Strategic Marketing Plan

I had a great meeting with the CEO of one of our client companies today. The meeting was to review the progress the company was making toward their business plan and financial projections. Now that we're half way through the year and June's financial statements are closed, it's a great time to dive deeper than we normally do on a monthly basis to see how things are shaping up.

We spend time asking lots of questions. Was our market forecasting correct? How effective has the new product positioning been? How do we see the last half of the year shaping up? Are there ways for us to improve the financial performance of the company? Are customers paying in a timely fashion? How can we improve cash flow? We ask these and lots of other questions to identify ways to improve the company's results.

But let me back up for a minute. The reason that we're able to compare actual results to their budget is because we created the business plan and projections in the fourth quarter of 2009. You know the old adage, "If you don't know where you are going, any road will take you there." Running your business is much the same. Taking the time to work through key strategic planning elements can go a long way to putting you on the right road. Executing the plan and monitoring your results can keep you there.

Blogging is a fantastic business medium. It can be molded to any cause or purpose, put a human face on your company, help build relationships with customers and make important information available immediately to large groups of people.

We've also discussed that encouraging your own team members or employees is a great way to fill a blog with rich content, different perspectives and infuse personality. And it should be a part of your business strategy to reach customers. However, empowering employees to put personal thoughts on your company website would give any leader pause.

There is always a chance that they could disclose confidential information -- it's easy to get lines crossed concerning things that are discussed in the office but shouldn't go any further than the front door. And, as much as we hope it never happens, unhappy employees sometimes choose to vent or air frustrations in public forums.

So, how do you give employees ownership of this social medium and ensure that your trust isn't violated?

1. Create a governing policy
Guidelines reign people in well and can be pointed to when there are small mis-steps giving you something to reference when discussing what is expected of all your bloggers.

2. Make it clear what should and should not be included
It's okay to tell people what they can and can't write about. It's also okay to extend the agreement to their personal blogs, if they want to participate at all, they have to agree to terms for both.

3. Learn from those who have gone before
Plenty of companies both small and extremely large invite employees to participate on corporate blogs and have create social media policies to govern their participation. Their guidelines are readily available online, when creating yours, see what some of the most successful companies have done.

A social media policy can save you a lot of frustration, time and money should someone abuse the forum. Incorporating a policy into your company's business plan, marketing strategy or strategic hr plan can only benefit operations.

If you're in charge of increasing public exposure and enhancing the brand image for your company, there are some basics when it comes to social media that you must know, fully understand and put into action. They are simple concepts that won't take much time or effort to wrap your mind around, however, their effective implementation may take a bit longer.

Simple Truth #1
It's your duty to learn how existing and new tools can help your clients or your company. No excuses.

Simple Truth #2
Use and learn new Social Media tools before your clients or executives do. What is an expert? Frequently, it’s someone who just has a jump on the information.

Simple Truth #3
As you learn about a new social media platform or tool, sign up and try for a minimum of 30 days. You may find that it has little use for you personally but it may be a useful channel for your brand or clients to engage stakeholders and customers.

Simple Truth #4
Take some time to reevaluate your personal usage of Facebook, Twitter, Foursquare, and any other platforms.

Simple Truth #5
You should be asking, what's next? One word, DIGITAL.

Once you take the time to research the foundation of each truth you will better understand how to use social media for yourself, your company or your clients. In-depth understanding of these concepts ensures effective implementation of all things social in your strategic business plan or marketing strategy.

Here at Milestone Advisors we advise businesses concerning almost every aspect of running a company. We consult on product marketing plans, financial market forecasting, writing business plans to attract potential investors or simply taking a look at someone's books to see if they could benefit from outsourced bookkeeping.

Recently, there has been a shift in the tools we recommend for marketing strategies. Social media has come out of the blue and now dominates most marketing and business strategy tactics. One of these mediums, Facebook, a social networking site, has become a hotbed for not simply B2C outreach but B2B as well.

In his most recent column, Fortune's Stanley Bing asks if this platform does society more harm than good. Even if you still plan on using the site as part of your social media strategy it's prudent to be aware of all the uses of Facebook as well as the different opinions being voiced about it.

He writes about Facebook as a place where the ugliest aspects of our worst high school nightmares come to life and fears that the worst perpetrators in this online environment will enter the business world and do immeasurable damage.

"In teaching social networking, virtual presence, aggressive electronic messaging and cold-blooded manipulation of group dynamics, Facebook is preparing young people to thrive in business life, particularly on the executive level. I’m just not sure it’s a future office space that I would want to live in."

What do you think? Is this a business world you want to live in? What can be done?

Email has come quite a long way. It is a vital component of our everyday business dealings and often, the lifeline of communication between either our clients or our customers. Some would call email, the most essential business tool we have in both terms of strategy and tactics.

While email used to be what the email marketing industry terms as 'one-to-one' communication, it has blossomed into 'one-to-many' or 'one-and-back'. Those marketers who understand the transformation of email as a communication tactic that can gain new customers, keep other loyal and lure old ones back - also understand it is now a tool of conversation and must be seen as such.

iMedia Connection recently detailed ten ways that email marketing has changed since it was first identified as part of any savvy marketer's arsenal. The article then highlights ways in which businesses can adapt to the changes and utilize public perception of the communication medium, connecting with them in a way that respects their preferences and ultimately leads to profitability.

Some of the fundamental changes are detailed below.

1. Acquisition is important, but retention is where the money is
The article asserts that people view their email inboxes as different from their actual mailboxes. It's more personal and companies need to ask for permission to be there. People should have the power of choice in subscribing to be a part of your communications. And if you can get them to buy in, you have to spend the time and resources in making them stay. Developing loyal customers is what will ultimately lead to increased business.

2. Email is all about the conversation again
If you're tuned into any social media sites or are keyed into the scene at all, you're aware that to truly engage clients or customers you must first 'join a conversation' before expecting something in return for your activity. This means providing information of value or commenting on things other industry experts are saying. Soon, you will develop loyal 'listeners' who appreciate your participation and are more proned to buy from you, or at least become familiar with who you are.

3. A marketer can't claim success until it's measured the right way
A good marketer will also measure the success of any email marketing efforts you may be invested in. But they should also be mining that data for other reasons, not just to determine if people are opening or reading the email. There is simply so much data available now, a lot of conclusions can be drawn from subscriptions, click through rates, opens, conversions and unsubscribes. And these conclusions should be incorporated as future tactics in any marketing strategy plan or marketing plan process.

The article contains many beneficial insights -- all of which should be analyzed as a way to incorporate email marketing into your business plan in an intelligent and proactive way that will allow true connection to those who matter most to your company.

Here at Milestone Advisors we truly do it all, number crunching and market analysis to create financial models, we fulfill leadership roles such as part time CFO duties, we create plans and help businesses in the execution as well as tracking the results. Whatever the Indianapolis business community needs, we work to deliver customized solutions.

One of our favorite projects to help clients with is building a strategic plan. Why, you ask? The strategic plan is truly the defining blueprint for the future of any endeavor and we love seeing great ideas come to life as they're mapped out in realistic terms. It's all about clarity. How do we get there? 

- We conduct high-level analysis of external elements such as your Industry and Competition.
- We also analyze:
- Core competencies
- Mission, Vision, and Values of your organization
- Business objectives
- Major goals
- Key strategies

Once this 'self-reflection' is completed, an approach to business that is 100% original to you, your vision and company is developed along with actionable steps and plans to put it into place and start generating revenue.

As social media continues to grow by leaps and bounds in its practical applications for business operations and people's careers it's imperative we know as much as possible about the ways in which people use the forums (potential customers/clients included), how they prefer to be communicated with and what their motivations are for spending time on them.

But does Facebook have practical application for those of us working in B2B? Granted, we can all relate to its useful nature for any consumer product -- people love to visit and connect with their most trusted brands, see what promotions are being offered, what new spring line is being revealed or who won the latest contest. I could go on and on but we get it, it makes complete sense for those brands and companies to have a visible presence on Facebook. I, for one, am connected to Ann Taylor Loft across all SM mediums, I can't help myself and I get some pretty great coupons (which of course, lead me to shop and spend there more often than normal but I still sleep at night).

Yet in the same breath, all of us who work in B2B will acknowledge that marketing plans and marketing strategies often look much different than the fun and flash often associated with B2C. Yet, marketers, social media experts and leaders (and market research itself) alike are finding that Facebook has become a great place for B2B operations to be seen.

Follow this link for well done and highly effective Facebook Fan pages that B2B companies have added into their marketing communication strategies, product development plans and business plans to connect with clients in new way and demonstrate they're on top of the trends.

I read an interview with Guy that appeared in the New York Times a couple of weeks ago and thought it pertinent to share. Since entering the workforce and more specifically the world of communications and PR, I have looked to Guy for insight into the way people work and how understanding that concept can benefit the way you do business and simply work, on a day to day basis.

Some of my favorite insights are below:

Sales is everything. As long as you’re making sales, you’re still in the game.

You should hire people who are better at doing things than you are. So, in my case, I was not the warm-and-fuzzy manager, so I tried to hire people who reported to me who were warm-and-fuzzy types to provide a buffer. If you can’t do it, you should find somebody who can.

I learned from Steve Jobs that people can change the world. Maybe we didn’t get 95 percent market share, but we did make the world a better place. I learned from Steve that some things need to be believed to be seen.

Make yourself dispensable — what greater accomplishment is there than the organization running well without you?

Success in business comes from the willingness to grind it out. It’s not because of the brilliant idea. It’s because you are willing to work hard.

I don't think I am going out on much of a limb in saying that many managers, CEOs and entrepreneurs can all find a statement above that rings true or that hasn't already been incorporated into your strategic vision or strategic hr plan, etc. Listening to leaders such as Guy reflect on their experiences and impart wisdom is crucial to our own successes and failures as we grow in our careers and our companies grow. We should consistently investigate what others like Guy have experienced and incorporate their hard-learned lessons into our daily strategies our program management plans and even our financial plans (when appropriate).

Many of our clients are start ups or young companies with fantastic ideas on very tight budgets. It's not an easy process to start a company, become profitable and maintain that growth. Never mind initiating efforts to garner public exposure for your wonderful company and recruiting brand ambassadors through strategic marketing efforts.

There may be a new trend in public relations that will allow smaller operations or start ups to begin PR efforts on a tight budget. In a recent Inc. article a Los Angeles-based PR agency is offering a bundle of services for a flat fee, sort of like your phone bill. You pay a monthly fee and receive a specific amount of anytime minutes, nightime minutes and text messages. Except with these PR services, you won't be charged overage fees.

The packages vary but can include such things as media list building, pitch creation, 20 press releases a year and basic wire distribution. The minimum commitment for their services is three months and the longer you do business with the firm, the more tailored your service package bundle can become.

PR is an extremely powerful tool that can help point your operations in the right direction for profitability. Reaching out to the public should be a key element in any marketing strategy, product marketing plan, new product positioning or product launch plan.

Local, Indianapolis blogging software company (and Milestone Advisors' client) Compendium Blogware has announced growth of 160 percent for 2009. We have two words. Wow. And congratulations!

Over the past year, Compendium has added 217 new clients, placing their total client count in the 400s. This of course translates into more great news, jobs! To support all of the growth and expansion, Compendium also plans on hiring 50 new employees.

What a fantastic example of one person having a great idea, marrying that with time, effort, funding as well as strategic planning and experiences great success.

Milestone Advisors has been working with the senior team at Compendium for two years, providing CFO insight and leadership as needed.

We commend Compendium for their business savvy, relationship building and marketing communication strategy that have vaulted them to the top of their industry. Enjoy your win guys and know there is much more to come.

The basic concepts that lie behind being an entrepreneur.

You're creating something out of nothing, you should build a team around you that will support your goals and vision who also have the capabilities to help you expand. They should be creative, smart innovators, like you and have some diverse backgrounds to bring skills to the table you may not have.

Hiring a team for a startup is different than hiring for an older business. For the latter situation, you should be looking for organized, experienced people who are also comfortable with being leaders. They need to reliable and have high ethical standards. And don't forget, good communicators!

What about when you are expanding beyond an initial or leadership team? You should have some protocol in place that touches on expectations for employees, meetings and compensation practices. This will make it easier to bring new people into the mix. The other consideration, anticipating a change in communication. More people means more diversity regarding personality type and communication preferences. Getting a system in place that will make sure you're facilitating positive communication will be essential.

Let's talk about some common mistakes entrepreneurs make formulating a company, product and culture. Often times, these can occur in the hiring process, it's easy to hire people who look great on paper but aren't committed to your mission. Unfortunately, their lack of motivation can unravel projects quickly.

Don't hold on to control too tightly. Learn to let go. If you trust the people you've hired, at some point, taking your hand off the back of the tricycle is a must. They should continue moving forward as you stop and watch them go - freeing up your time to think strategically about growing your baby (company). And be understanding of mistakes, they happen to everyone from time to time.

Most important, accept and embrace your identity as an entrepreneur. Take your passion and communicate it clearly to investors and employees. Use these facts about what it means to be a leader and what it takes to succeed to develop an organizational development strategy, marketing communication strategy strategic HR plan that will give your passion a blueprint.

You are completely responsible for building the new world as your company will be part of it.

Any marketing professional worth their salt these days not only understands the importance of the Internet and technology to deliver a company's message and solidify their brand identity - they're incorporating these new platforms into their company, their marketing plan strategies, product marketing plan or marketing communication strategy.

But a truly smart, savvy marketer is going on step further and seeking out the next wave of Web 2.0 innovations that can bolster, aid or make more efficient their marketing outreach.

I did some research and found what some believe to be the emerging social media tools (via Social Media Examiner) that will continue to change the way we do business (and the tools we use to do it).

1. Foursquare
This location-based social network/gaming application is rapidly gaining users and mindshare.  Users “check in” at local businesses and earn rewards for frequently visiting participating establishments. Business owners can get value out of Foursquare by offering incentives for users to check in, such as special offers for repeat visitors.

2. Google Buzz
This is Google’s latest entry into social networking. Buzz allows users to post status updates and upload pictures and videos to a Google profile, not unlike Facebook and Twitter.  A user’s network is formed by contacts they interact with frequently on Gmail.

3.Loopt
Another location-based social service, Loopt aims to connect its users with their friends by visually displaying their location and availability on a localized map. Users can connect with friends in the area, see reviews and recommendations of restaurants, and find events in the area that might be of interest. Businesses have tapped into Loopt’s location data to offer targeted promotions.

4. Blippy
Blippy aims to connect people around the purchases they make. Blippy publishes the amount and location of customer purchases (with user permission), which the rest of the community can then react to.

5. Groupon
This site offers “collective buying power” by providing deals to groups of people who buy products and services in bulk from participating retailers.  The site uses social networking to get users to share offers with their communities, in order to reach the target number of customers the “Groupon” requires to activate. Businesses could gain exposure and new customers by making offers on the site.

The options or opportunities for creative innovation or implementation into your marketing plan, marketing process or strategy with the above tools are endless. Whether you're revamping a brand and plan to utilize giveaways and promotions as part of a product launch plan, all of the above are technologies that should be explored.

I am actually in the process of ordering both books by Dan and Chip Heath, Made to Stick and Switch: How to Change Things When Change Is Hard. The brothers, both business professors by trade who jointly write a regular column in Entrepreneur magazine are experts in what they teach as well as human psychology. Essentially, a great read for leaders to understand what their roles demand and what those they lead want from them.

In a recent interview the brothers shared insight into how to introduce your organizations to change - a difficult pill for the average person to swallow. If you're preparing to introduce different protocol, new employees or something far more drastic - understanding ways to facilitate widespread acceptance will go a long way.

Some of my favorite insights are below.

In reference to getting employees to accept change...
"One of the main mistakes is when leaders come up with a new vision but never translate that broad analytical vision into something people on the frontlines can actually execute. I was talking to an entrepreneur who wanted his employees to have a "mindset of customer service." But if you're an employee, when you hear that, all you hear is buzzword, buzzword, buzzword, jargon, jargon, jargon."

What about stubborn people...
"You can try to find the feeling that's going to make them empathize with customers. For instance, Microsoft had some very stubborn programmers who thought they were writing brilliant software. But six out of 10 customers Microsoft surveyed couldn't figure out how to use the new feature. When they told the programmers this, their response was, "Where did you find six dumb people?" Microsoft brought the programmers into a usability-testing lab and put them behind a two-way mirror. When the programmers watched a real customer struggle with the software they designed, the programmers immediately started thinking about ways of changing it. Don't try to argue with a stubborn employee. That appeals to the dark side of the analytical parts of ourselves."

Using the bad economy to motivate...
We commonly think that fear is a good motivator, but fear works for only a short time. And this recession has gone on for a couple of years in some parts of the country. So when we try to motivate people, we need to find feelings of hope and optimism.

Figuring out what motivates people, including clients, customers and employees is going to position you for success. Once you understand how people make decisions, you can tailor your services or management style to get the results you desire.

A strategic HR plan is just as essential as an in-depth marketing strategy plan. Establishing a communication style for your organizational development strategy will please both you and your employees allowing both parties to welcome change.

Every company has a different approach to communicating internally. Meetings are used to discuss company issues as well as brainstorm to develop plans for clients and delegate responsibilities for the execution of said plan.

Getting together is necessary to discuss the latest market research forecasting, new financial models or a product launch plan. Yet, sometimes they simply equate to lots of talking, little doing.

Yet, when run effectively, meetings put everyone on the same page and foster positive relationships throughout a company as well as the resulting creativity that occurs when minds meet.

MarketingProfs offers actionable advice to run a meeting that doesn't waste your time or your clients' time.

    •    Set a clear agenda when you schedule the meeting. The best outcomes happen when everyone is fully prepared to discuss the topic at hand.

    •    Ask for full participation. Instead of letting one or two voices dominate the conversation, create a collaborative environment in which all ideas are welcome. "Encourage everyone to speak up," he suggests, "but respect those that require time to process what they're thinking by not putting them on the spot right away."

    •    Don't lose track of time. According to Stephens, you should set a limit—and stick to it. "When the time is up," he notes, "the meeting is over. If you didn't accomplish [your] goal you'll plan accordingly next time won't you?"

    •    Establish what each participant will do next. Make everyone accountable by distributing an immediate summation of each team member's responsibilities.

I would recommend adding an area to your business communication strategy or strategic plan that deals with internal interaction and meetings. Establishing best practices for regularly occurring meetings will foster positive communication and increased productivity.

Sometimes I am completely overwhelmed by the constant deluge of information flowing at us from all directions. I think it's fantastic that we live in a time where literally any question can be answered by clicking in the Google search box and that we so readily share information with each other. Tips, tricks, trends, criticism and advice are being conceived, developed and published every minute. How do you sort through all the information and adopt quality strategies?

Willa Plank of the Wall Street Journal asserts you do so by following trends, not fads. Her three key reflections are below:

1. Listen to customers, and make minor tweaks, not major alterations.

2. Try new technology on for size.

3. Consult in-the-know colleagues.

These may not be what one would call revelations but they do insert some pragmatism in an age where we can easily get caught up in the excitement of a new fad or tool we see being used (the 'everyone's doing it' syndrome).

Listening to customers is necessary, but subtly incorporate their suggestions in your marketing plan or business strategy by adding a new tactic. Don't rework the entire thing.

Technology is the great equalizer for many companies. Pull out your old technology architecture and identify areas where you can upgrade or try something new (SaaS anyone?)

Get in touch with those who have gone before. Speaking with strategy consultants or management consultants (Indianapolis business consultants to be exact). They've often launched or led their own operations and enjoy helping others do the same.

After all, following fads can lead to some bad things.

As Milestone Advisors works with technology companies to determine the best avenues to raise capital, we are excited that venture capital activity remains strong in software technology according to a recent PricewaterhouseCoopers MoneyTree report. For the full year of 2009, venture capitalists invested $3.1 billion in 619 deals, a 40 percent decline in dollars and a 35 percent decline in deals from 2008 when 45.1 billion went into 948 deals. Software remained the largest single industry category in terms of deal volume and second largest behind biotechnology in terms of dollars according to PWC. In the analysis of the software deals, Milestone Advisors has found that valuations for companies with recurring revenue through SaaS software get a higher valuation. As we work to help product development companies with their strategic business plans, we’re consistently seeking ways to leverage the SaaS model in recommending a go-to-market approach for technology products. The recurring revenue model is relevant in many products as a way to help customers conserve cash and can reduce the sales cycle in delivery of the product.

www.pwcmoneytree.com/MTPublic/ns/index.jsp

In the latest New York Times 'Corner Office' column, Susan Docherty, the leader of all sales and marketing activities for GM in the U.S. shared that her part of her strategic HR plan is to but a potential candidate in her shoes.

"I always ask people, “If you could be in my shoes today, what would be the top three things you’d do?” When most people prepare for an interview, they’re very focused on their prior experiences and examples of what they’ve done. And I think that you really do get some very candid, on-the-spot thinking when you ask them what they would do if they had my job. It demonstrates to me how they think on their feet without being prepared."

Other indicators or things she looks for include questions about failure to determine how someone deals with the overall concept, she watches for sense of humor (saying someone who uses sarcasm negatively won't score points), how an interviewee interacts with peers and of course, their presentation.

Success is all about surrounding yourself with the right people. Interviewing can be a tough process and some people can come off well in person yet not have the tools or attitude to execute when on the job. Thinking about a strategic HR plan beforehand in which you nail down desired qualities, specific questions and requirements. This should be a part of your overall business strategy or business plan. Being prepared is 99 percent of the equation for success!