The 22 Immutable Laws of Marketing

By Al Ries and Jack Trout

Definitions
Immutable (adjective) Unchanging or unable to change. Law (noun) A rule which cannot or should not be broken.

. The Law of Leadership

Its better to be first than it is to be better. The basic issue in marketing is creating a category you can be first in. E.g., most people know who flew across the Atlantic first, but not second. Sometimes called: The First Mover Advantage

The Law of Category

If you cant be first in a category, set up a new category you can be first in. E.g., most people dont know who flew across the Atlantic third, but they know who the first woman to do that was. Lexus was the first Japanese luxury car

. The Law of the Mind

Its better to be first in the mind than to be first in the marketplace. E.g., Altair 8800 was the first PC, but Apple got first in the mind. IBM was the first software vendor, but now we associate software with

The Law of Perception

Marketing is not a battle of products; it is a battle of perceptions. Is Honda better than Toyota? Is Toyota better than Honda? Which would you rather have? Why?

The Law of Focus

The most powerful concept in marketing is owning a word in the prospects mind. Or when the brand become synonymous with the category E.g., Xerox this, FedEx that, and get me some Kleenex. New ones: iPod & Blackberry

The Law of Exclusivity

Two companies cannot own the same word in the prospects mind. What companies do you think of when I say operating system or mustard or frozen pizza?

The Law of the Ladder

What strategy to use depends on which rung you occupy on the ladder. E.g., Avis is 2nd we try harder. Hardees is third or forth, and they try even harderand trying to find an unoccupied rung Being closer to the top usually leads to risk aversion

The Law of Duality

In the long run, every market becomes a two horse race. E.g., Coke v Pepsi, Kodak v Fuji, McDonalds and Burger King. Dell v HP/Compaq

The Law of the Opposite

If youre shooting for second place, your strategy is determined by the leader. E.g., Coke is an old soft drink, so Pepsi went successfully for the choice of a new generation.

The Law of Division

Over time, a category will divide and become two or more categories. e.g., computers, automobiles, coffee

The Law of Perspective

Marketing effects take place over an extended period of time. Dont expect results to be instantaneous A successful campaign can resonate for years

The Law of Line Extension

There is an irresistible pressure to extend the equity of the brand. Coming soon: Arm and Hammer Cat Food

The Law of Sacrifice

You have to give up something in order to get something. E.g., FedEx sacrificed other air freight options for small packages overnight, and owned the word overnight. For years Honda focused all its efforts on the Civic (cvcc) and dominated the subcompact market

The Law of Attributes

For every attribute, there is an opposite, effective attribute. E.g., Crest toothpaste fights cavities, but Close Up freshens breath. PC is synonymous with business computing, Apple = creativity

The Law of Candour

When you admit a negative, the prospect will give you a positive. E.g., the 1970 VW will stay ugly longer implies reliability not good looks. Prospects know what the truth is, and they reward honesty UPSs brown trucks are ugly, but we love the truck

The Law of Singularity

In each situation, only one move will produce substantial results. In a military sense, this is called the line of least expectation. Choose the move where you expect the least chance of surprises. E.g., the Allied invasion of Normandy.

The Law of Unpredictability

Unless you write your competitors plans, you cant predict the future. It is best to be flexible and ready to react to changes in the market.

The Law of Success

Success often leads to arrogance, and arrogance to failure. GM was successful into the 70s but continued to lose share thru the 90s, and all that time they assumed they knew what consumers wanted In 1985 IBM assumed they owned the PC market

The Law of Failure

Failure is to be expected and accepted. Ford almost lost the company on the Edsel in the 50s Radio Shack and Apple marketed some disappointing computers in the 80s

The Law of Hype

The situation is often the opposite of the way it appears in the press. When Ford was successful, the company said very little. Now it throws a lot of press conferences. What do you think when a car dealer says, We have the best prices in town.

The Law of Acceleration

Successful programs are not built on fads; theyre built on trends. Ninja Turtles could have been the next Barbie dolls if the market hadnt been flooded, and if the makers had tried to turn the fad into a trend.

The Law of Resources

Without adequate funding an idea wont get off the ground. Regardless of how good a product is, the only product that sells is the one the consumer is aware of.