The Marketing Organization

Most people believe that marketing is advertising. You take what the factory creates and sell it by screaming about it on TV or by emailing everyone. Frankly, many companies do just that. That's where they start, and that's unfortunately where they stay, right in the outer circle of this organizational chart. They guess at and implement these tactics and when their advertising doesn't work, they don't know why. But go in just one layer of this diagram and real marketing starts to happen.

This is where you realize that not everyone is a good fit for your product. You bring in researchers and strategic talent to define and find your users and followers. You start looking at your product through your customers' eyes. You and your team develop the product’s story. You examine and network into industries that would benefit from your product. You look at pricing. For example, maybe a subscription is better than a one-time purchase. You evaluate your ROI to determine which tactics result in profits and find out why. Most importantly, you take a hard look to see what the customer experience (with the product as well as the sales cycle) is all about. You understand it and you improve it.
 

Not surprisingly, the next layer in is about creating amazement; recognizing what your customers want before they know they want it. A great example of this type of product design in action is the intuitive features on a tablet; then, so is something as simple as a restaurant having clean silverware. Here’s where you use champions to focus on support and usability. These champions examine and measure customer relationships, and, based on data, improve the product.  They create and implement collaborative sales methods that educate and engage your customers. These methods also recognize and exploit regional and culture-specific opportunities as the world becomes your marketplace. 

At the center of it all is the Chief Marketing Officer. The CMO is responsible for the relationship between your customer and your product. This leader is the customer guardian and the product advocate. The CMO knows that for the product or service being sold to be remarkable, it has to have this organizational structure built in. When business practices are aligned with customer-centric research and focus, revenue opportunities are exposed and your team will change the marketing agenda.  

Marketing becomes easier because it is based on facts. It is no longer a shouting match at the customer, but a dance with the prospective customer while existing customers become partners and even advocates. When you build your business from the inside out, starting with the CMO and moving out to staff implementing tactics, a significant transformation happens. Your marketing team sees your customers' expressed and unexpressed needs, and these are the opportunities that are satisfied by your product.

Inspired by a blog post by Seth Godin, The Circles of Marketing
Motivation from Jay Yarow's The Org charts Of All the Major Tech Companies (Humor)

Warm Bodies and the Rise of Zombie Marketing

The recently released film, Warm Bodies, is a romantic comedy told from the point of view of a zombie. It's a story of a unique friendship between Julie, a young woman, and "R", a zombie and we should add it to a growing list of TV Shows like The Walking Dead and celebrated movies like Dawn of the Dead and the cult classic Shaun of the Dead, that film makers have used to encourage our curiosity with Zombies. Whatever is at the root of our infatuation, by tapping into it, companies are using the undead to breath life into an existing brand.

For example, look in your local toy stores for Zombie themed products, from Legos (check out the LEGO Zombie Apocalypse page on Facebook) to dolls.  The gaming sector is no exception. Resident Evil, Siren, House of the Dead and Dead Space among others have built their reputations upon some form of undead.  Late last year, the US streetwear brand, Rocawear, got into the act by introducing tattooed model, Rick Genest, also know as 'Zombie Boy' as the look to star in the label's Spring/Summer 2013 campaign.  His ghoulishly striking urban youth presence may challenge your personal perception of Zombies. 

Then there is the story about a government agency that is a great resource on survival information during a catastrophe but no one was visiting its website. So the Center for Disease Control decided to take all of its information for surviving in a disaster and wrap it within the context of how to prepare for a zombie apocalypse. The approach helped the agency to resuscitate its message and tap their existing fans to improve their online visibility. 

So Zombies are more than previously human, gory, stumbling, villager-chasing creatures; they're also part of a lucrative trend that over the past four years has generated $5.74 billion to the global economy.  Check out the infographic below from Wish.co.uk to see just how much they're worth.

Courtesy of: Wish.co.uk

Americans Spend $8 Billion on Halloween!

That's right, Halloween retail shopping is expected to reach $8 billion this year. This discovery was a result of the annual survey from the National Retail Federation conducted by BIGinsight,  A record 170 million people plan to celebrate, the most in NRF's 10-year survey history.  

That 170 million translates into seven in 10 Americans who on average will spend $79.82 on the holiday with about a third, ($24.25 to be exact) being used to buy candy.  Interestingly, on candy purchases, men will outspend ladies by an average of $4.58.  Of course that doesn't mean the ladies won't be eating their share. Snickers and Reese's are the top rated candy favorites with the survey respondents exhibiting a great deal of psychological conflict over whether to actually give the candy to the treaters or eat it themselves.  Can I get an "Amen!"

The survey also found that 45 percent of consumers plan to dress up.  And the net average amount spent on costumes this year is up a few dollars from 2011 ($28.65 compared with $26.52).  For costume inspiration, survey results revealed that while retail stores, online searches and ideas from family and friends are still king, social media sites such as Facebook, Pinterest and Twitter are gaining an edge. 

Of the people celebrating Halloween, more than half (51.4%) will decorate their home or yard, up from 49.5 percent last year,  More than one-third (36.2%) will throw or attend a party and 33.2 percent will take children trick-or-treating. Additionally, 15.1 percent will ensure their furry friends are part of the fun too, by dressing their pet in costume.

Pet owners are projected to get into the Halloween spirit in a big way, spending $370 million on animal costumes.  That's a 19 percent increase from 2011. The top pet picks include a pumpkin, a devil and a hot dog.  Even Martha Stewart is getting in on the action. 

Despite record spending figures for this year’s Halloween holiday, one-fourth of U.S. consumers (25.9%) say the state of the economy will impact their Halloween plans. To compensate, most say they will spend less overall (83.5%), while others will make a costume instead of buying one (18.0%), and over one-third (36.1%) will buy less candy.  Good luck with that. 

Ever wondered how we got started with this holiday in the first place.  Here's a fun and quick animated explanation. 

Accidental Heroes

When it happens you're in a conversation with friends, or attending a seminar, or reading a random article.  You're unexpectedly introduced to someone whose perspective changes yours.  At that moment you know you won't be able to see the world in the same way again.  I call these people Accidental Heroes or AH. Frankly AHA would be a better acronym since that's what you say when this hero brings you to an enlightened view point.  You know, the natural reaction is to say "a ha!".  You’ll see what I mean once I share a couple of personal examples.  

On my top ten list is Wilbur Schramm.  Often called the "father of communication studies," he continues to have a great influence on the development of communication research.  His famous model of "shared fields of experience" rocked my grad student world because in examining human interaction he diagrammed what happens when two people are talking to each other.

I've recreated it here and it may not look world transforming to you, but for me it was confirmation that the important action I can take in understanding another person is to find where there are common experiences and build the dialog on those "shared experiences".   

In fact, social networking services like Facebook, LinkedIn, and Google+, are based on this principal that shared experiences are necessary for understanding. (Where to you think the idea for those circles originated?) This is why it is so much easier to talk to a friend than with a stranger.  Your common experiences make it possible to comprehend each other.  The dialog with a stranger is more of an adventure as it starts with speaking the same language and then evolves as you discover you have similar interests, skills, or friends.  

Another of my accidental heroes is Hugh MacLeod.  He is a cartoonist, who succinctly reveals our true nature in an Occum's Razor kind of way.  His value to me is his daily work, where he offers up insights into human behavior and the psychology of marketing like this one for example (used with permission -gapingvoid.com). 

Good stuff, sometimes funny but always forcing me to take a look beyond my normal parameters.  In both AH examples, Hugh and Wilbur, their discoveries become part of my journey as I strive to solve my favorite riddle, the buying behavior puzzle.

Last thought is that you just never know where or when new folks with new ideas will surface.  You need to keep your eyes open, read things you don't agree with and look in places that challenge your comfort zone. Your Accidental Heroes are waiting, do me a favor and let them in,

https://youtu.be/zEGJLXxkds4.

So You’re Looking for Investors: The Why and How of AngelList

According to credible sources like Forbes, Mashable and TechCrunch, if you’re an entrepreneur or if you’re an angel investor and you haven’t heard of AngelList, it’s time to get a clue. It seems that AngelList has single handedly dragged the back-room world of venture capital screaming into the light since its 2010 launch.
 
At first, people wanted to dismiss the potential, saying that only loser companies would want to share data and broadcast fundraising plans so publicly. Then, some Venture Capitalists said they’d never invest in an opportunity that didn’t come through traditional channels. Other VCs swore they’d have exploratory dialogs privately or not at all. They’d never do something as prosaic as leaving comments on a company’s profile.
 
But AngelList trounced those objections and found traction in 2011, with 500 start-ups and 2,500 investors who joined the community, resulting in a total of 12,500 introductions and subsequent fundings.  Trounced and then did the Happy Dance!
 
In fact, AngelList has proven to be a remarkably effective way for investors to connect with entrepreneurs. The hybrid social-network platform offers a greater degree of visibility to start-ups that might not otherwise have access to investors, and, on the flip side, has become an important resource for investors looking to boost deal flow and as well as connect with other investors.
 
After an afternoon of limiting my research to information published this year in order to stay current with upgrades to the platform, the definitive guide is Brendan Baker’s "How to Hustle with AngelList," updated this past April, 2012. This is a great article since in addition to the basics, it covers how to make it on to AngelList, how to set up profiles, and some proven tactics. If you have time to read only one article on AngelList, this is the one.
 
Two other essential articles are Raising Money On AngelList: 21 Tips From Two Active Angels by Dharmesh Shah of Hubspot creator fame and an article by a prolific angel investor, Joshua Bauer, co-founder of Otherinbox, entitled 9 Tips for Raising Startup Funds on AngelList. 
 
This brings us to my laundry list of articles on different aspects of AngelList. 

• If you’re wondering which influential angel investors to target here’s a Forbes Article from May of this year on The Most Influential Angel Investors On AngelList

• Does your pitch deck measure up? There is an explanation and links to winning a pitch deck in this article: “AngelList Takes A Shot At Standardizing The Startup Pitch Deck”

• AngelList is unique because it attempts to level the playing field for start-ups. How to use AngelList to Raise Money has the start-up perspective.

• Raise your spirits with a success story. It’s not every day that you get 200 emails in one hour offering you money:  “Take That Crowdfunding Cynics! Rally Raises Largest AngelList Deal Ever”

• Want to know more about the vetting process for AngelList? Check out the video in this article, AngelList Heats up as Angel Investing Sizzles (note date is February 2011)

• Ongoing good advice for start-ups on these sites on OnStartups, Venture Hacks, AVC, Ask the VC, Both Sides of the Table

What I took away from doing this online secondary research, aside from being entertained on a rainy afternoon, was that AngelList has really brought another avenue to the way entrepreneurs can seek out funding. It can cut down on the amount of prospecting involved in raising funds and it’s an immediate confidence booster when potential investors see other prominent Angels/VCs investing in your company.  AngelList takes the limited time an entrepreneur already has and optimizes it to seek out funding, and it’s a great digital tool that VCs use to scan through potential companies quickly. 
 
Bottom line: It connects VCs and Angels and is an important method for showcasing your start-up company to investors. Also remember that my point of view is based on what I’ve read. I’m not an investor or launching a start-up (at least not yet). But if you are, share your perspective as the rest of us would love to know what you think.

Building a Marketing Plan? 10 Questions to Answer.

Building a marketing plan? Here are 10 questions to get you started.

1. Do you have a clear definition of your target market?  Perhaps you're considering expanding your target market so you can close deals that otherwise would not have come your way. On the other hand, you might narrow your definition of a target, putting your focus on those prospects most likely to become customers, maybe in a specific niche where your company has good market share. Either way, your decision will drive your other marketing decisions.  

2. Is your current marketing mix delivering results? Most companies measure results by the number of qualified leads generated and the amount of visibility gained for their company, brand, and products. For example, email or snail mail lists tend to score low on both lead generation and visibility because they push your message out at a single moment in time to people who may not be interested. Conversely, specialized search engines and banner ads on targeted websites provide consistent presence and engage interested prospects who are actively searching for products like yours.  

3. How visible are you? While having a robust website is essential, it isn’t enough. Your audience uses multiple online resources to locate products and suppliers. Specialized search engines, online ads, presence on the right social channels, and email newsletters all are important considerations. 

4. What are the benefits of your current media choices? By evaluating the advantages and disadvantages of your media choices, you’ll understand the true value of your marketing program. For example, trade shows help raise your brand’s visibility and generate press and leads. But the number of leads is limited and events can be expensive when you factor in registration, promotion, travel, and other expenses. The moral is: know the ROI of your programs. 

5. Will you reach your target audience at the right time? Like selling umbrellas when it’s raining or bathing suits when it’s hot, you want to reach your target audience while they are motivated and actively searching.  Develop a calendar for what content you’re pushing out, how, and when. It will be a huge help. 

6. How will you maintain frequency? If you disappear off your customers’ radar screens for any length of time they will forget about you. So a consistent presence online and off is key to being their choice when they need you. 

7. How will you measure lead quality? Not all marketing programs deliver quality leads. As any sales person will attest to, the quality of the sales and marketing opportunities generated by your marketing plan is a better indicator of potential sales than the quantity. Look for programs that provide leads in a timely manner with contact information and area of interest, helping set the stage for your response and follow-up. 

8. How will you ensure brand exposure? The concept of branding is often pushed aside during weak economic times in favor of lead generation, but if you abandon it, you dig a hole for your sales team, forcing them to start from the beginning with every sale, introducing your company and explaining your value proposition. Many programs offer both lead generation and branding. Sponsorship of industry e-newsletters, online banner ads, and reward programs are some ways to build your brand and engage qualified leads. 

9. How do you measure marketing success? Before you commit to any marketing programs, you should establish metrics to measure performance. Direct and online marketing programs deliver impressions, clicks, leads, sales and customers which make measuring which programs are working easier. Brand programs aren’t so easy to determine. But in all cases, you need to create the valuation method as well as set the performance metrics before you launch.      

10. What can you expect from your media partners? With every marketing dollar precious, it’s essential that you establish a trusted relationship with media partners who understand your customers and know how to help you reach new ones. They should continuously introduce you to a targeted audience and recommend new channels to market your products as well as provide comprehensive reporting. That reporting should show the number of leads, demographic information, and be delivered as close to real time as possible so you can determine the best channels for the most leads. 

If you’ve got these covered you’re in good shape to put together a viable and productive plan. In getting the best answers, don’t work in a silo. Make sure to involve your company’s key players. The benefits will be not only in a great plan, you’ll gain consensus, and enhance your own business credibility as well. Bet you’ve thought of other concerns. What are they? Share your thoughts here!