Fit vs Fat

Obesity is not just a health epidemic; it’s a marketing epidemic as well.

In an attempt to communicate their value, businesses will try and cram as many messages as possible into one marketing piece. Everything gets bolded, underlined and called out. With so many marketing messages, it’s like having too much food on your plate: you can’t possibly consume it all.

This is what I call “Fat Marketing.”

The opposite is “Fit Marketing.” Fit Marketing means you restrict your marketing diet to a few simple messages. Less clutter means more impact.

Fit Marketing moves people through the sales funnel one step at a time. Fat Marketing tries to consummate the deal in one step. Fit marketing is clear and concise. Fat Marketing bogs you down.

Get fit with your marketing and you will move your business to the next level.

How do you get fit? Here are a couple of ways:

• E-newsletters: drive readership with valuable content, but stick with one message at a time. Don’t overload your newsletter with too many articles and too many calls to action. One article, one call to action is perfectly fit.
• Website: a website is mostly a source of information about you and your company. Keep it that way. You can’t do everything with your site, so don’t. Most important, your website will evolve so be prepared to analyze visits so you can optimize it and streamline it.
• Print Ads, Direct Mail: focus on one primary message. Be sure you ask yourself: “What one thing do I want someone to do once they’ve seen my ad/postcard/letter?”

This is just the start. The Fit Marketing concept should be applied to all of your marketing collateral because Fit Marketing is a long term approach to building a customer base.

So put your marketing on a treadmill today and shed some of that clutter!

Turn OK Marketing into KO Marketing

Let’s be honest: your marketing is just okay. It’s not knocking anybody out. It may be getting your message out there but it's not doing much else.

You want knock out marketing. In fact, you need knock out marketing. Okay marketing just doesn’t cut it nowadays. With so many messages and so much competition, your wasting marketing dollars if your collateral is just okay.

So how to you go from okay marketing to knock out marketing? Here are three ways:

1) Simplify Your Message: less is always more. Always. Marketers constantly struggle with optimizing their message. It’s both art and science. But the struggle should never be solved by adding more messages. Instead, take away messages. Cut to the core of what you want your audience to comprehend. Stick with one key, consistent message. You can always change your message if it doesn’t work. But don’t try and fit a bunch of messages into one space. Knock out your marketing with one swift blow.

2) Provide a Specific Call to Action: the reason a lot of marketing is just okay is that there is no call to action. If you don’t have a specific call to action in your marketing then there is no knock out punch. Focus messages on the specific actions that you want your audience to perform. If you want people to stop by your store, then state “visit.” If you want people to call, then state “call.” Unless you push someone to do something, they won’t do it.

3) Focus on Benefits, Not Features: sell the sizzle, not the steak. Right? Hair loss products are my favorite example of this. They rarely sell the features of their product and instead focus on the benefits. Dude swimming in the pool, surrounded by beautiful women…that’s what sells! Not the price, or the color. These are features. Learn from hair loss advertisements: if you want knock out marketing, then focus on the benefits.

Move your business to the next level with knock out marketing. Okay marketing is just, you guessed it, okay. You don’t want okay. You need knock outs. Your small business may depend on it.

3 R's to a Healthy Sales Funnel

It's a given that you will move your business to the next level with a healthy sales funnel.

So how do you keep a sales funnel healthy? Simple. Focus on the the R's: recommendations, referrals and repeat business.

Recommendations: offline and online platforms demonstrate that recommendations influence buying decisions. Ratings, testimonials and comments are powerful marketing messages. Get recommendations by simply asking: provide a forum to rate your product/service online or request quotes from satisfied clients to include in your marketing.

Referrals: the ultimate goal of cruise control marketing is referrals. Getting referrals requires three things: outstanding service, asking for them and giving them.

1) Outstanding Service:
Your business should deliver such a special experience that customers would want to spread the word for you. Wow your customers with excellent follow up like thank you cards or personal calls to just check in on them.
2) Ask for Referrals:
The best referrals are free ones but paid referrals are also viable. At a minimum, develop a consistent and simple referral system. Give out extra business cards, donate to a charity in the referrer's name or have a payout plan. Consistent and simple is easy to manage and the return on investment is very powerful.
3) Give Referrals:
The Golden Chain of Referrals starts with you. Give, give, give and you will get. Note that you will need to give at least three times to get.

Repeat Business: every business relies on repeat customers. The shortsighted business owner sees one transaction. The wise business owner understands the lifetime value of a customer. Customer acquisition is always more costly than customer retention.

Recommendations, referrals and repeat business will keep your sales funnel healthy. Focus your marketing efforts on these three R's. Ensure that all marketing messages enable more recommendations, referrals and repeat business.

Sweepstakes? Great List Builder, But…

Your marketing is only as good as your audience. In other words, the better your list, the better your marketing.

But “better” is a subjective definition of a list. Does better mean quantity or quality?

Quantity is for businesses that sell products/services for the masses. These businesses generally offer a commoditized and price sensitive product in a market with many competitors. For them, a “better” list means a longer list of prospects. Think soft drinks or pizzas.

Quality is for businesses that sell products/services for a niche market. These businesses usually sell a unique and differentiated product in a market with only a few direct competitors. For them, a “better” list means more qualified prospects. Think luxury cars or swimming pools.

Small businesses should fall into the latter category where quality of a list is paramount to quantity. A small business with a strong Marketing DNA will know that a targeted niche is more attractive than a mass list. More qualified prospects is always better than more prospects.

So should a small business build its list with a sweepstakes?

A sweepstakes can be a great way to build a list. Give away your product for free for those that sign up on your website, at a conference or in your store. If you gather these names and add them to your database, you are growing your list.

But the names you gather aren’t necessarily the most qualified. They are only people that have signed up for your contest. This doesn’t make them high-quality leads. In fact, they might just be freeloaders looking for a handout that would never purchase from you in the first place.

Sweepstakes responders are a skewed list towards those interested in the free prize.

You can still do a lot with your sweepstakes. If you are considering a contest to build your list, be sure that your procedure gathers actionable data. Think of ways to further qualify leads. For example, ask when the prospect would be in the market for your product or service. Or invite entrants to subscribe to your e-newsletter. Maybe include a multiple choice question about the best way to follow up.

Leads are great, but qualified leads are better. Move your business to the next level with quality not quantity.

Opinions are Like (BLANK)?

Fill in your own blank. I'll go with "data" as in "opinions are like data."

You see, opinions are like data because everyone has some. Demographic statistics, sales forecasts, budget variances and more. In fact, many businesses are drowning in data.

Too much data means too many opinions. Paralysis by analysis, as the saying goes.

Even worse, small businesses owners are always subject to other's opinions. It seems that everyone who walks into your store thinks they know the best way to run your business.

So whose opinions matter? What data are important?

It can't all be important. Especially with respect to marketing. Try and please all opinions and your marketing will fail. Miserably.

Remember, successful marketing focuses on a narrow but deep market. So pay attention to the opinions and the data about your niche. This is where you'll find actionable information.

Still struggling to find out what data and what opinions are most useful? Do an 80/20 analysis: undertand the 20% of your market that gives you 80% of your revenue. Find data and opinions that represent the 20% and act on that.

Data and opinions alone cannot move your business to the next level. Instead, move your business to the next level with actionable data and opinions that directly reflect your narrow target market.

22% Increase in Sales with a Cup of Coffee

Trying to find ways to grow your sales? Try a free cup of coffee.

One initiative I tried with a QSR client of mine was to give away free coffee during breakfast hours. The restaurant competes directly with QSR breakfast category leader, McDonald's. To make matters worse, the location is down the street from McDonald's and a bit tucked away--not ideal for capturing traffic coming off the highway.

So I recommended they give away coffee for free. That's right. Free.

Coffee is a low cost item for this concept so the cost of goods was not a factor. We utilized a sign waver at the main intersection for a couple of weeks so labor cost increased slightly. But the bump in sales more than compensated for the extra labor.

In fact, the bump in sales was a healthy 22%.

Better yet, the increase in sales sustained beyond the promotion. And if sales dip again, the store is prepared to roll out this easy promotion any time they need it.

For your small business, can you create buzz and traffic with a low cost and high value item? Is there a cup of coffee you can offer your prospects to get them in the door?

Free is a powerful concept. Leveraged well, free can move your business to the next level.

3 Things a Recruiter Can Teach You About Marketing

A good recruiter is more than an expert in Human Resources. A good recruiter is also an expert marketer.

Consider three strategies a good recruiter implements and how they can be applied to successful small business marketing:

1) Extremely Targeted Search: a recruiter has one person in mind to fill a certain position. In order to find that one person, the recruiter establishes a very defined profile: experience, performance, salary, skills, etc. In creating a clear profile, the recruiter narrows the talent pool. Instead of trying to find a needle in a haystack, a recruiter cleans out most of the hay to make the search easier.

Same goes for marketing: narrow your focus. Target a small niche. Recruit only the most qualified customers with your marketing. Unless you're Starbuck's or McDonald's, you don't want to attract the masses. Like the recruiter, simplify your efforts with a clear and defined profile of your target market. It will make your job much easier.

2) Quality is Better Than Quantity: a targeted search will yield more qualified candidates for a recruiter. Less is more for a recruiter: less candidates with more qualifications is always better than more candidates with less qualifications. A recruiter finds less candidates with more qualifications with one simple, clear and direct message. More important, a good recruiter will broadcast his or her search in fewer channels, not more. A clear message in one or two channels will cut down on the quantity and yield more quality.

Same goes for marketing. Too many businesses spin their wheels trying to broadcast a variety of messages across various channels. In this case, quantity will bury your marketing efforts. Instead, focus on the quality of the marketing. Think about the specific market you are targeting and dedicate your energy to one or two key messages to communicate to that market. Find one or two channels for that market and extract quality from fewer channels.

3) Be Romantic: the ultimate test of a recruiter is if he or she can land top talent. This requires ample wooing. Sure, a recruiter needs to paint a real picture of the job, but in order to compete for the best, a recruiter must go above and beyond what everyone else is doing to ensure that his or her company will get the talent they need.

This is no different than marketing. Romance your prospects. Woo you customers. Go above and beyond what everyone else is doing and you will convert leads into paying customers in no time.

In all, recruiting is more like marketing than you might expect. Move your business to the next level by applying some key recruiting strategies to your Marketing DNA.

How Does a Small Business Get Away With This?

Recently I called a local small business with a question about my account. I was told that the person in charge of billing was out until the next day and that it was best if I call back then.

I offered to leave my message on the person's voicemail to which the receptionist flatly told me "we don't use voicemail."

As a consultant to small businesses, it was hard for me to resist the urge to find out why.

"Why is that?" I asked curiously.

"We find it impersonal. And we just don't use it."

Her frankness floored me. I just couldn't fathom how a small business in today's environment could be so shortsighted.

I understand the fact that voicemails can be impersonal. Sure, we all would rather talk to a live person. But if the appropriate person is not available, why make things more difficult for your customer? Now the burden is on me to chase down the person I need.

Things must be going swimmingly at this business if they expect customers to chase them. What a luxury!

I couldn't hide my disappointment with the receptionist. I wasn't rude, but I pressed for more information.

"You really don't use voicemail?" I asked.

"No, we don't." the receptionist stated.

"Well, you may not want to use it, but your customers might." I responded.

I broke the awkward pause with, "so thanks for your help. I will try back tomorrow."

I hung up incredulous. What business can really afford to make it more difficult for their customers?

Business basics: make it easy to do business with you. This maybe one of the easiest and most successful ways to add value and it should be part of your Marketing DNA.

Move your business to the next level by ensuring your customers don't have to chase you.

Then again, if your business can afford to make life more difficult for your customers, maybe the next level is not for you.

It's Not What You Do; It's What You Do With It

Marketing is not what you do. It’s what you do with it.

Time after time I have seen small businesses fail in their marketing efforts because they simply “do” marketing and they don’t “do anything with it.”

Successful Marketing DNA requires more than just marketing alone. Successful Marketing DNA requires taking that next step and doing something with your marketing.

As you plan your next marketing initiative, think beyond the marketing and determine what you are going to do with it. Here are some ideas to get you started:

What you do: publish a print ad

What you do with it:
• Lead generation: “Call for more details”
• Invite participation: “Come to our FREE tasting”
• Encourage response: “Mention this ad and take 10% off your next order”

What you do: e-mail marketing

What you do with it:
• Send out informative topics to encourage readers to always open your content
• Provide valuable information in each email so that responders forward your email to others
• Build a community around your database by mentioning and referring your contacts to other businesses

What you do: build a Facebook page

What you do with it:
• Build a following by providing links and information that directly benefits your fans
• Engage in discussions and dialogue to encourage participation amongst fans

What you do: mail a postcard

What you do with it:
• Commit to at least four direct mail touch points with the same audience: one postcard does nothing
• Incent response with a simple yet compelling offer
• Test two versions of the same card and track responses to determine optimal messages

What you do: sponsor an event

What you do with it:
• Have enough free “takeaways” for everyone: examples include pencils, key chains, product samples, coupons, etc.
• Make your presence known with huge signage and other display items that will make your name standout
• Donate products or services to event coordinators to use in a raffle or something else

I could certainly go on, but I think the idea is clear.

It’s not about doing marketing. It’s about doing something with your marketing. If you want to move your business to the next level, then be sure you do something more with your marketing.

The Only 5 Seconds That Matter

Researchers suggest that the majority of purchases are impulse buys—purchases made in less than five seconds.

While this makes perfect sense in a retail setting, I don't think it explains buyer behavior with respect to services, big ticket items or long term contracts. Most people tend to ruse a bit longer over a decision like that than they would, say, over a pack of gum.

But the five second rule still applies.

You see, regardless of the setting, a marketer has less than five seconds to make an impression. With so many marketing messages orbiting our daily lives, consumers have only a fraction of time to respond to any single message.

For this reason, the idea behind successful marketing is to build positive brand associations with a consumer, even for only five seconds at a time. After handful of five-second positive associations, the consumer's opinion is shaped. This opinion would lead to the ultimate five-second interaction: the decision to buy.

Five seconds. That's all it takes.

So what does this mean for the small business? How can you take advantage of this five-second rule and move your business to the next level?

Simple: with every marketing piece, idea and collateral, take the 5-second Test. The 5-second Test will determine if your marketing message will resonate during the only five seconds that matter.

Start with your marketing message. If you can communicate one and only one thing, what would that be?

Now design your marketing communication around that message. Email, print ad, sign, social media post, etc. The medium doesn’t matter; just stick with one message.

Once you’re ready to execute the marketing, take a glance at your piece. Give yourself five seconds: can you walk away from that marketing communication in five seconds or less and understand the meaning you wish to convey? Try the test with others. It usually helps to get a second, third or even fourth opinion.

Five seconds is not a lot of time, but it is the difference between successful and unsuccessful marketing. It truly is the only five seconds that matter.

5 Ways to Get Your Marketing Message EVERYWHERE

Unless your Starbuck’s or McDonald’s, you’ll have a hard time getting your message everywhere. These guys have the deep pockets necessary to invest in massive marketing campaigns.

Most small businesses do not have deep pockets, particularly in today’s environment.

Nevertheless, even a small business can create the perception that its message is everywhere. Perception is the key. You don’t need your message everywhere; you need the perception that your message is everywhere.

Here are five ways to shape the perception that your message is everywhere:

1) Narrow Your Focus: Remember the 80/20 Rule? 80% of your business will come from 20% of your customers. So narrow your focus to those 20%. Really dig into that segment and find out what they do, read or watch and get your message there. You don’t need to be everywhere for everybody. Just 20%.

2) Use Multiple Channels: this basic marketing strategy is an area where many small businesses fail. One ad in one newspaper is not enough. Only a certain segment of you market—and a shrinking one at that—reads the newspaper. Be sure you leverage a number of marketing channels. At a minimum, have a plan for at least four marketing channels. Choose from events, direct mail, print ads, the web, sponsorships, social media, relationship marketing or more. Select ones that your target market will hit.

3) Keep Your Message Clear and Consistent: the last thing you want is a confusing or convoluted message. Find one key message and repeat that same message across all channels. The more clear and consistent the message, the more pervasive it becomes. Repetition and consistency feed the perception that you are everywhere.

4) Leverage Technology: technology is an excellent way to do more with less. There are sophisticated web companies, like Acerno, that can set up banner ads that will actually follow web users from your site. Someone that visits your site will get a cookie that enables your banner ads to pop up on other sites on that visitor’s computer. This makes the visitor feel that you are everywhere, when in fact you are just following that one person.

5) Feed Your Word-of-Mouth: the ultimate goal for any marketing message is to have the message spread with as little investment as possible. This is the entire basis of viral marketing: the message spreads like a virus while the original agent does nothing. So feed the word-of-mouth. Get your message recipients to spread the word for you. Create some buzz and excitement that will get people to talk and communicate to each other about your message.

In order to move your business to the next level, you need to create the perception that your marketing message is everywhere.

Even the heavy hitters with million dollar marketing budgets can’t get everywhere. Yet with a couple of tricks like the ones mentioned above, their marketing message is pervasive.

So get pervasive, or at least create the perception that your message is pervasive.

Here is Your 2010 Marketing Plan

I know you’ve been procrastinating. You should have planned a 2010 Marketing Plan, but you keep putting it off. You keep telling yourself you will get to it soon, but little things pop up and drag you down. Especially with holidays here.

So I want to help you out. I’ve got a skeleton of a plan here. You just need to fill in the blanks. Think of it as an extremely focused version of Madlibs.

So here goes:

2010 MARKETING PLAN FOR_____ (your business name) _____

Objective(s): _____(state one or two measurable objectives, like “Double the size of my email database” or “Increase sales by X%”)_____

Target Market: _____ (Who is your ideal paying customer? What are they like?) _____

Initiatives:

1) First Initiative:

• Marketing Channel: _____ (Choose one channel like events, direct mail, advertising, signage, social media, etc.) _____


• Marketing Message: _____ (Based on this initiative, what one message do you want your target to understand?) _____


• Timing: _____ (When will you do this? For how long?) _____


• Intended Results: _____ (What do you hope to accomplish? How will you measure it?) _____


• Roles and Responsibilities: _____ (Identify who will do what components of this initiative. Do it yourself? Assign it to a team member? Hire a firm?) _____


• Estimated Cost: _____ (How much money?) _____

2) Second Initiative:

• Marketing Channel: _____ (Choose a different marketing channel) _____


• Marketing Message: _____ (Based on this initiative, what one message do you want your target to understand?) _____


• Timing: _____ (When will you do this? For how long?) _____


• Intended Results: _____ (What do you hope to accomplish? How will you measure it?) _____


• Roles and Responsibilities: _____ (Identify who will do what components of this initiative. Do it yourself? Assign it to a team member? Hire a firm?) _____


• Estimated Cost: _____ (How much money?) _____

3) Third, Fourth, Fifth, etc. Initiatives

• Repeat the above for as many initiatives as your resources can handle. This all depends on what you and your business can handle. By all means outline some more. However, if you are just doing this by yourself or if your resources are few, don’t do any more than five.

Not too complicated, right? Sure, we could dig into this even deeper and optimize this for your particular business. So just consider the above plan as your starting point. Now, fill in the blanks and strategize about your business and your marketing message.

I know you can do it. So get off your procrastinating bottom and get planning. Failing to plan is planning to fail!

As you move through 2010, you should be able to understand what is working and what is not. This will really take you to the next level because you will grasp where to best invest your marketing dollars.

Lastly, just a reminder that a good Marketing Plans is S.M.A.R.T. (Strategic, Measureable, Achievable, Realistic, Time-bound). If you really want to move your business to the next level, you need to get S.M.A.R.T. with your Marketing Plan.

So what are you waiting for? Your plan is ready to go. No more procrastinating and let’s get to that next level!

Why You Don't Need More Followers

Many small businesses are ramping up their social media efforts to catch the Twitter and Facebook waves. As business owners build their online communities, the general focus is on getting more followers and more fans.

The more the merrier, right?

Not exactly.

While generating as many followers and fans as possible can certainly grow your brand, the real focus should be on quality and not quantity.

Your list of followers and fans should represent either a source of income or a source of referrals. Income and referrals build a business, not merely fans and followers.

If your list of followers and fans neither produce income nor referrals, then it might be time to rethink your social media strategy.

Would you rather have 10,000 self-proclaimed MLM Gurus following you or 25 qualified leads? 10,000 sounds like a lot, but the 25 leads are the ones that are interested, engaged and potentially profitable.

The same principle applies for email marketing and direct mail marketing. Unless each and every contact on your list is a potential customer, you waste time, money and energy marketing to massive lists.

If you want a number of followers and fans to shoot for, try 150. The Rule of 150--based on Dunbar’s number and a key component to Malcolm Gladwell’s Tipping Point--states that communities with a high incentive to remain together rarely exceed 150.

So build your community around 150 advocates. Find 150 customers that will support your business and influence others.

But you might be asking, what about scale? If I don’t get thousands of fans and followers, how will I build scale?

Simple: let your community of 150 build scale for you. If you provide consistent and authentic value to your community, scale will come.

So devote yourself to a small community of dedicated listeners and contributors. Don’t worry about generating thousands of fans and followers. Focus on the 150 that can truly move your business to the next level and nurture the heck out of those relationships.

It Doesn't Take Money to Make Money

Given the tough economic times, a lot of business owners are in the "it takes money to make money" rut. This line of thought is forcing many owners who see their bottom lines shrinking to pull back on marketing efforts.

From a marketing perspective, now is the time to get out of that rut.

Recall that money is not the only currency in marketing.

You can do a lot with time and energy. Arguably, you can do more with time and energy than money alone.

A wise investment of energy, for example, can lead to greater creativity, a fresh look at an old idea or a new way to leverage resources.

But energy doesn't produce itself. The First Law of Thermodynamics teaches us that energy can neither be created nor destroyed. It can only change forms.

So don't think that you can energize your marketing by just sitting there. You can't just create an energy and buzz around your brand. But you can change its form.

Think of ways to divert the energy and attention towards you and your business. Use your own energy to convert it into different energy like new customers, repeat business or referrals.

Instead of sitting in your rut of "I need money to make money" get out there and drive the energy bus. Move your business to the next level with pure energy: go the extra step, ask for that close, create value, uncover new partnership opportunities, feed the "word-of-mouth" buzz, deposit referrals into the Golden Chain of Referrals. Marketing energy alone can go a long way!

Take inspiration from Chris Farley and Adam Sandler that created comedic energy from a couple tables full of food in their famous "Energy Brothers" skit on Saturday Night Live.

You don't need money to make money, but you do need energy.

Final Verdict: Keep It Simple

My tenant trashed my condo.

As my tenant was vacating my home, I inspected the residence. Needless to say, it looked like a college dorm after years of parties, fights and mistreatment.

The tenant refused to pay for any of the damages so I took him to small claims court. It was there that I got an important marketing lesson: keep it simple.

You see, I created a spreadsheet, I photocopied receipts and estimates and I printed a slew of photos. I was extremely prepared with tons of materials.

Big mistake. In the end, I was overly prepared.

The judge did not take the time to look at all of my documents. Instead, he focused on a couple of minor things, stated that the damage I was claiming was covered by the tenant’s security deposit and he ruled in favor of the defendant. Ouch.

Had I understood the target audience better (the judge) I would have focused on just one or two things. Had I known that the judge did not intend to review all of the documentation I provided, I would have kept it extremely simple and to the point.

Same goes for marketing. Less is more.

Marketing, much like the small claims court, is about communicating the important action items concisely and succinctly.

Succeed in marketing with brevity, clarity and simplicity. Move your business to the next level by communicating the core message and nothing more.

I should have taken my marketing expertise to small claims court.

Good thing I am not a lawyer.

Count Your Chickens Before They Hatch

Despite Aesop's sage advice, I say you should count your chickens before they hatch.

In The Milkmaid and Her Pail, Aesop tells of a young woman balancing a pail of milk on her head as she walks to market. She dreams of buying a dress with the money she will earn from selling the chickens she will buy from selling the butter she will make with the milk in her pail. Her dreams are ruined when she spills all of her milk as she fantasizes tossing her head at gentlemen suitors while wearing her new dress.

Excellent story and a great moral. But it's the exact opposite advice I give to small businesses. I say count every single one of those chickens before they hatch.

Run your numbers. Run your scenarios.

If you are on your way to market, be sure to calcuate what investment will yield the greatest return.

Some simple math can go a long way. Consider some basic marketing metrics like response rate, conversion rate and traffic. Apply some conservative assumptions and predict your outcomes.

Be sure to account for the pitfalls, hurdles and obstacles that might prevent you from reaching the desired outcomes and adjust your plan accordingly.

Had Aesop's milkmaid really counted her chickens before they hatched, she may have figured out some different options. Maybe she would have decided to make the butter at home instead of transporting the milk. Maybe she would have travelled a faster route to market or maybe she would have created a more focused plan to prevent daydreaming.

For your small business, think with the end in mind and plan accordingly. Move your business to the next level by counting each and every chicken before they hatch.

Marketing Metrics 101

If you still subscribe to the "50% of my marketing works but I'm not sure which 50%" axiom, it's time to move your business to the next level.

Marketing must be measured. Just like any investment of time, energy or money you need to know what level of return you can expect.

Sure marketing is both an art and a science, so you can't measure everything. But you have to start somewhere.

Here are some very simple metrics that you should track:

Response Rate: the number of responders divided by the number of recipients. This metric can be used for email, direct mail, calling and event campaigns. When measuring response rates, keep this number in the back of your pocket: 1% is the industry average for direct mail response rates.

Conversion Rate: the way to calculate conversion varies by industry but it is essentially the number of new, paying customers divided by total prospects. For example, let's say you email your database about a new product or service. Responders will just call you or email you back for more information. Conversions, on the other hand, are those that actually purchase.

Traffic: if you have a retail shop, measure how the amount of foot traffic for your center, your shop and even particular areas of your store. Test how traffic changes by varying your signage and in-store messages. If you don't have a retail presence, measure your web traffic and how that changes based on your marketing efforts.

Percentage of Repeat Purchases: how many of your customers are repeat business? This is a key metric to understand since it is more costly to sell to new customers than to sell to existing customers.

Sales: measuring sales goes without saying. You should always know your sales cycle and how that is impacted by controllable (marketing) and uncontrollable (weather) circumstances. Also be sure to measure sales against all marketing initiatives so you can track how an initiative impacts sales.

The above metrics are just the tip of the iceberg when it comes to measuring marketing, especially if your business is online. Really you should be able to measure every advancement of the Sales Funnel, from Stranger to Advocate.

Most importantly, be sure you track your metrics consistently and over periods of time. This allows for direct comparisons.

Finally, make sure the data you track becomes actionable. As always, think with the end in mind. Ask yourself what you would do with the data when the measuring is complete.

To move your business to the next level, the marketing you measure should ultimately enable you to allocate your resources in a more informed manner.

Great Marketing is a Yawn

Yawn and the world yawns with you. Well, sort of.

Yawning is clearly contagious. Next time you are in a room with people, feign a sleepy yawn and watch how many people yawn in return.

Better yet, set a measurement to it: count the number of people that return your yawn and divide that by the total number of people in the room. Maybe you’ll come up with a metric like 7 out of 10 (70%) people yawn when they see someone else yawn.

This would be a measurement of the contagiousness of your yawn. If yawning is truly contagious, your number might even exceed 100% since you could create a never-ending chain of yawning.

Now, take this same concept and apply it to your marketing.

Measure the contagiousness of your marketing message: count the number of people that respond to your marketing message and divide that by the total number of message recipients. This is also known as a Response Rate but it is the first step in understanding how transmittable your message is.

If the message continues to spread—like a yawn—your responder to recipient proportion might exceed 100% and you could have a very contagious message on your hands.

Is your marketing message transmittable? Can you leverage one message and have it spread virally across multiple recipients? Does your word-of-mouth proliferate?

To move your business to the next level, make sure your marketing message is as contagious as a yawn.

Objective of Event Marketing NOT the Event

Event marketing—much like all marketing—requires careful planning. Executing a successful event depends mostly on preparation.

Key areas of focus include appropriate collateral, scripts for key messages and basic logistics for the day of the event.

However, the day of the event is only part of the equation. The follow up is where the real conversions happen. To move your business to the next level, ensure that you plan and prepare for what comes after the event.

Think with the end in mind.

The day you confirm an event and put it into your calendar also map out dates for your follow up plan. This way, when you show up to the event you will know what you need to do to execute your follow up.

You will know when to send emails, what to do with business cards, how to handle prospects and where to allocate your energy.

And don’t forget that a lot of great follow up happens just outside of the event: in hallways, elevators, restaurants and other gathering places.

Growing a brand means creating relationships and awareness both during and after the event. And in order to do that optimally, spend the necessary time before.

Plan for your event but plan more for what happens after.

"Everybody Gets Tired When Nobody Listens"

A direct quote from my daughter: "Everybody gets tired when nobody listens."

My daughter is four. She made this enlightened statement between giggling on the swings and hanging from the monkey bars.

While I am certainly biased in thinking my daughter is brilliant, there is no doubt that she speaks the truth. Listening is perhaps the most important skill in both business and in life.

The application of consistent listening serves tremendous marketing benefit. From customer service to employee interactions, a small business owner must be able to truly open her ears and probe for more information.

I previously recommended that a business owner must continually question their customer comments to dig for more information. In order to extract the most information, it is necessary to put aside egos, open up the ears and let the other party do the talking.

This life skill will move your business to the next level. You will find that customers will give you great information, employees will feel empowered and the competition will struggle to match your level of service.

It is tiring when nobody listens. Think how much energy is sapped with the simple act of seeking attention.

Do yourself, your employees and your customers a favor by energizing them with your listening.