Aug 12, 2014 | Branding, Customers, Marketing, Small business
Marketing has changed very rapidly from the mass outbound marketing upon which all the marketing theory and practice until about 2000, to what is often called “inbound” marketing, or in other words, finding ways to attract customers to you.
There is now a fundamentally changed capability set required to be a successful marketing executive, and to manage a successful marketing function.
- Customers are the new focus, not because of any epiphany, but because we can now see them clearly. We need to be able create situations and experiences for them to be able to engage with the proposition we are delivering them.
- Marketing is leading the digital revolution, now. Marketing was late to the table abut the pace of development of marketing automation over the last 5 or 6 years has been astonishing, and marketers need to be data analysts and automation savvy.
- Outbound marketing requires content, but no longer can you just hire an ad agency to churn out a few ads. Now the whole marketing function, and ideally other functions in a business need to become producers of content, so that consumers have something to relate to, that tells a story. These materials become the backbone of our branding activity,
- Marketers need to become remarkably ambidextrous when thinking about channels of communication. Not only do we now have a few paid outbound channels, we have a huge array of owned and paid and earned media options and platforms, all have to be managed, in concert with each other, so you get a cumulative and synergistic effect.
- Marketing needs to engage consumers in their social spaces, and on their social platforms. No longer can we just bash messages through via paid media, the challenge of engaging has become far more difficult and the location has moved from the lounge room to wherever they are.
- Branding success has always had customer loyalty and retention as an end result of any activity. Now that has changed, and we are actively developing marketing techniques and tactics to target the loyalty and retention of consumers, and the huge difference is we can now see the impact of our activities.
- Marketing agility based on A/B testing has become a core competence. This combines the data capability wit the imagination of the marketing to dream up ideas, then test and constantly refine.
Marketing is becoming the core function of every enterprise. From a bit of an extra, sometimes even seen as an indulgence 20 years ago, it is rapidly becoming evident that marketing is the most important function of every business.
Competitive success now depends as much on the quality of the marketing effort to deliver customers as it does the product and service offering. However, it is still true that no matter how great the marketing, without the product, you will not get a second chance.
Aug 11, 2014 | Customers, Marketing, Sales, Small business
Things to avoid
Small retailers see themselves as under siege, and many just hunker down and work harder to survive, for many, it is too hard.
For those that survive, some are doing really well, and there seems to be a few common themes. Few are doing them all, but all seems to be picking one or two and really delivering:
- They treat the shopping experience as an occasion, they set out to deliver to their customers fun, social acceptance, an opportunity to express themselves, deliver serendipity, information, and advice to their customers. In short they are not there to flog product, they are there to provide a service, which happens to involve customers buying stuff.
- They carve out a niche, something distinctive, and set out to “own” it, at least in the local area. A friend of mine runs a small retail business, “Affordable Decor” in suburban Croydon on Sydney. It is a small store, set away from the main roads and shopping centres, but it is unique, a reflection of Maureen’s great eye and her connection to her customer base that comes from across Sydney.
- Digital capability is almost table stakes, if in no function beyond inventory management, retailers need to be digital capable. My mate Maureen down the road in Affordable Decor does not have anything digital in her store, everything is still pen and paper, there is no website, (despite my pleading) but there is a really focused program of text messaging to her cohort of loyal customers.
- Mobile friendly is evolving as a real differentiator. A huge proportion of customers and potential customers connect using mobile, so being there is fundamental.
- Big data gets all the publicity, but what about Small data? Successful small retailers are in a position to know the details, small data, of their customers likes and dislikes, successes and failures on a personal level. It is this intimacy with customers that big data cannot hope to match, for all its great value.
For those small retailers reading this post, how are you doing?
Need someone to talk to who undestands the challenges?
Aug 7, 2014 | Branding, Customers
I just had another of those really, really annoying phone calls from a call centre, and being a marketer, I cringed with shame and frustration.
After I answered, it took probably 5 seconds for the person on the other end to answer me (memo call centre managers: this is just crapppola!!)
He was probably a nice young man, just trying to make a living in difficult circumstances in, well, it was not Australia, so his first language was not English, it may not have been his second either, so it was challenging understanding him.
He had a script, yes, scripts are a necessary tool, but do not easily allow the flexibility to cope with anything other than an utterly “vanilla” conversation, and those would be as rare as a cat in a doghouse. He clearly was under instructions not to vary from the script, but to respond to anything other than my script predicted comments with “yes, thank you Mr Roberts” and then, back to the script without a pause.
At least he got the name right.
I could go on, but the point is, why would somebody trying to sell me something waste their money so comprehensively?
The possibility that this young man was going to actually engage me in any way with his product let alone extract any money from me, are about as good as my chances of playing Roger Federer in next years Wimbledon final.
Why would any marketer actually pay for this desecration of their brand?
Are they really that stupid?
Unfortunately, the answer must be yes, at least in some cases.
By the way, the product was Funeral insurance, a hard sell in the best circumstances, impossible if you treat the potential customer with contempt.
Aug 3, 2014 | Customers, Innovation
http://steveblank.com/2014/07/30/driving-corporate-innovation-design-thinking-customer-development/
Steve Blank is one of the real thinkers in the innovation space who gets out there into the weeds and gets stuff done.
The illustration at the top of this post is one from a recent post on his blog that makes the very real point that everything should start with the customer, not the product, inventors vision, financial potential, or any of the other usual drivers of activity.
So often we forget this simple truth.
The Lean startup and business model canvas methodology are fantastic ways to articulate your business, but without a customer you do not have one.
Design thinking is all about starting with the customer in mind, using the tools that are there to discover ways to add value to them in some way, and as a result, make a return on the way through.
It matters little if you are a micro business on the corner or a massive multinational, the principals are the same:
Be agile
Focus on the customer
Solve problems
Iterate
Encourage the dissenters
Leverage the wisdom of the crowd
Encourage chaos, and build the processes to distil and manage it
Differentiate
Design thinking is really hard, challenging work, but nowhere near as hard as design doing.
Jul 29, 2014 | Customers, Sales, Small business
Most of us recognise that the best sales lead you have is a satisfied existing customer, so why do SME’s so often fail to capitalise on them?.
It seems to me that there are a number of reasons, usually they boil down to not allocating the time, not thinking about it, or thinking they need some fancy CRM system beyond their means. All excuses that should not be allowed.
There are a few simple things every business should do, they should be baked into your sales and customer service processes, however simple or complicated they may be.
- Meet the promise. Make sure the sale you have just made at least meets the standards promised, much better when they exceed. Many SME’s seem to think the sales process stops at delivering the order, perhaps receiving payment, but that is just the start.
- Be visible. Make sure you are visible, and available during the delivery/installation process. This ensures that molehills do not morph into mountains.
- Ownership. Take ownership of any problems that occur, not only are the problems things that have to be solved, taking ownership of them is a powerful tool that communicates commitment to the customer, and they will not forget.
- Say Thank you. The two most powerful words in sales are: “Thank you”. Just saying them makes you feel good, and certainly it makes the buyer happy to hear them, creates an empathy, and opportunity to strengthen the relationship.
- Over-deliver value. Be more than a salesman, be a resource for the problems and opportunities that your customer faces. Send them snippets of information that they may find interesting, opportunities and ideas they may value. Not only does that keep you top of mind, it builds on the relationship, you stop being a salesman and become a contributor to their success.
- Be personal. In this day of electronic communication, email, content marketing, and all the rest, one of the oldest forms of communication works better than it ever has, just because it is different, and demonstrates you care. A snail mail thank you, personally written, stuck in an envelope, and posted will be read every time, and is guaranteed to generate a warm feeling in the receiver out of all proportion to the effort that goes into it.
Doing these things builds trust, and trust is the foundation of sales, we all know that, so why not just do it as a part of the process.
And the seventh?
When you have done all the above, and have a relationship with satisfied customers, ask them for leads, introductions and recommendations. Put yourself in this position. Someone you know, who knows a bit about you and your business rings and tells you of one of their trusted suppliers will make contact, and that they think you should talk to them.
Do you take the call when it comes? of course you do.
Jul 23, 2014 | Customers, Marketing, Sales
www.strategyaudit.com.au
The “sales funnel” is a pretty familiar diagram, it has been around for a long time, simply because it makes sense, at least it did to sales people. To their customer prospects, there is a level of antipathy to the notion of being just a part of some “funnel”
It is time for an alternative view, one taken from the perspective of the consumer who now has all the knowledge necessary to make their own informed decisions, and they are exercising that power aggressively.
The world has changed, so too should our representations of the manner in which our marketing activities are managed, and the nature of customers and potential customers reaction to our efforts to meet their needs.
Seems to me that we would be better off thinking about the process in two funnels, one that represents our e-marketing activities, the other the way in which those messages are received.
The first is the marketing funnel, which has replaced the sales funnel, an obsolete metaphor in a digital world.
Below is my way of illustrating the new Customer purchase process.
- Need awareness. This can be either explicit, one that emerges when the consumer recognises that a purchase is necessary, such as when your printer dies, you need a new one, today! The other type of need is implicit, which is generally uncovered by a sales process, rather than by the consumer in isolation.
- Information search. Google has revolutionised this part of the process, by taking the power of information from the seller where it has been for all of human history, and giving it to the buyer. It is this point at which the marketing process now kicks in.
- Value comparison. The value equation is different for every person, in every situation, but the components are unchanged. Features, availability, warranty, design, capacity, and many others all feature in varying degrees, the means by which we communicate the bundle that makes up the value, so is common to every situation, is price.
- Purchase decision. “Yes, I will buy” thinks the consumer
- Short list. Which options meet the need, operational requirement, and value outcome needed, from which a finance decision can be made
- Transaction. The transaction can take many forms, from a simple exchange of cash for product, to all sorts of arrangements and trade-offs made between sellers, buyers and various middlemen
Whilst the whole process is usually depicted as an ordered, sequential one, in which the various marketing automation software options can provide order and flow, in reality is is usually a chaotic, messy, and iterative process.
