“The Three-Minute Rule” by Anthony Tjan (Harvard Business Review, 22 January 2010). Let’s look past the trying too hard title and focus on bottom line — context. Nearly everything from web design, ad design or a phone conversation, to buying a product or using service – exists within context. Furthermore, it’s crucial to keep in mind that the context is often not yours but theirs. So, as has been mentioned here quite a few times before, be sure to add Context’s twin Empathy to your checklist.
Essential pull quote:
These situations illustrate the narrow-mindedness to which it is easy to fall prey. In the Thomson example, we were thinking of ourselves as a data provider, though we were really part of a broader workflow solution. We failed to realize the importance of customer context over our own product capability. In the cross-selling and shopping-basket examples, the three-minute rule reminds us that rearranging the context of a shopping experience to better meet customer patterns can be extremely effective. Customers seek solutions, but it is likely that your offering is only part of one. The three-minute rule is a forcing mechanism to see the bigger picture and adjacent opportunities.
Understanding context is certainly important, but to truly interpret it correctly one must also have a healthy supply of empathy.
In a nut shell: Think ahead, develop a plan, keep it simple, write it down, communicate, get and keep the rest of the team on the same page, avoid getting bumped off track by refering to the plan but be flexible.
Further proof that more often than not best practices are not rocket science.
“Frequently Asked Questions About Google Wave” by LifeHacker.com (www.LifeHacker.com). Wave – some love it, some don’t, some don’t know what to think, and finally others have yet to try it. Regardless of which category you fall into this article and associated comments (which are always insightful) should help you decide where you are, or maybe where you should be on this H2O based subject.
“O’Reilly Insights: The Importance Of What You Say” by Scott Berkun (Forbes.com, 15 December 2009). A friendly but necessary reminder in the vein of Chip Heath & Dan Heath’s “Made To Stick” (Random House). Of course the idea is important, but if it can’t be communicated such that others can understand it then it’s no idea at all. The biggest take away I got from “Made To Stick” was to take care to describe your new idea (that you want to be understood) by referencing something that is already understood. I believe the example in the book was that the movie ” Snakes On A Plane” was described as Diehard With Snakes. Got it!
A more current example is Google describing Wave as, “If email were invented today”. If you’ve used Wave you’ve probably realized that tag line is an over simplification. On the other hand, it is a bite small enough to consume without fear or confusion. Doubt, confusion, lack of comfort, etc. will kill a sale every time.
The key is to not be self-absorbed (as so many entrepreneurs are) and not to assume that everyone “gets” your product/service like you do. You have to step back and have some empathy. Success without empathy is rare. Think big but make sure when you have to communicate your ideas to others your genius is small enough for them to grasp. You don’t have to dummy it down, just keep the bites chewable.
“On My Mind: Measuring Good-Cause Effects” by Raymond Fisman (Forbes, 10 December 2009). As the holidays get closer and resolutions are being made for 2010, doing well by doing good is probably on quite a few to-do lists. If that sounds like you, then give Mr. Fisman a few minutes of your time, please.
Now before you jump to conclusions, there is one bit (in the third from last paragraph) that is not fully explored but seems rather intriguing:
Interestingly, in the months after Hurricane Katrina made landfall in August 2005, there was a big boost in sales probability and price from Giving Works for all Ebay sellers, young and old. So, when a national spotlight shines on particular causes, it may be possible to do well by doing good.
Possible conclusion? Be specific, and possibly current, about the cause you’re supporting. Just saying, “we do good” and “a percentage of sales goes to charity” might not be enough. Makes sense since most people would want to know exactly where their money is going. Don’t you prefer clarity and transparency over vague and mysterious?
Depending on where you fall on the Geek IQ scale, you may or may not have heard about Google Wave (http://Wave.Google.com). The buzz around this beta release has been building over the last few weeks. Some love it. Some don’t. And most seem to be somewhere in between. While it’s too early to pass judgment my prediction is that trend will build towards love it.
Google’s pitch line is that Wave is what email would be if it were invented today. In a Made to Stick sense, that’s probably an accurate and easy to consume marketing pitch. But as user friendly as the email reference might be, Wave is not email. The analogy to the postman/woman doesn’t hold water very long. Wave is a multi-vectored communications and collaboration platform that excels in real time, and is still better than email even when it’s not. It’s a bit clunky right now in implementation but the theory behind it, simple as it might be, is stunning.
Ultimately, Wave is a collaboration tool, and collaboration depends on bodies. Where as email’s effectivenss degrades as more people get added to the To: list (i.e., the famous Reply Alls from hell), Wave increase in value as your network of collaborators grows. Unfortunately, currently Wave is a limited, invite only, beta. So unless your fellow collaborators also have Wave accounts then Wave, as it stands today, is obviously not going to be very effective.
However, as Google lets more people use Wave the more Wave’s value will increase. And thus the trend towards more people loving it. What do you think?
“Mistaken Metrics” by Lauren McKay (CRM Magazine, October 2009). Please pardon the delay in getting to this one but it has finally bubbled to the top of the to-do pile (on a Saturday morning no less). It is also not exactly lite reading for a weekend but it’s certainly not rocket science either. Grab a coffee and let’s go!
In short, the twin sibling of, “Be careful what you wish for” is, “Be careful what you measure (and what decisions you make based on that data/information.” As we all know, numbers and statistics can be misleading especially when data is coming from multiple sources. Or worse yet, is the wrong measurement to begin with. The majority of the time there are caveats, or should be, because no info/date source is perfectly clean. Of course, there is also always the human element (read: bias) when collecting data and using it. And finally, just because you can collect it faster doesn’t mean it’s right.
Yes, there has to be measurements but don’t be afraid to question their validity and value when applied to decision making. As Ms. McKay concludes:
No matter what you do or what you measure, you’re destined to pick the wrong yardstick at least once. The trick, experts say, is not to force yourself to live with the wrong measurement — the trick is recognizing when the measurement you’ve chosen is the wrong one and having the fortitude to step away from it.
In the same issue, as a side bar was also, “Your Metrics Are Outdated” by Lauren McKay. If you have to pick one, pick this one. The first article gives “Outdated” context but none the less is fairly freestanding if you are at least somewhat familiar with measurements and their impact on management decisions.
You have all weekend so try to consume both. It’s time to start lining up the ducks for 2010.
“The Cure for the Common Virus” by Jessica Tsai (DestinationCRM.com, October 2009). Wow! Yet another I-wish-I said-that article from Ms. Tsai — especially for those seeking to break their 20th century marketing habits.
It’s a holiday week so you’re either quite busy or slowed down to enjoy the moment. Either way let’s skip the usual intro and jump to some highlights.
Measuring the totality of viral’s impact is extremely difficult, if not impossible. After all, how do you measure emails forwarded from personal accounts? Or URLs copied-and-pasted into instant message windows? Or a remark passed over a fence? And yet, no one would argue that messages spread virally are extremely powerful. After all, consumers are far more likely to trust one another than any marketing pitch out there. (See “Who Do You Trust About Trust?,” and our interview with “Trust Agents” co-author—and 2009 CRM Influential Leader — Chris Brogan, in Required Reading.)
According to customer experience company Satmetrix, and codeveloper of the Net Promoter score (NPS), word-of-mouth recommendations by promoters are increasing year over year in all industries. The uphill trend is not due to an increase in viral marketing–specific campaigns, says Deborah Eastman, chief marketing officer; rather, the Internet and social media have ignited a sharing frenzy.
Customers don’t care if you want them to pass something along. Abandon the PR lingo and the corporate speak. No one wants to listen to it, let alone pass it on to their friends. “Share honest information,” says Tom Anderson, managing partner of Anderson Analytics. “What are you worried about—your competitors seeing it? Big deal. Everything’s instantaneous now.”
The bottom line is this… If you want to tap into the natural conversational energy of the crowd, then you have to give them something worthy of discussion. But you also have to take that a step further and realize that worthy is defined by them, not by you. Traditional marketing’s one-way, dictate it and they will listen approach no longer applies. In fact, spin might only get you backlash.
We are by nature social beasts and that can certainly work to your advantage. Nothing beats word of mouth! But in order to win you must be honest and you must be authentic. Most of all, you must give them something truly worthy of their time. Because don’t you expect the same?
“Retail Democracy (Even bad reviews boost sales)” by Jennifer Alsever (Fortune Small Business Magazine, 28 September 2009). First, please pardon the delay in sharing this with you but FSB is one of those publications that does not post their articles on their web site when they street their print version. Yes, print still has its low tech place (i.e., convenience, no need for a wifi, etc.)
In short, great article! First, it reiterates one of the common AU themes — it’s not about you, it’s about your guests and their expectations. The focus should be on what they are looking for (e.g., authenticity, honesty, information, etc.), not on what you want to supply. They are not going to care if you’re meeting your needs. They will however care very deeply about if you are meeting their needs.
Think about it. When you visit a web site and see only glowing reviews, what does that do for the credibility of what you read? Do you not expect something more realistic? The irony is many people have the same expectation of other sites but when it comes to their own they want to scrub them so clean that they might as well be a faux Hollywood movie set. In short, context matters — there is such a thing as too clean.
Second, for a bit of positive spin, there is also the SEO (search engine optimization) aspect. In this case it basically comes down to the old PR adage, “bad press is good press.” In other words, comments become content; content gets indexed by search engines; the more content you have indexed the more likely a search engine is to connect you with someone doing a search. Granted, not every visit is a good visit. But as long as the click in is not costing you, via a pay per click (PPC) campaign, then it might not be so bad either.
Remember… Context matters — there is such a thing as too clean.
The power to simplicity ratio of wikis is amazing. When it comes to true collaboration on a project a wiki beats email just about every time. By their very nature wikis keep eveyone on the same page, literally.
To Mr Byrne’s list (at the end of his article) we’d like to add the offerings from PB Works (www.PBWorks.com) and Zoho (www.Zoho.com). These might not be the perfect fit for all projects but in terms of quickness in getting up and running, as well as simple ease of use, they’re both quite efficient.
“Start Connecting With Customers’ Smartphones” by Mary Brandel (Computer World Magazine, 5 October 2009). Simply put, a thorough overview on the subject of mobile phones and web sites with some great insights as well. For some it looks like the time has come to seriously consider that mobile version of your web site you’ve been dreaming about for too long. For others it looks like you might not have a choice.
And in semi-related, if not geeky news, “Book review: What’s wrong with software development” by Mitch Betts (Computer World Magazine, 5 October 2009). Mitch reviews “Wrench in the System” by Harold Hambrose (John Wiley & Sons Inc., 2009). The thing is, the value of great design and usability isn’t limited to software. Once you read this little bit, stop and ask yourself, “How can we use design to make our company more guest-centric?” Think. Create. Act. Try again.
“Looking at Life as One Big Subscription” by Damon Darlin (New York Times, 10 October 2009). Interesting, a concept that should be considered especially given how comfortable many people are with the idea of pay once for year round service. There are certainly no shortage of instances where making multiple sales (i.e., three or four times, or more) per year can be simplified into a single “subscription”. For example, a florist might be able to make use of “subscription” in offering a package for three holidays per year. Those holidays could be set or picked by the guest. Not only does that free up resources from pursuing each sale individually but the following year a simple, “Did your wife like her flowers? Would you like to renew your subscription?” is all that needs to be asked. The sale has been made, now it’s an issue of renewing.
Another option, might be a non-profit. Maybe a donation can be packaged in such a way to be sold as a subscription/membership (i.e., there would be something given in return to the donation). Reciprocity can be a very powerful tool. Again, renew is a much simpler concept than trying to get a repeat purchase.
Think about it, how can subscription help your business? What do you buy that you wish you could subscribe to?
“Prototype: It’s Brand New, but Make It Sound Familiar” by Mary Tripas (New York Times, 3 October 2009). A classic lesson in, it’s not what you sell, it’s how you sell it. The key is empathy — as the sender you are responsible for packaging your ideas in a form that the receiver can consume, not the other way around. If you find this interesting/helpful then you might want to check out “Made to Stick” by Chip Heath & Dan Heath (www.MadeToStick.com).
No one will deny that setting goals and measuring progress are important. What’s even more important is setting the right goals, using the right measurements to determine progress, making sure the data is accurate and complete, and then how those measurements are used to manage the initiative.
For example, Google’s AdWords preaches the value of Click Through Rate (CTR), as well as cost per click (CPC). While both are helpful and should be monitored, they are both in many instances the wrong measurement. The better measurement is conversations as well as what Google Analytics calls goals. In theory you can have a great CRT and CPC for one campaign, but another campaign can have a lower CTR and a higher CPC but lead to more or better conversions. It’s an issue of quality verse quantity.
It should be noted that Google only gets paid for clicks not for conversions. So much for “Don’t be evil”, eh? Also, the next time some SEM “expert” starts praising himself/herself about CTR and CPC ask them about their conversion rate. Ask them about the impact their efforts were able to make on the bottom line. CTR and CPC isn’t enough and don’t let anyone tell you otherwise. Success is much more holistic than that.
Another example, is a call center. We’ve all phoned an 800 number looking for help with an issue only to get bounced from rep to rep to rep. Guess what? In that call center lenght of call probably factors into a rep’s review. Should length of call be measured? Yes, it should be. Should it be used to alter behavior of the reps in such a way that it compromises the relationship with the guest? Probably not.
The bottom line is this… measurement is important. Just be careful that you’re doing it right. And always question numbers and graphs when they are presented to you. Never assume that the messenger is right and is telling you what you really need to know.
“Prospect Research” by Waddy Thompson (The NonProfit Times, 15 September 2009). Please note: The link to Mr. Thompson’s article will actually take you to his web site, not NPT.com. NPT, being an old media outfit (?), did not have the article posted on their web site. They also did not respond to an inquiry as to whether it was going to be added any time soon. And old media wonders why they’re losing readership. I don’t get it. Actually, they don’t get it. Oops, I digress.
Waddy does a super job here in laying out a framework for segmenting your mailing list and why that matters. What’s beautiful is that this mindset works for all types of businesses, not just 501(c)(3)s. With tools such as Salesforce.com or Zoho’s CRM offering (http://crm.zoho.com/crm/) the possibilities are powerful, inexpensive and nearly endless.
Here is another article of interest (that has been sitting in the to-be-posted pile, so please excuse the delay, the information is still spot on): “Email Segmentation for Higher ROI” by Peter Prestipino (Website Magazine, February 2009).
Don’t forget, targeting your message is not only good for you but it’s even more good (note: the word play was intentional) for your guests. They, just like you, have limited time and attention. The better you stay on *their* message, the more likely they are to keep you in their conversation. It’s not so much about what you want to say, but about what they want to hear. Right? Right!
— Why was the KCSM-FM promotion only offered to “lapsed” members?
— The article says that there was over $42k raised from 577 donors with an average gift of over $100. Simply put, that math doesn’t add up.
— There is not mention of a control group for the KCSM-FM promotion. And while the results sound impressive, the true effectiveness is impossible to analyze. Maybe it just a better looking mail piece?
— While the fulfillment vendor isn’t specifically mentioned, AU wonders if Zazzle.com (or a similar service) might have been a better, more cost effective choice.
— Since when are mailing labels considered a premium?
Last but not least, maybe the concept of donor should be put to rest already? To a certain extent, donor implies a sense of one-and-done. However, member and membership not only gives the guest a sense of belonging to a community but it should also force the NPO to not see every warm body as a dollar sign. Perception and words matter. Needless to say, donor, in a world where expectations are formed by Web 2.0 does not inspire an appropriate “UX” (user experience).
Time for a little bit of shameless self-promotion…
The original post dates back to June or so. This letter was printed in the September of issue of CRM Magazine (online: www.DestinationCRM.com). Unfortunately, CRM did not post the letters of the September issue on their web site. As you know, they have done so in the past. (Wink, wink. Nudge, nudge.)
Beautiful article by Associate Editor Jessica Tsai (“Search Engineering”, July 2009, http://sn.im/0709tsai). Search engine optimization (SEO), search engine marketing (SEM), and online marketing in general continue to be hot topics. The theory is, why chase customers when they can find you? Yes, when done right, it can work quite well.
Ms. Tsai does the subject matter justice, with a thorough (even fantasic) overview of SEO. There are a few things I’d like to add to her efforts, however, that I believe will help the CRM masses.
1) The design and user experience (UX) of the site itself is critical. While not part of SEO, per se, there is a very important connection: There’s no point in driving traffic to a visually unpleasing and/or dysfunctional web site. Guests will judge a book by its cover, and if they don’t like what they see or how it works they will bounce. In order to fully benefit from SEO (i.e., inviting guests over), we believe more companies should first focus on cleaning up the house.
2) The article focuses on the value of a web site “homepage”, but the current approach is that there is no such thing as a homepage anymore. Since search engines will drop a person into any page of a site, it’s not safe to assume the homepage will be the point of entry. The relationship can start anywhere, so plan accordingly.
3) One essential factor that’s too often overlooked — click fraud in paid search (PPC) — appears in one of the article’s sidebars (“Bad and Ugly SEO”): “Some reports indicate that one-third of clicks on paid search are fraudulent — the result of developers creating bots to click on competitions’ ads, raising those competitors’ costs.”
Even with Google’s much-vaunted AdWords/AdSense, some estimates put the click-fraud rate above 15 percent. Either figure represents a pretty significant amout of waste to not be aware of — especially for anyone new to pay-per-click advertising. Yes, search engines say they prevent it but the general belief is to the contrary.
So we’d like to add a caveat to the feature story: SEO/SEM is not a panacea. It will not make up for a visually dated web design or a marginal user experience. Nor will it fix a shaky business model, poor customer service, or a second-rate product or service. SEO/SEM is merely a way to attract customers.
Mark Simchock
Chief Alchemist
Alchemy United
Your vision . Our passion . Success realized
We feel honored to be validated (again) by another respected authority. This time it is CRM magazine.
“Courting a Wary Customer” by Sid Liebenson (Deliver Magazine, July 2009). In case you’re not already aware, Deliver is published by USPS. Natrually, it tends to be biased towards the usage of direct mail or other pro-USPS mediums. None the less, there are often pearls of wisdom worth consuming. Unfortunately, Mr. Liebenson’s article is going to be used as a poster child for don’t believe everything you read on the internet. Please pardon the dip into what might be perceived as the negativity pool.
Below is the letter inspired by Sid’s article. I’d like to add that while the overall tone is somewhat off-centre, my intention was not to bully him. There just some obvious holes in this conclusions. I’d also like to mention that in the letter I describe myself as a “punk-ass kid”, which is hardly the case. The phrase was just used for dramatic effect, if not comic relief.
Hello Sid,
As you can see I felll a bit behind on my reading. I just read your article and found it inspiring and enjoyable. Thanks for taking the time to share with the rest of us.
Let me cut to the chase…
I realize you’re the high flyin’, swashbucklin’ marketing exec and I’m just a punk-ass kid trying to grow up to be you :) but there were two points in your article that I would hope you can take a moment and clarify for me. Btw, please pardon my tone if it comes off as a bit “East Coast” but I’m just a straight shooter. I do not mean to offend. In fact, I’m hoping you see the humor in the delivery.
– One –
You said: Your marketing messages need to be not only personalized, but frequent. In a tough economy, it’s common for consumers to question where every penny is going. When they do that, suddenly every relationship is a little at risk. Their question becomes “Am I really getting value from this relationship, or is there something that will satisfy my needs equally for less money?”
— Pardon me for asking but it’s not clear to me how frequency answers that question. More often is not an answer, at least not to the question you suggest they are asking. In fact, if said organization is not delivering value then it’s likely that frequency will only remind the customer of the (failed?) relationship and the brands inability to understand and in turn satisfy them.
If your question is *the* question then it would seem to me that the focus should be on actually delivering value that satisfies and not just delivering more marketing spin more often. Sorry, but I don’t think it’s safe to assume that every company has it’s “stuff” together and should just repeat marketing formula X more often. Maybe it’s just me? It would seem to me that your recommendation might actually be doing quite a few (of those in denials of their flaws) a disservice.
– Two –
You said: From April 2008 to August 2008, there were more than 83,000 visits and 2,357 messages left on the site. This clearly shows the effects of empathizing with consumers.
With all due respect Sid, no that does not clearly show empathizing. It’s a simple statistic – nothing more, nothing less. Now if you supported that conclusion with “as compared to a control group” or made reference to some sort of follow up interview then that stat might hold some water.
As it is, 2,357 out of the universe of all BCBSF customers (or potential customers) doesn’t sound like much of a sample to me. Can it help? I’m sure it can. But a sub 3% “response rate” as a ratio of visits (btw, is that unique visits or just visits?) really isn’t very meaningful. Don’t get me wrong, it sounds like the client was pleased. It’s just not clear to me how the stat you mention translates into some conclusion about empathy. Frankly, I’m a bit disappointed that someone who should know better tried to pull the wool over our eyes with some old media-esque broad brushed spin.
Again, I hope it did not offend. I look forward to your reply.
Mark Simchock
Chief Alchemist
Alchemy United
Btw, this letter was sent earlier in the week and Sid has yet to reply.
A quick addendum to the previous post on Google and Yahoo.
First, here is the link to Yahoo’s Finance page: http://finance.yahoo.com/. And here’s Google’s: http://www.google.com/finance. As you dip your toes into Yahoo’s water you’ll notice similar aesthetics that often overshadows Google’s more utilitarian approach.
In addition, here’s a quickie from CNN Money: “Do you Yahoo? Probably” By David Goldman (CNNMoney.com, 23 August 2000). The article points out that Yahoo’s approach is less profitable than Google’s. What it fails to clarify is the time frame of this measurement. Is it the last two of three quarters? Or more? Or less? Even so, three or four quarters does not a long term trend make. It should also be noted that to some extent this is an apples and oranges comparison. These are both internet based companies but their paths in terms of focus and approach quickly diverge. There is little reason to believe they will produce similer results.
Btw, did you notice the similarity between Yahoo’s design and CNNMoney’s?
“Where Yahoo Leaves Google in the Dust” By Randall Stross (New York Times, 22 August 2009). While the Google hype machine would like you to believe otherwise, Google is not perfect. Yes, they are a damn good advertising machine but there are plenty examples of failed Google projects that were eventually sacked. If fact, that’s Google’s M.O. — if a project takes off they continue to refine it but if it doesn’t they cut their losses and move on. They don’t waste resources on ideas that fail to gain traction in the market. For some there’s a possible lesson here. I digress.
When it comes to having a successful web site it is essential to embrace the value of a great UX (user expereince), or as we at AU like to say, the all inclusive Guest Experience.
Yahoo understands that information about money — a user’s own money — presents some tricky psychological issues. James Pitaro, vice president of Yahoo’s audience group, said, “In our research with users, we found that the more information that was displayed on the page, the greater the anxiety.”
Put another way, it’s not what you say, it’s what they hear. Say too much and you run that risk that nothing will be heard. No doubt you are passionate about your business. That you want your guest to know everything about your brand and you want them to know know it all the second they meet you (i.e., visit your web site, see your ad, etc.). That’s just not practical. That’s not the way relationships work. There is a pace and rhythm to The Guest Experience and often TMI (too much information) is not part of The Guests’ expectations.
The other lesson here is that Goliath can be beat, but you have to choose your battles. You have to be willing to suspend your subjective passions for a moment. Stop, step back and be objective about what is going to maximize the Guest Experience that your brand offers. Ultimately, it is your guests who will beat Goliath, not you. Think about it…
Finally while we’re on the subject of Yahoo vs Google there is another place where Yahoo slays Google — email. Yahoo offer unlimited storage while Google is currently capped at 6 or 7 gigs. Fair enough, 6 gigs is still a lot of email but it’s not as much as unlimited. Regardless, Yahoo’s UX is much stronger (and almost a desktop experience). For example, you can drag and drop emails from one folder to another. You can even drag an email onto your Contacts folder and Yahoo will prompt you to add that person’s email address and other details to your contact lists. Simple, clean and easy.
One often overlooked bomus is that both Yahoo and Google allow you to check your other email accounts (commonly known as POP3 accounts) via their interface. So rather than have to use (for example) Verizon’s crap web mail you can use Yahoo (or Google) instead, much like you might have used Outlook to check multiple accounts. This is also handy when you’re transitioning from one email address to another. You can have your email come in via the old address and then send out via the new one, all via a single interface. Yahoo mail is also slickly integrated into MyYahoo!. MyYahoo! is great for setting up pages of RSS feeds but that’s another lesson for another day.
Btw, the Yahoo calendar is great too. You can even set up reminders to be sent to your cell phone via text message. Remembering important dates and appointments has never been easier.
The bottom line… If you have more than one email address or are looking to make your life – both online and off - easier, AU proudly dismisses the Google hype and highly recommends Yahoo email and MyYahoo. Check it out, it’s time well spent.
