Middle Management :: My Analysis of the 2012 Presidential Race

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The 2012 Presidential campaign has all the makings of a first-of-its-kind race. History buffs and pundits like to compare each presidential race to previous ones, but this one is starkly different.  High unemployment, huge debt, cloudy War on Terror strategy - and two opponents who are polar opposites of each other.  

Yes - a very different kind of race ... with one exception: The Middle ...  the swing voters made up of independents and moderates who have decided every Presidential Race since 1980.

Let's break down the two sides ...

Obama has an estimated 40% solid support.  This number was closer to 60% when he was first elected, but has shrunk to two key groups and one shrinking group:

People Who Think America is Broken and Needs a New System:  On the fringe of this support is the Occupy Wall Street crowd, but the bulk of the support comes from unions  and intellectual/academia liberals.

Race Loyal:  Call this the "George Wallace Effect" - people who support Obama simply because of his race.  Some of this support is simply the left over warmth of Obama's achievement of being the first Black President.  And some of this is racial loyalty - an often unspoken issue in mainstream media.

Old School/Moderate Democrats: This group has seen the biggest drop in support for Obama.  It's better explained here

Romney also has an estimated 40% of solid support.  This number was significantly smaller during the early primaries but has rapidly grown as he has sewn up the GOP nomination.  Romney's support comes from a combination of the following:

Pro-business Moderates: CEOs, investors, and Wall Street.  These are the original core of Romney supporters - many of whom previously supported Obama.  They have become more vocal (and written bigger checks) as Obama has revealed himself to be far more socialistic in his policies than the centrist, government-is-your-partner views he campaigned on.

Party Loyalists (The Establishment): The rank-and-file Republicans who always vote straight ticket and "Beltway" Republicans.  Contrary to popular opinion, the Establishment GOP were not Romney supporters until they saw the hand-writing on the wall.  They originally wanted Mitch Daniels, Jeb Bush or Chris Christie ... anyone but Romney.

People Who Think America is Broken and Needs to Return to its Roots:  This is a blend of Tea Party activists, moralists Republicans (my term for the Religious Right) and Ron Paul supporters.  This group has been the most suspicious of Romney's religious beliefs and moderate positions in his past - but is also where the biggest growth in support has come from as other GOP candidates have dropped out.

So that leaves The Middle  -  the 20% swing vote/undecided made up primarily of white blue-collar Democrats, independent suburbanites, and entrepreneurs/small biz owners.  How do you attract this diverse and fragmented group?  Here's how NOT to do it:

Talk about what's wrong with America.  This group is fundamentally patriotic and optimistic.
Get preachy about morals.  This group will be immediately turned qoff by anything perceived as legislating behavior. Create policies just for them.  Patronizing any element of this group will back-fire.  This includes pretending to be something that you are not.

A typical incumbent strategy is to run on a record that shows how the incumbent's policies have helped The Middle.  Obama can't do this - simply because all three sectors of this group have been hardest hit the last 3 years.  So Team Obama has to take a different approach - has seen in the the poorly executed "War on Women" and Buffett Rule efforts, trying to rally support with young voters by talking about reforming school loan programs, and trying to position Romney as a wealthy "vampire".  All three positions show a surprising level of tone deafness; considering they violate all 3 of the "do nots" I mentioned.  That leaves Obama with little more than a "I'm cooler than Romney" message.

Romney's experience of being a Republican governor in a liberal state gives him a huge advantage in messaging to and attracting The Middle. Romney is trying to appeal to The Middle using an approach similar to Reagan:  talking about individual potential, returning to core American principles, making the race a referendum on leadership, etc.  You will also notice that Romney isn't attacking Obama's character.  Instead, the message has a tone "of what might have been".  The Romney campaign has been using a lot of real people (including Obama himself) in campaign ads.

In looking at this roughly 20%, you can award 7% to Obama due to incumbency and some party loyalty.  That leaves 13% that tilts to Romney ... leaving a 53% - 47% win by Romney in November.  Because of the Electoral Vote system, the actual race will be closer but I think those numbers are an accurate forecast.

Finally, here is Family Guy's take on undecided voters.

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5 Blind Spots that Get Entrepreneurs

Sled

You don't really learn until you've studied both success and failure. I've had the privilege of being around a lot of winners in my career.  But I might have learned more from the failures - including a few of my own.  

Being part of a start-up that is doing things right has inspired me to reflect on the blind spots that nail entrepreneurs.  Here are 5:

  1. Capitalism 101.  This is rampant with the over-educated entrepreneur with a corporate background.  Unless they receive other influences, they are taught that capitalism is just an economic model.  Then they get a corporate job and the paychecks magically appear every two weeks.  If/when they take the plunge in to the start-up pool, they  often are surprised to find that capitalism is economic REALITY; that capitalism is the math used by markets, investors, etc.    In short,  there has to be a transaction.  No transaction, no business model.  So to prevent "Solyndra Syndrome", you need a sustainable revenue model fueled by a market that wants to buy your product.  

  2. Failing to Prepare for Failure.  Mike Tyson once said "Everyone has a plan until they get punched in the face".  Those "punches" usually come from a funding source not coming through - or the market not responding the way you thought they would.  Mature entrepreneurs prepare for failure by hiring people that can take a punch, building flexibility in to the business / revenue plan and by building scalable products that can quickly adjust to the market's response.

  3. No Shared Risk.  You'd be surprised how many so-called entrepreneurs don't invest in their own ventures.  Unless you have a few successful start-ups under your belt, being an entrepreneur is a game of all-in.  When it's your money (or house or 401k) at risk, you will behave differently.  You will watch expenses, you will have a budget and you will be extra choosy about who you hire.    

  4. Lack of Conviction.  Do you believe?  I don't mean "are you delusional?".  I mean do you absolutely believe that the idea you are taking to market is viable?  This conviction is what will keep you warm at night (hat tip to the movie "Red Dawn").  It prepares you to handle #2.  It prepares you to hear "no".  It's hard to do that if you have to keep re-reading your own business plan to remind yourself why you are doing this.

  5. Working Too Hard.  Consider blocking sleds in football practice.  Hitting the blocking sled is already hard work, but they are designed to be even harder if you use sloppy technique.  Small business ownership, start-ups, etc are like hitting the blocking sleds  - a lot of simply just grinding away and doing the dirty work necessary to make it all work.  Don't make it harder by getting lazy or sloppy - or by over-working yourself.  If it seems extra hard, stop, take a break and check your technique.  
A final thought ... 

Being physically and mentally fit will give you a competitive advantage as an entreprenuer.  Eating right, working out, resting the mind, etc give you endurance and clarity.  You will also look better in your suit when you are pitching to VCs.

Add any blind spots you've seen or experienced in the comments section.

Reverse Engineering: How to Destroy a Culture

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"Cultural Transformation" is a big deal in the business world right now.  Chalk it up to several factors: a) An aging executive and middle-management base 2) the continued compressed economy and 3) a massive influx of technology that empowers buyers.  All three factors are causing companies to re-think their business models, their marketing plans - and their internal culture.  

The common question is "How do we create a positive culture?" - or some variance of that question. 

Here is a fresh idea ... let's reverse engineer the question.  How would you destroy a culture?
  1. Provide a livable income for minimal output: this would ensure that everyone always has a job - regardless of productivity or profitability.
  2. Create a sense of entitlement:  change the language from "I earned" to "I deserve"; embed this thinking in your training programs and new employee recruiting.
  3. Subsidize destructive behavior: as part of your benefits package, provide free cake to everyone.
  4. Remove accountability: remove systems that measure performance and make sure to have zero standards.
  5. Ostracize the successful: if someone performs better than others, be sure to spread the results of their success around. If they won't comply, remind them of the importance of sacrifice.
Finally, to destroy a culture, "leaders" would tell the people that their situation (and the condition of the company) is someone else's fault - and they (the leaders) are the only ones that can fix this injustice.    Of course, privately the executives would do the opposite of all 5 of these steps- because, well, they would love to be successful.

The net effect would be to create an institutionalized culture where power resides in who controls information, who has legacy/tenure, and who can best identify threats to the system.

If this looks like the company you work for (or the place you live), maybe it's time to speak up.



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5 Stupid Ways Consultants Kill their Brands

Tommy

 

Speaking from my years of experience, being a consultant can be a tough gig.  We are selling intangible services that are often attached to a delayed outcome.  Thanks to economic compression, we have more competitors than ever.  And we are often fighting over smaller budgets and short-term projects.  Despite all this, we work on our craft, hone our skills and try do deliver results for our clients ... and screw that all up by killing our brand.

  1. First Impressions - A lot of consultants seem to have two styles: "Safe" and "Out of Style".  Safe is dressing like everyone else - blending in and making no effort to stand out.  I'm confident that this is a self-esteem issue - or maybe a protective response left over from our corporate days.  Out of Style is simply inexcusable.  No one wants to buy anything from someone that is out of style, out of shape and unhappy.  The rule of first impressions also applies to your marketing material (especially business cards!) and your web site. 
  2. Fearing technology - The adoption of technology is a leading indicator of relevance.  If you are lugging around an old Windows laptop and a flip phone, you are telling your prospects that you fear learning new things.  This also applies to social media.  At a minimum, get on LinkedIn.  If you like people, get on Facebook.  If you are interesting, get on Twitter.  Then read #5 below.
  3. Under-billing - This manifests itself in two areas: 1) doing consulting work you don't want to do for a lower rate and 2) doing the work you do want to do but at too low a rate. Both kill your brand - and maybe your soul.  Simply put, know and believe in your worth and charge accordingly.  If your prospects won't pay, find different ones that will. 
  4. You don't have an "it" - Most consultants are generalists. However, we consultants are in the Pain Alleviation business.  Pain is not general; it is specific.  If you becoming a specialist in solving a particular kind of pain for organizations, you can charge a higher rate and build a brand around that area of expertise. 
  5. You are an Over-Promoter - Promoting yourself is like cologne.  If a little bit doesn't work, a lot makes it worse.  We've all met the consultant that goes to every networking event on the social calendar or spams their contact list with the latest canned newsletter content.  Instead, focus on spreading influence.  Focus on serving people that share your values and letting reciprocation take it's course. Focus on being a trustworthy confidant and a good friend.
The bottom line:  branding is largely about self-awareness, self-worth and presence.  When any of these three things are out of whack, it will manifest itself in your brand.  It will negate technical expertise, years of experience, education, etc.  Branding for consultants is half chess match and half beauty pageant.  You don't need to play chess like Bobby Fisher or look like Gisele Bundchen.  However, you DO need to be the best version of yourself!

Is your brand Oatmeal or Bacon?  Find out here.


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Name that App Contest - Win $500!

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An anonymous but highly successful Boise-based entrepreneur has asked me to help facilitate a crowd-sourcing contest to name a new app that he is launching.  

Described as a "Groupon / LivingSocial Killer", this app will use location based services to offer opt-in deals and promotions.  Are you in a new city and want to know the deals that are closest to you?  Want to receive notification when your favorite businesses have a promotion or sale?  That's what this app will do!

Unlike Groupon or Living Social, this app is intended to help businesses earn repeat customers and create a loyal fan base. Unlike FourSquare, this app will allow for greater interaction and feedback/data capture with customers.  

So here is the contest ...

Provide up to 5 names for this app.  If your app name is selected, you will receive $500.  It's that simple! 

To submit your app names, just e-mail me at justin at fosterthinking dot com.   Be sure to include your name and how to get in touch with you.  Include your Twitter handle if you'd like us to shamelessly promote you as the winner of the contest.


Have fun!

 

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Nashville Gets One Right @DavidNail

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Over the past 15+ years, Nashville has deservedly been criticized for being an oatmeal factory of music mediocrity. They've cranked out a litany of homogenized mediocrity; becoming the Olive Garden of the music industry. Every once in awhile, they find a true artist (Jason Aldean, for example). Such is the case with David Nail. David's second album is simply awesome. It is a country album; not a traditional sound, but still fresh and different. What separates it from the pack is David's unique voice and excellent song writing. Simply put, he doesn't sound like a Nashville clone. Every song is worth a listen; with "Let it Rain", "She Rides Away" and "That's How I'll Remember You" being my favorites. Now if we can just keep David from doing cheap duets with American Idol winners ...

"Investments" - a code word for failure

Some things were just never meant to be, but that doesn't mean that investors won't pile millions of dollars upon a bad idea or even a good idea gone bad. Whether they crashed and burned or sucked investors dry, these ventures just didn't work out. Check out our graveyard of dreams and money to get a look at VC (venture-capital) investments that just weren't wise.

  1. Amp'd Mobile: Amp'd Mobile takes the crown for money-burning, with $360 million that ended in bankruptcy. The company's major problem was its customers' ability to pay. While other mobile providers check for an ability to pay bills within 30 days, Amp'd let it go to 90 days and marketed to these risky customers. It has been reported that 80,000 of the company's 175,000 customers were unable to pay their bills.
  2. Procket: Networking company Procket was once one of the most highly valued telecom startups in the U.S. It had $272 million in venture-capital funding and a valuation of $1.55 billion but was ultimately sold to industry behemoth Cisco Systems Inc. for a disappointing $89 million.
  3. Webvan: Webvan was a grocery-delivery business that served nine metropolitan areas. Once valued at $1.2 billion with plans to expand to 26 cities, the company went bankrupt in 2001. Despite millions in sales, the company's demise was brought on by a money-burn that exceeded sales growth. Major purchases included $1 billion for warehouses, enterprise servers and more than 100 Aeron chairs. Additionally, it acquired HomeGrocer just a few months before going under. This fast expansion proved to be too much for Webvan. This company that once had about $800 million in venture capital ended up with $830 million in losses, with about $40 million on hand.
  4. Caspian Networks: Caspian Networks, originally founded as Packetcom Inc., had a number of ups and downs, including a washout in 2002; the company finally shut down in 2006. Caspian Networks fluctuated from more than $300 million in funding and 323 employees to less than 100 employees and closed doors.
  5. Pets.com: This icon of the dot-com bubble died out in November of 2000, going from a listing in NASDAQ to liquidation in just nine short months. The site sold pet supplies and accessories online. Once backed with $50 million by Hummer Winblad Venture Partners, Bowman Capital, and Amazon.com Inc., Pets.com had promise and even bought out competitor Petstore.com. But in the end, its stock bottomed out at 19 cents per share. Remembered for its sock-puppet ads, the expense of its $1.2 million Super Bowl ad, as well as large infrastructure investments, proved to be too much. Pets.com's sock puppet lives on as the icon of BarNone Inc.
  6. Optiva: Optiva, a nanotech company that laminated flat-screen TV sets, had to shut down after it failed to continue to raise funding. It initially raised and ran through $41.5 million in venture capital. The problem was that it took too long to release its product, which was obsolete by the time it came to market.
  7. Kozmo.com: Kozmo.com's small-goods delivery service, while a recipient of around $250 million in investment, and popular with students and young professionals, ultimately met its end and liquidated in 2001. Its business model was criticized as unprofitable because it didn't charge for deliveries. Kozmo.com's demise is profiled in the documentary film e-Dreams.
  8. CueCat: This much-mocked pen-sized bar-code scanner was designed to make finding information about ads easier. Instead, Digital Convergence Corp., CueCat's creator, burned through $185 million from investors like The Coca-Cola Co. and General Electric Co. The device simply failed to catch on, and it was plagued with security problems.
  9. DeNovis Inc.: DeNovis software once attempted to change the medical-claims world but ended up shutting down instead. It raised $125 million in venture capital and had 110 employees. Unfortunately, that wasn't enough, and this promising solution simply didn't have the cash to hang on until the software could be launched.
  10. PointCast Inc.: After tens of millions of dollars in venture capital and a $400 million buy offer, PointCast was finally sold for $7 million. It was originally touted as the next big thing, but failed to live up to its hype when its software and downloads irritated customers.
  11. eToys: Despite being measured as the "benchmark against which all other sites are measured," eToys ended in bankruptcy. The company was largely edged out by Amazon.com, which formed a partnership with Toys 'R' Us, but ultimately, customers just weren't willing to wait a few days for their Legos. It was backed by VC firms Idealab, Highland Capital Partners LLC and Sequoia Capital Partners.
  12. AllAdvantage: AllAdvantage offered Internet users 50 cents per hour to watch banner ads on a "Viewbar." Of course, the problem with their business model was that advertisers didn't see the appeal of the low-pay demographic AllAdvantage offered. This company represents $135 million in venture capital down the drain.
  13. FastForward: FastForward's software and design took a nosedive due to faltering profits. Investors sunk $54 million into the company, which ended with bankruptcy and a selloff designed to raise funds to pay around $2 million in debts.
  14. Xoma: While many pharmaceutical companies enjoy soaring profits, Xoma isn't one of them. This 26-year old company has not earned a profit since its inception in 1981. In fact, it has run through more than $700 million. Its stock has gone from highs of $32 per share to $3.04. Of course, this company's future is much more promising than many of the other companies profiled in this article. There's still a chance that Xoma will see success, even this far down the road. Perhaps you'll see Xoma on a future list of VC turnaround stories.
  15. Flooz.com: Flooz was a digital currency that could be bought online and used somewhat like a gift certificate for online retailers. The company raised more than $50 million in support but, despite backing from big names like Whoopi Goldberg and J. Crew, went broke in 2001 after revenue slowed down. The company also suffered because thieves charged around $300,000 in Flooz to stolen credit cards.
  16. Vanguarde Media Inc.: Vanguarde Media, publisher of Savoy, Heart & Soul and Honey, couldn't stay afloat, filing for bankruptcy in 2004. Even after $60 million in VC funding, the company simply wasn't able to sustain its business model with advertising revenue. Vanguarde Media also had troubles with real estate and Web sites.
  17. Pixelon.com: Although Pixelon's money-burn of $16 million isn't remarkable in comparison to the other all-stars on this list, the way it was burnt certainly is. Pixelon's founder, "Michael Fenne" was more con man than entrepreneur, spending most of the company's investment on a Las Vegas launch party peppered with stars like Tony Bennett, Kiss and The Who. Eventually, it came out that Mr. Fenne was actually David Kim Stanley, a man on the run from the law and living in his car, who previously pleaded guilty to swindling $1.5 million from friends and neighbors.
  18. Bolt Media Inc.: Bolt Media survived the dot-com era but finally met its end. This video site, launched in 1999, had more than $60 million in venture backing, and even went through a number of trials like a management buyout in 2004. In the end, Bolt's lawsuits kept it from being bought out by GoFish Corp., and the company has since shut down.
  19. DigiScents: Would you like to "smell" the Internet? Yeah, we didn't think so. Neither did potential investors for DigiScents. After $20 million in investment, this smelly company was shut down because it couldn't come up with additional cash to go on.
  20. Boo.com: Boo is a prime example of dot-com excess, with $120 million burned on apartments, gifts and a huge site that left dial-up modems struggling. The company had Miss Boo, a sales-assistant avatar, and loads of JavaScript and Flash. Essentially, the site lacked usability. The book "Boo Hoo: A Dot Com Story," chronicles the company's boom to bust.

The term "investment" for spending your tax dollars is a common phrase amongst politicians. It sounds so much better than "we are wasting your tax dollars".

Consider this: the story above highlights the top 20 worst VC investments of all time. Their sum total is a FRACTION of the "investment" dollars lost by US taxpayers on Solyndra, BrightSource and other so-called Green Energy Investments made by Team Obama. And this doesn't include the billions lost on the GM & Chrysler bailouts.

If politicians are going to insist on calling these "investments", then they need to be held to the same standards of investors. Which means at a minimum, getting fired.

My 2012 Manifesto on Creating an Elite Personal Brand

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The last few years have been a winnowing of mediocrity.  Brands - especially personal brands - have had to toughen up, work harder, and be smarter in order to survive.  If you aren't a mediocre brand, this process has created more discipline, more perspective, and a stronger sense of confidence.  

2012 is now a chance to create a true competitive advantage with your personal brand; to join the elite in your industry, community, etc.  Note:  by elite, I mean The Best - the 1%'ers of performance, not wealth or status.

Here are 5 check-boxes for creating a truly elite personal brand in 2012:

  1. Get Fit.  Losing weight and getting fit is an outward sign of inward discipline.  From a first-impression standpoint, people will notice.  More importantly, you will notice.  It will give you more self-confidence and more endurance.  You will be able to work with a clearer head and work longer hours when necessary. 

    Don't over-think this.  Getting fit is a matter of math (burn more calories than you consume), education (learn what to put in to your body and what exercises to do), and discipline (have a plan and stick to it).  If you need help in any of these areas, I strongly recommend hiring a personal trainer - especially one with a sports conditioning background.  Remember, this isn't about vanity - it's about performance.  I also highly recommend the book The Power of Full Engagement.  This is a fitness/performance book written specifically for executives and professionals.

  2. Get Your Crap Together.  It might be time for an honest conversation with yourself.  Specifically, this is an honest conversation is about your weaknesses.  Every elite person I know is very aware of their weaknesses.  They have a system for dealing with them - and often are able to channel these weaknesses, turning them in to strengths.  Being aware of and dealing with weaknesses keeps you humble and centered.  The list can be long: our past, bad habits, emotional issues, mental health, financial issues, family drama, relationships, etc.  By dealing with these issues, you are doing what few people are willing to do - which makes getting your crap together a competitive advantage.   My friend and mentor Ron Price wrote an excellent book on this subject called Treasure Inside.  Buy it here. 

  3. Remodel Yourself.  This can be summarized as:  buy some new clothes and get a new hair cut.  The cool thing is that if you get in shape and deal with your internal weaknesses (1 and 2 above), you will WANT to look different.  As I have said many times, I don't give style advice to women (at least not proactively!), but here are some tips for my fellow dudes:
     
    1. Don't let your wife/girlfriend pick your clothes for you.  Be a man and do this yourself. Instead, pick up an issue of Men's Health.  Each issue is chock full of ideas for creating a good style.
    2. When it comes to clothes, don't be afraid to find your own style.  If you don't know where to start, stick with classics (Think Frank Sinatra).
    3. Buy suits and sport coats that will last at least 3 years.  This means darker colors and non-trendy cuts.  It also means higher quality, so that it will last.  I recommend Men's Warehouse for suits.  They can help you find the perfect colors and cuts for you.
    4. Once you have the above, you can compliment it with more stylish items such as shirts, shoes, ties, watches, etc.  With the exception of timeless styles, ties and shoes should not be worn beyond a year.  
    5. Some don'ts ... with a few exceptions, don't wear slip-ons with a suit; don't wear button-down collar shirts with a suit; don't wear your tie too long or too short; don't wear pleats. And the biggest Don't of all: don't dress like you are trying too hard or not trying at all!
    6. Find a hair stylist that tells you what kind of hair style looks good on you.  A tip within a tip: find a celebrity dude with a similar hair line as yours to be your Haircut Lab Rat.  He has the bank account to hire expensive hair stylists.  Then show his picture with the hair style you like to your stylist. 
  4. Improve Your Communication Skills.  Mediocre personal brands are poor communicators.  Even decent personal brands are good at either speaking or writing.  Elite personal brands are awesome at both.  The great myth is that speaking and writing are some sort of inherent skill.  While you may have a disposition to one over the other, both are learned skills.  As such, they take repetition, practice, and discipline.  So ... find a topic you are passionate about and write and speak on it.  The writing part is easy: start a blog.  Speaking opportunities are fairly easy too.  Civic and business groups, schools, and non-profits are always looking for speakers.  Just make sure your topic is relevant and useful.  If you need help with your speaking skills, join Toastmasters.  It is a boot camp for speaking - and also a great networking opportunity.
  5. Expand Your Mind.   Consider this ... if something has mass appeal, it is rarely elite.  By its very nature, mass appeal requires the dilution of awesomeness.  So every day we are fed mediocrity in education, news, advertising, car, music, movies, books, restaurants, etc.  Almost all of this encourages everyone to be average; to blend in.  And, ironically, if you don't blend in, you aren't hip or cool.  Here are some mind-expanding habits I see from elite people I know:

    1. They are readers.  More specifically, they are Learners and books are a great way to learn.

    2. They are "local-vores".  This means they eat locally.  They get to know local restaurant owners and chefs; which expands their knowledge of food and culture.

    3. They are independent thinkers.  They have multiple sources of news and information and research and fact-check what they are told.

    4. They are quotable.  They have original ideas that people want to write down (or re-tweet).

    5. They are not Over-Promoters.  They tend to be quiet and often un-assuming. 

    6. They are happy.  They smile, laugh, and have deep, meaningful relationships.

 

None of the above is easy. That's why they call it "Elite".  When you find yourself lost or stuck, remember these three things:
  1. If you have talent, originality, and discipline you don't need the rest of the world to define you.
  2. Honesty, humility, and kindness are the most elite of traits.
  3. Nothing worth doing can be accomplished without commitment and enthusiasm.  

I hope you have an awesome - and Bacon-y - year!

 

Is your brand Oatmeal or Bacon?  Find out here.


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How to Write a Bad Marketing Plan

Warroom

A typical task this time of year for small business owners or marketing decision-makers is to write a marketing plan.  There are plenty of articles and posts on how to write an effective marketing plan.  So here is one on how to NOT write an effective plan.  

  1. Focus on how much money you will spend.  At some point, marketing became equated with spending money.  Of course, you need a budget - but focus on investing in results, not just spending a budget.  I recommend a "zero sum" approach.  Start with desired outcomes, then establish how much you need to spend to reach those goals.  Keep in mind that word-of-mouth is always free.

  2. Create a punch list of tactics.  Of course, you need a plan for what you are going to do.  However, a "check box" mentality distracts from the true task at hand - producing results.  This will prevent you from measuring progress by what you've done instead of what you produced.  

  3. Establish a target demographic.  Demographic-based target audiences are a relic of media placement.  Unless you are selling to shut-ins and geriatrics, demographic models have mostly been fragmented.  Instead, focus on the psychographic profile of your ideal audience.  How do they think?  What do they believe?  What are their drivers?

  4. Don't worry about a message.   Marketing is all about saturation, right?  It doesn't matter what your message is.  Just get a slogan, a jingle and get your brand in front of enough people and it will produce sales results.  Unfortunately, this happens enough times to perpetuate this myth.  For those of you that don't believe that "luck" should be part of a marketing plan, your message is the single most important part of your plan.  Simply put, your message is what you would say to your ideal audience that establishes an emotional connection and creates the desired behavior.  Simple, right? 

  5. Don't worry about quality. This bad marketing plan mistake is partially related to #2 and #4.  The focus on punch lists and saturation often leave a lack of funding on producing quality marketing materials and advertising.  A poorly shot TV ad, a poorly written radio ad, a poorly designed print piece, a poorly designed web site, etc are evidence of a poorly thought-out marketing plan.

  6. Write your plan for the entire year.  Frankly, we shouldn't have annual marketing plan.  It locks you in to a plan that has minimal flexibility.  One year in a brand is a long time.  New opportunities will arise, new threats will emerge, and markets/trends will shift.  And you will be stuck in Q3 of your plan using old data and old ideas.  Instead, focus on a strategic plan for the year with 4 - 5 measurable outcomes (i.e. revenue per customer) - then use quarterly marketing plans for the execution side of the plan.

  7. Don't establish benchmarks or outcomes.  I've used the term outcomes, benchmarks, measurables, and results enough times to sound like a real consultant.  Without them, you don't have a plan.  
So put down the egg nog, quit rooting through that gift basket of goodies your radio rep brought you, and get to work!

If you need to get a last minute Christmas gift for someone you really love, get them this

5 Marketing Trends Worth Watching in 2012

Justinselena

'Tis the season for blog posts and articles on the "Best/Worst of 2011" and trend-watching for 2012.  I don't know how many marriages Kim Kardashian will have or if Justin and Selena will tie the knot.  But I do believe these are the top 5 marketing trends that decision-makers should be watching in 2012:

  1. The Buy Local movement will grow.  American Express's very well-executed "Small Business Saturday" campaign is just the tip of the iceberg for this trend.  Thanks to awareness campaigns, word-of-mouth, and the continued flat economy, buying local will be even hotter in 2012.  The lesson for locally-owned businesses is to not suck at branding.  This starts by actively participating in the Buy Local movement.  It also means investing in first impressions: logo, signage, web, etc.  People want to buy local, but they don't want to buy local crap.

  2. "Indie" brands will stay hot.  Similar to the Buy Local movement, Indie brands are hot right now.  Indie brands are more about un-establishment rather than anti-establishment.  This means they are edgy and different, but still have some mass appeal.  These are small record labels, regional chains (i.e. Dutch Brothers), small clothing lines, etc.  The #1 goal for Indie brands (besides having great products) is to have a findable and usable web site - and making sure it is integrated with your social media efforts.  

  3. Mobile web will (almost) reach small businesses.  Since the web is people-driven, it will evolve as people change their habits, new technologies emerge, etc.  One example is the rise of mobile web that has been fueled by smart phones, 4G, and greater access to wifi.  For smaller businesses, this means making sure your web site is mobile-enabled - and making sure that you have a good presence on Google Maps.  By mid to late 2012, I also think you will see more small business related mobile apps.  As the cost of app development drops, savvy small businesses will start do use apps to promote their brands and sell products.

  4. Integration is in.  This trend has emerged in larger brands the last few years.  In short, it means integrating your visual identity, message, offerings, etc through all mediums.  This is not a new concept. However, the fragmentation of old media and the emergence of all the new media platforms, it is certainly more difficult.  For small business owners, this means making sure that all of your marketing vendors are talking to each other.  This traditionally hasn't happened, so be prepared for drama and push-back from each of them.  Or get them all in a room and post the video on YouTube!   The bottom-line: by not integrating your brand across all mediums, you will dilute your brand, confuse your audience, and look like an amateur.

  5. Interaction will be a requirement. Other than small pockets within certain demographics, the idea of "passive" branding is pretty much dead.  Passive branding is part of the old thinking about saturation - that enough people see your billboard or see/hear your ad, then it creates brand awareness.  And brand awareness leads to sells. In the words of Keyshawn Johnson, "C'mon Man!" The business owner in you wishes it works this way, but the consumer in you knows it doesn't.  If you are going to do outbound marketing (radio, TV, billboard, print, direct mail, PPC, etc), you have to give something for people to DO!  This is why QR codes are hot right now.  I'm not sure this trend will continue, because 90% of where the scan takes you is boring or poorly executed.  However, the idea of getting your audience to do something is on the right track.  The same rule applies to e-mail marketing, text marketing, social media advertising, etc. - using these tools is not enough.  There has to be interaction - or at a minimum, a call to action or offer.
An over-arching trend that effects all brands is that the consumer is in charge.  Almost without exception, you need them far more than they need you.  So whatever medium or method you use, keep this in mind.  Treat your audience with respect.  Be clear in your offer.  Tell them what makes you different/better.  Then love 'em up when they buy from you.


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