Aug 28, 2023 | Innovation, Marketing, Small business
Many of the impediments to starting a new business have been removed over the last 20 years.
You no longer have to hire an accountant to register the business, hunt around for premises, hire a bookkeeper, find an advertising agency, build a product prototype, spend days designing the letterhead, understanding the regulations and weaving your way through them, and doing the hundreds of other tasks necessary to start a business.
They can all be done with digital tools from your kitchen table, or outsourced to someone who has the specific expertise necessary, from their kitchen table.
What used to take time, money and most importantly the energy of budding entrepreneurs can no longer be used as an excuse for not moving forward.
The wheat has been sifted from the chaff by the digital winds.
That just leaves the toughest challenge, the one that in most cases motivated the thinking in the first place, the one that separates the dreamers from the ‘doers’.
How do you identify and generate traction with those prepared to part with their money to buy your product or service?
When they have bought from you once, how do you keep them coming back, or better still, turning your product into a subscription service?
This always was the hardest part of the entrepreneurial journey.
It always will be.
However, these days there are far less excuses not to have a go than there were 20 years ago.
Aug 14, 2023 | Communication, Customers, Marketing, Small business, Social Media
When my kids dropped a piece of toast, or bread on the floor (almost always spread side down) we used to invoke the ‘3 second test’. This was simply that the bugs took three seconds to wake up and realise there was a feed nearby, so if it was retrieved inside that time, it was OK to eat.
Same with a website, almost.
We are all busy, our attention is stretched beyond reasonable limits, and we have no time to waste. So, when your potential customer is researching, or just loitering on the web, you have perhaps 3 seconds to engage them, such that they have a closer look.
In those 3 seconds, you must communicate three things if you are to get them to pay you any of their scarce attention:
- What problem you solve.
- Who do you solve it for. In effect, a written ‘elevator speech’, what you do and why they should listen.
- Call to action. What you want them to do next.
Pretty obvious?
Give yourself 3 seconds to look at most websites, and ask yourself those three simple questions.
How does yours fare?
PS. For my readers outside Australia, ‘Vegemite’ is a spread for bread and toast we Aussies are brought up on, which the rest of the world thinks looks and tastes like old axle grease.
I bet every ‘Matilda’ has it almost every day!
Aug 9, 2023 | Change, Operations, Strategy
Almost every SME I visit or work with needs to one degree or another to be moving down the path towards ‘digitisation’.
For some, this means considering how the sudden appearance of LLM trained AI will impact on their competitive position, for others, it is still how to write a simple excel macro, and move bookkeeping from Mavis in the corner to a cloud package.
Just what does ‘digitisation’ mean?
For most of my clients it means automating some or all of the existing processes driven by bits of unconnected software and spreadsheets, liberally connected by people handing things over.
It is usually a real mess, and the evidence of incomplete solutions, misinformation, and shattered hopes lie everywhere.
The world is digitising at an accelerating rate, so keeping up is not only a competitive imperative, it is a strategic challenge. To survive you must evolve at least the same rate, just to keep up.
On of my former clients is a printing business, an SME with deep capabilities in all things ‘printing’ that enabled the company to be very successful, in the past. Their capabilities are terrific, highly competitive, if we were still in 1999.
If I use them as a metaphor for most I work with, there is a consistent pattern.
They do not see digitisation as an investment in the future, rather it is seen as an expense. This means that the challenges are not considered to be strategic. There is no consideration of the application of digital to their product offerings, beyond the digital printing machines, services beyond those that made them successful 20 years ago, and their business models, beyond what is demanded by the two biggest customers, who between them deliver well over 35% of revenue.
They have not considered digitisation of operational processes, beyond a 20 year old ERP system, which has not been updated in any meaningful way for a decade, and they still only use a portion of the capability. The reason for this is simply a lack of internal capability and awareness, and the lack of cash to invest for the long term.
They have not modified their organisational and operational culture. No digitisation effort can succeed without the support of an operating culture that encourages ongoing change. Organisational processes can be modified by decree, but they will not stick. It takes everyone in the boat to be pulling in the same direction, in unison, to make the forward progress proposed by the digitisation nirvana. This takes leadership, and a willingness to be both vulnerable internally, and a strong ability to absorb the stuff from outside. You need to ‘get out of the building’ not to smell the roses, but to see the lie of the land, and understand where the opportunities and challenges are hiding.
The recognition of the critical necessity of change is where you get given one point out of a possible 10. The other 9 are reserved for taking action. A daunting prospect for most.
Following are the 5 steps necessary to become ‘match fit’.
- Map the existing operational processes so you know what you are changing. The starting point!
- Map and change the mindset of the people, so everyone understands the extent of the challenge to the business, and to them personally. This will prove very tough for some, so expect push-back.
- Take small and incremental steps along a path that all understand leads to a digital future, which means that a lot of collaborative planning has been done. Look for some low hanging fruit where early wins are likely.
- Ensure that there are the necessary opportunities for all stakeholders, but particularly employees to grow and change with you. Those that choose not to, also choose to work elsewhere. There are no free rides.
- Ensure the resources of time and money are allocated uncompromisingly to the long-term outcomes. It is just too easy to put aside something that is important but not urgent for something that may seem to be urgent, but is not important to the transformational effort.
Most need outside help to get this done. Usually that help in the early stages is not found amongst software vendors who have a dog in the fight. It is amongst those who have ‘been there, done that’. It will also be a resource hungry beast, but assuming you feed it, and you have the right mix of project management and technical capabilities, the investment will generate returns quickly, just not tomorrow.
Header cartoon credit: Tom Gauld
Jul 12, 2023 | Analytics, Marketing, Operations
Anyone who reads my stuff on any sort of regular basis will know I have been deeply engaged with the potential impact of AI on all of us, since I stumbled across ChatGPT in early December last year. Of particular interest is the apparent potential for efficiency gains, particularly amongst the SME manufacturers I serve.
On one hand, I have been excited by the potential of AI to generate efficiency and expand the operational scale of SME’s. On the other, scared shitless at the potential for bad actors to sneak into our collective pockets and steal everything.
I need to write to think.
It forces me to sort out the stuff swimming around between my ears, as when I can articulate it sufficiently to write about it in some coherent manner, it leads to some level of understanding.
So, here is my list of the good stuff, followed by the bad, as it relates to the core of my business: strategy and marketing, starting with SME’s and the written word.
The good things AI can do for you.
- Summarising large blocks of copy, even when it seems very messy.
- Brainstorming; ideas, subject lines, complementary ideas, headlines.
- Editing and grammar. (I have been using the editing and ‘speak’ functionality of word for years, it is essential to me, and is AI that we now just treat as part of the furniture)
- Assembling descriptions and fact sheets
- Looking for logical holes in an argument
- Repurposing copy from one platform to another
- Research
- Outline and first draft.
- Translation and transcription
The stuff AI is no good at doing.
- Humour
- Reflecting current news and events
- Factual reliability. (Sometimes, it just makes stuff up)
- Finding a good metaphor
- Being creative. The great irony with creativity is that AI opens a whole new set of what is possible with visual tools, which can then combine with verbal cloning tools to completely alter apparent reality.
- Looking ahead
- Breaking complexity down to ‘first principles’
- Pouring another glass when faced by a blank page and a deadline.
Then there is all the other stuff AI will do, and evolve to do in the very near future, that is not writing. Graphic design, integrating currently separate digital systems (API’s on powerful steroids) identifying trends and holes in huge masses of data. The impact on medical technology is already profound. When the human genome was first successfully mapped in 2000, the cost of that first success was in the tens of billions of dollars. Now you can send away a sample and have it returned with your genome map for a few dollars overnight.
The key it seems, is to be very good at explaining to the tool what it is you want, in the detail a 5-year-old will understand. As the header cartoon illustrates, being human while driving this stuff will rapidly become the differentiator.
Header credit: GapingVoid.com.
Jun 28, 2023 | Branding, Communication, Marketing
No business I have ever seen has enough in their marketing budgets to do all they would like to do. Therefore, they often start cutting bits off ‘willy nilly’ to reach a budget that can be managed.
There is a better way: Basic marketing 101, which most SME’s ignore to their detriment.
What problem do you solve.
The more specific the problem you solve better than anyone else, and the more specific you can be about those who are likely to have that problem, the more able you will be to focus your limited resources productively.
It appears easy at first glance to articulate the problem, often it is way harder than it seems. The key is to articulate it the way a customer would, rather than the way you speak about it internally. That way you have a chance to avoid the drill or the hole confusion.
Your brand.
Those who have the problem and may be inclined to pay someone to solve it for them, need to be aware of your brand, and the offer you make that will solve the problem for them. You must figure out the best way to reach these people in such a way that you may be able to at least add your brand to the list of options they have for consideration. Preferably of course, your brand is the only one they consider.
Trust.
There must be a reason for someone to pick your solution in preference to others that may be available. If that reason is price, then in most cases you have already lost by winning that race to the bottom.
Trust is hard won, and easily lost, but plays a crucial role in any sales process.
For most SME’s doing more than one thing at a time is challenging, so they tend to throw money at all three without adequate consideration of the best options they have to leverage their small budgets. There are many service providers out there who have all sorts of creative and verbally attractive ways to spend your money, but very few will go to the trouble of walking through this minefield with you.
It is easy to be overwhelmed, most are.
However, thinking about the process in these three buckets offers the opportunity to weed out a lot of the ‘noise’, although it is not easy.
The line that trips many up, even those who spend the time to deeply consider these three buckets, is the breakup of the budget between the two very different types of expenditure inherent in the whole process.
First. The resources you spend to build the brand, such that when someone is aware of the problem and is in a mind to consider solving it, your name comes to mind.
Second. ‘Activation’. The tactical means you use to swing the choice your way at the point of the transaction.
The first is long term, and very hard to measure except with hindsight, by which time the horse has bolted. The second is more immediate and subject to at least a modicum of quantitative measures.
The starting point should always be your objective.
Is it to generate leads, is it to build brand awareness, is it to build trust, and where do all these, and other points in the customers decision processes overlap?
Playing cards by yourself is usually a way to win, but it does not translate into a real game. For that you need a real appreciation of the barriers to winning, and often partners.
Call me when you need a partner who inderstands the game.
