What are the 22 immutable laws of marketing? Are you following these laws in your company? What could you be doing better?<\/p>\n\n\n\n
The most successful companies are the ones with the highest-quality products and biggest marketing budgets, right? Wrong. It’s not quality and products that determine a company’s success, it’s marketing. <\/p>\n\n\n\n
Keep reading to learn about The 22 Immutable Laws of Marketing.<\/em><\/p>\n\n\n\n\n\n\n\n The most successful companies are the ones with the highest-quality products and biggest marketing budgets, right? Wrong. While quality products and large cash reserves certainly help, they don\u2019t determine a company\u2019s success. In this 1993 book, marketing experts Al Ries and Jack Trout<\/a> outline the 22 immutable laws that govern what works and what doesn\u2019t in marketing. <\/strong>Ries and Trout spent more than 25 years studying the best-known (and many little-known) brands to discover which strategies lead to success and which lead to failure. Through their research, they discovered common principles that they\u2019ve distilled into these 22 immutable laws. <\/p>\n\n\n\n For added context, we\u2019ve renumbered the laws and grouped them into six themes: <\/p>\n\n\n\n The first four immutable laws of marketing focus on how to be the top choice within your market. In every major product category, there\u2019s one brand that immediately comes to consumers\u2019 minds. For chocolate, it\u2019s Hershey\u2019s. For cellophane tape, it\u2019s Scotch tape. The most successful brands are those that are considered the defaults in their categories. Use the following laws to make sure your product is consumers\u2019 first choice.<\/p>\n\n\n\n People remember firsts, and companies that are first to enter their markets are typically more successful than those that follow, even if the latecomers have better products.<\/strong> Furthermore, the first entrants in a particular market tend to remain the market leaders over time, even if late entrants have higher-quality products. <\/p>\n\n\n\n If you have a great product but another company was already first in that market, create a new category in which you are first. <\/strong>You don\u2019t have to entirely change your product\u2014just find something that sets it apart. For example, when Charles Schwab opened a brokerage firm, instead of competing with existing firms, he made his the first discount<\/em> brokerage firm. <\/p>\n\n\n\n Although Law #1 states that you need to be the first in the marketplace<\/em>, Law #3 amends that principle: Above all, you need to be first <\/strong>in consumers\u2019 minds<\/em><\/strong>\u2014when consumers think of the product you sell, they should immediately think of your brand. <\/strong>Being first in the market merely gives you a head start to get into the public\u2019s mind. <\/p>\n\n\n\n In the battle for prospective customers\u2019 minds, you must fight not only to be first<\/em> in mind but also best<\/em> in mind. Contrary to popular belief, your most potent weapon in marketing is not the quality of your product, but rather the public\u2019s perception of your product. <\/strong>Simply put, perception is reality: No matter what research and performance tests reveal, your marketing will only be successful if consumers believe that your product is the best. Build your marketing plan around the way people form perceptions by using some of the immutable laws we\u2019ll discuss later (such as laws #8 and #15). Marketing manipulates people\u2019s perceptions and, thus, their realities. <\/p>\n\n\n\n The marketing laws in the second category address the importance of focusing your marketing message. In order to get consumers to notice and remember your product, you need to broadcast a unique, focused message that sets you apart from your competitors. Marketing with a focused message for a specific audience gets the most traction. Use these laws to define your product in a way that\u2019s concise and appealing to customers<\/a>. <\/p>\n\n\n\n To create a powerful, lasting perception in the mind of the public, you need to center your marketing plan around a single word. This word should sum up the primary message you want consumers to remember about your brand\u2014whether it\u2019s \u201creliability,\u201d \u201caffordable,\u201d or \u201cservice.\u201d A successful marketing strategy can create a universal association between your word and your product.<\/strong> For example, Mercedes built its success on the word \u201cengineering\u201d by boasting state-of-the-art features and innovations. When choosing a word, consider these tips: <\/p>\n\n\n\n When you choose your word, make sure that none of your competitors is already using it. The goal is to create an undeniable association between the word and your brand, and you can\u2019t achieve that if another firm is using the same word. <\/strong>Even if you have a lot of money to throw at the marketing campaign<\/a>, you can\u2019t co-opt a word that another company is already using. In fact, if you try, you could end up strengthening their<\/em> message, because you\u2019ll be emphasizing the importance of that word, which is already linked with that brand. <\/p>\n\n\n\n When choosing the word for your brand, first determine the attribute that customers value most in this product.<\/strong> For example, in the toothpaste market, the most important attribute is the ability to fight cavities. If another brand has already successfully claimed the top attribute, move on to the next-best, opposite <\/em>attribute\u2014for example, \u201cwhitening\u201d or \u201cfresh breath.\u201d While \u201ccavities\u201d and \u201cwhitening\u201d aren\u2019t strict opposites, they appeal to different desires, one being medical and the other aesthetic. If you try to claim an attribute that\u2019s similar <\/em>to your competitor\u2019s, you\u2019ll merely end up in their shadow (more on this in Law #10). <\/p>\n\n\n\n The next category of immutable marketing laws explains how markets generally behave and how to use that insight to inform your marketing strategy. Every company wants to be a market leader<\/a>, but few companies can be. Be aware of your position in the market, and use that to inform your message to consumers. These laws explain how to leverage your position for more effective marketing. <\/p>\n\n\n\n If you\u2019re not the market leader, know your position in the market and acknowledge it in your advertising. Every product category has a hierarchy of brands. Think of this as a ladder: The market leader is on the top rung, and each descending rung is occupied by the next-best-selling brand. If you\u2019re on the second rung, be honest about it in your marketing. Consumers know where you are on the ladder, and they\u2019ll only accept marketing messages<\/a> that align with that truth\u2014otherwise, they\u2019ll disregard your entire message. <\/strong><\/p>\n\n\n\n Avis used this law effectively when it was trailing behind Hertz in the rental car market. When Avis first launched a campaign that called itself the \u201cFinest in rent-a-cars,\u201d it failed because the message didn\u2019t resonate as true. By contrast, the company went from losing<\/em> money to making <\/em>money when it changed its marketing campaign to say, \u201cAvis is only No. 2 in rent-a-cars. So why go with us? We try harder.\u201d The company acknowledged its position and gave consumers a reason to choose it anyway. <\/p>\n\n\n\n When a product category is new, the ladder may have many rungs as new companies join the fray and compete for customers. But eventually, every market whittles down to just two top brands, while all their competitors fight for the crumbs.<\/strong> Depending on how quickly the market evolves, it may take years or decades to turn into a two-company race\u2014and it\u2019s critical to your business that you secure and maintain one of the top two spots in your market. <\/p>\n\n\n\n To secure a second-place spot on your market ladder, turn the market leader\u2019s strengths into weaknesses. Don\u2019t try to out-do your competitor at what it does best\u2014instead, embody the opposite.<\/strong> For example, you could be the affordable alternative to the luxury option. Consumers naturally tend to either be attracted <\/em>to the most popular brand or repelled<\/em> by it. Stake a claim on the market share that\u2019s looking for something different by pointing out how your product is different and why that makes it better. For example, while Coca-Cola had an unparalleled claim as the old, established cola option, Pepsi positioned itself to be the fresh alternative for the younger generation. <\/p>\n\n\n\n While focusing your message<\/em> is important, so is focusing your product offerings<\/em>. If you concentrate your effort on positioning your product<\/a> as the best (or one of the best) in its category and building a marketing campaign around that product, consumers will know what to expect from your brand. By contrast, if you change your offerings or your strategy, your customers won\u2019t know what to expect\u2014and they\u2019ll turn to a more familiar alternative. Use the following laws to maintain your consistency. <\/p>\n\n\n\n Over time, as the number of companies in a market shrinks, the category tends to divide into more specific categories\u2014for example, what was once a single \u201ccomputer\u201d category eventually divided into mainframes, minicomputers, personal computers, laptops, and notebooks. If a market leader wants to enter one of these emerging categories, it needs a new brand name for that category. <\/strong>Customers have come to associate the existing brand name with a specific attribute (Law #5), so the company needs a different brand name to link to an appropriate word for the new category. <\/p>\n\n\n\n Like many things in life, when it comes to marketing, the short-term effects of an action can be the opposite of the long-term effects. Smart marketers must resist being swayed by short-term benefits and diligently consider the long-term effects of their actions.<\/strong> For example, Miller High Life had seen its sales grow significantly each year until it introduced Miller Lite. Five years after launching Miller Lite, sales for Miller High Life had nearly tripled\u2014but then sales steadily declined for the following 13 years, falling below where they\u2019d been before launching the light beer.<\/p>\n\n\n\n When you have a successful product in one category, resist the temptation to launch additional products in other categories under the same brand name. This is called line extension<\/a>, and while it seems like a logical way to extend the success you\u2019ve already built, it actually confuses customers and weakens your brand strength. The credibility you build in one market doesn\u2019t necessarily transfer to other product categories.<\/strong> If you try to be everything to everyone, you\u2019ll end up being nothing to anyone. For example, when 7-Up created new flavors and diet versions of the drink, its market share more than halved from 5.7 percent to 2.5 percent. <\/p>\n\n\n\n As many of these laws illustrate, it takes discipline and sacrifice to run a successful marketing campaign. Specifically, there are three areas where it\u2019s essential to sacrifice certain products, messages, and ideas in order to maintain a narrow, targeted focus:<\/p>\n\n\n\n Aside from the details of your marketing campaign\u2014such as your word and your primary message to consumers\u2014be strategic with your overarching tone and approach. Use these 3 immutable laws to consider the big picture of your marketing plan. <\/p>\n\n\n\n When competing brands and consumers call out something negative about your product, acknowledge it and turn it into a positive. If you try to deny the negative\u2014especially when it\u2019s a widely acknowledged fact\u2014you\u2019ll lose credibility. The challenge is to find a way to show that the negative attribute implies other positive attributes.<\/strong> For example, Scope mouthwash claimed \u201cgood-tasting\u201d as an attribute because it was common knowledge that its competitor, Listerine, had an awful taste. In response, Listerine embraced the negative with the tagline, \u201cThe taste you hate twice a day.\u201d This implied that the product\u2019s terrible taste must mean it\u2019s a powerful germ killer, and it encouraged customers to use the product despite its taste because it was good for them. <\/p>\n\n\n\n In marketing, the only way to make headway against your competitors is to focus on finding opportunities to make a bold move that makes a big impression.<\/strong> Your competitor may have just one weak spot, and you should direct all of your energy toward exploiting it. Such opportunities may be few and far between, but when you find them, capitalize on them. This means that your company\u2019s top managers need to be on the front lines, aware of what\u2019s happening in the marketplace, and intricately involved in the marketing process so that they can be ready to seize opportunities when they arise.<\/p>\n\n\n\n Marketing plans are often based on some assumptions about the future, but there\u2019s an inherent risk of these plans backfiring if competitors do something unexpected, such as introducing a disruptive innovation. No matter how closely you watch the market and how thoroughly you study market research, there\u2019s no way to accurately predict the future<\/a> unless you\u2019re also writing your competitor\u2019s plans. Instead, come up with a short-term <\/strong>plan<\/em><\/strong>\u2014a shorter scope requires less forecasting and fewer chances of disruption from unpredictability\u2014accompanied by a long-term <\/strong>direction<\/em><\/strong> to guide your future plans<\/a><\/strong>: <\/p>\n\n\n\n While the laws we\u2019ve discussed so far will help you craft your overall marketing plan and message<\/a>, these final laws address more general advice about how to approach your business. <\/p>\n\n\n\n No matter how brilliant your idea is, you need money in order to successfully market it. Marketing is about getting your product or service into the minds of consumers, and you need money not only to <\/strong>reach <\/em><\/strong>them in the first place but also to <\/strong>stay <\/em><\/strong>in their minds. <\/strong>Marketing is a constant\u2014and expensive\u2014battle. Even household names like Procter & Gamble and General Motors spend billions each year to stay in consumers\u2019 minds. <\/p>\n\n\n\n Failure is inevitable. To be successful in business means to expect and embrace failure<\/a>. <\/strong>If you embrace failure:<\/p>\n\n\n\n When the media creates a lot of hype about a company or a new product, it\u2019s usually a poor predictor of success. When companies are doing well, they don\u2019t need to manufacture excitement because it exists organically. <\/strong>By contrast, when companies are struggling\u2014or when they\u2019re taking a chance on an iffy new product\u2014that\u2019s typically when they start holding press conferences and reaching out to media outlets. If a competing brand is getting a lot of media hype, don\u2019t base your decisions on the assumption that your competitor is on the rise. <\/p>\n\n\n\n It\u2019s critical to know the difference between fads and trends, because fads can hurt your business while trends can create long-term success: <\/p>\n\n\n\nThe 22 Immutable Laws of Marketing<\/em>: Organized<\/h2>\n\n\n\n
Convince Consumers That You\u2019re the Only Viable Option<\/strong><\/h3>\n\n\n\n
Law #1: Be the First in Your Field<\/strong><\/h4>\n\n\n\n
Law #2: If You Can\u2019t Be First, Create a New Category<\/strong><\/h4>\n\n\n\n
Law #3: Be the First Brand in Consumers\u2019 Minds<\/strong><\/h4>\n\n\n\n
Law #4: Perception Trumps Fact<\/strong><\/h4>\n\n\n\n
Focus Your Message<\/strong><\/h3>\n\n\n\n
Law #5: Pick One Word to Define Your Brand<\/strong><\/h4>\n\n\n\n
Law #6: Don\u2019t Use Another Brand\u2019s Word<\/strong><\/h4>\n\n\n\n
Law #7: Choose a Highly Valued Attribute <\/strong><\/h4>\n\n\n\n
Leverage Your Market Position<\/strong><\/h3>\n\n\n\n
Law #8: Use a Message That Reflects Your Market Position<\/strong><\/h4>\n\n\n\n
Law #9: Every Market Becomes a Two-Rung Ladder<\/strong><\/h4>\n\n\n\n
Law #10: If You Can\u2019t Be the Market Leader, Be the Opposite<\/strong><\/h4>\n\n\n\n
Be Consistent <\/strong><\/h3>\n\n\n\n
Law #11: Use a Different Brand Name for Each Category<\/strong><\/h4>\n\n\n\n
Law #12: Consider the Long Term<\/strong><\/h4>\n\n\n\n
Law #13: Don\u2019t Extend Your Brand to Other Categories<\/strong><\/h4>\n\n\n\n
Law #14: Sacrifice for Success<\/strong><\/h4>\n\n\n\n
Be Strategic About Your Overall Marketing Plan <\/strong><\/h3>\n\n\n\n
Law #15: Turn Your Negatives Into Positives<\/strong><\/h4>\n\n\n\n
Law #16: Focus on Big, Bold Moves<\/strong><\/h4>\n\n\n\n
Law #17: Plan for Unpredictability<\/strong><\/h4>\n\n\n\n
Get on Top and Stay There<\/strong><\/h3>\n\n\n\n
Law #18: Don\u2019t Underestimate the Need for Funding<\/strong><\/h4>\n\n\n\n
Law #19: Embrace Failure<\/strong><\/h4>\n\n\n\n
Law #20: Don\u2019t Believe Hype<\/strong><\/h4>\n\n\n\n
Law #21: Follow Trends, Not Fads<\/strong><\/h4>\n\n\n\n