Note From Shel Horowitz, Owner of this Blog:

I’m posting this not because I agree with everything Jim says, but because I don’t. I’m not going to tell you which parts I agree with and which I’d argue with, at least not yet. I’d like you to have your say first, and when I return from vacation (this post is being scheduled ahead), I might choose to add to the dialogue.

I proudly call myself a marketer. The problem with doing that is that a lot of people think that marketer=scumbag. I get it. Consumers have been burned before and they blame the marketing most of the time.

But that doesn’t make it right.

There’s a big difference between good marketers and bad marketers. Good marketers want to get your attention and make you aware of their wares, whatever that might be. Bad marketers want to deceive you into buying something that you don’t need for profit.

Good marketing is good business. Too often business owners don’t want to do effective marketing because they don’t want to be lumped in with the scammers out there. Here’s a few examples.

In the online world there are people called information marketers. They sell things like membership program and eBooks, and “systems”. These often come as something like a 22-disc DVD set, or online training program. To sell these products, they use tactics like long-page sales letters. You’ve seen those pages before perhaps? Is the page that is one big single column and you have to scroll 20 times to get to the buy button at the bottom. The page is filled with testimonials and bullet points about why the product/service is so awesome, etc… Then it’s got a ton of bonus items.

Here’s the secret to those pages. Know why you see them so often? Because they work… really, really well. As a matter of fact, pages like that are often the top converting page on the Internet today. And in the Internet business, conversion is job #1. If you don’t convert well, you’re losing the battle.

Does marketing with long sales pages letters make them scammy? Not at all. It’s a tactic, and yes, some of the people who sell those types of products are out to rip you off. However, most of them have really good products to sell you. The problem is that because of the tactic they use, they get lumped in with a certain mindset of consumers who will never buy from them.

What about those annoying late-night infomercials you see online? You know what I’m talking about. The late Billy Mays selling OxyClean or Vince selling a Slapchop. Ever notice the “but wait, there’s more” at the end of every tv spot where you get a “bonus” item for ordering now? Again, it seems kind of marketing wrong, right? Actually, it’s there because it works, really, really well.

The point is this. As a business owner, it is your job to drive more sales, leads or publicity to your business. Bottom line. Good business is good marketing. Don’t leave marketing tactics on the table because you’re worried about how you’ll look. At the end of the day, you’re going to need to find a way to improve your business and beat your competition. It might be time to start looking around at new ways to do that.

For over 15-years, Jim Kukral has helped small businesses and large companies like Fedex, Sherwin Williams, Ernst & Young and Progressive Auto Insurance understand how find success on the Web. Jim is the author of the book, “Attention! This Book Will Make You Money”, as well as a professional speaker, blogger and Web business consultant. Find out more by visiting www.JimKukral.com. You can also follow Jim on Twitter @JimKukral.

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Visiting my father in Florida, we treated him and his ladyfriend to lunch on fashionable Ocean Drive in Miami Beach’s South Beach deco district. Lots of lessons here on how to deal with a saturated market.

First of all, almost every restaurant (and they are numerous), not only on Ocean Drive but on several of the surrounding streets, like Lincoln Mall and Española Way, hires shills: people to stand outside, engage anyone walking by, and try to get them to stop and eat. Most of the restaurants have at least one, some have several (for the most part, pretty young women, many with European accents. I guess it must be effective, but after a while, it feels like running the gauntlet.

Second, recognizing that the consumer benefits from comparison shopping, many of the establishments print up postcards with their (for the most part very similar) offers. To us as consumers, this was very helpful, because after walking three or four blocks along the strip, we had a basis for remembering which ones had seemed like the best choices (and in fact returned to one to actually eat on the basis of the postcard).

Third, when you’re doing popular loss-leaders, you make up the revenue in other ways. We were offered $4.95 breakfasts and $8.95 to $9.95 lunches all up and down the street. The food was actually quite good—but a simple cup of tea was $3.50!

Finally, one to avoid: unpleasant surprises. When we were seated, the shill had told us she could to the advertised prices or 20 percent off the specials on display. My father asked the price of the steak special: $65! “I didn’t want to buy the cow,” he said, ordering instead one of the $4.95 breakfast deals: a huge omelet with meat, cheese, and vegetables.

We saw this same strategy in some of the retail shops, where some items were really, really cheap, and others were wildly overpriced a shelf or two over.

On the steak dinners, I imagine a fair number of people order one of the displayed specials without bothering to learn the price, and suffer major sticker shock when the bill arrives (or maybe after the drink specials, they’re too gone to notice). Considering that the same restaurant is using the same term to describe both its loss-leaders and its top-line offerings, I think this could be a disaster. It doesn’t strike me as a good way to make up revenue. In a crowded market, the last thing you want is a customer loudly arguing about the bill, especially in an open-air café that faces directly out on the street. Yes, of course, there are many places where you can pay $65 for a steak dinner and feel fine about it, but those are not restaurants that get you in the door on the basis of a $9.95 entrée. Different market, different clientele, different expectations, and no price resistance.

Interestingly, our dinner choices for two of our three nights were restaurants with no shill. In both cases, we had excellent, reasonably priced food, and the place was certainly busy enough.

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