Quality Business Systems is a small local company offering a number of different "products" to their clients in medical, legal, accounting, educational and governmental offices. First, they offer high end electronic records software and hardware systems; secondly, they sell traditional paper recordkeeping sytems and furniture at the lowest cost in the area; third, they offer storage for their clients' old and inactive files. In addition, they offer consulting services to help clients save space or time by streamlining records management.
      They were having difficulty managing their image with the broad variety of product offerings, and they suffered from a problem all too typical: their clients, most of whom bought only one kind of product or service, did not know the full range of their offering.
      We first addressed their name, which was a bit long and sounded very generic. We introduced a now logo which shortened the name to QBS, leaving the full name in the signature which normally appeared with the logo.
      We then tried to address the problem of having a high end consulting business and a low end commodity products business side by side. After all, it's difficult to sell a customer up to high end consulting when they know you as a file folder and label seller. Using QBS as the fulcrum, we established satellite divisions: QBS Bargain Bin as the low end commodity division; QBS Office Xtension as the records storage division; And finally QBS Engineered Workspace as the consulting and high end electronic systems division. This allowed a bit of separation among divisions and made cross selling of their services to a single client more palatable.
      We created an on-line store for QBS Bargain Bin and promoted the site as offering the lowest cost paper and label products in the market. The objective was to make the Bargain Bin system as hands-free and low cost as possible, since it is a low margin commodity business. The visual image we established for Bargain Bin was rough and cheap, reflecting the low cost positioning of the division. This contrasted with the high end image for Engineered Workspace, which was concise and professional, and rich in photography, featuring an engineering style grid in the background.
      Their consulting business offered space planning, but much more, since both time and space savings could be generated by improvements in recordkeeping systems or off-site storage of inactive records. This combination of space planning, ergonomics, furniture customization and information management we titled Engineered Workspace, with the descriptor: "Furniture, people, information and time - the four dimensions of the 21st century office."
      A four panel color brochure was produced for the the Engineered Workspace division, along with a three dimensional folding cube which was used as a presentation tool. Cheaper flyers printed on in-house printers and easily updated, were produced for Office Xtension and Bargain Bin. Flyers and ads were also produced to take advantage of specific one-time opportunities.
      Since the market segments for the various divisions were clear and limited in quantity, and we had good mailing lists for all, direct mail was a natural medium for promotion. Color postcards, cheap and of fairly good quality, were printed using internet gang-printing services. A series of four cards was sent for each of the major segments: medical, legal, accounting and government.

The Atkins & Pearce Manufacturing Company is an industrial braider in Cincinnati, producing braided sleeving for electrical cords, braided candle wicking, stator lacing cord for electrical motors, decorative trim for caskets and bowling bags and metallic braid for decorative packaging. They also package glass yarn for other braiders.
The Problem
At the time they approached us about energizing their marketing program in 1985, sales had been flat for a decade, at about $10 million. The company was 200 years old, located in old factory buildings in downtown Cincinnati. Since there had been no essential change in braiding technology during that time, the company operated with thousands of braiding machines more than 100 years old. There were many positives about the company, however. Management was lean and efficient and production was mostly automated, allowing them to be the low cost producer in each of their markets. Their quality was superior, and they were well regarded where they were known. They were also cash-rich.
The Solution
During our first meeting in their offices, we made several suggestions for improving sales techniques. The next month, even before we returned with a marketing plan, sales increased by more than 10%.
      We soon discovered that virtually all their existing markets were classically mature, with one in immediate danger of collapsing due to new technology and one unprofitable due to intense competition and low margins. We identified threats and opportunities in each market segment and for the corporation and made several specific recommendations:

1) In the packaged glass yarn segment, we determined that their opportunities lay in developing white yarn accounts (as opposed to the primarily colored yarns which they sold at that point).
2) In the candle wicking segment, threatened by inexpensive Chinese imports, we recommended they focus on capturing projected growth among current customers in the domestic market.
3) In their largest segment, sleeving, we recommended they try to achieve strong market dominance by encouraging potential customers to eliminate their in-house capacity. This was done by buying that capacity or producing sleeving at a lower cost. 4) In the extremely mature stator lacing cord segment, which was threatened by new technology, we suggested identifying export opportunities and protecting their domestic position by acquiring capacity in the new technology.
5) In the high-profit decorative trim segments, the company lacked market information on opportunities. We recommended additional research before deciding on a marketing direction.

In addition, we concurred with the company's desire to enter the advanced composites market, where their low-cost production techniques could bring economy to high-tech processes, and much of our effort over the next five years was directed toward this end.
      Other issues we presented were the need for competitive market data and knowledge of customers' markets and technologies; the need for a more aggressive selling posture, including a systematic sales call program; and the need to become involved in industry supplier networks.
      In all segments, awareness of the company was surprisingly low, and we recommended increasing promotion. In fact, the company had produced only one item, a sample card of metallic braid, in its entire 200 year history. The subsequent success of the increased promotion was fueled to a great extent by superior product quality and the company's low cost of production. A comprehensive marketing plan was prepared, and, to the credit of the company, implemented. The plan included specific promotional tools and activities and a line item budget. Among the promotional items produced:

New corporate identity
Corporate capability brochure
Trade media advertising in selected segments
Trade show booths
Product literature

The Result
After the first year of increased marketing activity, sales had doubled. Sales doubled again by the fourth year. By the fifth year, Atkins & Pearce had built and moved into their own industrial park, a much larger facility in Covington, Kentucky. The company also successfully penetrated the advanced composites market, where margins were significantly higher than their traditional mature markets. Their new end products included braided light poles and braided parts for the automotive and aerospace industries.

During the seventies, electricity was a relatively inexpensive commodity, and electric companies aggressively expanded their marketing of electric heat. In the following decade, however, during the first energy crisis, the price of electricity rose rapidly and it was suddenly a very expensive way to heat a home. Energy companies were caught between the upward price pressure on their fuels and public indignation over retail energy costs. This brought greater public pressure on regulatory bodies and greater scrutiny of energy companies. In particular, any attempt by energy companies to increase energy usage by the public was strongly discouraged by PUCO in Ohio. However, most energy companies are privately held enterprises, and need growth to survive.
The Problem
This was the problem posed to us in 1988 by Toledo Edison: How to stimulate more business without running afoul of sensitive environmental and regulatory concerns?
The Solution
Our answer: promote electrically-generated microwave energy. The use of microwave ovens for cooking succeeds in stealing market share from other fuels and is actually more energy efficient than natural gas, thus creating both a net reduction in energy usage and a net increase in electricity billings.
      The practical implementation of this strategy was the Toledo Edison Microwave Cooking School. A demonstration kitchen/classroom was constructed in the Edison Building and nightly classes in microwave cooking were held. Attendance was by reservation only (30 students per session) and classes were conducted by Toledo Edison's in-house home economist.       Promotional countercards with return reservation forms were placed in retail stores selling microwave appliances, and literature was packaged with all new microwaves sold. Heavy newspaper advertising in Toledo and suburban papers promoted the school. Posters and other promotional literature weredeveloped for Toledo Edison's suburban offices, where many rural residents still went to pay their electric bills. Emphasis was placed on developing and publishing a large variety of recipes and meal combinations to appeal to all ages and demographic/ethnic groups. These and other giveaway items were distributed at the classes. The school operated at maximum capacity until Toledo Edison's subsequent takeover and move to Cleveland.

Owens Corning is a leading manufacturer of building materials for the residential, commercial and industrial construction industries, and, in the 1970's, was the industry leader in fiber glass insulation materials.
The Need
Owens Corning had long led the way with "value added" services: research, innovative applications and advertising to promote the value of insulation. However, the segment was becoming mature, and other manufacturers were gaining share with lower prices. Owens Corning had not been able to significantly differentiate their product from the rest of the market, but needed to justify their higher price due to development costs.
The Answer
While all products were generally comparable in performance, Owens Corning did have one distinctive characteristic: pink-colored insulation. Other products were white or yellow. Taking advantage of this one small difference, we proposed using the Pink Panther, well known from the movie series (and even farther back from the comic books), as the branding element for the company's consumer insulation products.
      This branding "spokescat" immediately reinforced the importance of the color pink and brought instant credibility to the product. It also introduced an element of fun into advertising and promotions which proved remarkably successful at both retail and distributor levels.
      The company loved the idea. However, because the only budget large enough to accommodate the high initial investment was in advertising, the advertising agency in New York, Ogilvy & Mather, was selected to drive the introduction. Our involvement with the actual implementation of the Panther in promotion was minimal until it was adapted to collateral materials.
The Result
The branding program was wildly successful. Owens Corning easily outdistanced all other insulation manufacturers, and remains the only recognizable brand in the market segment. Ironically, the Pink Panther is now more identified with Owens Corning than with the movie series which brought its original fame.
      Additionally, we later migrated the Panther to the Industrial Fibers Division, which sold bulk fiber for reinforcements. Despite the fact that these fibers were white, the brand association was so strong that this division had similar success, becoming the largest Owens Corning division in both sales and profits.

Owens Corning is a leading manufacturer of building materials for the residential, commercial and industrial construction industries. Among their products is an extensive line of interior ceiling tiles.
The Problem
In the late 1970's, the company asked us to design an insert promoting Owens Corning ceiling tiles for the Sweet's Catalog, a multi-volume resource directory of building materials for architects and developers. Our review of their material led us to believe that the organization of the products, which focused on new textures, was not a very good structure for architects to find the correct product for their needs. We felt that a user-friendly organization of products, one which reflected the customer's decision-making process, might be a significant advantage in pursuading them to use Owens Corning's insert (over competitors' inserts in the same publication) as a specification guide, resulting in the sale of more products.
The Solution
We interviewed a number of architects and builders and asked them to describe the process they followed when they specified ceiling tiles. The results were strikingly consistent.
      For example, all interviewed stated that their first decision was whether the ceiling panels needed to be fire-rated or not. The second decision was tongue-in-groove or suspended grid. And the third decision was whether to use revealed edge or square edge tiles. While there were some discrepancies among participants in decisions later in the process, it was clear that specifiers followed a common decision making process in specifying ceiling tiles, and it did not reflect the organization of Owens Corning's product presentation.
      We created a decision tree model based on our input and restructured the organization of the ceiling tiles, designing the insert to reflect this model.
The Result
We succeeded in pursuading the company to restructure their product presentation. The company was so enamored of this approach that the division restructured their entire product line to reflect this approach.
      Soon after, our client presented the concept to top management, and the company decided to restructure the product lines of every Owens Corning division in a similar manner. In addition, our client was promoted to oversee this process within the company.

The term marketing has long been loosely associated with the principal activities of promoting and advertising, and has often been narrowly defined, even separated from the sales function. The contemporary business approach, however, embraces a broader definition: "The generation of a profit by managing the resources and activities which ascertain and fulfill the needs and desires of people who buy products and services."
      Obviously, this broad definition includes most functions and activities which take place in the business environment, and it is easy to see the theoretical value of marketing as an umbrella under which to integrate and manage all business activities. Specifically, marketing addresses four major aspects of taking a product to market:

1) The product: all its characteristics (size, color, quality, category, etc.) and how to modify it to better meet the needs and desires of the consumer
2) The price: where to set it and when in order to maximize sales and profits
3) Distribution: how to get the product most effectively into the hands of the consumer
4) Promotion: how to motivate the consumer to purchase the product

What Can Marketing Do for Your Business?
In the sophisticated marketplace of the twenty-first century, that question is so basic as to be irrelevant. Every business owner and manager knows that marketing drives business success, and every business practices marketing in some form. More significant questions might be: "Am I making use of marketing in the right way to get where I want to go?"or "How effectively and efficiently am I using my marketing dollars?" Unfortunately, for most businesses, the answers to these questions are "No," and "Not very." There are solutions, however, and they begin (as most solutions do) with good planning.
Common Sense and the Power of Planning
The process I use for developing marketing plans consists of 6 steps:

1) Situation Analysis
Before planning begins, a comprehensive picture of the marketing environment is needed: the product line, distribution system, market trends, competition, sales force, current communications activities, perceptions of the company by suppliers, customers, prospects and employees. This is accomplished primarily through informal interviews with company management, sales personnel, customers, prospects and other market influences. This is usually the most costly and time consuming phase of the project, but it is absolutely essential.
2) Objectives
When the whole marketing picture is well in hand, research findings are presented to the client, and together, based on these findings, we establish realistic, measurable objectives for the planning period.
3) Audience Analysis
Based on the research and the newly set objectives, we determine the demographics and psychographics of the target audience (often specifiers, purchasers and other influences on the buying decision).
4) Strategy Development
For each objective specific strategies are established which will lead to the achievement of those objectives.
5) Implementation
For each strategy, specific activities which will support the strategy are line itemized. This includes proposed budgets and time parameters.
6) Measurement
For each objective a measurement strategy or tool is proposed (this may be included in the implementation section).

The marketing plan, as the name suggests, is a comprehensive guide to implementing a marketing program. The benefits that accrue to management are, at minimum, the same that accrue for the planning of any activity - efficiency, effectiveness and cost savings. A well-conceived and executed marketing plan can hold many other benefits for the astute manager as well.

Just When You Thought It Was Safe...
Over the past several decades, the orientation of business management has evolved - from production to finance to marketing - to reflect the changes in the society around us and the new ways in which business must be conducted to accommodate them. Today, marketing has become a highly sophisticated and formalized discipline which most managers find they cannot do without - yet many still fail to grasp the basic concepts of this new science.
Bigger Than A Breadbasket
The term marketing has long been loosely associated with the principal activities of promoting and advertising, and has often been narrowly defined, even separated from the sales function. The contemporary business approach, however, embraces the broader definition previously mentioned. But where to begin?
Finding the Handle
Specifically, marketing addresses four major aspects of taking a product to market:

1) The Product
2) The Price
3) Distribution
4) Promotion

From these basic elements one can grasp that the essence of marketing is to change the focus of management from the company and its products to the consumer and his needs. Yet it is often not clear how to take maximum advantage of the business benefits which this dynamic philosophy can provide. A comprehensive tutorial is needed to guide the manager step by step through the process of marketing his company and its products: the marketing plan.
What's in it for Me?
The marketing plan, as the name suggests, is simply a comprehensive guide to implementing the marketing program over the planning period (most often, but not limited to, 12 months). The benefits that accrue to management are the same that accrue for the planning of any activity - efficiency, effectiveness and cost savings. A well-conceived and executed marketing plan can:

....give management the "big picture" of the company and its markets. Perhaps for the first time, management can examine the interrelationships among product lines, operating divisions, markets or programs, and compare their effectiveness.

....provide the initial core intelligence for a comprehensive market data base. Information on competitors, market conditions, customer needs, perceptions of the company by customers or prospects, sales effectiveness, new technology developments or other developing trends can be collected, organized, analyzed and used to make informed business decisions.

....pinpoint company strengths and weaknesses. Management perceptions of company strengths and weaknesses usually don't coincide with those of other employees, customers or prospects. Clear definition of the situation can lead directly to good strategic planning which capitalizes on strengths and repairs weaknesses.

....identify problems and obstacles. Unforeseen problems arising suddenly can throw a wrench into management's sales and profit expectations. Once defined, specific problems (which can seem to be a general roadblock when undefined) can often be dealt with tactically, opening the door to continued growth.

....expose hidden market opportunities. Through the analysis of assembled market data, previously unnoticed potential can be defined and realized. This is perhaps the greatest potential direct benefit of the marketing plan.

....provide the basis for analysis of the competitive situation. Comparison of the company with competition across the board can reveal potential threats and opportunities.

....identify segments within a market. Frequently, markets are composed of several segments with different interests in the product or service. These segments may be sold more effectively on an individual basis by appealing directly to their narrow interests.

....help management to establish realistic objectives. Too often, arbitrary or unachievable objectives are set due to misunderstanding of the opportunity and lack of focus on selected efforts.

....provide measurement of performance against objectives. If performance can't be measured, how can it be determined whether the goal has been reached? And how can the decision be made to switch tactics or abandon the strategy if the program founders?

....evaluate alternate and contingency strategies. This activity gives management great flexibility in addressing business decisions, but is unlikely to occur without a marketing plan.

....set priorities for marketing activities. No company ever has adequate budget or manpower to attack all market segments simultaneously. The plan allows management to focus on and support selected objectives, allocating resources according to current opportunity and potential return.

....assure that communications are reaching the correct audience. Lack of identification or targeting of the proper audience (demographics) can sink an otherwise perfect communications program.

....assure that communications appeal to the correct audience. The wrong message to the right audience won't motivate anyone - the appeal must be made to appropriate interests and personality types of the target audience (psychographics).

....establish dates and deadlines. If it hasn't been planned, accurate deadlines can't be assigned - activities may go unfinished long after the planning period has elapsed.

....place responsibility for results. Activities often go unimplemented when there is a confusion over specific responsibility; a good plan always assigns responsibility for each activity to a single person.

....allow efficient use of marketing dollars by coordinating all marketing programs. Cost savings through economy of scale and avoidance of duplication can be incorporated into any marketing program with advance planning.

....take the guesswork out of budgeting. A good plan provides line item projection of all marketing activities and costs, facilitating the creation of a zero-based budget.

Caveat Emptor
A marketing plan can be a powerful tool, but it cannot be all things to all people. It will not necessarily provide a client with a list of new prospects to call on; the research phase may not uncover any strikingly new data (although confirmation of what was only suspected is valuable in itself); it will not guarantee the success of any aspect of a business - it will only maximize the probability of success. In fact, it will accomplish very little if it is ignored or left to gather dust in a drawer. The marketing plan, like all other management tools, must be used to be effective.
The Dynamic Duo
The key is dynamic. The plan should be a living document, constantly scrutinized, re-evaluated and revised to reflect changes in the company and in the marketplace. The plan should be renewed, revised or totally replaced at the close of each planning period, and management must be rededicated to the implementation of each new plan every year. Yes, management and the marketing plan can be dynamite together!

Some of the clients for whom I have executed marketing and/or communications plans:

Alexis Corridor
City of Toledo industrial development
Arts Council Lake Erie West
Toledo, Ohio
Atkins & Pearce Mfg. Co.
Cincinnati, Ohio | Manufacturers of industrial braid
Bauer, Stark & Lashbrook
Toledo, Ohio | Architects and engineers
Boody House Restaurant
Toledo, Ohio | Upscale restaurant
Bowlus Trucking
Fremont, Ohio | Commercial freight line
Consarc Corp.
Rancocas, New Jersey | Manufacturers of metal melting equipment
Diehl, Inc.
Defiance, Ohio | Producers of lactose-free milk products
The Fremont Co.
Fremont, Ohio | Producers of canned vegetable products
GenoaBank
Genoa, Ohio
Hause Machines
Montpelier, Ohio
Industrial Dielectrics, Inc.
Indianapolis, Indiana | Compounders of molding products for industry
International Facility Management Association
Toledo, Ohio
JDX Corporation
Toledo, Ohio | Distributors of lawn care machinery and supplies
Jefferson Health Care Center
Birmingham, Alabama
Kexon Corp.
Pioneer, Ohio | Manufacturers of wicks for kerosene heaters
Mercy Hospital
Toledo, Ohio
Miller, Gardner
Toledo, Ohio | Certified public accountants
Northeast Electronics
Maumee, Ohio | Developers of software and hardware for machine control
Owens Corning Resins and Coatings Division
Toledo, Ohio | Manufacturers of resins and reinforcements
Parkview Hospital
Toledo, Ohio
Paulding County Schools
Paulding, Ohio
Planned Parenthood of NWO
Toledo, Ohio
Scottdel
Swanton, Ohio | Manufacturers of carpet cushion
St. Charles Hospital
Toledo, Ohio
Toledo World Trade Association
Toledo, Ohio
Visiting Nurse Service
Toledo, Ohio