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The Audience Business

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The Audience Business

“We must shift from an asset business to an audience business.” – AdNews, November 2nd, 2015

Advertising networks, like those with ad spots or billboard locations to sell, have long been an inventory business.  More inventory (thus, the invention of the 22 minute TV show) and higher value inventory (ie, Times Square billboard) has been the recipe for growth.  But in today’s multi-channel world with mobile and multi-tasking consumers, it may be less about inventory than it is about audiences.  They may be able to quantify how many people walk through Picadilly Circus each day or would pump gas at a particular gas station during a particular month, but those aren’t audiences.  Those are statistics.

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Digital is the new electricity

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Digital is the new electricity

It’s in the background.  Always on.  Always flowing.  Taken for granted.  Doesn’t need to be mentioned.

Digital marketing is just marketing.

Digital Out of Home (DOOH) advertising is just advertising.

Virtual Reality or Augmented Reality might just be…reality.

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Marketing to Today’s “Super-Hero” Customer

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Marketing to Today’s “Super-Hero” Customer

A lot has been written about consumer-centric marketing in recent years.  The desire to provide relevant content and position the brand in the context of that value.  Seth Godin’s permission marketing principles.  The move to personalization.  The emotional attachment that brands should create for their customers.  Across all communication channels and at every customer touch point.

Today’s empowered consumer doesn’t just want to be educated.  They don’t just want to be engaged.  Frankly, they want to be super heroes.  They want to be the heroes of their own story and the brands they choose reinforce this perspective. They want to call a car whenever they need it, like the Batmobile, and the adoption of Uber and Lyft is evidence that the on-demand concept is appealing.  They want to have their whims indulged.  They want their news personalized and curated.  They want to keep up with friends of their choosing.

As marketers we have a responsibility to build the customer experience into the core of our company’s DNAs and into every medium or channel through which we communicate. So, how can customers be granted super powers in our marketing? 

First and foremost, today’s buyers must remain in control.  Our terms of service, privacy policies, product quality, production practices, and priorities must align with what customers want.  We start with our integrity when building trust.  I know that many customers might relinquish control without a second thought, but it’s our job not to let them do themselves harm. 

Secondly, we create opportunities for customers to have power on a scale that they couldn’t have without us.  Today’s savvy consumers are impressed with nothing less than super human strength and the ability to fly.  They want to see their name on a can of Coca-Cola.  We help them place a message on a personalized M&M.  We can put their picture on a billboard in Times Square.  We can put a mark on the world.  One that is unique to them. 

This can be part of the product or service we are selling or it can it be something we do in our marketing.  The distinction between the two is blurring and so is the customer’s experience of the brand across all the touchpoints, so marketing has a leadership responsibility.  For instance, the new iPhone camera takes beautiful, high resolution photos and video.  Why not build on the out-of-home ad campaign we have seen where photographs from iPhone users are printed on subway signs and billboards with the caption “taken with an iPhone” by creating a YouTube/Vimeo/Flickr style platform for sharing videos and photos taken with iPhones and have those images featured on the Apple site, social media, and digital billboards and in homes as an Apple TV screen saver? 

Next, we can connect customers visibly within the community.  We can give them something to brag about and some connection to their idols and friends.  It starts with sharing features, but goes beyond that.  We as market leading brands need to make our consumer constituents heros among their peers.  We can provide customers street credibility or expand their influence.  It’s the Apple sticker in the Macintosh boxes on Volkswagens across the country or the look of a teenager wearing Beats headphones by Dr. Dre around his neck.  I see this as a gap in store and airline loyalty programs.  Members with elite status aren’t given rewards that are visible to the community of other shoppers or guests that undoubtedly share other circles of influence.

It is also a limitation with the nearly ubiquitous category of hybrid cars.  Imagine hybrid cars connected with a gamification system that allows one driver to compete with others for fuel efficiency.  Similar to how FitBit users can track steps on a leader board.  Imagine how many more fuel efficient cars would be sold with this kind of gamification?

Consumer fashion brands do this well by offering sponsorships or free product to highly influential individuals, but could that scale to something that other brands could do even if they don’t have a celebrity endorsement program or a full-scale newsroom?  I imagine so, if we were creative in our marketing.

Lastly, we can give customers a mission.  As marketers, we give our customers an opportunity to be involved in greater causes and the power to benefit others with their super powers.  This is what Whole Foods has done with the wooden nickels for “bring your own bag” rewards or Starbucks involvement in (Red).  You could allow customers to donate a perks to non-profits of their choice.  Loyal customers could be allowed to pick charitable giving campaigns from their favorite brands.  Customers could donate their photos from their Hawaii vacation to be featured in the advertising or on the website of the visitor’s bureau for the State. At Planar Systems we recently offered our customers and employees an opportunity to participate in a fun run in Portland, to benefit a local alternative high school.  This example of the “do well, by doing good” approach which is growing in importance and influence among our customers.

With a purposeful emphasis on integrity, giving users power, community connections, and missional marketing, we can transform our customers into the super heroes that will not only show us loyalty, but will attract others to us.

This article was published on Frost & Sullivan's Digital Marketing e-Bulletin

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Why CMOs Should Drive Product Strategy

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Why CMOs Should Drive Product Strategy

When my company reorganized several years ago, we went from a business unit structure to a functional organization, and I was considered for a position that would run marketing as a member of the executive team.

As part of those discussions, I negotiated to have the role include both traditional marketing functions, such as advertising, PR, events, and sales tool development, but also product strategy in the form of product management and road map planning. Why? I had three reasons:  

1. MarCom Is A Pink Ghetto
As a female executive, I was sensitive--sensitive to my observations and the reputation that marketing (and human resources, by the way) had of being places where women got stuck in their careers. Careers focused in these areas resulted in professionals who were often pigeon-holed and excluded from real participation in the business strategy.

I am not sure who coined the phrase, but I had heard it applies here: the pink ghetto. It's a place where women are seen as a support function for other more “important” roles, such as sales, finance, or R&D--roles typically held by men, at least in the technology industry. I didn’t want to get stuck and had worked throughout my career to gain broad experience that made me a better business person, not just a better marketer.

In my role, which combines both go-to-market and market requirements, I have broad impact on the company, and my team is able to impact the direction of the business overall.

2. Marketing Is The Center Of The Hub
Being responsible for products, I am at the center of creative ideas and cleverness. I get to work closely with R&D to determine what can be done and the relevant and high-value applications of technology. I get to work closely with the sales team to determine how to aim them and equip them to capture the market potential of new offerings. My team and I get to be in the center of the hub and are tasked with combining what can be done with what should be done to create new possibilities for the company.

3. Customer Empathy Runs Deep
True innovations are grounded in customer empathy. Understanding the customer problems is the foundation of “solutions,” which companies are so anxious to talk about but execute so poorly. And that customer understanding not only affects the products we bring to market, but how we market them.

This may involve creating sales tools that require a deep understanding of the product in order to simplify the customer experience and accelerate the buying process. Without responsibility for both the product road map and marketing communications, this connection would be more difficult to make and would cause “marketing” to be less strategic and more reactive, instead of leading the charge of innovation in the marketplace.

This article was posted on CMO.com.

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Turning Your Marketing Team in Data Wonks

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Turning Your Marketing Team in Data Wonks

Marketing ROI has never been sexier… or more possible.

With today’s data analytics, digital marketing spend, and marketing automation systems, the opportunities are ripe for changing the ways that we approach marketing and its management.

Direct marketing professionals are ahead of the trends here, having focused on response rates, revenue generation, and list management long before these things rose to their current level of popularity.

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There are new positions showing up in marketing organizations to address this need, ranging from marketing operations managers to marketing data scientists. CEOs across industries are now learning a whole new set of acronyms (like SEO and SQL) as the CMO and CIO are working more closely together.

This change has very real implications for the marketing organization overall. People who were attracted to marketing and have performed exceptionally well in their previous roles might make a smooth transition to the new world of data accountability.

Here are three ways to help:

Demystify Data

Wanting to make data-driven decisions is all well and good, but if the data that would drive those decisions are not easily accessible, then the effort is for naught. Make sure that the metrics you want to see are available to your team.

This requires the insight to be in data form (that is, systems and report structures in place) and for the team who needs the data to have permissions to access it. I have heard of organizations where the marketing organization wanted to measure lead-to-opportunity conversions, but didn’t have access to the CRM system from which this data might be pulled.

This article was published in the Puget Sound Business Journal, Denver Business Journal, Los Angeles Business Journal, as well as other American City Business Journals.

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The Old Way of Marketing

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The Old Way of Marketing

Modern buyers are allergic to the old ways of marketing.  The unsolicited emails, direct mail, the interruption-based advertising.  If not allergic, then they are immune.  In any case, the old ways don’t work anymore.  And we must find a new way.

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The Art Of Marketing Marketing

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The Art Of Marketing Marketing

Many companies devalue marketing, considering it the department that makes pretty pictures or the administrative support for the sales team.  Others strongly value the strategic involvement of marketing in product strategy, branding, strategic planning, and industry leadership.  I am blessed to work for an organization that models the latter, but I certainly am familiar with the former.

This topic is a big one (worthy of more than one post).  To get the conversation started, here are four key questions that you can ask yourself to help you answer the question of how to market marketing in your organization.

1. Can you express your motivation for wanting to market marketing in terms of overall business results?

Do you think that investing in a marketing automation system and nurturing campaigns will generate 20 percent more revenue next year?  Do you believe that improving the brand consistency across the organization will lead to higher customer perception of quality and improve gross margins by 2 percent for the next product launch?  Do you believe that developing a new interactive platform for sharing product benefits with your sales channel will reduce the sales cycle by two months resulting in a 13 percent increase in revenue with the same effort?  These are the types of questions you should be asking, when you are thinking of advocating for anything in a business environment.

If you don’t know how to answer these questions, it could be an indication that you are not yet ready to advocate for a larger and more impactful role for marketing in your company … and that you should get ready.  That in itself should be a call to action to learn more about your business, your drivers of value in the market, your customer problems, your solutions, and overall business strategy … and how score is kept financially.

2. What is the perception of your brand and that of “marketing” in your organization? What should it be?  What is the gap?

Before you would embark on a brand-building campaign, you would always begin with data to identify the “as is” state and to quantify the “to be” state.  And to identify the gap between these states.  Often this is accomplished with surveys, voice of the customer, share of voice analysis, or other tools.  Why not do the same thing within your organization to gauge how far away the organization is from what you envision as the ideal?

It is also important to know whether your brand is strong enough in the organization to lead that charge. What are you known for in the organization?  Why do people come to you?  Does that align with what you need it to be to advocate the change you are advocating?  What can you do to change the perception and reputation?

3. What “marketing” does your customer really need?

This should probably be the first question, as anything (besides that which is required for regulatory, legal, or financial compliance) that isn’t seen and appreciated by customers, probably isn’t worth doing.  It is the definition of waste and the hallmark of bureaucracy.  But coming back to my point, what value does the customer perceive in the marketing you do?

Are they able to make better and faster decisions because of their access to technical information?  Are your resellers able to sell more because of the sales tools you provide?  Are they able to reduce their costs with more accurate quoting resources?  Are they able to achieve business results because of the value proposition of the products you provide?

Some service firms have found that dedicated sales and marketing staff is not nearly as effective as sending their consultants right out to their clients to share expertise directly and wet their appetite for more (a topic covered extensively in Patrick Lencioni’s book Getting Naked).  Some technical engineering firms, website developers, or agencies find that their engineering teams are best equipped to sell and market to their technical buyers and that all that is needed from marketing is some communication tools to help facilitate these conversations. Each business will be different.

4. What is the winning formula that is worth repeating?

Like any system, it is important to look at inputs and outputs.  If you want to answer questions 1-3, a good place to start is your wins.  What are some situations that have gone well that you think are worthy of replication?  Go back and analyze a big order, a design win, or project award and ask everyone involved how it came to be, the touch points with the organization, what sales tools or marketing resources were used, and what made the difference.  There is no sense automating or “improving the efficiency” of things that are not effective.

Photo Credit: DRivers@WorldLaw via Compfight cc

This article was published on the TalentCulture blog.

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Smart Fruit: The Internet of Things Goes Bananas

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Smart Fruit: The Internet of Things Goes Bananas

In a recent talk by entrepreneur and researcher Amber Case, she was painting the picture of a future kitchen dystopia where incompatibilities between your smart refrigerator and your smart stove would cause your smart toaster to keep you from using your smart dishwasher. All of this trauma and drama, so that you can have a computer tell you whether your bananas are ripe.

“Bananas have their own built-in ripeness indicator,” she said in exasperation. “They literally change color. It’s a great system.” As it turns out, in our quickening quest for the Internet of Things, we’ve had smart fruit all along.

As most technologists know, companies, big and small, are driving toward the Internet of Things (IoT) — a world in which every device has sensors and is connected. Aimed at making data work more seamlessly in the world and in the enterprise, the IoT movement is affecting everything from wearables and medical devices to home automation and HVAC systems. In our quest for bigger and new, it is important that we not take for granted the natural sensors in our world and intrinsic motivations of the people using these devices.

I am looking out of my window at a beautiful autumn day in Oregon. The leaves are signaling the season in a naturally zero-energy (solar-powered!), renewable and sustainable — not to mention repeatable — process wrapped in a beautiful industrial design precisely tuned to its purpose. Let that inspire our efforts to innovate.

This article was published by InfoComm International.

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Ideas vs Opportunities

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Ideas vs Opportunities

In her book, You Can Kill an Idea, But You Can't Kill an Opportunity author and consultant, Pam Henderson, contrasts ideas to business opportunities and creates a framework for exploring and developing opportunities.  In her vernacular, ideas are the proverbial shiny objects that are tactical in nature and might distract an organization from the real opportunities before them.

As a bit of an "idea factory" myself I do find it important to keep the business goals ever present.  After all, creativity can be waste, unless the unique and original ideas are valuable to your customers or lead your organization forward.

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How to Market "Marketing": a primer for business people who market

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How to Market "Marketing": a primer for business people who market

I just returned from a Frost & Sullivan marketing conference in which I participated in discussions around the alignment of sales and marketing.  The mere mention of the topic brought out emotions on both fronts and it was clear that done poorly, the relationships devolve into a Dilbert cartoon (or “sock puppet theater” as one presenter noted), with both parties suspecting the others of subterfuge and buffoonery. Marketers are often left wondering how they can better market “marketing” within their organizations and to their leadership teams.  

Let’s face it, many companies de-value marketing.  Some consider it the department that makes pretty pictures or that it is simply the administrative support for the sales team.  Others strongly value the strategic involvement of marketing in product strategy, branding, strategic planning, and industry leadership.  I am blessed to work for an organization that models the latter, but I certainly am familiar with the former.

Usually, this lack of respect or understanding for the role of marketing in the organization takes two forms:

  • Exclusion from decision making and strategic conversations (a focus on tactical execution only, often exemplified by only having junior marketing staff who report up into another function like sales or G&A)
  • Lack of adequate resources to do high-quality marketing work (budget, time, or resource limitations that keep the work tactical and reactionary)

This topic is a big one (worthy of more than one post).  To get the conversation started among follow marketers, here are four key questions that you can ask yourself to help you answer the question of how to market “marketing” in your organization.

1. Can you express your motivation for wanting to market marketing in terms of overall business results?

Do you think that investing in a marketing automation system and nurturing campaigns will generate 20% more revenue next year?  Do you believe that improving the brand consistency across the organization will lead to higher customer perception of quality and improve gross margins by 2% for the next product launch?  Do you believe that developing a new interactive platform for sharing product benefits with your sales channel will reduce the sales cycle by 2 months resulting in a 13% increase in revenue with the same effort?  Do you believe that having a seat at the decision making table would improve the company results or employee engagement demonstrably? Can you describe, in plain English or in understandable data, the financial benefits and returns of marketing investments? These are the types of questions you should be asking, when you are thinking of advocating for anything in a business environment.  What is the business impact for the change you are advocating?

If you don't know how to answer these questions, it could be an indication that you are not yet ready to advocate for a larger and more impactful role for marketing in your company... and that you should get ready.  That in itself, should be a call to action to learn more about your business, your drivers of value in the market, your customer problems, your solutions, revenue or customer attribution models, and overall business strategy...and how score is kept financially in your business.  You must strive to be a business person, as well as a marketer.  And today, those should be distinguishable.

And don’t be lured into advocating that there is no ROI on marketing investment.  That is an archaic way of viewing the world and simply isn’t true.  Sure, people have wasted money in “marketing activities” (I’ll get to that below).  Sure, some data is just too expensive to get reliably in marketing (and I would argue, in every other function of a business), so business decisions must be made based on the limited information available. But you can describe the financial impact of nearly every decision of your business and marketing is no exception.  If you find yourself defending "marketing" without data, go watch the movie Moneyballand see yourself reflected in the dialogue between the salty sports recruiters and Brad Pitt’s character.  It’s a new era for business people doing marketing, with more transparency and accountability than ever before, and you must be leading the charge.

2. What is the perception of your brand and that of "marketing" in your organization? What should it be?  What is the gap?

Before you would embark on a brand building campaign, you would always begin with data to identify the "as is" state and to quantify the "to be" state.  And to identify the gap between these states.  Often this accomplished with surveys, voice of the customer, share of voice analysis, or other tools.  Why not do the same thing within your organization to gauge how far away the organization is from what you envision as the ideal?  

It is also important to know whether your brand is strong enough in the organization to lead that charge?  What are you known for, personally, in your organization?  Why do people come to you?  Does that align with what you need it to be to advocate the change you are advocating?  What can you do to change the perception and reputation, if necessary?  Are there projects that you need ot delegate to others (ie, the company holiday party, responsibility for the receptionist, etc) to improve the perception of marketing as strategic in your organization?  Who else do you need to advocate on your behalf?

3. What "marketing" does your customer really need?

This should probably be the first question, as anything (besides that which is required for regulatory, legal, or financial compliance) that isn't seen and appreciated by customers, probably isn't worth doing.  It is the definition of waste and the hallmark of bureaucracy.  But coming back to my point, what value does the customer perceive in the marketing you do?

Are your customers able to make better and faster purchase decisions because of their access to technical information?  Are your resellers able to sell more because of the sales tools you provide?  Are they able to reduce their costs with more accurate quoting resources?  Are they able to achieve business results because of the value proposition of the products you provide?  Does your marketing help set your company and brand apart in measurable ways?

Some service firms have found that dedicated sales and marketing staff is not nearly as effective as sending their consultants right out to their clients to share expertise directly and we their appetite for more (a topic covered extensively in Patrick Lencioni's book Getting Naked).  Some technical engineering firms, web site developers, or agencies find that their engineering teams are best equipped to sell and market to their technical buyers and that all that is needed from marketing is some communication tools to help facilitate these conversations, as learned from colleagues at a recent event held by the Technology Association of Oregon at which I presented on this topic.  In our business at Planar, there is a lot of "marketing" that happens in customer conversations with account managers and technical sales professionals in the field.  This is good and necessary for our technical, system-style products.  Part of the marketing team’s role in this case is to equip their sales colleagues to have these conversations and to aim them at the right targets for best success.  Each business will be different, but successful marketing begins with an understanding of the customer.

and finally...

4. What is the winning formula that is worth repeating?

Like any system, it is important to look and inputs and outputs.  If you want to answer questions 1-3, a good place to start is your wins.  Where are some situations that have gone well that you think are worthy of replication?  Go back and analyze a big order, a design win, or project award and ask everyone involved how it came to be, the touchpoints with the organization, what sales tools or marketing resources were used, and what made the difference.  There is no sense automating or "improving the efficiency" of things that are not effective.  Said another way, finding faster ways to lose money is to find a better way to drive yourself out of business.  But, if you focus on what is going right, you will find a platform from which you can advocate smart change and gain the respect of the organization and the resources to replicate what is working.  And chances are, if you know it is a winning example that can be replicated, others in the organization will as well, and you will have a common foundation to build trust and understanding.

Special thanks to Lisa ColeAllison CerraLeilani Brown, and Mark Wilson for helping to refine these lessons learned.

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