How Has Marketing Changed in the Face of this Economic Downturn?

Change is almost always made during the down part of a cycle. Despite tighter business conditions, marketers should look to embrace the positive change this downturn can bring.

 

"Only the wisest and stupidest of men don't change."

 

- Confucius

 

In an industry which tends to cut spending, staff and budget in times like these, it is important to focus on efficiency drivers in order to be better prepared when the economy turns around. The recession will definitely weaken some, maybe most, but it will leave more marketshare for the strong. It is an opportunity to distance yourself from competitors.

 

Here are just some of the steps I have taken to maintain savvy, value-driven marketing since the recession began in December 2007: 

• Seek out pockets of demand; Focus on targets and segments that return - Re-trench bread-and-butter markets  
• Sharpen value proposition  
• Ramp up the Web and inbound marketing efforts, especially Web 2.0 and social marketing tactics  
• Introduce narrowcasting activities into the mix such as whitepapers, podcasts and webinars
• Take advantage of less clutter by integrating forward-thinking strategies with traditional media buys  
• Increase lead generation and nurturing... exit the recession with growing revenue  
• Present ROI that links marketing to revenue goals

 

Seth Godin is calling this recession the opportunity of a lifetime. The opportunity is to find opportunities that deliver real value and have a future.
 
By Jennifer Pricci

The First Three Steps Toward Social Media Marketing

While other channels are looking at cutbacks, social media marketing is on a growth path because it's low cost, it's proving to work, and it represents the future of marketing.

Creating a social media marketing plan should depend on your market’s needs and your company’s capabilities and offerings.

In my opinion, your first three steps should be: 

1. Clearly identify your target
2. Identify the key issues your target cares about as it relates to your offerings.TIP: create a bulleted list with no more than three or four words per item
3. Research which, if any, top bloggers are discussing these issues.TIP: User your bulleted list to search.

The following are good places to start:

• Technorati
• Del.icio.us
• Google Blogsearch
• Ask.com Blogsearch

Inevitably, any substantial subject matter area has a back channel where top bloggers and influencers chat. For example, PR and marketing bloggers tend to connect on Facebook, Twitter, and to some extent, LinkedIn. This back channel can yield powerful connections to highly influential minds who may not have blogs with top statistical ranking.

Marketers looking to find their subject area’s back channel should start with a basic search. Once your initial search yields important blogs, visit them and note which social networks the bloggers use to connect. Join their communities. And learn what your target really cares about.

Don’t just observe, participate. Comment on blogs and social networks in a non-promotional way.

For the Experiential Marketer...

As an Event Marketing professional I highly recommend Event Marketer Magazine, the Event Marketer website (www.eventmarketer.com) and other Red 7 Media publications (i.e. BizBash... a whole NEW world of prospects) to learn more about the heavy-hitters in this field.

For their top 100 Event Marketing Agencies of 2008 visit:

http://directory.eventmarketer.com/agencyitlist/home

I also recommend checking out those agencies that specialize in branded entertainment and sponsorship activation:

http://directory.eventmarketer.com/agencyitlist/results/Sponsorship+activation+-+execution

Finally, for a thorough Event Marketing Agency list visit:

http://directory.eventmarketer.com/cat/Agencies 
 
By Jennifer Pricci

Marketing In A Recession... Go Guerilla!

In recessionary times, even the biggest companies need to take a leaf from the efforts of smaller enterprises and market more effectively and in new venues. They MUST be more creative in their use of time, energy, and imagination.

That has led to the rise of guerilla marketing.

I have always been a big fan of Guerilla Marketing because of it's ability to directly touch target consumers. In my current role directing the marketing strategies of a large corporation which employs hundreds of independent contractors I have stepped up Guerilla Marketing education, particularly at targeted public events.

In your case you are speaking of the same. I feel experiential marketing is the most effective Guerilla Marketing tactic because of its ability to engage consumers with your brand immediately and, when done correctly, reaches them at a time when they are in a positive frame of mind which drastically increases recall and retention rates.

FuelNet.com (http://www.fuelnet.com/) offers the following Guerilla Marketing ideas that anyone can quickly put into practice:

Partnerships 

Consumers are more likely to listen to a marketing message about a particular business if it comes from another company, asserts Tom Richard, author of Smart Sales People Don't Advertise: 10 Ways to Outsmart Your Competition with Guerilla Marketing. "If you have a marketing budget of $2,000, go find nine other people who have a marketing budget of $2,000, and together spend $20,000 on the best promotion ever done in your town," he says. "You get the benefits of a $20,000 marketing campaign."

Stunt Marketing

Done right, the appeal of this guerilla marketing strategy is that it leaves a lasting impression. For example, Gary's Uptown Restaurant and Bar in Lodi, Calif., once ran a special on Wednesdays where bald men ate for free; other hair-challenged patrons were given discounts. It generated worldwide media attention. "That goes to show that you really can do something fantastic if you have the creativity behind it," says Colleen Wells, coauthor of The Complete Idiot's Guide to Guerilla Marketing.

Experiential/Event Marketing
A few years ago after a 40+ year career in sports journalism with a focus on horseracing, my Father became Executive Editor of the new website HorseraceInsider.com (http://www.horseraceinsider.com/).  While this site quickly gained equine enthusiasts it is also designed for the weekend fan and the site needed to reach this core. During one of the most popular meets in the Country, horseracing at Saratoga Racecourse during the peak of summer, I suggested my Father invest in thousandsof branded hand-held fans. Street teamers canvased each entrance of the racetrack and distributed these fans to people embarking on a day at the races. Not only was this potential new audience for HRI extremely greatful for a tool to keep them cool in 95+ degree weather, but the fans proved walking billboards throughout the racetrack and sparked conversation among those who didn't have one... "WOW, where did you get that, I'm so hot!" Finally, the tangible aspect of this piece remained in the hands of these potential new consumers. And all for less than $.05 each!

A Smile and A Handshake
That might not sound like guerilla marketing, but author Mitch Meyerson believes it's the first step in building a tighter bond with customers. "You could spend a few thousand dollars buying a classified ad and direct people to call you, but if someone in your business is having a bad day and they pick up the phone and have a crabby tone of voice, the prospect will not be interested [in your product or service," he says. "The first rule in successful guerilla marketing is to be upbeat and helpful every single time you have contact with the public. People fall short in this area quite consistently."

In the states, EventCrazy.com (http://www.eventcrazy.com/) is an excellent resource to search over 150,000 events and attractions with select criteria. Best part... it's FREE!

What are you doing to save on Marketing dime?


By Jennifer Pricci

For the Experiential Marketer...

As an Event Marketing professional I highly recommend Event Marketer Magazine, the Event Marketer website (www.eventmarketer.com) and other Red 7 Media publications (i.e. BizBash... a whole NEW world of prospects) to learn more about the heavy-hitters in this field.

For their top 100 Event Marketing Agencies of 2008 visit:

http://directory.eventmarketer.com/agencyitlist/home

I also recommend checking out those agencies that specialize in branded entertainment and sponsorship activation:

http://directory.eventmarketer.com/agencyitlist/results/Sponsorship+activation+-+execution

Finally, for a thorough Event Marketing Agency list visit:

http://directory.eventmarketer.com/cat/Agencies

Cancel the Blamestorming Session: 3 Tips to Marketing / Sales Alignment

Historically, the relationship between marketing and sales has been (to put it politely) problematic, with lots of finger-pointing, and lots of valuable sales leads falling through the gaps between the two functions. But in an age of cautious spending, no company can afford to have sales leads disappear because of poor internal processes. To pull through the downturn successfully, you need sales and marketing teams that work together seamlessly and effectively… you need sales and marketing alignment.

And while sales may once have been the alpha in a not-so-happy-marriage, today the tables have turned. In the digital era, B2B marketing is not just responsible for getting names into the top of the funnel. They must also build relationships with those contacts, nurture them over time, provide guidance and information at every stage, and bring them to the point where they are qualified opportunities ready to convert.

Let’s cancel this week’s blamestorming session…
Here are 3 tips to promote effective sales and marketing alignment:

1. Score Your Leads Collaboratively

Effective lead scoring is essential to ensuring that only well-qualified leads are handed over to sales. The focus should be on bringing marketing and sales teams together to agree on the definition that will be used to score leads at each stage in the funnel. Establishing this together will avoid finger-pointing later, and will enable you to develop appropriate content for leads at every stage.

Together, the teams should decide on the criteria for scoring potential buyers all the way from a basic name entering the top of the funnel, through engaged party, prospect, lead, and finally opportunity. Lead scoring will consider factors such as the prospect’s interaction with your website and social media profiles, the amount and type of content viewed, shared and downloaded, information given in registration forms, and the results of any direct mail, events or other activities.

More importantly, don’t forget to score for negative behaviors, too. Activities like unsubscribing from emails or negative social media comments are signs that a prospect no longer wants to engage. Again, these definitions need to be agreed upon between both teams.

2. Stop Valuable Leads From Falling Through the Cracks

Once you have decided on how to define and score activities during the complete sales funnel, you will also need to set the ground rules for when a lead should be handed over to sales. Handing over only highly-qualified leads means Sales focuses all of its efforts on leads that are ready to convert, resulting in increased revenue and a better B2B marketing ROI.

But what if the weeks or months pass and the lead doesn’t move on to the next stage? That’s when many leads tend to fall into a limbo where neither marketing nor sales feels responsible for them. With budgets tight, marketing has understandably wanted to focus on getting more sales leads into the funnel, and on pursuing the ones that show a greater propensity to buy. There simply hasn’t been time or money to lavish attention on stalled leads that may never become customers.

But now, technological advances have made it possible to nurture leads over the long term cost-effectively, by keeping in regular automated contact and providing useful content based on what you already know about the lead.

But lead nurturing can’t be conducted independently by sales. There needs to be regular two-way communication between the functions, so that sales knows what activity the lead has undertaken and what messages and content have already been communicated to them. There also needs to be a smooth process for sales to hand back leads that have failed to convert, so they can be put back into the funnel for further nurturing.

3. Use Metrics to Show What’s Worked

One of the biggest challenges for any marketing team is to demonstrate how marketing spend is driving revenue for the business. Done properly, regular lead scoring and comprehensive lead nurturing deliver ample data that demonstrate how leads have been progressed through to conversion.

You still need to choose the right metrics. To truly demonstrate marketing’s value, you need to be measuring things like marketing program performance, impact on revenue and profit per customer.

Key Takeaway

Marketers, avoid a shotgun wedding by creating a long-term, healthy and happy relationship with sales.  Strive to understand their needs like they understand the customer.  Rely on them for the great information they bring from the field.  Work together to define your ideal lead.  That information will inform all of your marketing activities.  The rest is doing your due diligence when it comes to getting the job done.  While your role may be getting those leads into the funnel, it’s also about keeping that funnel clear of debris.


By Jennifer Pricci

The Recession and Student Spending Trends

Marketing managers who target the 18-25 year old demographic, have you altered the way you reach college students?

Student spending today is basically Generation Y spending.

Born between 1977 and 1994, Generation Y comprises today’s high school and college student markets. The large size of this generation (71 million) makes them a profitable market. One that, as a marketer, you can’t afford to miss.

Student spending differs by whether the student is in high school or college.

Today’s high school students... have more money to spend than any teens to date, 51 percent more than 1995 teenagers.

Together they spend an estimated $187 billion a year on:

• clothing
• wireless tech gadgets
• alcoholic beverages
• tobacco
• eating out
• personal appearance
• fun

While still in high school, most students earn close to $100 per week. Plus some have their own credit cards or access to their parents’ cards.

Almost all high school students have their own computers and are online. Any business wanting to reach them must have a well-designed Web site.

Today’s college students... spend more than $100 billion of their own money each year and influence many family purchases.

They have money to spend. More than half of today’s full-time college students work.

They also spend on credit. More than 90 percent of those 21 and older use credit cards. Their average credit card debt is $3,000, and 10 percent owe more than $7,000. They do pay their credit card debts, just a little slower than older generations.

College students buy over the internet, but first they comparison shop on an average of three Web sites.

Together high school and college students have a tremendous effect on the economy.

So Marketers… Target Generation Y!

They like to shop, with the men liking shoping more than men in prior generations.

But they are “notoriously fickle,” demanding the latest trends in record time.

They are immune to hard sell advertisements. They are brand and fashion-conscious, but won’t buy if clerks “get in their face” trying to sell them. The hard sell doesn’t work with them.

They prefer brands with a core identity based on core values. They won’t buy a product just because it’s in the mall. It’s more important to them that a product is recommended by their peers. Word of mouth is the best method of marketing to them.

Today’s students don’t like the status quo and are immune to established brands. They like appeals that reflect their lifestyles more than their outward appearance.

They respond best to humorous and emotional advertising. They like advertisements that show other people like them in real-life situations. They also like innovative music and advertising that centers on their lifestyles.

Marketers Rank B:B Challenges

What are the greatest challenges that B2B marketers are facing? From generating high-quality leads and a high volume of leads to generating public relations buzz, see which challenges topped the list.

Today's Most Significant Challenges for

B2B Marketers to Overcome

The call from the sales force is not "Give us more leads" – it’s "Give us better leads." As you can see in the chart, marketing teams are aware of this issue and are responding to the challenge.

Depending on your lead generation process, lead quality may be the result of either the original state of the lead or of a nurturing process to determine if and when the lead is sales-ready. The latter case – a nurturing process – also addresses the second most significant challenge shown in the chart above: marketing to a lengthening sales cycle.

A strategic nurturing process not only identifies when a lead is sales-ready, but can pinpoint at which stage of the buying cycle the prospect is in, to forecast timely opportunities.

When the quality of a lead is dependent on its original state, it usually means that all but the most obviously disqualified leads are handed off to the sales force as they are generated. Surprisingly, this practice is still very common in B2B marketing.



By Jennifer Pricci

What to do first when you get laid off?

The top seven steps are: exit gracefully; secure whatever additional pay and benefits you can; apply for unemployment; get health coverage if possible; get real about your expenses; roll over your 401(k); and start your search. 

1. Exit gracefully.
   
   Your old boss might become the link to a new job and at the very least can be a great reference by providing a letter of recommendation.
2. Secure whatever you can.
   
   It depends on your level in the company, but try for an extension of your salary, health benefits or life insurance benefits; a positive letter of recommendation from your supervisor, use of your office for a a period to search for another position or use of an outplacement firm; even your laptop or other equipment that will help you get a new job. (If you get severance, take advantage of the health benefits – get physicals, dental checkups, fill prescriptions.)
3. Apply for unemployment immediately.
   
   Typically, you can still collect unemployment even if you receive a severance, and if you take a part-time job while you are looking for a new position, you may be eligible for partial benefits. Regular benefits are paid for 26 weeks in most states and some will extend that under certain circumstances.
4. Protect your health benefits.
   
   Enroll in Cobra if your employer is required to have it. (Companies with 18 or fewer employees are not.) Complete the forms to continue your health insurance; you’ll have to pay a monthly fee, but it’s worth it — don’t leave a gap in your coverage. If you can’t get insurance through your company, call a health insurance broker and see what plans you can qualify for.
5. Get real about your expenses immediately.
   
   You have to know what you are spending monthly so you know where you can cut costs to avoid getting into debt while you’re laid off. Search “track your spending” on this site to get tips on how to control your costs.
6. Roll over your 401(k) plan directly to an individual retirement account.
   
   Do not cash it out, or take a check from the company with the intention of opening an IRA. You have a limited time to get it into that new account or the government will consider it a withdrawal and if you’re under 59-1/2 you’ll pay a 10 percent penalty, and no matter what your age you’ll pay income tax. Sadly, 80 percent of people with $10,000 or less in a 401(k) cash it out when they leave the job – but in reality, after taxes and penalties, that $10,000 is closer to $6,000 if you’re in the 28 percent tax bracket.
   
   Go to the websites of Fidelity, Vanguard, Schwab or T. Rowe Price, where you can find the forms that allow you to roll the money over directly.
7. Start your search.
   
   Take one or two days to regroup, and then schedule at least 3 to 6 hours a day to work on your job search. Refresh your resume and join an online social network if you don’t belong to one.
   
   Begin with LinkedIn and leverage gadgets to showcase your work, embed your blog or link to your other profiles. Network through whatever other affiliations you have – religious and volunteer organizations, sports clubs, alumni groups, etc. Call headhunters in your industry – don’t assume that they are overwhelmed with people contacting them.

Twitter... Are You Missing The Boat?

If you tuned into The Apprentice Sunday, March 8, you would have watched the "boys and girls" come up with a new slogan for Zappos. The CEO of www.zappos.com was the judge and selected the "gals" proposal. 

What stunned me, while watching the show, I happened to Tweet @zappos, and got a reply within 3 minutes. What I didn't realize at the time, that it was the CEO Tony Hsieh, sending me a message. 

Whats remarkable, here is a CEO of a $1B company, watching with the rest of us, probably his biggest marketing exposure (and expense) on national TV and he is on Twitter, tweeting to anyone that sends a message. 

How many CEO's of $1B companies do you know, that even know what a Tweet is, actually use it and are using it to their corporate advantage?

So are you missing the boat?

I became a fan of The Apprentice early on in the series. As a marketer I found it interesting to see so many promising young professional spread their marketing wings at the many tasks surrounding such high-end brands.

I saw the Zappos.com Celebrity Apprentice episode. I am struggling as a fan of the show with the Celebrity episodes as these individuals are not marketers and it is so painful to watch them fumble through fundamental marketing challenges.

I’ve seen Tony Hsieh, CEO of Zappos.com, featured many times before and find his business plan completely refreshing. It is no doubt that his emphasis on customer service and corporate culture is responsible for his huge success as a brand and, ultimately, their sales growth of 1.6M in 2000 to over $1 billion in 2008. I did find, however, that the show was either edited poorly or the part he played in the “RFP” process was below par. He did not discuss the target consumer at all, rather, broad stroking it; and, although he did mention customer service, I do not feel he placed appropriate emphasis on this core competency given its direct relationship to their success. (Note: I am a loyal Zappos consumer because of their customer service.)

Many companies are looking for guidance with branding on Twitter. To begin with, they need to know how to use Twitter, what it’s all about, who should handle Twitter (marketing sales, PR,) who to follow, etc.

Then to the question: Should the CEO or business owner also have a Twitter profile? This is a great question and one that takes some time and thought. Good social media consultants will tell you that social media marketing requires a strategy – and it’s not necessarily the type of “boiler plate” marketing strategy companies may be used to.

This key question – should the CEO (and other key management) have a Twitter profile to be part of the social media strategy?

Tony Hsieh is a highly visible CEO on Twitter right now (his profile is Zappos.com CEO.) This strategy blends the brand. This is definitely a trend we’ll be seeing more of. Tony even posted a Beginner’s Guide that can be helpful to business owners and entrepreneurs:

http://twitter.zappos.com/start 

It is important to know that while good personal branding involves self-promotion, there’s more to it. The social media world is all about “Give to Get” and engaging in two-way conversations. The value comes from not what you are doing; rather it comes from what you are thinking and sharing. It is about conversations and building relationships; not hard sell marketing, broadcasting or ego-driven tweets.

Sell the HOLE – Not the DRILL

"As much as creative marketing and promotions can help a product, service, or company stand out," writes Linda Ireland at the MarketingProfs Daily Fix blog, "it always comes down to a simple premise: Did you solve the need that triggered the customer to act in the first place?" In other words: You can surprise and delight customers all you like, but it won't matter if you don't fix what they asked you to fix.

So keep your focus on this goal with tips like these:

• Do what you said you would do

You'll impress customers by providing the product or service you promised, on time and without any surprises along the way. It would seem self-evident, but this oft-forgotten concept forms the foundation for every positive customer experience.

• Don't create more work for your customers

They're paying you to make a pain point go away—it won't seem that they've gotten their money's worth if they have to jump through hoops to get anything done.

• Don't tout unnecessary benefits

A slew of new features won't excite a customer who doesn't need them; if you insist on discussing them, it'll start to feel like tiresome oversell. "Keep it simple," she says. "Fix their problem. Then stop. Then solve another one."

• Don't forget the emotional aspect of customer experience

Inspire loyalty and satisfaction by matching your actions to the way a customer should feel at each stage of the process.

The surest way to surprise and delight a customer is to roll up your sleeves and solve her problem.

Do you have a secret for identifying customer's problems so you can figure out how to solve them?




By Jennifer Pricci

How Has Marketing Changed in the Face of this Economic Downturn?

Change is almost always made during the down part of a cycle. Despite tighter business conditions, marketers should look to embrace the positive change this downturn can bring.

"Only the wisest and stupidest of men don't change."

- Confucius

In an industry which tends to cut spending, staff and budget in times like these, it is important to focus on efficiency drivers in order to be better prepared when the economy turns around. The recession will definitely weaken some, maybe most, but it will leave more marketshare for the strong. It is an opportunity to distance yourself from competitors.

Here are just some of the steps I have taken to maintain savvy, value-driven marketing since the recession began in December 2007:

• Seek out pockets of demand; Focus on targets and segments that return - Re-trench bread-and-butter markets
• Sharpen value proposition
• Ramp up the Web and inbound marketing efforts, especially Web 2.0 and social marketing tactics
• Introduce narrowcasting activities into the mix such as whitepapers, podcasts and webinars
• Take advantage of less clutter by integrating forward-thinking strategies with traditional media buys
• Increase lead generation and nurturing... exit the recession with growing revenue
• Present ROI that links marketing to revenue goals

Seth Godin is calling this recession the opportunity of a lifetime. The opportunity is to find opportunities that deliver real value and have a future.

Marketing In A Recession... Go Guerilla!

In recessionary times, even the biggest companies need to take a leaf from the efforts of smaller enterprises and market more effectively and in new venues. They MUST be more creative in their use of time, energy, and imagination.

That has led to the rise of guerilla marketing.

I have always been a big fan of Guerilla Marketing because of it's ability to directly touch target consumers. In my current role directing the marketing strategies of a large corporation which employs hundreds of independent contractors I have stepped up Guerilla Marketing education, particularly at targeted public events.

In your case you are speaking of the same. I feel experiential marketing is the most effective Guerilla Marketing tactic because of its ability to engage consumers with your brand immediately and, when done correctly, reaches them at a time when they are in a positive frame of mind which drastically increases recall and retention rates.

FuelNet.com offers the following Guerilla Marketing ideas that anyone can quickly put into practice:

Partnerships
Consumers are more likely to listen to a marketing message about a particular business if it comes from another company, asserts Tom Richard, author of Smart Sales People Don't Advertise: 10 Ways to Outsmart Your Competition with Guerilla Marketing. "If you have a marketing budget of $2,000, go find nine other people who have a marketing budget of $2,000, and together spend $20,000 on the best promotion ever done in your town," he says. "You get the benefits of a $20,000 marketing campaign."

Stunt Marketing
Done right, the appeal of this guerilla marketing strategy is that it leaves a lasting impression. For example, Gary's Uptown Restaurant and Bar in Lodi, Calif., once ran a special on Wednesdays where bald men ate for free; other hair-challenged patrons were given discounts. It generated worldwide media attention. "That goes to show that you really can do something fantastic if you have the creativity behind it," says Colleen Wells, coauthor of The Complete Idiot's Guide to Guerilla Marketing.

Experiential/Event Marketing
A few years ago after a 40+ year career in sports journalism with a focus on horseracing, my Father became Executive Editor of the new website HorseraceInsider.com. While this site quickly gained equine enthusiasts it is also designed for the weekend fan and the site needed to reach this core. During one of the most popular meets in the Country, horseracing at Saratoga Racecourse during the peak of summer, I suggested my Father invest in thousandsof branded hand-held fans. Street teamers canvased each entrance of the racetrack and distributed these fans to people embarking on a day at the races. Not only was this potential new audience for HRI extremely greatful for a tool to keep them cool in 95+ degree weather, but the fans proved walking billboards throughout the racetrack and sparked conversation among those who didn't have one... "WOW, where did you get that, I'm so hot!" Finally, the tangible aspect of this piece remained in the hands of these potential new consumers. And all for less than $.05 each!

A Smile and A Handshake
That might not sound like guerilla marketing, but author Mitch Meyerson believes it's the first step in building a tighter bond with customers. "You could spend a few thousand dollars buying a classified ad and direct people to call you, but if someone in your business is having a bad day and they pick up the phone and have a crabby tone of voice, the prospect will not be interested [in your product or service," he says. "The first rule in successful guerilla marketing is to be upbeat and helpful every single time you have contact with the public. People fall short in this area quite consistently."

In the states, EventCrazy.com is an excellent resource to search over 150,000 events and attractions with select criteria. Best part... it's FREE!

What are you doing to save on Marketing dime?
 
By Jennifer Pricci