Diamonds are a business owner's best friend

Listening to the advertising in the run up to the holidays got me thinking about all those diamond ads.  You know them, don't just judge a diamond for its weight or size (carats), be sure it has the right balance for you (or your girlfriend/wife) - you know, the 4 Cs. 

So as a marketing nerd, I thought about how this could relate to marketing, an easy to digest way to think of how to position and speak about your company.  Think of how your company and brand are reflected through these few words and how you can deliver something that's just as irresistible.

 Cut

I think of it more like the pirate phrase - the 'cut of your jib'.  You can think of it as 'personality'.  Take a look at your company from the outside, and try to see how well you can answer these questions: What is the personality or brand for your business or service?  Do you cater to a higher end clientele, or are you more Main Street retail?  How is your business positioned to stand out from the background of others offering the same or similar products or services?  what is the Promise you deliver to your customers so they connect with you (great service, prices, insight, etc)?

Your business should be 'cut' in a way to clearly convey the value of your company's brand.  If it doesn't, it may suffer from being too dull to stand out.

Clarity

Think about how clear your messaging is to your customers and future customers.  Is it easy for someone outside your business to understand what it is you do and what you are offering? Can they understand how to connect with you and how you are 'like' them?  Do you suffer by trying to be too much of an everything and end up being a nothing?

I often work with companies that want to be a premium retail brand but want to also get out to the masses on the cheap - like using Valueads or some other market saturation product.  If you have a premium brand, know thy customer, and spend the time and effort to go to them, otherwise your brand may suffer.  Think too how you offer discounts, work your business messaging (don't change too quickly form one campaign to another).

V8 Juice can help with explaining market clarity:  They are clearly known for being a healthful drink, full of vegetables, a product of the Campbell's Soup Company.  When they first went to market with their fruit drinks, the customers' response was unanimous: "Yuck - fruit and Vegetables together?"  The V8 brand couldn't shake their vegetable past, and any move from it was unclear to customers.  Since, the company has spent a small fortune to build the FUSION brand to sell smoothies in bottles - which ironically have the consistency of their vegetable juice.

Color

Does your business have a consistent use of color?  Color is an important consideration for business brands and connecting with customers.  Ever notice how almost each rental car company is a different color (Hertz-Yellow, Avis-Red, National & Enterprise-Green, Alamo, Budget & Thrifty - Blue).  In a crowded, commoditized market, color is usually one of the most important drivers to connecting with customers.   

Whatever your industry, having a consistent color scheme defined as part of your brand will help to reinforce your messages and advertising.  Don't pick too many - try to define three major colors of your brand and define when and where they are used.  Then look through all your collateral and build a strategy to make this more consistent.

Carat or Content

What you say and where you say it is very important.  We know this to be true in our personal lives, but often forget to keep this in mind when speaking as our businesses.  You don't want to get into a lengthy treatise about the rigors of FDA clearance on your facebook page, just like you wouldn't do in a letter to your mom.  

Think of where the weight of subjects best fit with the medium you are using.  Tier your media and map out what you will communicate at each level.  On your website or blog you might provide a case history and demonstrate your expertise on a particular subject.  On facebook, you may want to comment on a new industry standard or a new scientific article in your area of expertise.  On twitter, you may just want to let followers know what you are up to, and where you just found some good information yourself.  

Content though is key - you need to have a marketing plan that incorporates development and distribution of content to your customers and future customers on a regular basis.

I could go on, but these are a good 4 - Cut, Clarity, Color, and Content (Carat).  think of your business as the diamond in the rough - it is up to you to make the right decisions to make it a sparkling beauty.

Hiring a Marketing "Expert" - Advice on how not to get taken...

Sometimes business owners and I have the frank discussion on how they have gone about choosing professionals to help with their marketing.  The most common stories I hear seem to include cold-call sales (walking in their door) or were referred from a family member (often with good intentions).  These are tough ways to choose your marketing help, but how can a business owner really judge who is legitimate and who isn't worth your time?  

Here are some things I have learned that I hope can help:

1) Do they have a real business?
The economy is weak right now, and an easy way to protect holes in the resume for many marketing people is to post they now have a business and are out consulting, while looking for that full-time gig.  It isn't to say that they don't have expertise in marketing, but their in-between consulting may cost you in the long run if they don't do this professionally.  This could result in you being liable for picking up benefits, employee taxes, and more.  Worse, you risk them leaving you the moment they find that full-time job they are really looking for.

Ask for their IRS Federal Employer ID# up front to set them up on your accounting software.  Also be sure to check out their information to see if they have made the investment to be an independent consultant.

2) Do they have the right experience for your needs?
Are you looking for specialized work in your field to communicate to other businesses, or are you looking for someone to make door-to-door house sales calls?  The level of expertise of the consultant should match what you are looking for, otherwise both of you could be frustrated on several levels (outcomes, costs, timelines, etc).


Look for recent work by the consultant that is similar to what you are looking for.  If they seem a little more experienced than what you feel you need, ask if they would be willing to negotiate their rate accordingly or refer someone who best fits your needs.  Beware of those promising more than than they can prove they have delivered, as well as those seemingly too senior for the work you are offering.

3) Do they have references?
Anyone can list work they have done, but how can you be sure they are for real?  In addition to letters of reference, consultants should be able to put you in touch with at least one client that is similar to your business or contracted them for similar work.  Although not all clients want to serve as references for their contractors, there should be a correlation of the number of their references to how long they have been in business.  

If you don't have time or are unsure about calling up other companies, check out the Better Business Bureau, Angie's List, and  even Google them - you should be able to find credible references to their work.  If not, caveat emptor!

Look for letters of reference, testimonials on their website, and ask for at least one reference to follow up with who has worked with the consultant before. 

4) What do they charge?
Marketing consultants are professionals and should charge as such.  Likewise it isn't rocket science, and the cost shouldn't be unreasonable.  Remember you are hiring someone because they should give you reasonable comfort on producing outcomes for your business, not just doing work.  If not, then hiring your nephew at $8/hour is perfectly reasonable.  Just like in your business, they have overhead, taxes, bad clients, and benefits to cover in their charge rate.  It is reasonable to ask for a discount on their rate for longer term contracts, however, be aware of deep discounting.  Consultants who charge too little will likely be out of business before you can get your project complete, or will have to come back to you asking for more money.  


Reasonable rates range from basic work at $40 an hour to highly specialized work of $200 an hour, depending on the consultant's level of experience and your needs.  More established consultants understand that marketing expenses open the door to increased risk prior to any outcomes achieved.  Many of these professionals can work with you on split rates (hourly plus commissions) or would take equity in exchange for part of their fee.  These are completely legitimate means of lowering marketing cost and risk and are pretty standard practice.


Look for professional rates relative to the work you are looking for.  Be careful of rates too low, but be open about cost with your consultant.  see if they are willing to share some risk with you in taking part of their fee as commission (if applicable to the work involved).


5) Can they show you examples of past work?
 Like their references, contractors should be able to show you work they have previously done that is related to the work you are seeking from them.  This is standard practice in the industry, and anyone unwilling to show you past work is at least not an expert, and could be trying to take advantage. 


Ask for examples of previous work they have produced similar to what you are asking of them.  If they can't produce previous work and/or client references, walk away.

6) Do they only offer preconstructed "packages" for you to buy?
Marketing work is usually done on a project basis, after both parties understand what is needed, what outcomes are expected, and what the budget is.  Only after these are known, a proposal should be made.  Be wary of 'solution experts' coming with preconstructed advertising packages that supposedly work for "everyone".  that is never true.  Your business is unique and should be treated that way.


Run away from 'too good to be true' prepackaged advertising plans or no-risk projects, especially those proposed prior to defining what your business needs are.

7) Did they provide you with a written proposal of deliverables and a timetable?
No marketing effort should ever get underway without a proposal of the work.  This can be done formally with a contract, or less formally with a scope of work, even a set of Powerpoint slides, but it should be clear to both you and the contractor what the work will entail, what the deliverables will be, and what the cost will entail.  Projects can change and grow over time, so it is good to use the proposal or Scope of Work as a reference to revisit the project from time to time to be sure everyone has similar expectations.

Expect a consultant to give you a written proposal of work, including general timelines and estimated charges at a minimum (depending on project).  Payments should be milestone based and upfront payment (if any) shouldn't be more than 20% of the overall budget unless there are special conditions.

8) Can you see yourself being able to work with them?
You will often be working close together on a project and trusting the consultant to be representing you and your business correctly when they are away from you.  Don't be afraid to 'gut-check' your feelings before signing a contract or going ahead with any work.


If your gut tells you there is something not right about this consultant, don't be afraid to follow it.  You have to work with this person and are looking to put trust in someone to help you grow your business.   

So I hope these 8 points are helpful.  It is not a complete list, but should get you well on your way to determining if a marketing consultant is right for you.  As always, feel free to ask me any questions you may have.

Hello and Welcome!

OK, so this is my first attempt at blogging, but thought it would  be good to try.  This blog will likely be all over the place (much like me) covering topics from the everyday politico, front range and longmont colorado, bicycling, medical devices and diagnostics, and stuff in between.  Thanks!