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The Secret to Highly Effective Marketing


The_Secret_to_Highly_Effective_Marketing_Header-V2Let me go right out and tell you the secret to highly effective marketing: it is to focus on and improve your “conversion rates” in each area of your marketing.

In this article, I’ll discuss 4 key conversion points, how a 20% increase to each will give you exponential results, and specific tactics to achieve such results.

The_Secret_to_Highly_Effective_Marketing_20-Improvements-V2What 20% Improvements Do To Overall Results

Let me start with an example.

Let’s say your competitor runs an advertisement that reaches 10,000 target customers and gets these results.

  • 1 percent response rate (response rate means that prospective customer visited competitor’s website, went into their store, called them, etc.)
  • 35 percent conversion rate (conversion rate means the responding customer then purchases)
  • $500 price per widget (widget being the item sold by your competitor)
  • 1.5 widgets per buyer (average buyer purchases 1.5 widgets in initial order)
  • 30 percent profit margin
  • 10 percent repurchase rate (10% of customers buy from your competitor again)

Assuming the ad reached 10,000 target customers, your competitor’s gross profit from the ad would have been $8,662.50 (minus the cost of the ad).

Now let’s assume that your company did a 20 percent better job on each of these factors. Your results would be as follows:

  • 1.2 percent response rate
  • 42 percent conversion rate
  • $500 price per widget
  • 1.8 widgets per buyer
  • 36 percent profit margin
  • 12 percent repurchase rate

Now let’s look at the results.

If your ad reached the same 10,000 target customers, your gross profit would be $19,596.

That’s 2.3 times greater than your competitor’s.

Now, what would happen if you generated 2.3 times greater profits than your competitors every time you ran an ad?

The answer is that you would absolutely dominate them.

Now, the key marketing secret that I’m sharing with you here is that you don’t have to revolutionize your marketing system. Rather, small, 20% improvements in each part of your system lead to revolutionary results.

So, here are some ways in which you can improve each part of your marketing system.

The_Secret_to_Highly_Effective_Marketing_Response-RateResponse Rate

The more you know about your customers’ wants and needs, the more easily you can design advertisements that appeal to them.

And the more you know about them, the better you could craft a unique selling proposition (USP) to attract them.

For example, if you are a local hardware company and you know your typical buyer is a busy male with a wife, kids, and dog, you could easily craft ads with a higher response rate.

You could also boost response rates by developing better offers that attract customers, such as an offer for a 90-day money-back guarantee.

The_Secret_to_Highly_Effective_Marketing_Conversion_RateConversion Rate

Remember, conversion rates are the percentage of prospective customers that you converted into actual customers.

A few ways you could increase conversion rates include having a better process in place for training your staff and sales team, providing better employee incentives (e.g., commissions or bonuses for closing sales), or by developing and testing sales scripts that boost results.

The_Secret_to_Highly_Effective_Marketing_Widgets-per-BuyerNumber of Widgets Per Buyer

To increase the number of units purchased per transaction (including purchasing more widgets or related items), you can rely on similar tactics to increasing conversion rates such as better hiring, training, sales scripts and so on.

McDonalds doubled its profits when it started asking “would you like fries with that?” and increased them again when it starting asking “would you like to supersize that?”

The_Secret_to_Highly_Effective_Marketing_Profit_MarginsProfit Margins

Better systematizing your business and implementing the right processes and procedures will allow you to generate higher profits per sale than your competitors.

For instance, documenting standard operating procedures so tasks are done the same way by all employees generally decreases costs and thus increases profit.s

The_Secret_to_Highly_Effective_Marketing_Repurchase-RateRepurchase Rate

Finally, to increase repurchase rates, do a better job of communicating with your clients and showing them how special they are. For example, send them emails, call them, or send them letters in the mail to educate them and remind them that you have products and services that can help them.


In most cases, to dramatically increase sales and profits, there’s no need to dramatically revamp your marketing efforts.

Rather, just getting 20% better in each core area will do the trick!

The Secret to Highly Effective Marketing Infographic

Below is an infographic of this article for quick reference.



Recommended Slideshare

While I strongly recommend the 20% improvement approach to increasing your marketing effectiveness, if you’re looking for inspiration to create a world-class marketing campaign, we put together the slide presentation below showing “The Greatest Marketing Campaigns of All Time.”