Of couse every brand purchase and moment of usage refreshes and deepens that brand’s mental market share. And marketing communications too is able to do that, amongst buyers and non buyers. That is how new purchase behaviour grows.
So why is it so important to campaign for mental market share? There are three dynamics:
- Existing customers need affirmation and refreshing of memory structures; if you don’t, probably more customers will leave (for their own particular reasons);
- You need to find new customers to maintain market share; depending on the market (decrease / increase) at least the number of lost customers;
- If you want to grow you will need to get more new customers than you loose to buy your brand in the same period.
Not very easy to remember. However, there is the classic marketing metaphor of the Leaky Bucket. Imagine your client base as a bucket filled with water.
- But it is not entirely whole, water is leaking out of it. Compare that with clients who are leaving your brand. The difference is that your clients leave you not entirely by your ‘wrong doing’ or your competitors efforts but mostly because of reasons of their own (i.e. changes in life, preference, taste). To diminish the leaking it helps to refresh memory structures and that is exactly what campaigns contribute to.
- Still clients are leaving, so we have to compensate and fill the bucket with fresh water. So to keep your market share stable at least a certain amount of new clients should be welcomed in that period. Again that is what campaigns contribute to.
- The extra ration of fresh water is the amount of new clients on top of that. That number counts for the growth of market share. Also here, campaigns contribute to that.
So in the metaphor of the leaky bucket, campaigning is the way to turn on the tap and let the water flow. And as with water, for many brands the costs are way lower than the returns in revenue and profit. Cheers.