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How Vonage Phone Service Won The War
By Jonathan Baldwin
Vonage is the epitome of what works with marketing. In the rather mysterious marketing world, where often myth precedes truth, or rumors persist of magical marketing techniques that can launch a company into greatness: Vonage has shown that the core values of marketing are no different than war.

In war, as Erwin Rommel said, victory goes to the side that is the first to plaster its opponent with fire. In the same way, whoever bombards the consumer with their brand name, will achieve recognition and notoriety first. Once achieved, consumers are less and less likely to recognize new brand names. Vonage pulled out every last dollar from their investors, even going into massive debt to market their product day-in and day-out to make sure they were the first VoIP provider in every customer’s mind.

Whether it’s the lucrative spot on ESPN’s world cup coverage, or the infomercials at night, Vonage is taking every opportunity to market their product. As I speak, you could most certainly bet there is a television ad going off for Vonage somewhere in North America, or thousands of people beholding Vonage images on their computer screens.

The irony is their success has been bittersweet. Perhaps Vonage is a good example of how mere brute force marketing can work too well! They have spent an amazing 90% of their revenue on marketing. I wouldn’t recommend such an extreme devotion of company resources, though perhaps Jeffrey Citron hoped to walk away with a hyped up IPO like in the days before the bubble pop. At any rate, Vonage definitely over exhausted their revenue and like soldiers

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