering desired goods
and services to customers and involves all of the
activities associated with winning and retaining loyal
customers
 “Secrets”
 Understand target customers’ needs, demands, and wants
before competitors can
 Offer them products and services to satisfy those needs,
demands, and wants
 Provide customers with quality, service, convenience, and value
so they will keep coming back
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A Winning Marketing Strategy
Three vital resources:
 People - the most important ingredient in a
successful marketing strategy
 Information - the fuel that feeds the marketing
engine; without it, the marketing engine sputters
and stops
 Technology - a powerful marketing weapon, but
what matters most is how a company integrates
technology into its overall marketing strategy
A Guerrilla Marketing Plan
 Unconventional, low-cost, creative techniques
that allow a company to wring a big “bang”
from its marketing bucks
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Four Objectives of a Guerrilla
Marketing Plan
 Pinpoint the target markets a company will serve
 Determine customer needs, wants, and
characteristics through market research
 Analyze a company’s competitive advantages and
build a marketing strategy around them
 Create a marketing mix that meets customer needs
and wants
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Pinpointing
the target
market
8
Pinpointing the Target Market
 First step: Identify the company's target
market, the group of customers at whom
the company aims its products or
services
 An effective marketing program
depends on a clear, concise definition of
the firm's targeted customers, not a
“one-size-fits-all approach”
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Pinpointing the Target Market
 Key: Understanding target customers’
unique needs, wants, and preferences
 Opportunity: Increasing populations of
multicultural customers
 Target customer must permeate the
entire business
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Market
research
Determining
customers’ needs and
wants
11
Market Research
Market research - the vehicle for gathering the
information that serves as the foundation for the
marketing plan
How to Conduct Market Research:
 Define the objective
 Collect the data
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Collect the Data
 Individualized (one-to-one) marketing – a system
of gathering data on individual customers and
then developing a marketing plan designed
specifically to appeal to their needs, tastes, and
preferences
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How to Become an Effective One-to-One Marketer
Identify your best customers,
never passing up the
opportunity to get their names.
Enhance your products and
services by giving customers
information about them and how
to use them.
Collect information on these
customers, linking their
identities to their transactions.
Successful
One-to-One
Marketing
Make sure your company’s
product and service quality
will astonish your customers.
Calculate the long-term value
of customers so you know
which ones are most desirable
(and most profitable).
Source: Adapted from Susan Greco, “The Road to Oneto-One Marketing,” Inc., October 1995, pp. 56-66.
See customer complaints
for what they are - a
chance to improve
your service and
quality. Encourage
complaints and then
fix them!
Know what your customers’
buying cycle is and time your
marketing efforts to coincide
with it - “just-in-time marketing.”
Collect the Data - continued

Much valuable information about
customers is already hidden inside
companies; the key is mining it!
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Data Mining
 A process in which computer software that uses
statistical analysis, database technology, and
artificial intelligence finds hidden patterns,
trends, and connections in data so business
owners can make better marketing decisions
and predictions about customers’ behavior
 Example: Henry Singer Fashion Group
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Market Research
Market research is the vehicle for gathering
the information that serves as the
foundation for the marketing plan
How to Conduct Market Research:
 Define the objective
 Collect the data
 Analyze and interpret the data
 Put the information to work
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Guerrilla
marketing
strategies
FISH principles
Guerrilla marketing
principles:
• Find niche a fill it
• Entertailing
• Connect with customers
on an emotional level
• Build a consistent
branding strategy
• Start a blog
• Use social network
• Retain existing customers
• Devotion to quality
• Attention to convenience
• Concentration on
innovation
• Dedication to service &
customer satisfaction
• Emphasis on speed
18
Relationship Marketing
 Involves developing, maintaining, and
managing long-term relationships with
customers so that they will keep coming
back to make repeat purchases
 Steps:
 Build database of customer information
 Identify best and most profitable customers
 Develop lasting relationships with these
customers
 Attract more customers like them
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FISH! Principles
1.
2.
3.
4.
FISH Principle 1. Choose your attitude
FISH Principle 2. Play
FISH Principle 3. Make their day
FISH Principle 4. Be present
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Guerrilla Marketing Principles
 Find a niche and fill it
 Don’t just sell; entertain – “entertailing”
 Connect with customers on an emotional level
 Build a consistent branding strategy
 Strive to be unique
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Guerrilla Marketing Principles
(continued)
Focus on the Customer
 Average American companies lose about 50% of its
customer base every five years
 94% of dissatisfied customers never complain about
rude or discourteous service, but...
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Focus on the Customer (continued)
 91% will not buy from that business again
 31% will tell others about their negative experience
 48% have avoided a store because of someone else’s
negative experience with it
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Focus on the Customer (continued)
 Customers are 5x more likely to leave because of poor
service than for quality or price
 The typical business loses 1/3 of its customers each
year
 A retention of just 5% more customers would raise
profits 25%
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Guerrilla Marketing Principles
(continued)
Retain Existing Customers
 Because 20% of a typical company’s customers
account for about 80% of its sales, no business can
afford to alienate its best and most profitable
customers and survive!
 Replacing lost customers is expensive; it costs 7 to
9 times as much to attract a new customer as it
does to sell to an existing one!
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Retain Existing Customers (continued)
 About 70% of a company’s sales come from existing
customers
 Allowing shoppers to customize their products has
the power to increase customer retention,
satisfaction, and profits
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How to Focus on the
Customer
 When you create a dissatisfied customer, fix
the problem fast
 Encourage customer complaints
 Ask employees for feedback on improving
customer service
 Get total commitment to superior customer
service from top managers - and allocate
resources appropriately
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How to Focus on the
Customer
(Continued)
 Allow managers to wait on customers
occasionally
 Develop a service theme that communicates
your attitude toward customers
 Reward employees “caught” providing
exceptional service to customers
 Carefully select and train everyone who will deal
with customers
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Guerrilla Marketing Principles
(continued)
 Start a blog
 Use social networks
 Devotion to quality
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Devotion to Quality
 World-class companies treat quality as a
strategic objective, an integral part of the
company culture
 Total Quality Management (TQM) - quality
not just in the product or service itself, but in
every aspect of the business and its
relationship with the customer and continuous
improvement in the quality delivered to
customers
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The Quality DMAIC Process
Sustain
quality
improvements.
Make changes to
the process and measure
improvements.
Use statistical tools
to find causes of quality
problems.
Measure important
outcomes.
Define the problem.
Adapted from: Walter H. Ettinger, MD, “Six Sigma,” Trustee, September 2001. P. 14.
How Do Americans Define
“Quality?”





Reliability (average time between breakdowns)
Durability (how long an item lasts)
Ease of use
Known or trusted brand name
Low price
Quality
Quality is the degree to which a set of inherent
characteristic fulfills requirements (ISO 9000:2005)
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Quality
32
Guerrilla Marketing Principles
(continued)

Attention to convenience
Concentration on Innovation
 Dedication to Service and
Customer Satisfaction
 Emphasis on Speed

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Attention to Convenience
 Is your business conveniently located near
customers?
 Are your business hours suitable to your
customers?
 Would customers appreciate pickup and
delivery services?
 Does your company make it easy for customers
to buy on credit or with credit cards?
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Attention to Convenience
 Are you using technology to enhance customer
convenience?
 Are your employees trained to handle business
transactions quickly, efficiently, and politely?
 Do your employees use common courtesy when
dealing with customers?
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Attention to Convenience
 Does your company offer “extras” to make
customers’ lives easier?
 Can you adapt existing products to make them
more convenient for customers?
 Does your company handle telephone calls
well?
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Concentration on Innovation
 Innovation - the key to future success
 Innovation - one of the greatest strengths of the
entrepreneur, showing up in the new products,
techniques, and unusual approaches they
introduce
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Concentration on Innovation
 Product Development and Management
Association Study of top performing companies
across 400 industries: New products accounted
for 49% of profits, more than twice as much as
their less innovative competitors
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Stimulating Innovation
 Make innovation a priority in the company
 Measure the company’s innovative ability
 Set goals and objectives for innovation
 Encourage new product or service ideas among
employees
 Listen to customers
 Always be on the lookout for new product and
service ideas
 Keep a steady stream of new products and
services coming
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Guerrilla Marketing Principles
Attention to convenience
 Concentration on innovation


Dedication to service and
customer satisfaction
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Dedication to Service
Goal: to achieve customer astonishment!
How can you improve your service?
 Listen to customers
 Define “superior service”
 Set standards and measure performance
 Examine your company’s service cycle
 Hire the right employees
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Dedication to Service
 Train employees to deliver superior service
 Empower employees to offer superior service
 Use technology to provide improved service
 Reward superior service
 Get top managers' support
 Give customers an unexpected surprise
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Guerrilla Marketing Principles
Attention to convenience
 Concentration on innovation
 Dedication to service and
customer satisfaction


Emphasis on speed
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Emphasis on Speed
Three aspects of TCM - Time Compression
Management:
1. Speeding new products to market
2. Shortening customer response time in
manufacturing and delivery
3. Reducing the administrative time required
to fill an order
Companies using TCM have discovered that
manufacturing takes only 5% - 10% of total
lead time
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Emphasis on Speed
 Re-engineer the process rather than try to do the






same things - only faster
Study every phase of the business process, looking
for ways to shorten it
Create cross-functional teams of workers and
empower them to attack and solve problems
Share information and ideas across the company
Set aggressive goals for production and stick to the
schedule
Instill speed in the company culture
Use technology to find shortcuts wherever possible
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Marketing
on the
www
Google AdSense
Pay per click
46
The
Marketing
mix
47
Creative Use of Advertising
and Promotion
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Developing a Unique
Selling Proposition (USP)
 USP - A key customer benefit of a
product or service that answers the
critical question that every customer
asks: "What's in it for me?"
 Identify your product or service's USP
by describing the primary benefit it
offers customers and then list other
secondary benefits it provides
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Developing A Unique
Selling Proposition (USP)
 Briefly list a few facts that support your
product’s USP
 Then focus your ads to stress these top
benefits and the facts supporting
them!
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A Six-Sentence Advertising
Strategy
What is the purpose of this ad?
What USP can you offer customers?
What other key benefits support your USP?
At whom are you aiming the ad?
What response do you want from your target
audience?
6. What image do you want to convey in your
ads?
1.
2.
3.
4.
5.
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Creating a Promotional Strategy
 Publicity - any commercial news covered by the
media that boosts sales but for which the small
business does not pay
 Personal selling - the personal contact between
sales personnel and potential customers
resulting from sales efforts
 Advertising - any sales presentation that is non-
personal in nature and is paid for by an
identified sponsor
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Tips for Stimulating Publicity
 Write an article of interest





to customers
Sponsor an offbeat event
to attract attention
Involve celebrities “on the
cheap”
Offer to be interviewed on
TV and radio stations
Publish a newsletter
Speak to local
organizations





Sponsor a seminar
Write news releases and
fax them to the media
Serve on community and
industry boards and
committees
Sponsor a community
project or support a
nonprofit organization
Promote a cause
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Top Salespeople…
 Are enthusiastic and alert to




opportunities.
Are experts in the products
or services they sell and
understand how their
products and services can
help their customers.
Concentrate on select
accounts with the greatest
sales potential.
Plan thoroughly.
Use a direct approach with
their customers.





Work from their customer’s
perspective.
Use past success stories
and testimonial.
Leave sales material with
potential customers.
See themselves as
problem solvers, not just
vendors.
Measure success by
customer satisfaction as
well as by sales volume.
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Successful Personal Selling
Requires a Selling System
1.
2.
3.
4.
5.
6.
7.
Prepare
Approach
Interview
Demonstrate, explain, and show
Validate
Negotiate
Close the sale
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FUNDAMENTALS OF A SUCCESSFUL AD
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Selecting Advertising Media: Key
Questions
 How large is my firm's trading area?
 Who are my customers and what are their
characteristics?
 Which media are most likely to reach
those customers?
 What budget limitations do I face?
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Selecting Advertising Media: Key
Questions
(Continued)
 Which media do my competitors use?
 How important are repetition and
continuity of my advertising message?
 How does each medium compare with
others in audience, reach, and
frequency?
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Comparing Media
 Audience – the number of paid subscribers a
particular medium attracts
 Reach – the total number of people exposed to
an ad at least once in a period of time, usually 4
weeks
 Frequency - the average number of times a
person is exposed to an ad in that same time
period
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Selecting Advertising Media: Key
Questions
(Continued)
 Which media do my competitors use?
 How important are repetition and continuity of
my advertising message?
 How does each medium compare with others in
audience, reach, and frequency?

What does the advertising medium
cost?
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Advertising Media Options
 Word-of-mouth
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Word-of-Mouth Advertising
 Make your business buzz-worthy
 Promote your company to “influencers”
 Make it easy for satisfied customers to spread the
word
 Use the Web to amplify your company’s word-ofmouth advertising
 Tap into the power of YouTube
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Advertising Media Options
 Word-of-mouth

Sponsorships and
Special Events
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Sponsoring Special Events
 Don’t count on sponsorships for your entire advertising
campaign
 Find an event that is appropriate for your company and
its products and services
 Research the event and the organization hosting it
before agreeing to become a sponsor
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Sponsoring Special Events
(Continued)
 Try to become the dominant (or, better yet, the only)
sponsor of the event
 Clarify the costs and the level of participation required
for the sponsorship up front
 Get involved in the event
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Advertising Media Options
 Word-of-mouth
 Sponsorships and Special
Events
 Newspapers

Radio
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Snappy Radio Copy Should...
 Mention the business often
 Stress benefits to the
listener
 Use attention-grabbers
 Zero in on a particular
audience
 Be simple and to the point
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Snappy Radio Copy Should...
 Sell early and often
 Be written for the ear
 Be rehearsed before
presentation
 Use positive action words
 Put the listener in the
picture
 Focus on getting a response
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Advertising Media Options
Word-of-mouth
 Newspapers
 Radio

 Television
 Magazines
 Specialty advertising
 Point-of-purchase ads
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Advertising Media Options
Word-of-mouth
 Newspapers
 Radio
 Television
 Magazines
 Specialty advertising
 Point-of-purchase ads

 Out-of-home ads
 Transit advertising
 Direct mail
 World Wide Web
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Advertising on the Web
 2011: U.S. companies spend $36.5 billion on
Web advertising
 Types of ads:
 Banner
 Display
 Pop-up
 Interstitial
 Contextual
 Pay-per-click
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E-Mail Advertising
 Permission e-mail vs. spam
 Radicati Group study: 171 billion e-mails
sent per day
 71 percent of those are spam
 Stick to marketing basics
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E-Mail Advertising
 Collect customers’ and potential customers’ e-mail
addresses
 Make subject line short, meaningful, and to-thepoint
 Make the e-mail’s look and feel consistent with
your company’s image
 Send e-mails when customers are most likely to
make purchases
 Write copy that produces results
 Use value-added items to increase response rates
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Advertising Media Options
Word-of-mouth
 Newspapers
 Radio
 Television
 Magazines
 Specialty advertising
 Point-of-purchase ads

 Out-of-home ads
 Transit advertising
 Direct mail
 World Wide Web
Directories
 Trade shows

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Preparing an Advertising
Budget
 What is affordable
 Matching competitor's advertising
expenditures
 Percentage of Sales
 Past Sales
 Forecasted Sales
 Objective-and-Task
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How to Advertise "Big"
on a Small Budget
 Hire freelance copywriters and artists
 Use cooperative advertising
 Participate in shared advertising
 Use stealth advertising
 Maximize publicity with techniques such as cause
marketing
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How to Advertise "Big"
on a Small Budget
(Continued)
 Repeat ads that have been successful
 Use identical ads in different media
 Hire independent copywriters, graphic designers,
photographers, and other media specialists
 Concentrate advertising when customers are
most likely to buy
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