So about a month or so ago, I started a new blog to write about my growing interest in food. It's a fun blog, something for me to do outside of work, and cultivate a hobby. Overall it is a combination of writing about my cooking experiences, and providing restaurant reviews when I go out to eat. I don't have a lot of readers yet, but there are a few that have checked it out.
Anyway, the point of this post isn't to promote my other blog, but to respond to something I found a little disheartening. A couple weeks ago, I posted about an experience that really wasn't that good. I was disappointed in the food and the service. I didn't write a scathing review and say that it was the worst place ever, but just offered my opinion saying that it wasn't one of my favorite places, and I wouldn't recommend it. It's your typical detractor response; every company has them. After posting, I included my review on Urbanspoon and Yelp to try and get some more readers and reach a broader audience (this is what bloggers do). Within the next 24 hours, I received 4 comments to my post, which excited me until I read them. The first 3 were profanity laced attacks on my review, one of which was signed by the restaurant itself. Comments like "who gave me the right to give a negative review" and "we don't need a customer like you" shocked me.
Here's the thing. I don't expect everyone to agree with me, I'm offering an opinion. And, I offered my opinion as respectfully and critically as I could. For someone from the restaurant to respond that way is not only inappropriate, but incredibly poor marketing, and sadly something we see all too much. No one likes hearing that they didn't do a good job, or receiving negative feedback in general. But it's this negative feedback that helps you get better and make improvements. Running and hiding unless you are getting a pat on the back encourages you to simply maintain the status quo and avoid the change that is inevitable.
I've run into that problem in my work life as well. I've been trying to encourage social media as one avenue to provide information to our customers. On many different occasions, I would be stonewalled because "we don't want people to say negative things". So rather than providing information to potential customers, they would rather hide from customer feedback. Rather than take the feedback that could help us get better, we are hiding from it and maintaining the status quo. Rather than listening to people that really care (because if they didn't care they wouldn't take the time to write), we avoid them completely.
I wasn't expecting anything from the restaurant when I wrote that review. I didn't expect them to read it and say, "We're sorry you had a bad meal, come in again and it's on the house because we want to prove ourselves" (though let's be honest, that's what they should have done, and what I would have done to try and turn a detractor into a promoter). But, they are wrong if they think they don't need a customer that will tell them when something wasn't good. Everyone needs customers that care enough to offer their opinion, even if it is just on a blog.
Monday, May 3, 2010
Friday, April 16, 2010
A little thank you goes a long way.
Today I got home, and like I do every day, I grabbed the mail on my way in. But today was a little different. There was a big white letter package, kind of like a FedEx document package, but just in the regular mail. The return address said BMW, so I was definitely intrigued.
About a year ago, I bought my first BMW. The BMW was my dream car for this point in my life. It was a way to say, I've arrived, I've made it to where I want to be, and I'm successful. Says something about what the brand means, doesn't it? Anyway, I opened the package to see what was in it by pulling the strip on the back of the envelope (interesting side note...want a sure fire way to get someone to open something? Send it in a FedEx envelope or similar type of packaging...). Inside the package was a thick piece of cardboard to keep it from bending, and what looked like a white folder in a clear plastic wrapper. On the outside was a wrapper wishing me a Happy Anniversary from BMW. The message was simple, thank you for being a customer. Inside the little folder is a sketch of my car.
I thought this whole thing was brilliant. First, it was packaged in a way that was pretty much guaranteed to get me to open it, something that would immediately catch my eye. Second, it is a fantastic customer loyalty/customer relationship approach. They aren't asking me to buy anything, but simply thanking me, and providing me a gift. Third, and most important, they are building a promoter and a brand steward. I mean, I'm sitting here writing a blog about how much I like BMW (and I have yet to mention how much I enjoy driving my car). I'll probably put the sketch in my cubicle so anyone that stops by will see it, and could strike up a discussion.
Too often companies focus all of their attention on recruiting new customers or trying to get current customers to spend more, and forget to do the little things like thanking their existing customers just for their business. This little gesture will definitely go a long way in solidifying me as a BMW customer for longer than just the life of my current car.
About a year ago, I bought my first BMW. The BMW was my dream car for this point in my life. It was a way to say, I've arrived, I've made it to where I want to be, and I'm successful. Says something about what the brand means, doesn't it? Anyway, I opened the package to see what was in it by pulling the strip on the back of the envelope (interesting side note...want a sure fire way to get someone to open something? Send it in a FedEx envelope or similar type of packaging...). Inside the package was a thick piece of cardboard to keep it from bending, and what looked like a white folder in a clear plastic wrapper. On the outside was a wrapper wishing me a Happy Anniversary from BMW. The message was simple, thank you for being a customer. Inside the little folder is a sketch of my car.
Too often companies focus all of their attention on recruiting new customers or trying to get current customers to spend more, and forget to do the little things like thanking their existing customers just for their business. This little gesture will definitely go a long way in solidifying me as a BMW customer for longer than just the life of my current car.
Wednesday, April 14, 2010
Why keep wasting money on traditional marketing?
Earlier today I was having a discussion with one of my colleagues at work about how you reach customers in today's market. We got on the discussion as a tangent from my previously life at Comcast, one of the most set-in-stone, traditional "marketing" companies out there. When I worked there, it was the same. Each month send 2 direct mail pieces, run weekly newspaper ads, make radio spot, repeat next month. The idea of a creative change was going from yellow to purple. Or doing a letter instead of a postcard. He thought there must be some information somewhere that indicates that this cycle must drive responses, or they wouldn't do it. I contended that they did it because they didn't know any better and had money to burn.
I get that feeling with a lot of companies. They have to do "marketing" so they just do what they've always done. I remember times sitting in a room looking at the call results (direct mail had a different phone number than the general 800-number for tracking purposes), and having people be excited when the response rate neared 1%. When 99% of pieces were discarded with no response, that was considered a success (as opposed to the failure when 99.7% are discarded). Millions of dollars get thrown out, and wasted. What's the point? Today when I came home there was a mailbox full of mail. How many pieces did I open? Zero. Straight to the recycle bin.
The way consumers respond to information from companies and about products changes very rapidly, so companies need to be able to respond in a similar fashion. Why does it make sense to spend hundreds of thousands of dollars on newspaper advertising when most of the consumers have moved online (especially if you are a technology company that provides the access to go online!)? Traditional "marketing" has been passed by (I keep putting marketing in quotes because in this case, it really is more advertising and less marketing). Yes, there is still a place for television and radio spots, but they have to be different to keep me from skipping them with Tivo or changing the station. Yes, there is still a place for direct mail, but it has to absolutely standout and be relevant to me.
Make sure that you consider how your customers learn about your products, and get ahead of the game. Don't do the same old thing because you have the money and you don't know any other way. Heck, if you can't think of a better way to spend your money than to have 99% of your direct mail pieces wind up in the garbage (and I can tell you that's tens of millions of dollars), why don't you start by giving some of it back to your customers?
I get that feeling with a lot of companies. They have to do "marketing" so they just do what they've always done. I remember times sitting in a room looking at the call results (direct mail had a different phone number than the general 800-number for tracking purposes), and having people be excited when the response rate neared 1%. When 99% of pieces were discarded with no response, that was considered a success (as opposed to the failure when 99.7% are discarded). Millions of dollars get thrown out, and wasted. What's the point? Today when I came home there was a mailbox full of mail. How many pieces did I open? Zero. Straight to the recycle bin.
The way consumers respond to information from companies and about products changes very rapidly, so companies need to be able to respond in a similar fashion. Why does it make sense to spend hundreds of thousands of dollars on newspaper advertising when most of the consumers have moved online (especially if you are a technology company that provides the access to go online!)? Traditional "marketing" has been passed by (I keep putting marketing in quotes because in this case, it really is more advertising and less marketing). Yes, there is still a place for television and radio spots, but they have to be different to keep me from skipping them with Tivo or changing the station. Yes, there is still a place for direct mail, but it has to absolutely standout and be relevant to me.
Make sure that you consider how your customers learn about your products, and get ahead of the game. Don't do the same old thing because you have the money and you don't know any other way. Heck, if you can't think of a better way to spend your money than to have 99% of your direct mail pieces wind up in the garbage (and I can tell you that's tens of millions of dollars), why don't you start by giving some of it back to your customers?
Monday, April 12, 2010
The problem with promotions
I find promotions in marketing to be a very fine line that marketers have to walk. They have the opportunity to drive incremental sales, and really help you grow and accomplish your sales goals by adding an additional incentive to push the deal in your direction. They also run the risk of becoming the norm and expected, and if you don't have a promotion, then you risk losing the deal.
Personally I think promotions are used in the wrong way too often. In Seattle, Sleep Country USA is always running a promotion, it just changes over each week. But, it means all they are selling on is price and "deal". When I went in there to buy a mattress, it wasn't the promotion that led us to make the purchase. It was really the service and the quality product. Unfortunately their marketing is so based on promotions that they aren't able to market on these other items (which could probably help them get slightly higher prices). We see this same thing with Coca-Cola and Pepsi. When was the last time you paid full price for a 12-pack of Coke?
In order for a promotion to really be successful, it has to be used properly. If it is used to get to a price, then it's not a promo, it's just artificially lowering the price to the market price. If it is used to take a customer that is on the fence, and put them firmly in your corner (all other things being equal), then it is an effective promotion. But before that can happen, you have to sell the customer on things that are not price. It needs to be getting the customer to lean your way based on unique technology, a certain competitive advantage, a quality perception, things along that line. Then, adding a promotion (be it a special discount or a $0 item) can finalize the deal.
If you are designing promotions that your sales team is using early in the deal, or at a point where they are not really down to the final negotiations, then you have a problem. The promotion is not being used to win the deal. It's being used to compensate for something else that they see as lacking, and really sets it up for failure.
Personally I think promotions are used in the wrong way too often. In Seattle, Sleep Country USA is always running a promotion, it just changes over each week. But, it means all they are selling on is price and "deal". When I went in there to buy a mattress, it wasn't the promotion that led us to make the purchase. It was really the service and the quality product. Unfortunately their marketing is so based on promotions that they aren't able to market on these other items (which could probably help them get slightly higher prices). We see this same thing with Coca-Cola and Pepsi. When was the last time you paid full price for a 12-pack of Coke?
In order for a promotion to really be successful, it has to be used properly. If it is used to get to a price, then it's not a promo, it's just artificially lowering the price to the market price. If it is used to take a customer that is on the fence, and put them firmly in your corner (all other things being equal), then it is an effective promotion. But before that can happen, you have to sell the customer on things that are not price. It needs to be getting the customer to lean your way based on unique technology, a certain competitive advantage, a quality perception, things along that line. Then, adding a promotion (be it a special discount or a $0 item) can finalize the deal.
If you are designing promotions that your sales team is using early in the deal, or at a point where they are not really down to the final negotiations, then you have a problem. The promotion is not being used to win the deal. It's being used to compensate for something else that they see as lacking, and really sets it up for failure.
Thursday, April 8, 2010
Would you buy you?
No matter what industry you work in, and no matter what your job function or description is, there is one thing that everyone markets every single day; his or her self. That being said, would you buy you?
I started thinking about this as I was attending a leadership development kick-off meeting this past week. I was excited to be selected to participate in this program as it would be a way to build up my personal brand and make myself more marketable. This happens in three parts. First is to understand what my skill sets are. The second is how to refine them. Finally, I can segment the positions I want (and that are a fit with my skills and abilities) and target those positions.
But leadership programs are not the only way to build your personal brand. Reading books, taking classes, getting involved in projects all help you become more marketable. It’s all about making you a better you, and selling yourself to your customers (i.e. future employees and employers.
So, remember, we are all marketing ourselves everyday through our words and actions. And always ask yourself, if I am in the market for someone, would I buy me?
I started thinking about this as I was attending a leadership development kick-off meeting this past week. I was excited to be selected to participate in this program as it would be a way to build up my personal brand and make myself more marketable. This happens in three parts. First is to understand what my skill sets are. The second is how to refine them. Finally, I can segment the positions I want (and that are a fit with my skills and abilities) and target those positions.
But leadership programs are not the only way to build your personal brand. Reading books, taking classes, getting involved in projects all help you become more marketable. It’s all about making you a better you, and selling yourself to your customers (i.e. future employees and employers.
So, remember, we are all marketing ourselves everyday through our words and actions. And always ask yourself, if I am in the market for someone, would I buy me?
Tuesday, April 6, 2010
It doesn't always have to be grand.
For the past hour I've been sitting around trying to come up with the next big marketing idea for my blog. I feel like I need to get something up because it's been awhile since I've written. But, these two thoughts have been creating a mental block. Where do I go? Where am I inspired? How do I come up with something grand that is going to make my readers say ah ha!? Why is it easier for me to write my food blog (shameless plug for http://www.deckonfood.blogspot.com/) than this one right now?
That's when it hit me. By always trying to come up with the next big thing, and huge idea as opposed to just the ideas that come to my mind I'm missing out on opportunities to share any thoughts. And that's why my food blog has been easier lately. I'm not looking for the grand idea. I'm just sharing what's going on. I eat and/or cook everyday so I should tell someone about it. Well, I engage in some sort of marketing activity every day. Why not just write about what it is for what it is, not try and come up with some grand, professorial type post?
The marketing takeaway from this is simple. Always trying to come up with the big grand ideas can hurt you in the long run. While I am sitting here trying to come up with these grand ideas, my readers are going elsewhere for their information. The same thing happens with customers. If you spend all your time trying to come up with the big great marketing campaign or plan, you are missing opportunities to get in front of your customers, opportunities that your competition is probably taking advantage of.
So, basically, for those of you that have stuck with me, thank you, and expect more posts. Maybe the big grand idea comes out. But, at the least, you will get a better feel for my thoughts. And, if you have a little spare time, check out my other blog (http://www.deckonfood.blogspot.com/). Not only is this a great creative outlet for me, but it is also an opportunity for me to work on my more grassroots marketing efforts, which will hopefully feed this blog as well.
That's when it hit me. By always trying to come up with the next big thing, and huge idea as opposed to just the ideas that come to my mind I'm missing out on opportunities to share any thoughts. And that's why my food blog has been easier lately. I'm not looking for the grand idea. I'm just sharing what's going on. I eat and/or cook everyday so I should tell someone about it. Well, I engage in some sort of marketing activity every day. Why not just write about what it is for what it is, not try and come up with some grand, professorial type post?
The marketing takeaway from this is simple. Always trying to come up with the big grand ideas can hurt you in the long run. While I am sitting here trying to come up with these grand ideas, my readers are going elsewhere for their information. The same thing happens with customers. If you spend all your time trying to come up with the big great marketing campaign or plan, you are missing opportunities to get in front of your customers, opportunities that your competition is probably taking advantage of.
So, basically, for those of you that have stuck with me, thank you, and expect more posts. Maybe the big grand idea comes out. But, at the least, you will get a better feel for my thoughts. And, if you have a little spare time, check out my other blog (http://www.deckonfood.blogspot.com/). Not only is this a great creative outlet for me, but it is also an opportunity for me to work on my more grassroots marketing efforts, which will hopefully feed this blog as well.
Monday, March 29, 2010
Self-perception and identification
For any of you that have been traveling recently, have you noticed the signs that are popping up at airport security lines? They are the green, blue, black "ski slope" type signs indicating lines for families, intermediates, and experts. Seems like a great idea, right? Finally, people that travel frequently can skip some of the roadblocks that arise due to those that don't, or need a little help. The TSA did something great!
Ah, but the reality does not match the expectation. Rather than zipping through security, what happens? Inevitably you get in line behind someone that gets to the TSA agent and can't find their ID, so they dig through their purse, wallet, etc. trying to find it. Then they finally get to the conveyor belt where they grab 6 different tubs and proceed to fill them up. Finally they walk through the metal detector only to be stopped because they are still wearing a watch, have their shoes on, and their bag is being brought back because of that bottle of water still in there. Meanwhile you, the expert business traveler who shows up about 52 minutes before your flight (the exact time it takes to get through security, stop at Starbucks, and get to any gate in the airport), begin to get agitated and nervous.
So, why does this happen? Why does this seemingly good idea seem to flop so poorly so many times? Disregarding the general TSA and airport processes (this could be 16 articles on it's own), the problem owes to one simple fact; customer self-identification. As a traveler, when I walk up to this line, I have to identify myself as one of three levels. Unless I'm traveling with children, what's the likelihood that I'm going to identify myself as anything but an expert? I am obviously better at this process than most people, and therefore I am going in the expert line.
Most people have a strong view of self, and there is nothing wrong with this. Just remember that when you have customers self-identify. It needs to be something that does not have a negative connotation for the customer. The airport could classify you by number of bins needed. If I have a few things, I could say, you know, I'm going to need 3 bins, and select the appropriate line. I don't feel like I'm less of an expert in doing this.
In all businesses is important to segment and target your customers to make sure that you get the appropriate offer to them, offer the appropriate level of service, etc. But, you must at all times remain mindful of how your customers see themselves, and cater to that self-perception. Otherwise, you end up bogged down in a process, and actually turnaway the customers that really should be there in the first place.
Ah, but the reality does not match the expectation. Rather than zipping through security, what happens? Inevitably you get in line behind someone that gets to the TSA agent and can't find their ID, so they dig through their purse, wallet, etc. trying to find it. Then they finally get to the conveyor belt where they grab 6 different tubs and proceed to fill them up. Finally they walk through the metal detector only to be stopped because they are still wearing a watch, have their shoes on, and their bag is being brought back because of that bottle of water still in there. Meanwhile you, the expert business traveler who shows up about 52 minutes before your flight (the exact time it takes to get through security, stop at Starbucks, and get to any gate in the airport), begin to get agitated and nervous.
So, why does this happen? Why does this seemingly good idea seem to flop so poorly so many times? Disregarding the general TSA and airport processes (this could be 16 articles on it's own), the problem owes to one simple fact; customer self-identification. As a traveler, when I walk up to this line, I have to identify myself as one of three levels. Unless I'm traveling with children, what's the likelihood that I'm going to identify myself as anything but an expert? I am obviously better at this process than most people, and therefore I am going in the expert line.
Most people have a strong view of self, and there is nothing wrong with this. Just remember that when you have customers self-identify. It needs to be something that does not have a negative connotation for the customer. The airport could classify you by number of bins needed. If I have a few things, I could say, you know, I'm going to need 3 bins, and select the appropriate line. I don't feel like I'm less of an expert in doing this.
In all businesses is important to segment and target your customers to make sure that you get the appropriate offer to them, offer the appropriate level of service, etc. But, you must at all times remain mindful of how your customers see themselves, and cater to that self-perception. Otherwise, you end up bogged down in a process, and actually turnaway the customers that really should be there in the first place.
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