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How brands grow, by Byron Sharp

Do you know that a number of fundamental marketing rules are simply wrong?

Read it for….

Challenging what you know. This book claims that a number of fundamental marketing rules are simply wrong. Even worse, it goes on to prove it.
The method: meticulous analysis of data built up over 10 years, relating to purchases and brands, across a wide range of sectors. The result: 10 (new) fundamental marketing rules.

What it explains in detail

One of the ideas that most deeply challenges classic marketing is the demonstration that growth is more reliant on a company’s ability to gain new customers (however infrequently they spend with the company), than on endless targeting of existing customers. This rule is supported by two observations:

  • Only 60% of sales come from 20% of the largest customers: the « 20/80 » Pareto rule should therefore be amended
  • In the medium term, loyal customers invariably end up reducing the frequency of their purchases of their favorite brand: there is therefore always a saturation effect.

What we particularly liked

Some teachings in this book are explosive. It forcefully argues for a sceptical position vis-à-vis supposedly set rules. It invites the reader to demand empirical demonstration, with figures, over beliefs. A true Copernican revolution!



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