The Lure of Star Power

I just finished reading Playbill.com's Top Theatre Stories of the Year. The leading story discusses how stars sell tickets, and in a year with a down economy, it seems that the only thing that sells tickets are the stars. From this little story it seems clear that if you don't have an A-list star in your show, don't even try a Broadway transfer.

Arena Stage in the past few seasons has been lucky enough to host a few stars, most notably Carrie Fisher in Wishful Drinking and Valerie Harper in Looped (and not surprisingly, both productions found their way to Broadway). From a marketing perspective, nothing makes my job easier than a star, particularly stars that are lovely to work with as both Carrie and Valerie were. But let's be honest, it doesn't take a marketing genius to sell tickets to star powered vehicles. And it isn't just New York that has a taste for the stars. The Shakespeare Theatre Company and the Kennedy Center just presented two star productions that sold out immediately: Phedre with Helen Mirren and A Streetcar Named Desire with Cate Blanchett. It used to be that New York and Los Angeles were the cities that needed stars to sell, but it looks like DC might be going that way as well. Or maybe the entire country.

But there are problems with stars as well:

1. Star productions are a gamble, especially for regional theaters. Most Broadway productions can guarantee stars, but regional theaters for the most part cannot. Regional theaters tend to announce productions and casts several months before a show opens in time to sell subscriptions and advanced single tickets. However, during the time between the announcement and the opening, a star can get a better offer from a Broadway production, television series or movie which will lead them to pull out of the regional production, leaving audiences with an expectation that theaters can no longer fill.

2. Most times even with a guaranteed star appearance, run lengths have to be shortened as the schedules of most stars won't allow them to appear for a run length of several weeks, meaning that these productions will more than likely be off subscription. To capitalize on the star production, many theaters use them to boost subscription sales by only allowing subscribers to purchase the very limited quantity of single tickets to the star show. However, often times, patrons will purchase the cheapest subscription package available only for the opportunity to purchase the star production, and then won't attend the rest of the subscription shows leaving theaters with half empty audiences throughout the season.

3. Are regional theaters building an appetite for something they cannot always feed? If theaters have a couple of successful years of bringing in stars for productions, what happens when they can't find a star production for a year or two? In essence, they have built an event based audience that they can't always feed. And in this case, these types of patrons aren't loyal to the company, they are loyal to productions that feature stars. They are the most fickle of any audience segment. The first time you don't deliver, they will move on to somebody that is.

4. Are regional theaters teaching hoards of future patrons that only star vehicles deserve their patronage by filling their programming with stars if and when they get them? Or even a larger concern for me, what about those companies that regularly program poorly conceived productions that showcase a star over a brilliantly produced production without a star? The Playbill article focuses on this issue, citing several poorly reviewed, star centric productions on Broadway that financially recouped along with numerous well reviewed productions that lacked stars which struggled from day one.

There is no doubt about it--a star production can be fun. Your audiences will love them, you will sell plenty of tickets, and they will bring national attention to your part of the world. However, like anything else, maybe some moderation is in order?

Merry Christmas!

From the entire team at MarketMatch...we wish you and your family a very Merry Christmas!

Bruce Clapp

Is your glass half-full or half-empty?

Since September of 2008, our industry has seen many changes. The concept of "too big to fail" was exposed as WAMU and Wachovia were forced to sell. Lehman Brothers shut their doors. Bear Sterns had to be rescued by JP Morgan, etc. etc.

Let's face it - the image of our industry has "really taken a hit." Every day you hear the term "main street vs wall street." The media portrays us as "fat cats." Like it or not, financial institutions will be blamed if the economy doesn't rebound quickly. The media will say that financial institutions aren't making the credit available necessary for the economy to rebound.

It would be so easy for all of us in the industry to get discouraged!

But as we all know, adversity creates opportunity!

For those of us that stay focused, work hard, stay positive, "think outside the box," etc. the opportunity it there.

2010 can be a great year for your organization!

Have a great Holiday Season!

Mike

Make sure you keep one foot in both courts

Sometimes at the conclusion of a speech that I am giving, I have someone from the crowd come up to me and thank me for all the great information, exclaiming that they are going to end their direct mail campaigns in order to shift resources to technology based viral marketing campaigns. At that moment, I usually cringe and apologize, for I definitely communicated something that I didn’t intend to. For those that read this blog, you know by now that I am a proponent of using technology to grow audiences, building communities and diversify revenue streams. That being said, most major arts organizations find themselves with a foot in two different courts—how to please the audiences of tomorrow, and still serve the audiences of today.

We sometimes forget that there are four generations in play in our audiences: the Silent Generation, the Baby-Boomers, Generation X and the Millenials. Many books have been written, white papers drafted and speeches given (including by yours truly) on how to effectively target Generation X and Millenials as they are the future for arts organizations. However in doing so, some rabid believers have advocated throwing the baby out with the bathwater. Allocating all of your resources at any one of these groups, unless you have programming that only speaks to a certain generation, is foolish, certainly as foolish as not diversifying your stock portfolio.

Let’s take a look at subscriptions. Most arts marketing professionals agree that the subscription model is dated, and is dying a slow death. That doesn’t necessarily mean that we should pull the plug on them today when they still probably have a good decade left in them. Several performing arts organizations still receive a major portion of their earned revenue via subscription sales, and although Danny Newman might have published his treatise decades ago, his point that subscriptions protect a company from poor reviews and the fickle buying habits of single ticket buyers is still spot on. At every performing arts organization that I have worked for, I noticed a declining subscription base, and within two years with strategic changes have stopped the decline and started increasing the number of subscribers. I don’t say this to seem like a miracle worker (for which I am not), but it does make me wonder how much marketing directors are directly responsible for declining subscribers.

I am starting to believe that the decline of subscriptions might be in part a self-fulfilling prophesy. If a marketing director fully believed that subscriptions were dying, and that nothing could be done to affect declining subscription numbers, then he might be inclined to focus his limited resources on addressing the needs of his “future audience,” thereby ensuring the decline he was forecasting.

We know from surveys that subscribers tend to be older, and more than likely are part of the Baby-Boomer or Silent Generation. We also know that these generations have been purchasing tickets in this manner for years, are usually more comfortable with transaction conducted over the phone or via mail, and therefore respond better to some classic direct marketing techniques such as direct mail or telemarketing. However if you are underfunding direct marketing in order to fund other priorities (such as online marketing), then the decline in your subscription base might be caused by poor strategic marketing decisions.

When creating a holistic marketing campaign, a wise marketing director should always keep in mind that we are serving multiple masters—each master having a different set of expectations and desires. The key for all marketing professionals is putting the right offer in front of the right people using a communications vehicle that gives the message the highest possibility of success.

Improve subscriber lifetime value as well as shorten the conversion process

If you’re having trouble bonding with your subscribers or notice they’re dropping off your file before they make a purchase, consider implementing a proven strategy that helps improve bonding, LTV (life time value) as well as reduces the average sales conversion cycle by about 50%...

…implement an introductory series of emails for your new subs.

These are targeted messages to your “new to files” written with bonding in mind. Its job is to help these new folks buy into your philosophy, get to know who you are and what you do, help them bond with you or your “gurus” and reinforce your credentials – all through the power of editorial.

These emails should be staggered and go over a course of a few weeks. These names should be suppressed from general population and they should preferably not get any promotions during this bonding process.

One caveat, you might want to offer a special “welcome aboard” offer at the end of the series, such as 20% off their first order.

But in addition to your editorial messages, you should help the subscriber develop that “warm, fuzzy feeling” and offer quality content and free bonus reports.

If your email service has the ability to track conversions down to the user level, set it up so that for every user that doesn’t convert in a timely manner (i.e. 30, 60, 90 days), another, targeted editorial message goes out to them automatically – sweetening the offer to convert to a paying customer.

This could plan be modified slightly for each publisher, but the ultimate goal is to let new subscriber develop a connection with the guru/publication before any hard sales offers.
Ultimately, it has been proved that LTV and conversions improved by more than 50% (when group of new subs/cohorts were tracked over a course of time). In addition, the subs that did become customers, converted quicker and stood on file longer than those not in the "intro series" emails.

Lead Generation Checklist - Part 1: Conversations, Not Campaigns

Lead generation tactis are changing rapidly. The previous transactional approach isn't working anymore, prospects dont want to be sold to but engaged in a conversation about their challenges and learn how a vendor can help solve problems. Think of lead generation as a series of conversations with your audience, not campaigns. Show your prospects that you understand their industry, and specific issues, and that you are interested in building a long term relationship.

As Brian Carroll in his excellent B2B Lead Generation Blog points out, this way you will become a trusted advisor rather than just another sales person. Brian has a series of great blogs on lead generation in the 21st century. I will feature them here over the next few days, starting today with "Lead Generation Checklist - Part 1: Conversations, not campaigns".

Would you like a checking account with that pizza?

Would you like a checking account with that pizza?

This month I am traveling meeting with potential clients, visiting family for the holidays and catching up with old friends. After driving over 700 miles in three days, I was getting ready to relax in my hotel and watch the Indianapolis Colts continue their pursuit of perfection.

As you probably know, a football game isn't complete without pizza and your favorite beverage!

Thirty minutes before game time, I called Domino's delivery.

When the pizza arrived, stapled to the pizza box was a flyer from National City Bank. "Open up a National City Checking Account and get up to $300 - How's that for a bank statement." The flyer had all the qualifications and required legal disclosures.

The flyer was branch generic but included the "call to action" i.e. come to your nearest location or call a 800#. It had an expiration date, etc.

I don't know how many Domino's pizzas get delivered in a months time in the city of Indianapolis but I'm sure the number is substantial. The cost of the flyer was minimal and I'm not sure if a fee was paid to Domino's but the all in cost (excluding the $300 offer) was probably very reasonable.

Someone at National City really got creative when trying to grow their checking base.

I know it is a cliche but don't be afraid to "think outside the box" as you tackle your institutions growth challenges!

Have a great holiday season!

Mike

Perspective

A local credit union is saturating broadcast and full-page newspaper ads with the fact that they are "Giving back more than $4,000,000 to their membership."

Pretty darn impressive, huh?

Well, of their 183,000 members, that comes out to less than $22 per person - or 4 days worth of Mocha Lattes.

I guess the point is that we need to view everything in perspective.

How much has your institution lent to businesses and consumers this year? Even if it doesn't sound like much to your "banking" ear - it likely sounds like a fortune to your community.

Just some food for thought.

Have a wonderful holiday season.

Take care,

Eric

How to Make Your White Paper a Success

Here is an excellent article from The Bloom Group on how to write truly compelling white papers that create excitement in the marketplace. Making white papers more compelling isn't a mystery, but it does require a methodical approach: http://www.bloomgroup.com/content/reengineering-white-paper

View from the top changes

Good morning everyone...

I have successfully returned from a fantastic trip to Kuala Lumpur, Malaysia!  I keynoted a forum on product development, management and innovation for a contingent of Asian bankers.  Great interaction and learning occurred along with the networking of bankers from across the Asian region.  I thoroughly enjoyed the forum and the experience.

When I was in Kuala Lumpur, I had to go to the Petronas Twin Towers...formerly the world's tallest buildings (now 3rd tallest) to take in the sights and the views.  Amazing!

I had two items imprinted on me during the trip.  The first simply reinforced that banking is widely similar across the world.  We all struggle with competition, managing rates is critical, and customer insight is mission critical to marketing success!

The 2nd has to do with the Petronas Towers and what they represent to me.  They represent mankind's focused efforts to be leaders and that the view DOES change from the top.  Translation?  When you focus on an outcome, get everyone on board, and have the insights necessary....you can overcome any obstacle, create great new innovations along the way, and have an amazing view from the top!

The translation to you this morning....sitting at your desk drinking some coffee...is quite simply....take on the tasks that seems daunting, but engage your entire organization for assistance and include your customer along the way.  They will paint the picture of success for you!

So, with December quickly fading and January 2010 quickly approaching, the time to think about new initiatives is now.  Think BIG, act BIG, and include your customers in a BIG way!

Cheers!

Bruce Clapp

Be Like A Running Store

One of the best things that we can do as financial marketers is to bring retail principles into our discipline.

Take my running store for example. I'm a loyal shopper of Up And Running not because they have the best price or widest selection ... I shop there because they are specialists. They are experts in a field that matters to me.

Unlike the large chain sporting goods stores, my running shop asks me questions about how I run and where I run. They don't shove a shoe in front of me based on price - but instead measure up my foot and how my arches react to the running motion, they focus on my gait and pronation then RECOMMEND the shoe that's best for ME.

Best of all, they care about me after I've bought the shoe. I go to the store regularly for running groups. They ADVISE me on how to train for marathons or how to avoid recurring stress fractures. This, most of all, is why I'm loyal and willing to pay a few bucks more for my gear.

With our current economy, consumers are looking now, more than ever, for an expert to help them with their financial issues. And let's face it, you open more mortgages and auto loans, and deal with personal finance more in one day than any of your customers will have to concern themselves with in their entire lives!

You are the expert that they crave.

So, how do you demonstrate that you are a specialist, just like my running shop?

• Know Their Run – Do your customers need a one-time “quick fix” like a home improvement loan or are they in it for the financial marathon? Ask questions and keep a customer log.

• Size ‘em Up – Like each shoe fits each runner differently, so does each financial product. Instead of analyzing their gait and feet, ask them basic questions about how they will use the product and their goals. What are they using now? What have they used in the past? What features did they love? What would they change? What do they ultimately want to achieve (lower payments, faster pay off, security, faster retirement)?

• Be Their Coach – You and your staff are the experts! Coach your customers and they will entrust more to you.

Take are,

Eric

Fixing the Crisis in Marketing

I ran across an interesting blog post "The Crisis in Marketing" by Erik Bower from MarketBright where he talks about current Marketing methodologies not keeping pace with the pressures in today’s business environments: volatile markets, pressure to prove marketing's impact on sales pipeline, reduced budgets and headcounts, new tactics such as social media, etc.

Bower takes a page from the shift in software development methodologies (agile development replacing waterfall model, etc over the last years) and applies it to marketing. This approach replaces the static, long timeframe planning approach common in most marketing departments today with an agile approach that emphasizes team collaboration over process, quick iterative adjustments to changes over plan adherence.

With agile marketing, quarterly plans shrink to six week sprints, daily reviews of program performance (similar to the daily build concept in software development) replace quarterly reviews, quick mid-course corrections based on testing and real-time market feedback are encouraged, and project plans allow for unforeseen issues and last minute additions.

This approach helps marketing not only remain relevant in today’s organizations but provide visibility into the value it provides to the company, aligning with the needs of the sales organization, and reducing the cost of marketing while increasing performance (http://bit.ly/5kVZzm). How are you managing marketing in your organization?

Technology Marketing Collateral Trends

Here is a recent survey report on B2B technology marketing collateral trends from Eccolo Media that you may find interesting: “Eccolo Media 2009 B2B Technology Collateral Survey Report”.

Key findings in the report:
• White papers – especially those that are long on expert content and light on sales jargon – continue to be the No. 1 form of collateral influencing technology purchasers. Product brochures and data sheets are the most frequently consumed, but white papers are considered the most influential type of content when making technology purchasing decisions
• People more than ever view collateral from their desktop – in fact, only 1 in 4 surveyed ever print an online marketing document – and most share them electronically with colleagues.
• Video is on the rise in terms of frequency of use by technology purchasers – especially video that features customers speaking about real experience using a product or service.

Looking for Social Media Policy Examples?

Do you hesitate to jump on the social media bandwagon with your company? Concerned about what happens when an employee shares insider information? Social media is inherently dynamic, even chaotic. Provide no guidance and you likely end up damaging your brand. Be too restrictive and your social media initiative will never take off, putting you at a competitive disadvantage. Clear policies help you better navigate this new communication channel and provide guidance to your audience as to what is ok to post and what isn't.

Here is a great collection of social media policies from 123 Social Media's web site to help you create a policy that works for your organization: http://bit.ly/2qYKjm

Does Your Institution Make Outbound Sales Calls?

Community Banks and Credit Unions are catching on to what their larger competitors have known for some time.

Customers and prospects really do respond to being called at home!

The word "telemarketing" has really taken on a bad connotation over the years. The reason being that the message that might be interrupting our dinner wasn't relevant. For example, have you ever received a call from a aluminum siding company even though you live in a brick house? A lot of telemarketers use random digit dialing meaning they randomly call your number. They know nothing about you, your lifestyle, your wants, your needs, etc. They are simply "pushing product."

This horrible experience with telemarketers is why your staff is so reluctant to make outbound calls!

But what we do is different!

We analyze our customers relationship. We know what products they have purchased from us, how long they have been a customer, what types of balances they maintain, etc. We know a lot about our customers and we take the time to craft a relevant message.

When we call, it is to act as our customers financial advisor. Our message is that we can help them save money, make money, etc. i.e. reach their financial goals.

When we focus on prospects, we typically use segmentation, propensity to purchase data, etc. so that we can craft the same relevant message.

If you are having difficulty getting your staff to make outbound calls, make sure they understand the difference between "telemarketing" and "consultative selling."

If outbound calling is new to your organization, "walk before you run." Provide the proper training and set achievable goals.

Once your staff has a couple of successful calls, momentum will build within your organization. Your balance sheet and income statement will quickly reflect their efforts. In addition, customer satisfaction scores will rise. In many cases, you will convert customers to advocates (or unpaid sales people) that will tell their family, friends, etc. about how well your instituion met their needs.

Have a great holiday season!

Enjoy family and friends, recharge yourself and get "fired up" to tackle the new year!

Mike

Groupons - A Cool Social Media Application

No clipping no searching - just saving.

Social media has taken the old school art of coupon clipping and turned it on it's ear with Groupons.

Groupons take advantage of the "customer collective" to drive dozens or even hundreds of new customers through your door. Essentially, you can offer a discount to Groupon.com members and if enough people sign up for your discount, it takes effect.

So let's say you offer a special CD "groupon" and want at least 50 people to take advantage. Groupon.com will send an email blast of your offer to their members in your city. Anyone interested in your CD offer, will forward the message onto their friends in the hopes that at least 50 people sign up and make the offer "valid." And their friends invite their friends and so on...

Groupon clients are seeing new customers come though their doors based on viral marketing and are guaranteed a minimum return or no discounts are given.

Groupons are now being offered in 45 cities.

Whether they are right for your strategic objectives or not - it's always cool to see new ways that social and viral marketing can impact our business. If you know of any cool new applications, please share it with the MarketMatch blog community by posting a reply to this blog.

Take care,

Eric

An Adventure in Product Development

Today I head off on an adventure....in product development and travel.

I am heading to Kuala Lumpur, Malaysia to be the keynote speaker at a conference for Asian bankers on product development.

The adventure will be in two parts....the journey and back and the interaction with bankers from 1/2 a world away.  One thing that I have learned from all of my international travels is that banking is banking, regardless of the geography.  The timing of issues may be different, but the issues are widely the same!

So, I am delivering a comprehensive set of sessions on the product development and management process that keys on customer communication, internal engagement, and meeting the needs of your targets...universal topics that are mission critical to product mangement.

I will keep everyone posted on my travels and adventures...

Cheers!

Bruce Clapp

How To Price Software Without Just Rolling The Dice

Pricing of new software products is one of those things that poses quite a challenge to even the most sophisticated product managers and marketers. Too often pricing is guesswork or based only on comparable products in the market, which inevitably leads to a price that doesn't optimize profits overall.

I just read a great post by Dharmesh Shah that I would like to share with you. "How To Price Software Without Just Rolling The Dice" compiles some critical lessons most of us have learned the hard way over the years. Check it out.

What are your thoughts and advice on software pricing?

Instant Issue Technology as a Total Marketing Tool

Instant issue technolgy for debit cards is a meaningful tool for community banks. With Capital One advertising the concept for you ( you know, "I want my mother's picture on my card") the ability to create and issue debit cards on the spot is a tool that we would expect only the largest of banks would be able to implement affordably. Not true! This piece of technolgy coupled with an imaginative marketing program, can truly be the foundation for new sources of income for the bank.

You can issue debit cards that are totally personalized for each customer (how fun!) . Your customer can upload the photo they want on their card (family, baby, pets, whatever). And they get their card today instead of 2 weeks from today so they can be using the card sooner (which makes you more money). And they get replacement cards sooner, so you don't have 2 weeks of downtown with no card usage. The biggest banks can't do this across a large distribution network without spending a large hunk of money... not likely to happen with their financial positions today. This can be a real competitive advantage for community banks and credit unions. Your cost to implement will depend on whether you want one central location that can print the cards or one in each banking office, but a single location can be implemented for between $20-30,000.

But even more than this, you can create affinity card programs with local schools, universities, major employers, and much more. These local relationships can be coupled wtih some creative sponsorship opportunities and marketing programs to create true, local partnerships that will move the market share needle in your market for some time to come. Loyalty becomes a given and competing with the big banks is made EZ.


If you are thinking about implementing instant issue technology and a creative marketing program with it, you may want some outside assistance. At Market Match, we can help you through the maize of creating a fail safe program. Read how others are doing this at http://www.instantissuance.com/. Call me, I would love to have a discussion about how these programs work with you. Find me at www.marketmatch.com.

Have a great week!
Sharon

What if they are just tired?

In the last few weeks, I have been doing quite a bit of traveling. I have gotten the opportunity to speak with many of my colleagues from around the nation, and they are all saying the same thing -- ticket sales are down this year. Last year, I kept hearing that well branded products were doing very well, while less known fare was struggling. Now I am hearing that even annual cash cows (think A Christmas Carol and Nutcracker) aren't doing well. When a classic theater has problems selling Romeo and Juliet, you know something is up.

So it got me thinking about what is going on (and of course, this is just an opinion). We are all seeing reports that even though some aspects of the economy might be improving, many are still getting worse, such as unemployment. Unemployment is the highest is has been in 20 years. Last year when the stock market crashed and it became clear we were all in for what looked to be an unprecedented global economic crisis, many companies panicked. They didn't know how to project future revenue, so they opted to look at the side of the ledger they could control -- expenses. With that came the layoffs.

Those lucky enough to survive the layoffs took on responsibilities that were normally handled by two or three people. Many managers noted that the resulting model was unsustainable, but thought that most people could put up with the extra load for a short period of time, hoping that the economy would improve and that hiring would be possible. Well, it has been over a year, and unemployment is getting worse, so the unsustainable model of having one person carry the workload of three continues.

As arts administrators, I no longer believe our largest challenge is dealing with people's fears about the economy. That was so last year. Instead, we now have to deal with people who are simply exhausted, and when Friday comes, they want to do nothing more than spend the weekend on the couch in order to recuperate and be ready for the next grueling work week. Whereas last year, our largest competitors might have been other cultural destinations or sporting events, I am starting to think that our most significant future competitor might be cable television and a warm bed.

Direct Mail - Is it still effective?

Each of us probably receives several direct mail solicitations for credit cards every week. Something like 2 billion pieces of credit card mail was sent in 2008.



How has the proliferation of credit card mailing impacted the effectiveness of your institutions direct mail?



Are your direct mail programs generating a sufficient MROI?



Sure, the credit card industry has impacted response rates. A good response rate on prospect mail use to be 75 basis points and now institutions should expect prospect mail to generate a response rate of 35 - 45 basis points. Customer response rates have dropped also but a well planned customer campaign can still generate a 100 basis point (or higher) response rate.



There are three components of a direct mail program: target audience, relevant offer and creative.



What drives the response rate? 70% of response is tied to selecting the best population or target audience for the mailing. 20% of response is tied to the offer and the remaining 10% or response is driven by the creative.



Unfortunately, many institutions spend to much time and money on the creative and creative has the least impact on response. Creative needs to be "on brand", clearly defined the offer and have a specific "call to action." That's it!



Put the bulk of your effort into defining the target audience! Make sure you have a relevant offer!



Direct mail can still drive balances and revenue if done properly!



Have a great weekend!



Mike

Cover Your Basis - PPC and SEO

There’s a great tactic that will help your list building efforts -- both with paid AND organic search.

And it’s not much additional work … if you already have a lead generation landing page you’re using for PPC, you can cover your basis on the organic side with a few additions. Here’s how:

--Start by creating a new URL for SEO purposes using the existing PPC landing page.

--Make sure the new SEO URL is packed with your targeted and relevant keywords (one caveat: before this, make sure you’ve done your research to see which keywords to use and the search volume on each one).

--Add relevant and targeted keywords into the new SEO lead gen page’s tags including: title tag, meta description, and meta keywords. Also, if you have images on the page, make sure to add relevant keywords to those.

--If not already done, drop in the Google Analytics code to this page so you can track page visits/traffic.

After your page is indexed by the search engine spiders (which may take a few weeks), your lead gen page should start appearing in organic search rankings based on the keywords you’ve indicated in your tags.

What will also help your page’s ranking be more favorable is if you can get some backlinks from high traffic websites linking to this new, SEO landing page.

SIPA Marketing Conf. - Presentation on Leveraging LinkedIn

SIPA’s (Specialized Information Publishing Association) Mid-Year Event was in Miami last week at the Ritz-Carlton.

The event was a great success…from a networking, prospecting, and educational standpoint.
My presentation on Leveraging LinkedIn was also a success. I discussed many tips and tricks to use LinkedIn for events, content syndication, market research, PR, and more.

If you’re interested in a copy of my presentation, please email me (my contact info is in my blog profile).

Build the Box!

Greetings...

I had some great friends share a quote that they saw while enjoying the sites in Chicago... it goes:

"Don't think outside the box...build the box."

I LOVE the quote.  As a firm, our specialty is helping banks and credit unions Focus their efforts, build Momentum in their market and generate Results for their institution.  Our process has always been described as thinking INSIDE the box, as the information, key brand differences, etc. are all there, you just need our expertise to unlock it and make it all tangible.

The concept of "building the box" is a game changer to me...

Instead of accepting the realities you face (competition, economy, budget, etc.) we HAVE to create a new reality....in this case a new box...in which we can oeprate.

Think Starbucks.... did they operate within the confines of the coffee norms...49 cent bottomless cups of coffee, 25 cent refills....NO.  They created their own box.

Think American Express... did they operate within the confines of the credit card norms...gold cards, retail customers, corporate spending cards...NO. They created their own box.

Now....your challenge this fine Monday is to create your OWN new sense of reality, your own new box. For yourself as a marketer (outside the confines of budgets, media, staffing, etc.) and for your institution.

Find the NEW BOX that allows you the freedom to maximize your strengths, minimize competitive pressures, and increase success.

It's there...we just need to build it!

Have a great day!

Bruce Clapp

Put an End to Flying Blind: A Ten-Step Process for Creating a Go-to-Market Tactical Plan

by Laura Patterson

Many organizations can achieve substantial growth by entering a new market with a well thought out and flawlessly executed plan. The operative words here are well thought-out and flawlessly executed. It’s surprising -actually alarming -at how many organizations attempt this strategic endeavor without a Go-to-Market (GTM) plan and end up flying blind into new territory. Perhaps they skip this step because they think it is a daunting task. Or perhaps it is because the entry into a new market isn’t so much a deliberate decision as an opportunistic one – a step taken maybe because it seems like a good idea based on a few recently acquired new customers. As the CEO, we hope you will mandate that a GTM plan be created and reviewed before any resources are deployed to pursue a new market.

A GTM plan is a powerful tool for four reasons. First, it provides a blueprint or roadmap for how the organization will enter a market and create revenue. Second, it helps allocate resources toward the most profitable opportunities and fosters focus. Third, it allows for the coordination of multiple resources toward the achievement of explicit measurable objectives. And lastly, it increases effectiveness and reduces risk by clearly identifying the discrete tasks necessary for success.
A GTM plan doesn’t have to be a task that consumes the entire organization months on end. This article outlines a ten-step process any size company can use to successfully enter a new market. These steps involve:

1. Leveraging an ecosystem map

2. Establishing success factors

3. Defining the target market and market entry strategy

4. Creating the foundational elements

5. Developing the measurable objectives

6. Creating performance-based tactical programs for customer acquisition

7. Defining tactical program activities, budget, calendar and ownership

8. Enabling the sales team for success

9. Implementation

10. Evaluation

Let’s take a quick look at what each step entails.

Step One: Working from an Ecosystem Map
The first step is to understand the lay of the land. A useful way to gain this insight is to create an ecosystem map. An ecosystem map provides a visual representation of the network. It depicts all the network members, such as buyers, competitors, distribution channels, and influencers, and graphically represents the relationship of these members to each other. A key value of the map lies in its ability to identify and visually represent these relationships. By creating a map of the ecosystem you can assess whether the ecosystem is healthy, attractive and open to new participants. The ecosystem map will help you make a go/no decision and pinpoint the cluster of ecosystem participants and associated relationships that represent the most favorable environment for market entry.

Step Two: Establish Success Factors
Should you decide to pursue a market you will want to have a clear idea of what success is before proceeding. By answering these two questions you can define success for you and your team.

1. What constitutes initial success in this vertical (initial number of adopters, rate of adoption of first buyers)?

2. What constitutes longer-term success in this vertical (market share, share of wallet, number of customers, revenue)?

Your marketing team should use these success factors to create quantifiable and measurable objectives for the tactical plan.

Step Three: Define the Entry Points and Market Entry Strategy
Now that you have decided to enter a market and have defined what constitutes success, the next step is to create your entry strategy. We find answers to these kinds of questions can often help with creating the strategy:

1. What are the characteristics of the ideal customer and their buying process?

2. Where and who do they go to when looking for solutions provided by your company?

3. Who are the competitors’ customers and which of these customers is most likely to switch and why?

4. Who would be the first five, ten or twenty best first targets and why?

5. What kind of people (titles, roles) would be the best initial point of contact inside the customer targets that would accelerate access?

In keeping with the Boy Scout’s Motto, “Be Prepared,” this step prepares you to anticipate how competitors and prospective customers might react so you can anticipate potential adjustments and develop contingency strategies.

Step Four: Foundational Elements
Armed with your market entry strategy, there are three foundational elements that need to be developed to support the GTM plan: Your value proposition (why they should buy from you), your positioning (how are you better and different), and your message map that communicates your unique value proposition. These three elements will serve as the foundation for every subsequent market sales asset, such as product literature, public and analyst relations material, sales presentations and tools, website content, white papers, educational events, search engine key words and so on.

Step Five: Developing the Plan Objectives
Your measurable objectives are the basis of a GTM Tactical plan. For objectives to be effective they need to be quantifiable and actionable. The objectives provide focus, establish priorities and guide the development of all your tactical programs

Step Six: Create Tactical Programs for Customer Acquisition
You’ll want to design your tactical programs to support the strategies and objectives. In a GTM plan tactical programs typically include efforts related to establishing thought leadership, gaining support from key influencers such as analysts, reporters and bloggers, to developing online and offline paid advertising to create air coverage for your sales team, producing and delivering training and tools to enable the sales team, and of course to efforts designed to generate demand and leads. Keep in mind the contingency strategies you identified earlier and give some thought to what other tactical programs if any might be needed to support these contingencies.

Understanding and documenting the customer buying process will be pivotal to knowing which influencers to approach, what thought leadership venues to secure, which tools are preferred and at what point in the buying process prospective customers want and use these tools. The customer buying pipeline provides insight into how to engage prospective customers to accelerate consideration and preference.

Step Seven: Define Tactical Program Performance Targets, Activities, Budget, and Calendar
Once you have the entire tactical program outlined you will need to put the meat on the bones. The first step is to establish performance targets and milestones for each tactical program. Since various activities generally comprise a tactical program, each of these activities needs to be identified and added to the plan calendar. Execution of the plan is where the rubber meets the road and it is often the lack of detail and a clearly identified owner for activities and their corresponding tactical program that derails plan implementation. This is also the step where you want to develop check points for assessing whether performance targets are being met and execution is going as planned.

Step Eight: Sales Enablement
Often times an organization believes that once the sales organization has been informed of the product’s features, reviewed information about a new market, and been given a set of the tools, they can check sales enablement off the list. Your sales team needs to understand why the organization is pursuing this new market, what it will take to be successful, the strategy and tactics being deployed, and the customer buying process. During the sales training you will want to review various sales enablement tools, what they are, how and when to use them. The sales enablement tools might include call scripts, presentations for initial meetings, personas, use cases, playbooks, etc.

Steps Nine and Ten: Implementation and Evaluation
The plan is complete. It has been reviewed and approved. Marketing, sales management, product engineering, operations, customer service, finance, legal are all in the loop and are all on-board. You’re ready to move from planning to implementation. Upon commencing the plan it is essential to monitor reactions from every key connection and to every activity so course corrections, if needed, can be rapidly made. The checkpoints previously established serve as an opportunity to evaluate the plan and your progress. Once the plan is complete, make time to debrief on what went well, what could have gone better and to decide next steps.

About Laura Patterson

Laura Patterson’s marketing and sales career spans nearly 30 years having worked for both large public companies such as State Farm and Motorola and as well as start ups. In 1999 she co-founded VisionEdge Marketing (http://www.visionedgemarketing.com), a data-driven metrics based strategic and product marketing company that specializes in improving marketing performance and helping organizations create a competitive advantage designed to attract, secure and retain profitable customers. Author of dozens of published marketing and branding articles and the books Gone Fishin' and Measure What Matters and the recently published Metrics in Action: Creating Performance-Driven Organizations.

Do we really know the markets we serve?

If you were to ask the President of a Community Bank or Credit Union, "how well do you know the market that your institution serves?" Chances are the vast majority would tell you that they know their markets "inside out." To their credit, they really do believe their response to be true.

Unfortunately, most of the time, their perception of the markets they serve is based on observations and intuition and do not accurately reflect the true composition of their market.

Fortunately, the cost of obtaining market data has decreased significantly over the last couple of years enabling community banks and credits unions to gain access to the same data that their regional/national competitors have had for years.

Through market segmentation, management has the capability to look at the composition of their markets, identify those household with the highest propensity to purchase specific products, gain knowledge of the balances those households maintain, and can even determine the delivery channel they prefer and how best to reach those households with a pertinent offer.

Sometimes this type of analysis confirms how management views their markets, but most of the time this type of analysis is a real "eye opener."

Using this type of analysis as the basis for strategic planning enables the institution to set quantifiable, achievable goals. Being able to communicate how the goals were set, makes it easier for management to get "buy in" from the individuals responsible for achieving those goals.

Do we really understand the market we serve? If we take advantage to the tools that are available, the answer can be a resounding "yes"!

Have a great week/weekend!

Mike

Be A Good Host

As I sit here writing the report for a recent competitive shopping report, I thought I'd share some of the "low-lights" and talk about fixing them.

I've done these shops for clients all over the country ... experiencing life as a potential customer who's motivated to switch checking accounts, and the results always amaze me. In every market that I've done this in, from California to Michigan, nearly all of the experiences have been lousy. If I was really in the market for a new checking account, I'd have a hard time finding an institution that I trust. Here are some examples:

• The "Point and Send": When a teller is handing off a prospect to a new accounts rep - or worse yet, simply sending them to a brochure rack, they simply point in the general direction and say "Go there."

The Fix: Whenever possible, the teller or reception person should walk the prospect to the new accounts person ... preferably after introducing themselves and getting the prospect's name and asking a few basic qualifying questions (where they bank now, what kind of checking account they have now, do they use debit/online banking/bill pay) ... and make a personal introduction to the new account rep and explain the situation to the new account staff.

• "Bored Guy in Ties": I walked into an empty branch where almost every office was staffed with a bored looking guy plankly staring at his computer ... I can only assume checking his Facebook account or playing solitaire.

The Fix: They could have been doing ANYTHING productive: writing personal, handwritten "Thank You" notes to new accounts, conducting random account reviews then making outbound calls with recommendations to top customers with suggestions for products that may help them ... anything!

• The "Product Puke": This is my favorite and most common. When the prospect says that they are interested in checking and the teller or new accounts person READS from a sales brochure literally every account with fees and features. I've had folks talk to me about 50+ accounts (and I'm only 38!!!)

The Fix: This ONLY happens when your staff doesn't ask qualifying questions. First find out how the prospect uses their checking (average balance, access needs, etc.) and make a recommendation based on their answers.

The bottom line here is simple:

Treat every customer as you would treat a guest in your home.

• Shake their hand and welcome them
• Introduce yourself and others
• Never "Point and Send" - escort them from place to place
• Offer a drink of water or coffee if they are sitting to talk to new accounts
• Find out what they need and make a recommendation - you are the expert!
• When they are leaving, walk them to the door and thank them for coming in

These basic - common sense - acts will certainly make you stad out from anyone else in your market.

Take care and Happy Veteran's Day,

Eric

Why your bank's strategic marketing plan can't wait!

It's that time of year when everything begins to compete for our time...the Holidays are here, family activities are in full gear; and wrapping up this year's marketing activities, planning the budget for next year, keeping an eye on new legislation, and many more items are also priorities. What I have found in working with numerous banks over the years, is that it is all too easy to let the marketing plan for next year be put off until January. Does this sound familiar?



I know it takes alot of time to research the market data, competitor data, review internal reports on balance sheet, profitability, study MCIF reports to find those golden opportunities, meet with division heads to find out their priorities and goals and marketing support they require, and then create a targeted plan for the investment of your marketing budget. I feel your pain!



Yet danger lurks in letting this important component of your job go until January. Namely, that you lose the first quarter. If you write the plan in January, get it approved in early February and start implementing in late February, you can't really get started until late March or early April.



A good marketing plan should be designed so that you are more than halfway to all of your goals by June and many would agree that most of your budget should be spent by the end of September. For any sales results to have an impact to the bottom line during 2010, this is the optimal schedule. If you don't get started until March or April, you won't achieve what you could have with your marketing budget in 2010, and as a direct result, you lessen your probability of getting the same or an increased budget for 2011.



A great marketing plan is the basis for a great year! If you are strapped for time and would appreciate some outside support for this critical component of your job, contact us at MarketMatch. We have years of experience at it. Check out our new "Expert2Go" services here: www.marketmatch.com/services/expert2go.



It won't cost you much, but it could get you way ahead of the game!

Here's to this busy time of year,

Sharon

Catering to the Recession Mentality

Good morning!

What a great Monday it is...November is kicking in gear and its the 9th already!  Only 47 more days until Christmas.  That thought leads me to my post today!

In reading the Wall Street Journal today, an article struck me....it is entitled the same as the blog post- Catering to the Recession Mentality. It discusses the reality that many people are still sticky pretty close to the vest when considering spending. In fact, they quote two very telling statistics:

• 74% of people intend to buy items on sale
• 54% intend to use more coupons

If we are in fact retail businesses, we need to take a cue from our retail brethren and follow their lead (and the consumer, too!)  While I am a true value marketer and that may seem to fly in the face of using coupons and having "sale" items.  I am reminded of a time that at Bank One (yep, pre-Chase) we had a display at a technology fair and had t-shirts for sale at $10 a piece.  We did not see ONE shirt the 1st day.  The 2nd day, we got creative...we posted a sign with a $15 price with a slash through it and a note that said "Today only $12".  We sold EVERY shirt we had...and at $2 MORE than the day before!

The consumer is seeking VALUE...and if PRICE is their only sense of value then that rules.  If we can paint of different picture of value through relationships, account packaging, etc. we can address the consumer's need for a "deal" and take a page from our retailing brethren.

So you task is to strategize ways to bring VALUE to your marketing...price is one option...but leave that one for last....

Happy marketing!

Cheers!

Bruce

When messages send the wrong message!

Everyone has said something they thought was harmless (or worse yet - well intentioned) only to have the message completely misinterpreted. You have heard the old adage "sometimes it's not what you say, but how you say it."

Financial institutions often place messages in their branch locations designed to inform but end up sending the wrong message. Case in point - A community bank had a $5.00 fee for cashing a check drawn on another bank. A well intentioned marketer had signs created on colored paper, laminated and posted by the teller windows. The signs were created because there had been instances where a non-customer came in to cash a check drawn on another bank and became very upset about the $5.00 fee. The sign was very well written and stated the bank policy accurately and was created to help avoid future incidences.

The problem is - that sign was the first thing that both customers and prospects see when they walk into the branch. While the policy probably affects less than 1% of all visitors to the branch, it is boldly communicated to the other 99% of visitors to the branch. Clearly, this policy would best be handled with a one-to-one conversation as the need arises.

Take a fresh look at everything on display in your branches. Make sure that everything on display supports your "brand promise." Communicate your ability and willingness to serve as financial adviser's to both customers and prospective customers.

Display product information that is informative and suggests a "call to action."

Have a review process in place that eliminates outdated information and validates that messaging in your branches conveys the "right message."

Have a great week/weekend!

Mike

Meeting Your Twitter Customers Face-to-Face

Wow, check this out. While researching for an upcoming conference speaking gig, I stumbled on this great example of Social Networking done right.

Addison Avenue Credit Union, a $2.4 billion credit union in California with about 150,000 members, has a heavy online following through their website and Twitter. They provide a forum and encourage members to share their thoughts, concerns and advice online. And I'm not just talking about boring financial stuff either! As you can see from the photo, there's a posting about a cheaper alternative to Odwalla drinks (whatever that is).

They simply have a few rules:

We implemented Groups for you, not for us. Rather than corporate-speak and glitzy sales offers, Groups are here to let you to chat with each other, and to find and provide answers cooperatively.

Groups are public. While some of the Groups can only be posted to by Addison Avenue members (such as “Make Addison Avenue Better”), the majority of the posts are part of a broader public network where people other than Addison Avenue members are discussing things together and helping each other out. The more the merrier.

Anything goes in the discussion groups, except for things you wouldn’t tell your grandmother or personal account information. So share and share alike, and if you do have a specific issue regarding one of your accounts, we’re only a phone call or secure message away.

Everyone has their own story. What’s so great about Groups is that everyone is at a different place in life with different financial needs, which means everyone has something unique to offer. We hope you find what you are looking for. Welcome to the community.

We’ll help things along. If you see a response with a little Addison Avenue fencepost next to it in some discussions, that means it came from an “official” here at Addison Avenue. We’re here to help!

But here's where it gets REALLY cool. Not only does Addison Ave. understand social networking and how to add value to a key demographic, but they took it to a level that makes perfect sense ... and I wish I had thought of.

Recently, the credit union hosted a "TweetUp" where they invited Twitter followers to an in-person get together at a local coffee house to discuss topics ranging from the economy to the credit union's new campaign. Not only did they attract their existing Twitter followers and members, but also locals "just passing by."

That's what I love about this job. When you have the perfect blend of common sense and creativity, it's divine!

Take care,

Eric

Using Social Media...

Good morning...

As noted by Sharon, we conducted a series of marketing sessions in Indiana on Friday...what a great group!  One of the sessions dealt with the new mix of media; namely social media.

I thought I would share a cartoon that truly hits home on the emphasis on not only USING social media, but its understanding PRIOR to launching your participation...

Social media (Twitter, Facebook, blog, MySpace, etc.) is here and IS a mainstream communication channel. The decision is truly not should we, but how do we!

Need help figuring it out? Call me...

Have a great day!

PS...Remember to vote tomorrow....Democracy is a gift...exercise it!

Cheers!

Bruce

Blogging from NAMP...

Once again I find myself at the National Arts Marketing Project Conference, which is being held this year in Providence, RI. This is my fifth conference, and instead of presenting like I have done in the past, I really wanted to listen in on other sessions to hear what is being discussed. I have been asked to blog about my experiences for Americans for the Arts so these posts can also be seen on their blog.

This morning I was lucky enough to sit in on the Every Dollar Counts: Using ROI to Prove Marketing Effectiveness session. I decided to go to the session because one of my favorite arts marketing experts was presenting--Philippe Ravanas, marketing professor at Columbia College and former VP of Corporate Communications for EuroDisney. I have seen him speak at several conferences and he is always extraordinary.

This morning he discussed a situation he found himself in when he was the Manager of Client Development at Christie's in London. Each year, they would produce a beautiful catalog of auction items that they would send to most of their database. These catalogs were highly coveted, and cost the organization $20 a piece to produce, however Philippe noticed that his ROI (return on investment) for these catalogs was poor. It was costing him too much to produce and mail these catalogs in terms of how much revenue they were bringing in. After researching the problem, he found that they were mailing these catalogs to almost every purchaser, including those people who purchased once twenty years ago and people who only purchased a minor item just to get on the distribution list, as the Christie's catalog seemed to be a popular coffee table item. He soon cut back the distribution, and only sent the catalog to his higher end purchasers. This action greatly improved his ROI on the catalog.

It brought me back to a previous blog post I wrote about the future of the subscription brochure. If you read the post, you can see that I have some serious doubts as to whether or not a subscription brochure works as a sales piece. That being said, our subscribers at Arena Stage love our season brochure because it invites them into the process. There are articles by our featured artists, a letter from our artistic director, beautiful artwork, etc. We have heard from our subscribers that they anxiously await our brochure each year, and that these brochures have become collector's items. So they perform a very valuable function in maintaining relationships with our higher end purchasers, but they aren't necessarily needed to push acquisitions. In fact, we have found that other smaller pieces with a clear central message that cost significantly less to produce and mail actually perform better for acquisition campaigns.

As Diane Ragsdale says in her article Recreating Fine Arts Institutions : "Arts leaders may be tempted to think that the solution to dwindling audiences lies in better marketing, but if arts organizations are going to survive, they have to put more than the season brochure on the autopsy table." I completely agree with Diane...but what happens if an organization isn't even willing to put their season brochure on the autopsy table?

SEO: Definitely Worth Your Time

The below is an article I wrote while I was VP of Marketing at Agora Publishing/Early to Rise.I’m republishing it because it’s timely…with the current economy the way it is, marketers are often forgetting about the grass-roots approaches … marketing that is virtually no cost, but just requires time, effort and strategic thought.

SEO often gets a bad rap, because some marketers don’t know how to measure it. But it should always be a crucial part of your online marketing mix.

###

Don’t Overlook Organic Search Efforts in Your Online Marketing Mix
By Wendy Montes de Oca

Many Internet entrepreneurs think they’re doing everything they can to get the word out about their businesses. They allocate their marketing budgets to direct mail, e-mail, banner ads, print ads, co-registration, and pay-per-click (PPC). They spend much of their time, effort, and money on getting those channels to produce a positive ROI (return on investment). But they’re ignoring a major source of potential traffic… which means they are losing hordes of potential new customers. Big mistake.

I’m talking about organic search via search engine marketing and optimization (SEM/SEO).
Many marketers think focusing on organic search is "a waste of time." Some think there’s no way to monitor, measure, and monetize the results. But they’re either clueless or misinformed. For instance, according to a recent survey by Jupiter Research, 80 percent of Web users get information from organic search results. And measuring sources of traffic and visitors is easy with the free Web tool Google Analytics.

Search engines like diversity in relevant back links to your website. And one of the best ways to get lots of relevant back links – as I said in my article about the SONAR Method of Content Distribution – is with a synchronized distribution of your content to a variety of sources.
So in addition to having optimized website pages, having a variety of news aggregators, social networks, blogs, and directories linking to your site helps give you a heavier weight in organic listings. This helps build your organic market presence for little or no cost. And, let’s face it, low cost is a good thing.

Using organic search strategies helped increase traffic rank and visits to ETR’s sister publication, Total Health Breakthroughs, by 3,160 percent and 81.5 percent, respectively, in only three months. In that same time period, Total Health Breakthroughs had a 62.01 percent rate of converting that organic search traffic into subscribers. That’s about 16,000 organic names in three months at virtually no cost!

Now tell me… does that seem like a waste of time to you?

[Note: This article appears courtesy of Early To Rise, a free newsletter dedicated to making money, improving health, and secrets to success. For a complimentary subscription, visit http://www.earlytorise.com.]

It's kinda spooky....

Bruce and I just finished a 2 day marketing forum for bankers in Indiana and Ohio and what a great time we had! Lots of great questions and discussion was had by the group. We talked alot about how to develop a real, strategic marketing plan. We talked about getting customer insight -how to do it and how to use it. We talked about retention. We talked alot about social media and why it's hard as a community bank marketer to tackle this important new social phenomenon.

It's kinda spooky.... just when you know your job as the one person everyone counts on to do practically everything is absolutely all you can handle, someone says you need to add social media to your job description!! That can be very scary indeed. How do you add more hours to your day? How to you get up to speed on it all? How do you manage it on a 24/7 basis? Sounds impossible, doesn't it?

Yes.

The more we discussed this, the more it became clear. You can't. In fact, you shouldn't. A community bank mareketing director can't and shouldn't take this on alone. You need to manage the program and processes, but don't do it all yourself! Find someone else in your organization--preferably an under 30 type --who is passionate about social media. There is most likely someone there who would love to handle the day to day, 15 to 30 minute duty of following, checking, and updating your social media presence. That doesn't mean that you don't write the responses, or the blog, or whatever, but that someone else helps you with doing it.

OMG!

Its a concept that might work with some other areas of responsibility you have... that's worth thinking about for a few minutes, isn't it?

So enjoy your spooky Halloween and think about how, who, what, and all the details of what you want to do. But don't let tackling the new world of social media scare you...


TYVM.

Sharon

Are you ready for the holidays?

Thanksgiving and Christmas are rapidly approaching. But with the anticipation of getting together with family and friends, and lots of good food and drink comes the stress of preparing all the food, shopping for just the right gift, struggling with how much you can spend, etc.

It's difficult to keep everything in perspective but allow yourself the opportunity to enjoy the holidays. You have earned it! 2009 has been a difficult year for all of us in the financial services industry. The economy, consumer fears, unemployment, the stock market, etc. have all combined to challenge us as financial service marketers like we have never been challenged in the past.

Celebrate your 2009 successes! Learn from - but forget you failures! Look forward to 2010!

Although there is some disagreement, the majority of the "experts" believe that 2010 will be a much better year for the economy.

Continue to focus on the things that will make you and your financial institution successful in 2010.

Think BIG! Work HARD! Get PREPARED for a great 2010!

Mike

Lessons Learned From "The Godfather"

Someday, and that day may never come, I’ll call upon you to do a service for me … until that day, accept this blog as a gift…

“I’ll make him an offer he can’t refuse”: Position and/or package your products in a way that makes switching institutions a no-brainer for the prospect. What “can’t refuse” product do you have now? Do you offer relationship pricing to make your customer “part of the family?”

You can also look at this internally … During your budgeting process for 2010, speak in terms of ROI. As opposed to simply reporting on how many new customers, deposits or loans you feel you can bring in next year – share your expected results in terms of ROI. If management has $1 to spend, show them you can give them $2.25 back. Where else in the bank or credit union will they see that kind of return? It truly is an “offer they can’t refuse.”

“This isn't personal, it’s business”: This year, budgets will be cut, if it’s yours don’t take it personal – do the best you can.

“Keep your friends close, but keep your enemies closer”: Know your competition better than they know themselves. What is their pricing? What target do they cater to? What do they do best? What do they do lousy? Exactly how do they treat customers in face-to-face and phone interactions?

“Mister Corleone never asks a second favor once he’s refused the first, understand?”: Once you say “no” to a customer, you’re dead to them. Are your approval guidelines reasonable based on the institution’s needs and competitive factors? When you say no, do you offer alternatives or let the customer know what they can do to get approved next time?

“Leave the gun … take the cannoli”: Make sure you make time to leave work behind and enjoy life’s delicacies.

I know y’all can help me make this list more complete. Add your favorite quote and lesson learned to the comment section.

Ciao,

Eric

Wealth of Opportunity for Banks

Greetings...

I know you are in the midst of planning. Take a break for just a second and listen...

In the past few months we have talked about the economy, the industry and the challenges.  We have also talked about "money in motion" and that NOW is the ideal time to capture your disproportionate share of new money available in the market.  I have another similar message!

Now is the ideal time to enter or expand your investment services offerings...community banks are poised for growth, have high trust right now, and the competition is shuttering lots of offices, products lines and staffs.

There is a "wealth of opportunity" for banks to focus your efforts on your investment services.  People are looking for confidence and opinion that will lead them to safety for their money.  Your bank can be that place!!

For the bank, it is an excellent source for non-interest income from investment sales and fees for services.  Plus it adds to your "full service" capability that puts you on the same playing field as EVERY major bank...and you have the benefit of being a community bank!

A great article was just shared with me...that I will share with you.  It talks straight to the point...  So, get back to planning and ADD or ENHANCE investment services to your plan. 

Click here for the article...

Email me if you need any help....we have some great partners that can be your expert!

Cheers!

Bruce Clapp

Thoughts on the Voodoo Art that is Branding

Many established arts organizations are finding themselves in the position of having to reinvent tried and true business models to adapt to the ever changing economic landscape. Diane Ragsdale, Associate Program Officer for the Mellon Foundation, offers a well thought out paper on this subject entitled Recreating Fine Arts Institutions. Although I don't agree with all of her arguments, I believe she outlines the overall dilemma very well.

So, what do most organizations do in this situation? They bring in a branding firm to slap a new coat of paint on the organization by creating revamped messaging rules, visual systems and logos. In guiding a couple of these rebranding projects myself, I have learned the following:

1. You can slap a little lipstick on a pig, but it is still a pig. Rebranding begins with artistic strategy. If an organization truly wants to address significant business or perceptual issues, it must do so with the product first. It doesn't matter how savy a branding firm is, if you don't reposition your artistic strategy, there is no reason to rebrand. In working on the rebranding campaign for Arena Stage at The Mead Center for American Theater, I believe this was handled in an excellent fashion by our artistic staff. The senior artistic staff members drafted an artistic plan that clearly outlined where we were, and where we wanted to go. It was a shift from a traditional regional theater model toward becoming a national center for the production, presentation, study and development of American Theater. Once given this clearly defined goal and the artistic strategies to achieve it, the rest of the rebranding process could officially kick off.

2. Say what you want, but your customers will tell you your brand. Have you ever noticed a clear disconnect between the official corporate messaging from a company and your perception of the same company? An example of this can be found in a blog post that I wrote about Hyatt Regency in 2007. Hyatt Regency corporate communications boast that they go above and beyond in customer service, but as you can see, that wasn't my experience. No matter what you say, your brand lives in the minds of your customers. We can craft the best messaging campaigns in the world, but it will not matter if we don't deliver. What we deliver on will become our brand.

3. Brand strategy can be crafted by marketing, but its success is determined by everyone. Think of the people who actually execute your brand -- front line sales associates who process orders; artists who develop the product your customers will experience; the parking attendant who most likely will be the first person to greet your patrons on the evening of their performance; the concessions staff who has to process a vast amount of orders in a very limited amount of time. And then think of the amount of time that a Marketing Director generally interacts directly with patrons. It's time to get over ourselves...brand strategy will live or die by the people who represent you on the front lines, not the pretty new colors you have selected for the organization.

All of this is to say that I do believe that messaging and visual systems are critical in conveying a brand, however they are not the most important factors in developing a brand identity. Artistic strategy and the day to day execution of your brand promises will always outrank the look and feel of any brand.

Who is the hardest working player in professional football?

I will give you a hint! His team is 5 - 0 and he has 5 consecutive games passing over 300 yards per game. If you are a football fan, you know it is Peyton Manning of the Indianapolis Colts.

Believe it or not, there is a lesson to be learned here for all of us in the financial services industry.

Peyton is such a dedicated student of the game and such a hard worker that his team hasn't missed a step even as veteran players on offense have gotten hurt and had to be replaced with rookies. His after hours practice sessions with these young kids has them playing like veterans even though the are only five games into their career. He communicates clear expectations to each of them (you might say "stretch goals") but he provides them the tools they need to be successful. Because of this, the Colts appear to be in position for a Super Bowl run despite the adversity they have had to overcome.

The financial services industry has a lot of adversity to overcome. High unemployment, scared consumers, loan delinquencies, bad publicity about executive compensation, etc. would all appear to be "road blocks" to our success.

If we learn from Peyton's example, our institution's too can be successful!

We need to set and communicate clear expectations for all of our employees. We need to provide them the sales training, customer focused products, marketing support, etc. they need to be successful. We need to monitor their sales activities, celebrate their successes, make strategy changes (when necessary) and reward them appropriately.

If we too "stay on top of our game" like Peyton Manning, our institutions can overcome adversity and enjoy tremendous success!


Have a great fall season!

Mike

PS - Even though I moved to San Antonio from Indianapolis, I will always be a Colts fan.