What’s worse? ‘Kids Today’ or Client Expectations?


 

Little Rock Arkansas

Image compliments of Little Rock Beautiful Comission

 

I know I have not posted lately, but I have been traveling a lot.  As a matter of fact, I just returned home from Little Rock, Arkansas and my trip, as well as a brief conversation with some strangers on the last night, were the catalysts I needed to write this! 

My last night in town it was raining, and as I made way back to The Peabody,  I was ducking (no pun intended) under storefront awnings and doorways to avoid getting drenched.  I was half way to the hotel and as I popped into a doorway, there were a couple of “dudes” in their early twenties standing there.   Small talk ensued, mostly with the shorter one.  They appeared to be a gang of two; the shorter one did all of the talking and the other always looked at the leader before speaking when he did.  The leader asked me what I did for a living.  At the risk of confusing them (sometimes it is not crystal clear even to me), I simply said ‘I’m a consultant”.  He followed with “What’s that?” and I told him “I give people my opinion”.   Now the quiet one pipes up and asks “You can get paid for that?!” with his eyes wide open.  Now the simple conversation turned into more of a Magic 8 Ball session – they asked me about all of the secrets of the universe, as if I were the Dhali Lamba himself.  The last question came – “How much money can you make buying stocks?” he asks.  I tried to explain it was a matter of the amount invested, the stock, and the time period – but mostly luck.  The short one said “How much can I make if I buy $1,000 in stock?” – “It depends” I say, “But it wouldn’t be hard to get 10% in return over some time period”.  He then asks “How much is that?”. 

As I dash into the rain, running from the fear that I would get dumber if I stood there any longer, I was thinking to myself what every generation before me has thought, “What is it with kids today?”.  

This brings me to wondering what’s worse – “kids today” or client expectations?  Let me explain. 

Stethoscope

Image compliments of the Fordham University Blog

 

On a regular basis, I work with many of the most sophisticated and successful companies in the world, and I am amazed at how often they come to my company with a sincere desire to improve what they’re doing, yet when we ask them direct questions about their business challenges and other details that are variables that will dramatically affect our ability to help them, not to mention our price, they refuse to answer.  They just keep asking us “When can you provide a solution and how much will it cost?”  That’s like going to a doctor and telling her you that don’t feel well, but then not answering any of her questions about your symptoms or letting her examine you.

How can we prescribe a solution if you don’t describe the symptom?

Not sure which is worse – what do you think?

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How to increase customer response with trigger-based marketing (via MySalesHero’s Blog)


I have written about this topic before, but here is another angle and great insight from my colleague, MySalesHero….

How to increase customer response with trigger-based marketing You don’t have to be a superhero to know how important it is to be in the right place at the right time. It’s the same for your marketing programs. Timing is everything. Photography services for the recently engaged. Accounting assistance for an expanding company. Lawn care services after a new home purchase. By delivering the right offer just when your customer is ready to buy, you’ll improve buyer response every time. These trigger events in yo … Read More

via MySalesHero’s Blog

With the sprouting of gray hairs…


With the sprouting of gray hairs comes the realization that life is changing. First it was the reading glasses and now the gray hairs in my beard. This got me thinking about how my life today is different from a year ago not to mention 5, 10, or 15 years ago, and how much it will continue to change in the future. Fast forward through the sentimental and philosophical and you end up with the simple notion that:

“People need stuff and that stuff changes depending on their Lifestage”.

It Doesn’t Take a Genius
Marketers have known this for years and I take no credit for pointing this out. Many have gone to great lengths to create tools and methodologies to capture new clients whose journey through life is punctuated with events that ultimately define their needs (“needs” are very subjective and a whole ‘nother story). Life events include things like getting married, buying a home, having children, getting divorced (for more than 50% of U.S. society), becoming an empty-nester, and finally becoming a senior whose only interest seems to be spoiling the grandchildren and driving with a turn signal on. Let’s just say that my neighbor and I are both buying diapers but for different reasons – talk about cradle to grave, right?

Successfully reaching these consumers and getting them to buy your product or service depends on your ability to deliver a relevant, timely and compelling message in the appropriate and desired channel, which might include direct mail, email, mobile, social, search, or display.

Lifestage + Channel
This is a topic with increasing interest as of late – just this past week I read a MediaPost article that talks specifically about marketing to new parents in the mobile space. Apparently new parents are the group most likely to be responsive to mobile marketing. Some could guess that the lifestyle of those with young children is chaotic and thus making this group more receptive to “marketing on the go” since they are no longer spending a lot of time surfing the web, sifting through their inbox, social network, or even their direct mail as diligently as they did before children. When it comes to proximity or geo-location type of mobile marketing, again, the segment of those with children under 6 was most positive about the idea, as opposed to the “gotta have the new technology young male” as many would assume.

Since mobile marketing is still relatively new and untapped, only later will we later find out if mobile marketing receptiveness is less about the lifestage (having children under 6) and more about the generation of those who presently have children under 6? Only time (and science) will tell.

Image compliments of webcomic XKCD - http://xkcd.com/


Science is Fun!
There’s that word science again. The science behind marketing doesn’t have to be complicated. As a matter of fact, there are many solutions in the marketplace today that let you benefit from the science of others. Examples of this from Acxiom include things like “Life Event Triggers” which enable one to choose a prospect list based specifically on a recent life event like graduation, marriage, or child-birth. If your product or service is specifically relevant to people experiencing these events you can simply “subscribe” to receive lists of prospects in your area that recently “triggered” an event. Combine that with some technology and you can automate direct mail programs to effectively go “door-to-door” for you.

If your product or service does not have a clear tie to a specific life event, this is when you might use a Lifestage Segmentation system to uncover commonality in your current customer base to target new customers. Acxiom has a Lifestage Segmentation solution called PersonicX – if you follow the link you can see an interactive introduction to PersonicX. This solution segments U.S. households into 30 Lifestages that are then assigned to one of 70 Clusters. The Lifestages have cool names like “GenX Parents”, “Boomer Barons” and “Active Elders”, while the Clusters are sub-categories like “Cartoons and Carpools” or “Apple Pie Families”. Each Lifestage and Cluster is defined by a specific set of demographic variables combined with geographic and behavioral factors and represent a modern take on “birds of feather flock together”. Consumers move from one Lifestage/Cluster to another over time.

Using these types of solutions can be a very beneficial and simple way to inject some “science” into your marketing. With a simple list of your current customers you can identify the Lifestage of each with PersonicX, and chances are you will see the old 80/20 rule highlighted in a previous post come to life. There will likely be a concentration of your best customers in only a handful of Lifestages & Clusters. Based on this insight, you would be ahead of the curve if you were to then obtain a list of prospects in your trade area that are in the same Lifestages and Clusters as your best customers.

I look forward to your thoughts and feedback on using Lifestages to improve your targeting and increase response…

“Have you seen my glasses?”


Glasses Graphic With the obvious evidence that I was actually growing older, I finally accepted my fate and was recently fitted for a pair of “reading” glasses. Now and for evermore, the phrase “have you seen my glasses” will be part of my vernacular.

This got me thinking about how many businesses out there have been putting off “getting glasses” when it comes to looking closely at their customers and prospects. Or, for those that do have glasses, when was the last time they had the prescription checked and adjusted? In one of my previous articles, “Who are your best customers“, I explored the ways to take a closer look at your customers and why it’s important to do so regularly.

Over the years, I have spoken with many business owners and sales & marketing leaders, and I have found that the smaller the company, the more likely it is that they have not recently examined their customers (and have no plans to do so!). I find this interesting because the small business is probably the least likely to afford marketing to the wrong audience.

Building on the concepts I discussed in “Who are your best customers“, I am writing an article on calculating the Return on Marketing Investment (ROMI)and would like to hear your answers to the question “How do you decide how and what to spend on marketing?”

Selling to Consumers with Marketing Automation


Previously I used Las Vegas as the backdrop for what I deemed to be sure signs of the coming economic recovery – call it my own “Vegas Consumer Confidence Index”. Closer to home I am witnessing yet another sign that, despite all other indicators, there is compelling evidence that Home Services companies should continue actively marketing to consumers.

The value of Route Density to SMBs who provide Home Services
On most weekday mornings (and some weekends), shortly after 7:00 AM, I am greeted by the hum and thrashing of lawn mowers as one of five (5), yes five, different landscaping crews descend on my neighborhood to cut, edge, and trim every living plant in sight. I do not live in a gated community or otherwise “affluent” neighborhood, which brings these questions to mind:

Question: As American savings rates are off the charts and middle class consumers have cut back on most discretionary spending, what makes Home Services businesses like lawn care or pool cleaning continue to be viable?

Answer: I think this can be summed up by saying that “consumers, regardless of the economy, will continue to pay for work that needs done if the work is either difficult, undesirable, or requires special tools and skilled labor”. I know I fall into this category.

Question: Why are there 5 different companies serving my small corner of the world, when “owning a neighborhood” or having “route density” is not only more profitable for these businesses, but the green thing to do as well?

Answer: Imagine the reduction in fuel costs and transportation time if a crew could work in a single area all day. Way back when I worked for a budding lawn service (I passed on “investing” and now the guy is in early retirement with 25 crews in a 2 county area, but that’s another story) we typically spent our morning in one neighborhood and our afternoons in another. We were able to mow twice as many yards if we could stay put in a single area.

These principles hold true for companies providing any type of service delivered at or in a consumer’s home, whether one-time like decorating, home improvement, or closet systems or recurring like pool cleaning, lawn care, pest control, and housekeeping.

SMBs selling to Consumers can Generate New Business with Automation
In the past, many Home Services crews have been known to put a sign in the yard, blanket the neighborhood with door hangers, or even resort to dropping a clear plastic baggie with a business card and some gravel at the end of my driveway (now that’s bootstappin’). These approaches are all attempting to accomplish the same thing – enter the Utopia of multiple clients in the same neighborhood, and in some cases do a decent job. The rub with these methods are:

1.) With Yard Signs, exposure is limited to only those that pass the house, and is not specifically targeted or personalized. And there is a limited life span – the sign will not be there very long.

2.) While door hangers can be personalized and targeted if a data source is put in the mix, most don;t put forth the effort and door hangers do require some additional effort or costs to have the hangers distributed. A third party can distribute them for a fee likely bundled in the overall cost of printing, or the business can have workers perform this task, but aren’t they better used actually serving customers?

3.) At first glance, the clear plastic baggie with a business card and stones seems like a clever solution since the crew can just drive around and drop the bags on driveways as they pass through the neighborhood, but I would argue that the cost of the bag, fuel, time, business card, and the labor to assemble these “kits” combined with the lack of personalization and targeting and the poor brand image that might result, make this an unattractive option for entrepeneurs with their sights set on growth.

Set it and Forget it
Made famous by Ron Popeil, this direct response anthem for his Showtime Rotisserie Grill has a place in consumer marketing through the use of high quality data and automated marketing solutions. Imagine if each and every single-family homeowner in a neighborhood were to receive a full color, personalized postcard with a compelling offer, within a 2 days of a Home Services crew being in the neighborhood, then several more times over the next few months, long after the crew has left – AUTOMATICALLY. As you know in marketing, with frequency, recall and ultimately response, improves. The mechanisms that support this would be the Home Services business providing the addresses of their customers on a daily, weekly, or monthly basis, from which a mailing list of the neighbors would be produced and queued for automated mailing.

An extension of this concept can be deployed using what we call Trigger Data, such as New Homeowners or New Movers. These segments of the population are ripe for services as they settle in to their new digs. In the case of New Homeowners, they are credit worthy and ready to decorate, fix up, and furnish their new home. I have even seen the use the birth month of a consumer to trigger an automated offer mailing in the month prior. The possibilities are endless!

My favorite is a “have you seen this car” postcard featuring an image of the same make, model and color of a vehicle recently purchased by a neighbor. The card goes on to talk about the low prices, incentives, and the great deal my “neighbor” got at the dealership. Good stuff.

Here is a great video featuring my colleague, MySalesHero, as he helps a contractor apply these principles…

I look forward to your comments or questions.

Even Girl Scouts get it when it comes to sales & marketing…


I ran across this blog post and wanted to share.  The author took what every good business does (or should do) and adapted it for a group of Girl Scouts to execute and suceed – enjoy:

http://frombehindthepen.wordpress.com/2010/06/02/girl-scouts-thinking-outside-of-the-cookie-box-using-7-simple-marketing-strategies/

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