A hunger marketing strategy is simple to operate. The business brings products to market with an attractive price to lure potential customers then restricts the supply, resulting in an imaginary shortage that can raise prices and therefore generate higher profits.
“Branding” is a factor that runs through the whole hunger marketing operation and the strategy must rely on a strong brand appeal. The ultimate effect of hunger marketing is not just to raise prices, but also to create higher added value for the brand, in order to establish a high-value brand image.
The best example of a “hunger marketing” strategy in action is probably Apple. When they launched new versions of iPhones and iPads, the devices offered innovation, great design and the latest technology to a trendy, fashion-conscious audience. Apple “was not able” to provide enough supply for the market which made customers want their latest devices even more.
Good products need the recognition and acceptance of consumers. The campaign must tap into the emotional side of the customer relationship. Returning to the Apple example, consumers enjoy the perceived benefit of increased social status if they have the latest device.
Creating the Right Campaign
Hunger marketing campaigns are designed to tap into customer’s desires. Depending on the size of your brand and your marketing budget, your campaign should illustrate benefits that your customers aspire to possess. This is where knowing your customer comes in. You need to understand your customer before you can create a campaign that will appeal to them. Market research is key – ask customers what they want from products / services like yours and what brands they aspire to purchase and create your campaign accordingly.
Consider the Market
The activity of competitors in the market can affect the impact of your campaign. As such, it is important to monitor your competitors’ marketing strategies in order to ensure that you can distance your brand from the competition. Focus on delivering services or products with unique selling points (USPs) and then focus on those USPs in your marketing campaigns. Remember to sell the benefits of the product or service rather than selling the product or service itself.
June 23rd, 2014