“Minimize Cancellations And Grow the Bottom Line” by Karen Woodard-Chavez (Fitness Business Pro Magazine, April 2009). Ms. Woodard-Chavez makes a number of good points. She must be commended for her guestcentric approach. To her list we would like to add a few things that didn’t make it into her must-read one-pager:

1) Analyze the triggers  that got members to sign-up. Maybe there’s a particular promotion, message, channel, publication, etc.  that drove in more cancel prone individuals that others. Look at those details and try to figure out what went wrong. In other words, maybe it wasn’t them, maybe it was you.  In theory it’s possible to reduce cancellations but trying to target people who are less likely to get cancel. Maybe there’s a profile for such people? Be proactive.

2) What about ongoing relationship maintenance? Instead of waiting to the end, why not follow up with members a regular basis to see how they feel? What they like? Or don’t like? A simple greeting as they walk in isn’t enough. Instead of being reactive at the end, why not be proactive throughout their entire membership? Again, maybe there a profile that develops. It would seem that typically most people are probably gun-ho when they first sign up and then taper off and time goes on. Well, find out where and when the threshold is for a canceler and then get to them sooner.

3) Don’t just listen to what they tell you, take that feedback and do something about it. Listening is great but if there’s no procedure in place to actually address the info collected then the same issues can in theory persist for a long time. Over reacting to each and every canceling member might be overkill but any trends should be tracked and addressed.

In summary… Avoid marketing to targets who are likely to cancel… Be proactive with staying in touch with the wants and needs of your guests… Don’t just listen but be prepared to act on what you hear.

“Fortune Small Business Small Business Makeover: Cloz – Dress for Success” by Patricia B. Gray (Fortune Small Business, May 2009). Below are a few more opportunities that were shared with FBS.

Dear FSB,

With regards to Mr. Michael Cohen and his firm Cloz, I have a few ideas I’d like to share before I shut down my notebook and get some sleep. To that I add, please excuse any typos or other obvious
mistakes – it’s late and I really should be asleep already.

> Instead of a slow-season biz why not use what is essentially excess capacity to:

a) Be a vendor for others in need of outsourcing

b) Use an airlines-esque pricing model and offer price breaks for early (or even late) ordering. Given the economic climate, (slightly) lower prices might retain some customers from defecting. It might also be a good way to attract new customers.

c) What about other school / organization uniforms? For example, cheer leading, or marching band? Both of these might be a good way to get new customers to try Cloz.

d) Would it be feasible to consider exporting to southern hemisphere countries?

e) I agree that a side-biz might be taking a chance but I would also imagine that once Cloz has gained a parent’s trust that there might be other things that could be used to “cross sell” to his base.

> I don’t believe the articles mentions (whether Cloz already does so or not) but instead of expanding into more space maybe the answer is to add shifts to maximize the use of his manufacturing when the season is peaking. Further expansion might only increase the risk and depth of the valleys in between the peaks.

> If the correct web site is Cloz.com then I beg to differ – that site needs a make-over. In addition to the design, a simple right click / view source (code) reveals dated web dev code that is hardly “search engine friendly.” An updating could have a positive impact on his organic search engine placement. There’s no guarantee but the article certainly implies he can’t do much worse in that regards.

> With all due respect that site does not say to a new potential customers, “We are $10m biz and we will take care of you.” Like it or not, people judge a book by its cover.

> The article mentions that “Cohen has dressed the scions of America’s wealthiest families for almost two decades…”. Best I can tell, the site gives no indication of that pedigree, nor of the elite private and boarding schools Cloz serves.

> Once again, FSB’s “web expert” (mistakenly) recommends buying keywords. Ironically, the “Google Wants You” article (by Chris Morrison, page 27 of the same issue) draws a less than absolute conclusion. Keyword might help but not only are there alternatives but it is highly recommended that Mr. Cohen read the attached article that appeared in eWeek (“Searching for more traffic” by Jim Rapoza) a few months back. Btw, please excuse the copy right infringement.

> It should be noted that it is estimated that 15 – 20% of AdWords clicks are bogus. With what authority does Mr. Dalton say, “It’s a cheap, easy fix”? It might be cheap *if* it works, but if it doesn’t Mr. Cohen could lose more to Google than he bargained for. One has to wonder if driving traffic to a site that’s really that “shabby” makes sense. Again, please read the eWeek article – it’s brilliant.

> The article makes no mention of a sales force – independent or otherwise. Regardless, I would suggest Mr. Cohen use Yahoo! alerts or Google alerts and enter “school uniforms” (or some combination of words) to try to get alerts on school districts that are either considering going to school uniforms, or where maybe there’s a news item of a contract expiring.

> With regards to school systems who are considering such a shift to uniforms, I would suggest Mr. Cohen start a blog that collects articles / links on studies that support increased student performance, as well as other benefits from  student being required to wear uniforms. This would give him a tool to supplement his alerts. For example, he gets an alert and then reaches out to that school district with an email that says, “Here are some links that I think you might be interested in…”

> Some testimonials of current clients probably wouldn’t hurt either. Should Cloz market / advertise? Of course it should. Might there be things Cloz can do so new clients come looking for them too? Absolutely there are (and it’s likely they are cheaper and/or more effective than keywords.

> I’m not too certain if this next idea applies but what about the idea of seasonal uniforms? Or something similar to the English Premier League (Soccer) where the teams change “kits” a couple times a year. Naturally, that helps increase concession sales. The idea might not apply here but maybe there’s the inspiration for a better idea for Mr. Cohen hidden in my idea somewhere?

> Finally, scientific school equipment (read: static) and school uniforms are apples and oranges, IMHO. An “expert” from a company who sells school uniforms, or even text books might have been able to offer better insights. Not that Mr. Flinn’s where bad. I am only suggesting the possibility of a more appropriate “expert” for next time.

Alright, that will have to do it for tonight, time to get some sleep. Good night.

Hoist a new flag
Mark

Mark Simchock
Chief Alchemist
Alchemy United

Your vision . Our passion . Success realized

Site+Blog: www.AlchemyUnited.com

“When Computers Are Not Really ‘Brains’” by Lee Gomes (Forbes Magazine, 11 May 2009). Just something “fun” to ponder in your free time.

Deliver Magazine (Volume 5, Issue 2, May 2009). Please keep in mind that Deliver is published by USPS. Therefore the editorial perspective is biased towards direct mail. This could also explain why the articles aren’t part of their web site but (currently) can only be accessed via pdfs of each issue. To access the latest issue please click here.

Recommended articles:

- “What Direct Marketers Can Learn From Social Media” (pdf page 4, print page 6)
- “Direct Mail and the Purchase Funnel” by Charlotte Huff (pdf page 4, print page 7)
- “Driving The Message Home” by Bruce Britt (pdf page 7, print page 12)
- “Enlighten & Engage” by Natalie Engler (pdf page 14, print page 26)

If you only read one of the bunch then please jump to pdf page 15 (right page – print page 29) and consume the Paths to Marketing Betterment section. Those four tips are universal and essential to all.

“Microsoft CIO Tony Scott on IT Strategy in 2009″ by Brian P. Watson (CIO Insight Magazine, April 2009). Check out Mr. Scott’s handy analogy about learning to drive a car:

CIO Insight: What key things do CIOs need to keep in mind in executing their strategy through the recession?
Tony Scott: …The second thing is strategy. I compare that to when you first learn to drive a car. If you only look a few feet in front of the car, you wobble all over the road and steer around every little bump in the road. If you look down the road a bit, the car goes straighter, it’s a more enjoyable ride and you become a better driver.

“Getting It Done: Why Big IT Projects Fail” by Jay Bahel (CIO Insight Magazine, April 2009). Budgets are tighter than ever, to the point that the margin for error is razor thin. This list is hardly complete but it’s worth adding to your quiver. Naturally, we believe that Mr. Bahel’s ideas can be applied beyond IT and/or big projects.

“5 Tips for Retaining IT Workers” by Bob Violino (CIO Insight Magazine, April 2009). These tips are universal and need not be limited to IT personnel / organizations.