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Tuesday, February 02, 2010
Many of us who own and operate our own business are escapees from ‘cubicle nation’. We’ve done the 9 to 5 thing – or more likely the 8.30am sales meeting through to the 7.00pm tidying up of the day’s paperwork. We’ve had the company car and the cab charge voucher. We are well versed in the protocol, the politics and the hidden agendas of the almost constant meetings. We know what it is like to be able to flick the non-core business over to the department whose job it is to take care of that. We’ve spent hours labouring over reports to quantify or qualify what we are doing. And we have enjoyed a good regular weekly salary in return.
Leaving that structured and relatively secure environment and leaping into your own small business is a bit like running away to join the circus: Scary, exciting, thrilling, frightening. For some of us it is a brave and bold move into a world for which we are much better suited. But it is not without its challenges...
Stars in your eyes
I don’t think many people would take the step unless they had a possibly underestimated how tough it can be...If they hadn’t been entranced by the magic, the gossamer and star dust of being your own boss. The stars in the eyes are very quickly removed as people face the unknown, the validity and viability of their great new idea, how far the meagre savings can stretch, how long it takes to secure regular income.
She spins, she juggles, and she walks the tight rope
If you don’t have the aptitude to multi skill the small biz life is just not going to be for you. Is that why more women start their own businesses then men perhaps? You need to be able to apply yourself to every aspect of the business – even if you aren’t doing the books yourself you need to know enough to stay on top of the providers/staff who are.
Practice makes perfect
And multiple skills entails practicing those that haven’t been part of your corporate job. That means being prepared to go find the education (books, podcasts, blogs, networks, seminars, courses– whatever it takes) to learn as much as you can. If you haven’t been in a sales role before and are now having to ‘sell’ your business, every sales call, every pitch is practice. And like spinning plates, you have to practice every day.
Ladies, Gentlemen & Bald Headed Babies...Drum Roll Please
Your performance - how you present yourself through the language your use, your business name, logos, your marketing activity, your costume/dress, your presentation is even more important without the ‘perception’ of the big brand wrapped around you. It is about you – your values, your skills, your beliefs, and your ability to satisfy your clients. You need to “dress” your business accordingly and remember that in our 24/7 connected world you are always on show.
On the road again
Most corporate roles are very settled (staid?). You have relatively little change of physical premises; even if you are visiting clients, you tend to stick to the same places, the same schedule. The faces around you are pretty much the same ones every day. As are the challenges and goals.
In our small biz circus we have to be ready to respond and react to all sorts of opportunities – especially in the early days. We have the freedom to work in a variety of locations; for a wide variety of clients. Faces, challenges, locations, are constantly subject to change.
Look after the cents
If there is a rip in the big top – you don’t buy a new tent. You fix it yourself. Every cent that you spend on your business is a cent that you are not necessarily earning (unless it is something that is going to give you a good ROI). So pay attention to the mobile phone account; turn off the lights; consider whether you really do need that new desk. But don’t skint on any of the aspects of your business that are important to your customers and going to give them a thrill. Make sure that you are right on top of your financials....Like checking the box office take every night when the folk go home.
Spread the risk
And talking about Box Office, have you noticed that circuses these days have a substantial merchandising and food and beverage operation? They are not just relying upon one revenue source. Can you have some carnie rides on the side?
Keep fit
Over time as people get settled into their jobs there is a general malaise that can fall over the organisation. In your own business you can’t afford to let the energy level drop. Do you have ways to keep in top shape (emotionally, mentally, physically)? Have you established a way to kick start the motivation when times get tough?
The show must go on
When it is your own business and the show must go on – It’s down to you. Do you have insurance cover in case you can’t work? What do you do when a major competitor opens over the road? Have you got a business continuity plan (...More about these in next month’s Brew).
There is life after being a bit player in the big corporate stage show; a life where you are the ring master.
Did you run away to join the circus? Or are you planning to do so? Click “Comments” – We would love to hear from you.
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Tuesday, December 15, 2009
Julie Andrews was wrong
It is the time of year for endings and beginnings; and they are the two milestones that you need to take into account in deciding to own your own business.
In Sound of Music ‘Maria’ told the children to ‘start at the very beginning, A very good place to start’.
Well – that makes perfect sense for Do Rei Me (and apologies if you now have that tune stuck in your head...but it's got to be better than Hi5 Santa Clause Is Coming). But starting at the very beginning does not make sense when it comes to deciding upon business ownership.
Where you should start is at the very end.
Start with your anticipated exit strategy.
Your Exit Strategy will dictate how you go about building your business and direct the decisions you make upon the journey.
For example, if you are planning to operate as a soloist providing hands-on service that totally relies upon you for its delivery, you are not building a business as much as buying yourself a job.
That is not to say that it won’t be a very successful job – with you in the driver’s seat – and generating a great income and lifestyle.
But at the literal end of the day if it can’t operate without you it is unlikely that you will be able to realise the value of the goodwill and brand that you have built when it comes time to sell.
If this is you and you do want to generate revenue at the conclusion of your business, consider establishing a product-brand along the way. For example branded content with an established audience; or a branded product for which you can simply receive a passive ongoing license fee.
If your exit from the business is to franchise; or to sell a formidable and functioning business to your competitors; or to get the kids to run it in the future; then you need to invest in Design and Technology.
Now by design I don’t mean a logo. Though your logo, name, colours, stationary, etc., will all help visually communicate your brand, business design is a bigger concept.
“The planning that lays the basis for the making of every object or system; the process of originating and developing a plan for a product, structure, system, or component with intention”. Wikipedia
Have you designed your business to lead you towards the exit that you want?
Technology is the other mandatory requirement for building a valuable business. I don’t mean a few pages on the internet and the latest iPhone.
I mean the communication and operational technology that helps you to automate and to share your systems and processes - so that they can operate without you and can be scaled.
With Design and Technology as long as you have built a viable business with satisfied customers you should be able to walk away from the business without taking any of its value with you, and monetise your efforts over the years into a fabulous retirement lifestyle – or the very next business.
Have you built your business so that you can get out of – and from - it exactly what you want - at the end of the day?
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Thursday, November 12, 2009
We are heading into that time of year when we will be pulled betwixt and between Christmas drinks, end of year networking functions, client appreciation lunches – all while trying to stay on top of day to day work, and forward planning for 2010
Do you tend to put these sorts of events into the category of bit of fun, maybe a bit of PR? Yes it would be great to network, say thanks and maybe pick up a few new leads, but they’re not really ‘work’ and so they shouldn’t take priority?
I think we tend to under value what we will achieve from getting out and ‘smelling the market’.
We have just finished our last face-to-face event for 2009 – The Brew live & local in Perth. And with 13 years of these live events behind us I can tell you that what is common to the feedback we receive from delegates, presenters, exhibitors that we receive is that they have topped up on a big dose of motivation. They have tapped into a new source of energy. It’s like an injection of Vitamin D for their business - Just through meeting people; having a chat; focusing on other people’s business for a change.
All the motivation ‘gurus’ tell you to set goals, stay focused, keep your eyes on the prize. But how do you keep that motivation going if you are working in isolation or with the same bunch of people around you every day?
You need to shake it up a little. Chat to people in different industries. Find out how others are handling market issues or internal business challenges. Broaden your own horizons by hearing about other people’s experiences.
It’s hard to do....unless we find the time and make it a priority. It’s a bit like going to the gym. It really does feel like a chore before you go – but once you are there and for a few hours afterwards, you feel great.
The common lament is of course ‘I don’t have time’. Well - that’s rubbish. Because you have choice. If you decide that live events are a priority, you will make the time.
Whether it is a chamber function or a tweetup; a B2B event or Christmas drinks; during the silly season and throughout 2010 make a point of getting out into the market place and tap into the energy that is out there.
You can have the best business ideas in the world, with a solid business plan, and a clear marketing strategy – but you aint got a thing if you aint got the zing to keep it driving forward.
Where do you get your zing?
When you get out of your business where do you go - and what do you get out of it?
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Wednesday, October 21, 2009
Good mate and Brew Crew member David Wilson has just returned from another one of his once in a lifetime adventures: Walking the Kokoda Trail.
He has also run around the base of Ulura (which took about year of treadmill training IN A SAUNA), and run The Great Wall of China.
(And for those who have shared a meal or two with David you will know that he has tackled all of these milestones fuelled almost exclusively on vanilla ice-cream swimming in chocolate sauce)
For me they are the sort of endeavours that you look upon from a distance and think “Isn’t that cool that someone wants to do that...Good for them...Well done” but would never consider attempting yourself.
I was like that about small business years ago. Thought it was great that people like my mother ran their little businesses. Well Done You! But really – no company car? Officeworks instead of the Stationery Cupboard? Who is paying for the Christmas Party?
But from this side of the adventure I realise that running your own business is just like what I imagine David went through preparing for his time in New Guinea – and hopefully as fulfilling and satisfying.
Here’s my top 8 for walking Kokoda or running your own business:
1. The idea
You have to have that spark. The “What about if...” moment. The thing that makes you start to dream and imagine what could be achieved. Picturing yourself at the end of the marathon or behind your own desk.
2. The passion
But just thinking about it once isn’t enough. Then you have to have the passion to keep the spark alive. Passion that drives you through the moments of “What the hell am I doing here?.
3. The training
We don’t just know how to do something simply because we want to do it. Anything worth doing is worth doing well – and doing it well comes from preparation and training. Learning, testing and adjusting skills and abilities that we may not have had to use before.
4. The bravery
Perhaps the biggest requirement is bravery. Being strong enough to ignore the nay-sayers; taking on competitors and harsh conditions; fronting our own self-doubts; putting ourselves in brand new situations and hoping we have the guts and the werewithal to survive.
5. The Right Gear
Having the wrong tread on the shoes you are wearing to tackle shaky bridges, damp moss, deep mud and steep rocks of New Guinea can bring you down. It is the same with not having the right equipment and software to perform our business roles; we need the correct gear to complete our tasks efficiently and on time.
6. All over fit
Having a mind and body attuned to the task is imperative. Your brain may be running at a hundred miles an hour but if your back is killing you, you can only work at half speed. And part of staying fit is to ensure that we don’t take on too heavy a load in any one area of our life.
7. The support team
Even in a solo business, we are part of a team. You need to have a support team around you – that includes suppliers, mentors, and advisors - and be prepared to lean on them.
8. And when the adventure is over, or when we feel that we have successfully tackled one of the mountains in our business, what we really need is new goals. In David’s case that next goal is the Antarctic (so at least he will be able to keep the ice cream cold!).
Unlike Kokoda it isn’t physical life or death, but how we run our business impacts upon the journey of our lives. It is a big part of how we choose to live; how we afford ourselves the time, space and resources for the most important elements of our lifestyle.
Sometimes it is just one foot in front of the other. Sometimes it is a skip and a jump.
On behalf of all of us who wouldn’t consider walking Kokoda, trekking the Himalayas or entering a marathon, to those who do these things regularly: Are You Mad?
And from all of us here in our own businesses to those of you yet to join us....Yes, just a little bit.
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Tuesday, September 01, 2009
The whole purpose of business is to hunt down customers, attract them to your business, and rust them on for the long term. We all want to have happy satisfied customers who throw money at us in exchange for our product or service.
A measure of the success of your business is how many customers you have, how thrilled they are to do business with you and how often/how much they are prepared to spend to show you their love.
But perhaps a sign of business strength is the ability to reject – or sack – customers for who you can’t add value and are likely to damage your business by demanding more than you can give, by distracting you from the main game, or just by causing you a great deal of frustration.
For a small business that spends a lot of time trying to capture customers it takes considerable guts to throw one back – especially in the early days. But it is a situation that we will all face.
Customers, despite what we may think some days, are people. And, so are we. Which means that however professional we are, we have opinions. And beliefs. And values. And sometimes these things are going to clash.
Because we are people, people. People who need people! And there is always the very real potential to rub each other up the wrong way.
The only thing you can do is recognise that we are all different. That there are two sorts of people. There is US. And then there is THEM.
Do you recognise any of the “Them” customers that Debra Templar has described?
Which of these customers can drive you round the bend? Which are the ones that you can learn to work with?
Is there any particular sort of customer that can damage your business - or is it just about learning to get on with different personality types?
If you can recognise the challenging customer you can choose to manage them or be prepared to discourage – or at least not chase – their custom in the first place.
And next time you come up against that challenging customer remember :
(1) You have the power to sack ‘em
(2) And for one of your suppliers, you may just be one of “Them”
Ever sacked a Customer? Click "Comment" and share your story.
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Tuesday, July 28, 2009
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When I signed up for Twitter about a year ago I was a bit of a Twitter Agnostic – not sure if the Marketing God could really be in the detail of 140 characters message. But it was a bit like knocking on wood, crossing yourself or throwing a bit of salt over your shoulder – better go through the motions just in case it all turned out to be true.
Over the past few months more and more people are talking about Twitter. For some it has become a religion. For others it is a miracle – a miracle that grown adults are actually spending time doing it.
There is a lot of navel gazing by tweeps (people who tweet) who twit away about how great twittering is; thousands of articles spread by tweets (those little messages) about how to ....spread articles by Tweets. Followed by another thousand RT (re-Tweets) of exactly the same information. The Number One trending social media topic on Twitter is...Twitter. For those who can’t see the value in micro-blogging it is just a lot of belly button fluff.
And when you read tweets like: “I wish my name was Diana because I love the song Dirty Diana by Michael Jackson” Or: “Think you could be our first naked masterchef??? “ it is not surprising that a lot of business owners/managers are less than impressed with Twitter as a marketing tool.
But a bit like the growth of Email – when the spammers and porn arrive at the party en-masse then we are probably onto something. Perhaps a more legitimate indicator of Twitters role as a valid communication tool should be that ABC Radio, emergency services and Police are all doing it.
The big argument against Twitter is “where is the ROI”? I agree with Jonathan Crossfield who questions why Twitter needs to prove its financial worth to be a worthwhile marketing tool. Long before Social Networking/Web 2.0 unless your marketing tactic had a measurable direct-response mechanism it is almost impossible to identify direct ROI for individual communication tactics. And looking for a directly attributable sale from a marketing tactic does not take into account how ‘marketing works’ – the need for reach, frequency, branding and multiple touch points.
Would the same business owner question the value of their brochures? The brochure has to be written, designed and printed. It sits on the stationary shelf. And gets given out to clients. Do you have an income line against the print expenditure in your budget? Does the Telstra account get evaluated against the revenue of the sales reps who use the ‘phone?
The ‘failure’ of Twitter to deliver a Return on Investment could in fact be laid at the feet of business managers who have unrealistic goals as to what Twitter can achieve. In this recent webinar (with a director’s cut of the slide deck) close to 1000 ‘delegates’ where asked to vote on their objectives for using Twitter....around 70% said direct-sales. That means 700 people who are going to be disappointed with Twitter - which is in fact a communication tool, not a sales one.
Like many Twitter Doubtfuls I googled “What is Twitter” and “How to use Twitter” before I actually jumped in. There are many thousands of articles, blogs, podcasts and tweets on the basics of getting up and running and (the latest, written and released by Twitter last week, and probably the only one you need is http://business.twitter.com/twitter101/) and every one of the ‘how to’ articles tell you that all you need to do is tell people what you are doing.
Now this may have been how it all started out – but it just isn’t logical and it is not the way that people work. I actually don’t care what you are doing unless I care very much about you. And let’s face it – I only care very much about you if it means something to me!
If you follow the Twitter faithfuls you will see that very few, in the business to business marketplace at least, tweet about what they are doing. Instead they network.
And I think Networking is actually what the Twitterverse is all about....
If you were to use Twitter as if you were at a live in-your-face Networking Function, you should be able to achieve the same sorts of outcomes – start a conversation, build a relationship, set up an appointment, build awareness, give advice and assistance, get and give feedback. With these goals in mind your investment of time, resources and creativity of tweeting would be a lot more meaningful.
If you are considering dipping your toe into the twitter pool – or you are already twittering – here are a few rules from live networking that I think you should apply.
Don’t keep repeating yourself
You wouldn’t walk up to a person at a networking function and keep saying the same thing over and over again. Don’t keep repeating your tweets.
Don’t just talk about yourself
When you meet someone face to face you usually ask about them....if not immediately certainly within the first couple of minutes. It should be the same on Twitter. Two way. Conversation. Back and forth. Give and take.
Don’t just repeat what other people are saying
You may read something that is really worth passing on – so, pass it on. But ‘re-tweeting’ is not the only way to join the conversation. If you were at a live event you wouldn’t keep walking up to people and telling them what someone else was saying. Share your own thoughts. State your own opinion. Have your own view. It gives people an idea as to who you are.
Don’t go the hard sell
Generally. In life. Particularly in Marketing. It is not about selling. It is about engaging, informing, entertaining, building trust and promoting value, with the aim of achieving a satisfied customer.
Do offer advice and referrals – if asked for.
If people are looking for a contact, a connection, give them one of yours. Be helpful. What does it cost you? And what is it worth to them?
Do listen
Yes. Not just, as some social media experts will tell you, to what people are saying about you. Listen to what they are saying generally. What are they saying about others in your twitter gang? Listen in, learn from it, and pass it on.
Do follow up
After the networking function there will be a couple of people you can follow up with – shoot them an email, send them a link, give them a call. It is the same in the Twitterverse.
Ultimately you should be aiming to generate “word of mouth” (or as Seth Godin has coined ‘Word of Mouse’) and achieving Return on Influence. And the only question you really need to ask yourself is: Are my customers on Twitter? If they are, then just like great networking functions, you should be there too.
Any thoughts or suggestions you want to share about Twitter? Let’s chat at www.twitter.com/TheBrewCrew or Comment (click Comment below).
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Tuesday, June 30, 2009
A recipe for success
If you have recently considered whipping up a Croquembouche, now know the difference between farrow and barley and find yourself admiring a jowly restaurant critic in a jaunty cravat you may be one of the almost 2million people hooked on Channel Ten’s surprise hit, Masterchef.
So we thought we would give you an excuse to indulge in your guilty pleasure by analysing Masterchef from the view point of business management. What Masterchef hints and tips can we apply to our business - not just to our kitchens and dining rooms?
Layer upon layer upon layer
At its core Masterchef is a cooking show. But it is much more than just a demonstration of cooking: It is also a travel show, a showcase of amateur local cooks, and a competition.
Ensuring that your customers experience the depth of your product or service on a number of levels and via a number of touch points (in the case of Masterchef – TV, web-site, forums, facebook, twitter) helps you to rust them onto your business by providing them with multiple meanings and connections.
Customers are not just interested in ‘what’ you are, but ‘what it means’ to them. Charles Revson of Revlon once said: In the factory we make cream, in the shops we sell hope. In the case of Masterchef, “what it is” is a cooking show – “What it means” is layers of entertainment - the opportunity to discover new techniques, pick up new information, barrack for a team, join a community, and identify with the competitors for whom we form a ‘bond’.
What are the layers of meanings and connections of your business for your customers?
Add seasoning to the customers’ experience
It doesn’t matter how great a cook you are – You still need a dash of seasoning to bring a dish to life. The best dishes don’t need salt added to the finished plate – the chef has already anticipated how to maximise the flavour.
The seasoning that you can add to your business is simple things like regular communication, an easy to use web-site or extended trading terms; things that the customer appreciates but hasn’t had to ask for; the sort of extra features that you only notice when they are gone.
Be true to the menu
The only way to build trust into the relationship with your customer is through consistency and authenticity. There is absolutely no point in just saying “trust us” – You actually have to deliver what you say you will and prove through your actions that your value their custom. That means not promising a succulent and tender camel casserole, serving up a tough old inedible brown boot instead and commenting to the diner “People always say that dish is awful” as they clear the plates (true story!).
It also means not making excuses because the supplier let you down and you’ve had to swap a vital ingredient; complaining that you shouldn’t be expected to do any better because a particular component is out of season; or waiting until your guest is ready to settle their bill to let them know you don’t take their card.
Don’t over promise - just aim to over deliver.
Give away your recipes
There is no better way to establish your expertise in your key skill than to freely share your knowledge. In the case of Masterchef that means conducting a weekly master class. They also publish all of the recipes on their web-site.
What expertise can you share with your customers? And what channels can you use to share them? Potential customers are much more likely to approach businesses that have already ‘given’ them something and have actively demonstrated their confidence in their skill set, than a business who keeps things close to their chest.
Have a great balance of front and back of house teams
It may only be the waiting staff who directly engages with the guests – but a big part of the customer experience is obviously dependent on what is going on back stage. Even though your staff members are selected for different skills or mind sets, they still have to have enough in common that they can work as a team. And despite different roles – some more ‘glamorous’ than others – and perhaps even a tad of competition between them - they need to respect each other so that the customer can immediately pick up on the positive vibes and feel comfortable and confident dealing with the business.
Don’t dish up a dog’s breakfast
It doesn’t matter how great the dish tastes if it looks like it has been thrown on the plate. Great design in your business – both the functional aspects of your products and services, their ease of use and being fit for their purpose, and the visual appeal of your product and service, including your communication pieces, web-site, shop front, how your staff are dressed, are all vitally important elements to convey your brand and quality to your customers. Importantly, applying that extra care – the garnish – tells your customers that they matter.
Prepare for judging
To generate water-cooler talk you need to be word of mouth worthy. That doesn’t mean that you have to be the better than every business out there – You just need to nail the expectations of your customers at what it is that your business does for them. Run your business as if every day there is a chance that Matt Preston might walk in the door with the power to award you Michelin Stars or pan you.
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Wednesday, May 20, 2009
Few people will voluntarily put their hand up and ask for the poo to hit the fan let alone yell “throw it to me, throw it to me”. But all those clichés about “what doesn’t kill you....” and “when the going gets tough....” can actually be true, if you are in the mindset to embrace change.
In fact the steeper the challenge, the higher the mountain, the bigger the risk, the more likely you will be forced to tap into super-human strengths that you didn’t even know you had.
When the downturn first hit there were those who put their head in the sand (...taking the occasional peak to see if it had all passed by yet), and those who ran around with their hands in the air screaming ‘the sky is falling, the sky is falling’.
Back then, about six months ago, we discussed that the mess we were in could actually be a source of opportunity for small business; that we had the option to do nothing, or do something.
And the longer the market wallows in the bogmire the more and more people are coming out of the ‘Let’s sit it out’ state of mind and getting real about embracing change...and actually doing something. Hallelujah!!
So, what is the ‘something’ that you have done in the past 6 months – the new way of thinking or doing that frankly you probably wouldn’t have got around to otherwise?
Tweaking (and tweeting) your marketing?
Hopefully you haven’t just stopped marketing....Aaagghh. But the market itself has probably forced you to do some fine tuning. All reports are that more and more marketing dollars are migrating online. Many small businesses that weren’t already in the space are now testing social media like Twitter, or trying their hand at blogging; getting their head around AdWords or undertaking upgrades to their web-sites. Where is your head at with marketing your business? Are you still going for mass reach or has the downturn forced you to get more direct?
Creating new profit centres?
I would be the first person to scream against the non-strategic and often brand-debilitating practice of endless line-extensions. But there are new products and services that can be strategic and core to your business that will allow existing customers to spend more and become more rusted onto your business. Think the salad bar that offers soups in winter as a very basic example; or training courses in your core competency; the accountant who offers a monthly service to pick up your box full of invoices and receipts; or this for builders and estate agents http://sethgodin.typepad.com/seths_blog/2009/04/on-becoming-proactive.html.
The best way to tap into new profit centres is to ask your existing customers what they do and don’t want from you. And be very careful that you don’t just put a price tag on a service that you have been offering all along....
Forming strategic partnerships?
Are there tasks that you do in-house for your customers that other small businesses offer? Can you form strategic partnerships to build a team of like-minded businesses targeting the same market with complimentary services? Have you built in a lead-referral or commission structure?
Jettisoning all the extra stuff?
When the going gets tough and we all get really focused upon our core business it is time to get rid of all of the stuff on the periphery – and that can include the occasional or difficult customer. Have you had to question some of your processes, suppliers, and stuff to work out what you really need – vs what you have got use to having? Getting rid of stuff doesn’t necessarily mean less – in fact it could well lead to more!
Finding a new funding model?
Customers want value. But that doesn’t necessarily mean discounting your prices. Remember - you will need to come out the other side of this recession without establishing that the true price for your product is 10% of what they have paid before! Have you adjusted your prices to offer quicker shorter versions of your service? Or addressed whether there are a variety of pricing models for a variety of your products or services for different segments of your customer base?
In our opinion this recession thing ain’t all bad. Now there are a stack of business operators out there who can no longer hide behind “why?” and are embracing “why not?” as they tap into their previously unmined Super Hero Powers.
What’s yours?
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Monday, February 02, 2009
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You know if you take a turn a little too fast and a little too tight - and the back end starts to fish tail out? How every fibre of your being wants to break hard and steer in the opposite direction?
I read a blog recently that used the analogy of a driver’s natural intuition when losing control of a car - to steer the other way, over correct and slam the breaks on - with how business instinctively wants to withdraw from marketing when facing a downturn.
As we all know you should actually turn into the skid and apply a bit of acceleration...And it is the same with our businesses.
Pardon the cliche but when it comes to your business you are in the drivers seat. You can't just pass the keys to someone else and take a nap in the back. You may not be able to do much to change all the big picture stuff going on around you, but you can apply some basic tools and the right attitude to calmly steer into the skid that is the current economic downturn – and accelerate out the other side.
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1. Mirror, mirror on the wall
Take time, every week, to take a long hard look at yourself. You may have managed to get by until now without a business plan, let alone a marketing strategy, but without these tools you are going to be floundering going forward. Do an analysis of your cash flow and your pricing. Check that your business plan is still on track and adjust accordingly. Prepare a marketing strategy and follow it. Are you really running your business the best, most efficient and most enjoyable way that you can?
2. Lose control
As business owners we are not the only ones in control of our business – our customers have as much say – if not more - about where we are going and how we should get there as we do. Take this time to find out how your customers would run your business if all of the decisions were theirs....And then follow their direction. Do they want better service? Find out what is important to them and then ways to introduce it to the customer experience. Do they want increased value? Get innovative and work out ways to increase the value to them and the return to you. Thrill your customers by appointing them as the boss of your business and then build your business by installing the systems and processes to deliver what the boss wants.
3. Step into the light
Keep in touch with the business community – use this Network and any other opportunities that you have to be an active part of that community. Attending events, seminars, workshops, networking functions, is all about keeping your drive and motivation up – and your eyes and ears to what is really going on at the grass roots.
4. When the going gets tough, the tough go shopping
Have a look at all of the products and services that you are using in your business and evaluate what still works for you – and what you are using just for convenience. Do you need new providers? Do you need to access professional services? Are you getting the best rates, service, advice? Now is the time to evaluate existing and potential new relationships and set up the supplier networks for your business (and if you have some great suppliers who you decide to stick with, pop across to our online Forum - the Water Cooler - and tell us about them!).
5. Embrace your inner “Grasshopper”
Find one or more business mentors or masters who can share their wisdom. Tap into advice from people who have been there and done that. For those who have been in their own business for less than a decade, this market – this economic downturn – is weird and a little frightening. For many of us, we have faced these challenges before. Don’t restrict your search for advice and guidance to just one person, or even just to your industry or business sector: Search online, read magazines, check out reference texts, find out what government programs are available to you. Be prepared to listen, to learn – but more importantly to take off the blinkers and be open to change.
6. Expose yourself
Once you have nailed the best way to do business, promote it. And then promote it. And, finally, promote it! Find as many ways as possible to put your business product/service/brand out into the market place. Identify marketing opportunities that deliver your key messages to your ideal customers. Nail just the right offer, language and design that really talks to your audience. Look for both reach and frequency. Find ways to join the conversation – both online and off. It doesn’t matter how great your widget if no one knows it’s out there.
7. Get out of your business
For analytical tools, information, motivation; to access experts, market your business, find new customers and evaluate suppliers, do something that you can really do something about. Be part of the ultimate 'social media' marketing tools - events and exhibitions.
There has not been a more ideal time in the past decade or so to determine how to work smarter – and then do it. This is THE time for working ON your business. Remember that potential customers are still out there - forming their own perceptions, making new relationships, doing their research, planning for their future. The only way to be a part of that future is to be a part of what they are doing now.
So, in your 'working on' your business times, what are you doing NOW to move forward and accelerate out of the skid? Share your tools and tips with other readers by 'commenting'.
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Tuesday, November 11, 2008
Effective communication is not about what you want to say - it is all about listening.
Effective communication - like all aspects of marketing - should take into account the needs, wants, desires and mindset of the person who is going to hear or see the message - not just what the messenger wants to be heard or seen.
You may want your customers to know that over 90% of your trains run on time.
Your customers, on the other hand, want to know why they couldn’t catch a train home after a day at the races.
The big news in Melbourne last Friday morning was that tens of thousands of race goers had been stranded for two hours the night before at Flemington station, in trains stopped between stations and upon inner city platforms.
They were jumping out of rail carriages, walking the tracks, knocking on car windows and begging strangers for a lift home – but most of all they were asking ‘what’s going on?’.
By the next morning the people phoning talk back radio, writing to the editors, shaking their heads; sharing the story at supermarket checkouts, around water coolers and across cafe tables weren’t complaining about the network breaking down. They understood that things break.
What they didn’t understand was why no one told them what was happening; that despite having railway staff on every train (with public address systems in lots of carriages) and at the stations, that no one from the railway told the stranded passengers what was going on.
Some 16 hours later the rail company held a media conference to unreservedly apologise – for the system breaking down.
Is that what the customers wanted to hear? It certainly wasn’t for the people calling talk-back. They took the failure of the railway to communicate during the crisis to be a far bigger problem than a mechanical issue with the network. The railway may have thought that they should fix the network, to rush their passengers home and talk later, but not letting the passengers know what was going on (Was it a bomb? Has there been a crash? Should we stay on board or walk the tracks? Is that safe?) demonstrated a total lack of empathy.
And though their customers told them where they had got it wrong via their blogs, talk back calls, letters to the editor, complaints to the switchboard...Even then, they didn't listen. They just kept apologising for the me.chanical problem - with the disclaimer that it was a 20 million to one problem
Actively demonstrating to your customers that you just aren't listening to them really doesn't enhance your brand.
The communication issue went from bad to worse by Saturday morning when the railway took out full page ads in the Herald Sun and The Age to unreservedly apologise for the breakdown (lots of details about the technical fault – not one reference to not having kept the passengers informed) and stated that they were donating $100,000 to a charity to make up for it all...
But between signing off on the ad on Friday afternoon, and publication of the ‘papers very early Saturday morning, they had changed their mind about whether a charitable donation was the right tactic – so withdrew the offer (but not the ads) and announced in the editorial space that race goers that day would receive free travel home, but sorry, no charitable donation.
Confused? You should be.
In this case the lack of communication during the crisis sent a very clear message. And when they did start to talk, they said one thing - and then did another. They focused upon the signals on the track - but didn't stop to think about the signals they were sending, not just to the tens of thousands of passengers effected on the day - but the broader community of potential passengers.
In a true customer focused culture the first instinct is to tell your customers what is going on – even when it is bad news.
When your factory screams to a halt, when the truck breaks down, when your software goes bang and you can’t get the project finished on time, is your tendency to get all hands on deck to fix the internal problem, to get things moving again, and then to talk to your customers?
Or is it to put yourself in the mind – and maybe the tired feet – of your customer and recognise that though they may forgive you for failing to deliver, that they are unlikely to thank you for being kept in the dark?
What do you think?
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