Decoding Advertising Buzzwords: Low-Risk, High-Yield
The best marketing strategy is the one that will get you the results you need, and quickly. Sometimes, the best way to achieve those results is to target the audience that you already know will be most receptive to you. Not only does this maximize your potential return on investment, it increases efficiency.
This group is what we like to refer to as “low-risk, high-yield”.
They’re easy to attract, easy to hook, and easy to secure for return business.
What exactly this customer looks like depends on your business. Customers who have already interacted with your company are generally the easiest targets, because they’re already familiar with you on a certain level. Of course, their experience has to have been a positive one.
Other groups that we look to target as low-risk, high-yield are people who might have a reason to come across either your physical store or your online profiles on a regular basis.
Here’s a personal example.
I pass the brewery next door to our office every day on my way into work. They’re not necessarily my favorite brewery in the neighborhood, and I’m not brand-loyal by any means, but they are constantly at the top of my mind simply because I encounter their brand every day.
The same can be said for online advertisements. Because I do a lot of marketing research and advertising-related Google searches at work, I am constantly bombarded with ads for WordPress. Most likely, the algorithms at work have recognized that the services WordPress offers services that would be useful to me, or at least some of the clients I service as part of my job.
Neither of these companies have to do a ton of extra leg work to garner my attention.
In other words, I’m the perfect definition of low-risk, high-yield.
Of course, there are little things they could to help.
Identifying what triggers your audience to make a purchasing decision is important for any marketing effort. If the brewery next door advertised a happy hour that started right as I was getting off work, I’d be more likely to stop in. If WordPress advertised a steep price decline on a premium subscription, I’d consider it.
At the end of the day, though, neither of these companies has to offer those extra incentives to remain relevant in my mind.
Sure, potential customers that qualify as “low-risk, high-yield” might not be your most brand-loyal, die hard fans.
They could be your next sale though, so don’t forget about them.