Directories May No Longer be at the Top of the List

In recent weeks I have had several encounters, in various forms, with directories as a media/advertising channel.  Do they make sense for small business?

I think we can agree directories have long lost their luster from the days when the massive phone books landed on the front door step.  Even overlooking the reality that hardly any one has one in their home (or business) the directory publishers themselves have made strategic moves to offer services beyond the traditional directory listing.

I'm bearish on directories.  A few years ago I was willing to concede a meaningful role to directories for some types of businesses (e.g. home services, food delivery, etc.) and especially not business-to-business I am retreating from even that qualified position.  Search has become everything.  Published directories take up space.  Online directories are one step removed from search.

The directory publishers I have seen recognize this and are trying to accommodate search in a way that they hope adds value, for example, adding review capability.  The problem is that they're merely duplicating what's already there with established market share.  Examples include Yelp, Google, Angie's List and so forth.

For the small advertiser, there are some serious concerns about directory listings.  Can the publisher return impressions that match or surpass others?  Do consumers actually use the tool(s)?  Is it too easy to be lost in a matching field of competitor listings?

Bottom line: Look very hard at directories'  offerings.  Compare to alternatives and think about how the directory is used, if so, by your target market.  The old days are gone and directories aren't the go-to resource they once were.

Two Ways Small Business Will Succeed in the (Near) Future

Occasionally I am invited to share thoughts on the future of small business marketing (and in this case, very small business).

The world of the early 21st century is very different from the one even a decade ago.  There is ever more marketing power available to use, especially in terms of technology, and there is more complication and confusion.  Every week I see peers struggle with the current "normal."

There are paths out of the thicket that will become more important to us small businesses.

I think alliances will become critical to the success of small business.  The current model (BNI, leads networking) is based on mutualism: one business striving to help another, but otherwise fully independent and unconnected.  This has all of the limitations one person can have, especially in how effective a person is, what time and resources are available, and so on.  I am seeing signs that these "solopreneurs" especially are entertaining more active partnering to leverage resources and opportunities.  It will most often take the form of related businesses or whatever yields natural synergies.  And the businesses will market in a united framework giving equal weight to each participant.

The other path will take the form of increased use of video.  Small businesses are not finding success in print nor even in flat digital publishing (i.e. standard text-based websites or social media posts.  It is incredibly hard to personalize and stand out in traditional ways.  Video lets a prospect see us, hear about what we do in our words and with our own emotions.  It has become very inexpensive to produce video and video can easily be disseminated online.  And it lends itself beautiful to mobile devices.  Even those who are bashful about being "seen" can speak into a microphone while text and graphics amplify the message.

The Bottom Line:  The marketplace is complicated and frustrating but we are seeing clearly how some new ways of organizing and displaying can change our game.  Think about how you can pair up with a logical ally and use video to stand out.

Five Steps Small Businesses Can Take to Better Market Themselves

Yesterday I was asked if I could share five ideas of things businesses do wrong when marketing themselves.  That sounds so demotivating, so let's cast this as five steps a small business can take to step it up!  Same thing, perhaps, but a better tone.

#1.  Refocus on your target customer.  Too many businesses adopt a philosophy that they serve "everyone" or several different segments at the same time.  It's vital to decide what one, laser-focused segment is your true target and aim marketing messages to them.  If others buy, that's great, but they cannot be the place you spend time and money.  Let's face it: advertising of any kind is expensive and the highest return on every dollar spent will be the customers who are most likely to buy.

#2.  Take a good look at your messaging.   Do the messages you send when promoting, advertising and selling work together?  Can a customer make sense of what you offer?  Can someone clearly describe you, your products and services, and how you can help them?  Can they easily confuse you with a competitor?

#3.  Find that point of differentiation.  Most businesses operate in a highly competitive space where consumers find it difficult to understand how one provider differs from another.  Your messages are much sharper when you can find a way to stand out, positively, from other choices,  Don't make it about price.  Do you have a unique skill? use special raw materials? provide extra value?

#4. Engage with your customers.  Use tools like an email newsletter, blog, social media platform, and video to make your products and services so much more personal.  Create value added by sharing ideas and information, asking questions, and stirring up excitement with contests or special events.  People like to do business with people and every chance you have to engage boosts the chance someone else will refer business to you.

#5.  Be picky with social media.  There are (too) many social media platforms out there and I can absolutely guarantee that not all of them are appropriate for a given small business.  Too many small businesses spend huge amounts of time posting and interacting at too many sites.  How many do you currently use?  Weed out the non-performers and focus on the top three or four.

Bottom Line:  Every business can take its game up a notch.  Can you sharpen your focus, tighten your message, find ways to engage more actively, and stand out a little better?

A Newsletter Can Serve You Well

I have recently seen several fantastic examples of "newsletters" as a marketing tool by business owners in my network.  The word is in quotes because in not all cases does the communication look like the traditional printed product so popular in the last century.  Online, "newsletters" can take various forms and they can be more easily produced and deployed.

I like the modern newsletter for several reasons.  Properly done, it is a communication that provides a wonderful value added.  The business can share information about their area of expertise as well as new products and services.  Sent at a predictable interval, the newsletter is a nice reminder that the business is "out there", boosting TOMA.  And it can be customized, often by sending variations to different lists.

My favorite local example is a short (3-4 paragraph) weekly email sent by a home services company.  It's friendly, slightly chatty, and both reminds customers about what they may want to know (e.g. steps to take in cold weather, checklists for being away from home, etc.) and tells them who to contact (by name!) that week if services are needed.

There is a caution.  I always encourage businesses to build their newsletter lists on an "opt-in" basis to ensure that anger at being spammed is minimized.  Also, a link for opting-out should always be included at the bottom of the newsletter.

Bottom Line: can your business use a short newsletter, once a week or perhaps monthly to provide value added and Top of Mind Awareness to your clients and customers?  Now is the time to get one started!

LinkedIn Can Help, If Used Well

I periodically hear talk in "solopreneur" circles about LinkedIn as a marketing tool.   This particular tool seems to have equal shares of advocates and detractors.  The latter crowd often seem to be populated with those who have had exposure to LinkedIn and didn't get the results they wanted.

LinkedIn is a great tool.  But it is a specialized tool.  Many detractors think it is a venue for sales, and that is exactly what it is not!  Nor is it an especially good way to generate B2C activity (i.e. Business-to-Consumers).

What LinkedIn does pretty well is idea-sharing.  And that comes from the theory that a good way to feed a network is to share ideas, concerns, and solutions.  I have regulars who post multiple items every day.  That may be a bit on the high side, but it is not off the mark by much.  By posting these easily digestible nuggets a solopreneur, or any other businessperson, can establish expertise, authority and most importantly that reminder that you are there, helping people with their challenges.

My principal concern for those posters I see most often is that they over-do "sharing": If articles or other writings are shared, at least do so with a context.  And for heaven's sake, limit those shared Internet memes!

Bottom line: Are you ready to put LinkedIn to work for your business?  Build that network, make appropriate connections, and regularly share valuable content.  You can plant seeds that grow in wonderful ways!

Signs May Point in the Wrong Direction

It isn't hard to find a great deal of advertising signage in a good sized metropolitan area.  From the lowly yard sale sign to clever "mobile" ads, there are many applications.  My city is very strict and restricts signs from most locations.  I tend to see them only on electric service poles, at interstate intersections, and (in sandwich board form) in front of the relevant business.

Some of my clients tell me signs get results for them,  a claim I do find astonishing.  I'm wired to be annoyed at these ragamuffin signs -- perhaps too many "We Buy Homes" have soured me.

But more to the point, signs tend to be weak servants for a business.  They can only disclose a very small amount of information beyond a phone number and a call to action.  They are usually relegated to sketchy locations (along with the scammers).  And they rarely boost brand equity.  A few get away with success by dint of unusual circumstances, like the mobile billboards towed through city streets, or the "For Sale" signs of a real estate company.

Can roadside signs work for your business?  It's certainly possible, but in the broader perspective is this a superior technique to an alternative?  If you are lofting the proverbial "Hail Mary" pass with a streetside sign it may be time to reassess the target market or some other fundamental.

Bottom Line:  Look at streetside signage with a critical eye.  If this is a method others in your field have used with success, be sure to produce ones with the best production value, a solid call to action and a reinforcement of your brand values.  Be careful of local zoning laws.  And think hard about alternative forms of advertising.

Differentiation Can Work Against You!

In the course of business networking I have the benefit of hearing comparison positioning from many business owners in very competitive areas.  That is, positioning their products and services in large part by referencing the defects in alternative choices.

These are variations of the old "Brand X" model where a product was seen as vastly superior to "Brand X" (a thinly concealed and well-known competitor) on some carefully selected basis.  Always in these product (and service) comparisons the basis is carefully selected!

Let's start this discussion by applauding any business from doing something to stand out.  In my view, that's absolutely essential in competing.  One can't be content to trust that the consumer will identify the business' strengths.

But the very real danger is what I see too often.  There is differentiation on shaky grounds.  Either the comparisons are disingenuous ("My product is 100% safe, cheaper, and has no downsides") or begs proof ("I pick stocks better than others"), or is simply banal (the infamous pizza box claim "You've tried the rest now try the best!")   I can't tell you how many times my skeptic radar kicks on and causes me to shy away from learning more about the business.

I do have willingness to trust claims that can be provable.  For example "I was trained in France", "I buy my ingredients from local farmers", or "My product is in more locations in this city" are all easily tested.  Or, if the business has test reports, independent market research, etc. to support their claims.

Bottom Line: Especially in a competitive market, differentiation from competitors is essential.  However, choose comparisons with care.  If making extraordinary claims provide proof or a means by which the consumer can ascertain the truth for him- or herself.  Always avoid superlatives that are over-the-top, unprovable, or patently incredible.  Your brand will thank you!