Week 5 update

It's week 5, and it was a rough one for me.  I'm being faced with the possibility of losing my job, and we are in the process of closing on a home.  I know, great combination right!  This might just be the catalyst I need to launch my own startup; who knows, this could be a good thing!  Ok, enough about me.  This week I learned a ton about marketing.

One of the most important things we can do in marketing is first obtain the customer, but then hold on to them.  It's said that it costs five times more to acquire a new customer than it does to keep one.  Having a loyal customer base will be one of the most important things in business because it is more of a reliable source of sales/income.

Building a loyal customer base requires relationship marketing.  It is similar to building a long term relationship.  First you get them interested.  You do this by branding towards your target market and standing out from the competition.  Once you acquire a customer you can build on the relationship by getting to know them better and by building a relationship of trust.  You can get to know them by finding more about what they are looking for, and what is important to them.  This could be as simple as friendly service, or something unique like knowing specifically what they want how they want it and by whom.  It all depends on the customer.  You build a relationship of trust by consistently meeting their needs.  As you do this they will feel more comfortable with your business, and will be loyal to the customer business relationship.  They will be more willing to spend more simply because they trust and enjoy your business.

$100 Challenge Update

This week I made $42 in advertising fees after releasing "Light Box Photo Studio."  It's a how-to instructable showing you how to make a small photo studio for less then $20.  It contains only three affiliate links, but seems to be doing alright.  It has already earned more than 200% the cost of the project.  I'm sure it will flatline, but it will continue to produce results even if it is small.  That's the joy of affiliate marketing.  If you can create rich content, it will work for you 24/7 with only a small amount of effort.  So far I'm really enjoying it.

With the money I'm going to use some of that to fund other projects.  March will be a big month for production and milking the cow as everything I bring in after a certain point will go towards my KIVA recipient.