Trick.ly

Business and marketing wordsmith Seth Godin gave us a heads up on a new, free (for now) online service called Trick.ly. This neat little tool is intended to give users “casual privacy," as Trick.ly foundar Acar Altinsel puts it. “Often times," he says, "that's all we really want: a little privacy. We don't care if it's secure enough to keep the NSA out.”

Here’s how it works… Ruston coolest new company: http://trick.ly/30w.

We haven’t had a chance to really explore all of the marketing, advertising and promotional opportunities and possibilities that this service will lend itself to, but keep it on your watch list.

-Brian, Emogen sales strategist

Competition Sucks

No doubt you’ve heard that imitation is the sincerest form of flattery. Having someone copy you is supposed to be flattering because it says they want to be like you.

So what about competitors? An economist would draw an eye-crossing graph showing that competitors enter a market because they recognize the potential that exists to earn a profit. Let me repeat that… competitors imitate you (i.e. enter your market) because they want to be like you (i.e. they want your profit).

[enter sarcastic chuckling from small business owners]

Sure, if you’re Jennifer Aniston it might be nice to have everyone go to the salon and ask for your haircut by name, but business competition is not flattering. It sucks. You want to focus each day on what you do best, not on fighting tooth and nail for customers.

That said, competition does signal that you are doing something right. So take a moment to bask in the glory… ok, now roll up your sleeves. There’s work to be done.

Count Your Blessings
Remember the reason you now have competition is because you are doing something right. Before you set off to acquire unclaimed market share be sure you’ve got your present share tied down.

You’ve gotten where you are today because of your current customer base. Let them know how appreciative you are for their business. While you’re at it, ask if there’s anything you should be doing that you’re not, or if there’s anything you could be doing better. Soliciting a customer’s opinion is one of the greatest ways to express how much they mean to you (especially if you act on their recommendations), because you’re giving them an opportunity to help shape your business.

Think Before You Change
Remember the reason you now have competition is because you are doing something right. Don’t feel like you have to change what you’re doing in order to compete, but don’t ignore change either.

If you’ve historically been the only provider in a market, you’ve had free reign to charge whatever you want, provide whatever level of service you want, and basically coast whenever you want. That’s the main reason competition is good for customers… it forces everyone to be on their best behavior.

But don’t just change for the sake of change. Change with a plan and purpose in mind. Consider the recommendations of your current customers. Are their recommendations valid and reasonable? Observe what your competition is doing differently than you. Is there anything that you should imitate?

Be Wary of Pricing Changes
Remember the reason you now have competition is because you are doing something right. Don’t rush into pricing changes, because you have the potential to price yourself out of business.

One of the most common soft spots for new competition to strike is your price. For sure, they could be justified in questioning what you’re charging, especially if you’ve been the only cat in town. However, they might also be inexperienced… they don’t fully understand the expense of providing the product/service or they don’t realize how valuable it is to the market. They could also be well financed, meaning that they are at leisure to assume some loss.

Promote, Promote, Promote
Remember the reason you now have competition is because you are doing something right. So, tell the market about it.

It’s time to stop viewing marketing as an expense and realize that it is an investment. Mass advertising and promotions can help you communicate to the market-at-large what you’re doing that’s so great; directed efforts can help you target and acquire that unclaimed market share; and focusing resources on sales and customer service can ensure your business continues to thrive.

Competition Will Crest
Absolutely, hands down, competition sucks. And new competition is a pain in the ass.

Have comfort, though. The same economist’s graph showing why competition exists would also show that there is an ebb and flow to competition. Ample profit in a market draws competition, but that same competition will inevitably weed out the weak.

As long as you keep your game face on and don’t ignore what’s afoot, I assure you the competition will crest and you’ll eventually get a break … at least until the next round begins.

-Sarah, Emogen marketer

Shhh... It's the Secret Marketing Recipe

The AMA approved definition of marketing is “the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large.”

Wait, what was that? I fell asleep.

The more concise Merriam-Webster version is “the act or process of selling or purchasing in a market.”

The rest of us would say it’s “selling something.” And I think it’s safe to say that everyone pretty much gets that concept. It’s almost as if making money is the survival instinct of the 21st century. But when push comes to shove, how does one actually market. And, more importantly, is there some secret recipe for how to reap the most profit possible from your marketing?

Believe it or not, there really is a term for the secret marketing recipe: marketing mix.

In yesterday’s blog I discussed marketing mix in terms of utilizing a variety of media to communicate a brand; however, the phrase has a much larger reach and refers to what is commonly called the Four Ps of Marketing: Product, Price, Place and Promotion.

The Fours Ps came about in the 50s or 60s as a way to classify the elements of the marketing mix. Think of them as the ingredients for the marketing recipe.

Product refers to what’s being sold (a service would also fit into this category). Price is how much the product is sold for. Place is how it will get into the hands of the end user. And, finally, promotion is how details about the product are communicated to customers.

The 4Ps are simple concepts, I know. Unfortunately, there's no secret recipe for combining them. Each business is unique, and the 4Ps are all moving parts that directly and indirectly impact one another in countless ways.

In order to maximize the bottom line, you must know what to move and when to move it. So, much like gourmet cooking, great marketing is a balance of science and art... a talent partly learned (science) and partly God-given (art).

-Sarah, Emogen marketer

It's called a MIX for a reason

If you follow Emogen on Facebook (FB) you might have caught the blog we posted from Craig Daitch, “Why Facebook Can’t Be Trusted.” That post came amid some discussion (both internally and on FB) about the value of FB and other social media venues.

The main issue we’ve been gnawing at is the value of traditional media in light of social media.

It’s easy to think social media is “all that.” It’s nimble. It’s cheap. It meets people where they are. But it’s not perfect.

One of the biggest issues I have with social media is control… or lack of it, to be more precise. A good portion of control lies in the hands of the venue… FB, twitter, whatever; so a marketer is at the mercy of the platform as to what can and cannot be done.

Another reason that it can’t be the end-all-be-all is that, believe it or not, there are still people out there who don’t utilize social media. Traditional media is still the most effective way to reach those guys way back on the tail end of the distribution curve.

In no way am I implying that social media isn’t valuable. I’m also not saying traditional media reigns king. Both have limitations, and because of that they must both be a part of the marketing mix.

-Sarah, Emogen marketer

You’re fired!

I’ve never really been a fan, but for some reason I’ve been following this season of Celebrity Apprentice. I know it’s a TV show, but I’ve been particularly fascinated by Donald Trump’s boardroom demeanor, primarily his way of taking the emotion out of decision making.

Even when the celebrities get all riled up, Trump keeps his cool, goes through the details of their performance, and then drops the “You’re fired.” bomb out of no where. No blinking. No apologies. He just does it.

As a small business owner (SBO) one of my greatest flaws is keeping the emotions out. I know I’m justified in being emotional… this enterprise is my family’s sole source of income and is the basis for all of our futures. Heavy lifting, if you get my point. But keeping decision making emotion-free is critical. Emotions cloud judgment and cause us to make poor, irrational choices.

One area that can be particularly emotional for SBOs is in customer relations.

Some customers are a dream… they are fun to work with, their expectations are reasonable, they don’t haggle on price, they pay on time, etc. etc. Others are not so wonderful. They demand more for less and quicker, and then they are slow to pay the tab. What is a SBO to do, though; we need all the customers we can get, right?

Not so. A blog I read recently said it wonderfully, “The customer is always right -- if it's the right customer.” Good customer service is a must, but you’re just not going to be able to please everyone and for plenty of perfectly normal reasons.

One of the greatest necessities in a client relationship—especially for those of us in a service industry—is chemistry. You and your customer need to like one another on a personal level in order for your professional relationship to really work.

But let’s say you’ve begun working with a client and it’s just not sparking. Or, worse, sparks are turning into flames, but not the good kind. What do you do?

Fortunately we haven’t been in that situation too many times at Emogen, but we have had to “fire ourselves” more than once. In those instances, we contacted the client and explained our decision and the basis for it. We also provided recommendations for our replacement and offered to assist with the transition (providing files, data or artwork) to their new provider.

I feel confident in saying that the times we’ve had this discussion, the client recognized the situation for what it was and was ok and maybe even a little surprised that we would direct them to a new provider and assist in establishing that relationship.

It’s really ok that you can’t work with everyone. It’s normal. Instead of becoming a slave to a bad pairing, though, take a lesson from Trump and remove the emotion from the situation. Ask yourself if the extra effort required for the relationship is going to be worth it in the long run. If not, then it’s probably wise to call it quits.

-Sarah, Emogen marketer

The Prisoner’s Dilemma

Ah, the Prisoner’s Dilemma… the granddaddy of all economic game theories.

Game theory is a way of predicting behavior in strategic situations. The Prisoner’s Dilemma applies to simultaneous decision making and helps explain why individuals/businesses don’t cooperate even if it’s in everyone’s best interest to do so.

It’s really best explained by the illustration for which it’s named:

Two suspects are arrested by the police. The police have insufficient evidence for a conviction, and, having separated both prisoners, visit each of them to offer the same deal. If one testifies (defects from the other) for the prosecution against the other and the other remains silent (cooperates with the other), the betrayer goes free and the silent accomplice receives the full 10-year sentence. If both remain silent, both prisoners are sentenced to only six months in jail for a minor charge. If each betrays the other, each receives a five-year sentence. Each prisoner must choose to betray the other or to remain silent. Each one is assured that the other would not know about the betrayal before the end of the investigation. (wikipedia)

Obviously the best outcome would occur if both suspects keep their mouths shut, but for all the reasons that make people people—namely self-preservation—the most likely outcome is that both will betray the other and get a 5-year sentence.

So how does this apply to marketing?

Take advertising for example. Holding everything else constant, two competitors are financially better off if neither one advertises. Here’s why:

Say two companies split their market 50/50. Realizing that advertising will allow it to acquire more customers than Company B, Company A begins to promote its services. One of two things is going to happen:

1) B will more than likely come to the same realization and make the exact same decision concurrently. Holding all things equal, A and B remain at a 50/50 split.

2) If for some reason B didn’t make the same move at the same time, A may briefly gain market share; but B will quickly follow suit to keep from losing its share to A. Again, holding all things equal, A and B are likely back to a 50/50 split.

In either situation, advertising causes both companies to lose profit because they are spending money to keep their original 50/50 split. The clincher is that neither can stop advertising unless both do.

Now, of course, that “holding everything else constant” is a big catchall and nothing is ever constant or perfect; however, it’s fair to say that if one company begins to advertise a competitor really has no option but to do the same. And really that statement applies to all strategic decisions… product line additions, service improvements, staffing changes, facility openings, social media participation, and so on. If one company in an industry does something, everyone in the industry will have to do the same or risk losing market share.

Before we wrap up today’s blog, I want you to take a quick look back at scenario #2 from above. The quiet lesson there is that it’s better to make the first move because of the possibility of incremental market share gain; but, as that gets us into a “first to market” discussion, more on that will have to wait for another day.

Until then, consider what “prisoners’ dilemmas” face your industry and you’ll likely discover areas of weakness and opportunity. If you need help addressing what you find, give Emogen a call and we’ll be happy to talk you though your options.

-Sarah, Emogen marketer

Which Way Do I Go, George?

Emogen began as a one-man operation that focused mainly on outside sales, so our first location was relatively simple… a glorified office, really, and it was set up as such. There was a desk just about centered in the room and a couple of visitor chairs facing it.

Brian quickly recognized, though, that as customers entered they were immediately unsure of where to go. What’s funny is that it couldn’t have been more than 500 sq.ft., so it wasn’t like you were trying to find a salesclerk in Wal-Mart.

The problem was that people didn’t know if they should approach the desk or wait to be invited. They didn’t know if they should stand or sit. They didn’t know where to wait when he was on the phone. It was comical, except for the small issue of a customer’s first experience with Emogen being extreme discomfort. Not the ideal first impression!

So Brian brought in a simple glass displace case and, like moths to a flame, customers knew exactly where to go. They were happy to stand at the counter and wait on him to invite them to sit down. If he was on a call, they were occupied looking at stuff in the case. They knew how to behave when afforded the cue of a front counter.

We as consumers have been conditioned how to behave in a retail environment or office space. That training has given way to expectations, and when those expectations aren’t met we can get frustrated with the shopping experience.

As a business owner or manager, it’s easy to set up shop in a manner that’s convenient for your operations. Though, if customers or clients regularly visit your location, I advise you to reconsider and create your layout to satisfy their expectations.

-Sarah, Emogen marketer

How Are You Bent?

We had a fun discussion at the office this morning about things we did or said as kids that hinted at the occupation we’ve found ourselves in today.

Jake, our head graphic designer, recently found something he wrote as a youngster in which he claimed he would either become “an attorney or an artist, but probably an artist because he likes to draw more.”

In the early days of our marriage some 12 years ago, Brian and I habitually concocted entrepreneurial schemes. Looking back, we tended to focus heavily on branding and promoting our imaginary endeavors. Go figure.

Because of that inclination, I stand amazed sometimes at how oblivious some people are to sales and marketing techniques. I mean, it’s so simple… right?

A proclivity toward marketing is how Brian and I came to be where we are today, but if we’re not vigilant our bent could potentially hinder communication with clients who think differently.

Today, I challenge you to take a stab at determining your bent, and then make an effort to figure out how your customers bend differently. Altering your communication to accommodate a client’s perspective could make a world of difference in the relationship.

-Sarah, Emogen marketer

Just Say No

If you’re not in a sales position, you might find this next statement hard to believe: Salespeople want to hear “no”.

Ok, so truthfully sales people really want prospects to say yes, but we all know that’s not possible 100% of the time. But instead of saying yes or no, clients many times send salespeople “toward a most useless place: The Waiting Place,” to quote Dr. Seuss.

The problem with the Waiting Place is that a salesperson can burn up a lot of time and resources wooing a client that knows the answer is inevitably going to be no.

So how can a salesperson get down to nuts and bolts to come away with a definitive answer?

First, you’ve got to be sure you’re talking to the decision maker. If not, you’re wasting your time; if so, be sure you’ve asked that yes/no question. It’s possible you just haven’t asked for the sale plainly enough.

If you can’t get a definitive answer by asking, then assume the answer is no. The prospect is likely stalling because he is uncomfortable and/or doesn’t want to hurt your feelings. Move on, but (depending on the situation) consider checking back in from time to time.

For all of you decision makers out there, hear this: a sales person’s time is valuable, too. Be respectful and tell them no if that’s your answer. You have a reputation to keep up, and stringing along a salesperson (or being rude) could come back to bite you. Remember, a salesperson's job is talking... to lots of people... who could very well be your prospects, too.

-Brian, Emogen sales strategist

I Want To Ride My Bicycle, I Want To Ride My Bike!

I love Queen. Of course they made great music, but I also love them because I have fond memories of my then 3-year-old daughter forcing me to play Bicycle over and over and over every morning en route to daycare.

And, for whatever reason, Bicycle also makes me think of tandem bicycles. You know: those silly bikes made for two. I’ve never ridden one and I’ve always wondered if having two peddlers makes it easier or harder. I assume it’s easier provided both riders are coordinating their efforts.

I don’t recall exactly how it came up, but this morning I was thinking about tandem bicycles and how they are a good analogy for advertising campaigns.

For example, consider a traditional ad campaign… print, TV and radio. Traditional advertising can be very powerful. As days go by, though, that is less and less true; but it still has value.

Traditional advertising, IMO*, is more useful when it’s working in tandem with other efforts… direct marketing (mail/e-mail), special events, online advertising, social media, nontraditional (guerilla) tactics, etc. However, those efforts are usually less potent without traditional advertising supporting them.

The key, though, is coordinating the message, tone, call to action, etc. of traditional and nontraditional advertising to maximize reach and effectiveness.

So the picture we arrive at is truly like a tandem bike: you really do need both peddlers to make the thing work, but when they are coordinated it’s much easier to produce the desired outcome.

-Sarah, Emogen marketer

*in my opinion (thanks to John K. for my new favorite acronym)

If You’ve Got a Problem, Yo, I’ll Solve It

I thought about attempting a vlog (video blog) or podcast with a parody of Vanilla Ice’s Ice Ice Baby. Something to the effect of “If you’ve got a problem let the pro[fessional] solve it” … but lacking time and several margaritas the best I can offer is a great lead in for today’s blog.

Each of us, regardless of what role or position we find ourselves in the workplace, is a problem solver.

The banker is solving the problem of how to store and manage money. The grocer is solving the problem of how to purchase a variety of goods from myriad producers. The grave digger is solving the problem of where to put a coffin.

You get the point. Person A presents a problem, Person B recommends a solution, the two agree to a price, work is completed, and voila, problem solved.

A predicament can occur, though, when the problem at hand is not correctly or fully communicated, either by fault of Person A not properly explaining the problem or by Person B by not fully understanding it.

There’s also the instance of Person A presenting the problem and the solution, which we’re all guilty of from time to time. Have you ever gone to the mechanic and said, “I need an alignment.”? I have, and got my car back perfectly aligned… but still pulling to one side… because what I really needed were new tires.

Oftentimes, I find that the answer to the problem lies in the diagnosis itself. Scratch that and make it “every time.”

The solution always lies in correctly understanding the problem.

You can’t skimp on probing and digging to understand the problem being presented… even if that means telling your customer (politely, of course) to back off and let you do your job.

-Sarah, Emogen marketer