So welcome back the GOAST of Christmas Future. His first words are, “don’t start the marketing plan process with a decision on tactics.” And that is all social media is – for some it may be good, very good or not so good. But, please without having to be bored or horrified by a trip back in time to visit your marketing failures, this year let’s start with a more thorough introduction of our GOAST. GOAST is an acronym for Goals, Objectives, Audience, Strategy and Tactics. Before you drift back to sleep, please stay with me less you repeat your dreadful marketing past.

You must start with goals, which means you must understand your company’s internal strengths and weaknesses. You must also take a hard look at the external environment of economics, politics, social issues and technology and understand the threats and opportunities they may or may not pose for your firm. Now juxtapose that analysis with what you believe is your core competencies or sustainable competitive advantage and write down some broad goals. Get up! Write them down. Thank you.

Now to reach that goal there are probably two, three or four smaller, more specific milestones that must be accomplished to be able to check this goal off as accomplished – these are objectives. Make sure they are specific, as in with numbers or percentages, and tie them to a real date. See example below:

Awesome. See it’s not that hard. Looking at these specific objectives what segment of the market do you think is the primary and secondary audiences which will bring you 80% of the way to accomplishing these numbers. Think. I guarantee you; you are not interested in everybody. Think sex. No not that sex – male or female. What about income? Where do they live? What about lifestyle? Write down what you know about this market. Find a picture in a magazine that most closely resembles a member of this market. Name the persona. And go to the internet and find out as much as you can.

With this new information, what message do you think they would find interesting, motivating or educational? In other words, what is your strategy for engaging this select group? The best advice here is to seek advice – from that group! Hold a brainstorming session with four to eight members of this group and learn exactly what they find compelling about your company and how your product or services best addresses their wants/needs. And find out what they watch, what they read, where they go, how they spend their free time and in some way how they choose to part with their discretionary income. Now you can articulate your strategy of how to reach them with what message and where and when.

Then and only then are you ready to think about tactics – the concrete elements needed to carry the message. With all your homework, you now know it’s not just about a website, but what makes up your website. It’s not just social media, but how you can use it to grow your business. It’s not just advertising, it’s a specific message for a specific audience, specifically selected to accomplish an articulated objective, which will meet a milestone on the way to accomplishing a meaningful goal. As you measure and monitor your success and make necessary adjustments you will rejoice, knowing that there really is a discipline they call marketing. And with that our GOAST disappears. Merry Christmas!

I had just finished the Ragner Relay a 202 mile race from the gulf coast of Florida to the Atlantic coast with four buddies. Personally, I had logged 45 miles in under 24 hours with no sleep in over 40. Ouch! It hurts to even think about it. But, here’s the good news only a day later I was back in the gym and two days later striding it out for six. So, what’s the point? Well it strikes me that this is a great analogy for what our small business owners and executives of emerging enterprises are going through today.

You see times have been tough – for a long time – and it’s not over yet, despite what some say. Day-after-day or stride-after-stride you just keep pounding it out. You hope for a better day. You pray for a better time. And just when you think you’re there, well you’re not. Just like my second leg, which was a 14-miler and began just after 1 a.m. With so much of the run in deep darkness it was difficult to gauge time with no real perception of what you were or were not passing.

Finally, in the distance I could see the red blinking light that would mark the “one mile to finish” sign. I was getting closer, but not closing as fast as it would seem I should be. I kept running. The distance between me and the light was closing, but strangely very slowly. I kept running. I’m getting closer, closer and closer and then I see it. It is a blinking light on the belt of the runner ahead. As I passed him he informed me there was still three miles to go . . . before the “one mile to finish” sign. Ever feel like that in business?

Well the good news is, like the race, the recession will end. Between now and then keep challenging your value proposition and keep your eyes on the customer, even when it seems the distance to close is strangely slow. Your key to winning is just that. Getting ever closer to your customer, that is real relationship, where they actually help you define your brand. You can do this anytime, but maybe a recession makes it even easier as customers are even more vocal. Listen, learn and deliver a more relevant value proposition. And as the recession comes to an end and credit becomes available you will have a scalable market you know well and money to invest for growth. Nothing beats the time to refuel. Who knew chicken wings were so good? Your “one mile to finish” is just ahead. Keep going!

Alright, here’s what set me off. We are walking up to the grand entrance of this high-end, gazillion dollar health care institution, and just 40 feet from the automatic door sits two large individuals wolfing down quarter-pounders like Scoobie-snacks. From the sidewalk I was on, I could have reached out and sampled a fry except for two reasons. One – I don’t eat that crap. And two – even if I had otherwise been tempted, I would have had no appetite being a thick cloud of smoke had triggered my gag reflex. Yes, another couple of equal distance, and size, on the opposite side of the sidewalk were busy inoculating themselves from a long, healthy life. To every sense I possess it was disgusting. Did I mention this was 40-feet from the front door of a major medical center? What’s wrong with us!

By the way, did you know that one out of every 10 deaths on the entire planet this year will be as a result of a single cause – one totally preventable? That’s right; when the smoke clears tobacco will claim over 5.5 million lives this year alone. And not only is it legal, but it occurs right outside the doors of our healthcare institutions as if the perpetrator was waiting in line to get in. And they will get in. But, should I pay for their treatment? Wait, that’s another blog. And, what about obesity? Some research shows 80% of all those admitted to the hospital are admitted for a disease or condition attributed to simply overeating, over and over again. That is shameful. But, wait I haven’t told you about the new wheelchairs for which the hospital is equipped.

Parked right outside the McDonalds, which is literally the first thing you see as you enter, yes the hospital, was a wheelchair. So, what’s so strange or ironic about that? Well, apparently today wheelchairs are made for more than one individual. I mean this wheelchair was big enough for a mid-tier college offensive line. I don’t know, maybe the extra room allows for the doctor or nurse to sit down with the patient and administer treatment in route – sort of an indoor EMT transportation vehicle. No kidding it was a personal, human-powered SUV. Where did we go wrong? And why does no one care? Is the answer for our fellow human beings becoming so unhealthy, to simply provide bigger wheelchairs for when they prematurely, but predictably get sick.  And, then for their convenience, within a :30 second personal SUV ride away, offer a pot of fat, sugar and salt to be found at the end of the golden arches.

So what does this blog have to do with marketing or business? In regards to marketing, I just want to confess my own embarrassment and shame for my industries role in facilitating an easier path for unhealthy people. Though, in the end, I still believe in personal responsibility. As for business, success begins with choosing a market you can serve with your heart, mind and to some extend your soul.  I have chosen mine. If you provide a product or service that is inherently bad for people or the planet we must share, you’re company is not it. Call me judgmental, call me a health Nazi – just don’t call me.

Business can be the same way. But like my run, it still requires doing a lot of things right. In the case of a great run there still has to be previous, disciplined training, a commitment to nutrition and the right attitude to make it happen. Yet, you still can’t totally account for that magic of the day. And that is what is so similar to business. So, what does it take for the marketing gods to show favor?

The first thing you need to do, whether entrepreneur or CEO,  is put a plan on paper. That is a written plan with clear and concise goals aimed at a very specific client base. You cannot over define your market. Keep digging. You should know this group/s well. In fact, you should be able to engage a representative of this group/s in relationship and like them. And vice-versa. While this sounds fairly traditional in the age of new media, it is still the single most import aspect of finding favor and experiencing the magic.

Today, however, there are two additional components of marketing training you will need to pick up. The first of these two is to get used to the fact that your customer has and wants lots of information. You will need to provide lots and lots of content – continually fresh content. Think of it as “give to get.” Now when we are talking about content we are not talking about chest beating. We are talking about relevance. That could be unique, original content that has nothing to do with your product or service, but would be of value to the persona group/s you serve.

In addition to a plan and “giving to get,” the third component is the understanding that your persona group/s expects you to expect feedback – their feedback. They want a true relationship. That means transparency and authenticity. This is the only way in today’s dynamic environment that you can move from awareness, to preference, to loyalty, to brand advocate, to real brand equity.  And one last thought, instead of content in entrée sizes think more snack size, more often, and always fresh. So take action, and one day may the marketing gods share a bit of magic.

What it takes to succeed in business is relationship. That’s right entrepreneurs. Got that Mr. CEO? If you want to be an emerging enterprise with a breakthrough on the horizon, it’s time to build relationships. So, here’s a quick anatomy refresher for the elusive relationship. One – your company has to have a discernable personality, one that’s part of a bigger story and at the same time is personal enough to nurture an individual relationship. Two – there has to be a specific someone to have a dialogue with. Dialogue always precedes relationship. And you will have to know intimate details about this specific someone or “persona” in whom you desire a relationship. Research is more important than the new social media in and of itself. Yes, I said that. And it’s true.

The third piece of our anatomy lesson is the voice. Yes, you must develop a clear and distinct voice to be heard. And not just heard, but listened to. And then finally you need a big, super-big, corporate ear to hear your customer and what they want today and tomorrow. You need to understand how different these needs are from what you and your team have on the agenda – that is what you were so good at yesterday. Who cares? Start listening and let the evolution of continual change begin.

In the Sun Tzu, Strategies for Marketing, authors Gerald and Steven Michaelson, quoted Anon as saying,

“Because the customer has a need, we have a job to do.

Because the customer has a choice, we must be the better choice.

Because the customer has sensibilities, we must be considerate.

Because the customer has an urgency, we must be quick.

Because the customer is unique, we must be flexible.

Because the customer has high expectations, we must excel.

Because the customer has influence, we have hope of more customers

Because of the customer, we exist.”

To succeed in business, first and foremost you must exist. To exist you need customers. Where are you focused?

My goodness, not even a business built on something as simple as a doll stays the same. Not even when you become the most famous and adored doll in the entire world. Not even when you have been around for 50 years. Not even when your annual sales reach almost $2 billion – yes, with a “B.” It appears even the likes and dislikes of little girls’ change, which happens to impact the fortunes of many.

Most scary according to industry insiders is the fact that, “girls seem to be losing their taste for dolls, flocking instead to iPods, videogames and the Internet,” according to an article in the Wall Street Journal by Ann Zimmerman. Right now that downward trend is about 5%, which of course is significant as a percentage of “billions.” But, what about the girls that are still fussing and giggling over dolls – where there is a bit of war – because even if they like dolls, today they apparently like different dolls.

That is what has set off a cat-fight in the doll business juicy enough for the steamiest soap opera. First with Barbie, a Mattel product, showing signs of aging, a new doll strolled on to the scene – Bratz. With their, “spoiled attitude, pouty lips, and revealing clothes,” and not to mention, “oversized features and naughty vibe” sales were huge. The creator who correctly read the change of market failed only because he didn’t tell Mattel – his employer. Instead his vision was produced by MGA. In 2004 they lost a lawsuit with Mattel, which cost them $100 million and rights to produce the doll. No problem. Lightening struck twice as MGA quickly rallied with the Moxie Girlz – complete with accessories that can be colored by hand.  Ooh, Ah!

And then there is Spin Master’s, Liv dolls – a wannabe rock star, a budding hairstylist, a klutzy athlete, and a fashion maven.  What makes them unique, and desirable? Instead of 12 movable joints like Barbie, they have 14. Now that’s evolution! Creators now believe girls will be better able to help their dolls duplicate the poses of real fashion models. Excuse me that’s not evolutionary, that’s revolutionary!

So, why do I have such an interest in the doll business? One, it is a perfect, recent and relevant way to demonstrate no business is safe from change – no market – no one – not even me. Just today, Federal Express delivered a high chair and baby bed. That would be the second reason for my keen interest in dolls. I have a baby girl on the way – personally I’m still leaning toward the iPod or maybe a football.

The question is, “who wins?”  That is besides you and me. Frankly, I’m thrilled I can get “Rogue” while saving $25. Maybe I’ll spring for a beer or two on the way to the next town-hall meeting. But, if I owned an independent book store, that is a small business selling books, I probably wouldn’t be quite as excited, or tipsy.

Some reactions recorded in an article by Miguel Bustillo in the Wall Street Journal included:

“The price war sent shivers through the publishing world.”

“The endgame is rather scary for authors.”

“ . . . any industry that sets low price points may later have a difficult time re-establishing those prices.”

Whatever your perspective,  it is a game changer. Whether the strategy was driven by e-reader best sellers, which Amazon sells for $9.99 or Wal-Mart trying to outflank its chief online competitor the result is the same: Change! More than ever, whether its books, baby buggies or bagels the small entrepreneur and emerging enterprise must be willing to adapt. However, the first step is market intelligence.

 How much time do you spend romancing your customers? Do you have people on staff charged with staying abreast of the key markets you serve and at least two or three unique personas of whom comprise that market? Do you know what they want – NEXT? You can. But it requires dialogue, relationship and allowing customers to help create the brand.

If you want to know more, it will certainly cost you more than $9. However, the next time you run into a buddy at Wal-Mart, you can brag that your company has a higher ROI than they do – well, at least on books.

With sales down some 13.5% this year, in favor of low-cost rental services and digital downloads, Wal-Mart is cleaning up its aisles. According to an article in the Wall Street Journal written by Nat Worden, the mega-retailer, which accounts for nearly a third of all DVD sales, is “devoting more shelf space to top-selling products and cutting back on ‘items that linger.’” That is DVD’s.

By the way, while DVD sales were falling, digital sales by Amazon.com and Apple Inc.’s iTunes rose 21%. That is change. So how has your market changed? Have your customers expectations changed? Are you sure you know exactly what they want today, how they want to acquire it, and if you are delivering the experience they desire? If you find the thought at least intriguing, might I recommend you visit www.newtrixnow.com and consider beginning a dialogue with us. And if you’re not quite ready, heck sign up for our monthly newsletter “Marketing Muscle,” follow the Newtrix blog, catch up on the latest news especially for the emerging enterprise, and browse other continuously changing content we hope you find unique, focused and maybe even enlightening.

Speaking of change did you know that social media is now used to communicate more frequently than email. While email utilization is up 21% bringing the total number of users to 276 million across the US, European countries, Australia and Brazil, the number of users on social-networking sites is up 31% to 301 million people. And just so you don’t think change is just for new products, services and technology let me pass on this phenomenal cultural shift for the oldest service we all will ultimately purchase – burial. Well, not exactly it seems that service is falling out of favor as people across the US, some 35%, now chose cremation. In several states that number is as high as 65%. The lesson – no business is safe from change. As Red said to Andy in my favorite movie “Shawshank Redemption,” “Get Busy Living (that is changing) or Get Busy Dying.”

So, how do you know when to make change verse be persistent? Actually, I think the two words are closely related. Persistence by definition should include the knowledge, ability and desire to adapt or change. The best way to understand or develop true persistence, I believe was set out by Napoleon Hill in the classic “Think and Grow Rich.” Below are his four steps with my analysis or interpretation in italics.

How to Develop Persistence

1. A definite purpose backed by burning desire for its fulfillment (You must have a purpose and it must be rock solid, but situations and conditions, many of which will be out of your control, will require you to make strategic changes, with persistence, to ultimately see it fulfilled. By the way without an articulated purpose individually and as a business there is no real compass and no meaningful way to judge a decision or outcome in regards to, “is it time to change?”  You are simply floating. Persistence is an oar of change.)
2. 2.       A definite plan, expressed in continuous action (The plan is your map. “Expressed in continuous action,” implies you cannot create a perfect plan, map or game plan. You will need to monitor your progress toward your defined fulfillment and with great persistence relying on purpose, your compass, adapt and conquer.)  
3. 3.       A mind closed tightly against all negative and discouraging influences (It is not just you who fears change. We all fear change. I repeat you are not alone. Now get over it and with persistence toward your fulfillment make the necessary changes.)
4. A friendly alliance with one or more persons who will encourage you follow through with both plan and purpose. (If I could somehow write this on the forefront of every entrepreneurs thought process we would all live in a better world: “Be persistent in being a supportive friend and you will be changed.”)

Some may consider persistence or change as two separate options. I would prefer to see them not as mutually exclusive, but instead as indelibly linked.  To be truly successful you have to articulate your purpose, possess a burning desire for its fulfillment and have an action plan to make it happen, which includes a persistence to engage and embrace change.

If interested you might want to get with your banker and check interest rates, some of these new “man caves” broach the $50,000 mark. So, why in an economic environment like we have today would we see the birth of the super luxury bed segment? Because some entrepreneurs and executives of emerging growth companies did their homework. Looking to increase sales they went looking for opportunity and what they discovered was, “although affluent men shop less often than women, they spend more when it comes to home luxuries like mattresses, TVs, and stereos,” according to Pam Danziger, president of Unity Marketing, a market research firm (WSJ- article by Ray A. Smith). She added, “If men are leading in the purchase of a mattress, they are more likely to opt to paying full price and buying a more luxurious bed.”

The point is there is always opportunity. And yes profits. If a product as old and dare we say “tired” as a bed can be recreated to generate excitement even in a small niche of the market, then you have to agree any product can be reinvigorated with some research, creativity and innovation. When you believe you have thought of everything, left no stone unturned or Red Bull unopened, and still nothing, nothing seems to come to you or the team – that’s when you’re getting started. Remember when virtually everyone quit baking, the Arm & Hammer folks convinced us to buy their baking soda to pour down the kitchen sink. Sweet dreams.