the Rifle vs. Shotgun Marketing® that combines industry segment growth rates and gross margin for each segment. This is to help determine the highest value segments to concentrate on with a marketing program.
What if your industry’s growth rate is 2% per year but your financial projections show a 20% growth rate? Where do you get the 18% growth from? (20% projected growth vs. 2% industry growth). It must come from the competitor’s market share. It is very expensive to take market share from competitors.
This concept is the Rifle vs. Shotgun marketing® that combines industry segment growth rates and gross margin for each segment to help determine the highest value segments to concentrate on with a marketing program. Examine your product lines, market segments and find the segment(s) that have the highest growth rate. Then times that by the gross margin. Make a list of the combined scores from highest to lowest. The highest value segment has the highest potential company financial return. Focus the marketing and promotion efforts and expenses in that area. This will give the greatest return on the investment and higher value probability.
