marketing | The MarketFarm

3 local marketing best practices: Be seen, be known, be remembered

Success in marketing isn’t about finding the one thing that works; it’s about cultivating a range of activities that, cumulatively, bring in the customers you need. Some of the best activities cost little and exploit your own interests.

Here are examples from 3 Cleveland Heights businesses that do a good job at making themselves seen, known and remembered:

Community involvement: Every year on New Year’s Day, Tommy’s Restaurant hosts a fundraiser for HeightsArts. Owner Tommy Fello donates the food and the entire facility, and a handful of his key staffers donate their time to cook. But that’s just the most visible of many local causes the restaurant supports – usually by providing the food. The result: Samples of his food showing up all over town, an immense amount of goodwill and 40 years in business.

You can’t give away goods and services to everyone who asks, but if you pick good causes and make sure to get reasonable recognition for your support, you’ll work your way into the hearts of the people in the community – the very people your business exists to serve.

Leverage small partnerships: Not quite 2 years old, The Winespot has quickly evolved into more than a store. Through a partnership with the Cleveland Institute of Art, its walls showcase (and sell) student art. It hosts a couple “openings” a year to introduce the next round of artists. It also has a small seating area and a location appropriate for small music combos to perform.

Launching from that, owners Adam and Susan Fleisher have focused on extending the store’s productive hours by establishing it as a venue for special events – and offering corkage to allow customers to enjoy wine and beer purchases on premises.

Now they’ve added dinner to the mix; the store keeps menus on-hand from 5 nearby restaurants. You can buy a bottle of wine or beer, pay a corkage fee and call in a food order. The restaurants will bring the meal to you – no surcharge.

It’s not likely to be the most important source of business for anyone involved. But it’s clever, cheap and just different enough to bring in some incremental business for everyone.

Exploit undermarketed venues: Before opening Sweetie Fry’s storefront location, owner Keith Logan sold his craft-made ice cream from a portable food cart. Last fall – looking to keep the food cart busy – he tried to swing a deal to sell ice cream at Heights High football games.

While that proved unworkable, he and the school created a sponsorship program that brought in money for the athletic department and promoted Sweetie Fry during games. Several times throughout each home game, the PA announcer would ask a local trivia question. The prize? A certificate for free Sweetie Fry ice cream.

The contests were a hit. Sweetie Fry’s name became unforgettable among those in attendance. And a small business quickly earned and outsized reputation.

Each of these companies could serve as the source for more such examples, because all of them layer their marketing through multiple activities.

There’s bound to be something your business can do too that doesn’t cost much money, plays off your strengths and interests, delivers positive results and can be replicated for success. The trick is to find it.

Social media marketing: Where to start

Most business owners rightly feel they have better things to do than play around with social media.

At the same time, it’s not an exaggeration to say social media has revolutionized marketing. It allows any business to engage in “content marketing” – essentially developing its own audience at little or no cost, and engaging with them to drive interest in sales. To ignore this is to ignore the behavior of your customers and prospects.

But with so many social media outlets, it’s often hard to know where to get started or what to do next.

Every social media site has its own peculiarities and best practices. Learning the nuances of each, takes a certain amount of time and commitment. So I recommend getting involved in one platform at a time. Start with Facebook, for instance, and work it until you’re comfortable about how it adds value. Only then should you look to add another platform.

At the same time, understand that social media outlets are like ingredients in a sandwich. A piece of ham tastes good, but it’s not lunch until you put it between slices of bread and add tomato, cheese and mustard. With social media, you may need to layer 3 or 4 different sites before you have a program that actually drives revenue to your business.

As an example, most of my social media clients combined Facebook and Twitter – and in some cases a third relevant site – before they gained traction at building audience.

Here is a basic overview of the major social media outlets and what each one brings to your marketing. All are trying to find services you’ll pay for, but they can still be used effectively for free.

Facebook

What it’s for: The foundation of any social media marketing – particularly if your products/services are targeted to a consumer audience. Use it to aggregate an audience of people who are interested in what you sell or do.

Strengths: A billion users. Easy and low-cost advertising. Integrates with many other prominent social media outlets (i.e., when you post on Twitter, for example, it’s easy to have the Tweet automatically post to Facebook as well). Finally, the best adoption in mobile computing – allowing you to easily capitalize on the astoundingly fast migration to mobile devices.

Weaknesses: Constantly changing. Noisy, commercial and often unpleasant to use. Takes commitment to feed it with content.

Nuance: Don’t use your personal page for business. Set up a business page; you’ll look more professional and once you have 30 “likes” it provides you with valuable data to improve your marketing – still for free.

LinkedIn

What it’s for: Social media networking specifically for business. If your products/services are targeted to a business audience, start here instead of Facebook.

Strengths: Many ways to find and engage relevant audience.

Weaknesses: Doesn’t integrate well with other social media. It’s also become so rich with features that it is becoming difficult to use. Further, some of the best features are now reserved for paid users.

Nuance: Despite the negatives, it’s still the largest and most robust business-to-business networking tool available. You’ll want both a personal page and a business page.

Twitter

What it’s for: Broadcasting headlines. Use it to let people know you have new content to share – whether it’s on Facebook, LinkedIn, your own website or anywhere else.

Strengths: The accepted standard for deploying brief messages. Also strong on mobile platforms.

Weaknesses: Low signal-to-noise ratio. You need a lot of followers here to count on your messages being seen.

Nuance: Because Tweets are so brief, you’ll want to shorten any website links that you broadcast with a free utility like tinyurl.com, bitly.com or goo.gl. Also, the fastest way to gain an audience is to automatically follow anyone who follows you. There are a number of tools that help with this, such as TwitterAutoFollowback (rolls right off the tongue, doesn’t it?) or Twollow.

YouTube

What it’s for: Everything video. If you’re going to use video, then you want to use YouTube. Even if a video is posted on your website, you should put a copy of it on YouTube as well for the visibility in search.

Strengths: The accepted standard for all things video.

Weaknesses: It’s not much good for anything else.

Nuance: If you’re going to post multiple videos, create a channel for your business and promote it on your website, other social media sites and in your marketing materials.

Slideshare

What it’s for: Posting presentations of all kinds. It’s owned by LinkedIn and integrates well with it.

Strengths: Easy to use and well-known in business-to-business environmenbts.

Weaknesses: Doesn’t integrate well with sites other than LinkedIn.

Nuance: Load it up with whatever presentations you have – technical materials, sales presentations, workshops and anything else you do. It’s surprising how much time people spend browsing through presentations once they’ve found the one they’re looking for. Also, upload presentations as PDFs to assure broadest accessibility to your information.

Google+

What it’s for: Even social media experts will tell you that they don’t really know what Google+ is best at. It’s intended as Google’s answer to Facebook. It is often appreciated for being less commercial and crowded than Facebook, but if you’re beginning a social media program, that can be a disadvantage. Facebook may be noisy, but it has tools designed to make marketing easy. Success on Google+ demands more sophistication in social media marketing.

Strengths: Google’s most powerful attribute is search, and the promise is that anything you post using Google+ will be easier to find on the world’s best-used search engine.

Weaknesses: No sense of place. Facebook is a destination. Google+ is a concept.

Pinterest

What it’s for: Creating online bulletin boards filled with images. If your product or service is visually oriented, use Pinterest to create relevant collections of photos and show them to your audience.

Strengths: Easy to use and integrates well with other sites. So you can feed content to Pinterest and have it automatically post to Facebook and Twitter.

Weaknesses: Typically viewed as a site for women, though that reputation is fading.

Nuance: Pinterest is a social platform in itself, and it wants you to gather followers. But you can use it to organize and display photos while focusing your “audience development” efforts on Facebook and Twitter.

Instagram

What it’s for: Very much like Pinterest. But it originated as a photo-enhancement app for smart phones and it maintains that heritage today. While Pinterest is about organizing collections of images, Instagram is more about taking, dressing up and sharing photos (and now, short videos).

Strengths: Integrates with other social media.

Weaknesses: How many different ways do you really need to take a picture or video?

Foursquare

What it’s for: Geographic social media; people check in to places they visit. By encouraging people to check in, you create visibility on the Foursquare network.

Strengths: Creates attention to storefront businesses that rely on heavy traffic.

Weaknesses: Not much buzz about it these days.

There are plenty more social media platforms, but if you’re not already deep into social media, don’t go beyond what’s contained here. Pick an appropriate place to start and then get comfortable using it.

Social media doesn’t have to take over your life, but if you want people to know about your business, it should be at least a regular part of it.

A single metric to compare different publications

You’ve received quotes for advertising from two publications or websites; one wants to charge $150 and the other $350. How do you know which is the better deal?

Creating an apples-for-apples comparison between different publications is difficult because it involves so many variables.

The most common calculation for this job is cost-per-thousand (CPM), which measures the amount of money it takes to reach 1,000 people. You can use it for any medium – broadcast, print and online. (But it won’t hold up if you try to compare one medium against another).

Here’s the formula:

CPM = Rate/(Circulation x .001).

So if an ad costs $250 and the publication’s distribution is 8,000 copies, the CPM is $250/8, or $31.25.

It’s a simple calculation, and it lets you compare the rates of different publications with different circulation sizes.

But it has limitations.

For instance, it only works when comparing rates in the same media channel – print v. print or online v. online. That’s because the economics to produce different media – and the results they generate – are so different. Even when using it to compare two similar offers, be aware of these complications:

Ad size: CPM for a half-page ad will be higher than for a quarter page ad in the same publication.

Frequency. The more ads you buy, the lower the price will be for each. That means a single publication will have a different CPM for every ad unit and every frequency rate. The Heights Observer, which offers a pretty typical rate structure, has 60 different CPMs depending on the size of the ad and the number of insertions you buy.

Page size: Move vexing, a quarter-page ad in one publication (The Wall Street Journal, for instance) may be much larger than a quarter-page ad in another (i.e. Reader’s Digest).

That’s why it’s helpful to take CPM a step further – CPM per square inch (CPM/i²). It’s the cost you pay for each square inch of space to reach 1,000 people. Here’s the formula:

CPM/(height x width)

This will get you closer to that apples-for-apples comparison between different publications. It’s still not perfect. The bigger the differences between two publications, the less relevant CPM/i² will be. But in such cases, it may be the only tangible link for comparing disparate ad products.

So what’s the best way to use CPM and CPM/i² to make advertising decisions efficient and painless?

Step 1: Decide which publications you’re interested in, based on who they reach and how you feel they’ll work for you. Then look up or request their rates.

Step 2: After getting past the sticker shock, decide how much you want to spend per week, month or year. (Plan to advertise consistently over an extended period. It works best when treated as a long-term investment.)

Step 3: Select ad units in each publication that fit within your price range. Include any extra charges for color. If you can afford a full-page ad in one publication but only a small ad in another, that’s OK. CPM/i² should become a smaller part of your decision but it’s still instructive in your evaluation.

Step 4: Using the same frequency rate (i.e. if you use the 12x rate in one publication, use the closest thing to a 12x rate in every publication), calculate CPM/i².

Now you can evaluate the pricing with confidence, knowing this is as close as you’ll get to an apples-for-apples comparison.

In the end, CPM/i² is only one metric; it should never be the your only consideration. Such factors as a publication’s acceptance among readers, the relevance of its content and its customer-friendliness are at least as important.

Your gut may have to take you the rest of the way. But you’ll know there is at least some science behind the decision.

Image courtesy of Suvro Datta/FreeDigitalPhotos.net

Your business card is not an ad

Work boots are like soccer shoes in the sense that they both provide a protective covering for your feet. But if you play soccer or work in a steel plant, they are anything but interchangeable.

Your marketing materials are purpose built in the same way. A brochure isn’t interchangeable with a frequent buyer’s card any more than work boots are interchangeable with soccer cleats.

People who run their own small businesses are hard-working and busy. They typically seek to leverage time and money by applying one solution to as many problems as possible.

Many publications take advantage of that tendency by creating ads that are the same size as a standard business card. Business owners don’t have to think or spend to design an ad, and the publication gets a quick signature on a contract.

But just because it’s cheap and easy doesn’t mean it’s smart. In fact, it’s usually a waste of money. Business cards and advertisements are simply designed for different work.

The job of business cards is to make it easy for people to reach you. And that’s all they do. They work because you hand them out to people who have already expressed an interest in being able to contact you.

On the other hand, the job of an advertisement is to help people decide if they’re interested in what you do. It has to tell people what you do – and why you do it better or differently than others. It has to provide some call to action. It also may need to include a coupon or special offer of some kind to allow you to track results. And, of course, it must include at least a few critical bits of contact information.

If you plan to advertise, spend time thinking about how your ad must differ from your business card in order to really sell your product or service. If you’re not able to make that commitment, then find another way to invest in your business.

Because running a business card as an ad probably won’t generate results. But it will indicate that you ‘re someone who thinks it’s a good idea to play soccer in work boots.

Image courtesy of Luigi Diamanti/FreeDigitalPhotos.net

The economics behind the media meltdown

What really happened that caused traditional media to shrink so much over the past decade – and why are so many still struggling to come back?
That’s the subject of this presentation, which I’ve given several times over the past few years.

Why the media meltdown from Bob Rosenbaum

Names make news (2.0)

Two years out of college, as a young reporter for a business weekly in Upstate New York, I met the crusty old publisher of the Pacific Business News – a business journal in Honolulu. I didn’t like him much. I was idealistic and ready to change the world. I was living in the snow belt and learning how businesses work. I was reporting on Michael Milken (a Master of the Universe, the junk-bond king, deal-maker supreme) and leveraged buyouts. I was writing about how empires were made, how old cities were rebuilt, how capitalism made the world turn.

This old guy, meanwhile, was living in paradise and frustratingly pragmatic. Standing before a room full of wide-eyed people like me, he was asked to dispense some advice to us young guns. After something like 50 years in business, you know what he came up with?

“Names make news,” he said. That was it.

To look at his newspaper was to understand how this pedestrian philosophy played out in the real world. While it has been updated over the past 25 years to get ahead of changing times, the product I saw that day was gray and cheap. Articles were short, reading as if written by flacks and hacks. Every person’s name that was mentioned – there were a lot of them – was bold-faced. Some articles seemed concocted for the specific purpose of highlighting a large roster of names.

I was unimpressed. I promptly forgot that old publisher’s name and promised myself I’d forget his tired old advice too.

What I discounted was his experience. He’d been running the same publication for something like 50 years. It’s possible, I now realize, he had learned and discarded many other truths along the way – distilling his success into one rule of thumb that fostered success for his product in his market at his time.

Names make news.

I never did manage to forget that advice. While it’s not the only rule I’ve lived by over the years, I’ve had many occasions to apply it, and it has never failed me.

It came back in a rush this morning when Seth Godin’s most recent blog post came through my e-mail. Seth is a marketing guru; he dispenses more good advice in a week than many of us dispense in a lifetime.

Seth’s advice on the subject doesn’t come across like that of a crusty old publisher marking time in Hawaii. It’s contemporary, directed at social media marketers, online journalists, bloggers – would-be masters of the new digital universe.

But it’s equally concise and to the point. When people look at photo albums, he says, they go directly to pictures of themselves.

He writes:

Knowing that, the question is: how often are you featuring the photo, name, needs or wants of your customers where everyone (or at least the person you’re catering to) can see them?

So listen up Internet 2.0ers. Your self-indulgent rants, your complex business models, your highly-designed user experiences are all well and good. But as media change, some things don’t. Names make news. They always have and they always will.

Image courtesy of graur razvan ionut; FreeDigitalPhotos.net

Wants vs. needs? You’re selling both

Seth Godin, one of the best marketing bloggers I follow, says wants and needs are often confused. He writes:

That pays off for any marketer that has persuaded his market that they need what he sells. It backfires when those ‘needs’ are seen for what they actually are–luxuries.

I agree with Godin in both his point and his brevity. But in being admirably concise, he omits a noteworthy nuance. People are more eager to buy things they want than things they need. They’ll go to great lengths to pay the lowest price possible for actual needs – stuff like medicine, groceries, industrial consumables. But they’ll happily spend more on things they want – think wine, golf clubs, a redecorated office.

The point? While Seth Godin is correct that you’ll improve sales by persuading people you can fill a need, you’ll lubricate the sales process and increase pricing margins by convincing people that your product is also something they want.

As evidence, consider:

Dell v. Apple
Toyota Yaris v. Mini Cooper
Emerson audio equipment v. Bose

There’s a lesson for your marketing in that knowledge too.

First things first: What game are you playing?

Strategy before execution. This should be simple.

But it’s human nature to jump right into doing stuff before sweating out the big questions.

For example, a couple prospective clients have put off small, closed-ended projects that I proposed to help them align operating strategy and marketing. This in turn would help them answer such daunting digital communications questions as how to deal with social media, and what capabilities does the website need to offer?

It’s my suspicion that what they’ll really learn is the organization doesn’t actually have a unifying operating strategy. But in both cases, the reason given for delaying the little strategy project is that they first have to devote all their attention to the big website project.

I understand that building a new website is daunting. But it’s even harder if you don’t know what purpose the new website is supposed to serve. It’s like getting ready to knock the ball in the hole without knowing whether you’re playing billiards or golf.

That’s why strategy always needs to come before execution. Strategy tells you what you’re trying to do. The website will help you do it. But only if you tackle them in the right order.

Image courtesy of James Barker/Freedigitalphotos.net

Advertisers will always go where the people are

Alan Mutter, who calls himself the Newsosaur and whose opinions on the news business I deeply respect, points out that newspapers are now well into their sixth year of declines in advertising demand. In a recent blog post, he noted that annual newspaper sales hit $10.7 billion in 2006 – and now stand at $4.3 billion, about the same level as 1983. And they continue to drop.

While the drop in advertising isn’t new for newspapers, it hasn’t always been their No. 1 problem. Credit for that goes to the systemic and ongoing declines in circulation. Newspapers are simply less relevant across society than they once were.

But the dynamic behind shrinking advertising is different; it’s more like the experience of magazines – especially business-to-business – over the past decade.

I’ve written about the reasons behind the loss of advertising for magazines, and I’m not alone. The issue isn’t that advertising has ceased to work; I don’t believe that’s the case now, nor do I foresee the day when it is.

The issue is that other things now work better. And by other things, I really mean one other thing: social media.

First, more people are involved in social media than in any other media channel. If you lump together YouTube, Facebook, LinkedIn, Slideshare and the thousands of other social media websites, day-to-day participation is as broad as any other media channel.

Further, in most cases participation is free – even for the marketers, at the most basic level.

Further still, results are always measurable.

The equation is really simple: Marketers who are pulling back on their traditional advertising are merely following the lead of other marketers. And those who are not actively involved in social media are negligent. Marketers need to be where the people are, so they simply aren’t going to ignore a media channel that has so quickly attracted a large percentage of the world’s population.

I could predict that advertising revenues are going to continue their decline for newspapers, because consumer advertisers are now discovering what business-to-business advertisers learned several years ago: With social media, you can (and should) become your own publisher – developing an audience and serving it with meaningful, interesting and helpful content.

That doesn’t mean newspapers, magazines or any other type of print media are doomed. But newspapers of the future will be very different than they were just six years ago. The sooner they figure out how to unhitch their fortunes from advertising, the better off they’ll be.

So much to do that nothing gets done

Many small business owners are not marketers. They’ll tell you as much.

People start their own business in order to do what they love and do well. Marketing becomes a necessary evil.

For many, writing is a chore. Or databases are a mystery. Or blogging takes too much time. Social media creates an uncomfortable blend between business and personal. Networking is superficial. Advertising is too expensive and doesn’t work quickly. Public relations is a crapshoot.

It’s altogether too time-consuming, too hard, too expensive. There’s so much marketing work to do that nothing gets done. And it’s easy to justify, because word-of-mouth is the thing that works the best anyway. But word-of-mouth isn’t real marketing; it’s luck. And while I’d rather be lucky the good, the real winners are both.

Aside from being under-capitalized, marketing paralysis may be the most common affliction among small businesses. There is a lot to know about marketing and too many easy reasons not to get started.

But marketing is now more accessible to small businesses than it’s ever been. Marketing rarely comes for free, but it’s possible to start marketing seriously without risking thousands of dollars like you had to do 10 years ago.

So here’s an idea: Try one thing. Instead of getting overwhelmed by all there is to learn about marketing, try choosing one marketing activity and focusing on it until you’re proficient – or at least comfortable.

What should you do first? I’d advise doing the activity that interests you most; you’re more likely to find the joy in mastering it.

But if you insist on being pointed in the right direction, swallow your pride and jump onto Facebook. Why? It’s a tool that can allow you to reach 1 out of 2 people in the United States – for free. If you coughed up $3 million to advertise on the Superbowl you wouldn’t reach that many people. Facebook is, simply, the largest media outlet in the world. And you can get started without spending a nickel.

What do you do on Facebook? Start by building a profile for your company, and then explore and experiment. We can discuss it in more detail another time. What’s important is that you do something. Anything.