Mastering the Art of Online Marketing

Exploring the many facets of new-media or online marketing can result in increased sales—well beyond simply “getting your face out there”.

Online marketing is much like an artist’s palette: messy, colorful and abstract. But it’s well worth making the effort to figure it out.

Online Marketing palette Latin Business Today

I have written before about the “fear of being right”  —the reticence many people have when, after completing a thorough analysis, they come up with an answer that somehow goes against conventional wisdom.

Take one of my acquaintances, Erik. He recently bought a motorcycle rental business and joined it with his existing custom, semi-custom and stock-bike business. He also offers bike servicing (especially Harleys and Harley’s sports line, Buells) and some merchandising.

On a recent Saturday night over beers, he had mentioned to me that no one had come to his Second Saturday Art Walk event. His business is right at the edge of the Wynwood art district in Miami, and the Second Saturday Art Walk draws tens of thousands of people who visit galleries, eat from food trucks, walk around looking at art booths…but his bike place is far enough from the center of Wynwood  that no one wants to walk there.

“Why did you even want people to visit your shop?” I asked him. “Well, I was told that I had to get my name out there” he said If you’ve followed any of my columns, you would know what my next question was: “Get your name out there to do what?”

If you were Erik, what do you think would be next?

1. It all begins with sales.

One of the key tenets of TOE (Theory of Everything) is having a clear picture of what you need to sell, because only then do you have a clear picture of your target audience, the message you want to convey and the media you need to use. So, let’s take a hypothetical scenario for Erik’s business. (We’ll call it Erik’s House of Custom Bikes.)

Let’s say Erik wants sakes of around $3,000,000 per year:

 

Category  

Sales

 

Price/Unit

 

Total Value

Bike Sales      
     Full Customs  

7

 

$90,000

 

$630,000

     Boss Hoss  

14

 

$60,000

 

$840,000

     Royal Enfield  

96

 

$7,500

 

$720,000

Repairs & Maintenance      

$600,000

Bike Rentals      

$100,000

Merchandising  

2,500

 

$22

 

$ 55,000

Grand Total      

$2,945,000

Erik could conceivably build seven full custom bikes at $90,000 each, sell 14 Boss Hoss bikes at $60,000 each and eight Royal Enfields per month, and have other offerings such as repairs, maintenance and merchandising contribute another $655,000.

How do you sell a $90,000 bike from the same shop where you also sell a $7,500 one? Strict segregation is the key.

So who buys what?

Bike Line Price Target Buyer
Full Customs  

$90,000

Males. These are typically successful professionals in entertainment, sports, promotions. There is also a market for promotional use, where custom bikers are used as part of a contest. Targets would include casinos, cruise lines, entertainment venues.
Boss Hoss  

$ 60,000

Males. The Boss Hoss is a heavy bike, weighing in at 1,200 pounds and sporting a Corvette V8. Buyers come from the same pool as full-custom purchasers but have less money. They might include successful lawyers, people in the marketing industry, actors. The same crowd that purchases Harleys typically buys them, but they have more money.
Royal Enfields  

$7,500

Males (but could be females). Royal Enfields are very retro-looking bikes that are underpowered for their price range. Nevertheless, they send a distinctive styling message.
Bike Rentals  

$130

Young Males (21-30). These are typically visitors to Miami. They’re evenly divided, with 50 percent coming from the U.S. and 50 percent coming from other places. The latter group comes from Brazil, Argentina, Mexico, Germany, England, Italy and France. Of the Latin American destinations, Brazilians spend the most.
Bike repair & Maintenance  

$250

Males. They’re primarily owners of Harleys and Buells, although, secondarily, Triumphs, Indians and others.