Author Archives: freelancetheconsultantsdiary

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What Business Are You Really In?

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Every business starts with a proposal to deliver certain products or services to those would be their customers.  The business model encompasses operations processes,  sales distribution and early stage marketing messages.  But over time,  the business owner or marketing team must achieve a more sophisticated knowledge of target customers and use that understanding to advance from exclusively dwelling on the functional aspects of items sold and the obvious benefits.

Successful products or services become  “brands”  by marketing the intangible essence that is associated with what they sell.  Brands connect with an unspoken motive of the customer and promote reputation,  image and aspirations.  Luxury brands like Neiman Marcus,  Chanel and Jaguar sell the image of wealth and status.  Nike sells the image of the focused,  independent,  athletic ideal self.  Puma,  another athletic shoe company,  avoids the athletic angle and sells urban cool along with their sneakers and other apparel.  Harvard Business School professor Theodore Levitt  (1925 – 2006)  described this phenomenon and its implications in  “Marketing Myopia” ,  his seminal article that in 1960 appeared in the Harvard Business Review.

Brands rise above being mere purveyors of products and services,  otherwise known as commodities.   Getting a handle on the  “je ne sais quoi”  unspoken  mission of your products or services as perceived by customers is the only way to achieve break-out success.  Delivering high-quality products and services via the optimal business model is how to build a following and earn a good reputation.  Being known as trustworthy and dependable are integral elements of building a brand.  But it is only the beginning.  Consider this: a film studio does not function to merely make and promote movies.  A film studio’s real business is entertainment.

So let’s figure out how to learn what business you are really in.  Why not start by teasing out the motives for doing business with you rather than a competitor?  Were you lucky or well-connected enough to persuade a powerful person to do business with you?  Does the coolest kid in class wear the clothing you sell?  The recommendations of thought leaders and other trusted sources are worth their weight in gold.  If a VIP gives you an assignment,  others will want to emulate that VIP and do business with you,  too.  Overwhelmingly,  people are followers and want to be seen where the  “in” crowd goes.

Keep that tendency in mind as you peel back another layer and decode the self-identity of your target customer and the image that your archetypal customer wants to project.  Get your arms around the social or professional impact of your products or services.  Who do your customers aspire to be,  whom do they emulate or identify with?  What is the underlying purpose of your product or service?

When you can decipher and describe the above,  you will discover the business you are really in.   Apply that knowledge and create marketing messages that resonate;  advertising choices that deliver the desired ROI;  design product packaging that customers respond to;  institute a pricing strategy that reflects the perceived value of your products and services;  and write a tag line that reflects the self-image,  aspirations and/or unspoken motives of your archetypal customers.

FYI here is a 1975 version of Theodore Levitt’s classic article  “Marketing Myopia”  http://www.sitesuite.com.au/files/marketingmyopia.pdf

Thanks for reading,

Kim

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Howdy, Partner!

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It is said that two heads are better than one and that is often true.  When two people join forces to work on an important goal,  expertise and resources are shared and the goal is reached more quickly.  Moreover,  there is someone available to help make decisions,  someone to vent frustrations and celebrate victories with.  Human beings are social animals.  Most of us have an intimate partner in our life,  or would like one.   Many aspiring business owners and entrepreneurs would like to have a partner in their enterprise,  as well.

A life or business partner can bring many advantages to a relationship,  or can bring disaster.   Most business partnerships fail and nearly 50% of marriages end in divorce.  Your marriage partner and your business partner must each be chosen with care and an eye to the future.  Opposites may attract,  but they are usually unsustainable affairs.  Shared values,  goals,  priorities,  expectations,  vision for the enterprise and complementary skills are the ties that bind.

Before you start talking partnership with your presumed intended,  catalogue the resources that the business needs to reach and sustain profitability.  Consider what you are willing to give up to obtain those resources.  If you need start-up or expansion capital,  approaching a lending institution may be the best strategy.  If your financial projections indicate that business revenues generated will allow you to repay the borrowed money within 5 years and also your credit is good,  talk to your accountant and banker and figure out a loan strategy.  If specific expertise is what the business needs,  then write-up job specs and hire employees.

If money is the primary issue and you prefer to finance privately,  then some form of partnership is your money-raising strategy.  Calculate the optimal amount of capital investment required and ask your accountant or business attorney to estimate how much ownership you will likely have to relinquish to your investing partner.   If it appears that you cannot afford to keep at least 51%,   then consider taking on two partners and giving yourself controlling interest.  Never split 50 – 50,  to avoid becoming deadlocked on important decisions.  In my business plan writing workshop,  I emphasize that you have to know yourself when you’re in business.  Think objectively about how much of a presence of others in your business you can tolerate.  Your personality type may lead you to seek a limited or silent partner arrangement,  a partner who mostly wants to make money and believes in your ability to operate the business wisely.

However,  you may conclude that you need a general partner,  one who makes both a monetary investment and contributes expertise and business acumen.   You will then have to accept that there is more than one way to view challenges,  opportunities and risks and that decision-making will be shared.   Those realities are always big adjustments for the founding partner.  Additionally,  you and the partner must carve out your respective roles and responsibilities in the business.  Be sure also to address the amount of time the partner plans to contribute weekly.  Can you live with that?  The division of labor must be established and written into the partner agreement.   Check also the presumed partner’s financial history.   Do not form a partnership with one who carries heavy debt.

Finally,  include an exit strategy in the partner agreement.  Sometimes things don’t work out and someone wants out.  Protect the business and yourself with a partner buy-out option and provisions for the divorce,  illness,  or death of a partner.  Make sure you don’t wind up in business with an ex-spouse,  surviving spouse,  or the partner’s children.

Thanks for reading,

Kim

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ID Your Target Customers

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Step One in evaluating the prospects of a business venture requires that you know who is likely to become a customer.  Here are 8 smart questions that will help you gauge whether you have a viable target market for your enterprise:

1.  Who will pay a premium price for my products or services?

  • Investigate how much business those who would be your closest competitors are doing and learn what motivates their customers to do business with them and find also pricing info,  if possible.
  • Assess your competitive advantages: do you possess a  “secret sauce”  that will make customers do business regularly and pay a little more?
  • Assess the value of your personal brand: who will do business with you because they value what you represent and do?

2.  Who has already done business with me?

  •  If your business is up and running,  growing your business often means persuading those who are already customers to do more business with you.  Which upgrades and extras to your service line might your current customers buy?
  • Speak with customers you know well and ask what adjustments in service,  features or delivery system would make their lives easier.
  • Design a survey and send it out to your mailing list and also add to your website and social media,  so that you can get more opinions and validate the findings of the customer Q & A.
  • Beta test new products and services with current customers,  to gauge their acceptance and refine the concept,  packaging,  marketing message,  delivery system,  price point, etc.

3.  Am I overestimating potential demand for my products and services?

  • Hire a marketing research firm to run a focus group to estimate the size of the market for your product or service.
  • Smaller budget holders should refer to numbers 1 and 2 and figure out how much business competitors are doing and if applicable,   ask current customers which new offerings would be useful to their organizations.

4.  Am I assuming that everyone values what I value?

  • Reality test your take on the priorities of your target market by asking them,  in face to face meetings or via surveys.  Read industry blogs to confirm how customers use similar products and services.
  • Find the thought leaders and listen to what they say about the need for what you plan to sell.  Without revealing your motive,  you can write in and ask questions.

5.  Does my business model match my target customers?

  • The business model is the blueprint for positioning your venture to make a profit.
  •  The ideal customer groups for your products and services must receive the right marketing message in the right way.  Products and services must be sold in the right way at the right price,  using the method of payment that customers expect.
  •  Design a business model that inspires trust and confidence and is user-friendly convenient.

6.  Who are my main competitors and how did they get started?

  • Study three or four close competitors and learn the back story of the founders.  What competitive advantages do they possess?
  • How long have those competitors been in business and what may have changed,  or remained constant,  in the business environment that allowed them to find success?
  • Define critical success factors for your venture.

7.  How will potential customers and I find each other?

  • Hair dressers,  manicurists and employees of consulting firms have the great advantage of being able to steal future clients from their former employers.  If you are employed in the industry in which you plan to open a business,  start now to strengthen relationships with those customers who might jump ship and go with you.
  • Learn how to reach your target customers.  Which organizations do they join,   which conferences do they attend,  which blogs or newsletters do they read,  does social media for business resonate with them and where should you advertise.

8.  Do you see opportunities to expand your target market?

  •  Eventually, it will become necessary to find ways to expand your business either vertically or horizontally. Stay abreast of happenings in the industry and maintain good communications with your customers to understand what you might offer in the future.
  • Can you create a niche market or two by tweaking what you have,  or offering it under another name and advertising in different media?

Thanks for reading,

Kim

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Cash-Flow Woes and Antidotes

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Lucky you.  Your sales pitch to prospects is working and clients are stacked up like planes landing at O’Hare.  Receivables are numerous and the balance sheet rocks.  So how can it be that you almost didn’t make payroll  (again)?  How can you come up short on cash,  with all the business you’ve created?

Like so many business owners,  especially those who are new or who suddenly acquire a competitive advantage that creates a tidal wave of business,  you did not recognize the signs that a cash-flow crash was impending,  regardless of how much money was scheduled to flow into your coffers.  You placed your primary focus on creating business (which is vital),  but neglected to monitor the ebb and flow of revenues and expenses (which are vital).  Every business owner must keep an eye on the money ball and take corrective actions as needed,  if we want to keep the business alive and thriving because quite perversely,  as sales go up,  cash can go down.

Here is one example of how a cash-flow crash might happen.   As business expands,  staying on top of accounts receivable becomes more time-consuming.  Those in service businesses  (like website design or public relations) may find that clients,  oftentimes larger businesses whose names we crave for our client list,  may unilaterally decide to pay receivables in 60 days,  instead of 30 days.   Meanwhile,  you have payroll,  office rent,  phone bills,  auto insurance and numerous other operating expenses that are due somewhere between right now and 30 days.

Another cause of cash-flow crashes is improper pricing.  You may sell a ton of T-shirts but if the profit margin is too thin,  you’ll find that excellent sales volume as demonstrated by number of items sold does not overcome an inadequate mark-up.  Revenues generated will not cover expenses.  It will be necessary to either acquire the product less expensively,  or raise the price.

A growing business brings up still more issues that keep its owner awake at night: capital expenditures.  You will need to decide whether or not and when  (or not)  to upgrade office equipment,  open a new office or move to larger quarters,  or hire more workers to keep up with the growing number of customers.

Fail to invest in capacity and you leave money on the table,  plus dissatisfied customers who are likely to kill you on social media.  Get fooled by the romantic delusion of further growth,  invest in demand that never materializes and you are stuck with potentially crippling debt that can bankrupt the business.

That is quite the dilemma and only the best fortune-teller can give the right answer.  John Terry,  of Churchill Terry business advisers in Dallas, TX,  recommends that the business owner focus on one question only when evaluating the possibility of making large capital investments:  will it bring money in the door?  If not,  find a less expensive alternative or learn to make do without it.  Successful business owners learn to preserve and protect liquidity.  Here is an effective antidote:

  • Hire a savvy bookkeeper or accountant to function as the business controller ( full or part-time)
  • Each week,  collect the data on key financial indicators: accounts payable,  accounts receivable,  available cash and the quick ratio (cash + receivables / current liabilities + payables) to monitor that all-important liquidity
  • Each month,  collect the data on these indicators: accounts receivable turnover ratio (how long does it take to get paid?),  the operating cash-flow ratio (cash-flow from operations / current liabilities)  and the pre-tax net profit margin

It is imperative that you are able to pay obligations when they are due and for that you need cash in hand.  Analyze the above indicators weekly and monthly and learn what is really happening behind the scenes of your business.  Track the available cash trends over time.

Seasonal variations may become evident.   You may have to step up collections of receivables or approach certain clients about speeding up payments.  You may have to request more money up-front before taking on certain projects,  so money will come in faster.  You may need to trim expenses.  You may need to raise prices.  The decision of whether to invest in capital upgrades will become clearer.

There are software programs that will track important data and help business owners resolve problems and set priorities.  Accounts receivable,  cash,  inventory and liquidity can be monitored,  along with confirmation on whether the business is on target to meet budget and revenue goals.  For those businesses that get a lot of repeat business,  it is also possible to track the profitability margins of key clients.

Thanks for reading,

Kim

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The 5 Minute Sales Call

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I am writing on Valentine’s Day and I confess that I believe in love at first sight.  It does not always happen but sometimes,  one or both members of the couple  “know”  that the other is someone special and that the relationship is probably destined to be significant.   Some claim that they knew almost immediately that they would marry a particular person and that in fact the marriage took place  (I know three such couples).

Business relationships can follow the same pattern.  One or both parties may sense very early in preliminary discussions that there is great potential in the relationship or conversely,  that it is likely there will be no future.  Create some good luck for yourself by making a good first impression and making the most of your first five minutes with a prospective client.  Success lies at the intersection of good fortune and preparation.

Minute 1   Grab attention

Create  “verbal packaging”  that portrays your product or service as relevant to prospective clients.  Communicating the relevance of what you sell comes from knowing what clients value about your offerings and deftly articulating those benefits for prospects as you describe why,  where,  when and how to use your product or service.   If you’ve had time to prepare,  then do your homework to get a good sense of that individual’s business and construct a personalized pitch.  Your product/service must solve a problem or create a competitive advantage.

Minute 2   Talk details

If your prospect either admits that what you sell is needed,  or at least continues to listen with interest,  then ask a few questions to find out where you stand.  Is there a specific and immediate problem or goal?  What is the time-table? Float solutions that your product/service will provide.  This stage allows the prospect to visualize the process and outcomes of doing business with you.

Minute 3   Propose solutions

Explain further the solutions that your product/service will provide and persuade the prospect to define the goal or problem if that has not been done so already.

Minute 4   Establish timeline

Lay out a road map for implementing your solution and completing the sale.  Define the operational processes that will be followed to put your product/service in motion.  Now the client will know that he/she must agree,  or decline,  to proceed.

Minute 5   Close sale

Tell the prospect what has to happen to enable the sale.  Confirm that you have a sale   (“Are you ready to move forward with this and when would you like to start? You would like the project to be completed by what date?”).  Offer to send a contract or confirmation email to lay out the steps,  the timeline and project milestones.  Confirm the project budget and negotiate/agree on the project fee  (or hourly rate),  the amount of money that must be paid to you before you begin working and when future payments will become due.   Confirm payment options.   Say thank you and shake hands with your new client!

Thanks for reading,

Kim

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Highlights of The Social Business Benchmark Study of 2013

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Last year Leader Networks,  a Boston area consulting firm that specializes in B2B social media and the global not-for-profit think tank Society for New Communications Research,  teamed up to conduct a comprehensive and global study of the usage of social media for B2B interaction.  Fifty-five mostly for-profit organizations of various sizes participated.  The study examined the following topics:

  • How organizations are currently leveraging social business efforts
  • The use of social media tools,  internally and externally
  • The readiness of organizations to utilize social media tools
  • Intentions of social business strategy
  • Social media marketing strategy and the ability to leverage and operate same as social business initiatives

Companies studied were mostly present on LinkedIn,  Twitter,  YouTube,  Facebook,  Google+ and their company-sponsored blog,  in that order.  The study distinguished between social media marketing,  which it defined as the use of social media platforms for marketing and social business,  defined as using customer information gleaned from social media marketing to enable more efficient and effective decisions,  actions and outcomes within the organization.  The study also developed a continuum of social media use:

  • Socially Familiar- organization is present on at least one platform and has policy guidelines;  the organization is experimenting to learn what works
  • Socially Present- organization has minimal or limited social media staffing, strategies,  or policy guidelines;  brand advancement forms the core of information communicated
  • Socially Enabled- social media platforms form the basis of customer outreach;  moderate to significant levels of budget,  staffing,  policy guidelines and strategies are in place and utilized optimally
  • Socially Integrated- organization has significant use of the above indicators;  communication is two-way,  with much customer engagement;  information gleaned is incorporated across the organization

Companies usually approach social media involvement through a few Socially Familiar staff members who experiment with various platforms to figure out what works best for company objectives.  After about 3 – 6 months,  those staff members will present their findings to direct-report management and request approval to advance to the next level.   At the Socially Present stage,  selected social media platforms are used to broadcast brand awareness messages and marketing campaign information.  Communication is primarily one-way.   This period usually lasts 6 – 24 months.

At the Socially Enabled stage,  communication is primarily two-way and information is deemed actionable.  Social media staff gather and disseminate information from social media communications deep within the organization,  where it impacts R & D,  customer service,  technical support,  marketing campaign strategies,  sales distribution choices and other functions.   Social media may play a role in nurturing relationships with organizational partners and suppliers.  Tangible social media ROI is recognized.  The final stage,  Socially Integrated,  is only rarely achieved at this point.  In fact,  this stage may not fit the objectives of most businesses.

Insights brought forth from the study were what one would expect.  C-suites executives are rapidly accepting the inevitability of social media and budgets are being made available to support staffing,  which is based in marketing departments.  Social media strategies are being developed and social media guidelines are being drafted (by legal departments).  Brand reinforcement,  rather than customer engagement,  is the primary goal of B2B social media strategies at this time,  but lead generation (sales departments),  R & D and customer service (operations departments) are emerging as important players.  Linking the social media strategy to business needs and performance metrics to measure ROI is becoming more common.

Nevertheless,   in most cases,  funding for social media initiatives remains low.   More than 50%  of respondents reported that their companies spent 5%  or less of their IT budgets on enabling social media platform tools.  23%  reported that their organizations had no plans to spend on social media.

Thanks for reading,

Kim

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Doing It Better: Operational Efficiency = Competitive Advantage

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Many of you may know that I teach business plan writing.  I will begin another session of my three-part  (total six hours)  workshop series  “Become Your Own Boss: Effective Business Plan Writing”  at Boston Center for Adult Education on Wednesdays February 5, 12 & 19 5:30 PM – 7:30 PM  http://bcae.org class ID # 10573.  

I recently upgraded the operations segment of the workshop because like too many business plan resource providers,  insufficient attention was paid to those issues.  For example,  the business plan template displayed on the Small Business Association website does not include an operations segment.  Operations is an important element of every business plan and business,   including those organizations that sell intangible services.  The inclusion of an operations segment to my business plan writing workshop is a quality control/operations upgrade that allows me to better  meet or exceed client expectations and gives me a competitive advantage.

What do we mean by operations?  Operations is the process by which the items we sell,  whether products or services,  tangible or intangible,  are obtained or produced and made available for sale.  The operations component of a business plan  (and operations departments)  accounts for a wide variety of responsibilities,  including distribution of the product or service to the marketplace  (sharing that responsibility with sales; operations oversees shipping and handling);  inventory management;  quality control;  maintenance of the place of business;  maintenance of business equipment;  workplace safety;  and risk management (sharing that responsibility with finance;  operations oversees aspects other than financial).   A business model includes elements of operations and marketing functions.

Recently,  I suggested to a client a way to use social media to create an operational efficiency that will result in a competitive advantage for her business.  Outreach made by her staff to targeted populations will soon become faster and the number of potentially successful contacts will increase,  as the time and cost of doing so will decrease.  The organization will more easily and inexpensively meet or exceed its clients’ expectations.  This new operational efficiency can be promoted to prospective clients in the talking points of a sales pitch and used as a means to bring in more business.

It is to a Freelance consultant’s advantage to learn how to create operational efficiencies and provide services of the greatest value faster and less expensively.  The time and money saved can be used to directly increase revenue and/or promote the business.  The operational efficiency that I created as I became more experienced and proficient in writing these weekly blog posts caused me to receive the paid opportunity of editing a colleague’s monthly newsletter.

Operations processes are different for every category of business,  so I cannot give specific recommendations of how to create efficiencies within your venture.   Overall,  be mindful of how you source  materials for products that you manufacture,  the wholesale costs of  items that you sell at retail,  or what you pay for supplies.  As your business grows,  look for ways to buy in volume so that you can minimize the cost of goods sold.  Look also for ways to cut production time of products or services that you create and always strive to provide a product or service that meets or exceeds customer expectations.

Thanks for reading,

Kim

Business Strategy , 2 Comments

Plan B: The Pivot

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By now you have reviewed your 2013 numbers and you know how you feel about the results.  If your revenue has been less than stellar for two or more consecutive years,   it’s time to think seriously about how to respond more effectively to the business environment that you face.  You need to create a Plan B and pivot.

Or maybe your numbers were more than respectable,  but because you are a savvy business person you know to look three years down the road and follow the advice of hockey immortal Wayne Gretzky and skate not to where the puck has been,  but to where it’s going to be.  Scanning the horizon for potentially lucrative opportunities and a pivot is always a good idea for those in business.

To pivot is to tweak your business model in response to current or impending business conditions,  good or bad.  To increase the chance that you will successfully tweak your business model and pull off a good pivot,  planning is imperative.  Market research and reality  (i.e. market)  testing of what you think will work form the basis of your pivot plan.  Start with an analysis of which clients hired you and the projects you were asked to do.  Your successful pivot could entail expanding your outreach to those clients.  What other services can you provide to them and how might you persuade them to upgrade what they hired you to do previously? Also,  how can you obtain repeat business this year,  so that you can introduce the upgrade?

Conduct some informal market research and develop a pivot strategy.   You might get clues about which of your products and services clients value most,  services you might expand and upgrade,  or additional services you can develop and sell by reading blogs and newsletters followed by those in the industries that hire you.   Invite a favorite client out to lunch or coffee and ask about organizational initiatives or industry hot buttons.   I think you can afford to be frank and let the client know that you enjoy working with him/her and that you wonder how else you might be of service.   Don’t be shy! You need information to set up a marketing test so that you can identify the Plan B to pivot into,  along with a marketing message to announce and sell it.

Alan Spoon,  general partner at the Boston office of Polaris Venture Partners,  recommends that you closely study your customers’ broader behaviors around the use of your products and services.  Your research should help you address these questions:

  • What do I do that is perceived by clients as distinctly valuable and could potentially be extended to other client needs?
  •  Are there products and services that can have an ongoing use and thus extend billing beyond the initial project?

Thanks for reading,

Kim

Marketing , , Leave a comment

Big Data and Small Business Marketing

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Let’s start with the definition.  When the term  “big data”  is used,  what does it really mean?  Jon Miller,  co-founder and CEO of Marketo,  calls big data a catch-all term for very large and complex data sets that exceed the processing capabilities of the typical available computer software.  In general,  big data refers to the compilation of everything that takes place over the internet: transcripts from Twitter comments or call center conversations,  online videos,  podcast uploads and visits,  webinar broadcasts,   all blog postings,   all website visits,  all credit card transactions,  all ATM activity,  all online purchases,  online advertisements,   downloads of music and uploads of photos.

As regards marketing,  big data refers to all information that details retail sales,  online sales,  market share,  website visits,  blog reads from your website,  newsletter reads from your website,  responses to online customer surveys,  online response to special offers and online advertising,  plus all marketplace and industry data about global,  national and regional  business conditions.

Whatever it is you need to know about customers,  the industry and the business conditions in which you operate is buried within big data.  But in the avalanche of information,   deciding which data to access and interpreting what is brought forth is the marketer’s challenge.  Determining the right questions to ask is the primary imperative,   as the late great management guru Peter Drucker pointed out.

If you want to use big data in your marketing plan,  then  propose questions that will elicit the answers you need to fine-tune your marketing mix.  Maybe you’d like to become more effective in converting website visitors into customers?  A list of the names of prospects who visited your website,  spent more than one minute reading your blog or newsletter,  forwarded the post to someone and and then tweeted some content about what he/she found to others would indicate a serious shopper for your products or services.  Big data can help predict which marketing activities are most likely to convert a prospect who has reached that level of engagement.

Google Analytics can reveal part of the game plan,  but only big data can get seriously granular.  For example,  algorithm-based predictions can forecast the expected impact of marketing campaign activity on those who surf your website,  indicating who should receive special offers via email or who should be invited to join a focus group.  Algorithm-based predictions can also forecast the likely impact of marketing activity on the next quarter’s,  or next four quarters’ revenue.

Based on what is learned through big data,  the marketer can make much more specific and informed decisions about target or niche markets that have the most sales potential,  strategies to build brand awareness and loyalty,  advertising choices and budgets for targeted media outlets,   social media choices that create the most buzz and the ROI of that buzz and the marketing message that drives sales.  Who will be your best customers,   why will they be your best customers,   what is the average amount of money the customer will spend in your business,  how loyal is the customer to your brand,  what types of advertising does the customer respond to best,  what kind of social media does the customer respond to best and will those customers create good word of mouth  (still the best form of advertising)  for your business?

So how can small businesses and Freelance solopreneurs access big data?  It can be done by hiring a marketing firm that we most likely cannot afford.  At this time,  big data usage will be the playground of big businesses.   If it’s any consolation,  marketing firms are still trying to get arms around big data themselves.  For now,  traditional marketing analytics will have to suffice for the 99%.

Traditional marketing analytics are useful and certain data we already own: bricks & mortar sales data,  online sales data,  seasonal sales variations,  customer zip codes,  popular service packages,  pricing and the number of Foursquare,  Facebook,  LinkedIn and Twitter followers,  for example.  Market testing is expected to remain a vital part of developing a marketing strategy,   even when big data is used.  Business owners and marketers will continue to measure the impact of promotional strategies employed.  Finally, whether big data or marketing analytics are used when devising a marketing plan,  proposing the right questions,   as Peter Drucker advised,  is where one starts.

Thanks for reading,

Kim

Survival Strategies , , , , 1 Comment

Cosi Fan Tutte: Uber Achievers

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Hello again and welcome back to the list of suggested behaviors and activities that will help you achieve your 2014 wish list.  For the past three years I presented New Year’s Resolutions but this year,  you get to pick what you want to do.  I’m here to help you get what you want!  To do that,  I read up on motivational psychologist and Associate Director of the Motivation Science Center at Columbia University School of Business Heidi Grant Halvorson,  who writes for The Harvard Business Review.  Dr. Grant Halvorson is a highly successful professional,  but unlike many charmed individuals,  it is safe to say that she knows how she became,  and remains,  successful.   Here are the final four elements of her 201 1 e-book,  Nine Things Successful People Do Differently:

VI.   KEEP ON KEEPING ON: Be willing to commit to long-term goals and persevere in the face of difficulty.  Studies show that those who are able to put shoulder to the wheel and push through adversity obtain more education in their lifetime and earn higher grade point averages in school.  To help yourself along,  plan specific actions that when followed will bring you to your goal.  Devise a timeline for your action plan,  monitor the efficacy of strategies and reward yourself when important milestones are reached.

VII.  BUILD WILLPOWER MUSCLES: Our self-control muscle is like any other of our muscles.  When we don’t use it,  it eventually atrophies.  Use it or lose it! Give your willpower muscle a good workout by taking on small challenges that compel you to do something that perhaps you’d rather not,  e.g. taking on a home cleaning and organizing project.  Establish must-start and must-complete dates and then commit to them.   If you find yourself wavering and making excuses to put off the project—don’t!  Flex your willpower muscle and do some heavy lifting.  As you develop inner strength,  also known as self-discipline,  you’ll ready yourself to take on bigger challenges and achieve more life-changing goals.  It’s like training for a marathon by starting with 5K races.

VIII. DON’T TEMPT FATE: No matter how strong your willpower becomes,  it is important to always respect the inevitable fact that human beings have limits.  If you over-reach,  you’ll run out of steam or out of luck.  Avoid taking on more than one major challenge at a time if you can help it.  Do not be over-confident and bite off more than you can chew by setting obviously unattainable goals.  Successful people instinctively know what is in the realm of the possible and refrain from setting themselves up for failure.

IX.  FOCUS ON WHAT YOU WILL DO: …and not on what you will not do.  Research on thought suppression shows that trying to avoid a thought has the opposite effect and makes that thought grow larger in our minds.  The same holds true for behaviors.  By trying not to engage in a bad habit,  like smoking or eating junk food,  the habit becomes strengthened instead of broken.  Instead,  turn your thoughts toward implementing strategies that will bring you to your goal.

I hope that reading Dr. Grant Halvorson’s  Nine Things  helps you to acknowledge what you’ve been doing right all along.   As well,  I hope you’re able to identify the mistakes that have undermined you and that going forward,  you will develop successful strategies that pave the way to your most important goals.  Have a wonderful year.

Thanks for reading,

Kim