SoKy Local Business or "SoKybiz" SoKybiz Small business in Southern Kentucky Ky.

Tuesday, January 29, 2008

Advertising: Don’t abandon what works!

This is going to seem like a very strange post from me considering my experience and success as a web developer, but it has to be said!

When people look to the internet to market their business, it seems that many times they abandon everything they’ve ever learned about marketing, branding and quantifying results. A business who has invested thousands of dollars in branding and marketing their business in traditional methods of advertising will sometimes forget the hard learned lessons because the internet is something new and special.

A buddy of mine owns a local telephone directory / yellow pages, we engage in some very heated arguments about the usefulness of the internet and local directories. I must admit that his product, as a whole, is better than online directories because people use the print version. (period)

The internet has its place and should not be overlooked when considering the overall strategy, but please do not abandon what has worked for you in the past.

My yellow page buddy sent me a link to a great website about yellow page advertising. It’s www.ypcommando.com. There is a blog there that I MUST quote from today.

Advertiser expectation and patience for results from online advertising are difficult to meet because the Internet does not bypass human nature of procrastinating, building trust, qualifying, deciding and taking action.
It’s important for traditional advertisers to NOT abandon their terrestrial publications, rather embrace change as a restaurant owner embraces trends.
read it all

The bottom line in my opinion is that people should consider the internet as a possible way to enhance their “terrestrial publications.” You will never be more disappointed than when you shift all of your marketing dollars from methods that have worked to the internet only to see sales fall.

My Advice? Mix the internet in with other methods that have been working for you. Use the lessons of product, price, placement and promotions that are the foundations of your marketing plan and then find ways to integrate them into online use. Stay consistent with your corporate branding and identity online and find ways that will bring all of the efforts under one plan, hopefully a plan that works.

I realize that some may find this strange advice from someone who has made his living building and hosting websites for more than 10 years. Truth be known, I have never suggested that the internet is the end all – be all of marketing and advertising. I would even argue with my own clients who would make such a suggestion. There are many ways to leverage the power of the internet to increase sales, loyalty and market reach, but those should be used in concert with traditional marketing and advertising efforts.

Labels: Advertising, branding, marketing, small business

This was posted by SoKy : 12:40 PM 0 comments links to this post

Thursday, August 30, 2007

Marketing Experts

Everyone Wants to be an Expert!

expert : ex·pert (ek'sp?rt')
n.
A person with a high degree of skill in or knowledge of a certain subject.

As I visit local area businesses in Bowling Green and south central Kentucky, people talk about marketing consultants and advertising representatives at length. Many who read this blog have assumed that I’m some kind of consultant or ad agency, I quickly correct them and explain that I am simply sharing my experience and opinion.

Fact be known, I do offer advice and opinion to local businesses when asked or when the topic comes up, but I do not get paid for it. Sure, I’ve written about advertising, marketing and public relations at length here on this and other blogs, but I am not a paid consultant by any stretch of the imagination.

I did toy with the idea and put together a business concept called Soky Solutions with a very good friend of mine, but due to professional career changes by my friend, we never started the company. I do have a vision, but it would be expensive and complicated and there are enough self proclaimed experts out there already.

This issue was raised recently by a very good friend of mine who publishes a local area phone book. He went on a rant about unqualified individuals who hang a shingle as a marketing and advertising consultant or “expert.” He went on at length about a few people out there who have never owned their own business nor have they ever purchased advertising for themselves. He feels that many of the so called experts out there are woefully unqualified to represent small businesses because they don’t have the experience much less the expertise to do so. I tend to agree.

There appears to be a number of people around who claim to be marketing experts which begs the question, “What makes a marketing expert?” Is it someone who achieved a college degree? Or is it someone who used to be an advertising sales person for one of the area media outlets? Apparently, it takes very little for someone to proclaim to be a marketing expert which once again puts the burden on the small business person to do some due diligence when deciding to trust someone else to handle their marketing dollars.

Some small business people feel overwhelmed with the vast number of advertising representatives who call on them while they are trying to conduct business. Many get frustrated and refuse to listen to opportunities offered, or they are afraid of being “sold” something that may or may not work. I’ve heard a few people say that they wish there was a way to “filter” all of the media reps so they can quickly and intelligently make a decision as to the best method.

The concept of having a qualified person or company to take care of selecting the right media outlets and implementation of a marketing strategy is not so farfetched. It is basically a good idea if you can afford it and if you have found that right person or agency.

The cost: Frankly, it doesn’t surprise me that retaining a good and qualified ad agency is expensive. It should be. The time required to represent a small business, establish a good strategy and then to implement it is exorbitant. That’s why you hired them in the first place. If they are truly taking the time to consider your best interest, then it is and should be expensive.

When my friend and I were brainstorming for the agency, I told him that all clients should be willing to pay a monthly stipend based on the amount of work they expected from us. This price ranged from $500 to $5,000 depending on the needs of the client and their expectations from us. He pushed back and said that small businesses couldn’t afford to pay monthly agency fees as well as pay for advertising to which I replied, “then we need to find the companies who can afford it then don’t we.”

When we considered offering marketing services to outside clients I explained to my friend that we need to do some serious research. We need to find out traffic patterns, demographics, psychographics, as well as negotiated rates with all of the advertising outlets in the market. I said we had about 6 months of real research to perform so when someone entrusted us to answer their questions, we would know the answers.

Some business models for ad agencies don’t expect a monthly fee if you’re spending enough money on advertising. The reason for this is they get a discount from the media outlet and that is their compensation. I don’t agree with this concept for a number of reasons. Typically, people are loyal to those who write the checks. If their income comes from the media instead of the client, then who are they really working for? Another reason I don’t like this concept is the lack of disclosure. How much are these guys actually making? And how much could I be saving if I were doing it myself? These are just a couple of the questions that burn in the mind and tend to tear down good working relationships.

I think that the business should be willing to pay the consultant, but the consultant should be good enough to show savings in excess of what they are being paid. If you were paying me $5,000 per month to take care of your advertising and I showed you that I was able to negotiate discounts resulting in savings on media buys that exceeded that amount, you would actually be saving money by paying me but more importantly, you would have full disclosure and confidence in your decision to retain me. (I use “me” as an example... again, I’m not an ad agency nor a consultant.)

I have seen a couple small businesses in the area who have made the decision to hire a full time marketing person. This is a good concept because it allows the small business person a level of control that is not possible when hiring an agency. The limitation however, is that all of the money spent on the salary is for that one person. When spending the same amount with a good agency, you will retain the skills of graphics, copyrighters, public relations and communication specialists instead of one “affordable” member of staff.

The bottom line is to get to know who your “expert” is. What have they done? Has their experience and background made their clients money? Saved their clients money? Do they even have clients? (grin)

In the end, it comes back to making an informed and intelligent decision, and only one person can make it, you the small business owner. Ask questions and by all means, get references! Call the references and interview the clients. It’s the least you can do when you are considering entrusting someone to spend your money. Choosing wisely can be the best thing that ever happens to your business because it will grow and you will make more money; choosing poorly will waste time, money and cause more work than had you not considered hiring that expert in the first place.

Labels: marketing, planning, small business

This was posted by SoKy : 2:29 AM 0 comments links to this post

Thursday, May 03, 2007

How to Create a Marketing Plan

As our efforts continue in creating a new brand for the magazine, re-branding Soky.net and considering the brand for the web development part of our company, I have to remind myself to stick to the fundamentals; stick to the tried and true methods; above all else... keep it simple!

I bookmarked an article on Entrepreneur.com a while back that I have re-read and would like to offer to you.

How to Create a Marketing Plan

What is a marketing plan and why is it so essential to the success of your business? Find out here, in the first section of our comprehensive guide to creating a marketing plan.

Firms that are successful in marketing invariably start with a marketing plan. Large companies have plans with hundreds of pages; small companies can get by with a half-dozen sheets. Put your marketing plan in a three-ring binder. Refer to it at least quarterly, but better yet monthly. Leave a tab for putting in monthly reports on sales/manufacturing; this will allow you to track performance as you follow the plan.

The plan should cover one year. For small companies, this is often the best way to think about marketing. Things change, people leave, markets evolve, customers come and go. Later on we suggest creating a section of your plan that addresses the medium-term future--two to four years down the road. But the bulk of your plan should focus on the coming year.

http://entrepreneur.com/marketing/marketingbasics/...
Source: The Small Business Encyclopedia and Knock-Out Marketing.
Copyright © 2007 Entrepreneur.com, Inc. All rights reserved.

Friday, April 27, 2007

E-mail Newsletters a useful piece of the communications puzzle

I've been a "tentative advocate" of eNews or direct e-mail marketing. Tentative because the temptation to overdo it or to abuse the communications channel exists. Advocate because anytime you can continue communications with your target client, customer, and/or contact you are staying "top of mind" and that's always a good thing.

Anita Campbell of Small Business Trends posted a recent blog that would indicate that not only is sending an e-mail newsletter worth the time and effort, it is also quite effective. She writes:

For the past two years some have been predicting that RSS feeds and spam would kill the email newsletter. However, it appears that email newsletters are alive and well.
In fact, small businesses subscribe to one to five email newsletters. Even more interesting, most actually read — or at least skim — the majority of newsletters they receive.
Read whole blog at Small Business Trends

I have recently finished an e-mail newsletter application for one of my clients and it too seems to be working. I try my best to keep the client down to one mailing per month just so as to not abuse the contact relationship, but I also gave each contact the ability to take themselves off the list.

It's very important these days to maintain a good image, stay in contact but also comply with the new and untested spam laws. Staying true to the spirit of the laws is what works for me. Some simple check points...

Each contact added to the distribution are known to the business
When possible, the contact has given permission to add them to the list
The frequency of the e-mail are kept to a minimum
The e-mail is brief, to the point and easy to read
Every e-mail includes a link that allows the recipient to "opt out" of future e-mail
Each e-mail is sent directly to the recipient (not BCC, or worse, CC to a bulk list)
Each e-mail includes the contact name, "Dear Mr. Contact"
Offer unknown web visitors the ability to subscribe to the list using double checks. This means the person can add their own e-mail address but also must activate the account through a link sent to the address to be added
The information online should be secure so as to not allow the list to be "stolen" by unscrupulous characters

Some would (and have) argued that these safeguards are too stringent and that a business should be allowed to use e-mail in aggressive ways, or that all these safeguards are unnecessary. I disagree. The public image of a small business depends on being respectful to their clients/customers, honoring their privacy, time and attention through infrequent contact, short and sweet letters lends well to conveying respect to the contact. Some of these checkpoints are to comply with legal requirements as well.

I'm glad to read Anita's article that eNews is effective and useful for the small business person. I will continue to develop tools for my business as well as client businesses, to use this resource in effective ways.

Communication is the key! eNews is just one more tool in the ever growing virtual toolbox. It should fit into the overall marketing plan of a business. A plan that is well thought out and with a defined purpose in mind. It should all look and feel the same and all work in concert to accomplish the mission. If it is to sell tickets, travel, services or ideas, eNews can be a useful piece of the communications puzzle.

Labels: branding, e-mail marketing, internet, marketing, planning, small business

This was posted by SoKy : 6:50 AM 0 comments links to this post

Tuesday, April 24, 2007

A brand is timeless

"A product is something made in a factory; a brand is something that is bought by the customer. A product can be copied by a competitor; a brand is unique. A product can be quickly outdated; a successful brand is timeless."
- Stephen King, WPP Group, London

Marketing Quote of the day from The American Marketing Association, MarketingPower, Inc. newsletter

Labels: branding, marketing

This was posted by SoKy : 7:45 AM 0 comments links to this post