Marketing budgets come in many sizes. Having a "small" budget, doesn't preclude you from being successful.
The Globe and Mail recently ran an article about a new company called Cenabal Gourmet Organics. In this piece, the article commented: "Standing in the way of her spreading the word is a modest marketing budget of $25,000 a year. Says Ms. MacDonald: 'I need advice on effective ways to create buzz around a product, without a lot of money.' "
For some small companies, that isn't a modest budget at all. It really comes down to making the most of the money you do have. And that doesn't mean cheaping out on your marketing endeavours either.
For Cenabal, an "expert" recommended that she modify the label - and if she can't afford to do that then she should create a small booklet that ties around the neck of the bottle. A much less expensive way to go would be to create a shelf-talker. This piece of cardstock can draw the consumer's eye to your product and inform them at the same time. And yes, you'd need a designer for it to be professional, but as an alternative to a booklet around the neck of the bottle, infinitely less expensive and potentially more effective as the booklet still relies on the consumer picking up the bottle to be informed.
The most expensive part of a small company's marketing budget should be the time put into knowing you have the right answer to reach your audience and make every penny count. And that doesn't mean finding the cheapest printer or designer. It means developing tactics that give you great returns, even if they cost a little bit more.
For example: It will cost you $50 to be a minor sponsor at a charity event. You get your logo on their website and a mention in the program. Value? You also have the opportunity to spend $100 partnering with a related business on a one-colour insert in your local Chamber of Commerce newsletter. If your budget is tight, which would you choose?
The insert costs twice as much, potentially four times as much once you get the writer and designer involved. What you would discover however is minor sponsors of charitable events rarely get any business from only a logo on the website and a mention in the program. So $50 out the window. (But keep in mind that it is important to be a good corporate citizen and do your part, either with the $50 knowing it isn't going to get you any business or volunteer your time)
With the insert, you are reaching hundreds of potential customers and could easily wind up with 10 or 12 new customers. So it cost you four times as much and you get 10 times the customers.
Get where I'm going with this? Don't pick the cheapest thing just because it's the cheapest. Always have your return-on-investment (ROI) in the front of your mind when you build your plans and pick the tactics that will get results, even if they cost more than the alternative.
Friday, August 22, 2008
Tuesday, August 12, 2008
Value statements - Your business in one sentence or less
Looking at my blog site statistics, I discovered the most popular piece was about taglines and their value. That being the case, I thought it a good idea to revisit the concept and expand a little.
It's surprising how many companies have trouble describing themselves in a succinct manner. It is such a challenge that TechAlliance in London, Ontario held a 60-second Pitch competition. Folks had to stand up and "sell" their business to the crowd in 60-seconds or less. So if 60-seconds is a challenge, 30-seconds would be even more difficult. And one sentence? Well, can it really be done?
I like to encourage clients to develop a "value statement" for their business. This could be part of the mission/vision statement process, or can be developed a bit later in the game.
One important thing to note: Your mission and vision statements are there for your internal audience, not for your external customers. Your mission and vision should inspire your staff to reach those goals. Mission and vision statements are not value statements, nor are they taglines.
Your value statement speaks to what you bring to the customer that is different than anyone else in your field. If you are selling based on best price, then that should be in your value statement. (I never recommend selling based on best price. People who purchased because you have the best price will move on pretty quick when they find another best price. You need loyal customers, not ones who only buy because you are the cheapest.)
Tepperman's has an excellent value statement - "Family to family, that's the difference!" Their tagline is another thing altogether - "We fit the lifestyle of your home". The Tepperman family has been selling to other families for decades. And families appreciate that they know what buying for a family feels like.
Unless you have just invented a brand new widget and have no competition, figuring out your value statement can set you above your competition. Is your value that you have loads of experience? Is it your location? Is it your training program? Or is it that you go the extra mile for customer satisfaction? These are just a few examples of things that can represent a value statement.
To develop a value statement, you need to listen to your customers. What is it they value about your business? If you ask enough customers, you'll start to see at least one attribute repeated over and over. This is probably where your value statement is hidden. Once you know that value, it is imperative you always live up to it. Nobody gets to have a bad day when delivering on your value statement.
Can your value statement also be your tagline? Maybe. There's certainly merit in the concept. And at the very least, it is the perfect place to start when developing your tagline.
It's surprising how many companies have trouble describing themselves in a succinct manner. It is such a challenge that TechAlliance in London, Ontario held a 60-second Pitch competition. Folks had to stand up and "sell" their business to the crowd in 60-seconds or less. So if 60-seconds is a challenge, 30-seconds would be even more difficult. And one sentence? Well, can it really be done?
I like to encourage clients to develop a "value statement" for their business. This could be part of the mission/vision statement process, or can be developed a bit later in the game.
One important thing to note: Your mission and vision statements are there for your internal audience, not for your external customers. Your mission and vision should inspire your staff to reach those goals. Mission and vision statements are not value statements, nor are they taglines.
Your value statement speaks to what you bring to the customer that is different than anyone else in your field. If you are selling based on best price, then that should be in your value statement. (I never recommend selling based on best price. People who purchased because you have the best price will move on pretty quick when they find another best price. You need loyal customers, not ones who only buy because you are the cheapest.)
Tepperman's has an excellent value statement - "Family to family, that's the difference!" Their tagline is another thing altogether - "We fit the lifestyle of your home". The Tepperman family has been selling to other families for decades. And families appreciate that they know what buying for a family feels like.
Unless you have just invented a brand new widget and have no competition, figuring out your value statement can set you above your competition. Is your value that you have loads of experience? Is it your location? Is it your training program? Or is it that you go the extra mile for customer satisfaction? These are just a few examples of things that can represent a value statement.
To develop a value statement, you need to listen to your customers. What is it they value about your business? If you ask enough customers, you'll start to see at least one attribute repeated over and over. This is probably where your value statement is hidden. Once you know that value, it is imperative you always live up to it. Nobody gets to have a bad day when delivering on your value statement.
Can your value statement also be your tagline? Maybe. There's certainly merit in the concept. And at the very least, it is the perfect place to start when developing your tagline.
Wednesday, August 6, 2008
Your website statistics tell all
Are you regularly reviewing your website statistics? You should. Buried in those statistics is the indicator of your website's success (or lack thereof) along with customer information that can help you grow your business.
All credible internet service providers offer statistics of varying degrees. You should be able to discover easily how many people are visiting your website, the pages they look at and what site directed them to you.
What's the value of all this information? At their most basic, website statistics offer you a view of what your customer values in your website. Are they visiting the pages you thought were the most interesting? Are they staying to actually read anything? Is your home page engaging enough for them to spend more than three seconds with you?
One of my clients had me do a press release to announce her new product. The press release got over 2,000 hits. But the client doesn't know if anyone came to her website because she doesn't access her statistics. However, she does know she hasn't sold a single unit even with all the press release exposure.
That many hits to the press release normally would translate into at least 700 visitors to the website. Why hasn't she sold anything? It could be because no one finds value in her product, but more likely it is because her website isn't doing its job. Looking at her statistics would show her how many people are coming to the site, how many potential sales she missed. She'd learn how the readers found her site, which could indicate their other interests. And she'd know which pages had information that interested the reader.
I encourage all of my clients to review their website statistics at least once a month. If the traffic is low, develop a tactic to drive traffic your way. If no one is visiting a page, then consider removing it and using that space for information that is more engaging. If the majority of visits to certain pages are less than three seconds long, consider whether you are presenting the information in an easy to absorb fashion or whether you are navel-gazing.
If you have an e-commerce site and you aren't making sales, you need to ask yourself why that may be. And then adjust your website or product to be what your customer wants.
All credible internet service providers offer statistics of varying degrees. You should be able to discover easily how many people are visiting your website, the pages they look at and what site directed them to you.
What's the value of all this information? At their most basic, website statistics offer you a view of what your customer values in your website. Are they visiting the pages you thought were the most interesting? Are they staying to actually read anything? Is your home page engaging enough for them to spend more than three seconds with you?
One of my clients had me do a press release to announce her new product. The press release got over 2,000 hits. But the client doesn't know if anyone came to her website because she doesn't access her statistics. However, she does know she hasn't sold a single unit even with all the press release exposure.
That many hits to the press release normally would translate into at least 700 visitors to the website. Why hasn't she sold anything? It could be because no one finds value in her product, but more likely it is because her website isn't doing its job. Looking at her statistics would show her how many people are coming to the site, how many potential sales she missed. She'd learn how the readers found her site, which could indicate their other interests. And she'd know which pages had information that interested the reader.
I encourage all of my clients to review their website statistics at least once a month. If the traffic is low, develop a tactic to drive traffic your way. If no one is visiting a page, then consider removing it and using that space for information that is more engaging. If the majority of visits to certain pages are less than three seconds long, consider whether you are presenting the information in an easy to absorb fashion or whether you are navel-gazing.
If you have an e-commerce site and you aren't making sales, you need to ask yourself why that may be. And then adjust your website or product to be what your customer wants.
Friday, July 18, 2008
Be professional or lose business
A week ago, during an interview about how communication styles affect your success with customers on ThatRadio.com, I had the chance to air one of my biggest bug-a-boos - business people who don't take the time to be professional. It isn't an expensive proposition but it can make all the difference in the world in terms of creating a trusted relationship with your customer and in protecting your brand.
The first contact with a customer is often on the telephone. Sometimes it is in person, but regularly, in our age of rush, rush, rush, we find ourselves listening to voicemail rather than a real person. Those voicemails are the gateway to your business. If you can't afford a professional voicemail, then for heaven's sake, take the time to write a script for yourself and make it professional.
Please don't pretend it is your house. It is your business. So, no "Yo, this is George, you know what to do." And if you run a home business, it is even more important to recognize that your customers are calling to find a professional business person. As cute as your three-year-old might be, that is not the voice they want to hear when they call.
Another prevalent non-professional behaviour is the use of yahoo, msn or gmail as your email address. These free email services are used regularly for scam and spam emails. You could find your communication to your client going into their trash bin. Not only is that a risk, but your credibility and stability could be questioned.
At the very least, use the email from your provider. An email extension that says rogers.com, sympatico, etc. is a little bit more credible. At least it shows you have a provider for your business and are not just sitting in an internet cafe somewhere accessing your email.
Best case scenario is obviously to develop and purchase your own business URL. This needn't cost an arm and a leg. There are several sites that offer registration of URLs as low as $20. And there are companies, such as Black Sun, that offer web support of your URL for as low as $10 per month.
Do some research. Ask business associates the name of their service provider and whether they are happy with the deliverables. Even if you are a novice at website and URL management, tapping into your business associates' knowledge and experience can get you on a good path. Or check in with your local small business centre. They often have experience in this area and can guide you.
You don't necessarily need to put up a website just because you have a business URL, but if you do, make sure that your website reflects the credibility, stability and professionalism of your business. Just because your nephew has Front Page, doesn't make him a web designer. Keep it simple, keep it clean. There is rarely any need for animation. Keep in mind you have about three seconds to engage your customer or they move on to someone's else website.
In closing, professionalism doesn't mean you have to become dehumanized. Deliver the personal touch that helps grow your business. And remember all the things that touch your customer reflect on your business and on your brand even your voicemail and email address.
The first contact with a customer is often on the telephone. Sometimes it is in person, but regularly, in our age of rush, rush, rush, we find ourselves listening to voicemail rather than a real person. Those voicemails are the gateway to your business. If you can't afford a professional voicemail, then for heaven's sake, take the time to write a script for yourself and make it professional.
Please don't pretend it is your house. It is your business. So, no "Yo, this is George, you know what to do." And if you run a home business, it is even more important to recognize that your customers are calling to find a professional business person. As cute as your three-year-old might be, that is not the voice they want to hear when they call.
Another prevalent non-professional behaviour is the use of yahoo, msn or gmail as your email address. These free email services are used regularly for scam and spam emails. You could find your communication to your client going into their trash bin. Not only is that a risk, but your credibility and stability could be questioned.
At the very least, use the email from your provider. An email extension that says rogers.com, sympatico, etc. is a little bit more credible. At least it shows you have a provider for your business and are not just sitting in an internet cafe somewhere accessing your email.
Best case scenario is obviously to develop and purchase your own business URL. This needn't cost an arm and a leg. There are several sites that offer registration of URLs as low as $20. And there are companies, such as Black Sun, that offer web support of your URL for as low as $10 per month.
Do some research. Ask business associates the name of their service provider and whether they are happy with the deliverables. Even if you are a novice at website and URL management, tapping into your business associates' knowledge and experience can get you on a good path. Or check in with your local small business centre. They often have experience in this area and can guide you.
You don't necessarily need to put up a website just because you have a business URL, but if you do, make sure that your website reflects the credibility, stability and professionalism of your business. Just because your nephew has Front Page, doesn't make him a web designer. Keep it simple, keep it clean. There is rarely any need for animation. Keep in mind you have about three seconds to engage your customer or they move on to someone's else website.
In closing, professionalism doesn't mean you have to become dehumanized. Deliver the personal touch that helps grow your business. And remember all the things that touch your customer reflect on your business and on your brand even your voicemail and email address.
Thursday, July 10, 2008
Active writing, active reading - get your email message right
Active listening is the cornerstone to good relationships, whether in your family or in business. But active writing and active reading are too often left in the dust of business behaviour.
How many times have you misunderstood an email message or written one that just didn't cut the mustard?
When we compose an email to a colleague or a customer, it is so important to remember you will not be there to interpret the message.
So here's few rules to really keep you on track for active writing and active reading for emails:
1. Resist the urge to use a background. You have no control over how it is going to display on your customer's screen and you could lose a lot of business just because your email is illegible. Backgrounds add no impact to an email, but they can sure make a mess of it. And in many cases, in the business world imbedded images are blocked and can ultimately send your email to the spam bin.
2. Write in an active tone of voice - use present tense wherever possible. It helps get your reader involved in your message. Get involved in your message and your reader will too.
3. People scan! Always remember that your reader is busy and is likely scanning the email to see if it is worth their time. Don't ramble. Get to your point. Put your most important issues at the beginning of the email and close with a call to action. The middle is often material that the eye sees but the brain doesn't absorb.
4. Use bullet points. Because of our tendency to scan, bullet points work better. They are easier on the eye and the brain can absorb them faster.
5. Use plain language. Scanning two syllable, even three syllable words, works but much above that and your reader might get the word wrong and not even know it.
6. Actively read your incoming messages. You will scan; I guarantee it. You scan to make a decision whether to spend time with the message and you scan to absorb the content. Try to slow down and really read all the words. It takes practice, believe me. We all live in a hyper-active world and just to keep up we need to find ways of saving time. Don't make your business associates' or customers' email one of those places. Unless of course you get a lot of silly nonsense from them...then scan. And maybe recommend that they aren't helping people take them seriously and on that note....
7. Don't send junk. Few business associates and few customers want to see pictures of your kids, read joke emails or learn the newest psychic information. Use discretion for goodness' sake. Only send emails when there is important information to share or questions to ask.
8. Give them some face time. Both your customers and your business associates would benefit from you actually speaking to them in person or even over the phone rather than through email so much. We're forgetting the value of personal contact. Get off your butt and build a relationship.
9. And finally.... watch your tone of voice! Cheekiness, quips, sarcasm and innuendo just don't translate safely.
You have one chance to get your message right - damage control for "accidental emails" is too time-consuming and potentially costly to your business.
How many times have you misunderstood an email message or written one that just didn't cut the mustard?
When we compose an email to a colleague or a customer, it is so important to remember you will not be there to interpret the message.
So here's few rules to really keep you on track for active writing and active reading for emails:
1. Resist the urge to use a background. You have no control over how it is going to display on your customer's screen and you could lose a lot of business just because your email is illegible. Backgrounds add no impact to an email, but they can sure make a mess of it. And in many cases, in the business world imbedded images are blocked and can ultimately send your email to the spam bin.
2. Write in an active tone of voice - use present tense wherever possible. It helps get your reader involved in your message. Get involved in your message and your reader will too.
3. People scan! Always remember that your reader is busy and is likely scanning the email to see if it is worth their time. Don't ramble. Get to your point. Put your most important issues at the beginning of the email and close with a call to action. The middle is often material that the eye sees but the brain doesn't absorb.
4. Use bullet points. Because of our tendency to scan, bullet points work better. They are easier on the eye and the brain can absorb them faster.
5. Use plain language. Scanning two syllable, even three syllable words, works but much above that and your reader might get the word wrong and not even know it.
6. Actively read your incoming messages. You will scan; I guarantee it. You scan to make a decision whether to spend time with the message and you scan to absorb the content. Try to slow down and really read all the words. It takes practice, believe me. We all live in a hyper-active world and just to keep up we need to find ways of saving time. Don't make your business associates' or customers' email one of those places. Unless of course you get a lot of silly nonsense from them...then scan. And maybe recommend that they aren't helping people take them seriously and on that note....
7. Don't send junk. Few business associates and few customers want to see pictures of your kids, read joke emails or learn the newest psychic information. Use discretion for goodness' sake. Only send emails when there is important information to share or questions to ask.
8. Give them some face time. Both your customers and your business associates would benefit from you actually speaking to them in person or even over the phone rather than through email so much. We're forgetting the value of personal contact. Get off your butt and build a relationship.
9. And finally.... watch your tone of voice! Cheekiness, quips, sarcasm and innuendo just don't translate safely.
You have one chance to get your message right - damage control for "accidental emails" is too time-consuming and potentially costly to your business.
Friday, July 4, 2008
Plain Language - a gift from the gods
Small business writers, owners and general marketing staff often get bogged down in their own industry lingo and leave their customers behind. The 'big guys' are even more prone to this. The financial services industry has completely forgotten how to speak normal-people-language; technology companies, I think, prefer to never speak regular language in lieu of boggling all our minds and cell phone companies are happy with the bewilderment they create with terms and conditions.
But finally, I have had a wonderful language experience I think bears noting. And can be a terrific example for small business when building "the sound of your brand".
I lost all respect for my cell phone carrier a long time ago but had to wait until my contract was up to change to a new provider. The shop clerk understood why I wanted a change and recommended Virgin Mobile. I was prepared for the "same old, same old" but was in for a fantastic surprise. Not only are there no hidden fees - or for that matter no additional fees for things like access or set-up - but they actually speak the same language that I do. In fact, they speak a language anyone over the age of 12 could understand!
And the brilliance of all this, is they not only talk a comfortable level of language, but they write it too! Their brochures and guide books can be understood even by someone like me (I'm an audio-kinetic learner so the written word is sometimes a challenge if the language is high-falutin' or too much technical jargon). Heck, my eight-year-old neice Emily would be able to manage in the Virgin Mobile environment.
Now don't get me wrong. They don't talk down or in a condescending fashion (nothing makes me boil faster than that). It is the simplicity of it that really makes the mark.
The lesson for small business here is the KISS principle - Keep It Simple, Silly. (We don't like the word 'stupid' around here, so no need to write and tell me I got the acronym wrong)
Don't use four sentences when one will do. Don't get lost in your industry jargon - even if your industry doesn't seem to have a lot of technical terms. Your industry could be peopled by folks with masters degrees who just by nature write at a high-end university level.
People tend to scan material and get involved only if the scan has given them value. It is easy to scan two or three syllable words. Much above that and you run the risk of them scanning and getting the meaning all wrong. Courts have said that contracts must be written in plain language so the common man can understand them (not that contract writers are actually listening in most cases). If the courts are insisting on plain language, it only makes sense to make sure your small business insists on it too.
But finally, I have had a wonderful language experience I think bears noting. And can be a terrific example for small business when building "the sound of your brand".
I lost all respect for my cell phone carrier a long time ago but had to wait until my contract was up to change to a new provider. The shop clerk understood why I wanted a change and recommended Virgin Mobile. I was prepared for the "same old, same old" but was in for a fantastic surprise. Not only are there no hidden fees - or for that matter no additional fees for things like access or set-up - but they actually speak the same language that I do. In fact, they speak a language anyone over the age of 12 could understand!
And the brilliance of all this, is they not only talk a comfortable level of language, but they write it too! Their brochures and guide books can be understood even by someone like me (I'm an audio-kinetic learner so the written word is sometimes a challenge if the language is high-falutin' or too much technical jargon). Heck, my eight-year-old neice Emily would be able to manage in the Virgin Mobile environment.
Now don't get me wrong. They don't talk down or in a condescending fashion (nothing makes me boil faster than that). It is the simplicity of it that really makes the mark.
The lesson for small business here is the KISS principle - Keep It Simple, Silly. (We don't like the word 'stupid' around here, so no need to write and tell me I got the acronym wrong)
Don't use four sentences when one will do. Don't get lost in your industry jargon - even if your industry doesn't seem to have a lot of technical terms. Your industry could be peopled by folks with masters degrees who just by nature write at a high-end university level.
People tend to scan material and get involved only if the scan has given them value. It is easy to scan two or three syllable words. Much above that and you run the risk of them scanning and getting the meaning all wrong. Courts have said that contracts must be written in plain language so the common man can understand them (not that contract writers are actually listening in most cases). If the courts are insisting on plain language, it only makes sense to make sure your small business insists on it too.
Friday, June 27, 2008
Do your homework
Stephane Dion and the Liberal Party have offered up such a terrific example of what can happen when you don't do your homework, that I couldn't resist. Their widely publicized plan, The Green Shift, may well get its time in court as it flies in the face of trademark, copyright and intellectual property laws.
Green Shift, a company in Toronto, has been around for approximately 10 years. So even if they never trademarked the company name, there can't be any question that it belongs to them. Perhaps the most irritating part of the story is that the Liberals were aware of this company and went ahead anyway. There is something grossly arrogant about thinking you won't get caught.
For small business, it is key to do your homework about all aspects of marketing your business. If you are incorporating, you must do a name search but when you are a sole proprietor, you can get away without one. But to save face and potential court and rebranding costs, you better make sure no one else is using the name.
Imagine the embarassment when your new business customers are suddenly faced with a new business name; and even more so when the explanation is that you didn't do your homework. What does this do to your business' credibility?
Keep in mind that your customers do business with you because they have developed trust in you. If you have so little respect for your business that you don't do your homework, why should they have respect for it?
And doing your homework isn't limited to just your company name or slogan. It pertains to how you market yourself. Learn some of the basics of marketing law. And then, for goodness sake, abide by them. Just because you see big companies flying in the face of good marketing laws, doesn't mean it is the right answer for small business. They can afford (apparently) the fines and loss of face. Small business can't.
Learn what your competitors are doing and saying. Then stay away from those things. Not only do you eliminate the risk of a lawsuit regarding intellectual property or copyright, but you also have to spend some time thinking about how you are unique. This helps you stand out from your competition because you aren't using their words and actions.
Don't take the lazy way out. Have the same passion for your homework as you do for making sales.
Green Shift, a company in Toronto, has been around for approximately 10 years. So even if they never trademarked the company name, there can't be any question that it belongs to them. Perhaps the most irritating part of the story is that the Liberals were aware of this company and went ahead anyway. There is something grossly arrogant about thinking you won't get caught.
For small business, it is key to do your homework about all aspects of marketing your business. If you are incorporating, you must do a name search but when you are a sole proprietor, you can get away without one. But to save face and potential court and rebranding costs, you better make sure no one else is using the name.
Imagine the embarassment when your new business customers are suddenly faced with a new business name; and even more so when the explanation is that you didn't do your homework. What does this do to your business' credibility?
Keep in mind that your customers do business with you because they have developed trust in you. If you have so little respect for your business that you don't do your homework, why should they have respect for it?
And doing your homework isn't limited to just your company name or slogan. It pertains to how you market yourself. Learn some of the basics of marketing law. And then, for goodness sake, abide by them. Just because you see big companies flying in the face of good marketing laws, doesn't mean it is the right answer for small business. They can afford (apparently) the fines and loss of face. Small business can't.
Learn what your competitors are doing and saying. Then stay away from those things. Not only do you eliminate the risk of a lawsuit regarding intellectual property or copyright, but you also have to spend some time thinking about how you are unique. This helps you stand out from your competition because you aren't using their words and actions.
Don't take the lazy way out. Have the same passion for your homework as you do for making sales.
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