marketing

Before I started my first small business I was working as a loans officer at a bank. My decision to work at a bank was mostly determined by the fact that I would have access to a phone so I could call my business partners as we developed our business. Hey, I was young and it made sense to me at the time.

This is back in the late 1980’s and early 1990’s. While working at the bank I was promoted to a commercial loans officer. As part of the training I was sent away for a week to learn what makes a business a good investment for the bank.

As I was building up my own business in the background I realised this was an ideal learning opportunity for me and my new business.

Here are the top three things I learned during that week. These tips have helped me throughout my 25 years to have a sustainable and enjoyable business.

1. Profit trumps turnover

It’s easy to equate bigger jobs and more money with doing well. Many times I have had the chance to grow my business. However I have paused and reviewed the situation. Often it became apparent that the outcome would be more stress and more turnover, but less profit.

The promise of big dollars can be mesmerising. It can interfere with our logic. We get excited and reckless. Work through the numbers and be clear on just how much of that turnover will end up in your pocket at the end of the day.

Work through the numbers and be clear on just how much of that turnover will end up in your pocket at the end of the day.

With new opportunities that promise significant growth, stop and check – what is the best case scenario of that new business partnership, or new stream of business? And what is the worst case? And where in the scale are you likely to end up?

The trick is to ensure growth remains profitable. Bigger jobs inherently should have bigger payouts but they also come with bigger risks. The risk needs to be worth the reward and vice versa.

2. Have a broad client base

It is very tempting to latch onto that golden client that provides 90% of your income. You love them, they love you. It’s brilliant. But what if there is a management change? What if you become complacent and drop the ball? What if your key contact moves on? Suddenly your entire business is on fragile ground.

An entrepreneur considers one source of income as a risky situation.

Your gravy train has just run out of steam. When I was at the bank, having all the eggs in one basket was a red flag. It was risky. An entrepreneur considers one source of income as a risky situation. An employee considers it safe.

This doesn’t mean you can’t niche your services. It just means you don’t have one major client for your business. A broad client base will help sustain your business through the highs and lows. And if you can cover a few different industries, you can ride cycles as they occur.

3. Know your numbers

The number one reason for business failure is because the owners aren’t on top of their numbers. On this course I learnt to read a balance sheet and a profit and loss statement. These days your accounting package gives you a dashboard that quickly summarises your situation.

As a business owner you need to understand your accounts.

As a business owner you need to understand your accounts. You should set yourself goals each month and break that down to a easy number or two. For me I understand my margins so by looking at my turnover I can tell how well I am tracking. That makes it simple to set an monthly (and weekly) target.

The value of this is mostly when you miss the target. Because I know what I should be getting, when I’m short of the target, it reminds me to ramp up the marketing; makes some calls; follow up some clients. Without having this reference I could cruise along oblivious to the oncoming iceberg.

Always learning

It’s funny where the lessons of business (big and small) and life come from. It never occurred to me the value I would receive from that short term job all those years ago!

What are the key lessons that sustain your business? Tell us in the comments below

Just when you thought social media couldn’t become any more ubiquitous, livestreaming app Periscope has burst onto the scene.

Since its acquisition by Twitter in March for a rumored $100 million, Periscope’s been getting comfortable at the round table of social media kings. After lots of looking, testing and listening, it’s proving to have the potential to bring new opportunities and challenges for the business world.

So, how does it work?

Periscope is simple. It has 4 main areas:

1. Camera

This allows you to broadcast to the wider public. All you do is fill in the title that asks, “What are you seeing now?” and hit the Start Broadcast button. You have the option to make it private and broadcast to select followers, as well as send a notification to your Twitter feed. Your recorded video will be able to be viewed for 24 hours following its broadcast, but you can delete it with a simple swipe.

2. Following

This page shows you the stream of anyone you’re following when they go live. You can be notified when they start livestreaming, and with a simple click, you’ll be watching the world through their eyes (or rather, the eyes of their phone).

3. Global

This page shows you the current streams of users around the world. All you see is the title of their stream and the number of viewers currently tuned in.

4. People

As Periscope is synced in with Twitter, this page shows you a list of the people you’re following on Twitter and allows you the option to follow them on Periscope.

What about when you’re watching a stream?

You’ll see the world through the user’s front or back-facing camera and have the ability to typecomments and see everyone else’s comments. The number of viewers is indicated at the bottom and if you touch the screen, it’s the equivalent of giving them ‘likes’ as little hearts are displayed.

Periscope allows you to see into the un-edited and un-filtered lives of anyone around the world, watch as breaking news unfolds and get a front row seat to unique events; all from a live, first- person perspective. For example, you could sit next to a news anchor as he does his live news broadcast, jump on a tourist’s helicopter as it flies over your favourite city, take a tour of a foreign neighbourhood with a local, dance in the throngs of a street festival, or see your favourite musician jam away from their rehearsal studio or packed-full arena

Game-changing for business?

The difference between Periscope and everything that’s come before, is the unprecedented ability for the consumer to become the producer. It gives real backbone to the loosely-used term, ‘Prosumer’. Viewers on Periscope can interact with live content and quite often direct its outcome.

Breaking news and coverage will now be brought to us instantly as we have the option to watch as events unfold by tapping into the viewpoints of multiple Periscope’s livestreams, offering unparalleled first-person perspectives of those caught up in the action or event. In a way, the traditional producers of news – the broadcasters, reporters, and cameramen – are suddenly thrown into the consumer’s seat. It’s a complete role-reversal.

The opportunities that Periscope offers to businesses are extraordinary.

Imagine livestreaming a view of the coffee line at your café to give potential customers an idea of the waiting time, or holding real-time Q&A sessions with your designers, developers, strategists or customer care teams. You can conduct live surveys and tours of your offices and production sites, or stream product launches and give demonstrations of products in development.

We’ve all used Skype, FaceTime and Google Hangouts, but the ability to connect directly to a wider audience in real-time in this manner is unprecedented and will revolutionise the way we engage with our communities on a global stage.

Lingering Questions

There’s two key areas of contention being thrown around in the Periscope hubbub:

1. Privacy

Your Periscope broadcast will be broadcast to the public unless you choose the privacy option. Anything you film will therefore be broadcast to the public, which raises issues concerning the privacy of you and others. It will take some time before a Periscope ‘etiquette’ is established, and a whole other range of questions will be raised when it comes to the issue of consent and privacy laws.

Further, Periscope’s privacy policy says it will “use and store information about your location” or “infer your location based on information from your device” and they reserve the right to “share your precise location with your video”. Similarly, your video contains a host of data derived from sights, sounds, location and chat log that Periscope (and Twitter) have the right to collect and share with third parties. Of course, you’ll be familiar with all the other anxieties surrounding use of our data, and this could add weight to the arguments of the naysayers.

2. Piracy

Periscope poses a huge threat to ticketed and pay-per-view events. A lot of events already impose a ban on mobile phone images and recording, but Periscope is navigating unchartered territory, as evidenced during the recent Mayweather vs. Pacquiao match, where Periscope received 66 ‘takedown’ notices for breach of copyright (because who wants to pay $100 to watch the fight with pay-per-view?).

Responding to accusations that the platform is a “vehicle for pirating content” Periscope co-founder Kayvon Beykpour says that within a few minutes, they took down around half the streams that violated copyright and the other half had already finished broadcasting.

He also notes the necessity to strengthen their tools for monitoring and managing content that could be breaching copyright: “The DMCA process mandates that you should respond to these within 24 hours, which obviously isn’t relevant in a real-time setting. Obviously there are tools that should exist and can exist, with a lot of time development to handle this stuff in real-time, and we’re genuinely interested in working with partners on figuring that out… it’s new territory”.

What’s next?

Periscope is a vehicle for exploration, discovery, connectivity and (acceptable) voyeurism. Judging by consumer reviews, it’s already leaps and bounds ahead of its direct competitor, Meerkat, due to its additional features, usability, and seamless integration with Twitter.

Got a spare moment? Whip out Periscope and see a man in Turkey train his dog to flip, or take in the view out the window of a bus on a rainy day in Dublin. Catch the rodeo in Texas from a front- row seat, or relax on the still waters of a lake on a fishing trip in New Zealand. Why not hold a live Q&A with one of your influencers, lead product developers, or devoted customers? The possibilities are endless.

Have you thought about the ways that Periscope could revolutionise your business? Let us know in the comments.

Anna Craven is a Digital Content Coordinator for Social Media Week Sydney, and an Assistant Account Coordinator at Rinsed. You can follow Anna on twitter @AnnaCraven1‏

Photo credit: Anthony Quintano

New ideas for products and services are conceived every day — yet many of them fail because they weren’t properly introduced to the market. Market research helps ensure both that the product launch will hit the ‘right buttons’ in the consumer, and ensures that the product idea itself addresses the (often unspoken) desires of the customer.

In general, we can speak of seven different steps in the pre-launch research process: understanding the market and the competition, targeting the customer, devising a unique value proposition, determining marketing strategy, testing the product and overall approach, rolling out the campaign, and keeping track of the overall lifecycle.

Let’s consider these steps of market research before launching a new product in more detail.

1. Know your market — and your competitors

Market research often reveals counter intuitive facts about your market, even if you think you are already well acquainted with it. For example, research has shown that ‘snacks’ are often used as a meal substitute, and that therefore successful confectionery-type snack products tend to be more ‘foody’ than one might expect: ingredients like cereal, peanuts, biscuits, and fruit which help break up the overall chocolate are very well received by customers.

Similarly, the beginning of a product launch also means understanding your competitors, and what products and services they have on offer. Though you might believe there’s currently no competition for your new product, put yourself in the shoes of your customers and consider what they could buy instead of what you’re planning to offer. Review those competitors’ marketing materials, and evaluate how your new offering will stand up against what’s available. Where will you excel? Which companies or products are the greatest threat to a successful launch?

2. Target your customer

In order to get maximum results form your marketing with minimal cost, it’s crucial to focus on those prospects most likely to buy from you. Perhaps they are currently buying a similar product and will appreciate your new offering’s added features. The best customers perceive they have a need for your product, have the ability to buy it, and have already demonstrated a willingness to make the purchase (perhaps by buying from the competition). In general, it’s much easier to fill an existing need than it is to create a new one.

3. Devise your Unique Value Proposition

Why will customers want to purchase from you, compared with the competition? What are you offering that makes you stand out? Not only does your new product or service have to be unique and meet your customers’ desires and needs, but you must be able to communicate why and how it does so. This is your Unique Value Proposition, and an excellent way to come up with one is by speaking with customers to see what they value

4. Determine your marketing strategy

At this point you will have enough information on your market to understand how to best market and sell your product. What channels should you use — via retailers? Catalogues? Online? Using multiple channels is, as most marketers are aware, an excellent idea. Also remember to consider direct response marketing, which can offer extreme levels of ROI.

5. Test your product and overall approach

How will your product fly when your customers have it in their hands? Ultimately the customer’s response will determine which features to emphasise and which marketing approach to use, so product testing is crucial. Product testing can be as simple as having a research participant test a single product (monadic testing) and fill out a survey on the “key performance indicators” like likelihood of purchase. Or, it can go into the various sensory qualities (appearance, flavour, etc) and make use of sophisticated video recording and observational techniques.

You should also test your marketing message and marketing materials. With all the money you’ll be spending on advertising, it’s worth making sure your ads and graphics and packaging will be well-received by the customers. Testing here might range from traditional focus groups to mall intercept studies and online research. Whatever methods you use, you should not finalise your marketing materials until testing is complete.

6. Roll out your marketing campaign

Once it comes time to launch, you’ll want to employ both advertising and public relations to maximise the impact of your new product launch. Media relations, for example, can help you get articles and press coverage on the new product, or build buzz that drives interest in the new item. Whichever you choose, of course, be sure the product is completely available for purchase — if the product is not yet in stock when the coverage hits, consumers may be disappointed.

Market research plays a role here too, of course: especially in the first few weeks, you’ll want to monitor the results of your campaign and adjust your techniques to focus on those that work best.

7. Monitor your product lifecycle

Finally, as your product matures you’ll start to see points of diminishing return that mean it’s time to alter your marketing message, revise the packaging, alter the product itself, or even start to phase it out to make room for your next big idea.

Have you used market research before? What new discoveries did you make about your customers? Tell us in the comments below!

Alex Pejak is an economist currently working on a few projects in Australia. Despite having a degree in Finance, Banking and Insurance, market research has always been her passion. Her latest project was research on the 11 most innovative food and drink packaging designs of 2014/15 done for creative market research agency Play MR.

Image credit: Xavier Vergés

For all the other business owners out there, you can probably relate to this when I say, “Business is easier said than done.” It’s exciting to talk about starting your own business, but it’s a whole new story when it comes to running one – especially when you want to make it grow.

As a young mother of two who now runs one of the best sources of womens fashion online, there are a number of very simple yet extremely useful things I’ve learnt about business that have helped elevate VIGARI to where it is today.

Here are eight simple ways that can potentially help you in your quest for bigger business:

1. Know your values and goals

One thing that has helped inspire teams to propel the business into blistering heights is to have strong values. If everyone is on the same page, then everyone can work together to roll their sleeves up and make things happen as a team.

For example, at VIGARI, one of our goals is to be one of Australia’s most in-demand providers of affordable, fashion forward women’s fashion online. We have regular meetings to ensure everyone is in line with these goals – this creates a great environment at work, and helps us provide a fantastic service to our customers!

2. Keep the cash flow coming

Your turnover may be high, but are your profits? Make sure to regularly check your financial situation. Look at the numbers. Are payments coming in on time?

Where are you spending too much? Where are you investing too little? What do the forecasts tell you?

3. Keep reading and educating yourself

No excuses, buddy – you have to keep on learning. The world is ever-changing, and if you become complacent it will leave you in the dust. Whether it be with accounting, marketing, sales, leadership, innovation, logistics or something else altogether, there’s always something you can improve.

There are plenty of books, seminars and workshops out there to help with your continuous journey of self-improvement. Some of my most recent reads include Strictly Confidential by Roxy Jacenko, #GIRLBOSS by Sophia Amoruso and The Fry Chronicles, by Stephen Fry.

4. Sweat equity

Believe it or not, running a business involves an incredible amount of work. You can’t go into it with the assumption that all you need is a nice website and all the money will start pouring in. If you’re leaving your current job to begin a life in business, be prepared to work incredibly hard – being your own boss isn’t always as glamorous as it may seem from the distance.

If you’ve read “Good to Great” by Jim Collins, then you’d understand the concept of the Flywheel. The metaphorical Flywheel, which is about 25 tonnes, takes an incredible amount of effort to push, but once you keep on pushing and pushing it, it will eventually move. Over time, you can build momentum and make it spin brilliantly – but without first putting the sweat and effort in. I personally work six to seven days a week at VIGARI headquarters.

5. Have a backup plan

Not everything will always go according to plan, especially in business. Business is full of ups and downs, and being prepared will help minimise these downs. Ask yourself questions like: how long will my savings last me if I don’t make money from my business to begin with? Who will run things if I become sick? What happens if my most reliable employee leaves? What will I do if my website gets infected with a virus? Who are the people I can rely on if things fall apart? Who will be able to take care of the kids in an emergency? Is there a solid contract in place to deal with any issues in my business partnership or with my clients?

6. Leverage off the talents of others

If you want to enjoy a healthy work/life balance, then you can’t do everything on your own – you’ll simply burn out. You may think that you can only lose money by employing the right people to help make your business grow, but if you do it right, the only thing you can potentially lose is time: time to focus on the business and time that could be spent with loved ones.

Some of the most successful companies (and homes) out there are built by teams, not by individuals. Whether I’m hiring an accountant to help with the books or employing someone to manage my marketing, I’ve found that leveraging off the time, talents and efforts of others has helped improve the quality of my life tremendously. Also, when managing your team, don’t forget to reinforce your values.

7. Go online

If you’re not yet online, then you’re missing out on a significant market. If you’re not up-to-date with the latest in today’s web technologies, then you’re missing out even more.

Our online store is always being updated and adapted to the latest changes in web design, marketing and fashion. What is your online strategy right now compared to your competitors’? It’s time to form a solid online strategy and execute!

8. Reflect, adjust and improve

Just as our phones need to recharge their batteries, so do we. Running a business and raising kids can be a truly grueling experience. Make sure to dedicate some time every month just for you to be on your own to relax, unwind, reflect and recharge.

You can also use your “me time” to learn new things that could help improve your business and life in general: learn new skills, read books, think of new ideas and examine your situation as objectively as possible. I personally regularly meditate and go to meditation retreats with my partner. I find meditation a great way to ease my mind and see the way I work on my business on a whole new level.

Eleni Zaphir helps run VIGARI Fashion Boutique – a fashion forward boutique that provides women with the freedom to find good quality, stylish and affordable womens fashion in store and online. As a young mother who started from scratch, Eleni continues to inspire women of all ages and backgrounds.

Photo credit: Be-Younger.com

Theodore Roosevelt thought that comparison was the thief of joy.

Not in 2015.

Traditionally we study our competitors during the planning process of our own businesses, often using an analysis of their strengths and weaknesses. Why not take a new approach this year? Set some time aside to focus on three to four major competitors who will inspire you to achieve more goals this year and boost your business.

Here are four ways they could actually help you:

1. Collaborate

Yes, collaborate. Work together to build a networking group of similar competitors or start an association to target particular clients that you may not have the confidence to do alone. Working as a team can portray strength as well as professionalism in a non-threatening way to investigate how the opposition operate.

Nominate a well-deserving competitor for an industry award, refer a client to them if you aren’t able to complete a project, connect with them on social media or an online forum. Can you write for their blog, journal or newsletter?

Creating relationships with your competitors can open up opportunities to observe and learn within a different environment or spark an idea to benefit your own business.

2. Marketing tools

Social media is one of the most powerful marketing tools for businesses these days. Take a look at the content that is updated on your competitor’s profile. What gets people talking, sharing, liking on particular posts? How have your competitors made the conversion from within their social media community to customers?

Many brands are creating stories within their businesses to connect and serve their customers. Analyse the tools those brands use to share their message and see how you can implement them into your own strat

3. Your Unique Selling Point

How does your Unique Selling Point or point of difference help your customer? Now take it to another level. Think about what would make a customer choose your product rather than your competitor. Assess how you can improve or refine your point of difference creatively to help catch the eye of your target customer. Your product or service should reflect the values, as well as the mission statement, to boost your business.

4. Customer experience and income streams

Think outside the square. Why not try your competitor’s product or service? Think about the user experience from the customer’s first interaction to completing the sale as well as follow-up service. How did they make you feel?

Take a look at the different income streams of each company and how does it match their mission statement or business ethos. Do they offer packages for a certain product or offer benefits to valued customers? Workshops, online webinars, conferences, memberships are all useful offerings that benefit customers.

Creating and establishing relationships with competitors may not be everyone’s cup of tea, but it can benefit both parties to boost their business. While we don’t want to be copying anyone’s ideas or products, connecting with someone within your industry can inspire many new ideas that may develop into a major income stream or long term business relationship.

Lisa Berson

Lisa is a freelance writer, copywriter and blogger based in WA, whose writing interests are careers, women’s lifestyle, parenting and travel. Find out more at www.lisaberson.com

Photo credit: Grisel D´An

Video is the easiest way to build rapport and trust online. People buy from people they know, like and trust.

Here are 5 video concepts that can provide engaging content for your target audience.

1. The ‘Why’ video

Unless you have an outstanding Unique Selling Proposition, the main thing that will set you apart from your competition is you.

A Why Video allows you to reveal your passion and your journey and why you do what you do. By revealing yourself, this provides an opportunity for your potential customers to better understand and get to know the person behind the business. This video would touch on how you ended up where you are, what’s important to you and why you love doing what you’re doing. People are inspired and drawn to people who are passionate.

2. The ‘Free Tips’ video

Another essential way to position yourself as a leader in your field is to give away good quality tips. Set aside a day and film 12 or more short (1-2 minute) videos full of useful valuable information. Put these on your website and promote a new one each month through social media and other marketing avenues. Some people worry that they will lose business by sharing their intellectual property. I say you’ll only lose it to the cheap clients. You’ll be left with the higher quality clients who value you as an expert in your field.

3. The ‘Case Study’ video

Case study videos are an extremely powerful way to demonstrate your product or service without blatantly selling. It allows a customer to tell a story about how your business has transformed their life. The fact is, people are interested in themselves and not your business no matter how brilliant it is. However if you can show them through a case study how your business can transform a business or a life then you will have their attention. This video shows how to structure a case study for maximum impact.

4. The ‘Process’ or ‘How’ video

If your service has various steps that need explanation then a process video can put your customers’ mind at rest. This type of video can demonstrate the steps you take in delivering your service and the quality control processes you have in place. Under the guise of providing helpful information about what to expect you can reinforce the quality and procedures you have in place that your competitors may not.

5. The ‘Product’ video

A product video will highlight the features and benefits of your product. To make it useful for your customers keep asking yourself what is the benefit of this to the end user. It is not enough to highlight the features. You need to explain why those features are of value to the client.

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And remember, your online audience is busy so it’s important to keep your content concise and engaging. Keep the videos to around 2 minutes in duration or shorter if possible. And of course make sure you record decent audio! ;)

Geoff Anderson – Geoff is owner of Sonic Sight, a corporate video production company. He presents on using video in business and is the author the Amazon Bestseller “Shoot Me Now – Making videos to boost business”. To find out more about Geoff and to learn about the 5 Mistakes to avoid when making videos, visit www.sonicsight.com.au or visit www.geoffanderson.com.au