The Internet: You Ain’t Seen Nothing Yet

In reviewing Internet Retailers, “2014 Top 500 Guide” there is tons of stuff that just keeps popping out that affects one’s marketing practices and potential.  As important as we think the potential of the Internet is for business, we are actually underestimating its worth.

Internet BusinessBelow are just a few examples illustrating the Internet’s potential:

  • Internet retailing is growing 15-20 % per year while brick and mortar retail is only growing 1-3 %.  The implications for buying, retail stores, inventory management, and marketing are astounding.
  • Diverse retailers Amazon, Wayfair, Etsy, Google Play, Groupon, Vistaprint, Netflix, Overstock, represent businesses we never heard of a few years ago, are revolutionizing industries, purchasing techniques, and business patterns.
  • Much of the differentiation and value of the Internet resides in the connectivity, data aggregation, data-processing, and decision-making activities that take advantage of the data streams emanating from the Internet.
  • Numerous and growing challenges face brick and mortar retail stores including for example, over saturation translated into an average 46 square feet of retail space for every person in the U.S.
  • Inventory management, consumer tastes, deteriorating stores, and competitiveness are growing in importance.

[Read more…]

Pride in Startup Businesses

Businessman PrideHow come when I hear grandparents describe their grandchildren or parents post pictures of their kids on Facebook, the pride and descriptions are off the charts?  For instance, a child’s first steps are frequently described or photographed as if it were ballet or a sports performance.  When I read or listen to business plans, mission statements, or introductions to startup businesses, however, they frequently sound alike and do almost nothing to make the entrepreneur sound special.  For example, what makes a business sound special when they use some of the following phrases: fair prices, well-constructed, trendy, top quality, and excellent customer service?
These are not much more than basic requirements to be in business.  In contrast, below are two quotes that illustrate real pride: [Read more…]

Think like a Journalist but Operate like a Business Entrepreneur

Thinking like a journalistBeing a successful business entrepreneur requires being able to maintain a healthy balance between passion and reality – between the emotional reasons why you’re in business and the realities of carrying out the day-to-day tasks in getting the business off the ground and keeping it afloat.  To put the odds of success more in your favor, it helps to think like a journalist who is trained early on to use the five “w”s and a “how framework”.

Who, what, where, when, why, and how.

Delving into these questions and answering them will help comprise the strategic underpinnings of your business and guide execution and operations. [Read more…]

Customer Service is Your Brand

Building a brand and differentiating yourself from competition are one of the key challenges facing startup businesses.   Committing to quality customer service can be a key and achievable tool in the success of your business.  While this may seem obvious, it frequently loses prioritization when other issues strain the business.  For Quality Service Builds Brandsexample, the following is obvious:

• Satisfied customers, repeat customers, positive social media, and referrals are the best and least expensive marketing a business can have.   There is no substitute for a satisfied customer.
• In contrast, dissatisfied customers, poor service, and negative referrals can offset the best marketing efforts.
• Avoiding problems with great products and service is the most productive strategy to execute great customer service.
• “You only have one chance to make a first impression.”
• Response time is becoming a key measure affecting sales, profitability, and excellence.  It is wasteful to not promptly answer customer requests, have long lines, run out of inventory, etc. [Read more…]

Experience and Expertise are Critical to Startup Success

In his book, Outliers, Malcolm Gladwell became famous for arguing,Experience and expertise combine for startup success

“10,000 hours of practice is required to become a world-class expert.”

I am not sure it is 10,000 hours, but my experience indicates that experience and expertise are probably the most important factors in successful startups.   That doesn’t mean you need expertise in everything, but it does mean you need to have some hook into the effort you are pursuing.  In fact, one of the related facts of this approach is you frequently acquire skills in areas where they are lacking.  Two examples that illustrate this are as follows: [Read more…]

Goals and Measurement

Measure SuccessWe all understand the importance of goals, purpose, direction and measurement in establishing commitment, success, team work, and coordination.  Somehow between that understanding and the execution things often go awry.

One of the key mantras of a relatively new industry, direct marketing, has been the focus on setting goals and measurement.  Google Analytics, and products like it, have quickly become business tools of choice for companies seeking to set goals and measure results.  These new direct marketing tools are so effective and relatively easy to use that businesses both large and small can now instantly measure and observe results.

One typical reason goals are often not set correctly is that it can be a difficult process.  One of the advantages of professional sports is that the goal of winning is simple, clear, and easy. It is not always quite that simple in other businesses. [Read more…]