Tag Archives: Strategic management

How Did We Get So Far Off Track?

I started working in the digital world in the mid-’90s. While I wasn’t exactly there for the dawn of the digital age, I was a relatively early member of the group of executives that began building businesses on the internet and on walled gardens like AOL used to be. A couple of things that have happened recently have me shaking my head, wondering how it’s all gone sideways.

First, I asked Twitter to send me something:

Keith Ritter, your advertiser list is ready! The list attached includes the advertisers that have included you in a tailored audience. These advertisers have included you in one or more tailored audiences. Tailored audiences are often built from email lists or browsing behaviors. They help advertisers reach prospective customers or people who have already expressed interest in their business.

I figured since I do a fair amount of cookie-blocking and other means to prevent tracking that I’d turn up in a handful of audiences and I was right. I appear in exactly 9 audiences. However, the rest of the 57-page document (not a typo) listed the similar audiences Twitter has decided I fit. They market me as a part of these audiences and I have no control over it. I can opt out and it will change the ads I see on Twitter. It won’t however, remove me from these audiences. I am included in over 1,000 of them, my data used and sold quite unwillingly.

Then there are the constantly apologizing folks at Facebook. This article in the NY Times is both frightening and disappointing. It talks about how Facebook “gave some of the world’s largest technology companies more intrusive access to users’ personal data than it has disclosed, effectively exempting those business partners from its usual privacy rules, according to internal records and interviews.”  Their privacy track record is abominable and every week it seems there is another apology and a promise to do better. Fool me once…

It’s taken years for the marketers and publishers to push back on the rampant fraud and abuse of programmatic ads. Social media is rife with “influencers” who buy fake followers and regularly violate FTC regulations on advertising. It seems that everyone under 30 is either a ninja or a guru. Fake reviews for products that are complete rip-offs are everywhere (run a link to an Amazon review through Fakespot if you don’t believe me).

All of this leaves one question: what the hell happened? How did the digital business world get so screwed up? At some point, Facebook and many other digital businesses decided that making money is way more important than serving their users is, I think, the basic answer. I’m all for making money, as my business track record shows. There are limits, however, and I have a fundamental belief that making money can only happen over the long term when you respect the customer. As the great David Ogilvy once said, “The customer is not a moron. She’s your wife.” Because most of the people who use digital have no concept about how they are tracked and marketed, most businesses treat them as morons and therein lies the problem.

I could rant on but I’ll end it here with a plea. To any of you who are in the digital world, please resolve to get back on track. Way back when in 1995, all we wanted to do was to amuse a few people and keep them engaged. Yes, we sold ads but we also didn’t track people once they left our domain. We didn’t treat them as numbers or rubes. You shouldn’t either. I get that the tools are more sophisticated and more powerful and that the world has changed. Basic business principles and human decency haven’t, have they?

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Filed under Huh?, Reality checks, What's Going On

Back To Basics

I played a number of sports growing up. Thinking back on it, no matter which sport I was playing, when the season began the coach would inevitably talk about getting back to basics. He usually meant the building block skills that a team had to have in order to be successful. If you don’t think that’s important, watch one of today’s major league baseball players try to lay down a suicide squeeze bunt. That basic skill has almost disappeared.

No, today isn’t going to be yet another old guy rant about how the world has changed for the worse, Instead, as we approach the end of one year and the start of another, it’s a reminder that now is a great time to do a little back to basics thinking. It’s harder than you think because what often happens during the course of a year (or longer, depending on when the last time was that you did this exercise) is that the basics get forgotten in the heat of battle. So here are a few of the fundamental questions that I’d be asking myself and my team right about now.

First, what are we trying to accomplish? That sounds overly simple since making a profit is pretty much what every business is trying to do unless you’re a non- or not-for-profit organization. What are you trying to make happen? What problems that your customers have are you trying to solve?

Next, how are you measuring success? It’s not just the cash register ringing or the bottom line overflowing with black ink although clearly basic financial items are important. How many new customers did you attract? How is your reputation? What good have you done for your customers, your partners, your vendors, your employees, and your community?

After that, take a look forward. What do we need to do in order to be successful in this next year? How do last year’s results, both good and bad, direct us forward? What can we start doing and what should we stop doing, whether it’s meetings, products, reports, or something else? What could happen in the marketplace that will affect us, both positively and negatively? Do we have a disaster plan?

Finally, is the view you and your organization had of the world at the start of this year still the way you see it going forward? If you don’t think that things change that much, think back 5 years or even (gulp) 10. You wouldn’t have had a mobile strategy or a social media plan then. You probably didn’t pay a heck of a lot of attention to your website or online reviews. You sure had better be active in all of those areas today even if you’re not a digital business.

Those are some of the basics I see as necessary for success. What are some of yours?

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Filed under Consulting, Helpful Hints, Reality checks

Searching For Answers

Happy Foodie Friday! It’s the time of year when many entities try to sum up what’s been going on throughout the year from their perspective. Google is one of those companies, and they issue their “Year In Search” annually around this time. I thought it might be instructive to look at what were the top food-related searches in 2018 according to Google. They were:

1) Unicorn cake
2) Romaine lettuce
3) CBD gummies
4) Keto pancakes
5) Keto cheesecake
6) Necco Wafers
7) Keto cookies
8) Keto chili
9) Keto brownies
10) Gochujang

The obvious question is what can we learn, both about what’s going on in the food world as well as what we can take away from our own businesses, from this list. Here are a few observations from me.

First, half of the searches were related to “keto.” For those of you somehow unaware, keto refers to a ketogenic diet.  That’s a very low-carb diet, which can help you burn fat more effectively. Many people have already experienced its many proven benefits for weight loss, health, and performance. It’s not without problems but clearly, it’s gone front and center with a lot of people this year. I try to follow a modified keto diet myself, limiting carbs and trying to eat only low-glycemic foods. What can that tell us that might help our business? If you’re in the food business it’s pretty obvious, but even if you’re not it demonstrates that consumers are paying a lot more attention to their health and their diets. Movie theaters, airlines, and other transportation companies sell food. Your company or your building may have a cafeteria that does the same. Understanding that consumer eating habits are changing is critical to maintaining those bottom lines.

“CBD Gummies” point to the changing way we’re looking at weed. These are gummies made with cannabidiol, just one of the hundreds of compounds hiding within the cannabis plant. Some have no THC, others very much do. The point I want to make is that the weed business is exploding, so much so that tobacco and drug companies are trying to figure out how they can become involved. Is CBD a fad? Maybe, but once again, we can’t ignore trends in the marketplace and we need to think through if there is an opportunity or how our business might be impacted.

The “Romaine” search term clearly derives from the e-coli scares with that green this year. A great reminder that we all need disaster plans in place.

If you’re not familiar with it, “Gochujang” is a red chile paste that also contains glutinous rice, fermented soybeans, salt, and sometimes sweeteners. It’s a thick, sticky condiment that’s spicy and very concentrated and pungent in flavor. Another reminder that not only are tastes changing but as our population base is changing, our eating, media, shopping, and other habits are changing as well. We need to pay attention.

Finally, “unicorn cakes” are just silly. They’re multi-colored layer cakes generally covered in a highly-decorated white icing. They’re a great reminder that we all need to take a little time to have fun and enjoy ourselves by indulging in something that’s totally unrelated to our work lives.

Those are the insights I take away from the list. What are yours?

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Filed under food, What's Going On