You get what you pay for

Have you ever bought something just because it was cheap? Did you regret the purchase after a while because you realized why it was so cheap?

I can buy a used Datsun for $140, or I can buy a used Honda for $2500.

They are both "Cars", why would I buy the Honda for $2500 when I can get a "Car" for $140???

You may come across this in your line of work. Someone selling something similar to your product/service cheap. You understand the value in your product/service, but the customer just thinks they're the same and is going to get a "great deal!" You know that your product/service is $4.00 more, but it is more of an investment.

I often come across this in my line of work. Someone willing to sell a "commercial" cheaper than my commercial on Broadcast TV.

A couple things to remember:

• The cost of a commercial has nothing to do with the cost of acquiring a new customer


• In your advertising, you are buying eyeballs, not commercials


• Invest in the media that gives the most efficient way to reach those eyeballs


• Compare your advertising on an Apples to Apples comparison


• What does it cost to reach a 1,000 of your potential customers?


• Not on how much a "spot" costs, that has nothing to do with your advertising being efficient and becoming an investment rather than another expense!


• When the politicians have one chance to win the votes of America, what media do they choose to use? BROADCAST TV.... BECAUSE IT WORKS AND IT'S EFFICIENT (sorry that was a soft sell, but the truth!)


• What is the reason why they are selling their product so "cheap?" Is that what it's worth?

Long story short, don't be fooled by the cheap price of something. Ask yourself: "Will this be an investment or am I just buying something because it looks so cheap?"

Let's talk about Bathrooms

I recently went on a long road trip to Arkansas and back. So I had a little time to think about things during my 27 hours of driving.

When I am driving, I usually plan my rest stops according to my bladder. With that being said, it is nice to stop at a gas station that has clean restrooms. And as you probably know, it is like playing roulette trying to find a gas station with clean restrooms.

With all that being said, if I were to open a franchise of gas stations, I would seriously name it "CLEAN BATHROOM GAS STATION". Yes, I know it's an odd name, but I guarantee that you understand what you will get at my gas station. You can get gas at every gas station, however at mine you will get clean bathrooms. (And most people on a road trip use the bathroom at every stop, right?) Would you go to my gas station with a guarantee of clean bathrooms, or go someplace else?

Why not differentiate from everyone else and be known for something.

Orville Redenbacher said something that has stuck with me: "Do one thing and do it better than anyone else".

Does your name let customers what you do? What you stand for? Why they should call you?

How about these names: One Hour Plumbing, $3500 autos, Fix your PC cheap, White smile Dentist, Best Price Flooring. Can you think of any others?

How do you track your advertising?

When was the last time you went to Best Buy, Walmart, or Mc Donald's and said "I am here because I saw your advertising and it got me to come in"?

I had a client who told me after a month of advertising that his sales were up dramatically. However only half of them said they were here because of the TV commercial.

Instead of tracking your success that way, you should only track your advertising by the cash register!

Think about yourself, do you enjoy filling out those questionnaires? Do you always answer the truth? Do you say, yes I saw your yellow page ad 3 years ago, then a I heard your radio commercial last June, then I drove past a billboard a few months ago, and I also saw your TV commercial last week, then went to google, and then I called you!

Think about it.... That is probably the buying cycle of a lot of your customers. Which media gets the credit for that?

I am not saying this because I don't want to be held accountable by my clients for their advertising. Today more than ever we need to be accountable for results. I am just saying take a step back and think about what is more important: your customers saying your advertising is great, or the cash register ringing????

Track your advertising by immediate and long term sales with the cash register.

Spend at the level you want to be at

Insanity: doing the same thing over and over again and expecting different results. - Albert Einstein

I meet business owners who want to grow thier business to a very high level, but are unwilling to spend at the level they want to be at. Let me give you an example:

A car dealer spends $200 on average per car, on advertising to sell it. He is selling 50 cars a month, so his total advertising budget to move 50 cars a month is: $10,000.
His goal is to sell 75 cars a month. This goal is very attainable, however the client simply wants to grow without adding more money to the budget. If you want to be selling 75 cars a month you will need to spend $15,000. ($200 per car x 75 cars).
This is the same in many businesses, decide what you are spending NOW per each new customer and look at your goals. Spend at the level that you want to grow to.

• One note on this: Often you can lower your acquisition of a new customer through better creative and being more focused with your advertising dollar

You have heard the above quote already, but it does also relate to growing your business!

Advertise in a recession????

This is an article from a former colleague of mine. His name is Joe Kidinger and shares and writes similar articles to what I discuss. I thought this was important to share:

Advertising in a Recession

There’s a car dealer on the west side of the state. Yes, I said a car dealer. Ya know, that industry that has been slammed by this downturn in the economy. They have seven lines of new vehicles as well as used. They have the typical service and body shop you would see at any other dealership. Yet this dealership is special.
It’s special because the people who run this dealership have a drive and commitment that is rare in these turbulent times. Their commitment to service is top notch. I heard it myself when the president stood up in front of his leadership team in the beginning of 2009 and said, “We’re in for a rough road. We’re going to run leaner and better than ever before. I need you all to find ways to work leaner without sacrificing service. And though we’re looking for areas to cut, advertising will not be one of them.”
You see this company made a commitment to continue to tell customers about the savings they can expect with their tire program, the service they can expect from their technicians and the overall benefits of doing business with them. It’s true, sales were very tight the first half of the year. However, after three years of being 100% consistent with their message and media coverage, the bottom line began to rise and continues today.
If you’re ever in the La Crosse/Onalaska area, stop in at Dahl Automotive. They get it when it comes to focusing on the customer and their brand. By the way, they’ve recently added Mazda to their lineup and have expanded their downtown location. Perhaps nobody told them we’re in a recession!
Joe Kiedinger
ACTION PLAN: Do you have vision and perseverance? Now is the perfect time to gain market share. Contact me and I’ll help you.

The Guru of Ads

Here is a great resource for local TV advertisers. Don Fitzgibbons gives you 14 rules to follow for success with local TV clients. WATE is lucky to have his services. Take a look at the site, it also gives you examples of good and bad local commercials: http://www.guruofads.com/guruu/select.html

Andrew Edens added you as a friend on Facebook...

You may recognize the Headline, if so you are involved in Social Media.

I NEED AND WANT YOUR HELP

I am on Facebook, I have posted videos on YouTube, I just started a Twitter account. I see how it can be beneficial to make friends and keep in contact with friends and family.

However, I don't fully comprehend how to make it work for a local business. I have read articles and done some research, however I want to hear from you! Have you used any Social Marketing Media for your business, why or why not?
I will continue to learn more and someday speak knowledgeably to my clients about how to use it to increase business. Until that time I will ask for your real world opinions and do more research.

I know there are benefits to a business if it's done correctly and enough time is devoted to it.
Thanks for taking time and letting me know your thoughts.
Just click on the comments below and leave a comment, or email me directly at aedens@wate.com Thanks for your help!

It's about the small things

This is somewhat related to my recent posts.
I recently went to a new place to get my oil change. They informed me when I called that they top off all fluids as well as change oil and filter.

Long story short, I got my car back and looked at the windshield washer fluid was still at the same level it was when I dropped it off. (empty)

I realize it's a small thing and probably only costs 85 cents. However, as a consumer, I can see they didn't fill my fluid up, what else, that was more complicated didn't they do?
Yes, I called them and told them I was disappointed. They told me I could come back and get it filled up. I won't be doing that, more of my time and money to go back there to let them fix and issue that they should have done right away. They did not even apologize, just said I could come back in to fill it up. So instead of "sticking" it to them and making them put that 85 cents of fluid in, I am not going to give them my business (two vehicles) and I will probably not speak highly of them when talking to my family and friends. (potential customers)

Why do you care? Are you doing the small things that make a difference with your customers. When people get an oil change they expect to get their oil changed, however they don't expect to get their car vacuumed, or their dash wiped off. What would that cost the buisness to do that? However what kind of investment is that in that customers probability of returning? It's the small things that will keep you in the customers mind next time they or their friends need your services. Also if you do something wrong, say I am sorry, it is my fault, I screwed up. People don't take blame anymore, they simply pass it.

Social Media, is it right for YOUR BUISNESS?

Click on the title above to watch the short video:

Is Social Media a fad?

Or is it the biggest shift since the Industrial Revolution?

Welcome to the World of Socialnomics

No soup for you... WRONG

Yes, times are tough. Yes customers are very price conscious. Yes there are less customers than 3 years ago.

YES, there are things you can do to grow market share right now.

There are ways to increase business without cutting expenses.

Think hard about your business, what can you do, even quirky that will differentiate yourself from the competition and make your customer feel special.

I recently read an article about a couple that went to a new restaurant in town. It was a nice place, with decent food, and it was priced about right. So it was just another "place to eat." At the end of their meal the waitress brought them their check with a little To Go cup filled with soup.

The waitress said thanks for dining with us. This is one of our new soups, please let me know what you think about it" WOW!!!

What just happened:

1. The customer is now special- they feel involved in the restaurant
   
2. The customer will now experience your restaurant tomorrow when they eat the soup


3. The customer may even call or come back in to let them know about the soup rating


4. Everyone likes something free (remember that bad economy?)


5. This customer has now put your business in a different category than the others
   
   What can you do that will make your customers remember you, come back to you, and possibly talk positively about your business to others

Here are a few different/quirky/cheap ideas that I was told worked:

• put candy in your next order you ship
• 1/2 price oil change to your new customer - they will now come back and you will develop a relationship with someone - think about the long term profits for that $10 coupon
• Free Home Re-inspection for a Home inspector - come back for free after the repairs have been made to ensure they are done properly
• How about a free soda with every gas fill up? Where would you always fill up?
• Get a new customers phone number and call them the next day and thank them for giving you the opportunity to service them.... think about it, if someone did that to you, would you remember them the next time you need their services?

Lastly, a good rule to live by, which is always free: Under Promise...Over Deliver!

What is your Brand?

BRAND
It's a word that gets thrown around a lot in my business.
I truly think not everyone knows what their actual brand is. Your brand is not what you think or want it to be. It is what the public or your potential customers think of you.

For example: If you were to ask 100 people about ABC Pizza what would they say?
It's the first few things that people think about when they think of your company.
It's whether you have a good price, it's if your on time, it's your person who answers the phone, it's if they'd return to your business, plus 100 other things that they percieve of your business.

The one thing that you can control is how you interact with your customer.
Remember: If someone has a good experience with a business they will tell 2-3 people. Unfortunately, if they have a bad experience with a business they will tell 8-12 people.
Bad news carries a lot easier than good.
Treat people as they want to be treated!

A lesson in Branding, again...

I told you in a past post that stealing is not always a bad thing. http://knoxvillemarketing.blogspot.com/2009/05/steal-and-succeed.html

This is an article from Phil Bernstien's blog, who got the article from the Wall Street Journal:

Branding Still Has Value
June 28, 2009 ·

Branding’s gotten a bad rap lately. In an economy that has made marketing money increasingly difficult to come by, it’s not unreasonable to want a measurable return from every single dollar invested.
Because branding campaigns generally don’t have a measurable response mechanism — or even an offer to respond to — it’s easy to conclude that they don’t have any effect.
Sometimes they don’t.
And sometimes, a paragraph like this one jumps out of a Wall Street Journal article:
On a recent afternoon, at a supermarket in Chicago, Laura Gilligan confronted a salad-dressing aisle filled with dozens of varieties spread across two dozen brands. After staring for nearly a minute, Ms. Gilligan, a computer-company manager, chose Kraft Foods Inc.’s cucumber-tinged light ranch. “There’s too many choices,” she said. “I just went with Kraft because I know Kraft.”
What caused her to choose that dressing? It wasn’t a coupon, or a direct-mail pitch, or an email, or a pay-per-click ad. Kraft will never be able to figure out what “worked”.
And yet, something did. Faced with “dozens of varieties spread across two dozen brands”, shoppers often just grab something familiar and throw it into the cart.
What “worked” was the years, and dollars, that Kraft invested in building the Kraft brand.
This doesn’t mean that the direct-response advocates are wrong. But they aren’t completely right. Even in today’s economy, there’s real, tangible value in good branding.

A Wedding Commitment

I was thinking about a way to brag about my new marriage, and still make it marketing related.
Well.... I'll give it my best shot!
During the ceremony the Reverend said one line that has stuck with me since. He said "It's not about choosing the right partner, it's about being the right partner."
How this relates to marketing is: Think about one of your partnerships. If you know the other person in the partnership has faith, confidence, and wants you to succeed, won't that make you work that much harder for success?
It's that way with your advertising partner (your account executive). Your account executive wants your advertising to produce results and be successful. Have confidence and work together with your marketing partner to help ensure success. This is much better than trying to constantly threaten to cancel, look elsewhere for lower rates, or fire them for the next "hottest" thing out there. In contrast to my Reverend, there is something to be said about at least choosing a partner that does make sense for you, then working together with that partner on reaching your mutual goals.

PS. Nicole and I got married last weekend back in Wisconsin. Had a great outdoor wedding at my parents home. We are leaving for 7 day cruise in the Bahamas next week!!
Thanks to all the congratulations I have received thus far.

Glass Analogy for Advertisers

Most clients spend a little bit of money (water) in a lot of different places (glasses.)Of course there is a good reason for each one of these marketing glasses. Unfortunately, they are only putting a little bit of money (water) in each glass. This keeps you message “muffled” with the other 2,000 marketing messages seen daily.Clients have found if they take the money they have been putting in their 8-10 glasses and put it only 2-3 glasses the impact is soars. The reason for this is now you are “owning the audience” and being top of mind with the glasses that you are filling.The first dollars that you put into the glass do little. It is the last bit of water you put into your full glass that generates the most results!

Honesty is the Best Policy

The Truth Shall set you FREE!!! We have all heard this before. Let's look at from a Business Marketing stand point.
Too often as Advertising Sales Reps we let the client tell us what their commercial should look like and what shows they should be in.
When was the last time you had surgery and told the surgeon how they should cut you open?
Why wouldn't you do this??? Because they are a trained professional and they know what they are doing! Unfortunately, in advertising their are too many opinions as to the best way to do things.
As a Business Marketing professional if you let the client dictate the strategy of the commercial it will more than likely fail. And of course it will be your fault.
You are the one who's "butt's on the line", so tell the client what it will take for them to succeed with their marketing. If they choose to go another route, they will then know that it's now their plan. However I have found if you tell the business owner the truth, whether they want to hear it or not, they often choose to take your advice. They will then view you as a Marketing Professional, not just another person selling advertising.

Your homework:
Next time you have to give your advice, Give your professional advice without thinking about "what the client might think is right." You will feel better at the end of the day that you spoke the truth, and usually the client will respect you for it. If they don't you have to decide if that is someone you want to work with!

Steal and Succeed!

That headline might sound odd. However it is proven to be true time and time again.

Our company owns 10 stations throughout the US. Often there are ideas that are working well in other markets. Why re-invent the wheel. Steal an idea that has a track record of success. When producing a marketing plan, make sure you are searching for ideas from other markets in your category.

Some of my best ideas are not actually mine. My clients don't mind as long as it works!

Remember, Google was not the first, Yahoo was. However Google has proven to be better.

Who would of thought 5 years ago you would of said "Just google it it!"

Why you care: Anyone can sell you cheap commercials, only the best can bring proven ideas that will move the needle! Great ideas are... GREAT!

Go Big or Go Home!

If you are going to advertise, commit to it.

Don't throw a few dollars at it. Make an investment in your advertising.

If you just spend a little in a few areas, your voice will never be heard.

When you are advertising you must own the audience.

If your budget is smaller, narrow your focus.

Peter Drucker said "Focus is the key to economic success!"

Instead of advertising for two weeks a month, go to one week

If you are only doing a week, go to M-W or W-Sat.

When you are talking to your customers make sure you are speaking LOUD!

Bottom Line:

It is better to be top of mind with half instead of back of mind with all!

Who are you going to make mad today?

You can't please everyone, so don't try!

When thinking about about your creative message ask yourself:

Will this get the attention of my target market?

Will this push them to purchase from me?

You run the risk of being just of the other 2000 marketing messages your customer sees in a day if you worry about trying to please everyone.

Talk to your target market. Don't worry about upsetting someone who was not going to buy from you anyway.

Bottom line: If you try to be everything to everyone, you will be no one to everyone!

As Seen on TV

I assume you have seen this logo before.
Why is this image so powerful? The reason is because if you are on TV most people assume you must be credible and successful.

Simply by being on TV you earn instant credibility. This can be both good and bad.
Joe Schmoe could go on TV claiming to be the best carpenter, however he could be the worst, however people will initially assume he is reputable because they saw him on TV.
Heck, even this image alone is enough to open a store. You may have seen the numerous stores called "As Seen on TV Store"

Bottom line, TV adds credibility to your business. It's up to you to live up to the credibility!
Last question: When is the last time you saw "As seen in the NEWSPAPER, or As heard on the RADIO stores?

Cheaper is better.... Right?

What is cheaper?

A $20 commercial that doesn't work, OR a $100 commercial that does work?

More on this topic in the near future....

How do you track your advertising?

I have a tough job in advertising sales. (insert tears here) Nobody wants to buy advertising, and consumers don't like to say it works on them!

However I need to be accountable that my clients are getting good ROI.

The last time a business asked about how you heard about them, what did you tell them? Did you tell them that you saw them in the newspaper 8 months ago, then saw them on TV a few months ago, checked out there website a few weeks ago, and today you went to the yellow and picked their business instead of all the others from all of the previous contacts you have had with the business? Or did you simply say I got your # from the yellow pages?

As consumers we don't like to admit that advertising works on us, because we are all stronger than any creative commercial.

Your different advertising mediums should all benefit each other if you have similar messages. Your TV should benefit your direct mail, your website should benefit your newspaper.

The best way to track your advertising success is by the sound of your CASH REGISTER!

Advertise to Stimulate the Economy?

There's a reason that America is the largest consumer market in the world: It also happens to be the largest advertising market in the world. Advertising works -- and it has been proven again and again for over a century. Every successful business spends money on advertising, everything from public relations to TV to Internet-search advertising.
But today's businesses have responded to the economic crisis by radically cutting payrolls and other expenses, which includes advertising budgets. Click on title for link to article.

Speak like your customers

Make it easy for your customer to know who you are, what you do, and give them a good reason to spend their money with you!

A great example of this is a carpet store in Wisconsin. For years they ran sales at 99 cents a square foot to 2.99 a sq foot. That is carpet talk, not they way your customers talk.

They began to speak they way their customers talk. Instead of saying having another sale promoting a low sq ft price. They said 3 rooms for $800, installed by Thanksgiving.

This is brilliant for many reasons, customers know what 3 rooms are, they have a easy to understand price, and they know they can have it installed in their home by a certain date.

Results: They are opening their 5th location in this tight economy.

Why do you care: Make it easy for your customer to know that they should do business with you!

Forward Equity

Have you ever thought of marketing as an investment?
If not, your talking with the wrong investors.

You achieve this through:

• Stay consistent
• Stay consistent with a consistent message
• Make your message as effective as possible
• Talk to the right people
• Be known for something
• When your talking to your customers, talk LOUD
• Be top of mind with half, instead of back of mind with all
• Continually work on improving your marketing efforts
• If a promotion doesn't work one month, don't cancel the campaign, work on improving the seeds you have already planted
• Have a good gardener

When done properly your advertising should work better in month 4 as it does in month 2. If you believe me, imagine where could your business be in 8 months?

Stake a Claim... And OWN IT

Everyone wants to be known for everything, however trying to be everything to everyone, leaves you nobody to everybody.

(Did you follow that?)

Example: Name 3 shampoos?

Now name 1dandruff shampoo.

I assume that you said Head and Shoulders for the dandruff shampoo. (or it was a close #2)

Lesson: Instead of being the the 10th shampoo in a long list, Head and Shoulder branded themselves as the # 1 Dandruff Shampoo

Why do you care? Be known for something. If your a used car dealer, don't be the 25th used car dealer in Knoxville. Brand yourself as the Truck King, Import headquarters, or Conversion Van Dealer. This strategy will make you the 1st choice in that category.

What is your point of entry? What do your NEW customers come to you for, the first time?

Stake a Claim, and own it! Create your category and dominate!

Are you Water or Steam?

At 211 degrees, water is hot.

At 212 degrees, it boils.
And with boiling water, comes steam.

And with steam, you can power a locomotive.
One degree more = Exponential results

Are you at 211 or 212? I have always tried to live my life at the 212 mark.

I was speaking with a former manager recently about the power of differentiating yourself.

We discussed that the people and businesses who differentiate themselves in today's economy will have the greatest growth now and especially when the market turns around. And it will turn around!

What little thing have you done today to make a big difference with your customer?

Here is a link to a video:http://www.youtube.com/watch?v=FpJQqzJj534&feature=PlayList&p=6EFC8EC363487B06&index=0&playnext=1

Who are you Working With?

I can buy the same car at 10 different places in town. Unfortunately you can buy "TV spots" from 100 different people in town. Each one claiming to be the best!

I have worked for the #1 station in the market and also the #4 station in the market. Any station can work when it's done right. It is more about the Account Executive you work with instead of the Call letters of the TV station. There truly is a science and creative principles that should be used to build a successful campaign. It's unfortunate that not all Salespeople use these proven theories. It truly makes my job harder!

If you already have a good account executive you know that they can be much more than a "Salesperson", they can truly become a resource! If you don't have that trusted advertising resource in your portfolio, you should add one. Your business deserves it.

My clients eventually realize that my goal with them is to make ALL their marketing as efficient and effective as possible, not just TV.

So let me ask you again, is there a difference? The answer is YES!

l

What Recession?

The Man Who Sold Hotdogs

March 04 2009

There was a man who lived by the side of the road and sold hot dogs. He was hard of hearing so he had no radio. He had trouble with his eyes so he read no newspapers. But he sold good hot dogs. He put up signs on the highway telling how good they were. He stood on the side of the road and cried: ‘Buy a hot dog, mister?’ and people bought.
He increased his meat and bun orders. He bought a bigger stove to take care of his trade. He finally got his son home from college to help him out during break. But then something happened. His son said, ‘Father, haven’t you been listening to the radio? Haven’t you been reading the newspapers? There’s a big recession. The European situation is terrible. The domestic situation is worse.'

Whereupon the father thought, ‘Well, my son’s been to college, he reads the papers and he listens to the radio, and he ought to know.’ So the father cut down on his meat and bun orders, took down his advertising signs, and no longer bothered to stand out on the highway to sell his hot dogs as often. And his hot dog sales fell almost overnight. ‘You’re right, son,’ the father said to the boy, ‘we certainly are in the middle of a great recession.'

The above story was sent to me via e-mail and I love it! If you’re like me thinking, ‘I’m not participating in the recession,’ the only way you can truly live recession-free is to focus on what you can control. Don’t open your 401K envelopes, stop reading about it, and stop listening to it. Invest in yourself. When I think stock market vs. Andrew's business, I’m choosing Andrew's business. My return is bound to be far greater than the stock market in a great year.

I’m choosing to focus on what I can control. Who’s joining me?

What is your Marketing MPG?

Do you have symmetry in your advertising?

How effective is your marketing? Does your website match your TV commercial, does your radio match your billboards? A lot of businesses treat each differently. For all your marketing to have great m.p.g. they need to be in sync with each other.
Especially if you are using TV to run a particular promotion. When the customer goes to your website after they see your commercial, your home page should support the message that they just saw on TV.

Also,if you are running a particular promotion, make sure you have your entire staff on board. This will let them know what is going on, but more importantly it will make your employees feel like they are part of the team. This of will benefit the success of the promotion.
Another example of creating forward equity with your marketing!

Glass Analogy for local advertising

Most clients spend a little bit of money (water) in a lot of different places (glasses.)
Of course there is a good reason for each one of these marketing glasses. Unfortunately, they are only putting a little bit of money (water) in each glass. This keeps you message “muffled” with the other 2,000 marketing messages seen daily.

Clients have found if they take the money they have been putting in their 8-10 glasses and put it only 2-3 glasses the impact is soars. The reason for this is now you are “owning the audience” and being top of mind with the glasses that you are filling.
The first dollars that you put into the glass do little. It is the last bit of water you put into your full glass that generates the most results!

Focus is key to marketing success!