What’s Your Edge?

What’s Your Edge?

by | Oct 19, 2021 | Marketing and Advertising Insights, Sound ADvice, The Not-So-Secret Writings of ScLoHo

In the world of selling products and services, when all things are equal, the decision we use to determine who we purchase from is based on… perception! And that perception is, who’s better, who’s more trustworthy, and who’s more reliable!

In most cases, many businesses offer the same products or services that you offer. In these cases, standing for “something” and being “different” is what is needed to break the tie.

At this very moment, people have a need or a want to buy the products or services you sell. Their next decision is the all-important one. Where will they choose to buy, and why!

First, let’s be honest.  For a certain percentage of people, price is all that matters, and you may or may not even be in the conversation.  But when price isn’t the only criteria, that’s when you have a shot.  Will it come down to a relationship, an emotional connection created from strong advertising, or a past experience, good or bad?

The key is getting people to know you and your business and know about your business BEFORE they need the products or services you sell.

Developing your tiebreaker, a consistent business strategy you can use to differentiate your business in your advertising and marketing, can be a challenging task but well worth the effort. 

Once you’ve clearly established your competitive difference (strategy), your challenge is to develop a unique and memorable way to consistently highlight that competitive tiebreaker.

Remember, when all things are equal, the “buy” goes to… whoever has something that is perceived to be BETTER or DIFFERENT!

It’s imperative that you have a clear and compelling reason for consumers to choose you over your competitors. 

If you would like help in creating your unique difference, click here to receive our Ten Tiebreaking Strategies as thought-starters for this important exercise. If you would like additional help, contact me and we will help you conduct a creative brainstorming or storyboarding session.

A Lesson in Business from the Business of Baseball

A Lesson in Business from the Business of Baseball

by | Sep 22, 2021 | Marketing and Advertising Insights, Sound ADvice, The Not-So-Secret Writings of ScLoHo

Long before baseball was known as BIG business it was known as America’s favorite pastime! But the truth be told, it’s always been a business and some valuable lessons can be learned by looking at how a baseball organization is run.

As a fan, we look at baseball as pure entertainment. Behind the scenes, the owners and managers are meticulously trying the create the perfect team on the field and the perfect balance sheet in the office. It’s not just the team they put on the field that makes them successful. There is more to it, much more!

As you work each day to build a successful business, there are some lessons to be learned from the way a professional baseball team builds, creates, and even re-organizes its rosters.

As with baseball teams, businesses have owners, managers, assistant managers, players, and personnel. They also, intentionally, have a mix of veterans, rookies, and those somewhere in between.

When creating a roster, it’s more than just pure talent that they look at.  They look at personalities, and attitudes on and off the field as well. Regardless of the position, each player and person on the team plays a major role in the overall success of the team. The same rules apply when creating your roster of employees.

In the 10 Lessons from Baseball on Building a Successful Business, Lesson #4 is: Hiring or Identifying Specialty and Utility Players.  In today’s baseball, every team has specialty and utility players. Having employees on your team that specialize in one area or another can be very rewarding. Likewise, having a player/employee that can play several positions can pay huge dividends as well. While a utility player may not be an all-star player at any one position, it’s the player, or in a business’ case, the employee that can fill in in a pinch without missing a beat.

Lesson #8 is: Create Fans.  Fans just don’t happen, they’re created. Baseball players will tell you that it’s much easier to get hyped up when you have fans cheering you on.

Teams that have the best fans sell the most tickets, t-shirts, and logoed products. True fans are fans that cheer and promote the team, or your business, whether they are inside or outside the stadium.  Do you have a plan to create raving and vocal fans/customers that not only root for you when they need you, but will root for you between purchases as well?

The similarity between a professional baseball team and your business is that you want to create a team that attracts a lot of fans/customers that are so thrilled by your product(s) or service(s) that they not only come back time after time, but they bring friends with them.

The ultimate goal is not just to win, but to be successful on and off the field.

To see the 10 Lessons from Baseball on Building a Successful Business, click here.

A Bottle of Happiness

A Bottle of Happiness

by | Aug 18, 2021 | Marketing and Advertising Insights, Sound ADvice

Today, I’m going to share with you a story that began 135 years ago.

Coca-Cola taught the world to sing in perfect harmony and it also taught all of us some great marketing lessons!

On May 8th, 1886, Dr. John Pemberton sold his first glass of Coca-Cola at Jacobs Pharmacy in downtown Atlanta, Georgia.

Advertising has played a key role in Coke’s worldwide dominance since the beginning when John Pemberton invested $77 in advertising while he was only making a $50 profit. 

135 years later, Coke, as it is affectionately known, is served 1.9 million times every day, and remains one of the most recognized brands in the world.

After decades and multitudes of marketing campaigns, Coca-Cola remains consistent in communicating one very powerful and effective message, “Pleasure”, using two very powerful words, “Enjoy” and “Happiness”. A product that makes people, smile, laugh, sing, and brings pleasure to our daily lives, never goes out of style. 

A major reason for Coca-Cola’s success is the emphasis it places on the brand instead of the actual product. Coke rarely talks about the taste or ingredients, instead, it focuses on what the product does for you and to you. It doesn’t sell a drink in a bottle, it sells “happiness” in a bottle.

There are a number of marketing lessons local businesses can learn from Coca-Cola’s long history of marketing successes, as well as from their famous marketing blunder. 

One of the most important lessons is the value of targeting emotions with your advertising. Who doesn’t remember the emotional appeal of a multi-ethnic choir standing on the hilltop singing, “I’d like to teach the world to sing…it’s the real thing.” 

And what can be more nostalgic than the Christmas spirit…everyone has seen the mysterious Christmas gift-giver, Santa, drinking a bottle of Coca-Cola. 

Have you ever noticed the Coca-Cola bottler’s trucks are always clean and in excellent repair? They “walk the talk”. 

No Knee-Jerk Marketing – Remember the failure of New Coke, followed by the rapid return of Classic Coke? Coca-Cola blinked when a sweeter Pepsi product was winning the Pepsi challenge in blind taste tests. Coke overreacted by sweetening their New Coke to the dismay of loyal customers who wanted “the real thing”. 

The most successful marketers hold the course and do not overreact to competitors’ campaigns. 

Click here to get the 8 Coca-Cola Marketing Lessons you can use to grow your business. 
 
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Transactional vs Relational Customers

Transactional vs Relational Customers

by | Aug 4, 2021 | Marketing and Advertising Insights, Sound ADvice, The Not-So-Secret Writings of ScLoHo, WOWO Fort Wayne Radio Advertising with Scott Howard

One is more profitable. One is more needy. Both are important to the overall success of a business.  Understanding how to identify each type and how to turn transactional customers, when possible, into relational can be a huge boost to your business.

Every business has basically two types of customer profiles: 

1.) Transactional Customers
       – Only care about price
       – Have no brand or business loyalty
       – Demand more, but pay less
       – Consider themselves buying experts
       – Often return merchandise or complain about service when they discover the “cheapest” solution was not the best solution.

Warning:
Don’t confuse “traffic” with sales.  Because transactional customers contact you so often per purchase, their “traffic” can cause you to think the majority of your customers care only about price. Seldom is this the case. 

 2.) Relational Customers
       – Want a salesperson or expert they can trust
       – Need help and advice
       – Are more loyal to brands and businesses
       – Are less demanding and more profitable
       – Become repeat customers

Relational customers make fewer visits per purchase than transactional customers but generally account for a minimum of 50% of sales and more than 70% of profits.

The Bottom Line

We attract the kind of customers, relational or transactional, by design. If you would like to design a more profitable business and attract more relational customers, click here to see our Profitable Customer Marketing Checklist.

What I just shared with you arrived in a few hundred peoples email this morning. It’s this weeks edition of my Sound ADvice newsletter and you can have it delivered to your inbox too by filling out the info in the Sound ADvice newsletter box below.

Let me take a moment add a few more insights.  

All of us have a little bit of transactional and relational buying habits in us as consumers.  All depends on the item or service we are considering spending money on as to what our priorities are.  The problem I see that too many businesses don’t understand is that they think price is a higher priority than trust when we are spending money.

Several years ago, I was doing a Customer Needs Analysis with a HVAC dealer and he was talking about their quality and experience and all these great things that were relational.  But his marketing was focused on offering discounts and I asked him if he liked giving away money.  He was a little insulted until I challenged him to market his company the way he talked to me.  He was afraid to because his competition advertised price discounts and he was playing follow the leader.

I talked to another HVAC dealer and got them to minimize the discounts in their marketing and focus on trust and expertise. They took my advice and saw their sales double over time.

Want help figuring out how to market your business and you are in northeast Indiana?  Contact me.  I’ve been doing this successfully for years and am currently the General Sales Manager of WOWO radio.  My team and I will be glad to help.  Scott@WOWO.com is my email.

The Value of a Single Customer

The Value of a Single Customer

by | Jul 21, 2021 | Marketing and Advertising Insights, Sound ADvice

When a person walks through the doors of your business, in-person or online, and purchases something from you for the first time, at that moment, they become your customer, your patient, or your client.

The question is, what is the value of that individual to your business or practice?  Is it the amount of profit from this one-time purchase or, is it the potential lifetime value they create?

Most experts will tell you that the cost to acquire a new customer is ten times more than what it costs to keep them.

With that said, most successful business owners have a well thought out advertising plan, or at minimum, an advertising budget intended to acquire and attract “new” customers, but very few have a plan to keep their “current” customers, patients, or clients.

Since we agree that keeping them is far less expensive than acquiring them, understanding the true Lifetime Customer Value should be enough to persuade you to at least consider implementing a plan to keep them.

There are 4 factors we need to consider when calculating a “Lifetime Customer Value”:

1) Average profit per individual sale including upsells and add-ons

2) # of purchases per year

3) # of years they will remain a customer

4) Word-of-Mouth – average # of people they persuade to do business with you

Paid media advertising is the best way to acquire new customers. Word-of-Mouth advertising is the best way to multiply your customers, and over-the-top customer service is the best way to ensure your customers become repeat customers.

Understanding the “Lifetime Value” of your customers will inspire you to create a strategic plan to serve each customer with more passion.

Click here to get our Lifetime Customer Value Worksheet to help you calculate the LCV of your customers.
 
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Media or the Message

Media or the Message

by | Jul 14, 2021 | Marketing and Advertising Insights, Sound ADvice

In the never-ending maze of online media, on-air media, outdoor media, direct mail, and print media, business owners often ask, “Which media work best?” or, “Which media platforms will give me the highest return on my investment?”

If you ask an honest and knowledgeable media person, they will tell you that the media isn’t necessarily the most important criteria when it comes to effective marketing. The truth is, there are no media that will not produce results, there are only messages that do not produce results.

The next time you hear about a hugely successful ad campaign, look at the message. I can guarantee you it was profound and something other than the norm.  Seldom will it be the media, but rather the message, that created the results. Of course, the media must be scheduled appropriately, with the right combination of reach and frequency, but it is the relevance of the message that will make consumers respond to a campaign… on any media.

Former Katz Marketing Solutions President and one of America’s smartest marketing minds, Bob McCurdy says, “No medium is any more captivating or engaging than any other, as the effectiveness of any medium is largely determined by the quality of its commercial content. If the creative is weak and ineffective, the medium will be thought of as weak and ineffective”.

It’s understood that generating great creative is an art form but there’s some science behind it as well. McCurdy created 14 key creative insights derived from five years of Ipsos Research, spanning dozens of radio commercials and thousands of respondents.

Click here to receive McCurdy’s 14 Key Creative Insights to ensure that your marketing message achieves the results you desire.
 
What I just shared with you is from the Sound ADvice newsletter that I send out nearly every week, you can get it delivered free to your inbox by signing up in the box below.
 
I actually disagree with a couple of items that  Bob McCurdy says, but that’s only because of the experiences that I’ve witnessed with advertising partners on my radio station WOWO, in Fort Wayne, Indiana.
 
Some forms of media can be superior to others and can overcome a mediocre message.  Yes, I’m referring to WOWO with our news talk format, having local hosts and nearly a century on the air, WOWO has undergone tremendous changes over the decades but currently has the largest audience, by far of all 30 + radio stations according to the rating data I get each month.  More important than those facts are the benefits I see every month of our listeners becoming customers of our advertising partners and the WOWO connection often cements the deal.  Want more info? Contact me, Scott@@WOWO.com.