FEATURE STORY
We recently had the chance to speak with Jim Estill , CEO of Danby Appliances , to discuss marketing and business strategies that he believes are vital to achieving business success . Jim is an engineer by education . While in his final year at university , he started a company , EMJ Data Systems Ltd . ( EMJ ). Jim wanted to design software and circuit boards , but first he needed a computer . The salesperson said Jim would get a better deal if he bought two . So Jim bought two and sold one . Then he bought another two . Then he bought some printers and some monitors , then some software , and soon he became a computer distributor .
This experience taught Jim one thing — that he is much better at sales and marketing than design . Jim has brought this experience with him to Danby Appliances , which sells over two million appliances annually .
WHAT IS ONE OF THE MOST IMPORTANT MARKETING APPROACHES SMALL BUSINESSES SHOULD BE TAKING ? Guerilla marketing . I love marketing and branding and have studied it extensively . I started EMJ from the trunk of my car and managed to make this company a $ 2 billion operation . I achieved this through what I call guerilla marketing and have brought these same tactics to each company I have ever been a part of .
Guerilla marketing is important to every small business . In the early years , we made our living as guerillas , i . e ., freedom fighters . By “ guerilla ,” I mean we fight for business against big gorillas in the field . If you are in a business where some of your competitors are much larger , you may be able to benefit from using guerilla marketing tactics . The principles of running a guerilla organization differ from running a gorilla organization . As a guerilla , we hide from our competitor ; we do not try to crush them . I even go so far as to examine what they do well and let them do it . At the same time , I look for underserviced markets and get to these markets fast .
At Danby Appliances , we use guerilla marketing and business tactics every day . When we look at the big picture , we see Danby Appliances as a relatively small appliance company , despite being in the appliance industry for over 65 years . A fair chunk of Danby Appliances ’ success can be attributed to the guerilla marketing tactics we use .
Here are my favourite guerilla tactics :
• Act fast : The size of your company can be used to your advantage when your company is smaller than your competitors as there are fewer channels that need to be crossed . Smaller companies can act lightning fast . In the appliance and technology business , this is a huge asset . Things change so rapidly that moving fast and being first to market is a huge advantage . Larger companies do not react quickly . Develop a reputation for being first — it gets the attention of customers .
• Welcome smaller opportunities : Gorillas tend to say “ no ” to manufacturers who they think can ’ t satisfy their volume needs . But a small opportunity rejected by a gorilla can be a very profitable opportunity for a guerilla . For Danby Appliances , a $ 1 million –$ 5 million product line is an opportunity big enough to get our attention . In your business , look for the right-sized opportunity for you . Frequently , it is the smaller opportunity that has the most promise . The gorillas will leave you alone . There is always a right-sized opportunity for a company of any size . Knowing your rightful place in the market can help you to thrive .
• Get focused : Higher focus means you know more , stock more , and sell more products . The smaller your product line , the more powerful your company becomes . Danby Appliances knows a lot about a little . That means we know the products we sell better than a gorilla does , and we become a sales tool for the reseller , not just an order-taker . Could you become more focused and specialized in a business area by giving up on a part of your business ? Danby Appliances knows compact appliances and , therefore , is one of the leaders of the industry . If Danby Appliances suddenly decided it wanted to jump into the auto parts industry , our focus would shift and our appliance sales would likely suffer as a result .
• Be more flexible : We can adapt more easily to our customers and suppliers . We try not to be ruled by policy . The bigger a company gets , the more likely it is to have policy restrictions in place . A smaller company can be more flexible . Because Danby Appliances is a smaller company , we can look at each product warranty claim on a
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