Monday, March 28, 2011

Behavioral Target Marketing or A/B Testing – A Head Scratcher

I just read an article that pitted these two tactics against each other and asked which was better.
I scratched my head on this one. Why forego either?
If I’ve learned anything in my 20+ years of marketing, operations and management (which I view very connected, btw) it is that ‘getting it right’ is like peeling an onion. And if you can, you peel two or three layers at once and see where your highest gain is.
Example: If I had both options  behavioral marketing and A/B testing available to me, I’d use both!  Many times with clients I will recommend a tactic and they automatically assume (and most state) that I am ruling out other tactics. The truth is that couldn’t be further from the truth!
When I’ve done campaigns with behavioral data available to me, I still do an A/B test to a small, but statistically relevant group before I launch the campaign. Why use one tactic when you can test, use both tactics and identify the winner?
To get the very best ROI for my clients or company, I want to make sure that when I “pull the trigger” with the big gun (the campaign budget) that I am confident that I have identified the very best strategy. I want to yield the highest return that I can and this can be an area to navigate with some clients or management folks.
Unless you’ve used all forms of marketing (online and offline), selecting one tactic for the desired outcome is risky. Plus, depending upon your product or service, you may truly need an integrated approach to completely ‘touch’ all of your prospects. Many times, one size does not fit all.
I love having behavioral data at my fingertips. However, you will not find the golden key that unlocks the door to all of your customers. You will find identifiers which can help you with imaging, placement, messaging and more, but you should try at least an A/B test of differing approaches that fit within the characteristics of the behavioral data and see which one wins.  If you get a true front runner, that’s your winner and launch your campaign with the winner. Sometimes though you will find the results similar and this tells you that you’ve hit good messaging and look back to the responders and see what differs between the A responders to the B responders and then peel your data back one more layer and separate the “A type” from the “B type”.
For example, let’s say you find that the A responders were in a different geo target than the B responders. It would be silly to hit both geo areas with the same media. By testing behavioral data, you can enhance the data and thereby increase intelligence to the data for further campaigns.  

Tuesday, March 22, 2011

Social Marketing - Not as Easy as it Sounds - Guest Blog From a Savvy Social Marketer - Darya Bushmakin

Social marketing is not as easy as it sounds. Most small to mid-size business owners can benefit from social marketing, but most do not really understand what is involved with it. Many think social marketing means creating a Facebook account and then waiting for the customers to seek you out. It does not happen that way at all. Social marketing involves building relationships with the right group of consumers. There is no step by step process that will work for every business when it comes to social marketing. As every business is different, every target consumer group is different. Finding the right group to socially market to is not easy. The path is not a straight line from A to B. This explains why so many people who try social marketing on their own get so discouraged.
Thankfully, there are experts in social marketing to make the journey much easier and more beneficial. The problem is many business owners think they can tackle social marketing on their own. Why hire an expert when one can create a Facebook and Twitter or any page for that matter on their own, at no cost? The answer to that question is very similar to the question, why hire an accountant? You hire an expert in the field because they are an expert. They know things you do not know. Just as the accountant knows the current tax law and where to get the best write-offs, a social marketing expert knows how to create a comprehensive marketing strategy. They know how to find the clients you are looking for. They understand how to keep these customers engaged in your company. Just finding the customers won’t do anything for business if these customers are not socially engaged and converting to customers.
Social marketing does not happen overnight. While hiring an expert may seem like an unnecessary expense to you, try and remind yourself that you need to spend money to make money. Do not think you can hire someone for a month, sales will go through the roof, and then you can just take over where the professional left off. (Again, referring this business function to the accountant, you wouldn’t take over your book keeping or tax preparation after a month of accounting services, right?!) It takes time and effort for social marketing to work the way it is meant to work.
One example I can give you is a client who had a set monthly budget and after several months was starting to reap the rewards. In this case, it was being asked to write and or speak on her topic of expertise. Once the success happened, she drastically reduced her social marketing budget. Almost in an instant her website visits went from the thousands to zero – yes—zero! This is the best example I can give you as to why you should use a professional for social media and why it should remain a line item in your marketing budget permanently.

Wednesday, March 16, 2011

CMOO – Fad or Fabulous?


Why add another “O” to an executive title or in some cases add an executive to the team? Doesn’t this seem like a fad or a way to add self importance, or God forbid, a way to fatten a probable over inflated or over worked executive team? Here’s my take.
Whether you add an “O” or merely acknowledge that there is a need for Marketing and Operations to be synchronized, on the same page, or at least talk and plan together is what is important. The point is that the two are interconnected to achieve success.
I know from my personal experience that when I am in a Marketing role and I mention that I managed a 150,000+ sq. ft warehouse with over 1,000 skus plus a mail house operation, I immediately get more respect and cooperation from the Operations people because they know “I get it”. I know what it is like to manage the project from a time, resource, equipment and budget standpoint. Yes, I know how to drive a forklift and I can stuff envelopes too (when the auto-stuffer is broken!).
One of my ex-college professors at UCLA teaches that organizations behave the way in which they are structured. The theory is that there has to be a fair level of balanced power. This thinking, although I have experienced it WAY TOO many times, reminds me of our human pettiness. “I’m a Director and you are a Manager so what I say goes.” This type of mentality, albeit efficient on the battle field, has outgrown its usefulness in today’s web-like matrix organizations. Now, don’t get me wrong, as our dear past president would say, you need a “deciderer” ;) and that is a given, but the dialogue, planning and creativity is best when everyone contributes. Some of the best ideas and solutions that I have been the “deciderer” on (LOVE saying that—tee hee) have sprung from the insight of an administrative assistant or receptionist! Yup, I said, “an administrative assistant or receptionist”.
It makes sense when you think about it. Their role often involves listening, observing and learning the idiosyncrasies of different people. In other words, they see, hear and know a lot. Any time I go into a new situation, I make fast friends with the receptionist. You’d be amazed with the info I have procured prior to a client meeting, interview or pitch. They are a fountain of information on corporate culture, individual worker’s preferences and are usually on a first name basis with the CEO. (I wrote about this in an earlier post advising people to ‘always be nice to the receptionist’.
Now back to the “O” dilemma. I haven’t seen it work well when the Marketing Head reports into Operations – say a COO. Usually great ideas are laid to bed when the COO hears of the cost, complications, etc. This is especially true in lean organizations where the COO also has finance report into her/him. In situations where the CMO and the COO are equal, it generally falls to the “deciderer” to either pick a “winner” or dilute the plan with compromises that make the plan far less zealous than originally planned.
By creating the CMOO position, it is a huge nod to marketing folks that they need to be intimately knowledgeable with the operational aspects of implementing their grand marketing scheme. I cannot tell you how many operational people roll their eyes when they are told that they are being brought into a launch for a ‘new marketing program’. (The “launch?” They should have been brought into the brainstorming session!) These meetings usually end in a disaster or the campaign suffers because the marketing people didn’t even give implementation of their grand idea a thought and inevitably, it is either too costly or too timely to implement as they designed it. 
So, I guess, I vote “yes” on the extra “O”. If for no other reason than it creates an educational, if not at a minimum, an understanding that successful marketing MUST HAVE successful operational support and process integrated into the campaign. With the cohesion of Marketing and Operations, working shoulder to shoulder (or brain to brain) there is a much higher probability that a hard hitting, ROI driven, timely and effective campaign can be launched without any huge surprises or the dreaded words, “that can’t be done”.
So, a word of advice to those marketers who are not in an organization where marketing and operations are thought of as close family relatives, take your counterpart in operations out to lunch. And, at lunch, tell them what you are thinking about doing and ask them, “how (or would) that work?” Not only will you learn something, but you’ll gain a friend and maybe some support. You might even gain a friendly hand when you’re deep in trouble trying to accomplish something for the company or a client in an unreasonable timeline that has been dictated to you.
This post is dedicated to all of those amazing operational friends who taught me so much and saved my “bacon” many times when I was in a pinch as a marketer.   


Thursday, February 24, 2011

Interactive, Integrated, blah, blah, blah - What's Your ROI?


I just read an article that was completely a reiteration of a conversation I had with a colleague yesterday. The topic was Buzz words and the misuse of marketing terminology.
Now, buzz words have always been around and some of us have even been paid to create them. Many of us spent hours in our early careers memorizing them so that we’d sound “smart” and “in the know” in conference rooms and during presentations.
However lately, I find myself thinking like Dr. Phil! He has a saying when guests (patients?!) on his show try to make their issue complex. He says something to the effect of, “Well, I’m just an ol’ country boy from Texas,” and then he goes on and describes in very plain English everything he learned in his many years spent earning a PhD. , doing Post Doctorate work and maintaining a practice for many years.
Well, I went to school. In fact I went to a very prestigious one in Southern California and I have worked for some of the largest marketing firms in the country. I have “made rain” for some very big international clients, but when it comes right down to it, I guess, ”I’m just a simple girl from a small town in California and I know BS when I see it and I usually call it out.”
So, I’m calling B.S. on two very incorrect perceptions pervasive in business today. I have a major passion for marketing. And technology has provided wonderful enhancements and time saving techniques to it. However, I am finding that business people have two very misconstrued philosophies about it. One is that they seem to think that marketing is now “free” because everything is just done online. And the other is that “integrated” marketing = online marketing (and online marketing is free). Let me tackle those fallacies one by one.
Online Marketing is “free”…. I kid you not, I have seen budgets from reputable companies and in the line item for Online Marketing it has zero dollars appropriated to the activity. Zero? Really? What about the person who has to develop (think about and decide upon) an online campaign? What about the person who has to design (requires graphics and usually some html coding experience) online collateral? What about the person who has to create (think and then write) a “buzz worthy” blog entry or press release that will catch attention? Then what about list costs (in-house or purchased), keyword costs, CPA, CPM, et al? I could go on but I think you get the point  - Online Marketing IS NOT FREE!
Integrated Marketing….Many articles/blogs (blogs is the buzz word for articles ;) ) that I read and almost every position posting with Integrated Marketing in the title is really talking about Online Marketing.  Online Marketing is an important factor in a well rounded marketing program but it is not the description of an Integrated Marketing approach. People that think that it is have thrown the baby out with the bath water. A good description that was used (an understood) for many years to describe a holistic marketing approach was “Marketing Mix”.  Now, “mix” isn’t as fancy as “integrated”, but people understood it better. What it meant was that your marketing budget (which was not a zero!) was dispensed amongst many marketing activities like, advertising (on/off line) PR (social media marketing), events, direct mail , print, partnerships (now called affiliate marketing), inbound/outbound TM, etc., etc., etc.
I have seen some large and older companies continue to utilize a marketing mix, but many newer online companies seem to think that integration means  hitting all of the online forms of marketing only. It is not.  There is too much noise online for any company to put all of its eggs in one basket. Yes, I’ll admit there is the one in a million that takes off like wildfire, but millions don’t. And, it is sad to see many of the millions fold as they have good ideas, good products and good services, but they don’t have good marketing. Good marketing comes from knowing your target and then developing as many ways as you possibly can to “hit” them with why they must have your widget.
I caution all marketers to take heed as these misconceptions greatly dilute the intelligence, skill, creativity, education and experience required to pull off a successful campaign with a high and measurable ROI. Although, maybe we should just leave it as it is and inflate our ROI since the cost to market is free!?!

Friday, February 18, 2011

Ms. Susan Mussard = Determination

This blog was always meant to be about business matters, but a loss has caused me to correlate my professional life with my personal life.
The topic is determination.
One of my recent postings was about a businesswoman on the verge of losing her dream, her last 20 years’ passion and her livelihood. Instead of giving up and walking away, she did some very important things:
1.       She set a resolve to make a change
2.       She took corrective action to affect change
3.       She made personal sacrifice to achieve her goal
4.       She worked VERY HARD and she relied heavily on determination to succeed
In the eve of February 14, 2011 another strong and determined woman with a beautiful soul and an infectious laugh (more like a rolling giggle) passed away in her sleep. Ironically, I had been IMing with her on FB that evening. She said she was having a hard time typing as she was in bed but she would write me an email the next day. I told her that I loved her and I blew her the “online kiss”, MWA. I never received the email the next day as she had passed in her sleep. I’m so glad that I told her that I love her. And, I don’t know what made me IM her on FB that night because I rarely use the feature, but I am so glad that I did.
This wasn’t just ANY woman, she was my sister-in-law Susan Mussard. She was “Aunt Susie” to my daughters. At birth, there were errors on the part of the hospital staff with her mother and it is highly suspected that this is why she was born disabled. The disability was serious. Most parents who have a child like this institutionalize them. Her parents did not. She was treated no differently than any of her other three siblings and she developed a determination that was unstoppable.
Her disability was very visible and very audible and yet, she excelled in K-12 (and yes, she was in a regular public school – not a school for the disabled). She then went on to college and graduated and performed her duties to receive her teaching credential. She suffered through taunts and bullying because of her disability. In college, a man from a country where women are not treated very well, pushed her down a grassy knoll and told her that “people like her were killed at birth because they are a drain on society”. Well, through determination, this courageous woman proved him (and all those who felt similarly but didn’t say it aloud) wrong. She went on to be a teacher. And she didn’t choose teaching children at an accepting age. In my opinion, she chose the worst age of loud mouthed, insecure but show- offy aged children – middle schoolers.
She endured the looks of the students as they entered her classroom on the first day of school. She heard the snide remarks and snickers. And, with determination and the pride to back it up she would give each incoming class the same message. It went something like this:
“I’m fat. I talk funny. I move awkwardly and I walk with difficulty. Yet, I will not be disrespected by any of you in my classroom. So if you feel that you cannot look past my disability and learn from me what I can teach you, then you have my permission to walk out the door now and go to the principal’s office and get  transferred out of my class.”
To the best of my knowledge in over 20 years of teaching, she never had one student leave. She was assigned to teach them English (and I’m certain she would correct my writing as we speak!) but the most important things that she taught them were about self-respect and determination. You see, Susan never let anything hold her back and her determination to succeed and do the thing that she loved won her a State Teacher of the Year Award and so much more.
Some of those same middle schooler  grew up, went to college, got married and lived their own lives. But if any of them heard that Susan was stuck in her apartment because the snow was too deep for her  to get to work, those kids were there to shovel her out. She had every reason to call in “snowed out” --yet off to work she went.
Determination -Self Respect - Respect for Others is what Ms. Susan Mussard lived and taught her students. They, like I, loved her and she will be greatly missed.
In these difficult times of strife and worries, I hope that some of you will recall this posting about a disabled woman with a lot going against her. Yet, she lived her life with determination and although she is gone, we can all learn from her and we can live our own lives with determination to do what we love and when the opportunity presents itself, share this story with others.     

Another Guest Post - Meet More People by Reno Levinson

All,

This is a real treat. Reno is sharing this blog with us as a teaser to his forthcoming book.

I think many small and large businesses have lost the importance of this business tactic.

Enjoy!

Mary

Meet More People 

Most small businesses derive the majority of their clients from within a 10 mile radius of their location. Even if you're an online business (with very few exceptions) there are prospects just outside your door. Face-to-face networking is the perfect way to build important relationships in a short period of time. You can build rapport and communicate more information in a 20 minute face-to-face contact then you could over a month's worth of emails and social networking with the same person.  The stumbling block with face-to-face networking is that it requires you to physically go someplace and present yourself to one or more people. For many people this is a great effort. Where do I go? Who should I talk to? Is it worth it?

Go to a chamber of commerce meeting, school event, sporting event or any place where people are gathering. If it is a big event don't try to meet everyone, pick out a few people and have a meaningful interaction. One thing I have found about networking is that it is almost always worth it, if you do it well, this typically entails being genuine. Be yourself. Be friendly and be helpful. Ask questions of people you meet and be sure to walk away with an idea of how you might help them. In the course of conversation when you have a chance to speak about your business try to tell a story or share an anecdote about how your product or service helped a client. You might say, "This week one of my clients asked me if I could help him with ... it was perfect because we do that sort of thing all the time." The facts of your business in the context of a story are easier to remember than a series of random facts.

When you conclude your visit, your final words should be, "I'll send you that article; I'll be sure to introduce you to him; or I'll forward that information". If this is your final comment it confirms you were asking questions; looking to be helpful and plan to follow up.  

Be sure to hand a business card to everyone you meet and with whom you have had some social interaction. This reinforces who you are, your name, your business name and your contact information. Never try to sell your product or service at a networking or social event. Certainly tell people what you do but save the sales presentation for another time.

A successful networking event is walking away having met one or more people you know something about who may be a good prospect or resource. They should know something about you, have your contact information, and be in a position to consider your service or recommend you to someone. This done, you have successfully expanded your network.

Reno Lovison has a marketing company specializing in the production of video for the web. He is the author of “Turn Your Business Card Into Business.”
www.businesscardtobusiness.com