Archive for the ‘Marketing’ Category
Last week, I had a great lunch with a friend here in town who owns a marketing firm that has a particular emphasis on social media. One of the things we discussed is the changing face of marketing. What is also changing is the role of sales and salespeople. My company is really starting to focus on changing how we sell and market based on what I am seeing in the industry. The whole topic gave me the idea for today’s post.
I’m going to start it off with this chicken and egg question – which came first – marketing or sales. Talk to a Salesperson and they will tell you it was them knocking on doors and making calls that brought the people to the door. Talk to the marketing department and they say “ well, heck no, if the customer had never heard of our product, the sales person wouldn’t have gotten to first base.” That’s why I call it a chicken and egg question. Which aspect indeed is first?
Often, I run into organizations who think they are one and the same – to which I say, absolutely, unequivocally, NOT. And if that organization thinks this, they are probably in trouble or going to be soon. There are different rules and techniques required for each process. And that’s what is changing. And it’s changing for both sales AND marketing.
Social Media and Social CRM are rapidly changing how we interact with our customers. It’s no longer a push situation – it’s a two way communication model. The customer indeed wants to hear about the product or service and wants to talk pricing. But after they have gotten the product, they want the dialog to continue. They want the ability to complain or compliment or suggest or comment on an ongoing basis.
Recently I read an article that “claimed” the sales person was going to become obsolete. Websites, online marketing, “here kitty kitty” advertising, Facebook, all of the above would drive customers to buy. Sales people would become an unnecessary burden and expense. Humph. I don’t agree. But I do agree how people sell will need to change to accommodate the new emerging online model.
It used to be that the role of salespeople was to advise customers of products and solutions. The savvy customer can now find that on their own. So, why would you need a salesperson? The fact that the customer can find it out on their own is why you need a salesperson. The customer is probably overwhelmed with too much information and needs someone to help them figure out what’s right and wrong for their requirements. The salesperson role is changing to that of a trusted adviser who knows what’s up and can help guide you, hopefully honestly, thru the morass of information to a workable solution.
My advice for salespeople is to become very literate with the internet tools. Know what it means to be on Twitter. Sign up for Linkedin, the world’s largest old boy network. Join groups on Linkedin that are pertinent to your product and services. Become a voice, and not just a lurker. If you don’t, the new young guy following behind you will. This is the world of the future, trust me, and it behooves salespeople to embrace it and become proficient social media pundits. Or wait by the wayside while the other guy does.
Over the past several months, I have written a couple of articles talking about drilling down into your customer data. No matter what tool you are using (and I hope you are using something), keeping track of daily interactions with your customers is crucial to knowing what they need, what they are asking for, and what is trending in your world. It allows you to be nimble and responsive if there is a sudden downturn in the economy. This is an election year – we always see businesses put projects on hold while they wait to see what is going to happen in November. Factor into that an already shaky economy and you start seeing drops in sales.
You can try to stay ahead of this downturn by looking back at data and finding opportunities. We get caught up in the day to day minutia and cannot see the forest for the trees. It is important for you, as a business person, to step back and look at your customer base from 50,000 feet. That is where data analysis can help.
You can either do this yourself, with some tips on what to look for or you can find a CRM Analyst. I have not used that term in any of my blogs, but more and more that is what we are becoming. We do tend to focus on one product, SAGE ACT, but what we do works for any application used to keep track of customer interactions. In fact, I just spent a few days building a really slick Excel “reporting engine” for lack of a better term. It goes out and pulls in data from ACT into Excel where pivot tables allow the end user to slice and dice the data any way they like. Pivot tables can show interesting things very quickly. It’s that 50,000 foot syndrome. Instead of looking at a single contact record, you can now look at it from a higher level. You can do year to year comparisons. You can quickly spot trends or notice areas where you are missing contacts. I call this mining for data gems.
Examples of trends and things to watch for are:
Finding customers likely to buy again – have they bought in the last 2 years?
Which customers generated the most closed sales?
Why were opportunties lost? Is it a trend in price, quality, competition?
Which customers have not been contacted in 6 months?
Do you have customers who have reached a certain dollar level?
Do you sell more in certain months? If so, what can be done for the lower months?
Which customers have not been contacted in 6 months?
Do you have customers who have reached a certain dollar level?
Recently we are helping customers set up drip marketing campaigns. Those are important but equally important is going back and analyzing the results of the campaigns. Were some more effective than others? If so, why? Was it the right subject matter? Did the subject line entice them enough to open the email? That’s why we love using the eMarketing aspect in Sage ACT – it will tell us open rates, and even how often they opened the emails. That’s very telling all by itself. They were interested enough to open the email more than once. But you need to be able to see that quickly so you can react quickly. It’s all about looking for the data
Data analysis is an ongoing effort. You don’t do this once and stop. The economy changes, peoples requirements shift and in the technology space, it’s a rapidly moving target. Constant review is necessary to ensure you are ahead of a downward trend.
CRM Analysis doesn’t have to be rocket science. For example, using Excel is a very good and inexpensive way to find data gems. You will either need to spend a little money with a CRM analyst to set this up for you or take a stab at it yourself. Everybody has that “Excel” or numbers guru in their organization. You know who they are. And YOU know your business, so you will work with the Analyst to advise them of what you sell, and where you want to be. The Analyst will know how to go look for the data based on your requirements. If they are really good, they will have ideas of their own and recommendations and approaches on looking for data trends that you may not have even thought of.
As we do more and more of this type of work, I am realizing it’s not just ACT that is the driver. It’s the data. It’s the interactions with the customer and how to turn that into increased revenue. I want Patricia Egen Consulting to become known as people to trust for doing data analysis. We really like watching companies succeed by doing simple things like watching their data and reacting correctly. Stay tuned for more articles on how to find data gems.
They say the economy is getting better – well, maybe It’s an election year so people are being cautious with their money as they await the outcome in November. The market is like a yo-yo and job reports are even gloomier.
What this all means is we as business owners need to find creative ways of generating income and revenue. This can be marketing campaigns, reducing prices, and even looking at new ventures or ideas. So which direction do you take? How do you know what avenues you should travel to find that pot of gold? I believe it’s living right in front of you inside your customer data.
The time old expression of looking for gold in “them thar hills” doesn’t just apply to gleaming metal deposits. It also applies to business data that lies hidden behind minutia in your database. It is the old adage – you can’t see the forest for the trees.
If you frequent my blog, you know we support Sage ACT, a contact management application. Its main purpose in life is to keep track of everything about a customer, all in one place. If it is being used properly, it is loaded with data gems for you to mine.
Here are some things that I suggest you look for in whatever system you use to keep track of your customer interactions. What I am going to be describing and recommending here pertains to ACT but I think you will get the main idea and can probably do something similar in your CRM of choice.
First off, as I’ve said before in other blog articles, it is cheaper to go after current clients than to find new ones. Therefore the first set of recommendations is geared towards your existing customers.
Bring them back to the fold
A good CRM application will allow you to search for data based on dates. Try looking in your data for customers who have not been touched in any way for a year.
In ACT , this is as simple as clicking on Lookup – Contact Activity – and then choosing “Not Changed”. Use the resulting lookup to develop a call campaign. Send them marketing materials geared at “bringing them back” – offer them reduced services or provide coupons for price reductions. If you have started using social media, point them at your Facebook page and Twitter account.
Set up a “smile and dial” day in the office and assign a group of names to each of your staff. When you call the clients, ask them why they haven’t called on your services or bought your products recently. It is helpful to know why a customer has stayed away. Are they out of business? Have they moved in a different direction? You can use the results of the questions to help develop other approaches to bring back “missing in action” customers.
I have found that reaching out to a long lost client has some interesting results. It is very common to hear them say “I’ve been meaning to call but have just been focusing on business.” Haven’t we all. That’s probably one main reason these clients haven’t done business with you recently – it’s because you have been wrapped up finding new clients or working with ones who have called you. It is a case of getting caught up in day to day activities instead of doing heavy duty marketing and cold calls. And yes, even if it’s an existing client, it’s a cold call because you are making the call out of the blue. Those are tough – I don’t like to do them and neither does my staff. We’ve been doing a campaign recently to let customers know about new products and services we are offering. It is actually working.
Look for trends
Using reporting or dashboards, look for trends in your data. Are you selling a lot of a particular product? Are you selling into a vertical market, such as hospitals, medical fields, manufacturing or service industries? If you are not seeing a particular industry, look at ways to attract customers from that market. Buy lists from sources such as Hoovers or InfoUsa. Import them and focus an email and call campaign around those markets.
Another area to look at in your data is location. Charts and graphs can quickly help you identify data by state, city or zip code. This is what I call data lost in minutia. We tend to focus on one client at a time, or a group of clients in a region. Having a way to see the data from 50,000 feet enables you to identify opportunities. Here’s a real example from my own database. The following dashboard shows contacts by state and the right panel shows states with no contacts. That has become a mission of mine now – to get at least one customer in Wyoming. Looking at your data on a day by day basis, you miss things like this.
Using a similar approach, look for trends with products sales by day of the week. One of my clients had an ingenious idea. He asked me to build him a dashboard that showed which day of the week had the most opportunities created. He also wanted to know which day of the week had the most call volume. Based on the results shown on the dashboard, he had some of his staff come in on each day of the week. They then tracked how many sales were achieved by day of the week. He did this for two months. Immediately they noticed that for their business, Tuesdays and Thursdays were high selling days. It totally changed his approach and increased his revenues by 20% the first three months. Again, his staff was lost in their day to day routine. They were not paying attention to which day brought in the most revenue. By taking an innovative and focused approach, they got great results.
There are lots of fancy terms for real data mining – clustering, predictive analysis and so on. What I am saying here is don’t try to do something fancy in the beginning. Just take a look at your data from higher up – don’t focus on the little day to day things. If you track customer complaints are they coming from a specific area? Are they around a specific product? You might simply be selling into the wrong group. Do you track why you lose a deal? If so, study those results for trends. It might be as simple as picking the right day of the week to focus your calls. It’s all there for you to find. The secret is in knowing where to look.
They say the economy is getting better and we think it is as well. However, it’s not as good as it was a few years back. So, we are doing everything we can to drive more business to our small world. One of the things we are doing quite a bit is email marketing. This is a tough thing to do and I’d thought I’d share some things I’ve gleaned over the past few months.
We’re Sage ACT Consultants as I am sure my readers know. But what you may not know is we are Swiftpage Gold Consultants as well. Swiftpage is an Email Marketing firm that has a tight integration within ACT. We help customers set up email marketing campaigns and one day it occurred to me that we were not doing it ourselves. It was one of those “smack yourself on the forehead moments.” So, we recently sent out a couple of email marketing campaigns about our services and products.
I was at first disappointed that our open rates were ONLY 30%. Only is in caps because what I originally thought was bad turned out to be actually pretty good. According to services who do this for a business, 30% is an awesome open rate. They say the norm is 4 to 8% for new lists and 8 to 10% for lists of people who have received mail from you before. Personally I want 100% but that’s just the type A overachiever in me. In retrospect, I’d be happy with 50%.
With this as momentum I went on a scavenger hunt for tips to increase the open rate and to also find out why mine was higher than the norm.
Based on what I’ve uncovered, here’s what I found.
1. Brand recognition helps – I sent my campaign out to people who know us – customers and resellers. That’s a huge factor and is the area where I am going to work the most to increase the open rate. It is a well known fact (at least to me) that it is cheaper to go after business from an existing client than to go after a new one. If I was sending this out to brand new prospects, I’d have to work harder to make people want to a)open my email and b)ensure I get past SPAM engines.
2. The subject line is KEY – if you get past the SPAM engines this is what will draw them into your email. It becomes your “here kitty kitty” plea to go see the great stuff you have painstakingly compiled in your awesome email.
3. Don’t overdo it. Sending out an email campaign every day is only going to ensure faster opt-outs.
4. Know your audience – do your homework and look for the buzzwords that will compel people to find out what you are offering/recommending/suggesting/ranting about.
5. Email marketing is getting harder – most people, including myself, hate SPAM and we get a lot of it. Spammers are getting very good at luring you into opening their emails. Heck, they may even be reading this blog post as we speak. Therefore be judicious in what you send out. Think over the topic and subject carefully and make sure you are sending out emails people actually will value and want to read.
Here’s some tips I gleaned during my investigation and research.
Check out and bookmark websites that show SPAM word lists. Copy them and keep them nearby when you are composing your email campaigns. I’ve listed one of my favorites below.
Another thing to do is frequent sites whose business it is to do email marketing. This idea has a high “duh” factor associated with it. One of my favorite sites to research is Swiftpage.com. As noted before, since we are Swiftpage consultants and resellers it would figure I like their articles – but they really are very good. At the end of the article I have a great example from their site.
Craft an amazing subject line. This is the place where you lure them in. If they don’t like the subject line, they won’t know if they like the content because they will have already deleted the email. Put a big part of your effort into building the right words, with the right length, that doesn’t scare away the recipient and doesn’t flag it as SPAM. That is why it is very important to know the SPAM words because the subject line is searched first. Plus, many people put in rules that take out emails with $$, buy now, etc in the header. Also, I’ve seen differing opinions on how many characters should be in your subject line. Some say no more than 40, some say cram as many words as possible into the subject. I’m going to give you my own personal preference – if it’s over 40 characters I’m passing. I have someone who sends me the world’s longest subject line and the email has absolutely nothing in the body. I guess it ensures I read what he wants me to read, but I still find it annoying. That’s just me.
If you want people to visit your website or click on a link for more details, put it early in the body of your email. That way your key “call to action” has a higher chance of being implemented as well as be clear to your audience.
An important rule is follow the KISS philosophy – keep it simple. Make your emails concise, clear, to the point and brief. If you want people to click on a link to read more about your product or service – say that. Click here for more details is pretty clear. And you can put a lot more information out on a linked page and not fill up the email with information better served on a broader space.
While you are putting in your links don’t overwhelm your audience with too many. One or two should be sufficient. If you do more than that, people may never return back to your email. They will spend all their time on the first two links. Now, that may not be a problem – but if that wasn’t your ultimate goal – then you’ve lost them at the pass.
That about sums it up. I am doing another email blast next week. I’m anxious to see if my research has paid off.