social networking value Archives - Page 3 of 6 by Mark Murnahan

Automotive Marketing Example: Selling Cars Online is More Than Cars and Dealers

Car dealers (the whole automotive marketing industry for that matter) are just an example I will use, but this is about a lot more than the automotive industry and car dealers. It applies to the automotive market, anecdotally, but this is mostly about overlooking the reasons people would want to buy from you, and being blind to what people are really looking for.

Without understanding people’s motivations and expectations, it is nearly impossible to deliver what they want. In the cases where you are able to reach the market and get the sale, it is usually only a small slice of the pie, and it is more blind luck than marketing talent. It is like driving a car with your eyes closed … you may not crash the first time, but it is just a matter of time.

Picture the car dealer for a moment. Maybe you know one who is doing things different and better than the rest, but it is pretty typical that they are looking for the immediate sale. They do a whole lot of advertising, but often lack a sustainable marketing strategy. Sure, if you throw out enough ads for the lowest priced cars, you will make a few sales (at the lowest possible profit), but sustainability suffers. The dealership marketing suffers in multiple ways, and here are just a few to consider:

The profit really stinks, because you are spending a lot of time and/or money to reach people based largely on their motivation to get the most for the least amount of money. Price is a motivator, but certainly the least profitable motivator.
Advertising without a people-focused sustainable marketing strategy diminishes the sustainability of referral business which comes with brand-loyalty.
Outbound marketing (marketing without ears) lacks the sustainability that comes with people having a reason and willingness to talk to you about your brand. It is important to realize that only a small number of brand-loyal customers and angry customers will tell you what they really think. When that limited information is what you use to make your marketing decisions, it is easy to make future mistakes.

I have criticized the automobile industry for their marketing shortsightedness, because it is a pretty easy target, and one that many of us can relate to. As an industry, they largely have a hard time looking beyond the next 30, 60, and 90 day cycles of their business. You can read more about my thoughts on that in my article titled “Topeka Kansas Car Dealer Social Media Marketing Case Study” which talked about car marketing and their self-centered approach.

Auto dealers’ urgency for more business stunts their vision, and diminishes their recognition of why people really buy cars. This is a challenge common to many industries. As I described in a recent article titled “7 Reasons That Your Marketing Sucks“, people buy cars for reasons such as freedom to roam, fun road trips, family safety, peace of mind, personal status, comfort, pride, dealership reputation, brand reputation, and other things. Buyers are not usually brand-loyal because of the screaming idiot in your commercials, and things like inflatable gorillas and guys in bad suits are tactics of the past. Today’s version of the loud mouth in the bad suit is to tweet and facebook your latest specials and hope it lands in the right place.

Automotive Marketing Goes Internet

These days, it seems that a lot of industries tend to mock the old-school marketing tactics of the pre-Internet automotive industry. Perhaps the flashy, screaming, “in-your-face” style of advertising was just all they knew, so they mocked it in hopes that it would work. It led to a significant amount of noise, but noise at a higher volume is still just noise.

While all of those “car dealer types” are out there making noise, it is a good time to move forward and market differently, using foresight, and giving people something compelling. The contrast between the good and the pathetic is stronger than ever, and for those who address the customer, the benefits are great. You know, the kind of marketing that addresses the things people want. The kind of marketing that doesn’t turn them off and allows them to feel comfortable enough to tell you why they are or are not buying from you. This is the kind of marketing that shows customers that you are listening.

On today’s “scan-and-click” busy Internet, you will have a lot less time to reach your market with your goods or services. Maybe you will blame “the Internet”, but let’s face it, if you are blaming the Internet; you are looking at this all wrong. The Internet affords companies amazing opportunities to reach their market and to create brand-awareness and loyalty, but it will require looking at things from a different perspective than it used to. It requires looking at things from the customer’s standpoint and discovering what it is that truly motivates them. This means you must listen to them.

Successful marketing today means that you have defined and delivered what the consumer wants. That means being able to look at yourself through their eyes and without your preconceptions and greed. You can have your greed back later, but you have to put it on the shelf at least long enough to make good marketing decisions.

Marketing Cars is Not Just About Cars and Car Dealers!

I use the automobile industry as a harsh example of short-sightedness and self-centered thinking, because many of us can relate to that. Now, regardless of your industry, just imagine what I said about some of the reasons people buy a car. Use it as an exercise and try to imagine how you would reach the people who may be in the market. Maybe their car keeps breaking down. Maybe they have a class reunion coming up and want to look good. Maybe they are not looking at all, but if they connect with somebody they like and that person happens to work in the industry, they may feel more loyal to a particular brand.

There are so many reasons for people to buy what you offer, but if you are trying to market to the wrong ones, at the wrong time, and with a message that is all about you and mostly addresses your interests, most of it will fall on deaf ears.

Perhaps instead of the same old price-boasting and deal-pimping, a look from the consumer’s standpoint is in order. How will you address them on their terms and based on their desires? How will you find what motivates them and makes your brand more interesting? If you want to sell more cars (or anything else) try thinking more like the buyer.

These are just a few of my thoughts. What are yours? I’m listening.

Photo Credit to Rmhermen via Wikipedia

How To Sell Paper Clips: A Closer Look at Marketing

Think about paper clips for a moment. They are about the most basic thing you will find in your desk drawer. When you consider your marketing, try to imagine selling paper clips. You probably do not think much about what brand you are buying when you need to replenish your paper clip supply. This is likely true of your product or service, too. Unless people have a good reason to remember you, it will be a lot harder to grow your paper clip market share and to become more prosperous.

If you challenged multiple companies with a truckload of paper clips to sell, somebody would sell out sooner than the rest. One would almost surely hit their stride and empty that truckload of paper clips before the others, and there must be a reason.

A basic essential of marketing is to get people to talk about you in a positive way. When other people talk about your brand, it is far more valuable than when you talk about your brand. This is proven every day, and in many markets. Just think about the ones you remember and why you remember them.

In order to emphasize the point, I have created this short video to show you how to sell more paper clips. I hope that you will enjoy it.

Addendum: After comments from Jim Rudnick at Canuck SEO (JVRudnick) both below and on social networks, I picked up the phone to call and thank him. We chatted and he told me of a remarkable story about a man who traded a paper clip for a house. If you doubt the value of good marketing and how to build value in something as simple as a paper clip, you should see the story of Tyler Wright.Thanks for sharing, Jim!

Things You Cannot Sell Online

What Cant You Sell Online? — What Can't You Sell Online?

Is it true that there are some things you cannot sell online? I was recently visiting with a gentleman who had made some haphazard attempts to sell online. After his short-sighted efforts, he had developed some doubts about marketing his products and services on the Internet. I think this happens to a lot of people who are unfamiliar with online marketing and had a share of online failure. This gave me some interesting thinking points.

I want to help shatter the myth some people hold that their product or service cannot benefit from targeted online exposure and careful branding. I also want to explain how dreadfully wrong it is to assume that your ideal customers cannot be reached here on the Internet.

I should note that even the items which are not ordered by way of ecommerce are still sold online. Sure, there are restrictions for selling some items online. Examples of things you cannot sell online are certain explosives and illegal drugs. Some products are restricted by location, such as alcoholic beverages, ammunition, and encryption software. This does not mean these are things that can’t be sold online, because there really isn’t anything sold that in some fashion or another is influenced by the Internet. In fact, in the real estate industry it is claimed that over 98 percent of home purchases in USA begin online. A much smaller number of sales are completed online, but the sale begins here, so it is an important place to be.

I feel dismay for companies missing so many opportunities because they just don’t know how much they don’t know. I feel ashamed for the ones who know it and do nothing about it.

In the instance of the gentleman who brought this to mind for me, he was convinced that the only people who will encounter his business online are bargain hunters seeking the lowest cost and do not seek value. I tried to explain that if this is the case online, it is also the case offline, and that those are the same people who turned his salesman down during their last sales call. When the salesman left, the prospective customer went to shop online, and where was he? He was nowhere to be found. I tried to explain the importance of brand recognition, improving customer experience, and gaining customer loyalty. It all kind of escaped his grasp like a greased pig when I explained that you can actually target a marketing message to qualified customers of your choice based on demographics and their propensity to buy your product or service.

I tried to help him better understand the value proposition his company offers, and how to make it more obvious to buyers. I explained that providing a value proposition is important, and that it will not make sense to everybody. It will make sense to some, and those are the ones we call customers. You will never reach them all, but the area you concentrate on are the people you can turn into customers. Then you find out how you did that, and you do it more.

Proof About a Product You Cannot Sell Online

A good web statistics system is great. You can pinpoint exactly who is on your website and what they are doing there. I phoned this gentleman today when I noticed somebody interested in his product offering. They searched Google for the term “where to buy airliner slate”, and they found my recent blog article titled “Smart Slate, Smart Airliner, and Other Interactive Slates“. They even read it for three minutes forty seconds. I called my prospective client on the phone and told him the actual name and location of the company who was searching for the product. I had a hot lead for him to follow up with. He told me “They are a customer of ours” and he gave me the impression that the information was not useful to him. It was almost an arrogant tone he gave me. He laughed it off as a fluke that I actually had one of his customers on my site seeking to buy his product offering.

He did not grasp that this is only one of many instances that can help him to know what is happening in his market, and to potentially avoid losing customers to somebody else. He really didn’t understand how valuable information like this can be when it is not just once, but many instances each day, each week, and each month. It blows my mind that he does not see the advantages the Internet can hold for his market. I mean, people are searching for his products … a lot, but they are finding me. I don’t sell that stuff, he does, and I have showed him the competitive advantages that good data, good targeting, good branding, and a good value proposition can provide. I gave him a tiny little example of this, and explained that it is one of many little advantages that add up to a huge advantage. This was a real case of specific information that could help him avoid losing an existing customer.

Pizza, Porsche, and Proctology Each Sell Here!

You can buy anything from a pizza to a Porsche online, and nearly every imaginable product or service is represented. People have sold items including dog poo, prostitutes, televisions, homes, and even whole cities using the Internet. I have not found an industry segment without an Internet success story to tell. Of course, there is the occasional skeptic who gets in his own way and believes he is the unlucky one who cannot sell his products or improve his market share online. Imagine that dreadful industry that is entirely overlooked by Internet users. It is that sort of product or service that the proprietors believe is only harmed by the Internet, and everything would be fine if all those dreaded websites would just go away. Do you know the type I am talking about?

I met another one like this who did not believe the Internet would provide value to their brand or influence their potential customers. Well, they knew it mattered enough to contact me and even sign a contract, but not enough to pay the bill. Somehow that all looked a bit different to them when they found that thousands of people were seeing this article about them when they searched for “Suture Express“. I had previously given them a clear example of Internet marketing with a real life example showing that people were actually searching to buy Ethicon surgical sutures online. They signed a contract for Internet marketing and SEO services with me and never paid for the services. Later, they thought I was a “kook” when I tried to explain the value of reputation management and taking their Internet reputation more seriously. In this case, they just didn’t realize I am a very smart “kook” with a lot of experience at Internet marketing and reaching the right people with whatever message is appropriate.

It seems that my most common encounters with this type of mentality comes from people who have expressed an interest in improving their online market position, but come to me with all of their own answers instead of wanting the right answers. They are the know-it-all about their market, and even people who specialize in marketing cannot tell them anything they don’t know. Other instances occur when people realize that the Internet is important to their business, but not important enough to do things well.

Their real fears seem to come out once they realize they will actually have to make an investment in their business. They want to know what I know, but they also want to have excuses to avoid paying to get what they want. So, they throw up this smokescreen response that they just don’t see how good branding and greater exposure to their market, and exposure to the people who influence their customers, could ever really be valuable.

Can You Name a Product That Cannot be Sold Online?

Is it the termite farmer? No, termite farmers use the Internet to promote their brand, and yes, to sell termites. If you are in the market to buy termites, you may order termites here. Maybe it is the proctologist? No, although they may not perform your surgery online, a proctologist can grow recognition as an authority in the field of butt medicine. I am having a hard time finding what cannot be sold online, so maybe you can help me in this fun and interesting quest.

I have given you just a glimpse of the mentality of those who get in their own way with believing the myth that their product is exempt from the long list of Internet success stories. Do you have any thoughts on this?

Building Trust Comes First in Business, But How?

I was recently referred to a businessman by a few mutually trusted acquaintances. In total, three different people have come to me suggesting that I could help this man to grow his business. Each of these three people are involved in his personal and professional life in different ways, and each carries a different level of trust. It all got me to thinking a lot about the importance of trust, and what a role it has in business relationships, personal relationships, and how they overlap.

I thought of the trust others had placed in my work and my integrity, and I thought about ways trust is conveyed to others. How to build trust is a tricky topic, at best. There are many factors involved, and it is different to each person. I do not have all the specific answers for this, but here are a few things that came to mind for me. I hope you will enjoy the food for thought.

The First Step to Selling is Trust

The way this really came to me was when the man I was referred to set aside time to meet with me. We will be meeting for the first time tomorrow morning. I asked him how much time we could set aside to visit, because I am often long winded and wanted to know what to expect. I told him that I am not a “pitch man” and that an “elevator presentation” really does not give justice to the work I do. Ironically, a lot of my job has to do with building trust, but I do that online, through branding and delivery of consistent value. In this case, I don’t have a lot of time.

He is a bit cramped for time, so I thought of ways I could present the most important facts right upfront. I considered the specific facts, figures, and projections I could make for marketing his business better. I thought of the “silver bullet” to how I can bring him success with his online marketing. I guess I could just give him the facts, and maybe he would trust those facts … real facts, real numbers, real proof. You can see why I am not a pitch man, right? Yes, I agree … I am not a salesman. He has probably heard all of that before, or if he did the right research, he could certainly ascertain facts, figures, and proof of the things I would tell him.

Once I got to thinking a little deeper about what this man really wants to hear and believe is me. If I do not have his trust, nothing I say will matter … even the best information will be pointless. I could prove how much I know about the Internet, and how I create great visibility to a company. I could show him big profit gains by having a better marketing message. I have that proof on my side, but if I relied on proof alone, it will just fly right on by and at the end of the meeting, we will have both wasted our time. So the challenge is really in how to earn just enough of his trust that he will want to know more … and believe it once I do give him the facts.

Building Trust in an Distrusting World

I started thinking about factors of building trust online. We only have seconds to earn that little bit of trust that makes people want to know more … and believe in us. If we get just a tiny piece of their trust … enough to want to know more, we may get somewhere. Otherwise, we are shot down and we have nothing to show for it. On the Internet, that generally comes with a nice professional looking website, but why? If somebody sees a great website, it is less likely that they wasted their time and money just to throw it all away by trying to rip you off. It conveys some sense of authority.

When I considered this in the offline world, it didn’t really translate so well. Sure, we know that the numbers prove that good looking people earn more money. That is true, but being good looking does not break the trust barrier. There has to be more!

Rapport: Finding Common Threads

I thought of things I know about this man. I guess we could talk about cigars. He likes cigars, too. People like people with common interests. Maybe we could talk about my auto racing … everybody likes fast cars, right? Here is in-car video of me qualifying 7th of 77 at Road America with a top speed of around 170 miles per hour … who wouldn’t like that?! No, this is going nowhere. Rapport, or finding common threads is fine. It can make somebody feel a little more comfortable, but it still does not fill the trust gap. What is the answer? I really want to know.

Honesty and Sincerity: If You Mean it They Can Tell

This is something I guess I have always really tried hard to do. I mean, if you could see the look on my face, you would really know that I mean what I say. I have always been one of those guys who will tell people my sincere thoughts over and above telling them just what they want to hear. I am simply not a schmoozer, and I have always felt like my sincerity and willingness to polarize an audience with what I really think and feel has been an asset to me. Being honest even when it is hard is something I think my father spanked into me at a very young age, and I have been very successful as a result of honesty. It has also caused a few hardships, but it is overall my greatest gift. Some people have a good gauge for honesty, but some do not, so it still does not fill the trust gap. What’s next? There has to be something … some good answer that will make the big difference in trust.

Time and Familiarity Builds Trust … You Trust Grandma, Right?

Maybe grandma is not a perfect example for you, but in general, time and familiarity builds trust. I trust my grandmother implicitly. Over time, people observe others actions and intentions, and with experience, they learn whether they can trust somebody. Time and familiarity are huge factors in trust, but in business, we often only have a moment. Busy business people often do not have time to build trust, either from the buyers’ perspective, or the sellers’ perspective. I have put off sales representatives for over a year before. In fact, one of my largest suppliers took over a year to earn my trust, but I have been a large client to them for over eight years now. Today, that is unlikely to happen, because postponing good business decisions during a recession can sink a company fast. Besides, how many companies will really take the initiative to build trust with you the way this sales rep who called me once a week for a year did?

Referrals Convey Trust

I have written about the value of referrals, and how they can help a business. They shorten the trust gap, because when somebody you trust vouches for somebody else, some of the trust is conveyed. In my case, it seems that about every time I give a business referral, I get a call from the person I referred to say thank you. I guess it happens for two reasons. I am selective, and before I will refer somebody to another business acquaintance or friend, I want to know that they are a good match. When I give a referral, I will convey a huge lot of my influence to be sure that the two parties (referral and referred) will do business together. I almost find myself a bit offended if I give a whole-heartedly earnest referral to somebody and they go elsewhere. It is because I gave a huge piece of my trust, and when my trust is wasted, I don’t like it. I don’t like it one bit.

I have a large collection of reference letters and kind words people have written about me over the years. I could give him a nice leather bound copy of reference letters to show I am trustworthy, but even that is not a perfect answer. There is still more to it than just this … a lot more.

What About the Jaded?

I told my wife I was thinking about and writing about trust. I asked her if she trusts me. I already knew the answer. She clearly trusts me like none other. She trusts me as a husband, father, and provider. Then I asked her how to build trust, and she said “it depends on how jaded the person is.” That makes sense, and it reminded me of something I wrote in one of my books, “Living in the Storm” in the chapter titled “Wins and Losses of Cynicism”. Perhaps we just can’t reach everybody, and some people will just distrust everything. It has to do with the individual’s experiences, and sometimes their own trustworthiness and intentions. It is a lot harder to trust somebody if you have been jaded, or do not feel trustworthy.

A Summary of Trust

I cannot tell you in a single blog article what it takes to build trust. I know, that would be great if I could. One thing I can tell you is that in my job as an Internet marketing consultant, if you are not doing things to convey trust among your marketplace, you are not looking far enough ahead. Trust is a key factor in doing business, online or offline, and the sooner you start, the better.

Building familiarity and authority within your marketplace is never a simple task, but if you never begin the process, you will not receive the benefits. Online social networking is a good start.

I did not come up with all the answers for my meeting tomorrow, but I know that his confidence and trust in me will play a vital role. I hope that my knowledge, history, integrity, and the trust conveyed by others will help.

What do you think? I would enjoy hearing your thoughts on trust. If you are a subscriber to my blog, why did you trust my opinions enough to subscribe? If you are a regular visitor, why do you come back? Does trust play a role in that? My guess is yes.

Social Media Tactics Without Social Media Strategy Fails

I look around the Internet and see a lot of social media tactics without any overall strategy. It often leaves me shaking my head when I see so-called social media marketers who offer nothing but setting up a couple of social media accounts then find a handful of people for their client to spout advertisements to. Maybe they even offer to do the spouting, but often without a real sound plan. It leaves little wonder why so many people are left to question the usefulness of social media in their business. It is a sad fact for many companies, but it can be fixed.

For the purpose of this article, let us look at the words tactic and strategy like the military does. A military tactic is an action that is implemented by a group of no larger than a division. A strategy addresses the planned outcome of the entire military operation. In social media terms, one way to look at a tactic is sending tweets on Twitter, while a strategy addresses how those tweets fit into the overall business plan and marketing objectives.

I suppose it should not be surprising that many people do not understand the difference between a social media tactic and a social media strategy. After all, most of the people implementing social media today are not marketers by trade, nor have a significant stake in the outcome. Many will say that they are marketers, but most really are not. They are technicians of marketing tools, but not practitioners of the trade. If this insults you, it shouldn’t. It is not saying that the receptionist who was put in charge of tweeting is any less important, or that the guy in accounting who created the last ad campaign is any less valuable as an accountant. We all have our own skill sets, and just because it is popular, you can still be cool if you are not a marketer.

Social Media Tactics Examples

I witness many social media consultants who promote setting up Twitter and Facebook accounts, fancying up the profile pages, and helping customers to find followers or fans. Sadly, this is about as useful as a hammer without a carpenter. These tactics are just creating tools, and without a strategy … an actual understanding of what to do next and why, companies are often left to receive terrible results and disappointment. A tactic without any function or objective in place is only useful on a very short term basis, and that is if they have luck on their side.

A common tactic I see is the social media consultant who tries very hard to reach a lot of people with entertaining messages like a funny video, a joke, or inspirational quote. They tell their clients to be fun, interesting, and engaging. They promote making a lot of friends by being themselves and making it personal. This is all just fine and dandy, but it is only a tactic. In the end, you may have a lot of people who like you but still lose a lot of time and money. The overall strategy of this social media tactic is that if you have a bunch of friends and they like you, it will be easier to sneak in your advertisement now and then and get your friends to help you spread it to the world. The problem is, these are only tactics, and there is really not a sound strategy. Friends are great, and we can all benefit from having more friends. I love the friends I meet via social media. I met my wife back in 2000 using social media. All the friends are fantastic, but those friends alone are not likely to come running make your mortgage payments. You need more to your strategy than this.

In an upcoming article I will show actual statistics which I have compiled regarding the effectiveness of tactics in contrast to strategy, but for now I want you to think about strategy more in terms of short and long-term objectives, and how you can improve yours.

Social Media Strategy: A Plan for Success

Let’s just say that you have a bunch of people following you on Twitter and a squillion fans on your Facebook Page. What are you going to do with that? Will you provide something that nobody else is doing? Do you have a strategy that is sustainable beyond the next Facebook update?

Let us use a restaurant as an example. If you have a restaurant, will you blast out your specials every day and hope people come to see you, then perhaps just keep lowering your sale price until this tactic begins to work? I hope that you don’t think that is a useful strategy. Try to think of strategy more like this: Create a contest among waiters to see which one will have more customers tag your restaurant in a Facebook photo or upload a picture of their good time with your awesome waiter on TwitPic and send it to you as a reply on Twitter. Create a special inauguration party for your latest “Mayor” on Foursquare. Integrate these tactics into an overall strategy to produce a sustainable marketing force of people who love what you do and love to tell their friends. Reward them with something fun, interesting, and preferably delicious. These are things people will remember, and ways to have other people interested, rather than just wasting time with basic advertising tactics.

Even Good Strategy Fails Without Implementation

A good strategy will still not benefit your company without implementation. If you find that you have a handful of tactics without a really solid and productive strategy, stop and take another look. It is not too late to start doing things better, but each day that slips by will mean more money down the drain.

Here is one more example of a strategy. My strategy is to provide something useful. I want to give you something you did not get elsewhere. I want to give you something valuable that you can use today and receive benefit. Using this strategy, a small portion of my readers contact me when they are ready to create and implement a strategy using tactics that work.