I’m going to start the week by running the risk of bumming you out. At least we’ll have the rest of the week to recover, right? I was looking at some analytics data this morning and as I looked at it, I realized that much of it is wrong. So is a lot of the other information this client is using to make decisions. Yours is too, by the way. I’ll explain why but along with the realization came an insight that I think will be helpful to your business.
When I began in digital we used server logs to track traffic. They were pretty accurate although pretty limited as well. Web analytics came along and the quantity and quality of the information we got about who was coming to our web sites, how they got there, and what they were doing improved quite a bit. As business people, we were able to make content and marketing decisions based on the data we were getting.
Things have grown quite a bit more complex over the last 20 years and that complexity has obscured much of the good, useful information. Anyone who knows analytics will tell you that much of the referral data you see (where traffic comes from) is wrong. “Direct” traffic is way overstated. “Referred” traffic is encumbered by referrer spam. A lot of so called direct traffic is really dark social traffic (I send you a link). Transfers from HTTPS to HTTP sites report as direct as well. Keyword data is “not available.”
I’m not trying to make your head hurt nor to get really wonky. The point is that if you’re relying on that data to make decisions, you’re really just guessing. It’s the same with much of your ad data. I’ve written before about the lack of transparency in the programmatic ad markets and that opaqueness obscures the validity of the data as well.
I can add search data, email data, and more to the list of what probably isn’t what you think it is, but all of this fostered a thought: what do we really know that’s truly actionable?
I can answer that. We can know how our products and services are really differentiated and how much better we are at solving peoples’ problems. We can know (yay review sites!) how good our customer service is. We can know how our revenues and costs and changing and we can ask why.
I’m the last guy to say we should ignore that large and growing amount of data every business gets each minute. But maybe the time has come to act on what we KNOW and less on what we really don’t. What do you think?
The gasoline that keeps a good portion of the sports machine running is sponsorship. I’m using the gasoline analogy today because there has been a high profile sponsorship dispute going on in the world of auto racing and I think it’s instructive to any of us who sell or buy pretty much anything.
You’ve probably heard of Danica Patrick, NASCAR‘s only female driver in its top-level series, The Monster Energy Cup. She drives for Stewart-Haas Racing (SHR), who sold the rights to sponsor her car in 2016 for several years. Somewhere along the line things went south and Nature’s Bakery terminated what was a three-year deal after the first year, claiming that SHR “did nothing other than collect Nature Bakery’s money”. An additional issue was that Danica personally endorsed a competing product (albeit one with no visibility on the car or around the races). SHR sued to recover the agreed-upon payments. As it turns out, Nature’s Bakery will sponsor four cars during this season, split between SHR’s drivers, as part of a settlement.
I spent a lot of years selling sports sponsorships and I know first-hand how hard it is sometimes not to over promise in your zealous pursuit of the sale. In this case, Nature’s Bakery was told to expect a 4-to-1 return on investment. The reality was there was no significant increase in sales. That could have been due to any number of reasons, including some that had to do with logistics and not with awareness, but it points to a core issue.
When you’re selling anything, setting expectations and agreeing on how performance is going to be measured is key. In this case, many of the measures of awareness did rise significantly, but if the client’s goal was sales then the buyer and seller seem misaligned. Keeping expectations of both parties on the same page and in alignment must be the goal of all parties, and the documents shouldn’t be signed until that goal is reached.
There also seems to be some inexperience in sports sponsorship at work here. A team that has Coke as a sponsor might very well have athletes who endorse Pepsi. An arena with Mastercard as a building sponsor might see an athlete who plays in that building in an American Express commercial. Danica is one of NASCAR’s most visible drivers and her personal endorsements should have been identified to the buyers (even though anyone could find them easily on her personal website). Always remember that a good seller sits on the same side of the desk (figuratively speaking) as their buyer since you’re both trying to accomplish the same thing.
Aligned expectations, appropriate measures of reaching goals, and transparency are how sports sponsorships (and others too!) get done and stay on track. You with me?
I recently bought a Chromebook that has a touchscreen. I’ve been using a MacBook Air for half a dozen years as my primary computer but it has slowed to a crawl and work was taking much longer to get done. I debated replacing the Mac but then I took a hard look at what functions the laptop served. Over the last few years, nearly everything I have been doing is done in the cloud and having a device that’s basically a glorified web browser actually seemed like a good idea. I moved my accounting to a cloud-based system and started using the Google suite of office programs (Docs, Sheets, etc.) in lieu of the programs on my Mac. I’ve been a lot more productive and I got a large Android tablet out of it to boot (the Chromebook flips around to be a tablet!).
There are a few other things that I noticed. First, this device reminds me of the Mac when I first got it. The thing just works. It updates itself, it’s safe from malware, battery life is good, and it’s easy to add extensions to customize it to my liking. I can run any Android app the will run on a phone (admittedly, that’s often a so-so experience) and that opens up a ton of additional software on a bigger screen than my phone.
This isn’t a screed to get you to buy a Chromebook. The point, rather, is to get you to think about why you buy, build, hire, or otherwise add to your organization. Another Mac would have been overkill based on what I needed the device to do. I saved money (the Chromebook cost about half of what a new MacBook would have cost) and I’m more productive. We often spend our precious resources on unnecessary things and that’s bad management.
Some examples. Most of the people who buy Microsoft Word have no clue how to use most of its features. The same with Excel. They are both wonderfully powerful programs but there are so many features that they become difficult to use and simple tasks can become daunting. There are free programs out there, and there are some great alternatives to the Office suite that have 99% of what most of us will ever need. You buy less and get more.
Another one. I worked with some managers over the years who would always put new positions into their budgets. Did they need them? Nope, but since other departments were growing, they felt as if they had to grow too. A corporate form of keeping up with the Joneses, I guess. We can’t manage our businesses to impress other people or out of jealousy. We can’t spend on a Rolls Royce when all that’s called for in order to get the job done is a Volkswagen.
Buying less can often get us more. It certainly did in my case. Give it a try?
It’s Foodie Friday! Today I want to discuss grilling since I’m told that July is National Grilling Month (who knew). An article in AdWeek tipped me to that fact, along with the fact that how to grill steak is the most researched topic on YouTube, followed by grilling pork, chicken, and ribs.
I’m gratified that they used the term “grilling,” because, in a lot of places, the grill is known as the barbecue, as is what you’re doing when you cook on it. Barbecue, of course, is a very different food. It’s smoked, not grilled, over low heat. Grilling generally involves a high heat, either directly or indirectly applied to the food. Nevertheless, I have friends and family who ask if we’re going to “barbecue” some steaks. I made the error of saying I wanted to fire up the barbecue in front of some Southern friends and they wondered out loud if we were going to be eating in 5 or 6 hours, a reasonable amount of time for anything to be real ‘cue.
There is a business point in this. Often we say one thing without realizing that the people to whom we’re saying it are interpreting it as something entirely different. “Dressing” to my Yankee friends is something you put on a salad; in the South, it’s a bread-based side dish (like what we’d call stuffing). “Greens” up North are the base of a salad; down South, they’re usually cooked collards.
Part of being a good businessperson (and a great manager) is making sure not only that what you’ve said has been heard but also that the meaning you intended to convey is the meaning assigned to your statement. Lawyers tend to be very good at this, sometimes painfully so. There’s a reason why they’re as precise as they are, though, as our examples show.
I’ll grill something this weekend. I might barbecue as well (although it tends not to be a verb down South). I know the difference and will be sure that anyone to whom I mention what I’m cooking does as well. See the difference?
Like many of you, I often feel as if I have way too many things on my “to do” list. I’ll often start one task and then segue into another while trying to complete the first. Maybe I’ll read my email mail while I’m talking on the phone or maybe I’ll try to write the screed while I’m thinking of solutions to a client’s problem. My guess is that you make similar attempts to multitask.
Then there are the dummies who multitask at the worst possible times. Texting and driving, for example. The sad fact is that multitasking – even in situations where there aren’t potentially deadly results – does not work. As the American Psychological Association research found:
Psychologists who study what happens to cognition (mental processes) when people try to perform more than one task at a time have found that the mind and brain were not designed for heavy-duty multitasking. Psychologists tend to liken the job to choreography or air-traffic control, noting that in these operations, as in others, mental overload can result in catastrophe.
When we try to begin a new task while performing another, we have to make a mental switch to whatever rules and information will govern the new task. Our brains can’t do two things at once, and that switching means that we’re actually losing time and being less efficient in our attempt to be more efficient. Doing one thing at a time – and finishing it! – helps you get more done. Most importantly, you feel better as you can actually cross something off that “to do” list.
I think we’re all a bit ADD. The non-stop stream of news, email, social pings, and other distractions makes it incredibly hard to focus. I’ll admit to having a shorter attention span than I did 20 years ago, and I don’t think it’s (solely) because my aging brain is less functional. We’ve all become victims of the TL;DR syndrome or, even worse, the Fear Of Missing Out by remaining focused to the exclusion of all those alerts. Everything is too long and we want Cliff’s Notes versions. It’s hard to pay attention to that one task for an extended period, at least it seems so to me. But overcoming that desire to multitask is really the key to getting things done. I’m really going to work harder on it. You?
This Foodie Friday our topic is rudeness. OK, maybe not rudeness per se but whatever it is one would call being brusque with servers in bars, restaurants, grocery stores, and elsewhere. You know what I’m talking about. You probably have a friend who treats the waitstaff as if they are indentured servants rather than food service professionals who work long hours for not a lot of money. Maybe they make ridiculous demands or maybe they manage to find fault with everything that’s sent from the kitchen, causing problems not just for the server but also for the cook who will probably have to refire the dish.
It’s an important business point. When you’re dining out, you’re in a position of power with respect to the servers and, to a lesser extent, the entire kitchen. In an office setting, there are managers who revel in that and they’re the ones whose subordinates can’t wait to find employment elsewhere. No one likes being treated dismissively. The rude manager is probably feeling a need to demonstrate how special (or entitled) they are. To a lesser extent, I think they’re trying to see what they can get away with. Unfortunately, subordinates rarely get the chance to tell the manager’s manager how detrimental this behavior is to the entire team.
I’m not saying we need to be obsequious either to the waitstaff or to our subordinates. I am saying that “please,” “thank you,” and other demonstrations of appreciation (a nice tip to the server, a decent raise if possible to the employee) will get you better results than being demanding and rude. I often wished that I could take every candidate I was thinking of hiring out for a meal, or at least for coffee. You will learn an awful lot about their character, especially if the service really is bad or if their order gets messed up.
One of my bosses told me a long time ago to think about managing as if I were moving a piece of string. If you get behind it and push, it rarely will go where you want. If you get out in front and pull, you can lead it anywhere. Good manners are part of being out in front, whether in a restaurant or an office, don’t you think?
If you’ve been wondering where the screed has been for the last couple of days, the post below from 2009 will explain everything. Originally titled “The BOA,” the “meeting” I’m attending is an incredibly valuable gathering both for me and for my clients because it helps me be a better advisor. Enjoy!
I leave tomorrow morning on an annual trip I take to Myrtle Beach. In theory, it’s a golf outing but it’s more of a 5 day stay in a rest home getting my batteries recharged. 13 of us go, 12 of whom play golf. The other guy is a “social member” – most golf clubs have them – who enjoys the non-golf activities – cards, movies, and general guy banter. Like “Fight Club“, the first rule is we don’t really talk about it. However, what I can talk about that these are the guys whom I trust, to whom I can turn for advice, and who are honest – often brutally so – with me about everything from my golf game to my attitude. For all of the social networking tools available out there, nothing beats the face to face contact with this group for me. There is a business lesson in this as well.
Every businessperson needs a “board of advisors” for themselves, not their business. While your significant other is a great start, like a business BOA, you need multiple diverse points of view. My group has a few lawyers, an accountant, a few “money” guys, a restaurateur, another digital media expert – you get the idea. Ideally, these are people who can get past how you say things and hear what it is you’re saying. They are comfortable enough with you to know that their candor will be taken in the open, supportive spirit in which it’s offered. When their advice isn’t taken, they’re not offended and are smart enough to hold their tongues when it turns out their advice was right.
So off I go to meet with my BOA. I’ll try to keep posting over the next few days but if I don’t, please understand it’s because I’m in a Board meeting. When is your next meeting? Do you have a board to gather?