I was reading an article by Elder and Paul (With Implications for Instruction) recently. It was a little involved, but in a list at the end of the article I saw four things that, in my experience, are prime reasons why plans fail. These may be something to keep in mind as you’re preparing for 2011.
1) Clearly state your goal(s): It’s not so much that you don’t know what you want. But plans usually require the cooperation of other people, and words are slippery things. If you don’t nail them down, you may find that they are interpreted differently by your co-workers. And that makes it difficult-to-impossible to define and execute implementation steps.
2) Clearly differentiate between facts and assumptions: Erase the words “Everyone knows…” from your lexicon. Hard as it is to believe, not everyone shares the same understanding of the world that you do. If you and they realize this, it can be relatively easy to come to agreement. But if you proceed thinking the light is green while they think it’s red, you’re facing confusion at best, and failure at worst. Your plan is, of necessity, based on information. Make sure that information is accurate (ie. provable and unarguable) before you place your bet.
3) Consider alternate points of view: Don’t get me wrong, I think confidence is a good thing. But the smartest people I know keep in mind the possibility, however upsetting it may be, that they might occasionally be wrong. Before they irretrievably commit themselves, they pilot test, reconsider, double-check, think twice, or otherwise consider the consequences of being incorrect. Anyone who thinks they are the sole repository of “right”…isn’t.
4) Distinguish between the significant and the insignificant: When you’re making plans, try to keep it all at the same strategic and/or tactical level. This helps you decide where you should be dedicating your (finite) time and money. A plan for realigning the company’s product portfolio should not also be dealing with redesigning the logo on the letterhead. It’s kind of like political earmarks--don’t let someone tack a grant for the local public television station onto your military appropriation bill!
Sunday, November 14, 2010
Three steps to STAYING ON MESSAGE!
No, although the current election brought the thought to mind, I’m not talking about politics. I’m talking about how every year it gets harder to make sure that your company’s (or brand’s, or product’s) message is being consistently communicated.
Even before advertising and mass communication, companies worked hard to keep their individual salespeople singing out of the same hymnal. Then we added in print and broadcast media. And today we’ve piled on the internet and social media. And it’s not just the different mediums. You also have to consider the type of communication--promotional versus brand-building versus public relations.
In today’s attention-challenged world, it makes sense that you want your company’s message confined to a handful of easily understood and remembered points (hopefully focused on competitive advantages). Frankly, you’re doing well if you can communicate that much!
So here are three steps you should ensure are being taken by your marketing team:
1) Know what your message is.
Keep it simple-- no more than two to three points.
Focus on competitive advantages--if your points are generic, they’re just as likely to be associated with the competition in consumers’ minds.
Make sure you’ve got internal buy-in for your messaging (you don’t need co-workers sabotaging you by delivering by communicating conflicting information)
2) Make sure everyone in your company knows what your message is. EVERYONE! The service department, manufacturing, billing, the company lawyers, the distribution department, and your mother. Because if they don’t know what the official message is, they will make up their own. And you won’t necessarily be happy with what they choose.
3) Make it someone’s responsibility to continually monitor what’s being said about your company to ensure it is consistent with your message. Not just online (although that’s an important venue), but in any communication and on any materials your company disseminates. Advertisements, news releases, promotional items, trade show literature, letterheads-- everything! If you’re not vigilant, you’ll be surprised how fast and how far you can drift off message.
In any competitive situation, it matters what you say. Make sure you’re saying what you want to about your company, brand or product. It will pay off!
If you’d like assistance in staying on message, YOUR CMO is here, and happy to help
Even before advertising and mass communication, companies worked hard to keep their individual salespeople singing out of the same hymnal. Then we added in print and broadcast media. And today we’ve piled on the internet and social media. And it’s not just the different mediums. You also have to consider the type of communication--promotional versus brand-building versus public relations.
In today’s attention-challenged world, it makes sense that you want your company’s message confined to a handful of easily understood and remembered points (hopefully focused on competitive advantages). Frankly, you’re doing well if you can communicate that much!
So here are three steps you should ensure are being taken by your marketing team:
1) Know what your message is.
Keep it simple-- no more than two to three points.
Focus on competitive advantages--if your points are generic, they’re just as likely to be associated with the competition in consumers’ minds.
Make sure you’ve got internal buy-in for your messaging (you don’t need co-workers sabotaging you by delivering by communicating conflicting information)
2) Make sure everyone in your company knows what your message is. EVERYONE! The service department, manufacturing, billing, the company lawyers, the distribution department, and your mother. Because if they don’t know what the official message is, they will make up their own. And you won’t necessarily be happy with what they choose.
3) Make it someone’s responsibility to continually monitor what’s being said about your company to ensure it is consistent with your message. Not just online (although that’s an important venue), but in any communication and on any materials your company disseminates. Advertisements, news releases, promotional items, trade show literature, letterheads-- everything! If you’re not vigilant, you’ll be surprised how fast and how far you can drift off message.
In any competitive situation, it matters what you say. Make sure you’re saying what you want to about your company, brand or product. It will pay off!
If you’d like assistance in staying on message, YOUR CMO is here, and happy to help
Wednesday, September 29, 2010
Are you evolving?
If you haven’t noticed, we’re living in a time of accelerated evolution.
You remember evolution. Darwin goes sailing and ends up rocking the establishment by proposing “only the strong survive” (made into a popular song by Jerry Butler in 1968).
EVOLVING TECHNOLOGY
Physical evolutionary changes still take millennia. But technological evolution has gone from taking centuries to decades to years to months. Mobile phones are replacing laptops which replaced desktops which replaced mainframes. 3D movies are succeeding 2D movies, digital recording has made film extinct, email has almost replaced snail mail, and so on. New technology can be outmoded before it is even introduced.
Since the pace of technology is unlikely to slow at our request, it behooves us to learn how to surf the technology wave. Those who succeed will “evolve” and prosper. Those who do not will join the Neanderthals.
EVOLVING MARKETERS
Evolving marketers don’t need to master every new tool or technique. They just need to know enough about it to fit it into their marketing toolkits. Is Twitter appropriate for every business? No. But marketers need to know enough about Twitter, or Search Engine Advertising, or Foursquare, or whatever, to understand when it is appropriate.
The evolving marketer is the proverbial “jack of all trades, master of none.” Instead of mastering specific tools or techniques, this marketer concentrates on building a network of experts who can be called on to execute programs. This marketer taps opportunities to stay abreast of change, and learn the pros and cons of the options it provides. And this marketer develop the ability to analyze problems so that he or she can select the right options to provide a profitable solution.
If you feel like your marketing is living in the past, remember Your CMO has the analytic ability, up-to-date knowledge, and expert network to provide evolutionary marketing for any of your needs.
You remember evolution. Darwin goes sailing and ends up rocking the establishment by proposing “only the strong survive” (made into a popular song by Jerry Butler in 1968).
EVOLVING TECHNOLOGY
Physical evolutionary changes still take millennia. But technological evolution has gone from taking centuries to decades to years to months. Mobile phones are replacing laptops which replaced desktops which replaced mainframes. 3D movies are succeeding 2D movies, digital recording has made film extinct, email has almost replaced snail mail, and so on. New technology can be outmoded before it is even introduced.
Since the pace of technology is unlikely to slow at our request, it behooves us to learn how to surf the technology wave. Those who succeed will “evolve” and prosper. Those who do not will join the Neanderthals.
EVOLVING MARKETERS
Evolving marketers don’t need to master every new tool or technique. They just need to know enough about it to fit it into their marketing toolkits. Is Twitter appropriate for every business? No. But marketers need to know enough about Twitter, or Search Engine Advertising, or Foursquare, or whatever, to understand when it is appropriate.
The evolving marketer is the proverbial “jack of all trades, master of none.” Instead of mastering specific tools or techniques, this marketer concentrates on building a network of experts who can be called on to execute programs. This marketer taps opportunities to stay abreast of change, and learn the pros and cons of the options it provides. And this marketer develop the ability to analyze problems so that he or she can select the right options to provide a profitable solution.
If you feel like your marketing is living in the past, remember Your CMO has the analytic ability, up-to-date knowledge, and expert network to provide evolutionary marketing for any of your needs.
Thursday, September 9, 2010
“80% of Success is Showing Up…”
…is a famous Woody Allen quote. You can apply it in several ways.
During a recent sales brainstorming session, two of these applications jumped out at me.
1. You need a presence. Like the lottery commercials say, if you don’t play, you can’t win.
2. You can’t just “phone it in.” You have to give it your best effort.
Staying in touch with prospects is hard, and requires a disciplined partnership between sales and marketing. Once the seller has identified the right person for the right product, MARKETING can provide the automated touches to maintain awareness and build credibility until the right time occurs and the prospect (hopefully) raises their hand. Meanwhile, through periodic face-to-face meetings, SALES refines the seller’s understanding of the prospect’s needs and wants, and closes the sale when the time is right.
Back to Woody’s quote, and the two applications identified above. You have to stay in touch with the prospect. You need an ongoing presence--mailings, calls, and occasional face-to-face meetings.
And your presence has to be meaningful. I’m talking about tailoring my communications to the prospect’s needs and stressing your product’s benefits at every opportunity. Sending someone a generic ‘newsletter’ once a quarter doesn’t cut it. Neither does a phone call or lunch to “see how things are going.”
We’re all pressed for time and we’re all being pushed for results. But developing a customer relationship is something you cannot rush. You have to “show up” regularly in a meaningful way. Remember, that’s 80% of success!
During a recent sales brainstorming session, two of these applications jumped out at me.
1. You need a presence. Like the lottery commercials say, if you don’t play, you can’t win.
2. You can’t just “phone it in.” You have to give it your best effort.
Staying in touch with prospects is hard, and requires a disciplined partnership between sales and marketing. Once the seller has identified the right person for the right product, MARKETING can provide the automated touches to maintain awareness and build credibility until the right time occurs and the prospect (hopefully) raises their hand. Meanwhile, through periodic face-to-face meetings, SALES refines the seller’s understanding of the prospect’s needs and wants, and closes the sale when the time is right.
Back to Woody’s quote, and the two applications identified above. You have to stay in touch with the prospect. You need an ongoing presence--mailings, calls, and occasional face-to-face meetings.
And your presence has to be meaningful. I’m talking about tailoring my communications to the prospect’s needs and stressing your product’s benefits at every opportunity. Sending someone a generic ‘newsletter’ once a quarter doesn’t cut it. Neither does a phone call or lunch to “see how things are going.”
We’re all pressed for time and we’re all being pushed for results. But developing a customer relationship is something you cannot rush. You have to “show up” regularly in a meaningful way. Remember, that’s 80% of success!
Start with the easiest or hardest problems first?
You’ve probably heard the saying: “When you’ve got a hammer, everything looks like a nail.”
Each of us has developed a toolkit of tools and processes which have worked for us in the past. And those are what we use to solve new problems as we encounter them. In fact, we tend to prioritize problems based on how easily we think they can be solved using this toolkit. Problems that don’t “fit” our toolkit tend to get pushed to the bottom of the list. And why not? Subconsciously, we’re prioritizing from “most likely to solve” to “least likely to solve.”
I’d like to suggest that if you want to be successful--both personally and corporately--you need to reverse those priorities. Anyone can use common tools to solve common problems. What you want to specialize in is finding new tools to solve uncommon problems.
Apple faced the seemingly insoluble challenge of trying to survive as a very weak #2 in a PC world. Instead of going head-to-head using conventional tools, they began redefining computers by use--creating the I-POD, the I-PHONE, and the I-PAD. Wouldn’t you like those successes on your resume?
Dealing with the little, common problems can be very satisfying. We all like to ACCOMPLISH. But solving little problems isn’t going help you build a competitive advantage. And solving little problems isn’t going to give your career that quantum leap you dream about.
So when you’re prioritizing, move the “insoluble” problems up the list. You won’t solve all of them; but then, it only takes one to turn you into a hero. Warning: These problems probably won’t respond to a “hammer.” So you’ll need to discover or design new tools. But then you’ll have a bigger toolkit than the rest of the pack, and isn’t that a good thing?
Looking for some help with your “insoluble” problems? Give me a call. I may have something in my toolkit that can help. And if not, we’ll invent something!
Each of us has developed a toolkit of tools and processes which have worked for us in the past. And those are what we use to solve new problems as we encounter them. In fact, we tend to prioritize problems based on how easily we think they can be solved using this toolkit. Problems that don’t “fit” our toolkit tend to get pushed to the bottom of the list. And why not? Subconsciously, we’re prioritizing from “most likely to solve” to “least likely to solve.”
I’d like to suggest that if you want to be successful--both personally and corporately--you need to reverse those priorities. Anyone can use common tools to solve common problems. What you want to specialize in is finding new tools to solve uncommon problems.
Apple faced the seemingly insoluble challenge of trying to survive as a very weak #2 in a PC world. Instead of going head-to-head using conventional tools, they began redefining computers by use--creating the I-POD, the I-PHONE, and the I-PAD. Wouldn’t you like those successes on your resume?
Dealing with the little, common problems can be very satisfying. We all like to ACCOMPLISH. But solving little problems isn’t going help you build a competitive advantage. And solving little problems isn’t going to give your career that quantum leap you dream about.
So when you’re prioritizing, move the “insoluble” problems up the list. You won’t solve all of them; but then, it only takes one to turn you into a hero. Warning: These problems probably won’t respond to a “hammer.” So you’ll need to discover or design new tools. But then you’ll have a bigger toolkit than the rest of the pack, and isn’t that a good thing?
Looking for some help with your “insoluble” problems? Give me a call. I may have something in my toolkit that can help. And if not, we’ll invent something!
Saturday, July 10, 2010
Stop others from undermining your marketing
As marketers, we spend untold dollars and hours to carefully craft our advertising to make a great impression. And as often as not, that impression is then undermined or destroyed by subsequent interactions and communications from other departments in the company.
Examples:
● I work like crazy to attract applicants for a new credit card. They go online to apply, and are faced with an application form drafted by lawyers and bureaucrats that is confusing to complete and difficult to understand.
● I buy an insurance policy (and you know what a tough sell that is!) and in return for my premium get a 60 page contract couched in words I’ve never seen before.
● My favorite retailer wants me to sign up for their loyalty club, and gives me an application form asking for so much information that it makes me feel like I’m applying for a job with the CIA.
NOT MY FAULT
“That’s not my fault,” I hear marketers say. “That form/application/communication isn’t my responsibility. That’s another department.” And strictly speaking, they’re probably right. But as a marketer you are (or should be) responsible for your company’s relationship with the prospect/customer.
There is absolutely no reason, other than laziness, that your company’s communications cannot be understandable and (dare I say it?) fun to deal with. Everyone pays lip service to the idea that we should treat people the way that we would like to be treated (Golden Rule) or the way they want to be treated (Platinum Rule). Then we turn around and treat them the way that is most convenient for us, and to hell with what they want.
So the next time you’re trying to figure out how to improve your prospect conversion rate or your customer retention, try looking at the hoops that you make people jump through to do business with you. The bar is set so low that it takes almost no effort to look better than the competition. Just take the time to work with your lawyers and service departments to create easy to understand communications, preferably with a consistently fun tonality. Like this opening to a system alert from MailChimp: “First and foremost, we haven’t changed the fact that we never rent, sell, or give away your list to anybody. That would be evil…”
People like to understand what they’re reading. And they like to laugh and smile. So to increase how many people like your company, and how much they like it, take the lead in getting your company to create communications that are easy to understand and fun to read. And enjoy the goodwill it creates.
Examples:
● I work like crazy to attract applicants for a new credit card. They go online to apply, and are faced with an application form drafted by lawyers and bureaucrats that is confusing to complete and difficult to understand.
● I buy an insurance policy (and you know what a tough sell that is!) and in return for my premium get a 60 page contract couched in words I’ve never seen before.
● My favorite retailer wants me to sign up for their loyalty club, and gives me an application form asking for so much information that it makes me feel like I’m applying for a job with the CIA.
NOT MY FAULT
“That’s not my fault,” I hear marketers say. “That form/application/communication isn’t my responsibility. That’s another department.” And strictly speaking, they’re probably right. But as a marketer you are (or should be) responsible for your company’s relationship with the prospect/customer.
There is absolutely no reason, other than laziness, that your company’s communications cannot be understandable and (dare I say it?) fun to deal with. Everyone pays lip service to the idea that we should treat people the way that we would like to be treated (Golden Rule) or the way they want to be treated (Platinum Rule). Then we turn around and treat them the way that is most convenient for us, and to hell with what they want.
So the next time you’re trying to figure out how to improve your prospect conversion rate or your customer retention, try looking at the hoops that you make people jump through to do business with you. The bar is set so low that it takes almost no effort to look better than the competition. Just take the time to work with your lawyers and service departments to create easy to understand communications, preferably with a consistently fun tonality. Like this opening to a system alert from MailChimp: “First and foremost, we haven’t changed the fact that we never rent, sell, or give away your list to anybody. That would be evil…”
People like to understand what they’re reading. And they like to laugh and smile. So to increase how many people like your company, and how much they like it, take the lead in getting your company to create communications that are easy to understand and fun to read. And enjoy the goodwill it creates.
Be a Promise Keeper
Walmart, General Electric, and Duke Energy came up with a slam-bang promotion. They mailed a coupon, good for a package of compact fluorescent lightbulbs (CFLs) to thousands of households. It could be redeemed at any WalMart store.
It was a tremendous opportunity for
● GE to generate sampling and build brand loyalty for their CFLs
● Duke Energy to build a “green,” consumer friendly reputation
● Walmart to attract consumers who would probably buy other stuff while they were in the store.
Only one problem--the offer was so good that the stores sold out overnight, and many people seeking to redeem their coupons were disappointed. I was one of those people. I don’t shop at Walmart often. But this offer was so good that I made a special effort to include Walmart on my next shopping trip. No bulbs.
I was persistent however. I kept the coupon in the car and when driving by a different Walmart a couple of weeks later I stopped and found--they were sold out too. End of effort. Now instead of the positive feelings (and sales) the promotion participants had hoped to create, they created a consumer with decidedly more negative feelings toward their companies and products.
Those negative feelings intensified when I received a follow-up post card recently apologizing for the “overwhelming response” and telling me the coupon expiration had been extended until July. The only problem is, I threw away the coupon months ago. Who saves a coupon that apparently can’t be cashed?
Wait, though. It says on the second postcard that I can visit a website for more information. Maybe I can download a new coupon there… Nope. There’s a number I can call in case I never got a coupon, but it’s too much trouble for a pack of light bulbs. I’ll just nurse my resentment, thank you very much.
This point was reinforced the other day when someone at an organization I belong to promised event participants that the person would post some recipes (for food served at the event) on the organization’s website. I’m the webmaster for the site, so I sent this person a message a couple days later asking for the recipes. The person replied that they were too busy to send them then, it would be a few days until they could get around to it.
I told them not to bother. By that time it was too late--the promise was broken. Just as I would not return to Walmart every week looking for lightbulbs, the members of this organization will not return to its website over and over looking for these recipes. My point is, fulfillment delayed is fulfillment denied. And fulfillment denied generates disappointment and negative feelings.
You go to a lot of trouble to make people like your organization and buy its products. Don’t disappoint them. It is easy to blow a lot of good will in a very short period of time. Be very careful to keep your promises, or don’t make them in the first place.
It was a tremendous opportunity for
● GE to generate sampling and build brand loyalty for their CFLs
● Duke Energy to build a “green,” consumer friendly reputation
● Walmart to attract consumers who would probably buy other stuff while they were in the store.
Only one problem--the offer was so good that the stores sold out overnight, and many people seeking to redeem their coupons were disappointed. I was one of those people. I don’t shop at Walmart often. But this offer was so good that I made a special effort to include Walmart on my next shopping trip. No bulbs.
I was persistent however. I kept the coupon in the car and when driving by a different Walmart a couple of weeks later I stopped and found--they were sold out too. End of effort. Now instead of the positive feelings (and sales) the promotion participants had hoped to create, they created a consumer with decidedly more negative feelings toward their companies and products.
Those negative feelings intensified when I received a follow-up post card recently apologizing for the “overwhelming response” and telling me the coupon expiration had been extended until July. The only problem is, I threw away the coupon months ago. Who saves a coupon that apparently can’t be cashed?
Wait, though. It says on the second postcard that I can visit a website for more information. Maybe I can download a new coupon there… Nope. There’s a number I can call in case I never got a coupon, but it’s too much trouble for a pack of light bulbs. I’ll just nurse my resentment, thank you very much.
This point was reinforced the other day when someone at an organization I belong to promised event participants that the person would post some recipes (for food served at the event) on the organization’s website. I’m the webmaster for the site, so I sent this person a message a couple days later asking for the recipes. The person replied that they were too busy to send them then, it would be a few days until they could get around to it.
I told them not to bother. By that time it was too late--the promise was broken. Just as I would not return to Walmart every week looking for lightbulbs, the members of this organization will not return to its website over and over looking for these recipes. My point is, fulfillment delayed is fulfillment denied. And fulfillment denied generates disappointment and negative feelings.
You go to a lot of trouble to make people like your organization and buy its products. Don’t disappoint them. It is easy to blow a lot of good will in a very short period of time. Be very careful to keep your promises, or don’t make them in the first place.
Monday, April 26, 2010
Does Anybody Care?
These lines are from the musical 1776, but they echo the concern of many advertisers. It doesn’t matter what vehicle you’re using. You want to know how many people see your message, and are they paying attention to it. Because until they do, they’re not going to take any action, like asking for more information or even (hopefully) spending some money with you.
The answer to the first question is, yes, your target market is there. And thanks to the vast array of advertising and social media vehicles available today, they’re easier than ever to reach. The tougher question is “Does anybody care?”
And the answer to that is, yes they do--but here’s the rub. They care about what they want to hear, not about what you want to say. So unless you provide content that’s relevant to their needs, they won’t care.
To be relevant, you need to listen to your target market. You have to understand what they need, and customize your products and services to meet that need better than the competition does. NOW they will listen. NOW they will care. NOW they will buy.
Basic? Yes. But you’d be amazed at how many companies take it for granted that it’s the vehicle that is broken, and not the product or messaging. Here’s the deal--all the communication vehicles work. Every one of them. Sure, some are more efficient than others. But they all work. If your advertising isn’t getting the results you want, it’s because you’re not saying what your prospects want to hear. Period.
It’s like the old computer rule: if your program doesn’t run, go back and check your input. If it still doesn’t run, go back and check your input. Repeat until it works.
Well if your advertising isn’t working, check your offering and messaging. If your advertising still isn’t working, recheck your offering and messaging. Repeat until it works.
Your CMO can help confirm the relevancy of your offering and messaging to achieve better results. Steve has developed and introduced 21 different products and product lines-- let him help you!
The answer to the first question is, yes, your target market is there. And thanks to the vast array of advertising and social media vehicles available today, they’re easier than ever to reach. The tougher question is “Does anybody care?”
And the answer to that is, yes they do--but here’s the rub. They care about what they want to hear, not about what you want to say. So unless you provide content that’s relevant to their needs, they won’t care.
To be relevant, you need to listen to your target market. You have to understand what they need, and customize your products and services to meet that need better than the competition does. NOW they will listen. NOW they will care. NOW they will buy.
Basic? Yes. But you’d be amazed at how many companies take it for granted that it’s the vehicle that is broken, and not the product or messaging. Here’s the deal--all the communication vehicles work. Every one of them. Sure, some are more efficient than others. But they all work. If your advertising isn’t getting the results you want, it’s because you’re not saying what your prospects want to hear. Period.
It’s like the old computer rule: if your program doesn’t run, go back and check your input. If it still doesn’t run, go back and check your input. Repeat until it works.
Well if your advertising isn’t working, check your offering and messaging. If your advertising still isn’t working, recheck your offering and messaging. Repeat until it works.
Your CMO can help confirm the relevancy of your offering and messaging to achieve better results. Steve has developed and introduced 21 different products and product lines-- let him help you!
Sunday, March 21, 2010
Great (and not so great) Expectations
Here is an excellent exercise for your sales and marketing team. Sit down together and list every positive and negative payoff you can imagine that might occur for someone purchasing your product or service.
For example: If someone buys your toaster, one positive is they might not burn their toast as often (because of the built-in heat sensor). Another is that people may admire how good it looks (because of its sleek European styling). A negative payoff might be that their spouse may yell at them (because of the high cost). Or that it might not fit on their counter (because of its bulky European styling) Get the idea?
This exercise is based on the EXPECTANCY THEORY of Victor Vroom (don’t you love that name?), which suggests that purchasing decisions are made based on the net of what we expect the positive and negative payoffs to be from purchasing that product or service. In other words, for each possible decision, we have an expectation of the pros and cons, which we then consciously and subconsciously weigh against each other in arriving at a decision.
At the end of your exercise, you’ll have a list of possible payoffs. Rank them by the likelihood that your target consumers will expect them to occur.
Then figure out how to minimize the likelihood and perception of the negative payoffs. For example if you have a high cost, you might want to stress how that cost is amortized over an extended period. This is a great way to identify and deal with problems you may not have been considering.
Finally, you’ll want to consistently include the top-ranked positive payoffs (which you’ve identified) in your advertising and collateral so that your prospects can visualize these outcomes. The idea is to allow viewers to “see” each outcome in a context that will ensure it is remembered at the appropriate moment in the purchasing process.
That’s why commercials often feature new car drivers being admired by beautiful women or handsome men, and why beer ads show people having a good time out with their friends instead of drinking alone in front of the television. It wouldn’t be surprising to find this exercise has identified a couple of payoffs that you’ve been slighting in your advertising or sales presentations.
For example: If someone buys your toaster, one positive is they might not burn their toast as often (because of the built-in heat sensor). Another is that people may admire how good it looks (because of its sleek European styling). A negative payoff might be that their spouse may yell at them (because of the high cost). Or that it might not fit on their counter (because of its bulky European styling) Get the idea?
This exercise is based on the EXPECTANCY THEORY of Victor Vroom (don’t you love that name?), which suggests that purchasing decisions are made based on the net of what we expect the positive and negative payoffs to be from purchasing that product or service. In other words, for each possible decision, we have an expectation of the pros and cons, which we then consciously and subconsciously weigh against each other in arriving at a decision.
At the end of your exercise, you’ll have a list of possible payoffs. Rank them by the likelihood that your target consumers will expect them to occur.
Then figure out how to minimize the likelihood and perception of the negative payoffs. For example if you have a high cost, you might want to stress how that cost is amortized over an extended period. This is a great way to identify and deal with problems you may not have been considering.
Finally, you’ll want to consistently include the top-ranked positive payoffs (which you’ve identified) in your advertising and collateral so that your prospects can visualize these outcomes. The idea is to allow viewers to “see” each outcome in a context that will ensure it is remembered at the appropriate moment in the purchasing process.
That’s why commercials often feature new car drivers being admired by beautiful women or handsome men, and why beer ads show people having a good time out with their friends instead of drinking alone in front of the television. It wouldn’t be surprising to find this exercise has identified a couple of payoffs that you’ve been slighting in your advertising or sales presentations.
Monday, February 22, 2010
Walking the advertising tightrope
How often should you update your advertising?
Advertising is expensive and time consuming to produce, and so there’s a natural reluctance to change it too often. But there is a risk to leaving the same creative out there for an extended period.
Our brains are hardwired to ignore the familiar. This allows us to pay more attention to the new and different, which in the early days of evolution might help you (“What if it’s something good to eat?”) or hurt you (“What if it’s something interested in eating me?”).
The old advertising model was “say it over and over again until it takes root in your audience’s minds.” But if your audience is ignoring the familiar, then every repetition is marginally less effective, and it won’t be long until you’re just wasting your money.
If you want to keep your audience’s attention, you need to constantly update your advertising. But watch out! Changing management and advertising creative teams tend to introduce variability. “Our advertising will be even better if we just [fill in the blank].” Every update runs the risk of straying from your brand’s core message (how many ways can you say the same thing?). And when consumers get two different messages about a brand, it creates cognitive dissonance that erodes the effectiveness of your advertising.
What’s the answer? You need to take a three-fold approach.
1) Come up with a rock-solid brand USP (see What's Your Unique Buying Proposition, September 2009 in this blog) and make sure all your advertising reflects it.
2) Changes in your advertising need to be evolutionary, not revolutionary. This is hard to enforce. Everyone wants to make their creative mark on the brand, for the sake of their personal portfolios. So they tend to develop creative that is as different as possible from “the old stuff.” The problem is, you have brand awareness equity bound up in “the old stuff.” There is real value in having your audience connect your old advertising with the new, so that you’re building on that equity and not starting a new “silo” of awareness.
3) Plan to change your advertising as frequently as your budget allows. Don’t sink every cent into advertising that you are then forced to run over and over because you cannot afford anything new. Make new creative an integral part of your schedule. New advertising can be inexpensive if you shoot or record additional material during the initial production session, and then edit and release new versions over time. This also helps you stay true to your USP.
Your CMO can show you how to keep your advertising focused and effective. Call me if you’d like to talk about helping your advertising “evolve.”
Advertising is expensive and time consuming to produce, and so there’s a natural reluctance to change it too often. But there is a risk to leaving the same creative out there for an extended period.
Our brains are hardwired to ignore the familiar. This allows us to pay more attention to the new and different, which in the early days of evolution might help you (“What if it’s something good to eat?”) or hurt you (“What if it’s something interested in eating me?”).
The old advertising model was “say it over and over again until it takes root in your audience’s minds.” But if your audience is ignoring the familiar, then every repetition is marginally less effective, and it won’t be long until you’re just wasting your money.
If you want to keep your audience’s attention, you need to constantly update your advertising. But watch out! Changing management and advertising creative teams tend to introduce variability. “Our advertising will be even better if we just [fill in the blank].” Every update runs the risk of straying from your brand’s core message (how many ways can you say the same thing?). And when consumers get two different messages about a brand, it creates cognitive dissonance that erodes the effectiveness of your advertising.
What’s the answer? You need to take a three-fold approach.
1) Come up with a rock-solid brand USP (see What's Your Unique Buying Proposition, September 2009 in this blog) and make sure all your advertising reflects it.
2) Changes in your advertising need to be evolutionary, not revolutionary. This is hard to enforce. Everyone wants to make their creative mark on the brand, for the sake of their personal portfolios. So they tend to develop creative that is as different as possible from “the old stuff.” The problem is, you have brand awareness equity bound up in “the old stuff.” There is real value in having your audience connect your old advertising with the new, so that you’re building on that equity and not starting a new “silo” of awareness.
3) Plan to change your advertising as frequently as your budget allows. Don’t sink every cent into advertising that you are then forced to run over and over because you cannot afford anything new. Make new creative an integral part of your schedule. New advertising can be inexpensive if you shoot or record additional material during the initial production session, and then edit and release new versions over time. This also helps you stay true to your USP.
Your CMO can show you how to keep your advertising focused and effective. Call me if you’d like to talk about helping your advertising “evolve.”
Thursday, January 21, 2010
The devil is in the details
It doesn’t take much to change an average experience into an exceptional experience that generates a competitive advantage. But employees, who have taken on increasing responsibilities in the past few years, are hard put to find the time to maintain even an average experience. They are happy to utilize technology to provide customer touches like “personalized” thank-you emails and newsletters.
The problem is, customers know just how much effort these technology-enabled touches cost, and they value them accordingly [low].
Increasing reliance on technology has conditioned us to avoid anything that requires customized effort. That opens up a huge opportunity for those who are able to think outside the “automated” box.
Here’s an example that impressed me over the past two years. I joined the American Marketing Association’s Cincinnati Chapter, and quickly discovered why it is one of the highest rated chapters in the country (with over 600 members). Rather than letting a new member “drift” into the organization, they invited me to an orientation where the chapter’s opportunities were described in detail and I was invited to sign up for activities I was interested in. They also worked to engage me through a variety of media--snail mail, email, Twitter, and Facebook. I was even offered the opportunity to schedule a one-on-one with the Chapter President.
I became a volunteer, and have enjoyed public recognition for my contributions through a special nametag (everyone wears nametags at events to facilitate networking) and invitations to volunteer thank-you events that include both special educational seminars and “fun” events like minor league baseball games. I’ve also been impressed with the yearly brainstorming sessions aimed at improving these already effective procedures.
The AMA doesn’t have to do all this-- the officers and volunteers are unpaid, and all have regular jobs. But because they make a special effort, they have a very successful organization.
If you said none of these things are particularly innovative, you’re right. But they’re doing them, and that’s the competitive difference versus organizations that do not do them. When the time came to write the check for another year’s membership, I didn’t think twice.
If you’d like some help in customizing your customer and prospect touches, give me a call. I’d be happy to help!
The problem is, customers know just how much effort these technology-enabled touches cost, and they value them accordingly [low].
Increasing reliance on technology has conditioned us to avoid anything that requires customized effort. That opens up a huge opportunity for those who are able to think outside the “automated” box.
Here’s an example that impressed me over the past two years. I joined the American Marketing Association’s Cincinnati Chapter, and quickly discovered why it is one of the highest rated chapters in the country (with over 600 members). Rather than letting a new member “drift” into the organization, they invited me to an orientation where the chapter’s opportunities were described in detail and I was invited to sign up for activities I was interested in. They also worked to engage me through a variety of media--snail mail, email, Twitter, and Facebook. I was even offered the opportunity to schedule a one-on-one with the Chapter President.
I became a volunteer, and have enjoyed public recognition for my contributions through a special nametag (everyone wears nametags at events to facilitate networking) and invitations to volunteer thank-you events that include both special educational seminars and “fun” events like minor league baseball games. I’ve also been impressed with the yearly brainstorming sessions aimed at improving these already effective procedures.
The AMA doesn’t have to do all this-- the officers and volunteers are unpaid, and all have regular jobs. But because they make a special effort, they have a very successful organization.
If you said none of these things are particularly innovative, you’re right. But they’re doing them, and that’s the competitive difference versus organizations that do not do them. When the time came to write the check for another year’s membership, I didn’t think twice.
If you’d like some help in customizing your customer and prospect touches, give me a call. I’d be happy to help!
The Lone Ranger has left the building
The premise behind the Lone Ranger was that he’d ride into town uninvited, clean up your problem, and ride away, leaving a silver bullet behind. Alternatively, silver bullets are reputedly the only effective weapon for dealing with werewolves, witches, monsters, and other troublesome entities.
Thus “silver bullet" refers to any simple, one-step solution. The expectation is that some new technology or practice will quickly and easily cure a problem. Want prospects? Companies that will provide you with lists of “guaranteed” names for pennies each. Want to lose weight? Plan “X” will let you do it without exercise while eating whatever you want. Want to increase customer loyalty? All you need to do is Tweet. And so on, ad infinitum.
There is no shortage of people and organizations promising silver bullets, and management teams beset by poor economic conditions and short on time and money are more than willing to listen. But they shouldn’t. Because while “Yes Virginia, there is a Santa Claus,” there is no silver bullet.
If there was, the silver bullet salespeople would be rich and retired. Instead they’re spending large amounts of money running infomercials and big display ads to attract the suckers seeking that shiny ordinance.
“If it sounds too good to be true, it probably is…”
Silver bullets are a triumph of hope over logic. People want to believe silver bullet solutions are real, because they would make our lives so much easier. The alternative is to research the problem, test possible solutions, and diligently and vigorously execute the best one. This is a lot of hard work with an uncertain outcome. Who wouldn’t rather hire the Lone Ranger?
Here’s the unpalatable fact: Cheap, easy, high-quality, instant solutions are rare to non-existent. If you want a solution, particularly one that creates a competitive advantage, it’s going to take some blood, sweat, and tears. Plus adequate funding and a reasonable amount of time.
Chasing silver bullets will cost you time and money that can be better spent on doing what you realize (deep in your heart) needs to be done. Committing the necessary resources to do the job right.
If you want a business-building marketing solution, Your CMO would be happy to provide it. Hi Ho Silver…away!
Thus “silver bullet" refers to any simple, one-step solution. The expectation is that some new technology or practice will quickly and easily cure a problem. Want prospects? Companies that will provide you with lists of “guaranteed” names for pennies each. Want to lose weight? Plan “X” will let you do it without exercise while eating whatever you want. Want to increase customer loyalty? All you need to do is Tweet. And so on, ad infinitum.
There is no shortage of people and organizations promising silver bullets, and management teams beset by poor economic conditions and short on time and money are more than willing to listen. But they shouldn’t. Because while “Yes Virginia, there is a Santa Claus,” there is no silver bullet.
If there was, the silver bullet salespeople would be rich and retired. Instead they’re spending large amounts of money running infomercials and big display ads to attract the suckers seeking that shiny ordinance.
“If it sounds too good to be true, it probably is…”
Silver bullets are a triumph of hope over logic. People want to believe silver bullet solutions are real, because they would make our lives so much easier. The alternative is to research the problem, test possible solutions, and diligently and vigorously execute the best one. This is a lot of hard work with an uncertain outcome. Who wouldn’t rather hire the Lone Ranger?
Here’s the unpalatable fact: Cheap, easy, high-quality, instant solutions are rare to non-existent. If you want a solution, particularly one that creates a competitive advantage, it’s going to take some blood, sweat, and tears. Plus adequate funding and a reasonable amount of time.
Chasing silver bullets will cost you time and money that can be better spent on doing what you realize (deep in your heart) needs to be done. Committing the necessary resources to do the job right.
If you want a business-building marketing solution, Your CMO would be happy to provide it. Hi Ho Silver…away!
Averting the Twin Towers disaster
No, I’m not talking about the World Trade Center, but rather about two mainstays of your organization--marketing and sales.
Marketers and salespeople have different mindsets. (see Sales or Marketing, who cares?) So it isn’t surprising that, even though they share the goal of acquiring and retaining customers, the two functions often exist in separate silos which interact poorly, if at all.
2008 research led by the CMO Council concluded that the strategic versus tactical approaches taken by the two disciplines tended to create divergent time frames, metrics, and vocabularies. “Salespeople consider up to 90% of the collateral materials created by marketing useless, and marketers deem nearly as much of the sales-created content as brand dilutive or downright inaccurate.”
In a 2008 survey of 506 sales and marketing professionals (“Closing the Gap: The Sales and Marketing Alignment Imperative”) 56% of respondents said their companies don’t have formal programs in place to unify sales and marketing functions. 30% said that their “marketing organization operates in a vacuum, crafting programs that do little to affect sales.”
Misalignment between these key parts of the organization often results in
· Misspent marketing funds
· Poorly exploited or wasted sales opportunities
· Inefficient lead generation and nurturing
· Poor customer profitability
Five ways to start creating alignment
1. Start by ensuring you have management buy-in for the effort; do not proceed without agreement from the Sales VP, Marketing VP, and CEO.
2. Obtain interdepartmental consensus on terms like ‘qualified lead,’ ‘profitable’ and ‘sale.’
3. Define each department’s responsibilities to the other. This should include Marketing’s role in lead generation, providing competitive analytics and defining points of differentiation and Sales’ commitment to identifying prospect wants and needs, accumulating prospect information, and reporting results. Some firms go as far as creating actual “contracts” to be signed by both functions.
4. Collaborate on setting goals and identifying metrics which allow you to measure success.
5. Create a system that allows sales and marketing to share prospect/customer data.
Your CMO has extensive experience with creating effective sales/marketing partnerships. If you’d like to fine-tune that relationship, give me a call!
Marketers and salespeople have different mindsets. (see Sales or Marketing, who cares?) So it isn’t surprising that, even though they share the goal of acquiring and retaining customers, the two functions often exist in separate silos which interact poorly, if at all.
2008 research led by the CMO Council concluded that the strategic versus tactical approaches taken by the two disciplines tended to create divergent time frames, metrics, and vocabularies. “Salespeople consider up to 90% of the collateral materials created by marketing useless, and marketers deem nearly as much of the sales-created content as brand dilutive or downright inaccurate.”
In a 2008 survey of 506 sales and marketing professionals (“Closing the Gap: The Sales and Marketing Alignment Imperative”) 56% of respondents said their companies don’t have formal programs in place to unify sales and marketing functions. 30% said that their “marketing organization operates in a vacuum, crafting programs that do little to affect sales.”
Misalignment between these key parts of the organization often results in
· Misspent marketing funds
· Poorly exploited or wasted sales opportunities
· Inefficient lead generation and nurturing
· Poor customer profitability
Five ways to start creating alignment
1. Start by ensuring you have management buy-in for the effort; do not proceed without agreement from the Sales VP, Marketing VP, and CEO.
2. Obtain interdepartmental consensus on terms like ‘qualified lead,’ ‘profitable’ and ‘sale.’
3. Define each department’s responsibilities to the other. This should include Marketing’s role in lead generation, providing competitive analytics and defining points of differentiation and Sales’ commitment to identifying prospect wants and needs, accumulating prospect information, and reporting results. Some firms go as far as creating actual “contracts” to be signed by both functions.
4. Collaborate on setting goals and identifying metrics which allow you to measure success.
5. Create a system that allows sales and marketing to share prospect/customer data.
Your CMO has extensive experience with creating effective sales/marketing partnerships. If you’d like to fine-tune that relationship, give me a call!
Three questions define your PROMISE’s effectiveness
It goes by many different names. USP, Unique Selling Proposition, Competitive Advantage, Brand Promise, Value Proposition, and Point of Difference.
It’s the PROMISE that is made to prospective customers to influence them to choose your product over your competitor’s. Every business needs one. Lots of companies have one. Frankly, most of them aren’t very good.
Here’s three ways to measure the effectiveness of your PROMISE:
1) Is it unique? Does it set you apart from your competition?
2) Is it relevant? Do potential customers care that you’re offering it?
3) Can you deliver? Are you willing and able to fulfill your promise?
If you meet all three of these criteria, you have a successful PROMISE, and, based on the three examples below, a successful business as well:
● Melt in your mouth, not in your hand.
● Fresh hot pizza at your door in 30 minutes or it’s free.
● When your package absolutely, positively has to be there overnight.
If you think about it, a successful PROMISE is an all or nothing proposition:
UNIQUE + RELEVANT but not DELIVERABLE = one-time customers and bad word-of-mouth.
UNIQUE + DELIVERABLE but not RELEVANT = Nobody cares!
RELEVANT + DELIVERABLE but not UNIQUE = Parity or commodity position
Your PROMISE should really be called a Unique Buying Proposition, because if it is done right, you won’t have to sell your product--people will be asking if they can buy it.
Want to talk about developing or refining your PROMISE? Your CMO can help!
It’s the PROMISE that is made to prospective customers to influence them to choose your product over your competitor’s. Every business needs one. Lots of companies have one. Frankly, most of them aren’t very good.
Here’s three ways to measure the effectiveness of your PROMISE:
1) Is it unique? Does it set you apart from your competition?
2) Is it relevant? Do potential customers care that you’re offering it?
3) Can you deliver? Are you willing and able to fulfill your promise?
If you meet all three of these criteria, you have a successful PROMISE, and, based on the three examples below, a successful business as well:
● Melt in your mouth, not in your hand.
● Fresh hot pizza at your door in 30 minutes or it’s free.
● When your package absolutely, positively has to be there overnight.
If you think about it, a successful PROMISE is an all or nothing proposition:
UNIQUE + RELEVANT but not DELIVERABLE = one-time customers and bad word-of-mouth.
UNIQUE + DELIVERABLE but not RELEVANT = Nobody cares!
RELEVANT + DELIVERABLE but not UNIQUE = Parity or commodity position
Your PROMISE should really be called a Unique Buying Proposition, because if it is done right, you won’t have to sell your product--people will be asking if they can buy it.
Want to talk about developing or refining your PROMISE? Your CMO can help!
Ten ways to make your competition work for you
How much effort do you put into tracking your competition? For most of us, the answer is--not enough. You wouldn’t try to run your business with no regard for the law, or economic conditions, or your customers. But it is surprising how many people feel they can run their businesses with little or no regard for their competition.
There are exceptions. Pizza parlors carefully monitor competitive menus and promotions. I’m sure General Motors spends a lot of time keeping an eye on Toyota. And airlines pay close attention to competitive pricing and initiatives. But many other businesses pay only occasional and cursory attention to their competitors. That’s a mistake.
Here’s ten suggestions for gathering and (more importantly) making use of competitive information:
1) Reach corporate consensus on who your competitors currently are (this may be harder than you expect). Review this list regularly (semi-annually?)
2) Make someone responsible for tracking competition. It isn’t hard--your receptionist can do it if you tell them how.
3) Prove you think this information is important. Review competitive information regularly, and share your findings with the appropriate people.
4) Set up a grid comparing the details of your offering(s) to those of the competition. This can include anything meaningful-- prices, sizes, flavors, channels of distribution, store hours, shipping costs, return policies, etc. Look for differences and decide if they are advantages or disadvantages for you; then leverage the advantages and chip away at the disadvantages.
5) Benchmark competition by printing out all the screens on their website, then have someone look for changes on a regular (quarterly?) basis. Pay particular attention to pricing, product portfolio changes, service offerings, news releases, etc.
6) If your competitors are public companies, buy a share of stock in each so that you will receive their mailings.
7) Have your employees collect and forward sales collateral and advertising from the competition to the person you’ve made responsible for competitive tracking (another good reason to have such a person). Find a way to reward them for their efforts!
8) Don’t just watch established competitors. While start-ups may not be an immediate threat, they obviously feel they’ve found a significant chink in your armor, or they wouldn’t be entering the industry. Analyze them carefully to find out why they think you’re vulnerable.
9) Periodically (annually?) do a threat assessment that considers competition from outside the industry. It wasn’t a hard-copy carrier that crippled FedX’s overnight letter business, it was FAX machines.
10) Set up an exercise where you create combined teams of internal and external people with the assignment of putting you out of business. Then take a long look at the plans they develop. If they can think of it, so can your competition!
Having trouble finding time to watch the competition? Your CMO can set up a system for you. I’ll even monitor the competition for you, so you don’t have to. Let me know if I can help!
There are exceptions. Pizza parlors carefully monitor competitive menus and promotions. I’m sure General Motors spends a lot of time keeping an eye on Toyota. And airlines pay close attention to competitive pricing and initiatives. But many other businesses pay only occasional and cursory attention to their competitors. That’s a mistake.
Here’s ten suggestions for gathering and (more importantly) making use of competitive information:
1) Reach corporate consensus on who your competitors currently are (this may be harder than you expect). Review this list regularly (semi-annually?)
2) Make someone responsible for tracking competition. It isn’t hard--your receptionist can do it if you tell them how.
3) Prove you think this information is important. Review competitive information regularly, and share your findings with the appropriate people.
4) Set up a grid comparing the details of your offering(s) to those of the competition. This can include anything meaningful-- prices, sizes, flavors, channels of distribution, store hours, shipping costs, return policies, etc. Look for differences and decide if they are advantages or disadvantages for you; then leverage the advantages and chip away at the disadvantages.
5) Benchmark competition by printing out all the screens on their website, then have someone look for changes on a regular (quarterly?) basis. Pay particular attention to pricing, product portfolio changes, service offerings, news releases, etc.
6) If your competitors are public companies, buy a share of stock in each so that you will receive their mailings.
7) Have your employees collect and forward sales collateral and advertising from the competition to the person you’ve made responsible for competitive tracking (another good reason to have such a person). Find a way to reward them for their efforts!
8) Don’t just watch established competitors. While start-ups may not be an immediate threat, they obviously feel they’ve found a significant chink in your armor, or they wouldn’t be entering the industry. Analyze them carefully to find out why they think you’re vulnerable.
9) Periodically (annually?) do a threat assessment that considers competition from outside the industry. It wasn’t a hard-copy carrier that crippled FedX’s overnight letter business, it was FAX machines.
10) Set up an exercise where you create combined teams of internal and external people with the assignment of putting you out of business. Then take a long look at the plans they develop. If they can think of it, so can your competition!
Having trouble finding time to watch the competition? Your CMO can set up a system for you. I’ll even monitor the competition for you, so you don’t have to. Let me know if I can help!
Get your hands dirty!
When was the last time you personally did any did any prospect/customer research? Not commissioned research, not read a summary of research, but actually did the research yourself? I know you have a ton of other things to do, but if you haven’t participated in any research in the past twelve months (and I’ll bet you haven’t), then you’re really missing an opportunity. To quote John Frank, editor of the American Marketing Association’s marketingnews: “It’s much too easy in marketing to just be looking from the inside out to what you think customers want and/or need.”
Authorities and pundits are pretty well agreed that significant advances in new product development or substantive competitive advantages won’t come from just asking prospects/customers what they want. Great new products and real competitive advantages come from insights into the attitudes and motivations of your target market, as observed from their behavior. And if it is hard for people to come up with those insights from direct observation, imagine how much more difficult it is to come up with them by simply reading research data and summaries!
I don’t know about you, but there have been times in my career when I’ve commissioned important research, then because of the pressure of other responsibilities, never looked at the actual data gathered, but simply read the executive summary. (How many of you have interview CDs or DVDs of prospect/consumer interviews sitting in a drawer that you’ve never listened to or watched?)
It’s a rare report that can communicate all the non-verbal cues that direct observation reveals—the emotion in someone’s voice, or the passion implicit in their body language. How often do you actually use your product: cook and eat the food item you make, or apply for your insurance policy online, or ride the bicycle you manufacture? How often do you watch someone else do it? There is no substitute for first hand experience and observation! Lots of things can be safely delegated. This one can’t. Or at least this one shouldn’t be.
No one says you have to design your own research or schedule your own interviews. Let your marketing research department or supplier create the questionnaire and handle the administrative details. But you should be there—at least once in a while. Because if you aren’t, you’re missing a golden opportunity to come up with the insights that you are uniquely qualified to find.
Authorities and pundits are pretty well agreed that significant advances in new product development or substantive competitive advantages won’t come from just asking prospects/customers what they want. Great new products and real competitive advantages come from insights into the attitudes and motivations of your target market, as observed from their behavior. And if it is hard for people to come up with those insights from direct observation, imagine how much more difficult it is to come up with them by simply reading research data and summaries!
I don’t know about you, but there have been times in my career when I’ve commissioned important research, then because of the pressure of other responsibilities, never looked at the actual data gathered, but simply read the executive summary. (How many of you have interview CDs or DVDs of prospect/consumer interviews sitting in a drawer that you’ve never listened to or watched?)
It’s a rare report that can communicate all the non-verbal cues that direct observation reveals—the emotion in someone’s voice, or the passion implicit in their body language. How often do you actually use your product: cook and eat the food item you make, or apply for your insurance policy online, or ride the bicycle you manufacture? How often do you watch someone else do it? There is no substitute for first hand experience and observation! Lots of things can be safely delegated. This one can’t. Or at least this one shouldn’t be.
No one says you have to design your own research or schedule your own interviews. Let your marketing research department or supplier create the questionnaire and handle the administrative details. But you should be there—at least once in a while. Because if you aren’t, you’re missing a golden opportunity to come up with the insights that you are uniquely qualified to find.
The more satisfied you are the more danger you are in
Because for most people, satisfaction means “things are going good, and I don’t have to change them.” And the longer you leave things unchanged, the more time you are giving the competition to catch up with or leapfrog past you.
The best friend a marketer has is the attitude that things can “always be better” and the discipline to act on that attitude. We’ve all got a lot of demands on our time. The marketing environment is more challenging than ever, and there is always a new crisis on the horizon.
In addition to these distractions, we’ve all heard “if it ain’t broke, don’t fix it.” And certainly New Coke fiasco and the Ford Edsel are stark reminders of how “improving” a product line can go wrong. [Not to mention how I’ve never forgiven Frito-Lay for making their previously excellent restaurant-style salsa so much “better” so that I had to switch to Hernandez!)
On the other hand, there are numerous examples of how complacency has led to decline. From the movie studios ignoring television to IBM’s lack of interest in home computers to Kodak and Polaroid’s reliance on film, we can all name instances where “satisfied” companies have had their lunch eaten by competitors.
So is it a case of “damned if I do and damned if I don’t”? If that was true, it would make sense to take the path of least resistance and do nothing.
But it isn’t true. If you don’t, then you can count on the competition to work like crazy to come up with a better value proposition for your customers. Some will fail, but most of us have so many competitors that the odds are in favor of one of them succeeding.
However if you do, rigorous marketing research and pilot testing can significantly lessen the chance of failure. And at least if you’re taking action, your fate is in your hands rather than the hands of your competitors.
Successful marketers (and companies) find ways to institutionalize continual improvement. They regularly schedule the time and manpower to pay careful attention to consumer wants and needs, stay up-to-date with improvements in technology, and carefully monitor competition. Finally, they make improvement a regular part of their goal-setting.
So stay dissatisfied. And when you retire, you’ll be able to look back on your career with satisfaction!
The best friend a marketer has is the attitude that things can “always be better” and the discipline to act on that attitude. We’ve all got a lot of demands on our time. The marketing environment is more challenging than ever, and there is always a new crisis on the horizon.
In addition to these distractions, we’ve all heard “if it ain’t broke, don’t fix it.” And certainly New Coke fiasco and the Ford Edsel are stark reminders of how “improving” a product line can go wrong. [Not to mention how I’ve never forgiven Frito-Lay for making their previously excellent restaurant-style salsa so much “better” so that I had to switch to Hernandez!)
On the other hand, there are numerous examples of how complacency has led to decline. From the movie studios ignoring television to IBM’s lack of interest in home computers to Kodak and Polaroid’s reliance on film, we can all name instances where “satisfied” companies have had their lunch eaten by competitors.
So is it a case of “damned if I do and damned if I don’t”? If that was true, it would make sense to take the path of least resistance and do nothing.
But it isn’t true. If you don’t, then you can count on the competition to work like crazy to come up with a better value proposition for your customers. Some will fail, but most of us have so many competitors that the odds are in favor of one of them succeeding.
However if you do, rigorous marketing research and pilot testing can significantly lessen the chance of failure. And at least if you’re taking action, your fate is in your hands rather than the hands of your competitors.
Successful marketers (and companies) find ways to institutionalize continual improvement. They regularly schedule the time and manpower to pay careful attention to consumer wants and needs, stay up-to-date with improvements in technology, and carefully monitor competition. Finally, they make improvement a regular part of their goal-setting.
So stay dissatisfied. And when you retire, you’ll be able to look back on your career with satisfaction!
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