In brief:
We should not forget the 4th P of marketing - the Place, or Distribution. With the enormous amount of online shopping and home deliveries worldwide, shops should follow up their sales cycle through. Until the customer has received their order, the shop runs the risk of disappointing, even though it has done nothing wrong. Outsourcing delivery through post or courier is fine, as long as the waiting customer is not forgotten, and there is a guarantee for the delivery.
___
I recently bought my cousin something from Amazon. As usual, Amazon's online shopping system was good: immaculately correct, (relatively) user friendly, and with quick shipping out of the product. However, the next part of the delivery process, the mailing, was an uncertain experience, which is any buyer's nightmare.
Receiving the purchase involved a delay in the shipping, and an additional import tax, which is never a good detail when you are buying a gift for someone.
The reason it happened was that Amazon, like many online shops, outsources the delivery of its products to the post or couriers. The second the product leaves the firm's warehouse, the delivery of the product is no longer under its control, and hence the firm refuses to be accountable for any delays. WRONG!
From the customer's perspective, you picked your item from shop A, paid shop A and expect shop A to deliver it, roughly in the arranged deadline. Any problems, you blame shop A, and its image suffers. Not the image of the post or of the courier firm which were being used.
In the Amazon example, before the item was even scheduled to arrive, I received an email from Amazon thanking me for the purchase and suggesting related items I could buy. No information whatsoever for tracking my purchase, or a link to indicate an undelivered purchase. This is not good after-sales care. As far as Amazon was concerned, our relationship had ended.
The conclusion: follow up the progress of deliveries with your clients, because you risk losing them. Ask them if they have received their orders, and provide guarantees for delayed or undelivered orders.
Monday, February 14, 2011
Wednesday, March 3, 2010
Email marketing: "But it's not spam if it has a schedule"
In brief:
Even a great online marketing campaign can be perceived as intrusive. Do not communicate too frequently unless prompted to do so. Alter the messages to suit the different audiences. See your messages from the perspective of the receiver.
___
Lately, we have all heard the call for Convergence of the marketing mix.
This means that our firms should not just use the benefits of these marketing channels alone:
- Social media
- Search Engine Optimization
- Mobile (phone) marketing
- Email marketing
That is great advice - all firms should use a mix of the four. This allows to target different clients and partners with the most appropriate medium. It also enables us to vary the type of communication channel, in order to avoid 'roadblocks' such as channel fatigue (receiving a weekly update from a hotel that you like, even when you are not planning a vacation will get you frustrated). Keeping a holistic approach to your marketing channel will also ensure the consistency of your brand image (even though channels targeting different customer segments should be relevant to the specific audience).
Warning to online marketers: Coming back to the hotel email example. How often do your clients want to hear from you? Why are they on your list in the first place? Because they requested to hear from you or because they filled in a form which also asked for their contact details?
Solutions:
Put yourself in their place
How often do YOU want to hear from your suppliers, favorite vacation spot, alumni association, car maker, computer maker.
Distinguish between the types of contacts, and treat them accordingly:
The active subscribers will read and re-transmit news about your, thus being great brand ambassadors! Reward them at least with exclusivity- telling them news first or keeping communication with them personal.
Passive subscribers will stay on your lists and probably be loyal, but will demonstrate frustration if "pestered too much". Ask them how often they want to be contacted, and in what context. If they do not reply, contact them infrequently, and only about important matters.
Accidental subscribers are those on your list because of a one-time transaction, previous (but not ongoing) interest in your firm, referred by a friend without being convinced, or even people who might have just wanted a free sample or demo and changed their mind. When asked if they want to continue their subscription, a lot of them will probably unsubscribe. Some will be inactive and act like the passive category.
Give them their say
When taking subscriptions, give them the choice to select how often they want to hear from you. And tell them what to expect when they do.
Re-sending
As much as you read about the benefits of re-sending, it is not encouraged. Yes, you will naturally be unseen by some busy professionals. But if they ignore your message purposefully, they will not want to receive it anew Monday morning.
Even a great online marketing campaign can be perceived as intrusive. Do not communicate too frequently unless prompted to do so. Alter the messages to suit the different audiences. See your messages from the perspective of the receiver.
___
Lately, we have all heard the call for Convergence of the marketing mix.
This means that our firms should not just use the benefits of these marketing channels alone:
- Social media
- Search Engine Optimization
- Mobile (phone) marketing
- Email marketing
That is great advice - all firms should use a mix of the four. This allows to target different clients and partners with the most appropriate medium. It also enables us to vary the type of communication channel, in order to avoid 'roadblocks' such as channel fatigue (receiving a weekly update from a hotel that you like, even when you are not planning a vacation will get you frustrated). Keeping a holistic approach to your marketing channel will also ensure the consistency of your brand image (even though channels targeting different customer segments should be relevant to the specific audience).
Warning to online marketers: Coming back to the hotel email example. How often do your clients want to hear from you? Why are they on your list in the first place? Because they requested to hear from you or because they filled in a form which also asked for their contact details?
Solutions:
Put yourself in their place
How often do YOU want to hear from your suppliers, favorite vacation spot, alumni association, car maker, computer maker.
Distinguish between the types of contacts, and treat them accordingly:
The active subscribers will read and re-transmit news about your, thus being great brand ambassadors! Reward them at least with exclusivity- telling them news first or keeping communication with them personal.
Passive subscribers will stay on your lists and probably be loyal, but will demonstrate frustration if "pestered too much". Ask them how often they want to be contacted, and in what context. If they do not reply, contact them infrequently, and only about important matters.
Accidental subscribers are those on your list because of a one-time transaction, previous (but not ongoing) interest in your firm, referred by a friend without being convinced, or even people who might have just wanted a free sample or demo and changed their mind. When asked if they want to continue their subscription, a lot of them will probably unsubscribe. Some will be inactive and act like the passive category.
Give them their say
When taking subscriptions, give them the choice to select how often they want to hear from you. And tell them what to expect when they do.
Re-sending
As much as you read about the benefits of re-sending, it is not encouraged. Yes, you will naturally be unseen by some busy professionals. But if they ignore your message purposefully, they will not want to receive it anew Monday morning.
Monday, November 30, 2009
Mongrel manager: the case against pure breds
In brief:
If you need to hire an employee (or get a canine) for a specific role, then a specialist (pure breed) might suite you. However, in many cases, a "mongrel manager" will excel, because of multiple talents, diverse background, and thinking outside the silo.
Dog breeds. Picking the right one can be difficult. And it's the same with choosing a manager.
The problem
Dog breeds have been selectively bred over centuries to perform predictably and consistently.
Retrieving breeds like Labrador Retrievers will consistently fetch but never eat a bird. Guard dogs like the German Shepherd are always territorial and do not like to share. Scent breeds like Basset hounds will investigate any smell they come upon.
Obviously, if you need a dog for a specific purpose, you will search for the breed famed to fit your needs. You will find the best breeder with dogs of a long, pure, flawless lineage.
However, the story is quite different if you want a dog as a companion. You will want it to exhibit certain desirable behavioral patterns - to be calm and patient or playful and energetic. In reality, breed dogs will do what is in their nature. They will either chase cats, birds or other dogs, bark incessantly or disappear chasing some trail.
The solution:
Get a mixed breed (aka mongrel). These types of dogs can be a perfect companion because they carry a multitude of traits, none of which more dominant than the other. They can run well, but this is not their favorite pastime. They guard their home but not every object they encounter. Importantly, they will get along with your cat and your baby.
Here we draw the parallel with hiring specialized, one-track-minded staff. A hotel manager can be detrimental if all their life they've been an accountant. This person will not be as creative and will focus more on keeping costs low and not on guest satisfaction.
A team of researchers will be out of touch with deadlines, budgets and external relations if the members or their manager lack the life experience, outside focus or interdisciplinary skills.
The examples are endless. The conclusion is one- specialists best tackle special tasks. For everything else, there are people with complicated backgrounds and CVs that are hard to understand.
If you need to hire an employee (or get a canine) for a specific role, then a specialist (pure breed) might suite you. However, in many cases, a "mongrel manager" will excel, because of multiple talents, diverse background, and thinking outside the silo.
Dog breeds. Picking the right one can be difficult. And it's the same with choosing a manager.
The problem
Dog breeds have been selectively bred over centuries to perform predictably and consistently.
Retrieving breeds like Labrador Retrievers will consistently fetch but never eat a bird. Guard dogs like the German Shepherd are always territorial and do not like to share. Scent breeds like Basset hounds will investigate any smell they come upon.
Obviously, if you need a dog for a specific purpose, you will search for the breed famed to fit your needs. You will find the best breeder with dogs of a long, pure, flawless lineage.
However, the story is quite different if you want a dog as a companion. You will want it to exhibit certain desirable behavioral patterns - to be calm and patient or playful and energetic. In reality, breed dogs will do what is in their nature. They will either chase cats, birds or other dogs, bark incessantly or disappear chasing some trail.
The solution:
Get a mixed breed (aka mongrel). These types of dogs can be a perfect companion because they carry a multitude of traits, none of which more dominant than the other. They can run well, but this is not their favorite pastime. They guard their home but not every object they encounter. Importantly, they will get along with your cat and your baby.
Here we draw the parallel with hiring specialized, one-track-minded staff. A hotel manager can be detrimental if all their life they've been an accountant. This person will not be as creative and will focus more on keeping costs low and not on guest satisfaction.
A team of researchers will be out of touch with deadlines, budgets and external relations if the members or their manager lack the life experience, outside focus or interdisciplinary skills.
The examples are endless. The conclusion is one- specialists best tackle special tasks. For everything else, there are people with complicated backgrounds and CVs that are hard to understand.
Thursday, October 22, 2009
Your car's seat: creating demand for luxury
Put briefly:
Carmakers have aptly created the demand for luxurious surroundings in cars. The interesting thing is that we are not used to living in such comfort in the office or at home, even though we spent more time in them than in our cars. Is it because cars are more expensive than our office or living room interiors, so we expect more? Or just good marketing?
---
Some of us have real leather seats at home. A select few have them at the office. Most of our office chairs have some sort of adjustment knobs. Our home ones most often do not. Very few are shaped according to our own bodies. None of our office or home seats are heated. Even fewer are cooled through micro-porous holes.
However, when it comes to our cars, we want nothing short of The Best. The colors must perfectly match our Swiss pine trim, the materials need to be hypoallergenic, the scent preapproved by technicians with complicated titles. Also, if our kids change our seat setting, we are sure to give them hell. The lumbar support bar needs to be just right, the seat inclined so that our legs do not get tired, and most importantly, the electronic feature which inclines the seat sideways as the car turns, must be on.
Oh, and let's not forget the S class's seats which give you a shiatsu massage. That we cannot live without. Unless I am a unique example, I get sleepy when massaged. My driving skills therefore do not improve. If a large Thai masseuse with palms of bliss was trapped in my seat, I would be the one not starting on the green light, forgetting to turn the blinker off for miles, and not turning the headlights on. And why would you? When you are already in heaven.
Let's take your office chair, on the other hand. The settings vary from ridiculously low to impossibly high (which does not let you approach the desk). If you are lucky to have a nice reclining seat, the adjustment knob is not as accurate and definitely not electric. Heating or cooling? You can't even adjust the thermostat of your centrally controlled airco!? Let alone your favorite fabric or colors that match anything than the Kmart logo colors.
Yet we spend more time in our office - an average of 6.5 hours a day. In our cars? 1.3 hours a day. At the home sofa, we spend 2.5 hours a day. But, the car seats cost more. Why do we do it? Because our car is what we show as an achievement. People who we do not invite home can see it. We use the car when feeling good, not just to relax, and not mostly for work.
Finally, it is because car companies offer it. They have created this great demand for luxury, and no other furniture maker can match that.
Not yet.
Compare this seat ____________ Which is built like that
With your office chair
Carmakers have aptly created the demand for luxurious surroundings in cars. The interesting thing is that we are not used to living in such comfort in the office or at home, even though we spent more time in them than in our cars. Is it because cars are more expensive than our office or living room interiors, so we expect more? Or just good marketing?
---
Some of us have real leather seats at home. A select few have them at the office. Most of our office chairs have some sort of adjustment knobs. Our home ones most often do not. Very few are shaped according to our own bodies. None of our office or home seats are heated. Even fewer are cooled through micro-porous holes.
However, when it comes to our cars, we want nothing short of The Best. The colors must perfectly match our Swiss pine trim, the materials need to be hypoallergenic, the scent preapproved by technicians with complicated titles. Also, if our kids change our seat setting, we are sure to give them hell. The lumbar support bar needs to be just right, the seat inclined so that our legs do not get tired, and most importantly, the electronic feature which inclines the seat sideways as the car turns, must be on.
Oh, and let's not forget the S class's seats which give you a shiatsu massage. That we cannot live without. Unless I am a unique example, I get sleepy when massaged. My driving skills therefore do not improve. If a large Thai masseuse with palms of bliss was trapped in my seat, I would be the one not starting on the green light, forgetting to turn the blinker off for miles, and not turning the headlights on. And why would you? When you are already in heaven.
Let's take your office chair, on the other hand. The settings vary from ridiculously low to impossibly high (which does not let you approach the desk). If you are lucky to have a nice reclining seat, the adjustment knob is not as accurate and definitely not electric. Heating or cooling? You can't even adjust the thermostat of your centrally controlled airco!? Let alone your favorite fabric or colors that match anything than the Kmart logo colors.
Yet we spend more time in our office - an average of 6.5 hours a day. In our cars? 1.3 hours a day. At the home sofa, we spend 2.5 hours a day. But, the car seats cost more. Why do we do it? Because our car is what we show as an achievement. People who we do not invite home can see it. We use the car when feeling good, not just to relax, and not mostly for work.
Finally, it is because car companies offer it. They have created this great demand for luxury, and no other furniture maker can match that.
Not yet.
Compare this seat ____________ Which is built like that
With your office chair
Monday, October 19, 2009
Chasing growth: fool’s gold?
Put briefly:
Growth is sometimes cited as all important, even though it can be misleading. In fact, growth which appears to decline can actually reflect strong, stable performance. Overly focusing on growth as the ultimate goal has its pitfalls. However, insatiable appetite for success can lead to creativity.
---
The global economic downturn in 2009 gave rise to plenty of talk about troublesome trends – slowing economies, next-to-zero GDP growth, and companies facing lower profit growth rates.
The questions is, do we need to worry about growth? Is growth real? Can we sustain growth eternally?
Alternatively, we should move on to measuring other trends or indicators of performance.
---
Take this example for the number of shoes sold globally 2000-2008. The chart (measuring the growth of shoe sales) appears appalling; after 2003, the growth slows down to almost zero!
However, growth measures the difference between actual values. Decreasing growth signifies a slowdown of the newer value, but NOT a decrease from the previous value. Zero growth only means no change; zero growth stands for status quo.
The second chart shows the real values. After 2005, the shoe sales stabilize. They are still very much higher than in 2002. However, growth is very low. Hardly a doomsday scenario.
---
Growth in itself is driven by greed and guilt.
In that sense, the struggle for growth itself is a never-ceasing force to race for market share. When the market is saturated, the usual tactic employed is to create needs which did not exist before – so that money can be made satisfying these needs. It also leads to preplanned obsolescence, and also to an everlasting war over market share.
In conclusion, I am not denying progress.
It is in our nature to strive to continuously improve ourselves, our work and our financial situation. This drive leads to technological inventions and developments in society. Without it, we will become complacent. Our neighbor will then get a better car and our competitor will win another battle in the war for market share.
The important thing is not to hold growth as the ultimate goal. Progress can be measured by stability as well.
Agree? Disagree? Leave a comment to let me know.
Growth is sometimes cited as all important, even though it can be misleading. In fact, growth which appears to decline can actually reflect strong, stable performance. Overly focusing on growth as the ultimate goal has its pitfalls. However, insatiable appetite for success can lead to creativity.
---
The global economic downturn in 2009 gave rise to plenty of talk about troublesome trends – slowing economies, next-to-zero GDP growth, and companies facing lower profit growth rates.
The questions is, do we need to worry about growth? Is growth real? Can we sustain growth eternally?
Alternatively, we should move on to measuring other trends or indicators of performance.
---
Take this example for the number of shoes sold globally 2000-2008. The chart (measuring the growth of shoe sales) appears appalling; after 2003, the growth slows down to almost zero!
However, growth measures the difference between actual values. Decreasing growth signifies a slowdown of the newer value, but NOT a decrease from the previous value. Zero growth only means no change; zero growth stands for status quo.
The second chart shows the real values. After 2005, the shoe sales stabilize. They are still very much higher than in 2002. However, growth is very low. Hardly a doomsday scenario.
---
Growth in itself is driven by greed and guilt.
In that sense, the struggle for growth itself is a never-ceasing force to race for market share. When the market is saturated, the usual tactic employed is to create needs which did not exist before – so that money can be made satisfying these needs. It also leads to preplanned obsolescence, and also to an everlasting war over market share.
In conclusion, I am not denying progress.
It is in our nature to strive to continuously improve ourselves, our work and our financial situation. This drive leads to technological inventions and developments in society. Without it, we will become complacent. Our neighbor will then get a better car and our competitor will win another battle in the war for market share.
The important thing is not to hold growth as the ultimate goal. Progress can be measured by stability as well.
Agree? Disagree? Leave a comment to let me know.
Thursday, October 15, 2009
(Why) Marketing and (Which) Society?
Welcome! Why the connection between marketing and society?
Living in North America, Europe and Australia, I have been contemplating and writing about the interconnectedness between marketing and society. Fluctuating trends affect both of them - economic, social, political, and the established business environment. (Marketing cannot exist out of society, and the unknowing members of each target market can hardly find the products and services they need without marketing.)
For the last couple of months, I have been 'itching' to share some of my observations and conclusions on how we can improve this connection. I will try to have at least one post a week on these and related topics - economics, politics, social issues, marketing and business advice and breakthroughs, advice and tips. I welcome all posts and will answer in a reasonable time.
Thank you for taking the time to visit the site and I invite you to check back regularly for the future posts - which I will keep intriguing and worth your time.
Marketing and Society's author,
Milen Minchev
Subscribe to:
Comments (Atom)