Monday, August 10, 2009

New Blog address

We have finally made the switch to a wordpress platform for our blog. We'll continue to provide tips, advice and observations about marketing, advertising, social media, television, radio, interactive marketing and anything else to do with marketing communication.
Please find us at our new location at www.charltonmarketing.com/blog
conveniently housed on our web site.

For whatever reason, I can't get this site to hyperlink to the new location, so you'll have to copy and paste, or retype the address into your browser.

See you there!

Friday, July 24, 2009

Email Effectiveness Increases From 20.8% to 35.2%

In our recently completed ad campaign for the Baxter Auto Parts Portland Historic Races, we increased our e-mail readership from 20.8% to 35.2% by Re-mailing.

With the volume of e-mail that most people receive, sending one blast to your opt-in list simply doesn't get the job done. There are too many recipients who, for whatever reason, don't open it. How many times have you deleted something you might have had some interest in reading if your weren't so busy, distracted by something, or simply in an impatient state of mind?

We sent the first e-mail out to a rather small list of 833 and within a few days achieved 173 reads, or 20.8%. We waited a week and sent the same e-mail out again to those who didn't open it. We got another 120 reads for an 18.2% opening rate. Together, we had 293 reads for a total percentage of 35.2%.

The second e-mail was identical to the first. It just illustrates that even highly targeted audiences see things somewhat randomly. Re-Mailing is a great way to increase your ROI for only the cost of sending it out.

Friday, July 17, 2009

The Most Important Marketing Strategy During a Recession

If you're in a position where you have a handful of key customers or accounts, your most critical marketing strategy right now should be enhancing personal relationships. The strength of customer loyalty is tested during bad economic times. So it's important to make sure you work to make it harder for current customers to tell you goodbye.

In a recessionary economy, savvy business people know that building market share is the key to success. They also know that many customers are more apt to make a change because they are open to any suggestion that a different solution might benefit them somehow. So, they are on the prowl for your customers, just as you should be on the prowl for theirs.

Obviously, you need to continue to deliver a quality product at a competitive price. And these days, even include some added value however possible. But, the intangible advantage of having a close relationship with your customer adds an extra level of security to your business. This doesn't mean you should run out and start layering on gifts or inviting them to dinner. If you're over-zealous you'll look desperate and insecure. It might take no more than an extra phone call or two every month just to check in. Or, depending upon your current relationship, it could include a trip to the golf course or some other activity you can share.

It is times such as these when deals get renegotiated and alliances get realigned. You need to use every trick in the book to keep your customers close to you. Strengthening your personal relationships is one of the best ways to do that.

Monday, July 6, 2009

Take this Mission Statement Test

Quick! Right now! Grab a piece of paper and write down your company's mission statement. Can you do it? Can your employees do it?

If you don't do another thing after reading this, at least try this test. Gather your management team, staff, or whomever you feel is important in your company to help carry out your mission, and hand each one a piece of paper.

Then, ask them to write down your company's mission statement.

Give them a few minutes, then ask each one to read what he or she wrote. If your group got it right, you are in an extreme minority of companies.

We marketers are always going on about how businesses need to clearly define their identity and communicate it consistently. But, we often forget to start where it has the greatest impact of all: inside the company itself.

A well articulated mission statement answers the question of why the company exists. It describes the overall need that it fills and guides the company in its big-picture actions.

Google the phrase "mission statement" and read as many as you can, and then start studying what makes a good one. There are lots of resources for learning how to write a mission statement. But first you need to recognize the importance of having one that people not only know, but understand and live by. Interestingly, most companies have one. It's written the day they go into business, then is forgotten forever.

There is unbelievable power in having a group of talented, hard working people all pursuing the same goal for the same reason. A mission statement is the foundation of that great place to be. And, dragging it out and making sure everyone knows what it is isn't that hard to do.

Friday, July 3, 2009

How to Keep Poor Customer Service from Killing your Advertising Campaign

It’s been said that nothing kills a bad product faster than a good advertising campaign. If you are in the business of selling products, you can often recognize the dogs and eliminate them from your product mix before too much damage is done. But, if we define your “product” as not just the item you sell, but the entire customer experience you create, there are many other things to consider.

After more than 20 years of creating and managing advertising campaigns for businesses, I can say that customer service is one of the most important elements of any marketing effort. You may have the best product at the best time and the best price. But, if you’re sales staff isn’t up to making the customer feel genuinely valued it’s all for nothing.

I worked with a retail chain that was having problems with sales in a couple of their stores. We tried everything. Some efforts provided some anemic results and others created a short sales spike that quickly disappeared. One day we found a scathing review on one of the review sites on the web. It detailed the quintessential bad service experience that we all love to pass on to others. A follow-up mystery shopping exercise quickly revealed a sales person who should have never been a sales person.

The problem was fixed, but the damage lingered for some time. This kind of problem can be hard to find quickly if there are just one or two people in a branch store or office most of the time. So, it is valuable to have an on-going service evaluation program such as a mystery shopper in place along with on-going training and coaching for your employees.

You can lose a sale because of price. You can lose a sale because a customer returns an item. But, you will lose a customer if your pre sale or more importantly, your post sale service is bad.

Friday, June 26, 2009

30 Things to Never Say in your Advertising

You’ve got your marketing plan worked out. Your budget is more than you would like, but you’re willing to commit to it. You’ve decided what media you are going to use, and you’re pretty proud of the deal you were able to negotiate. You’ve got your offer or message worked out. All that’s left to do is write your ad and get it produced. No problem. At least, that’s what most business people think.

Good business people are highly disciplined at measuring value. And, every step of the campaign development process has some basis in being able to measure something except the creative step. That’s where almost every entrepreneur falls down. Even the good ones.

Time and time again, I have seen the manager/owner write his own copy or try to direct a writer to create copy that is full of ad clichés that neither stand out nor convince. The result is predictable. All that time, effort and money is neutralized by ad copy that is only efficient at blending into the great background hum of “white noise”.

With that in mind, I have created a list of phrases and words to avoid. If you find any of these in your ad copy, re-write it. You can find words to get the same ideas across with more personality and originality.

1. Once in a lifetime
2. Friendliest store in town
3. Why pay more
4. Lowest prices of the year
5. Dare to compare
6. Lowest prices in town
7. Save like never before
8. Make an offer
9. Highest quality, lowest price
10. Best service in town
11. The perfect gift
12. For any budget
13. Public notice
14. Buy with confidence
15. Check out our great selection
16. Nobody beats our prices
17. We’ll save you money
18. Store-wide clearance
19. We sell more (item) than anyone
20. Hurry in
21. Everything must go
22. Never lower
23. Follow the crowds
24. Now is the time to buy
25. Don’t miss this sale
26. Save today
27. You won’t find deals like this…
28. Unbelievable prices (bargains, deals, etc.)
29. Boss is away
30. Gigantic sale

If you find yourself using any of the above phrases, go back and think of a more unique way to say the same thing. These phrases have been used so many times for so many products that there is simply no credibility to them any longer.

In fact, there are probably more that I have overlooked here.

Please feel free to add any others that you would like to never hear again.

Thursday, June 18, 2009

How to Calculate Expected Response from a Newspaper Ad

Few people, including advertising professionals, know how to calculate the expected response from a newspaper ad. A newspaper circulation of 200,000 doesn't mean 200,000 people will be contemplating your ad.

Here are the variables you need to consider when calculating an expected response from a newspaper ad.

1. YOUR TARGET
Every product has a demographic that represents its prime target. Let's say, for the sake of this example, that your target demographic is adults, 25 - 54

2. MARKET SIZE
If you are located in a city of 1.5 million people and the 25 - 54 demographic represents 40%, then your target population is 600,000.

3. DURATION BETWEEN PURCHASES
Since people don't buy every product they use every day of the year, the duration between purchases is important to consider. Let's say people buy your product one time per year on average. Then, your available market in any month is 1/12 of 600,000, or 50,000. Of course, you'll have to take into account the seasonal fluctuations for your product and apply the same logic.

4. NEWSPAPER CIRCULATION
If your local daily newspaper has a 40% penetration in your market, calculate that against your available 50,000 market to reach 20,000 possible qualified exposures to your message.

5. READERSHIP
Not every subscriber reads every page every day. Studies have shown that if you get 10% of the subscribers to read your ad, that is a very generous number. Applying that calculation to our example reduced the number of targeted customers to 2,000.

6. YOUR MARKET SHARE
Unless you have an exclusive monopoly in your market, you have competition with some customers who are loyal to them. If your overall market share is 10%, you can apply that to the remaining targeted customers, leaving 200 as your reasonable expectation.

7. RESPONSE RATE
Assume a 2% response rate from your ad.

8. RESPONSE
Your expected response (customers making a transaction) will be 4.

These numbers can vary wildly. However, the chain of logic remains constant. The offer, size of ad, weather, lack of or heavy competition, time of year and numerous other influences can have a bearing on final results. But, this model is useful to illustrate the realities of advertising response.

Wednesday, June 10, 2009

An 1876 Invention is Becoming an Important Marketing Tool

Sometimes we can overlook a marketing advantage that's hiding right out in plain sight. A case in point is a tool that was invented back in 1876. It's called a telephone. And, it may be on its way to becoming one of the most effective marketing tools that exists in these days of social media and web marketing.

OK, go ahead and roll your eyes at the corn-ball notion that some argument could be made for such a preposterous statement. To be clear, I'm not suggesting that a telemarketing campaign is better than an e-mail campaign. What I'm suggesting is that the telephone be used more often to connect with clients, important customers and others who are important to you.

Consider for a moment just how much e-mail has replaced talking on the phone over the last 10 years. Sure, e-mail is faster, easier and more convenient. No argument there. But, we also use e-mail to avoid even the most minor fear of rejection or having to deliver bad news. It's much easier to craft an e-mail than it is to face a challenging conversation.

the last time I advertised for a position in the agency, I narrowed my final choices down to four people and called each one. I got voice-mail on every call, so I asked them to call me on the phone to make an appointment for a final interview. Two called and two e-mailed me. I replied to the two e-mails, again asking them to call (making sure they had my phone number). One called and the other wrote another e-mail wanting to set a time. Guess who got eliminated from the final round first?

It made me realize that we are so used to communicating by e-mail that we've lost a degree of our connection with some who are very important to us. If you replace just 20% of your e-mail conversations with phone calls to your important contacts, you will be making yourself different while making a difference.

Keeping good customers is more important today than ever before. And these days, your competitors are trying harder than ever to get your customers. The telephone is a great tool for maintaining that connection. Because, tagging your e-mail with "LOL" will never create the same bond as sharing a genuine laugh.

Tuesday, June 2, 2009

Do You Hate Advertising Agencies?

There have been a number of occasions where I've met with business owners and managers who state flatly that they don't like ad agencies and don't think they can add any value to their marketing efforts. It's always left me somewhat speechless, because these people have formed strongly held opinions that were shaped by some experience they had. And, there was no amount of persuasion that was going to change their minds.

In reflecting upon why such negative feelings are held by some, I recounted some of the things I've seen over the years. Following is a list of five things that can turn a viable client into an anti-ad agency evangelist.

1. SURPRISE BILLS
Nothing will lead to a lack of trust faster than a bill that is not expected. Reasonable clients will expect a bill for work done. But, I have seen bills from some ad agencies that are completely out of line with the work that was performed. Once a business owner feels burned by an ad agency, it is almost impossible to gain their trust again.

2. UNDER SERVICE THE ACCOUNT
This takes a little longer for the client to recognize. But eventually, if they aren't given enough attention, they will believe that no matter how little they are charged, it is money wasted. Ironically, this problem usually comes from the agency charging too little so it has to take on more clients than it can effectively handle just to make a profit.

3. GET CAUGHT UP IN THEIR OWN CREATIVE IDEAS
I've seen wonderful work for a client, expertly executed and complete. And, completely off the mark. I worked with a pizza company whose previous agency's branding efforts were so completely off the mark that people came in thinking it was a slot car store. Small wonder they're still gun-shy.

4. OVER PROMISE IN THE BEGINNING
In this highly competitive business, many agencies resort to unrealistic promises of success in order to land the account. Then, of course, the results are never even close. Sometimes, if the agency can create a personal bond fast enough, they can modify client expectations back to something reasonable. But, often they can't, and the business owner feels burned by the whole experience.

5. CREATIVE ARROGANCE
It isn't as prevalent as the movies would have us believe. But, it still happens too much. Some young creative guy teams up with some young AE, and suddenly they think they are the only ones with answers that matter. The truth is, business owners often have much to offer and create a much better team when included. Not much will turn off a business owner who has worked his or her tail off to get where they are faster than some arrogant outsider who gets a boost from trying to make his client look inferior.

Thankfully, most agencies are not like this. They are hard working, insightful, talented groups of people who can add lots of horsepower to a businesses success. And, sadly, many who got burned once continue to get burned because they lose a competitive edge by doing it themselves.

Wednesday, May 27, 2009

Do Web Marketing Experts Really Pay for Themselves?

Anyone who hasn't been locked in a closet for the past five years knows that the Internet has helped level the marketing playing field between large and small companies. Social media and other web marketing methods are allowing businesses with small marketing budgets to compete with larger companies.

Not too many years ago, a business needed to spend $200,000 or more annually in a small to medium market just to have a minimal presence. That left most businesses out of the hunt for any kind of top of mind awareness in their market. Businesses with smaller budgets were limited to a selection of marketing alternatives that might include guerrilla marketing, community newspapers, local store marketing or maybe a modest presence in the local daily newspaper.

Today, if a business owner figures out how to harness the power of the Internet, a world of potential customers, literally, opens up. That's the good news. the bad news is that it isn't quite as easy as it might first appear.

In my experience, most people who run a business find that it's a full time job. Business people tend to be consumed with all that needs tending, from personnel issues to accounting. From dealing with vendors to keeping customers happy. And, there are dozens of other tasks, each screaming for the entrepreneur's attention.

This business of web marketing takes precious time that most business people simply don't have. And, it isn't just the time to execute the e-marketing plan. It also involves creating the plan. How, as an entry level player, do you know where you should have a presence, and what you should do once you are there?

How much effort should you put against search engine optimization? Should you be on YouTube, Flickr, Twitter or Facebook? Should you have an e-mail program or a paid search campaign? Does a blog make sense for you? Then there are the hundreds of add-on applications that extend the effectiveness of all these platforms. And, how do you connect your choices so they all coordinate to deliver a cohesive message to the same target audience? Finally, how do you measure results?

It is the rare business owner who can figure all this out and still run his business. Take advantage of the opportunities the web offers and start today by hiring someone who already knows this stuff. They'll do a much better job, and do it quicker than you could ever hope to. The money you save by trying to figure it out yourself will be a trifle compared to what you will gain by ramping up now and staying ahead of your competition.