Monthly Archives: October 2012

Just how trustworthy are you really?

A friend and I were watching a football game on TV when a commercial came on for a paint retailer.  At the end of the commercial, my friend said “I don’t trust them for a minute. They don’t look or sound the part at all.” I started thinking about why some companies are trusted and others aren’t.  And so I’ll pose the question to you: in today’s marketplace, with people not wanting to be sold to but rather base their purchase decision on many other factors, is your company better off just selling products and services or selling trust along with your products?

One of the greatest demonstrations of selling trust came about years ago when Chrysler Corporation was being dragged back from the brink of extinction by its then CEO, Lee Iacocca. Chrysler was seen as having a flawed product and not to be trusted to build a good car. Lesser men would have resorted to selling at the cheapest price with giant discounts and 0% interest. They would have also gone down with the ship by making futile arguments about the features/benefits of the cars. Iacocca rejected this thinking and instead sold his personal guarantee…his promise…by saying “If you can find a better car, buy it.”

So then, what are the few key factors that will make your business such a trusted and relied-on presence in your customers’ lives that they will stay with you – and spend with you – for many, many years?

As I write this, virtually every advertiser, marketer and seller struggles in an un-trusting world. The public has very, very, scorched fingers and badly-bruised confidence. The temptation to overcome this mistrust with stronger product pitches, cheaper prices or deeply discounted fees – did I mention, cheaper prices – is enormous.  And dangerous. To do so worsens the fundamental problem of low trust and deprives you of the finances needed to effectively market at all.

Unfortunately, and we all see it in our personal and business lives, there are bunches of companies out there who are “hit and runners.”  They’re more in the business of getting customers to make sales rather than making sales to get customers. The first provides only income. The second provides income and equity. It’s sort of like the difference between dating and a long-term marriage. It’s about being there and having the other person’s back. That the other knows you care about them. That you find ways to stay interesting and relevant over the years. Sad but true, most marketers don’t really think about a long-term marriage with customers. They take it for granted or give it no importance. They’re focused on income not equity. Like you, I buy things from stores or service providers where not even a feeble attempt at creating an ongoing relationship is made. I think the thinking is “We did OK, he’ll be back.” Well, maybe and then again maybe not.

So, what can companies do from a marketing standpoint to start the process of building trust within the minds of their current and prospective customers?  Here are eight thought-starters:

  1. Be transparent in your marketing! Never promise anything you can’t follow through with! Don’t have a great offer but with a string attached that’s a deal breaker for most people.  Make it simple, straightforward and beneficial.
  2. Let customers know of organizations you are members of as well as awards/accomplishments your company has achieved. On your website, you can link to many of these organizations. A little bit of acknowledging someone else never hurts.
  3. Be involved with a worthwhile cause not because it might look good but because it’s important to help others. Find a cause that might be relevant to local needs (i.e collect old coats for the needy), or a cause that’s close to your heart (i.e. Special Olympics).
  4. Follow up with customers to make sure they are happy with your product or service. The worst thing that could happen would be for an unhappy customer to post a negative comment about your business transaction on Twitter, Facebook, Yelp, AngiesList, etc.
  5. Think creatively about what you can guarantee that will make you stand out. For example, tell customers you’ll return every inquiry within 12 hours or that all appointments will be met on-time. State some facts that distinguish you from the competition and fulfill them over and over again.
  6. Watch your language and avoid puffery. Your “state-of-the-art” new widget will not “revolutionize” business or “totally change” life as we know it. Consumers have seen and heard it all. You can also use humor to crack the trust wall so long as it’s on message and makes customers remember you.
  7. Treat employees the way you want them to interact with customers and you’ll be developing brand ambassadors. Everywhere employees go, they will talk up the benefits of your company.
  8. Be sure your marketing materials come across as authentic..not cheesy, cheap or full of clichés. Oh, and make sure that they look and sound better than your competitors’. People take their cues on whether to trust/do business with a company based on what the marketing/advertising looks like and where it’s placed. Don’t be penny wise and pound foolish.

So, while we as marketers understand that we’re in the business of helping drive revenue for the company among other challenges, let’s not lose track of the fact that it’s always easier to derive sales from an existing customer versus that of a new customer. And that only happens if they trust you. And they’ll only trust you if you look and act the part. Don’t have your company be a “poser”…you’ll be found out!

It’s the sizzle that sells the steak…not the cow.

by Rolf Gutknecht, Agent of Change (c) 2012

A friend of mine sent me a video by email last week that, as a marketer, I loved. It was one of those ‘old school’ videos featuring “America’s best salesman”…Elmer Wheeler, who’s message is as relevant and meaningful today as it was when he delivered in the 60’s. After watching it a number of times, and because of the subject matter, it made me think of an interesting way to look at what the brand experience is all about.

[youtube=http://www.youtube.com/watch?v=UW6HmQ1QVMw]

So here goes:

Imagine that you and your significant other decide to go to a well-known, fancy-schmancy steakhouse for a special night out dinner. Have that in your mind? Good. Now, picture another steakhouse of similar reputation. Both of the steakhouses prepare the same quality of steak but with one difference….. whereas the first restaurant makes a steak the way it’s supposed to be made (a thick clean cut, placed on the center of the plate) and presented with some tasty vegetables nicely positioned on the side and professionally put on the table, the second restaurant has a similar plate presentation but with no steak on it. Their steak gets delivered just a minute later on a hot stone tablet to your table…simmering and sizzling. The waitress presents the steak with elegance, and sprinkles some salt and pepper on top. While the aroma of the steak makes your mouth start to water and the sizzle gets your full attention, she begins to tell the story of the family who own the vineyard of the wine you selected. What a different brand experience that is! Same item, same quality, different way to engage the consumer. The difference isn’t about the steak but rather about the sizzle.

So why does the “sizzle” matter?

1. Anyone can make good steak

As we know, product or service quality is a fragile thing. No matter how many patents you have, how well you have integrated your supply chain and perfected your quality standards, no matter how much money you spend on R&D, anyone who really, really wants to go after you will eventually copy what you do or make and perhaps even perfect the product you so passionately protected.

2. The sizzle is a difficult thing to copy

Branding, brand equity and brand engagement are difficult to copy. They are strongly linked to your brand, and your brand alone. The depth of everything “surrounding” the product is complex, deep and interwoven with stories, emotions, associations, you name it…all those good things that make a brand unique!

3.      The sizzle adds the emotional layer

Back to the restaurant example: Guess what? People will come back for more. Not just for the steak, but for the feeling they get when they are IN that experience. Human beings thrive on emotions, and seek repeat of pleasure.

Now, I’m not suggesting for one minute to only focus on the sizzle. Without that good, juicy, perfectly cut and excellently cooked filet mignon steak there is no reason to add sizzle in the first place! The sizzle is the icing on the cake; without cake there is no need for the icing.

Selling the sizzle and not the steak is something good marketers have known since forever. Give your customers the meal that they desire…and they will come back for it time and time again.

Read before Burning – Ten Tidbits to Turnarounds

by Rolf Gutknecht, Agent of Change (c) 2012

I’m not sure about you, but in the deluge of emails that comes my way each and every day, it’s real easy start deleting them without even thinking about whether there’s content that might make my life and that of my clients easier and better. So, I stopped doing that about 6 months ago and now take the time to open each one and at the very least scan for interesting info. Maybe I’ll see something about trends, or research data, facts, or a tidbit about helpful hints. Without doing so, I’d miss out on stuff I should know about and, respectfully said, that’s probably the case with you as well.

Well, with your indulgence, I wanted to share with you 10 pieces of information that you may not be aware of which in turn will help you grow your business by seizing on untapped revenue-producing opportunities. So, here goes:

  • Recent stats released by Google show that 1 in 7 searches originate on a mobile device and of those, 1 in 3 are looking for a local business.  A report from IDC last spring forecasts that search traffic from mobile will surpass desktop and laptop based search in the next 2½ years.  With search and traffic trending toward mobile, what are you doing to ensure your online properties are constructed to support and look good on mobile devices? Opportunities could be lost otherwise.
  • Are you having trouble finding content for your blog and newsletters? Luckily, there is a host of free tools that can make finding content for your blog or email newsletter easier, regardless of the topic. But before you start using these tools, you’ll need a list of keywords related to your hot topics. The five free content sources that can inspire ideas for your email newsletters, blog posts, articles and other marketing materials are: 1) Google Alerts 2) Scoop.it 3) Alltop 4) Digg and 5) Delicious.
  •  Strategy = social media success. Research shows that organizations achieving the most success with social media are ones who select channels LAST. Instead, they formulate and follow a strategic plan, complete with objectives, target audiences, success metrics and more. Being everywhere is not the goal. Being effective at what you do is.
  • YouTube delivers more than entertainment. A well-executed YouTube strategy can actually drive business to your company and boost search engine optimization (SEO) efforts. As the world’s second largest search engine, YouTube is a smart option for extending your reach through a branded channel or sponsored advertisements (the ones that precede videos).
  • Email is the dominant digital communication channel of our day. According to ExactTarget’s 2012 Channel Preference Survey, email today is the channel they prefer for permission-based marketing messages. In fact, an overwhelming 77% of all consumers surveyed prefer to receive promotional messages from companies via email compared to 5% who prefer text messages and 4% who prefer Facebook. Today, if you want to drive retention and repeat usage, there isn’t a better way to do it than email.
  • Although affluent Americans are spending more time online and adopting mobile devices at an exponentially increasing rate, traditional media channels still have great reach among these estimated 59 million US adults with $100,000 in annual household income, according to an Ipsos MediaCT survey released in September 2012. And when it comes to ad receptiveness, the largest proportion of affluents surveyed said they were most receptive to ads on TV, followed by magazines and newspapers.
  • According to  eMarketer, tablet penetration will reach 29.1 percent of Internet users by the end of 2012. And according to another research study, tablets’ share of website traffic is on track to exceed the traffic of smartphones by early next year. Importantly for marketers, tablet consumers over-index among affluents: 60% of tablet users live in households with annual incomes of $75,000 or more.
  • The rise of mobile shopping has been a bit of a double-edged sword for some marketers, especially retailers. With shoppers able to comparison-shop on their smartphones while standing in the aisles, there’s been a troubling rise in “showrooming,” the consumer practice of checking out products in store, then buying the cheapest one online. The two biggest challenges brick-and-mortar retailers face are getting traffic and then converting the traffic into a sale. Customer loyalty programs and manufacturer supported/paid-for in-store merchandising are on the rise. Due to the competitive environment, retailers are likely to lean harder on manufacturers.
  • Baby Boomers make up approximately 40% of consumer demand and companies who see this audience as a big source of revenue are still relying on — and growing media budgets for — “old school” channels like newspapers, television and outdoor.  Online usage with the group is growing but “old” is still king.
  • Based on the results of Exhibit Surveys, Inc. Annual Trade Show Trends report,  81% of trade show attendees in 2011 had the power to make a purchasing decision or influence the purchasing decision and 35% of attendees reported that their intent to buy was more favorable after visiting an impactful company’s exhibit.  This means that for businesses that exhibit, the value of attending trade shows lies not only in meeting decision makers or influencers in the buying process but also in building brand loyalty and brand awareness.

As I said, it’s easy to delete a bunch of good information that comes your way because of time constraints, being short staffed or being overwhelmed with email after email.  But this is all good information that I received and looked over before I hit the delete key.  If you’ve read this far, you’ve made the same thoughtful decision as well.

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