marketing cost Archives by Mark Murnahan

Face it Marketing Professional, You’re a Commodity!

If you’re in the field of marketing, get over yourself. You’re a commodity. At least that is the way a lot of people will see it, even if you actually are as awesome as you say you are.

Looking at marketing as a commodity is something people can understand. That’s because if they see it as all the same, it just comes down to the dollar amount, and that is what feels the safest for most people.

As it applies to the majority of people buying marketing services, the dollars which are easiest to concentrate on are the dollars going out, but without adequate forethought or examination of the incoming dollars the marketing produces.

It seems that a lot of people think of it like throwing those dollars to the wind and hoping some of them will float back.

That’s not the way it works when marketing is done well, but it is the easier way to digest. In the real world of business, marketing should be based on qualified mathematics, demographics, psychographics, and other principles of qualified market research and forecasting, but that is enough to make most people’s head explode. That kind of marketing comes with an investment and a commitment beyond commodity-style thinking about marketing. Many people confuse that as a risk, while the real risk is when marketing is based on guesswork and crossing fingers.

Here is perhaps the biggest problem about marketing: The number of dollars spent becomes the easiest measure. It is counterproductive when people look at it this way, but it is a true depiction of the current market of marketing … especially online.

I’ll describe how the trend of “commoditized marketing” goes completely wrong. I hope you’ll take some qualified advice from somebody who has been around the block, and no longer wants to accept your money. In fact, this is my formal announcement that I Quit.

I have made my 2012 New Year’s resolution, and that is to stop offering marketing services for hire. I’ll give you some good advice and try to help you, though. The only things I would like to ask from you are your friendly wishes on my new career path away from providing marketing services for hire, and maybe a little discussion.

What Do You Want to Do With Your Life?

I believe that everybody should periodically ask themselves the question: “What do you want to do with your life?” That’s a tricky one, isn’t it? At least it is for me.

I’ve been asking myself this question a lot recently, and I’m seeing some things with much greater clarity. It’s still a bit blurry to me, but one thing is clear … I absolutely do not want to sell marketing services.

I finally reached the conclusion that selling marketing services for hire is a twisted soul-sucking racket filled with liars, and it has led me to ask this very important question of what I want to do with my life … and why I keep letting people suck me back into building their success while neglecting my own.

Knowing the answer to what you want to do with your life is vital to professional and personal growth, and it’s why my career is about to take a sharp turn, which I’ll announce one day soon.

The big life question I’ve addressed here was perhaps most famously asked in the 1984 music video “I Wanna Rock” by Twisted Sister. For your amusement, I’ll share that piece with you as you contemplate your answer.

I guess you could call it my mid-life crisis that brought me to this point. After all, I am about to turn 40 years old, my beard is going gray, my belly is getting bigger, and my job is sucking the life out of me. I’ve done most of the things I ever wanted to do. I’ve raced cars, authored books, been a CEO, earned squillions, retired, un-retired, and even created a family complete with three kids and a wife, but now I largely hate this job. As much as I love the work I do, dealing with a public who really want to believe that marketing is a commodity sucks a little more soul out of me every day.

I’m simply not willing to participate in the “marketing as a commodity” mentality, and I honestly hate to even watch it from a distance. I’ve got better things to do than demean myself by taking peanuts for my skills and dealing with clients who don’t have a clue how much I am worth to them if they get out of their own way. Nosiree, Bob, that’s not my bailiwick … not in the least!

I previously promised myself to quit the addiction of accepting marketing clients by mid-2011, but as the end of 2011 draws near, I plan to stick to my guns. I’m not going to play along with the absurdity of “commoditized marketing” any longer, but I’ll tell you some good reasons for my decision, and leave you with some keys to help make more people flock to you like a free bacon sandwich covered in sex appeal.

While I take this turn away from selling the services of marketing, I’ll give you some indications of where this mentality is taking companies.

“Flat Broke” is Popular in Business!

Many companies are flat broke these days. Being broke is very a popular trend in business, but in most cases, they have a competitor that is raking in the profits. Decades ago, I made it a career objective to help people understand some of the reasons this is the case.

Helping companies to create success has always been very inspiring to me, but it also comes with a lot of challenges. Now, more than ever, I see a lot of companies making bad decisions about their marketing, and I see a lot of fear.

Why did it get this way? I have my ideas on the matter, and I’ll start with this: Marketers got lazy, and while they did, people’s confusion of marketing being a commodity was booming right along with the Internet. Fueled by that confusion, the barrier of entry to a marketing career was lowered to the level that any intern can pretend to be the equivalent to a Chief Marketing Officer or Marketing Director without being called out as an obvious fraud by the general public.

That’s for the fakes and liars, but as the frauds became more believable, the true marketing professionals with an ounce of integrity still faced the same old challenges.

The Challenges of Marketing Professionals

It has always been a challenge of marketing professionals to help people understand marketing concepts like customer modeling, targeting a market, and many other components to effective marketing.

Most people really don’t need or want to fully understand these things, and trying to explain it can often bore them to tears. So it is fitting that the client often just assumes these are things the marketer is using to confuse more money out of them.

A much tougher concept to explain is that marketing is not a cost, but rather an investment. This one stumps many good marketers, because companies either “get it” or they don’t. In my experience, most companies only understand their market very fractionally, and doing what it takes to achieve their potential scares them.

Other companies are complacent, and they are certainly beyond help. You can give some people case study after case study of successful marketing campaigns, and you can explain that it is the difference between growing a company or shrinking it, but if they refuse to help themselves, you cannot force it on them.

These things have never changed, but one thing that has become clearer is that marketing is increasingly viewed as a commodity.

Commodity: “used to describe a class of goods for which there is demand, but which is supplied without qualitative differentiation across a market. A commodity has full or partial fungibility; that is, the market treats it as equivalent or nearly so no matter who produces it.”

Source: Wikipedia

I’ve provided marketing services to clients for a very long time. I’ve watched marketing change dramatically since my start in the 1980’s. I watched it change from small companies trying to chase unicorns with $1,000,000 catalog mailers and newspaper ads, to chasing unicorns with $300 ecommerce websites and marginal blogging efforts. More recently, I watched it change into the popular notion that hiring an intern to send tweets and update the company Facebook status is what marketing is all about.

It seems that an astonishing number of companies have been falsely convinced that social media marketing is just about socializing, and that search engine rankings are a function of technology. They’ve also been convinced that it is easy to be successful online and that if they keep doing what they’re doing, success will just magically come to them one lucky day.

Great Marketing Professionals Don’t Need to Lie!

I often find that marketers lean in one of two different directions: There are marketers who are great at selling marketing services but stink at actually performing them, and then there are marketers who are just great at performing marketing services, but stink at selling it. I am the latter of the two.

Something you should know is that good marketers don’t need to lie, and don’t like to sell.

An analogy I think is kind of funny is that I rank quite nicely if you search for “how to sell SEO” (search engine optimization), but I am absolutely terrible at selling SEO. In fact, if you google “SEO hell“, that’s where you’ll find me.

A point I want to drive home for people is that if you’re talking to the right marketers about marketing services, there is not a sneaky agenda up their sleeve. The good ones are hard to find, and most of the best ones are not seeking your business. There are good reasons, too. They can earn far more money building their own company than by building yours.

From my experience, I’d suggest seeking the the ones with the highest prices and finding out why their rates are so high. That’s what I do when I’m looking for marketing help, because I understand that this is not a commodity … I accept it, and I embrace it.

I look for the ones who are doing it for the right reasons, and who made success for themselves and others. Then I make them prove it, and if they can, they’re in!

There are more than enough “Johnny Come Lately” marketers out there, so you have to be diligent. Watch this video to see my take on them, or read “Bashing SEO and Social Media Experts: Humor or Hazard?” to see real life examples of it. Without their proof, you’re just guessing, and good marketing is not about guesswork!

$300 Unicorn Ride to Planet Success

I can show you a metric squillion instances of people seeking unrealistic profit from minimal commitment. It has become so convincing that some people will try almost anything, as long as it’s cheap.

What went completely wrong for me is that I am one of those marketing marketers, and not one of the selling ones I mentioned. I’ve had sales reps to handle sales for me, but most of them have been just as confused and in the dark about the value of good marketing as the general public. Besides, you just can’t train somebody to overcome apathy … people either want more, or they don’t.

I am entirely unwilling to let people pay me to deliver them mediocre results. That is my curse, and my Achilles heel. I just cannot see letting people believe something is going to help them unless it is actually going to help them.

I’m not willing to start offering $300 unicorn rides to planet success, and as long as people see marketing as a commodity, somebody else always will. I thought about stooping to the cheap side of marketing, but my integrity always gets in the way.

I hope that you can believe my words more than ever by knowing that I’m out of the consulting business, and I’ll turn you down when you come waving a wad of money in my face. Well … I guess it depends on the wad, but it let’s just say that it would take a signed letter of commitment and a lot of money before we sit down for lunch to talk about changing my mind. Plus, I’d have to really like your brand.

Farewell to the Mediocrity of Commoditized Marketing

If you are one of my many readers who makes it to the very end of my articles, I hope you will at least give me a good send-off with a “hello” or something to let me know you’ve been reading. I hope you will know that I really feel the words I write, and that this is not an easy step. I also hope that you will look forward to hearing more from me, because I have many working drafts for articles to come.

To those knuckleheads who were just lurking around, waiting and thinking about contacting me to help them grow their business: You waited too long. I would have worked a lot harder and could have achieved a lot more for your business than you gave me credit. On a positive note, there’s probably a 15 year old kid in Pakistan who will do the same thing for fourteen bucks. Yeah, it’s probably the same. 😉

I hope that my work (including my books) has, and will continue to help you move forward in your business and personal desires. I sincerely believe that my integrity is fully intact and I have never been misleading in this blog. I know there is a lot of benefit for those who continue to read my archives … and my tales of what’s to come.

Now I’d really appreciate hearing from you. Please take a moment to add your comments and help me create a discussion of what you’ve just read. It means a lot to me.

Photo Credit:
I’m A Human Being NOT A Commodity by Kenny Sun via Flickr

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Hard Lessons I Learned About Marketing and Success

Some people say that you can learn a lot from successful people. I think it is largely true, too. It makes more sense to learn from somebody who has been successful than to learn from somebody who has not. At the same time, one thing that becomes very valuable is to learn from the mistakes they made, and use those things to avoid repeating their mistakes.

Some would say that I took a bit of an uncommon direction to learning about marketing. I dropped out of school about 25 years ago at age 15, regularly held 2-3 jobs as I built my first few companies, and nearly worked myself to death by the time I was 25. It sounds glamorous, doesn’t it?

My career path would certainly not be comfortable for most people, and I would never encourage it for my own children or anybody else I care about, but it worked for me. I learned my way through it the hard way. I read a lot of books, and I studied a lot of concepts from successful people. They were often people I knew first hand, and there were many instances when I should have listened more carefully. Since I was stubborn, I still had to learn some things the hard way, by making my own mistakes.

Lesson one: Don’t be stubborn! There really are people who know more than you about a given topic.

OK, I’ll admit, my path to learning was not totally awful, and there were a few benefits along the way. I earned more money by the end of those ten years between 15 and 25 than most people will in a whole lifetime. I retired for a few years, and it mostly seemed worth it. Yes, indeed … I had become one of those successful people like the ones I worked so hard to learn from.

Some of the greatest benefits I received were the marketing lessons I learned. Those tough lessons about marketing taught me how to bounce back from nearly any business calamity. That is because if you can market something, you can sell something, and if you can sell something you can earn profit, and let’s be honest … the majority of things that can go wrong in business can be improved with more money.

I want to share some of what I learned with you. I’ll offer a glimpse of my early years in business, and some valuable lessons it taught me about marketing. I hope it will save you some of the frustration of my mistakes. At the same time, it may scare you to imagine what it really takes to build success in a business. It is not for everybody … “average” is for everybody.

If The Doors Aren’t Swinging, The Cash Register is Silent

In my early days of business ownership, nearly 25 years ago, it was pretty easy to recognize that my business was much better when the doors were swinging open, or the telephone was ringing. Without enough customers, I wasn’t selling enough, and selling something was how my company generated revenue … money … profit. You know, the stuff that sets the difference between a hobby and a business.

I needed to attract customers, and I knew it would take some pretty clever marketing to keep my company moving forward. Without marketing, even the best companies fail. I had seen such failure in other companies, so I knew I needed to get that part right.

Of course, marketing comes in many forms, and it involves many aspects of a business. It includes product assessment, pricing, merchandising, public relations, and more. Focusing on just one area of marketing is short-sighted, and leads to a lot of waste. What I knew for sure was that if I didn’t do something and do it right, I would never grow the company into anything sustainable. First things first, I needed to generate some money to make the whole thing work.

Sales reps were not worth a garage sale necktie to me if I didn’t have the right product offering. So, I worked on our offerings to be sure they were better than the competition. The sales reps were also no good to me if I could not legitimately define why the offerings were the best option in the market for our given customers. That meant I needed some product research. That’s when I realized the product research and the customers had to match up just right. It would not matter how awesome the offering was, or how well we could merchandise it, if we did not understand who would benefit from it the most, and would have a greater propensity to respond to our efforts. That’s right … “everybody” is not a target market.

I researched like mad to put all the pieces together. I got the products just right, the pricing was attractive, and I ran great ads to get bodies through the door, but then I figured out that there were good customers, and then there were great customers. I needed to determine how to get the right customers through the door. When I learned how to do that, our profits grew like mad. With all that research to my advantage, advertising cost went down because it became more effective.

You see, it took a lot of little pieces to be put in their proper place in order to grow. It took a lot of very time-consuming and often high-investment efforts to create success.

Putting all those little pieces in the right order and in their rightful place is even more important now than ever, in the digital world. The competition is broader, the offerings are sharper, and getting people to a website is not at all the same as getting the right people to a website. Once you get them there, you will need very compelling reasons they will want to do business with you. My early experiences really helped me to understand this.

Here comes a lesson that came really hard for me, but it makes a huge impact once you get it right.

Who You Are is Not a Microcosm of Your Market!

You are not the same as your customers and potential customers. You may try to be like them, you may try to speak their language, and you may even be part of a very similar demographic, but the truth is that they are different. We each want to believe those warm and friendly lines like “people are not so different after all” … but they are!

It is very challenging to try and understand your perfect market segment, and how to reach them with the right message. It is a bit unnatural, because it requires thinking in a way that is not your usual way of thinking. They are the customer, and they will always have their own perspective, their own experiences, their own mindset … and you will have yours.

During my earliest days in business, I remember a constant nagging question of “Who are these people?” I’ve got to say that as much as I tried, I couldn’t wrap my mind around it. I understood them in concept and in statistics, but I still could not relate to their ways of thinking. Fortunately, I didn’t need to nor want to become more like them. It is true but misunderstood that you do not have to “become your customer” to provide their best option … but you will need to know a lot about them. I was selling very expensive things to very egotistical people. I knew exactly why they would buy, and I knew that it was all about stroking their ego.

What I couldn’t grasp was why they were so willing to endure all of that opportunity cost just to splurge on luxury items. They were buying things that I felt I could never afford. The crazy part was that I would constantly find that my customers were actually earning only a fraction of what I was.

The big separation for me was that I was in a different stage of my life, and in a different mind capsule of my own. I believed in taking every dollar I earned to further build my businesses, and buying showy things just didn’t fit into my model (until much later).

There are many things which can separate us from the mindset of our customers, and it is usually not a simple task to figure it out. In my case, it became my most monumental career objective to understand the gaps between customer and seller perspectives … and to bridge those gaps.

One of the best and hardest lessons I learned was that it usually takes a fresh set of eyes looking from outside. That means outside of the buyer’s perspective, and outside of the seller’s perspective. Analysis from a complete outsider is one of the best ways to understand the gaps between sellers and customers. I am lucky I learned this early, and I will always value the outsider. This can be a friend, an associate, or a trade organization, but it is even better when it is their job to serve your company needs and expectations. You can be afraid of the truth, but it will not change the truth. The best outsider is often in the form of a trained and experienced marketing consultant.

The funny thing is this: I am a marketing consultant, and in fact, I am a very accomplished marketing consultant … but knowing what I know, I will never stop using them. Yes, it probably sounds totally nuts to you, but I rely on outsiders to provide the same services that others pay me to provide.

The reason I use outside marketing consultants is that for as much as I can do the research, bring you to discover me, know your hot buttons, and even address them fairly well, I will never completely understand you, or why you are not buying my services. If I tried to understand you all on my own, without influences from the outside, I would destroy many of my greatest opportunities. I would also likely go even crazier than I already am.

You really must have a plan if you want to get ahead in business. I started with a plan, but I found a lot of changes to make along the way. I also found a lot of roadblocks, and often by being hard-headed and not taking good advice. I cannot share all my best advice in one blog article, but I have a pretty lengthy blog archive full of good information.

Delegating Saved Me More Than Once

I learned that one of the most profound commonalities of successful people is knowing when and how to delegate things outside of their expertise. They realize their limitations, and the value of concentrating their efforts on the things they are best suited for. They recognize what they don’t know, and they become good at finding the right people to handle those things.

I learned to delegate. It was terrifying to me, and I never got really comfortable with handing the controls over to somebody else. I hated that my accountants and attorneys often knew more about me than my own mother. I also hated the thought that my marketing consultants have often known enough about my businesses to try and mirror my company and become my competition.

I thank my lucky stars that I got over it and realized that I cannot be the very best at everything. I am absolutely terrible at accounting! All I want to know is that there is enough money in the accounts to carry out my purchases. I generally grasp the whole legal thing, but I hate writing my own contracts, and I understand why they say that “the lawyer who defends himself has a fool for a client.” A similar principle holds true in marketing. If you rely on your own brilliance, without outside influence, you will make mistakes … and often very costly mistakes.

Whether it is a friend, a colleague, a trade association, or a trained marketing professional, you will need to trust and learn from an outsider at some point. Tell them your goals, tell them your business pains, listen to them, take their guidance, and grow your business. Otherwise, don’t be surprised that if you keep making the same mistakes, you will get the same results.

If Building Success Was Easy, Wouldn’t Your Market Share Be Higher?

Building a successful business is not easy, and it requires a lot of uncomfortable decisions. If it was easy, it would be easy for your competition, too. A key factor lies in your will to achieve more.

There will always be people to dislike you for doing the things they are unwilling or unable to do. There will always be people to try and roadblock your success. You may often create your own biggest roadblocks based on other people’s frustrations. I know this, and I can almost bet that it is like fingernails on a chalkboard to many people when I say I’ve spent much of my adult life in the top fraction of a percent of money-earners in the USA and in the world. Yeah, that’s annoying to the people who have not joined me there, and have no hopes of achieving the same or similar results.

I really enjoyed and related to an article my friend John Falchetto recently wrote titled “5 reasons jerks are successful“. I hate to give away the ending, but the fact is that they are not jerks at all. They just work very hard and have very strong commitments. I encourage you to read it and also read the comments on the article. I had a lot to say about it.

I know that there is a huge deluge of information telling you that you can do it all yourself, and that you can reach a huge audience of all the right people with the perfect message about your company and make your product or service offering so popular the phones will ring all night and day.

If you really believed it was so simple, I think you must ask yourself “Why isn’t my market share higher?” or “why am I still reading this blog?” You want more business … that’s why.

Let this roll around in your head for a while: If you were given all the right resources to market your company, would it become as successful as you hoped it would be? Either way you answer, this should require you to consider what mistakes you are making and which required resources you are missing. It very likely has a whole lot to do with your marketing.

Photo Credit:
Separation Anxiety by j bizzie via Flickr

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Marketing Clients vs. Crybaby Sissy Bed-Wetters

When people lack confidence in proper marketing, they lose! They lose time, they lose opportunities, and they lose money … lots of it! I don’t even feel a need to prove this, because for people who don’t get it, we have a phrase for that. The phrase is “survival of the fittest”, and if you have some guts, you are far more fit than a lot of your competition.

Believe me when I say that most of your competitors are total wimps! If we took them back to elementary school, you could see most of your competition walking to the office to call Mommy and ask her to bring a dry pair of pants to school. They are scared, and to say they are “pants-wetting scared” is not such a big stretch.

I mean, look at yourself … aren’t you just a tiny bit creeped out? Doesn’t it give you the willies just a little to do what it really takes to grow your company?

Seriously, if you never knew this, you deserve to know. Most people making decisions about marketing for their company are scared to death of marketing. I am going to share a real-life story with you in a moment to emphasize the point, but for a moment, just take it on faith.

This common fear of marketing is especially the case with the good kind of marketing that comes with proper research, solid strategy, efficient forecasting, and net profit … yes, positive return on investment. The reason the good profit-generating marketing is scariest of all is because it is the kind that requires decisive action … and money!

Drat! It’s another one of those long reads. Don’t worry, though, because I recorded it for you. Just click play and listen if you like. It is sure to give you some food for thought and a laugh … I’m sure of it!

The Way Many Companies View Marketing

A lot of companies seek the lowest possible effort and the highest possible return. That is smart business, but they often focus more on that low effort and completely lose sight of the highest return.

You see, now that every reception desk has a computer, marketing is pretty much free. Just look around and you may discover that this is how your competition sees it. Anybody can prepare and execute a brilliant marketing campaign. All they have to do is sign up for one of those Facebook thingies, Twitterize 25-26 hours per day, and put some smiley-happy employees and customers on YouTube.

Voila! The marketing is fixed, and the money train will be chugging down the tracks in no time!

It may sound crazy to you, and I hope it does, but this is really how a lot of companies approach their online marketing. It is so simple that all it will take is a tweet or a Facebook mention. They see companies like the ones mentioned in an article I read in Telegraph.uk. Here is a quote:

Ticketmaster estimates that every time one of their customers posts on Facebook that they’ve bought a ticket, their friends spend an additional $5.30 with the site. When last year’s Google conference was taking place, they tweeted the morning of the conference: “100 tickets left, 550 bucks a piece, use this promotion code”. 11 minutes later they tweeted, “Sold them, thank you.” That’s $55,000 in sales with one tweet in 11 minutes.

Rub a lamp and wish for a genie! You don’t have Ticketmaster demand or Google reach. Something is stopping you, though, and it is not the tools … it is the planning and strategy. If you keep doing what you are doing, you will likely keep getting what you get. If it is time to step it up, then step it up and do something brilliant. Do something with a strategy! On the other hand, if it is time to lie down and die … do that, and go peacefully. Just don’t keep waiting for that magic genie to arrive. He’s not coming!

Break for a Wise Marketing Tip:

Some people actually screw this all up and think that what they are paying for with proper marketing is just a task. Any moron can do a task, so it should be cheap, right? I provided some examples of this train wreck mentality in the articles as follows:

Social Media Marketing Pricing Like Cab Rides by the Pothole“

… and the profoundly absurd

“Hourly Rate for Setting Up Social Media Profiles?!“

Damn the luck, it seems that somebody tried to shove the whole population of marketing professionals into the same cage as if we are all the same critter. The good and bad are all mixed into one, and along with my high-end marketing buddies, I guess people surely think that we get paid for what we do.

The larger truth is that we get paid for what we know, how we know how to know what we know, how we think and analyze, who we know, and the other really unimaginable stuff that comes with experience, marketing talent, and brute creativity.

Pete and The Amazing Pee-Pants Pizza Parlor

I have a story about a guy named Pete. Seriously, this is a true story. Pete is very excited about selling his wildly amazing and awesomely marketable pizza franchise across the USA. He will possibly succeed, once he gets out of his own way, but he is still walking around in wet pants and trying to keep from vomiting at the thought of finally bringing it to market.

Sure, Pete logically knows that marketing is his most important asset. He realizes that Starbucks was a little coffee company and Subway was a little sandwich shop, and still would be without great marketing.

Actually, his name is not Pete, and his business is not pizza, but I’ll use that. His name is close enough to Pete, and his retail food franchise business is close enough to pizza to make the same point. The story is about a series of calamities that just drive me nuts. Nuts enough to share my opinion, and to welcome yours.

Here is the “hot sheet” version of how things have gone so far. Pete contacted me a year ago about his business. He was referred to me by a friend whom he trusts. Our mutual friend told Pete that the project was way out of her league. She explained that based on his hopes for massive adoption of his new franchise opportunity, he needs Murnahan (that’s me). Not a guy like me … me!

When Pete first contacted me, he was in an urgent rush to get his marketing in order. He was very concerned that he had already waited too long. He was afraid that based on his time frame for other business plans, he needed me on the project “yesterday”.

Pete was more than just a little blown away by things I shared with him about the possibilities for his business. I guess it was stupid of me to start dolling out free brain-juice, but heck, he was a referral, after all. Based on his own wildly flattering statements toward me, I was assured that he wanted to be my client, so I let fly with a few pan drippings from my brain in the roasting pan.

Dumb dumb Murnahan … I knew better, because giving too much freebie talk is a big open door to truckloads of non-paying brain work. I do it though, and it almost always bites me in the ass, because people really hate that transition to actually paying for the knowledge they need.

Skipping forward a damn long year and a whole bunch of phone calls that he has never paid for, Pete is calling me with wet pants again. He needs some serious help, and he talks like he is actually ready now.

The huge pause in his business was a funding snafu. Wouldn’t you know it that somehow those banking folks actually like qualified market projections in the business plan before they fund a deal. It is too bad Pete never thought of getting some better facts to work with. Maybe a year wouldn’t have spun by so rough for him.

Well, I guess we’ll kill the hooker tonight and worry about it tomorrow. Now we can just wing it on a half-assed budget and hope to make the bank happy. Yep, that’s how we roll, right Pete and Pete-like thinkers?

By the way, when I tease Pete about his wet pants or describe him as a shaky handed sweaty little fella who pulls the blankets over his head so the monsters don’t get him, I want to note that I like Pete. I like him plenty fine, even if he is a crybaby sissy bed-wetter and horrific planner.

Pete is a fine fella, and he will likely do very well in his business. His first and scariest step will be to listen to the consultant / strategist as much as he talks. Actually, before he can meet that scary challenge, he will have to get up off his steamy little pee-soaked wallet and pay for the scary monster he needs advice from.

The craziest thing I ever heard was when he finally rubbed his wet panties into my telephone ear yesterday and started asking for references. What the hell? We covered that last year! He has been putting his short-n-chubby in my ear all this time, reading my blog, sending me Facebook messages, email, and asking me for more brain-drippings, and now he’s asking if I’m qualified?! This is the same guy who has referred others to me when they needed serious help!

His biggest expressed concern is that I am a few hour flight away from his cozy little blankie. He wants to be able to manage my work close-up. Well if that isn’t silly … all it takes is money. If he is doing it right … I mean, right enough to sell 150 pizza franchises in the next two years, the least of his worry should be the cost of an airline ticket!

Somebody just effin’ give me a tequila, a hooker, and quarter to call home and I’ll sell more damn pizza stores than this guy can handle.

Pete has hopes, but they are only hopes so far. They are not goals, because he doesn’t have the market data to set goals yet. He is pretty reluctant to gather it, too.

Why do people try to kill me like this? Is it because they don’t have confidence in their market offering? Is it because they are so scared they would rather go broke than invest wisely in their own futures? Is it because they have no balls? What the hell?

I swear, if I put Pete in a room with the guy I recently wrote about hoping to put “100 percent” into his health and beauty industry marketing, but yet keep the budget under $10,000, I could slow down time enough that my trip to the looney bin will feel like a whole lifetime! Maybe my conniption will be worth it.

OK … that got a little teensy bit rant-ish, but sure was fun! Go ahead and level me out. Be my friend and help me to calm down and breath slower.

😉

I sincerely believe that marketing in itself is the hardest field of all to market to clients. It is because in damn near every other product or service I have ever marketed, there is always some sense that the potential customer has two brain cells to rub together. This is often simply not the case when people are in the market for marketing services. Not since the invention of the Internet money-train.

One more thing … Can somebody tell me who I need to whack over the head to get a decent client with dry pants?

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Do You Accept SEO or Social Media Marketing Contracts Under $10,000?

I could sit here at my computer all day and tease people who are willing to take on small contracts in the field of SEO and social media marketing, or the clients willing to pay them. Many of those clients are broke, and there are a lot of bad people with an SEO and social media flag waving to attract the last of their money.

Giving them a hard time can be very fun, but it is not really all that productive. After all, there is a huge majority of small businesses who seek somebody to help them, but do not have the needed resources for a grand entrance to the online market. There are also some talented marketing minds who like working with small or short-term contracts. I prefer to help bring them together.

I don’t accept those contracts, but not because I am an arrogant jerk who thinks he knows it all. I don’t arbitrarily look down upon those companies, and I don’t automatically look down upon the people serving them. It is just not my market, and I turn away business every day because of this.

If you accept small projects in SEO and social media marketing, I have some free leads for you. I don’t mean just a bunch of shabby sales leads from people hoping to spend an hour of research online to find a free website that will earn them a squillion dollars. I mean real companies hoping to make an entrance to their market.

This does not mean that I am a bad option, or that I am expensive. I return huge profits for my clients, and I am worth many times my rates. It also does not mean that you are bad, or “cheap”. We all have our market space here, and mine is in long-term and well-funded strategic projects. In fact, you can use me as an example to show your potential clients that you are not just trying to rip them off. It really does cost a lot of money and work to create success. Bigger success takes bigger experience, bigger money, and bigger strategy. Those are the projects I accept.

I believe that we both have a similar challenge of building confidence in customers. I even expressed some troubling truths only a few days ago in a long-winded article about a short-sighted customer who has done business with me for years. Check it out for yourself: “Marketing ROI Factor: Are You a Client or a Customer?”

In reality, the upfront cost of an optimal campaign in SEO or social media is prohibitive for the majority of companies. Sure, if they could pony up the money for a well-researched campaign, they could turn over their investment at a much higher velocity. As it is, they will have a higher opportunity cost by cutting corners, but that is often the only option. It is an option that you may be able to deliver.

Even when the cost is not the biggest hurdle, putting money into an online marketing campaign is a damn scary proposition for many companies. Even when and if they can swing the money, they will dip their toe in to check for sharks before they go swimming. It is frequently not the best option, but it is a popular option. Again, it is an option that you may be able to deliver.

Note: Sharks are my friends, and whales are my clients. The other fish are looking for you. You like fish, right?

People probably ask you a lot of questions about this industry. You will sometimes need a third-party resource to help make your point. I am happy to help you ease their tension, and to help them make better decisions. My blog is always here, and there is a lot of useful information in my archive. I don’t even want a finder’s fee to send paying customers your way, or to help you explain the benefits of SEO or social media marketing to your customers. Not at all, because if you have a small budget to work with, the last thing you need is to spiff me with money.

I love spiffs, but I prefer to pay them rather than receive them. Reference my article earlier this year titled “SEO and Social Media Reward: $5,000 for Introduction“. Yes, I really do prefer to pay you a $5,000 finders fee than for you to pay me a hundred. I am a money-spending madman like that. 😉

The Caveat … Yes, The Fine Print

The first thing to do is add your comment here on this article.

Of course, I don’t just want every cockroach in the Twinkies dumpster to hold out their hand for a free crumb. I want to hear from people who actually have a quality value proposition. The big catch is that for each person with their hand out, I will be watching. Yes, I will be looking at you, and judging you. I intend to provide a small degree of vetting. If I like what I find, I may put a spotlight on you in a follow-up article.

Because we are talking about people who looked to me for help, I am not about to mess up my reputation by referring them to somebody who will rip them off. I will watch my server logs to see how much and how long you have read my work. If you have been reading, and if you have subscribed, it is far more likely that we share similar principles. I will also notice if you have been a blog troll or lurker. If you are a non-communicating type of person, start communicating, and stop hiding in the shadows if you want my referral business.

Very Important: I will notice whether you are honest with your comment, and with your communications elsewhere on the Internet.

I welcome you to add your comments to explain your value. Feel free to spam all you like. If you seem spammy to me, I have a delete button for that. I tend to react pretty abruptly to people who annoy me. For example, don’t even think about commenting with your favorite keywords in place of a name. I am looking for people … real people with real names … who want more business.

The upside of my offer is that if you are legitimate, I would like to help my readers with appropriate options, and for us to possibly work together for mutual benefit. I am serious when I say that I want quality people to refer small project business to. If you are good and honorable, we may work together a lot in the future.

I have assembled a phenomenal team for producing massive success, but there never seems to be enough marketing talent to trust with the smaller projects.

I would also ask that in the event that you are ever over your head, that you consult me. You may find that you have enough resource to help that whale of a client after all.

Other Cost-Related Articles
Although it may seem hard to turn away a client only because of their budget, there are minimums I simply don’t work below. For more thought-provoking articles on the cost of SEO and social media marketing, and perhaps help with explaining cost to your clients, I offer the links as follows:

Photo Credit:
Broken Piggy Bank by Images_of_Money via Flickr

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Social Media Marketing Pricing Like Cab Rides by the Pothole

I find that a lot of people are curious about breaking down marketing services like social media and search engine optimization to an hourly rate. I know this, because a lot of people search the Internet for pricing information and find me.

Silly me, I don’t have a standard rate sheet, but I will tell you why. I don’t know how much it will cost to perform SEO or social media marketing until I know what a company wants and needs from the services.

I understand the concern of marketing cost. After all, the reason for a company to spend money on marketing is to achieve a higher profit. This means the cost of marketing will be a factor. However, it is too common that the only set of numbers a client will clearly understand is the outgoing money, while they ignore the more important numbers such as accurate projections, goals, and increased profit.

The cost of marketing is not the same for any two projects, because the associated tasks are as different as the company itself. More importantly, marketing is something which spans the life of a company, and not just a set of tasks that are finished in a set number of hours. If you shop for marketing by seeking to buy a set of tasks, then you are essentially dictating a job, rather than letting the professional do the work they are trained to perform.

Reasons Marketing Cost Varies, and Menu Pricing Fails

Menu style pricing works great for some marketers, but it can create a huge disaster for the client. I don’t have time to list all the reasons the cost of marketing can vary widely, and you don’t have the time to read that list. I’ll give you a few points to consider.

Some companies will have well-formed projections of their market potential, and some will have already done the research to know how many people they must reach to achieve their goals. Some will have a targeted marketing strategy already prepared, and most will need help improving it. Some will have already performed A/B testing to determine their optimal conversion rate. Some will have creative ideas for their marketing, and even have talented people to help implement it.

Some companies have all of these things in place, but this is often not the case. Instead, I find that they come to me asking me to do whatever it is I do, without really even knowing what needs to be done. Then, without understanding the tasks, or reasons for them, they want a shortcut answer to “How much does it cost?“

The question of how much it will cost, without a clear idea of what is needed, or what will actually improve your return on investment is an easy way to waste money and time doing the wrong things. It is like shopping for a dentist by seeking the cheapest price for a filling while what you really need is a root canal. Worse yet, it is like telling the dentist how to perform the filling, and asking for a discount because you used less Novocaine. With that kind of thinking, should there really be any wonder why most marketing fails?

Dictating Social Media Tasks is Like Telling Your Cab Driver to Swerve for Giraffes

Would You Buy a Cab Ride Priced by the Pothole?

It makes me wonder how many companies pay their building lease by the hour. What if they booked flights by the mile? Would you pay extra to fly around a storm? Would you tell the pilot which way to fly, or would you rely on the professional?

Some things just don’t sensibly calculate in the terms we think they should, or wish they would. It is not always because somebody is trying to hide an obscene profit. Many times, it is because the cost would be outrageously high to account for each item granularly. Imagine trying to account for a cab ride that includes a charge for every time the cab hits a pothole and gets a little closer to needing a new set of tires or shocks. Should stopping for traffic signals cost more to account for the brake wear, or should we burn more gas and take the longer route to avoid them?

The challenge for a lot of people to realize is that the cost of any product or service will be built into the price. The cab driver will need to receive more money for his job than what it cost him, so he sets his pricing and maintains his car to optimize his earnings. If you asked him to itemize each thing, you would have to pay him for that extra time he is doing accounting instead of driving his cab. If your driver lets you blindfold him and direct him how to drive, you are both foolish.

My point here is to express how easy it is to make mistakes when shopping for and comparing services in an unfamiliar industry. In the industry of online marketing, if you pay for somebody to account for every hour, you will likely pay a lot more for the extra accounting.

Then again, I guess I shouldn’t complain if somebody wants to pay me for the hours I lie in bed at night staring at the ceiling as I ponder how I can make them more successful tomorrow than yesterday.

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Photo Credits:
Costa Rican Pot Hole! by Arturo Sotillo via Flickr
Cone & Pot hole by oknidius via Flickr

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