Killing the Competition - A Deadly Case Study

I got a call from a former client last week that really made me smile. We had lost contact over the last couple of years and he simply wanted to re-connect. During our conversation I asked him about the overall impact of the work I did for him and he was pleased to tell me that it continues to be a major driver in his companies growth.

Case Study: Batzner Pest Management

Wisconsin’s largest, privately owned pest management firm faced stiff competition in a mature market place. Clarity’s mission was to create an image and market position that will add value to the company’s services, differentiate the firm from competitors and provide a competitive edge.

I conducted industry and customer research to clearly define the main concerns and value equations for each target market. This groundwork uncovered key information including an overwhelming concern about the use of chemical pesticides. The research also revealed that there were no other pest control companies in the market who were addressing this concern. Industry sources confirmed that the industry was moving in this direction on a large scale due to customer demand.

Using this data, I worked with Batzner to re-brand the company’s main service line. Calling the service the B.A.N. System (an acronym for Balanced As Nature), I developed a logo for the service and a marketing and advertising strategy to position the company as a holistic alternative to traditional pest control.

Printed materials, a new web site, print ads, television and radio advertising were developed and implemented to promote the new company position to consumer and corporate audiences with great success, producing a growth rate significantly higher than the industry average. Additionally, we updated employee uniforms from plain, gray work cloths to tan outfits reminiscent of zoo keepers. The logo was also applied to the companies fleet of vehicles and employee uniforms.

The B.A.N. System has become a central product offering for the family owned and operated company and continues to drive growth.

Marketing and the Art of Corvette Maintenance

Lately my car isn't performing at its potential. The biggest sign something is wrong is the formation of small pools of coolant in the oil. I'm no Mr. Goodwrench, but I'm guessing that's bad. However, the problem could be any number of things – ranging from the relatively inexpensive blown head gasket to the pricier problem of cracked or warped heads to the complete replacement of the motor.

If I were to approach the problem like a typical marketing manager, I would whip out my check book and start replacing components hoping I get lucky and eliminate the problem. After a certain amount of money and time, I will undoubtedly achieve success even if I end up buying a new motor. However, since my wife insists that I stick to an automotive budget, I'm not convinced guessing is the right methodology to solve the issue.

Instead, I'm going to go through a logical process to uncover what might be wrong - with the goal of only fixing the problem that is causing the reduction in performance. I'll look at spark plugs for discoloration. I'll perform a compression test to check for a breech in the head gasket. I'll remove the heads and have them checked for warping or cracking. I'll talk to more knowledgeable gear heads to get input and advice. Once I have all the information I need to understand exactly what is happening deep inside the motor, I will have a clear picture of what is needed to solve the problem. Then I can focus my budget and efforts on only those issues.

If your marketing or sales programs are performing at sub par levels, it might make sense to take a step back and systematically evaluate each facet of your marketing and sales efforts to get a clear picture of what's working, what's not and which issues are top priority in terms of reaching your goals. Similar to a financial audit (but much more interesting), a marketing audit will give you the clarity you need to make wise decisions and help you focus only on the issues that will directly impact your success. Unless you really want that fancy new motor and money is no object. Just don't tell my wife.

When he's not restoring classic Corvettes, Pete Monfre brings clarity to B2B companies who are striving for superior growth and fiscal performance. He has facilitated over 80 marketing audits over the last two decades for many leading companies. For tips on performing the marketing audit, contact Pete Monfre at http://www.claritymarketingsupport.com/ or by calling 866-567-4050.

Video on the Web - a marketing godsend

If you would have asked me about putting video on your web site a few years ago, I would have strongly discouraged it. In fact, the subject used to come up regularly back in the late 90's when my firm was at the forefront of Internet development but it was not feasible then. Fast forward to today and everything has changed. There were two huge issues for streaming video over the Internet in years past: slow connections and the requirement that a user has to have a certain plug-in to view the video. Adding to the problem was the existence of multiple standards for on-line video with each requiring a different playback technology.

Of course, broadband has been one of the major factors in the astronomical adoption of Internet video all but eliminating speed issues but another key technology has made video almost universally accessible. Enter the humble Flash application. Several years ago, the major browsers integrated Flash technology in their software - practically eliminating the need for separate software to view animated content. Most video content you see on the Internet is actually not video - it's video converted to Flash. Thus the majority of viewers can access the content by simply clicking the play button. This is the technology originally utilized by YouTube.

Add into this equation mobile phones, televisions with Internet capability, on-line games, and the convergence of the Internet with television networks and video becomes a viable communication medium. In fact an analysis from the Dynamic Logic MarktNorms database shows that video ad formats are clearly more effective than other forms of online advertising at breaking through clutter and conveying messages. But on-line video has valuable capabilities that television doesn't have (yet). Measurement functionality can be built into on-line video content to provide metrics such as how long Web viewers stay tuned in to a video, whether they fast-forward and when they stop watching. Such metrics can help an online advertiser better understand what appeals to audiences.

In February 2008, Internet users viewed 10 billion videos, a 66 percent increase over February 2007, according to comScore, a leading Web measurement firm. Meanwhile, local online video advertising was a $400 million business in 2007, according to Borrell Associates. eMarketer expects that online video ads will pull in $1.3 billion nationally this year. Even better is the news that online video is a very viral activity, creating additional opportunities to build awareness of, and drive traffic to, web sites. A 2007 Pew Internet & American Life Project study found that 57 percent of online video users (67 percent of 18-29 year olds) send video links to others and 75 percent receive video links.

If your web site is languishing in terms of traffic and conversion, a short video can liven things up and be more effective in projecting your brand personality. This is especially true for service firms, for example attorneys, doctors, consultants, etc., where customers "buy" the people who provide the service.

I have some personal experience in the power of Internet video. About 10 months ago my son and I produced a short video and put it on YouTube. This seemingly insignificant effort has grown into a full blown commercial enterprise garnering national television appearances for my son, interest from major television networks and thousands of visitors each month to our web site www.enzoology.com. As we continue to produce web video, our traffic to the web site (and sales of DVDs) continue to build at a significant rate. And we have yet to do any search optimization - the growth has been from word of mouth (people forwarding our videos) and social media.

If you are interested in how we've leveraged video to rapidly build traffic contact me and I'll share what we've learned. It's easier and less expensive than you think.

Some straight talk about “The Recession” Part Two

I dont' know about you but I refuse to participate in any "recessions". So what is really going on out there? What are companies doing to turn the recession into an opportunity?

Based on my research and dozens of conversations with CEOs, Presidents and owners of B2B technology companies the facts on the ground don't quite align with the media's stories of impending doom. In fact, most of these companies had a great year in 2007 and continue to be optimistic about the coming year. Only a few were seeing minor slowdowns in the first quarter of 2008 but most acknowledged that it isn't unusual.

Only the larger companies seem to be cutting marketing and promotion budgets which isn't surprising since most large companies spend enormous sums of money in these areas. It makes sense that they might cut some of the more frivolous tactics and programs. (assuming they know which are generating profit and which are not). Smaller companies are staying the course either maintaining investment or in many cases, increasing spending on highly targeted, integrated marketing programs.

According to Jason Myers, publisher of Austin Business District Magazine “It only makes sense to see an opportunity when competitors are cutting marketing and promotion budgets. Strategically increasing investment in the areas where competition is cutting is proven to produce substantial returns when the cycle begins moving upward again.” The idea is to fill the void left by competitors who seem to disappear from the market when times are tough.
Be more relevant
Many smart marketers are turning back to the basics – aligning messaging with customer buying drivers or “pain points”. From fine tuning messaging to emphasis cost savings or being far more specific about the value customers can expect, marketers need to be more relevant than ever before. Increasingly companies are not assuming they know exactly what drives customer buying behavior – instead, they are going directly to customers and asking them how and why they buy.

Crank up lead generation activities
If you are closing fewer deals or the sales cycle is getting longer (as it often does during a downturn) it makes sense to increase the number of opportunities coming into the funnel. If you can increase your close rate at the same time you will most likely be able to greatly increase results. Shift marketing investments away from difficult to track tactics like branding to more quantifiable programs including direct mail email and snail mail), social media, online promotion like webinars.

Start a cold calling program
Whether you enjoy the thrill of the hunt or hate picking up the phone, the fact is: cold calling works - assuming you have a sound process and approach it honestly and with dignity. I know that isn't what the sales “gurus” and books teach. There is an art to cold calling executives and trickery will get you nowhere. Be prepared to ask powerful questions and by all means be brief and respect your contact's time. You might be surprised at how accommodating CEOs can be if you are authentic and naturally curious.

Perform a competitive analysis
Knowing what the competition is doing will help you spot holes in their marketing and sales programs that you might be able to exploit. For example, if your competitors are pulling back on advertising, you might want to step in and fill the void. If they are reducing allocations to public relations, start cranking up your P.R. Go where they aren't.
Start with your existing customer base
Talk to or meet with as many existing customers as possible. Make it clear that you value their business and welcome referrals. Don't be afraid to ask them to flip through their database or rolodex (do people still use those?) and pick out a couple of contacts that might be a match. If the customer is happy with your company they should be willing to refer you.

The bottom line is that you need to execute, execute, execute. If you don't have the manpower in-house, outsource it. But get in the game and make it happen.