May 2011 Newsletter

Effective Advertising Workshops
Mountain Vista

Effective Advertising Workshops Newsletter

Volume V Issue 5
In This Issue
The Three Word of Mouth Triggers
16 Things You Can Do Yourself

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May/2011
Dear Reader,

For those of you that have been to one of our seminars, you will remember that the best advertising is Word of Mouth. I have heard this from every part of this country..."we survive on word of mouth". Survive... yes you can survive, but you will never grow your business. You will never Thrive! The Golden Rule for WOM is to "be real". Work at and continually optimize customer experience with your product or service. Then, and only then, should you worry about helping to spread the word. If the experience customers have with you doesn't match the marketing hype, you'll get burned.

I have combined two articles regarding WOM and hope they can help you with your "Word of Mouth" advertising and marketing.

My sincere thanks to Roy H. Williams and his "Three Word of Mouth Triggers", Bryan Eisenberg and Zane Safrit's "16 Things You Can Do Yourself to Create Word of Mouth for Your Business".

The Three Word of Mouth Triggers

Recall the last few times you personally participated in word-of-mouth culture about your experience with a product or service. The product either exceeded your expectations or fell substantially below them. Either way, that word of mouth was a result of the product's performance along with one or a combination of the following triggers:

  • Architectural: This is a product, package, or store design. When a product or experience is planned or controlled for a specific effect, it's architectural. Aesthetics and a unique appearance and experience are architectural triggers.

Product examples: iPod, Bose, BMW, "Halo" (video game), RAZR, and Michael Graves' products

Experience examples: McDonald's playgrounds, Apple retail stores, Starbucks, and Krispy Kreme stores

  • Kinetic: This is energy and performance, in the show business sense of the word. Pike Place Fish Market in Seattle, which the well-known book "When Fish Fly" is based on, is the quintessential example of a kinetic trigger. Hipness, selection, fashion, and outstanding product performance are also kinetic triggers.

Product examples: BlackBerry, "Tony Hawk" (video game), Red Bull, Starbuck's products, and Airborne

Experience examples: Any slot machine, Cabela's stores, HDTV, JetBlue, and iTunes software

  • Generous: A generous trigger occurs when perceived value substantially exceeds the price of a product or service. Extremely large portions in a restaurant, oversized seats on an airplane, and consistently low prices are all generous triggers.

Product examples: Kia, Vonage, Skype, Hyundai, and McDonald's Happy Meal toys

Experience examples: Great AYCE buffets, Wal-Mart, Steepandcheap.com, and the first-generation iTunes Music store.

(Note: Roy H. Williams, the "Wizard of Ads," was the first to identify and label these triggers in his Monday Morning Memo.)

The more remarkable the experience, the stronger the word of mouth. Just barely exceeding expectations isn't enough.

Apple owns the portable digital music category. This isn't an accident. From the beginning, Apple gave its customers something remarkable to talk about along each trigger. When first introduced, the iPod wasn't a superior MP3 player in terms of features and technology, but it was more aesthetically pleasing and made for a better and easier portable music listening experience (architectural). Alone, that wasn't enough. So Apple developed and released the iTunes software. At the time, it was simply the best software to manage music (kinetic). Finally, Apple launched the iTunes music store. It offered the generosity of affordable songs ($0.99) and a larger selection of music (kinetic) than any other paid online music service. Apple still owns the space and as far as we can tell has only one vulnerability: price. It isn't the cheapest, and to take it on a competitor must learn to do all these things almost as well as Apple does at a lower price.

Connect Your Customers, Connect With Your Customers

"The word-of-mouth company is the company that invests more upstream, being proactive about the customer's experience rather than spending downstream and only reacting to the bad experiences," said Sam Decker (word-of-mouth guru at http://www.Bazaarvoice.com). "The word of mouth company is one that gets on a level playing field with customers. They are not afraid to hear from and connect their customers to each other. And they are not afraid to join that discussion themselves."

Part of a culture of transparency is to link your customers by way of customer reviews. In some cases, customer discussion forums can be extremely helpful.

Use Customer Reviews

Customer reviews are one of the most potent tools in a transparent company's arsenal. But not all reviews are created equal. So what exactly makes a good customer review?

  • It must be honest. Any sense of something professionally polished or edited comes off as phony or posed.
  • It must demonstrate a real experience with the product.
  • The more specifics and details about how the product helped the reviewer, the better the review.

Companies should prominently feature reviews that meet these three criteria.

  • Architectural: "It's such a great design, very sleek and it feels very sturdy."
  • Kinetic: "It throws the ball much farther than I could ever throw it myself, and as a bonus I never have to deal with a slimy tennis ball in my hand."
  • Generous: "I never expected to find a cage this roomy with its own stand, perch and food dishes for under $100." -

Bryan Eisenberg, a best selling author, marketing speaker and entrepreneur. Find him and his brother Jeffrey at http://www.BryanEisenberg.com

Here's a second way to look at WOM marketing...

16 Things You Can Do Yourself...

word-of-mouth
people do talk

By Zane Safrit

You can create word-of-mouth for your brand. You can do it yourself. In fact, you should do it yourself. Create as much word-of-mouth marketing for your business yourself. Then turn to an agency.

Word-of-mouth is the most effective means to advertise your brand. Too much data exists to recite here shows customer word-of-mouth is more effective, more cost-effective.

How do you do it? How do you inspire your customers to tell others the glory of your story? Do you hire an agency to make a funny cartoon? Or a silly video? Or is forward to a friend links on an email campaign good enough?

Remember this: Word-of-mouth starts with your story. Your brand story. That's your story you give your customers to tell for you, about you, from their experience with you. It's a unique story. You create a new version with each customer and each experience they have with you.

It's a collaborative effort. They bring their story (their needs, their desires, the meaning they hope you provide, the solution you need to provide, their expectations, frustrations.) And you bring your story (your employees, their commitment, the resources you provide, your partners, your vendors, your purpose.) The two stories meld, or don't, each time you two meet. Email, phone, website forum, ad, press release, little league sponsorship, service problem, billing error, lost order, missed shipment... cool innovation, surprises, testimonials.

Where your two stories meet is where word-of-mouth is created. Every time.

You can only control your story. Here's a list of some, not all, the things you can do to create word-of-mouth for your business. And do it consistently.

Find out what your customers say now. Survey your customers with The Ultimate Question Survey. That's a 3-question survey.

The first question is this: Would you recommend us to your friends and colleagues? On a scale of 0 - 10, with 10 being very...how likely would be to recommend us to a friend or colleague? Their answers to this and the other 2 questions equal your Net Promoter Score.

Are you generating Net Promoters or Net Detractors? You should find that out before you create a word-of-mouth campaign that will accelerate the spread of your story.

Fred Reichheld wrote The Ultimate Question: Driving Good Profits and True Growth. Buy it. Read it. Do it.

Do more of what your customers like. That survey will tell you why and when and where they recommend you to their friends and colleagues. Do more of that which inspires them to tell more.

Stop doing what makes them unhappy. The survey will tell you if and how you make them unhappy. Stop doing that.

Ask your employees. They write your story every day. They make it a best-seller, or not. All day. Use the same survey for them.

Do the same for them. Do more of what makes them recommend their company to their friends. Stop doing anything else.

Review your P&L reports. Are your sales going up or down? A word-of-mouth, viral ad, campaign will accelerate the results.

Why? More people will tell your story. And if that story is a story of a company whose customers are abandoning it, then more people will hear that story. If your sales are going up, find out why. Do more of that.

Review your sales-by-item reports. See above. This is the granular detail, the sentences and punctuation, of the story your customers are telling about you and their experiences with you.

Hire A-Players. Your employees, your number one asset, are your brand-builders. Hire the best. Then you have the asset to create the best. Brad Smart and his Topgrading methods are sure-fire ways to find, keep and grow A-players. And remove C-players.

Remove C-Players. Your company has changed. Your story has matured. The A-Players who told your story so eloquently now stumble and mumble. Or, the C-Player auditioned beautifully. And now you realize they are illiterate. Motivate, train or coach the C-Player to become an A-Player. Or, remove them. You owe your A-players the best colleagues. And only the best colleagues.

Motivate your employees with incentives that matter to them. Ask them what is meaningful. You may be surprised at what and how little it will cost. And how important that incentive is to their life. Then make it possible for them to achieve those incentives.

Connect their meaningful incentives to the goals of their company. Share those goals with you're a-Players. Explain why they are important to reach. To do that you must answer these three questions your employees will have:

· What's in it for me?

· Why should I care?

· Why should I believe?

Stay out of their way. Do your employees generate revenue? Do they lower expenses? Do they make each other happy? Do they make customers happy? Stay out of their way while they do that. Stop them when they stop. You have incentivized them. It should be ...easy.

Give them the tools and resources they need. That means ask them. That means understand their day, their task, the tools you have provided them. Understand how these tools and resources meet your goals. Or what you need, instead. And then find better tools and resources.

Make employee reviews a celebration. Celebrate their strengths and accomplishments. Find ways and tools and areas where their strengths are on display.

Celebrate failure. OK, not like Yippee we crashed the server today! But, acknowledge it, allow it, recognize it. And learn from it. That's a key step to creating a culture of innovation, of constantly generating new ideas. Cultures that allow for failure are cultures that allow engagement. Engagement can add 3-5% to your operating results. Is that worth it?

Use social media yourself. The operative word is yourself. Oh sure, it's awkward. You stumble. You make mistakes. That shows you are a real, authentic, human being. We humans connect with our colleagues: real, authentic human beings. And, the social media community is supportive and forgiving where efforts are genuine, offered be real authentic human beings.

There is no message more unique and genuine than the voice of a CEO in their own blog, in their own writing. Write your own blog. (For goodness sakes, write your own blog. Otherwise skip it.)

Or use Twitter. Join the millions of people who've looked like fools at least once in their life. It's a party. And join them as they connect with millions of customers, prospects, partners, vendors, ideas, innovators solutions.

Know your community. What do they need? What solutions are they looking for? Find and deliver. Be a part of their lives. Jeffrey summers, CEO and founder of Restaurant Coaching Solutions LLC , shared that in a conversation we had recently.

These things and more, form your story. Finish this list first. Then look at the story you've written. And if you consistently pursue and execute them, your story can be consistent. Consistent stories build consistent word-of-mouth.

Then see if you need outside help to accelerate the spread of your story through the mouths and communities of your customers. And employees.

There's more. But this is a good start. After all, this is a blog. This is a conversation. What do you do to create word-of-mouth for your business?

--

And you thought Word of Mouth just happened if you made a good product and provided good service!

Effective Advertising Seminars.....coming to a city near you. Please contact us for summer and fall schedules and please let us know how you have made WOM work for you. You can always go to our website http://www.effectiveadvertisingseminars.com to see how advertisers have made our tried and true methodology work for them.

Sincerely,


Larry Kirby
Effective Advertising Workshops
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