Daymond John has launched a lot of products over the years, both as one of the founders of urban fashion line FUBU, and an investor on Shark Tank.
We sat down with him to learn some of his most effective strategies for marketing a new product.
In this TGIM short, you'll...
- Learn how to establish a brand by discovering what sets you apart
- Discover what you need to create a strong following on social media
- Find out why influencers should play a key role in your marketing plan
Check out the full short below:
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Daymond John: "Whether it's social media or whether it's hand to hand or whether it's on the telephone, you have to create a following. Why are people going to buy your product? What separates you from everybody else? Is it a price that separates it, is it the quality, is it the scarcity, is it just the fact that a certain demographic wears it? You have to go out there and promote it."
"Let's talk about prior to social media being around, what are key ways to promote your product? You can go out there and you can maybe get a kiosk and go hand to hand and talk to individuals that are walking through the mall and try to get them to buy your product. You can print fliers if you want to. You can also just basically walk the streets and go to stores and try to put it in there for consignment and see if people will pick up the product. It doesn't cost anything to the store because it's consignment, it also puts your stuff probably in the front end of the store and you get to see if you have a real concept."
"If you have social media you can of course go out there and promote as well. Often I find that people need to create a following, so do you have a blog or a certain position or do you make funny videos, do you go into chat rooms and/or drum up information so people start to follow your outlook on things? They don't necessarily want to buy the product but they want to buy into your time of what you're talking about. You could be an we're talking about raising kids, you can be talking about how to care for animals, how to construct furniture, or even make clothes."
"What you want to do then is once you have established your brand and you know who your core customer is then maybe you want to go out to people who maybe they write blogs or somebody who is a critic. These are influencers and what the influencers are doing is they’re lending you their demographic, they’re lending you their markets. There may be a female out there that is really great with working out and she has all of the best ab exercises in the world and you happen to have something that is an energy drink or something that helps you shred weight or whatever the case is. If you get her to promote your product, it could be an affiliate marketing or you give her a small percentage of things that are sold or maybe you are somebody who gives back to battered women shelters and she believes in the product, she’ll go and be an influencer and wave the flag, an ambassador."
"When I first went over to LL Cool J and got him to wear my product, he didn’t just cold wear it because he never heard of it, I had already started dressing the more fashionable people in Hollis, Queens so even though they were at a much smaller level, LL respected them because of the respect of their ability to dress."
"You’re looking on Facebook and you’re trying to target a certain demographic, you realize that every time you spend $500 you get 10 orders and you product is $500. All of a sudden you can basically look at your numbers and say that every 500 I spend, I bring in $5000 and that’s of course for acquisition. Each person basically is costing me around $50 for acquisition. You can do that advertising whether it’s on Facebook or whether it’s taking out a billboard or things of that nature or taking out 10 different ads in a newspaper and having 10 different numbers to call in. Every single ad has different copy, a different couple of words and you notice that 7 people responded to ad number 1, 9 people responded to ad number 2, 3 to ad number 3 and 100 to ad number 4 then you go out and you replicate that ad in various different papers."
"Of course you can always, when you acquire these type of people who have a level of interest, you can send out samples for them to test and then hopefully they will convert into ambassadors."
About TGIM: TGIM is a podcast for people who can’t wait for the week to start. In each episode we’ll be bringing you inspirational stories about entrepreneurs who have overcome obstacles, built incredible businesses, and are now living the life they want.