Virgin’s New Barrier to Business

January 18th, 2012

“The difference between adding value and aggravating customers can be a very fine line”.

I have been watching Virgin Australia’s aggressive marketing tactics over the past year. They have introduced ‘status match’ to attract their competitors’ customers; a separate entry line for premium passengers, business class and free tea, coffee and water for economy passengers. Impressive tactics.

That said, two things strike me as interesting from a marketing viewpoint.

Firstly I can’t help wondering if their latest “improvement” will backfire. The new barrier to keep the 100 plus economy passengers away from the restroom available to the 8 business class passengers is an interesting experiment. Virgin barrier

Qantas have had their curtain for some time but it’s easy to push it aside to use the bathroom, especially if you are a premium passenger sitting in the first few rows of economy. Virgin on the other hand, apparently believes that passengers in row 3 should squeeze past the trolleys and walk to the back of the plane if they want use the conveniences, according to the cabin supervisor on a recent flight.

The views of passengers around me were mixed. One thought it was reasonable to protect passengers paying a premium fare, the others were not so sure.

One of the hardest challenges in business is to differentiate premium customers. When the majority don’t know the difference, it’s easy. When it is “advertised” with a plastic rope the question is, ‘Will high spending corporate customers ignore the barrier or choose another airline?

Secondly, I can’t help wondering if they have gone too far in trying to emulate their competitor and become pretty much the same; albeit with newer aircraft.

What do you think?

QR codes

January 11th, 2012

One of my clients just asked me about QR codes.

I assumed he knew about them and just wanted some ideas about how to use them. I was wrong.

QR codes or “quick response” codes are a code that can be displayed on any platform and function as a link between the physical world and the internet. You scan the code with your mobile phone and it automatically links you to a website (or even a video).

Smart companies are printing them on all types of media. One client prints them on his monthly statements and they link to his video update. Lendorff Kaywa uses QR codes on scarfs and collaborates with London based pixel-knitwear designers Office Lendorff and mobile enthusiasts Kaywa from Zurich, Switzerland.

How could you use them? The possibilities are limitless.

Free QR code generators available on the web.

Unintended Consequences

December 14th, 2011

The campaign led by Gerry Harvey to charge GST on small overseas purchases seems to have badly misfired. To be fair it was never going to succeed. You can’t stop an avalanche with an advertisement.

Yesterday I was chatting to the passenger sitting next to me on a flight to Sydney. I pricked up my ears when he told me he had employed 150 people in Australia over the last 12 months.

He was the operations manager for an international freight company and he told me how much inbound freight has increased since Gerry Harvey and his retail colleagues alerted Australians to the benefits of buying overseas.

The problem facing retailers is that they seem to think imposing GST on imported goods will solve their difficulties, which is rather like burying your head in the sand and hoping things will change.

Yesterday I waited for 12 minutes (with four other customers) at a cash register at David Jones Bondi Junction. Eventually when someone did show up to take my money I asked if they were “very busy”. The response was “no we don’t have enough staff to serve everybody”.

Hmm! Maybe that has something to do with the retailers’ dilemma.

Web access is expanding

December 8th, 2011

When you think that just a few years ago the only way to access the web was via computer it’s obvious how much the world has changed.

Expect those changes to continue in 2012, making it easier for people to access your website and to discover your business.

Prospects access the web through numerous means. 20% of web access is now via smart phones and PDAs, and it’s growing, so expect to see more robust tools to come to market in 2012.

The 2011 Computer Electronics Show (CES), held in Las Vegas, introduced 70 new computer tablets modelled after the pioneering iPad produced by Apple. The iPad is so popular that, today we call desktops “grandfather boxes” – only used by those who are five years behind the times.

This will require some outlay to keep pace with the competition.

Your current web site is accessible through smart phones, PDAs, TV sets, game consoles and other tech products but if the user is required to scroll right, left, up and down to find the one piece of information s/he is looking for you are likely to lose them.

This has lead to the development of dot.mobi sites – sites designed for easy accessibility on smaller smart phone screens. If you don’t have a .mobi site, 2012 is the time to spend the money to upgrade your current site and add a mobi site to your marketing arsenal.

It’s not just the wave of the future, it’s here now so you may be running double-time in 2012 just to catch up.

Are You Ready For The Ball To Drop?

December 1st, 2011

We’re just a few short weeks away from glorious fireworks displays, champagne toasts and the start of a new year. And it’s going to be a good one. Probably your best, if you’re prepared.

The last few weeks of the year are the ideal time to look back over the previous business year to assess what worked, and to look forward to the challenges and opportunities that come with the New Year.

Analyse

You have a year’s worth of data so prepare a short statement of achievements, lessons learned and how you can leverage what you have learned to fuel expansion in 2012

It’s natural to protect “your” initiatives, ideas and positions BUT, as you analyse performance metrics for 2011, be honest with yourself. It’s hard but it’s essential to admit setbacks and learn from them. Numbers don’t lie.

Organise a holiday celebration.

The end-of-year party is a terrific morale booster, especially when you use the occasion to praise loudly. (Leave the quiet criticism for January. It’s a party.)

If you are a manager, this is an opportunity to praise the performance of specific individuals and to hand out special “bonuses” like gift cards and other thank-you incentives.

Something I recommend: invite clients to the holiday celebration. Again, this builds good will and creates a “personal” bond within a business context. Get to know your clients on a face-to-face level over holiday cheer. And, if you want to maximise the impact, be sure to invite partners.

Google’s New Algorithm

November 20th, 2011

Have you checked your business’ web site page rank lately? How about positioning on search engine results pages (SERPs)? Are you still showing up on page 1 of SERPs? Chances are, if you haven’t made changes to your web site in a couple of years, you’ve seen PR and SERPs positioning fall thanks to Panda – Google’s new algorithm introduced in February, 2011.

Panda has changed the rules for obtaining a higher page rank and better positioning on search results based on several key factors. The most important?

Quality content. In ’03, keyword density – the frequency at which key words appeared in web site text – was critical and, as a result, business owners and SEOs employed the practice of key word stuffing – cramming as many key words into site text to ensure that search engine bots “got” what your business web site or blog were all about. Panda changes key word density, giving it much less weight than it once had.

Panda is a much more sophisticated algorithm capable of identifying quality, informational content. It’s no longer a matter of key word density or even key word positioning. Today’s search engine algorithms are capable of determining not only quantity of content but quality. The content you purchased five years back from a content mill in Bangalore no longer impresses search engines designed to deliver higher-quality results to users.

In 2012, spend a portion of your marketing budget on the development of well-written, well-researched informational content that benefits site visitors. You’ll see more site traffic, you’ll convert more site visitors to buyers and you’ll restore your PR and SERPs rank, back on the first page of Google’s search results.

Keeping up with the latest in search engine dos and don’ts will become even more critical in 2012 so if you’re still using best practices from a decade ago, now’s the time to update your web site and keep it fresh with new content designed to educate, not sell, site visitors.

Paper Free UK Boardrooms

September 18th, 2011

UK boardroom meetings could soon take place in a paperless environment, thanks to the new iPad enabled board meeting software Blueprint BoardPad 2. The software was revealed to the public in June this year.

Conceived and designed by ICSA Software, a business software development specialist the iPad application has already made waves in the industry. Some 75 per cent of FTSE 100 companies have already opted to use the software and many more are believed to follow suit.

Older versions of the Blueprint BoardPad software have been in use by a number of blue-chip companies in the UK. Big-name customers such as Co-operative Group PLC, Carillion PLC and Wolseley PLC are sold on the application because it simplifies the process of holding board meetings.

What’s Changed?

Besides new security features and a systemised way to minimise paper clutter, time and effort, the new Blueprint BoardPad 2 software promises companies’ massive savings.

The software enables users to change the out-dated board meeting structure while saving staff hours of boring record keeping. Not only that, but the software removes the need for expensive couriers, tedious document changes and updates and unnecessary costs for printing.

The Blueprint BoardPad 2 empowers directors to do business smarter, faster and more cost effectively. Approved by Apple for iPad use it is expected to remove annoying paper clutter in thousands of offices around Britain in future years.
The device can be managed and operated with simple finger swiping movements, giving users total control to create, update and share board pack documents. Annotations become child’s play amongst other features.

The new software allows directors to work with the latest company documents. It also detects new document versions if another user signs in simultaneously – much like cloud-based storage servers.

Alice Springs. Great place for a sensational conference.

September 7th, 2011

The Synchron NextGen conference for under 40 year old financial advisers is my favourite conference of the year.

This year in Alice Springs was no exception. Sales training by Jim Prigg, technology insights by yours truly and video instruction by Colin Pearce. Add plenty of outdoor activities, morning aerobics with Zumba lessons, learning to play a digeriedoo and a visit from some real snakes.

Here are a couple of photos of me “at work”.

NextGen at the Alice

NG1e

The Value of Perception

August 16th, 2011

With the recent stock market crash bankers and investors are once again living in fear. The financial repercussions that arise from a combination of make-belief economies and Band-Aid promises have us play ball like the good citizens we are ought to be. But what is wrong with the bigger picture?

It’s a matter of perception in a high-stakes game

Perception is and can be very dangerous if it is based on make-belief politics. Take the US government for example: for months they have hinted that the economy is on the rise once again… that everything is all right. And then… boom, there goes another stock market crash.

Fact is that things are not all right.

The US is still spending more money than it earns. The national debt is getting bigger while people’s lives are ruined everywhere. And it doesn’t stop there. The perception game continues across the pond with half of Europe on a dangerous downward spiral.

People everywhere are fed up and the signs are showing. Take the recent UK looting escapades that resulted in people losing their life’s work and their lives.

People are hurting and the governments close both eyes to play damage control. This also applies to Australia, despite the in-cahoots practices of our politicians.

Perception in business

While the wrong perception can bring the stock market to a slow crawl and make it crash and burn, it can do wonders for your business if used right.

Perception is everything in marketing. When potential clients and customers perceive you as a successful business, as a reliable company they are more inclined to show with you. This brings us back to brand marketing and how important it is to build your brand to build your business.

Where will it lead?

If we err on the side of caution then NAB’s chief Clyne comments hit closer to home than we’d like to admit. According to him we might be in for a tough ride as more and more homeowners fail to keep up with mortgage payments. Rising unemployment is causing havoc for many families and if it keeps rising we might be in for a rude awakening.

What do you think is really going on?

How One Broken Promise Can Cost You Your Credibility

July 25th, 2011

If you’re into news stories at all then you are already familiar with the story of Julia. Julia is a particularly strong woman: she’s a party leader, an accomplished politician and a master tactician.  By now you’ve probably gathered that Julia is no other than our Honorable MP, Prime Minister of Australia Julia Gillard.

So what has our Prime Minister got to do with broken promises and lost credibility?

The answer of course is a lot.

Gillard has demonstrated to us the one way we should never do business: by breaking a promise that was made to help her career. Before being elected into office (on terms that are outside the scope of this article) Julia Gillard clearly promised not to implement a carbon tax should she become Prime Minister. Her words were: “I rule out a carbon tax.”

Instant Credibility Destruction

Fact is Ms Gillard once made a promise to Australians. A promise she broke for the sake of a political agenda most of us find hard to comprehend. It has cost her credibility in the eye of the public – except perhaps with the Green Party – and most likely the next election victory. The Greens are the only winners in this debate. Not the environment, not the taxpayers and certainly not the public.

As the Saga about the carbon tax lives on we have to take a serious look at how a broken promise can cost us our credibility in the industry.

Truth is Better than Fiction

If you’re in business you can learn an important lesson from Gillard’s broken promise.  For starters, it is to be said that people change their opinions, their stance and their viewpoint on things. It’s a natural evolution of humans. And there is nothing wrong with that.

What’s not natural though is to make a promise and then to renege on it.

In fact, doing so can cost you your clients. It can cost you your credibility with your staff, your suppliers and your business partners.

Aim for the truth every time, even if it hurts, because you will sleep better at night. If you can’t deliver on your promise don’t make it. Only promise what you can control 100%. It’s the best way to avoid embarrassing situations.

A broken promise leaves a trail of pain and suffering…

Ask yourself: can I really hold true on a promise I’m about to make? It might well save your soul – not to mention your business.