Start Up Blog

Tell your story – ‘Quickly’

People are very time poor, or maybe just a little impatient. Regardless of which it is we have to be able to tell our story quickly.

Vanguard Investments do it in 2 seconds. Click here to see how they do it. (Watch the animation)

Even this chart below tells the story on long term ‘index’ investing. Of which Vanguard are the founding forefathers.

vanguard-story

The recent downturn is a best a ‘blip’.

How long does your startup story take to tell? Here’s a tip – we’ve got a few seconds at most.

twitter-follow-me7

Revenue

One of our jobs in business is this:

“Make it as easy as possible for people to give us their money”

It’s already hard enough to convince people to buy our product or service, so why some businesses minimize payment options is beyond me.

cash-only

photo by Mike Monteiro

Cash only, just doesn’t cut it these days. Regardless if we are on line, business to business or in retail, minimizing the payment options has this simple repercussion: It minimizes revenue.

Live example is a café in Melbourne called ‘Journal’. I had a company breakfast there and they wouldn’t accept my credit card. They even had the audacity to say ‘Who doesn’t carry cash on them?’ Answer: plenty of people. That’s fine. I’m never going there again and they missed out on around $100 this week.

Startups ought make it easy to collect revenue.

Steve – founder rentoid.com

Tagged with: , , ,

The Sandwich Man

Maybe you’re a great web designer

Maybe you’re a great coder

Maybe you’re a financial wizard

Maybe you’ve got a flair for industrial design

Maybe you’re a craftsman with unique skills

Maybe you’re great at managing and building a supply chain.

Maybe selling isn’t something you enjoy, like or even care about. Maybe making presentations is the part of business that really isn’t your thing.

Problem is this: There’s plenty of great ideas, businesses and people who never reached their full potential because the selling bit was missing.

Step forward the ‘Sandwich man’

Startup blog definition: Sandwich Man – a gun presenter and public communicator who presents the ideas and sells the dream on behalf of the business.

A sandwich man is called such, because he holds together all the good things like the bread does on a yummy sandwich. Without him all the ingredients, nutrition, ‘reason for being’ could all fall away.

A good sandwich man would start and close any business presentation to people like venture capitalists, suppliers, key accounts, customers and the media.

sandwich

Quite often successful businesses are run by a team where one of the members is the tech genius and the other is the Sandwich Man. Who then communicates the ideas and vision to get people on board. Rarely people are lucky enough to have both skill sets. Regardless of which skill set we have, we always need a sandwich man. We can even bring one into the team on a needs basis.

But without one, we may end up with a great product or business which never gets the traction it deserves.

Chief Mojo Officer

Chatting with Chris Mander from docolo.com and he came up with an awesome idea – which every business should have.

The Chief Mojo Officer, or the CMO.

Sure, I asked him what they did and here’s what he told me: (with some embellishment)

“Firstly you have to believe in mojo. If you don’t believe in mojo, then forget it. If you do, the CMO is in charge of general “Vibe Strategy”. The CMO has to make sure that the ‘vibe’ is right. There are no real quantitative measurements for mojo – you can just feel it. The CMO is the type of dude who can just feel it. They’ll know when it’s out of whack. The CMO is in charge of things which are nebulous, but actually matter. When the CMO has the general vibe grooving, the mojo is right, and revenue happens.”

Good news for startups with small staff is that we don’t have to wait for the employee head count to justify a new CMO. We can  and should be doing it anyway. It’s our job!

But when you make it, I reckon it would be the best investment any company could ever make. 

Nature or Nurture?

I noticed this morning that a particular area of my box hedge isn’t growing as well as other areas. See the two photos below.

hedge1 hedge2

In order to remedy the situation I thought about what the different things I could do:

  1. Ensure the poor performing area was getting enough water
  2. Make sure the soil wasn’t poisoned in that particular area of the garden
  3. Remove the weeds from the periphery
  4. Add some fertiliser to the struggling area
  5. Aerating the soil with a hoe
  6. Ensure the area is getting enough sun

In fact, I’ll try the methods above. What I wont do is ‘remove’ the box hedge. I really need it because it forms part of the garden perimeter. It provides the required symmetry. It’s an integral part of the garden. I will give it the extra attention it deserves, and talk to it. I won’t pretend it will fix itself, because I know that is just a fantasy.

So, why do we take the opposite view with our staff / employees or business partners? We rarely ask first what we can do, and most often just ‘cut them out’, get rid of them, or even chastise their performance, before we look at the reasons for it. Maybe they:

  1. Aren’t getting enough cash to do their part?
  2. Maybe their part of the organisation has structural issues?
  3. Maybe they have non functional ‘hangers on’ stealing time & resources?
  4. Maybe we need to invest in some training or programs to boost the area?
  5. Maybe we need to give them more space & freedom to perform?
  6. Maybe we are not providing enough reward & recognition?

You’ve probably noticed how many of our people problems have strong analogies to my box hedge. In fact, both nature and people, need nurturing.

Steve – founder rentoid.com

Your worst nightmare

From a competitive viewpoint, imagine for a moment that our worst business nightmare came true.

Maybe Google decides to enter our market space. Or the Coca Cola Company launched a beverage with the same consumer benefit we’ve been bootstrapping. Or large company X decided to compete against “us” head on.

nuclear-explosion

Well – you’d be surprised how that feels. How it makes us react, and how it very quickly changes our perspective on what is the most important element in ‘winning’. In competing effectively for our share of wallet.

All of a sudden many of the projects we are investing our time on seem far less important than they were yesterday. Maybe that front page redesign can wait, maybe the shiny new web 2.0 buttons are a little less important. Maybe our packaging will do for now and quite possibly every project we have on the agenda, excluding customer ‘centric projects’ can be put on hold.

Here’s an exercise worth doing with your team. Act as if. Act as if it has just happened. Have an ‘emergency session’ with your team on how you’d react if a more well resourced, financed and well known competitor came to play. Build your battle plan. Once your battle plan is drawn up – throw out your current business plan and work on that instead. Because they are coming, especially if your startup is in a fertile consumer territory.

After the intital fear, most entrepreneurs just get inspired, get angry and get on with it. A good scare never hurt anyone.

Steve – founder rentoid.com

Invoices

Today’s task is boring, even hateful. Doing invoices. As with all great ironies, this ought be a task we revere look forward to and basically enjoy. ‘Payment’.

Given we often forget the important stuff we all know. I sometimes write a reminder and stick it to my office wall.

Here’s my pic: (Art’s never been a strong point)

invoices

Yep, I’m reminding myeslf that this somewhat laborious task is actually a cause for celebration, the celebration of hard work as we collect our earnings.

Startups struggling with boring stuff – remind yourself why it’s important!

Steve – founder rentoid.com

Love & brands

In order to be in love we need to feel loved. Often we mistake love for other intense emotions such as lust, obsession and even fear.

So if we were to translate this to business parlance it might read like this:

If we want people to love our brand or company, we simply have to make our audience ‘feel loved’.

So then the next questions we should be asking are:

-          Will they love this product?

-          Will they love our value equation?

-          Will they love our guarantee?

-          Will they love our designs?

-          Will love our ‘contact us’ policy or phone staff?

In fact, let’s just start every audience related question with the words ‘Will they love….”

If we do this and focus on being more than good, more than liked and only accept moving towards stuff people will love. Then one day, they may just love our brand.

Business relationships & startups

Entrepreneurs must build all types of relationships.

  • Relationships with our suppliers and the value chain
  • Relationships with our buyers & resellers
  • Relationships with our staff and business partners / investors
  • Relationships with our audience & evangelists

In fact, when we are small have little or no revenue, the only thing we can do is have conversations and build relationships. These will lead to action and revenue. While having dinner with a colleague the other night, John Colbert of Corporate Edge training he gave me his view on relationships.

He said:

There are two important factors in relationships – frequency & proximity.

How frequently are we engaging the other person? Where frequency, is any type of conversation, communication or interaction.

And what is our proximity to this person? Where proximity pertains to the physical closeness and real world interactions we have together. Do we meet in person? Are we getting to know each other without the use of technology? Simply meeting in the same location?

The more of the above two things we have the stronger our relationships come. If we for a moment think of who we have strong relationships with, we’ll see we have both Frequency and Proximity.


The reality is humans want to deal with people they like, trust and know. This is what relationships build.

So if one of our important business relationships (those listed above) is flagging, maybe we should have more frequent interactions, get closer or do both.

Frequency vs Depth

In advertising parlance we talk about depth and frequency. Depth being how many people we reach on each occasion. Frequency being how often we reach them.

It’s great to let zillions of people know about our start up as quickly as we can. We may even be lucky enough to get some kind of viral campaign working for our startup, we may be featured in the newspaper, on techcrunch or we might even be lucky enough get a TV spot.

After the event here’s what happens: People cook dinner, pick up the kids from school, pay the bills, kick the dog and get on with life. They have a life to live and they get on with it. Our start up doesn’t really matter to them… straight away.

Consumer awareness goes something like this:

Exposure 1: “That’s a cool idea / product / concept”

Exposure 2: “Oh, yeh, I must remember to check that out”

Exposure 3: “There it is again, might be worth having a look”

Exposure 4: “hmm, Ok – I’ll look when I’m shopping next / on line next”

Exposure 5: ….They finally act, and go look at, investigate, touch, feel, try….”

After many exposures we have “a chance’ of selling to them.

Sure some people check it out first time, some buy straight away, but the large majority need reminded, over and over again. It doesn’t mean – go out and spam them or do terrible interruption marketing. It means this; “have frequent and relevant marketing communications to the people who might care”.

It’s a lot like never noticing a car advertisement until we are in the market to buy one. They’re always there, we just have selective perception.

This is why Advertising frequency is king. No point having a big launch campaign if our prospective new customers aren’t looking on that occasion. For entrepreneurs, the big launch concept is a hoax – It’s unsustainable.  Like an exercise regime- it’s far better to do an hour workout everyday, than to do a 5 hour gym session on a Saturday.

The good news is we don’t need the superbowl budget of a large conglomerate to have the frequency we need. We just need to start a conversation which continues indefinitely.

Tagged with:
Follow

Get every new post delivered to your Inbox.

Join 899 other followers