Monthly Archives: May 2010

How to Get $346 in Sales from a $1 Investment

Social Media 4 Small BizWe’re continuing our series on Social Media for Small Business. Recently, we talked about how to increase the value of your business by increasing the perceived value you deliver to your customers.

Today we want to extend that subject by talking about relevancy. Are the messages you send to your customers relevant?

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icon for podpress  Hear George & Mary-Lynn discuss how small businesses can trump large companies on The Bigg Success Show! Click the player to listen [5:29m]: Play Now | Play in Popup | Download

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George KruegerI recently got an e-mail from Best Buy. Now we love Best Buy. But this message hit me the wrong way. The subject line read, “Find great gifts for Mom.” There’s just one problem with that: my mom passed away a few years ago.

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Mary-Lynn FosterMy mom’s gone as well. Of course, Mother’s Day is coming up so the message is timely. Unfortunately, though, it’s not relevant.

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George KruegerIt goes beyond that. While I’m through the grieving process, Mother’s Day is always one of those times when I think of mom the most, of course.

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Mary-Lynn FosterWe want to help our customers with their pain, not create pain for them!

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The opportunity for small business

We really don’t expect a business like Best Buy to know our moms are gone.
This spells BIGG opportunity for small business.

You can be relevant!
You can send messages that resonate with your customers!
You can trump large companies with personalized service!

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George KruegerOne of my former businesses was a heating and cooling business. When our technicians were in a customer’s home working on the furnace or air conditioner, they would record the age of the customer’s equipment.

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Mary-Lynn FosterSo now you had some valuable information, but it isn’t valuable if you don’t do anything with it. So what did you do, George?

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George KruegerWe accumulated this information in a database which we used to generate a mailing list. We sent a letter to that list twice a year – in the spring and in the fall, the two BIGG seasons for this particular business.

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Mary-Lynn FosterSo if I had just replaced my equipment with you, I wouldn’t get a letter asking me to buy. The only people who received the letter were people who had an identifiable need.

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George KruegerRight. The message was relevant. And obviously it resonated because every letter we mailed generated $346 in sales!

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Mary-Lynn FosterYet it only cost you about $1 to mail every letter?

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George KruegerYeah. We wrote the copy. It was written like a letter from a friend because we wanted it to be personal. We emphasized that there was no obligation for us to come out and check out their system to see if replacement was their best option. We told them that we would let them know if it wasn’t. And we did! Because we wanted the replacement when it was right for them.

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Mary-Lynn FosterSo the only cost was some time and postage. And with e-mail, you don’t even have to pay for postage! And it’s so easy to build segmented lists.

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George KruegerAbsolutely. But here’s the story behind the story. We didn’t expect the letter to do all the work. If you want to get this kind of return, you shouldn’t either.

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Mary-Lynn FosterExplain that in more detail, George.

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George KruegerWe designed a system so our customer service representatives knew which customers had received the letter. When the customer called in for service or we called to schedule their regular maintenance, we confirmed if the customer received the letter. This often prompted the response, “Oh yes, I did. I wanted to talk about that.”

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Mary-Lynn FosterIn other words, the customer was almost pre-sold.

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You can do something similar in your business. Design a system to gather relevant information about your customers. Then send them messages that resonate and you’ll be a BIGG success!

Direct link to The Bigg Success Show audio file:
http://media.libsyn.com/media/biggsuccess/00583-050710.mp3

2 Barriers That Keep Small Business from Social Media

Social Media 4 Small BizWe’re continuing our series on Social Media for Small Business.

Today we're happy to welcome Cody Heitschmidt. Cody is the Vice President at Logic Maze, which is a web design and small business marketing firm. He also blogs at CodyTalks.com.

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icon for podpress  Hear Cody talk with George & Mary-Lynn on The Bigg Success Show! Click the player to listen [5:21m]: Play Now | Play in Popup | Download

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Mary-Lynn FosterWe often hear from small business owners that they are afraid to put their business on social media platforms because they are small, therefore they think it will reflect poorly on their brand if they don't have many fans, likes, followers, etc. How can they get past that?

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Cody   HeitschmidtI'll get you past that barrier by first looking at another one. If you run your own business and you are the mail clerk, the receptionist, the production person, and the accountant, your time is something you worry about more than your brand. So if I tell you to get a Twitter account and spend some time on it, Bob at Bob's Floral Shop will say to me, "Why should I spend my precious time talking to zero people?"

My social media presentation for beginners is called “8 Seconds and Free." I've literally timed myself with a stopwatch in hand typing in 140 characters into Twitter and it took me around eight seconds and it didn't cost me anything. Now, to say don't worry about your followers at all is to say don't worry if anyone hears your message and that is ridiculous and a bad marketing stance.

When you start a Twitter account, whether you are the NFL or Bob's Flower Shop, you start with zero followers. You do need to do things to find followers, like use search on Twitter, or ask your friends and customers to follow you to get it started. Now, those of us currently using social media understand the snowball of viral things or the snowball of a retweet. If you get one person with a thousand followers to retweet you, that can have a great impact. This is why marketers today encourage their clients to use social media, because even Bob at Bob's Floral Shop understands that he can get his message out each day in only eight seconds, and let that message get spread by his followers while he gets back to work in his business. Really look at the ROI on that. Not on how big the returns are, but rather on how small the investment is.

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George KruegerThat's great advice, Cody, and I can't wait to meet Bob the florist because I've heard some great things about him today!

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Cody   HeitschmidtAnd once he gets going on social media, he'll take on 1-800-FLOWERS!

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Mary-Lynn FosterProving once again that small is the new big. Thanks Cody!

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Direct link to The Bigg Success Show audio file:
http://media.libsyn.com/media/biggsuccess/00582-050510.mp3

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