Using the F Word in Your Marketing

     Potty F wordmouth? Hardly. The F Word referred to here is “Free.” Because people love free stuff, advertisers love to use free stuff to attract customers. “Free gift with purchase!” “Free Delivery!” “Buy One Get One Free!” It sounds good, but even free comes at a cost, and you need to be sure to consider the cost of free stuff when you advertise it. The value of the free item or service must be considered part of the cost of your marketing or advertising.

Case in point:

A client told me they once had a very successful campaign offering a free car wash with purchase of an oil change. They were really happy because they got such a cheap deal on the ad itself; it was a special package, and cost “only” $250. With 11 coupons redeemed, they were delighted with their success. “Hold on,” I said. “Let’s figure out how much your advertising campaign actually cost.” The value of the free car wash was $5.95. Multiply that by 11 and add it to the cost of the ad. $250 + $65.45 = $315.45. Revenue from those 11 oil changes @ $24.95 each was worth $274.45. At this point, I can probably stop doing the math for you. They had not thought far enough ahead to know how many coupons would need to be redeemed for them to make money. (The magic break-even number is 14. Anything less and they’re in the hole.)

“Free” can be music to a consumer’s ears. Just make sure you can really afford to give it to them. And make sure they don’t have to jump through unreasonable hoops to get it.

August 14, 2014 By Filed Under: Uncategorized Tagged With: , , , ,

Just Ask, Part 2

 

say please
The local newspaper just made it onto my list of successfully negotiated compromises. A subscription renewal reminder came in the mail, along with a 30% rate increase. I promptly emailed their customer service department and instructed them “Please do not renew my subscription when it expires.” (You must submit a cancellation request, or they will continue to deliver the paper, citing no cancellation instructions from you, and then the circulation department expects you to pay for the papers they deliver.) I simply stated that the cost of subscribing had risen beyond my comfort level.

Within an hour, I had a reply email offering the same subscription package at the previous period’s promotional price, a full $21 less than the amount on the renewal invoice they sent. I happily accepted their offer.

Just remember these simple criteria: Say “Please” when you ask for help, and “Thank You” when the other person makes an effort to accommodate your request. It also helps to give a reason for asking. (“I can’t afford it” is almost guaranteed to get you a seat at the negotiating table) Last, be willing to compromise; it’s good negotiating when both sides walk away with at least a partial win. Always enter into negotiations knowing what you’re willing to leave with (or without).

A non-profit client was the recent beneficiary of a significant discount on an advertisement, acquired simply by asking for it.  Please and Thank You really can be magic words!

June 19, 2014 By Filed Under: Uncategorized Tagged With: , ,

Just Ask! Part 1

 please1

It’s amazing what you can get if you just ask for it. It’s just as amazing how many people hesitate to ask for what they want or need. After my cable company’s last notice of a rate increase, I called their Customer Service number and, after much button-pushing, actually found a human being to speak to. I explained that the increase pushed their service out of my comfort level and wanted to discuss what line items I could drop to lower my bill. Don’t tell them, but they’ve got me by the hoo-hoos because I’m addicted to their cable modem, the DVR, and one particular channel on the digital platform. Unable to satisfy my wants vs. needs, and possibly fearing I might defect to satellite service, she offered to give me a $15 a month credit for 3 months to give me time to decide what to keep and what to dump. Not quite the equivalent of having all six lottery numbers, but it worked. We both felt like we had at least won the battle, if not the war. (I immediately passed the story to friends who use the same cable provider; it worked for them, too!)

 

Armed with this little bit of incentive, I tried the same thing with my telephone company (yes, I still have a land line), resulting in a better bundle with unlimited long distance on my fax line. Rubbing my palms together with anticipation, my cell phone provider became my next quarry. No actual savings were harvested, but for the same money, I got more minutes and features by switching to a newer package. I was liking this!

 

These companies don’t advertise they’ll do these things for you. You have to ask for it. But if you liberally sprinkle your request with “Please” and “Thank You”, and phrases like “I need your help”, you’re going to leave the bargaining table at least temporarily satisfied.

 

It doesn’t end just yet…Feeling empowered by my successes, I went to bat for a client who could no longer afford their full-page contract in a pretty, but pricey magazine. They had asked about canceling the contract, but their sales rep was trying to hold their feet to the fire, no doubt in the interest of job security. Surprise! To salvage the relationship, and realizing that less revenue was still way better than zero, we got a compromise to reduce the size of the ad while fulfilling the remainder of the agreement. It didn’t have to be an all-or-nothing resolution; everybody won. The client was able to maintain visibility within budget. The sales rep understood the forward equity in keeping an account that will no doubt grow back to its former size as the economy improves. I looked like a hero.

Try it. And I’d love to hear about your little victories.

 
April 28, 2014 By Filed Under: Uncategorized Tagged With: ,

For the Love of Outsourcing

Outsourcing

How many of you prepare your own Income Tax Return? Unless you’re one of the few who can still file form 1040EZ, my bet is you use a CPA or professional tax preparation company. It’s their job to know about changes in tax law, what you can deduct as a business expense, and a multitude of other details that would make your head spin if you had to stay abreast of it in addition to all your other responsibilities. That’s a sensible application of outsourcing; paying a professional to handle tasks you either don’t have time for, or don’t have the expertise to execute them efficiently. It’s the same logic behind taking your good suits to a dry cleaner or having an ASE-certified mechanic repair your car’s engine.

According to an article in Harvard Business Review about outsourcing marketing and advertising,  “The benefits to business include cost savings and improved quality.”  If outsourcing can save you money and deliver a better quality service or product, why wouldn’t you? Harvard Business School professor Gail J. McGovern, the article’s author, said, “The outsourcing of marketing activities is catching on; in fact, in a recent poll of business owners and executives, 53 percent reported plans to outsource all or most of their marketing activities.”  The number one reason for outsourcing? You’ve heard it before. Outsourcing frees up your time to focus on your core business; the stuff you know how to do best.

Just what types of activities do businesses outsource? Find out in this article from Marketing Profs. Then call us and we’ll dispel the myth that you can’t afford to outsource your marketing. Unless you have time and money to burn, many businesses can’t afford not to.

March 20, 2014 By Filed Under: Uncategorized Tagged With: , , ,

Social Media Etiquette? You Bet!

A report just out by Forrester’s Research indicates that 51% of Americans who are online have joined a social network, and  73% are consuming some form of social content on a regular basis. Some basic etiquette rules apply to each of them.

Simply because Facebook is currently the largest and most widely used social medium, here are some tips to make sure you’re not crossing any boundaries, especially on a business page.

1. This one may be the one most likely overlooked! Follow Facebook’s rules. You agreed to do so when you created your account/s by clicking on “I Agree” to the Terms of Service, or you would not have been able to activate your account. It might not be a bad idea to go back and actually read them here .  Item 4, number 4  is one that’s most frequently violated.

2. Complete your profile: Facebook allows businesses to provide generous amounts of information, so give visitors a reason to become a fan by telling your company’s story. Update it periodically to keep it fresh. Unfinished appears unprofessional.

3. Hold Off on Self-Promotion: It’s Social Media! Best practice is the 80/20 rule – 80% of your posted content should be designed to educate, inform and entertain. The remaining 20% can be used for promotion, but blatant selling is considered tacky and will drive people away.

4. Don’t Post too Much too Often: Once or twice a day is actually adequate, and if everyone practiced this pattern, you would probably be able to read most of what shows up in your news feed! The exception, of course, is ‘breaking news’ or content that genuinely qualifies as urgent. And please stop sharing minutiae like what you had for breakfast. It’s bad enough on personal profiles, but definitely does not belong on a business page.

5. Use proper grammar: Emoticons and slang are OK among your friends, but on your business page, even though it’s social media, it’s still business. Watch your spelling, punctuation and composition. You’re image is at stake. If you’re not confident in your writing skills, compose in a Word doc first, where you can at least use Spell Check and Grammar Check.

6. Avoid Controversy and Criticism: Business pages should steer clear of sensitive topics like politics and religion. Save those for personal conversations. Stick to safe content, following the 80/20 rule.

7. Give Credit Publicly: Using the share button is one way, but be sure to acknowledge anyone or another site that gave you information or inspiration. This very tip came from an article in Entrepreneur Magazine, and was the catalyst for this article.

8. Answer Questions and Respond to Comments: If someone took the time to pose a question or leave a comment, they deserve a response. It’s especially important to respond to complaints or criticism, and one very effective way is to ask the poster if you can contact them directly to work on a satisfactory resolution. That way the public sees your willingness to address the situation, but the actual process is handled privately.

9. Have Real Conversations:  Remember your Facebook friends and page followers are people. Don’t talk at them; rather, engage with them to have two-way communication.

10. Don’t Publish Anything You Wouldn’t Want Your Boss, Your Clients, Your Pastor or Your Mother to See!  ‘Nuff said.

Need some help? Call us!  352-408-8601

 

 

 

 

March 4, 2014 By Filed Under: Uncategorized Tagged With: ,

It’s Called “Integrity”

integrity1

         in-teg’-ri-ty: noun.

       The quality or state of being of sound moral principle; uprightness, honesty and sincerity.

 

 

Do you establish lines you won’t cross? Be true to your principles and conscience, and people will respect you for your integrity.

Last week, a prospective new client asked me to guarantee 1,000 new Likes for his Facebook page in one week. Can I do it? Yes.Will I do it? NO. For one thing, I’d have to violate Facebook’s Terms of Service to accomplish it. Additionally, those click-farm Likes won’t be the least bit interested in his business, because most of them will come from pay-for-Like click banks in countries we can barely pronounce on the opposite side of the world, so they’re pretty worthless. But, hey, the numbers look good, right? Last, even though he’ll see the number he wants, he won’t enjoy any other results, like leads or interaction from followers, or engagement, which will make him feel he wasted his money. That’s a surefire recipe for an unhappy client. It’s not easy to walk away from good money, but my reputation is at stake!

Has anyone ever asked you to compromise your principles? Leave a comment and share how you handled it.

      

February 25, 2014 By Filed Under: Uncategorized Tagged With: , , ,

Value: The Buzzword for 2014

What Does Value Mean to You?


Poor quality      Years ago, I saw this message on a poster in a client’s retail store, and it has stuck with me because of its simplicity.  Price is  what you pay. Value is what you get. Cost is what you really pay on the way to realizing value.

     People often realize too late the true cost of substituting price for value. Low price does not reduce your risk; ironically, low price can often increase risk and ultimate cost, because the cheaper product or service is often inferior, and will not deliver the desired results. When your product or service meets or exceeds a customer’s expectations, and their wants and needs have been satisfied, they feel they have gotten their money’s worth, and that’s all people really want.

     Which crown would you rather wear? Cheap or Good?

February 4, 2014 By Filed Under: Uncategorized Tagged With: , ,

How to Determine Your Marketing Budget

budgetUnless you’re a start-up, determining a marketing budget for your business is a little more complicated than basing it upon your checking account balance. (If you are a start-up, that’s often the safest way to figure out how much to invest!) The best place to start is by making sure you look at marketing from the right perspective: as an investment, not an expense. Just like a savings account, marketing is an asset that generates revenue; one that gives a return on investment when invested prudently.
While standards can vary significantly depending on your business category, there are a few ground rules you can apply to help determine your marketing budget. A popular rule of thumb has been to use 7-10% of your gross annual revenue as your minimum target, but this doesn’t address industry variables and other influences. Consider these points:
1. A business with a high-visibility location and good signage will not need to advertise as often as one ‘off the beaten path.’
2. Start-ups routinely underestimate the need for a robust marketing budget to successfully launch, yet conversely rarely have the necessary funds available. This dilemma is a significant contributor to the failure rate of new businesses.
3. A company in growth or expansion mode will need to market like a new business.
4. Businesses often fail to take into account the need for occasional spikes in their advertising to accommodate sales, or events like new  product launches or relocation.
5. The number of competitors in your market, and the need to match or dominate their marketing, will influence your budget.
6. If you’re really a number cruncher, calculate your budget based on revenue, operating costs, margins and markup. There’s a formula available at this link:  http://www.entrepreneur.com/article/54436
Last, you can always call on us to help you. We have other tools to help you decide what’s right for your business in your market.
October 17, 2013 By Filed Under: Uncategorized Tagged With:

Just Ask!

please magic words

It’s amazing what you can get if you just ask for it. It’s just as amazing how many people hesitate to ask for what they want or need. After my cable company’s last notice of a rate increase, I called their Customer Service number and, after much button-pushing, actually found a human being to speak to. I explained that the increase pushed their service out of my comfort level and wanted to discuss what line items I could eliminate to lower my bill. Unable to satisfy my wants vs. needs, and possibly fearing I might cancel my subscription and defect to satellite service, she offered to give me a $15 a month credit for 3 months to give me time to decide what to keep and what to dump. Not quite the equivalent of having all six lottery numbers, but it worked. We both felt like we had at least won the battle, if not the war. (I immediately shared this story with friends who use the same cable provider; it worked for them, too!)

Armed with this little bit of incentive, I tried the same thing with my telephone company (yes, I still have a land line), resulting in a better bundle with unlimited long distance on my fax line. Rubbing my palms together with anticipation, my cell phone provider became my next quarry. No actual savings were harvested, but for the same money, I negotiated more minutes and additional features by switching to a newer package. I was liking this!

These companies don’t advertise they’ll do these things for you. You have to ask for it. But if you liberally sprinkle your request with “Please” and “Thank You”, and phrases like “I need your help”, you’re going to leave the bargaining table at least temporarily satisfied.

It doesn’t end just yet…Feeling empowered by my successes, I went to bat for a client who could no longer sustain their full-page contract in a pretty, but pricey magazine. They had asked about canceling the contract, but their sales rep was trying to hold their feet to the fire, no doubt in the interest of job security. Surprise! To salvage the relationship, and realizing that less revenue was significantly better than zero, we remedied the situation with a compromise to reduce the size of the ad while fulfilling the remainder of the agreement. It didn’t have to be an all-or-nothing resolution; everybody won. The client was able to maintain visibility within a tighter budget. The sales rep understood the forward equity in keeping an account that will no doubt grow back to its former size as the economy improves. I looked like a hero.

Try it. And I’d love to hear about your little victories.

 

 

October 8, 2013 By Filed Under: Marketing Tagged With: , , ,

Feelin’ Lucky?

 

If you’re superstitious, you may think Friday the 13th is a day fraught with danger: don’t cross a path with a black cat, don’t walk under a ladder, don’t break a mirror, don’t don’t don’t, or Heaven knows what bad luck may befall you. The truth is, there is no verifiable history on why Friday the 13th has earned such a bad rap. In spite of that fact, according to the Stress Management Center and Phobia Institute in North Carolina, about 17 million people fear Friday the 13th. There’s even a name for it: friggatriskaidekaphobia.

Frankly, the number 13 has always been rather lucky for me, perhaps because I simply choose to believe it’s lucky. And who can find fault with Friday? For most of us working stiffs, there’s a lot to like about Friday, such as the end of the work week and payday.

By now you’re probably wondering what all this has to do with marketing. On Friday the 13th, people actually go out less. They make fewer decisions. And they shop less! Research from Entrepreneur Magazine  estimates the negative impact ranges from $800 million to $900 million in the U.S. That’s why a lot of retail businesses tie “lucky” promotions to the 13th. To counteract the substantiated inactivity, many businesses advertise specials or hold Friday the 13th Sales.

I’ll do my part to dispel the unlucky myth by giving something away. If you’d like a complimentary copy of “10 Questions You Must Answer Before You Spend a Dime on Advertising”, simply click on Let’s Connect at the top of the page, enter your email address, and type ’10 Questions’ in the message box. No strings attached! The  first 10 people to respond will receive a free copy, emailed as a .pdf file, within 24 hours! (excluding weekends. Our website is so old-fashioned, it’s actually managed by humans, not robots.) Good luck!

 

September 13, 2013 By Filed Under: Uncategorized Tagged With: , , ,
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