Archive for November, 2008

Should I take my high street sports shop and put it online?

Tuesday, November 25th, 2008

I would have a more fundamental question to ask – What is the unique, completely obvious reason for me to purchase from your website over any of the thousands of sports websites that exist?  If the reason is not due to the unique nature of the products and services you offer, then the web is not going to work for you. 

You will never out Amazon – Amazon! Product information, cost comparisons, customer comments helping my selection, fast delivery and ease of use are all expected and all well tended to by thousands of UK and Irish sports stores.  If you are not in a very specialist field with something that makes your business unique then go no further. 

The unlimited real estate and shelf space of the internet means that commodity products are sold based on price and comparisons from store-to-store are only a click away.  Your High Street shop offers locals convenience and trust.  These competitive advantages disappear online when selling Nike or O’Neills, where thousands of other users have posted their honest opinion.

If, however, you are selling your own brand of high quality top-line shin guards, custom gum shields with my team motif printed on it or are the sole stockist of a desirable running sock in the British Isles, then you do have a reason to trade online and have a very good reason to take blogs user contributed comments very seriously.

Getting a reputation on the internet among the specialist community you serve is the only way to make a profitable online retail business.  Opening up your inventory to others will also help spread the word.  Letting users compare your products with the competition and coming out favourably will help you build this competitive advantage and eventually lead to vast increases in sales.  Getting someone else to say how good your products are is ultimately 10 times more powerful than any ad you can place.

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When gut instinct is wrong…

Thursday, November 20th, 2008

As we continue to panic about the end of the good times, one of the first things we cut is the marketing budget.  Nature would suggest this is the correct thing to do;your gut instinct is to conserve resources and wait for brighter times.

However the hard times we are currently experiencing are a smart entrepreneurs dream!  The hum of competitor marketing departments has been dimmed; media outlets are willing to deal and if you understand that marketing is a perpetual activity that needs to be maintained in good times and bad, then seize this opportunity.

We believe, because we are focused upon conservation, that no-one is willing to listen, plan or even look to the future.  However, most successful businesses are doing just this!  They are using this lull in activity to make plans for next year and the year after.   I admit there are many smaller businesses struggling to make ends meet, but if your customers are larger businesses or normal consumers, then now is the time to get their attention be on their radar for when spending starts to pick up.  All it takes is a little risk and good planning!

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Email list rental, whom should I go to and how much should I pay?

Tuesday, November 18th, 2008

I have a very clear-cut opinion on list rental.  Don’t do it, regardless of the legal or ethical situation and no matter what the list renter says! 

Put yourself in the position of the recipient; pretend for a moment that it’s you.  How many times have you signed up to an email newsfeed and deliberately clicked a box stating “your email address will be sold to others so expect to get inundated with unsolicited email – do you accept?”  It simply doesn’t happen; you never give your consent to receive interruption messages from sources you don’t know.  If it doesn’t happen to you, why do you think others would give such permission? 

The result is that those that have inadvertently managed to get onto “opt-in” email marketing lists, spend their time filtering and ignoring your message.  In many cases those you are trying to interrupt feel negative and disrespected by your brand.  If a recipient didn’t ask to hear from your organisation, it is simply considered as spam!

Permission marketing is based around respect and understanding the recipients needs, with the full understanding that permission does not transfer. It is better to talk to 50 people that want to listen to your message than 50,000 that don’t.  And if you are really lucky and manage to get someone’s consent, the moment you disrespect him or her, they are gone – opted-out. Permission marketing is not easy, but it can be extremely powerful.

The secret is to build your own list.  Create a devoted following of customers and potential customers.  Give them something of interest in your newsletter; make it informative, funny, quirky and memorable, then watch your opt-in list grow.   No doubt it will take time and no doubt it will not be easy, but the business that is derived from talking to people that want to listen will substantially outweigh the business you would ever get from shouting at people that don’t want to hear.

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Why is my charity website not making money?

Friday, November 14th, 2008

Many not-for-profits treat their online marketing in much the same way as their offline – attracting patrons, asking them for a donation, and then – when the time feels right – asking them for another one using direct mail and email marketing.

Email marketing is a low-cost, easy way for not-for-profits to expand their reach to patrons and increase their donations. With this in mind, many NFPs have the somewhat simplistic view that all they need is a shiny new website and a bunch of people to target.

The reality, however, is that this method is neither scalable nor cost-effective. Online marketing is the most cluttered marketing environment in the world, so getting noticed requires more than just knocking doors.  It requires taking a unique approach which is different to that of your competitors.

Take, for example, the charity Kiva.org.  Instead of asking for straight donations, Kiva.org connects donors with entrepreneurs in the third world who need help with a particular project. When the fund target is reached, the entrepreneur gets his donation – which might, for example, be used to purchase farm machinery. The donor gets weekly updates by email as to how the entrepreneur’s business is doing.  Eventually, if the business takes off, the donor gets paid back – enabling them to invest in another project, should they wish.

This web site, started in 2002, is run by 11 people and now receives over £10m of donations every year. How is this so successful, you may ask?  The answer is that is it different – it connects with people, who tell others about it and so on.

My advice is not to try to compete online with a traditional message – your voice is not strong enough. Your challenge is to make your online message different so, like Kiva.org, you need to change your message to give people something to talk about. And guess what – they will!

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It’s not about you, what’s in it for me?

Friday, November 14th, 2008

We all believe that because we have something positive happening to us in our business, others will want to share in that happiness. The reality, however, is somewhat different.

Your email marketing message is not only competing with your nearest traditional competitor, but with low cost airline offers, credit card statements … and even the odd viral joke.

Truth be told, unless you have something that connects with me and is a compelling or quirky read, I don’t have time for you!

The answer is to find stories that engage with the audience.  Try asking your sales force what big question your customers keep asking and use that as your first story.

Create a link with your audience by connecting the second story (even if it is about your new product) with something topical in the news; say recession or high oil prices.  Perhaps your product can save us money in these hard times?

Finally, end with a story that is quirky and shows a human side to your business, like an interview with a member of staff or someone that people talk to on the phone but never get to meet.

The key is to connect with your audience and remember when creating your content it’s not about you, it’s what is in it for me!

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Marketing in Hard Times

Thursday, November 6th, 2008

It is easy to market online for almost no cost, assuming you have bags of time, patience and ability to write something that is interesting to the community you serve.

There are three key components to getting yourself noticed and talked about on the internet: email marketing, search engine optimisation and pay-per-click advertising. Each has their own merits but none of them offer a sure shot approach to winning orders and closing business.  More vitally, none of them work without determination and playing the long game.

The first thing you need to recognise is that unlike traditional media, the internet is not built to help you reach the masses quickly.  It has no way of interrupting people and asking them for attention in the way TV, newspapers and radio can.  However if you have a community of customers, partners and likeminded followers that are willing to give you consent to talk to them (i.e. opt-in for your email newsletters) then you have an audience that will hang on your every word.  Assuming your content is worth talking about; they will spread the word, forward the email and recommend you to fellow colleagues.  This word-of-mouth phenomenon does not occur within traditional mass marketing.  How many times have you been forwarded a radio ad?  Building up a following will undoubtedly increase business, just remember only preach to those that want to listen and let them carry your story to others.  Email marketing can cost a few pence when done on a small scale but have a massive impact.

Pay-per-click advertising (such as Google Adwords) is magnificent in joining up the searcher with the sought.  It connects you with someone looking for your services and ensures that only quality sales opportunities are landing on your web site.  Assuming your web site strategy is strong, your content compelling and the call-to-action clear, this should result in a strong sales lead.  And best of all, you are only paying to talk to those that are interested as only ads that are clicked are charged to your account.   If your budget is low, then start on more obscure terms or try restricting by geography.  No point in connecting with someone in Glasgow if you only deliver as far as Glengormley.

Natural search engine optimisation (SEO) is always a good way of getting new sales leads.  The difficultly behind SEO of this kind is unlike pay-per-click, it is neither instant nor guaranteed.  The best sites with the most compelling content typically rise to the top of Google.  These are the sites that most people link to, comment on and make reference to.  If your site has this kind of dynamic and interesting content, over time it will rise naturally and recognition and top 10 listing will come your way.  Outsourcing this function can be done, but not on a limited budget.

My top tips are: Build an audience by asking for their opt-in consent.  Email them with information rich, life enhancing comment that helps them, not you.  Be forthright in your comments, even controversial, just don’t be humdrum or recycle something you found on a newswire.  Create a targeted Google Adwords campaign with monthly budget and finally publish strong material on your web site and blog to help expose your commercial knowhow and eventually improve your listing on the search engines.

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