Tag Archives: Strategic management

Digital Marketing 101

A friend and I were chatting about his business and he asked for my help in clarifying how he could do a better job of using digital marketing. Now while I’m not in the business of providing free consulting services, I figured I owed him at least a quick overview since I’d eaten a lot of his food over the years (and probably even more of his wine). Besides, I’m getting a blog post out of it, right?

We spent minute clarifying his business goals – what things did he want to improve and how could he make that happen? I asked him to tell me about his typical customers – personas in marketing terms – so we could focus his efforts a bit. I asked him to think about any research he had, customer lists, analytics, or even just his own impressions. Those two steps – goals and targets – lay the foundation for the marketing plan.

Next, we went through his current assets. Not the financial kind you’d find on a balance sheet. Instead, we filled out the three buckets of media – owned, earned, and paid. The first are things that are yours: your website, your social media profiles, a blog if you have one, etc. The second – earned media – are things that have been written about you – reviews, PR, word of mouth, etc. The third bucket is pretty obvious: what you are paying for at the moment, and includes things such as Search Engine Marketing, paid ads on social, etc.

After that comes the plan itself. I know that seems obvious but only about a third of businesses have a formal digital marketing plan. We talked about his business cycles and creating a marketing calendar that coincides with his needs. We put together a quick outline of a plan that listed priorities and the best channels to reach his target at the right time. Most important, we talked about how to measure the results and the need to adjust as you go. I stressed that measurement of things irrelevant to the goals we outlined was a waste of time.

I realize I just summarized an hour’s conversation in a post that took you a few minutes to read. I don’t mean to make all of this sound simple – it’s not –  but then again, what part of your business is? I can tell you that if you follow the process outlined above you’ll be a lot further along than many of your competitors. And, of course, I’m here to help if you need it!

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Feeling-based Vs. Fact-based

Before the Thanksgiving break, I did a free consultation with a prospective client (you can get yourself one too just by asking!). We talked about where the business has been and where he thinks it should be going. The problem we identified was that much of his information was feeling-based and not fact-based. I can hear  the frequent readers of this screed preparing for yet another rant on the value of data, so let me surprise you a little today.

English: Cyber analytics is the science of ana...

(Photo credit: Wikipedia)

The hardest thing in business is seeing over the horizon. Oftentimes we need to shut our eyes and project ourselves forward in time, carried on the magic carpet woven from what we know so far and our own intuition. The reason is that in today’s business climate the future is often very different from the past and the analytics that reflect past behaviors have to be projected forward in the context of what might be the future environment. The more ambiguity the future holds for your business the greater the reliance on your own gut.

The issue for this business is that the leadership team was either young or inexperienced in business (they are scientists, mostly) or both. That’s why it seemed as if bringing in experience and intuition (that would be yours truly) made sense. You might not be in that situation but you might be feeling uneasy about your firm’s future direction even as you act in accordance with all the business measures you have in place.

Please don’t mishear me. If you have any sort of digital presence (website, social, email, etc) and aren’t using your analytics to inform you about traffic and how users are engaging with you, you’re not doing your job. If you don’t know or understand those things, find someone who does. If you can close your eyes and feel your typical customer, that’s fantastic, but if the reality of your data doesn’t match your feelings, you need to try again. You can’t let run a business making feeling-based decisions alone. Don’t over-think, but don’t under-inform. OK?

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Can Overhead Mean Profit?

I was chatting with a friend the other day and he told me about some layoffs that were going on at his place. Many of the people being cut were what we euphemistically used to call the “non-revenue generating portion of our staff.” You might term them overhead. You know – sales assistants, secretaries, accountants – the people to whom direct revenue isn’t attributed. I told my friend that I think it was an incredibly short-sighted move and in an effort to help your business not make the same sort of error, here’s why I feel that way.

First and foremost, there is a decent amount of research that tells is that salespeople – the people who bring in the fuel that drives your business’ engine – spend only about a third of their time (36%) actually selling. You know – meeting or connecting with clients either in person or virtually. 64% of their time is spent on non-sales activity, and a good chunk of that is with administrative tasks (25%) and service tasks (16%). A great sales assistant can take over much of those tasks, freeing the salesperson up to do what only they can do. Is it cost-effective? If a salesperson is making $200,000 a year and you can boost their output, making them worth $50,000 more, then you’ve paid for the assistant, right?

The same can be said of other support people. A smart accountant or lawyer can help boost profits, even if they do nothing more than find a way to say “yes” in making deals happen. That’s not always the case – I’ve worked with internal lawyers who were a bigger impediment to business than a crappy marketplace. If there is an internal awareness of revenue goals and a commitment by everyone to making deals happen, there is no such thing as “overhead.”

Selling has changed, no matter your business. Focusing on customers’ needs, not trying to sell them products they don’t want or need, and being a trusted advisor are the key ingredients in sales (and revenue) success. The more people your company can put to that task on behalf of your clients, the better. Make sense?

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