We are warning our clients and small businesses to be aware of a search engine ranking flimflam. A confidence game played on the unsuspicious who pay for keyword ranking and traffic. This unscrupulous charade demands money upfront and promises that your website will move ahead of the pack. They also guarantee oodles of visitors that could take other websites months if not years to accumulate. Don’t be scammed, these third party search engines are illusionists. They use slick technology as their smoke and bots as their mirrors, all the while lining their pockets with your much needed marketing dollars.

The misconception of “the more traffic the better” is only part of the equation. Relevant traffic is what affects the bottom line. These “new” search engines that are charging upfront for web positioning and traffic are using bots and malware to make it appear their false promises are true. To separate the wheat from the chaff we rely on the data. Google Analytics provides us with the raw information that shows that these new search engines or catalog referral sites are not bringing relevant traffic. In fact, in many cases they are using bots to click on your site. The bots will show as a visit, but they aren’t real people who wish to do real business.

This scenario has reared its ugly head recently. A fairly new client bought into this suspicious and intricate ruse. They we’re charged $1,500 a month for website traffic. They did get plenty of visits but with a bounce rate of over 92%. The fraction of visits that did not immediately bounce out stayed on the site for an average of 11 seconds. Out of all this buzz and bother there was not one goal conversion. Not one of the so called visitors purchased anything nor requested more information.

Google Organic (unsolicited web traffic) for the same time frame was about 20% higher in visits, had a bounce rate of fewer than 43% and the visitors here spent an average of 3 minutes on the site. Affix that with 23 goal conversions (and another 24 from other reputeable referrals) and it is apparent to us that the “new” search engine is about as reprehensible as it gets.

There are no quick fixes to Search Engine Optimization and everyone should be very wary at the “throw money at it” solution process. Before you send one RED cent to these companies with unrealistic promises, do the research. A basic search will pull up many threads of conversation regarding deceitful web marketing practices.

Because this is an ongoing investigation and for legal reasons we cannot provide the exact name(s) of these internet advertising scammers here.  But we will offer free consultation regarding this post. You can leave questions in the comments section or email me directly at bgriffin@cazbah.net

If you are a victim of fraud of this type of criminal marketing scam or sales pitch activity you should file a complaint at the Internet Crime Complaint Center. The Internet Crime Complaint Center (IC3) is a partnership between the Federal Bureau of Investigation (FBI) and the National White Collar Crime Center (NW3C). Victims need to report these incidents and start fighting back. Don’t let the Internet Search Engine Data Merging Keywords scammers do this to other victims.

Have any stories about internet advertising or instant traffic scams? What are your experiences with the “new third party” search engines? Write back on the comments section we would love to know your thoughts.

There’s nothing better than a fired-up client … a client eager to spend resources and energy on doing smart things in a smart way … a client ready for results and willing to do what it takes to get them.

And there’s nothing worse than having to tell that client to holster it back up because they aren’t ready to pull the trigger.

That is sometimes the situation we find ourselves in when our small business clients are interested in implementing social media strategies before they have made sure that the location they are driving traffic to – usually their Web site – is prepared to handle the traffic.

When it comes to marketing their own brand, many small- and mid-sized businesses are working with limited resources.  So a decision to increase focus in one area often inadvertently becomes a decision to decrease attention in another.

Embarking on a social media strategy is a major undertaking for any company, an effort that often manages to soak up a lot of internal resources.  This can mean that the more mundane efforts it takes to update the company Web site can often go ignored, leaving the place you are trying to drive more traffic to looking something less than its best. Why is this a problem?  Because social media efforts are just a means to an end, with your final goal being to convert traffic into sales.

It’s important that the first step of your social media strategy be taking a look at your Web site and making sure it is an effective end-destination for every tweet, blog post and shared video.

• Are there clear “calls to action” throughout your Web site?
• Are your products and service pages current, accurate and complete?
• If you are targeting a specific audience with specific services/products needs in your social media efforts, are those services/products easily found?
• Are your contact pages updated and complete?  Is it easy for customers to continue the dialog that you started with a social media vehicle?
• Is your Web site content of interest to your social media audiences?

Pages that need simple corrections should be taken care of right away.  Any section that needs more extensive effort should be avoided as landing pages for social media traffic.  Once you are comfortable that your Web site is ready and able to do handle the new traffic, your company can feel comfortable in taking its first shot at social media success.

For years now my customers have asked me about video on their websites and how that medium might be used to compliment their products and services sales. Until recently, I have always been a bit cautious because of the time and cost of producing videos versus the benefit received from such a marketing activity.

In the last year we’ve seen a number of tools introduced into the marketplace to increase value while decreasing the amount of time spent producing videos. Social media sites like YouTube and Facebook have made it very easy to upload videos and share them. Additionally, video camera and even cell phone technology have made it much easier to create videos and get them onto the internet for viewing.

Why
So why would you ever want to create a video for your ecommerce web site? You want sales. After all isn’t that why you have a commerce site? Video can give you a real competitive advantage by sharing your knowledge and advice on how to get the most out of the product or service you are selling. This will attract viewers who,if done correctly, can become customers.

How
I like to use a video camera called Flip Video. This inexpensive video recorder is small and easy to use. It creates quality video without a lot of complexity. Most importantly Flip Video has very easy to use software for editing and uploading your videos. Once you have shot your video you need to decide where to upload it. I use YouTube as the hub for my customer’s videos. YouTube allows you to store your videos for free and has a number of tools to allow you to promote them. Once I have uploaded the video to YouTube I can embed that video on my customer’s web site, blog, Facebook, etc.

Results
In the end the reason we do this is because we are creating value. We are showing the world what we know about our products and services so we can build trust and ultimately make more sales. This is precisely what a number of our clients have done. For instance take a look at my customer’s video listed on the Google search page for the term “saniguard spray”. My customer doesn’t just sell Saniguard spray, he creates value by showing how to use it properly. This video has done a lot to increase their sales of the Saniguard spray product line. Lastly I will leave you with a video that took me about an hour and a half to shoot, produce, and upload. I used a Flip Video, uploaded to YouTube and then embedded the video to my customer’s appropriate product web page. The “video value” my customer creates in this video will be sure to increase his sales. How can you increase your “video value”?

(The importance of your differences cannot be overstated.)

The short answer to this question is, you do! If you want to do more business, more effectively on the Internet, then you definitely need a Unique Value Proposition.

The term Unique Value Proposition can be best understood by breaking it down into its parts.

Unique refers to the characteristics of your product or service offering that distinguish you from as many of your competitors as possible. Think about it. What is it about what you do that sets you apart? Take the time to really understand how you are different from your competition. Then, write it down!

Value is the intrinsic worth of your offering to your customers. In other words, it defines what your customers get for their money. If you’re having difficulty with this one, ask your customers to describe how your service or product has helped them. Take this input and translate it into several concise statements.

Webster defines Proposition as; a statement containing only logical constants and having a fixed truth or value. That pretty much sums it up! It is your factual and truthful proposal to your customer. Being able to qualify and quantify your claims is very important and makes your Unique Value Proposition that much stronger!

The Internet is a tremendous resource for gaining a better understanding for the UVP concept. There are numerous examples that you can find online through a search using any search engine, on the terms ‘Unique Value Proposition.’ Using the results of your search as a model, construct your own Unique Value Proposition.

Documenting your Unique Value Proposition and making it easy to understand is very important. As with goals, the elements of your Unique Value Proposition are not real until you have written them down. Once you have done so, place them somewhere that you are sure to see them. Reading them on a regular basis is an excellent test of their accuracy. Ultimately, your customer will determine how well you have captured your Unique Value.

As an aid in this process, ask yourself this question: “What is it about what we do that makes us different (better)?” And, “Why should anybody care?” Combining your honest answer to these two question with some objectivity and customer input will get you far along the path to identifying and documenting your Unique Value Proposition.

Use mind mapping to capture your Unique Value Proposition. Write your product or service features in the center of separate pieces of paper. Once you have documented the features in this way, draw a circle around each one. Then, write the benefits that your customers receive from that feature in smaller circles, surrounding the center. Connect the circles with lines, like spokes in a wheel. When finished, evaluate them all to ensure that they accurately represent your offering. Compile each feature map page into one sentence. Then, combine the sentences into an itemized list or paragraph. Congratulations, you have just created your Unique Value Proposition.

As I mentioned before, your customer will be the ultimate judge of the accuracy of your UVP. Take the time to test your newfound focus by sending it to some of your better, longer term customers to gain their insights. Their input will provide you with the finer points that will allow you to refine and sharpen your Unique Value Proposition even further.

All The Business!

Not too long ago – perhaps 6-8 years ago (ages ago in Internet time) – having a website for a small business meant either hiring a web development company or, assigning the task to an individual in your organization to design and develop it. With that complete – you arrived on the information highway and were cruising along down the road.

Marketing your business remained very traditional – with one additional ‘cool’ feature – a web address, which you listed on every brochure, business card, and magazine advertisement you placed. And it was powerful. So much product information, industry knowledge and articulate value propositions could be displayed – graphically. Provisions for updates including internal procedures, job assignments, and sincere dedication to this new media assured its contribution to your small business success.

Celebrations were held all around and with baited breath – results were expected. Often, these results were good, sometime phenomenal, too often however – very much lacking. Even more review and internal discussions to change some of the content bore little fruit.

In the end, a decision – perhaps not a conscience one, but a decision all the same was made: ‘This site is not going to produce the results we expect. Let’s just leave it up there and get back to the business we know best. What the heck, maybe someone will find it and give us call.”

I find it curious that a small business that specializes in a particular market segment – and advocates to their customers all the good reasons for leveraging their unique abilities – doesn’t apply the same thinking to the growth of their own business.

Just having a site is not enough – certainly not today. It requires constant attention to understand the ever changing conditions in the Internet as-well-as the practices of those who use it to find relevant information, i.e., your target customer!

Are you an expert in your industry? I expect so. Are you an expert in Internet marketing? … Perhaps – but is that the business you are in? Probably not.

We’ve had a few people who’ve been promoted recently within their areas.

Vikki Donnelly, who has been with the company for 4 years now, was promoted to the position of Director of Production / Build. Vikki is responsible for all aspects of the work product and resources associated with the development and update of our customer’s websites. Vikki’s and her production team are the first people that customers encounter after joining Cazbah. Her keen sense of timing and priority has ensured a flawless record of successful customer website launches.

Mike Farney, one of the first employees of the company, was promoted to Director of Account Management. Mike’s roll is to oversee and manage the dedicated account management staff at Cazbah. Mike has been an account manager himself for 5 years and is a classic example of what effectiveness as an account manager at Cazbah is all about. Mike’s responsibility is to provide leadership to his team in all areas of their involvement with their individual base of Cazbah customers.

Louis Horton, was recently promoted to Director of Information Technology. Louis is responsible for a growing staff of software development personnel and is the principle development engineer for the company. Louis provides direction to his team regarding the design, daily operations, security, update and continuing development of Cazbah’s technology. Louis’ expert development skills have had a profound effect on the quality of the company’s technology in a very short period of time.

This group represents the management team for the company and is headed by Mike Seppala, company president, who acts as the director of operations.

Congratulations to Vikki, Mike and Louis!

President Obama has appointed Karen Gordon Mills to take the top spot at the Small Business Administration (SBA). I had never heard of Karen Mills and I think that I’m going to be hearing quite a bit more about her so, I did some research. I’m genuinely interested in ‘where’ people come from because I believe you can tell a lot about a person by looking at their history. I did a little digging. Here’s what I found.

Karen Dale Gordon was born in 1950 to Ellen R. and Melvin J. Gordon. She is married to Barry Gordon (an attorney), who graduated in ’72 from Bowdoin College in Biochemistry and Government, got his PhD in biology from Syracuse University (“Cuse – Go Orange”), and got his JD from Columbia Law School in ’79. He is currently the president of Bowdoin College in Brunswick, Maine. They have 3 sons, William, Henry and George. Karen did her undergraduate work at Harvard in Economics in 1975 and got her MBA from Harvard Business School in 1977.

Karen’s father Melvin J. Gordon (88) has been the Chairman of the Board of Tootsie Roll Industries Inc. since 1962 and serves as its Chief Executive officer. Mr. Gordon serves as the President of HDI Investment Corp., a (Gordon) family investment company. He has been a Director of Tootsie Roll Industries Inc. since 1952. He serves as a Director of HDI Investment Corp.

Karen’s mother Ellen R. Gordon (76) has been President of Tootsie Roll Industries Inc. since 1978 and serves as Chief Operating Officer. Her father William Rubin originally bought the company from its founder, Austrian immigrant Leo Hirschfeld, in 1935. Mrs. Gordon is also a Vice President and Director of HDI Investment Corp. Prior to her election as President, Mrs. Gordon served as Senior Vice President of Tootsie Roll. Mrs. Gordon has been a director of Tootsie Roll Industries Inc. since 1969 and is a Member of the Executive Committee. Mrs. Gordon has been a Director of Unilever – Bestfoods since 1991.

Tootsie Roll Industries is a top 1000 company and has been very good to the Gordons. Mr. & Mrs., have a reported and combined annual income + options of more than 8.4MM.

So, Karen comes from money (or candy), a lot of it. Is it any surprise then that she went into the Venture Capital industry? She has served as President of MMP Group, a private equity investor and advisor since 1993. From 1999 to 2007 she was a founding partner and a managing director of Solera Capital, a late-stage, ‘controlling interest’ VC firm with $250MM+ under management. “Our operating philosophy is to invest about $15-20 million in each deal and take a controlling interest,” noted Mills.” We like to be the capital that comes in to grow the business to the next level – build the next plant, make an acquisition, or expand the brand.” (…and then flip it and get our multiple.)

The media is reporting that Karen has taken a leadership role in the growth of more than 20 companies in the consumer products, food, distribution, textile and industrial component sectors since the mid 1980s. That’s less than 1 (one) deal per year. Not exactly aggressive lending by any stretch of the imagination. We’ll see how (if) that translates to her role with the SBA.

I am very hopeful that Karen can step up and reform a government agency that is in desperate need of leadership. That she can see her way clear to developing conscientious funding policy, developing flexible and easy to access funding for the majority of small businesses, not the sweetheart deals that she is used to working with in her current life.

At this point, the jury is still out on Karen Mills!

The E Myth — Revisited, by Michael E. Gerber — Why Most Small Businesses Fail and What to Do About It (The dog-eared book to the right is my own personal copy from 1995).

The subhead says it all! As you know if you’ve read my other posts, I’m all about overcoming the small business epidemic (a term that I coined several years ago), which gets right to the point that “most” small businesses don’t work, or fail.

Needless to say this book speaks to me. Actually, it’s been speaking to me for years and was instrumental in the development, structure and continuing success of my own business, Cazbah.

The term E Myth relates directly to the Myth that; I am an Entrepreneur, therefore I know how to start, run, manage and succeed at a small business. The data regarding small business failures in this country say otherwise. In fact, most small businesses are started by what Gerber refers to as “technicians,” people that make things or do things and start a business because they think they have a better way of making or doing things. I’ve always related the difference between leaders and managers to this point, namely – managers do things right, leaders do the right things. So simple, so relevant…

One of the characteristic pinch points for entrepreneurs is that they can never seem to get ahead. Gerber refers to this as working in the business, rather than working on the business. They are so busy making stuff that they never raise their eyes to the horizon to see what’s coming or where they are going. Like walking across a field looking at your feet. You may never get to the other side…

There are many, many small businesses (most actually) that I’ve interacted with over the years that are in a perpetual vicious cycle. They go out to their markets sell something, bring it back to the shop and build it, go out sell something, bring it back build it..(repeat). Their financial results porpoise as a result. Picture the fish (o.k., mammal), above the water – below the water – above the water – below the water, etc… It never ends and they never really grow or get ahead. They just exist like this, in some cases from one generation to the next.

Gerber offers some simple and actionable advice on how to correct the E Myth through the development of the Franchise Prototype. This is a business model that adopts the attributes of a franchise business. He goes to great lengths to give credit where it’s due (Ray Crock – McDonalds). Here’s a little tidbit to give this point some credence. “Regular” small businesses fail at a rate of 70% – 80%. Franchises succeed at a rate of 75%. Get the point? As an aside, for the entrepreneur considering a business venture, being a franchisee may represent your best choice!

Most small businesses lack structure and any repeatable process documentation, the attribute that truly defines the franchise business model. Gerber contends that the strategic systemization of your small business will reap huge returns and resolve the E Myth… and he’s right!

If you are 1) an Entrepreneur, 2) business owner or manager, 3) considering becoming an Entrepreneur, 4) may someday be in a position of business management, 5) are currently employed or, 6) are considering employment… (you get the point): You owe it to yourself to read this book!

Michael Gerber’s E Myth is what I consider to be one of the foundational texts that every small business should have on its book shelves and have in practice! Buy it and read it.

Get comfortable with saying “No.” It is the most important word in your small business vocabulary. One of the predominant issues that small businesses face, due largely to the absence of a CCI – Customer Composite Index (see previous post), is their inability to say “No” to a prospect or customer when they should.

Here’s how it works; they (small business) have a sales opportunity but it’s really not what they do. But, the customers or prospect trusts them, perhaps due to a pre-existing relationship. And that prospect or customer really needs whatever “it” is. Rather than saying, “I’m sorry, we don’t do that. But, I’d be happy to help you find someone who does.” Or, “I know exactly who to point you to, let me make a phone call…” The small business decides that there’s an opportunity to make a quick buck, and “it” really isn’t that far-afield…

Well, I think you probably know the rest of the story (thank you Paul Harvey). The small business takes the job and ends up scrambling (i.e., jumping through hoops) to get it done. They don’t really understand what they are doing so the quality isn’t there. They won’t deliver on time and they spent too much money building or delivering “it.”

Net, net…
Net result? A big looser! Not only did they alienate everyone within their own small business, they lost money on the job, (they would know this if they kept track of such things). And most egregious of all, they broke the trust of a customer who may very well tell all her friends and neighbors about what a pathetic job the small business did for her. Don’t even get me started about the social media implecations of such a message getting out about you. That’s called Word Of Mouth and in this case, it’s not good!

I wish I could say this doesn’t happen very often but I can pretty much guarantee that if you are reading this you have either been involved in such a debacle, been on the receiveing end or, you know of one first hand. Solution? Do what you do best and forget the rest! Your customers, your employees and your banker will love you for it!

If you are going to succeed on the web, be it as a manufacturer, retailer, dealer / distributor, consultant, coach or whatever, it is essential that you identify, as specifically as you possibly can, who your prospective customers are. This is the foundation upon which Target Marketing is based.

An easy way to tackle this problem is through the development of a Customer Composite Index (CCI). Your CCI is a detailed list of characteristics that very specifically and succinctly defines your customers. Ask yourself the following questions: who, what, where, when, how and why.

An example of some of these types of questions are; who are our customers, what do they do, where do they live, (in the case of consumer products)? Or, where are they located (in the case of businesses)? Does their location have any significance to the product or service I’m offering? Does how they live have any bearing? What business are they in – product, service, specialty, commodity? What’s their annual income or revenue? How many employees do they have?

Additionally, are there customer personality or lifestyle traits that are important to your business? And, who are their customers? This is especially important, because if you understand their customer’s needs, you truly know what makes them tick! What are their interests and hobbies? I am sure you can come up with many more relevant questions that will help you to define your CCI. The point is, if you know who your customers are, by virtue of your CCI, then you know what you are looking for in a new customer.

If you have trouble with this exercise, visit an existing customer (or five) and ask them these questions. This gives you the opportunity to kill two birds with one stone. 1) You will meet with them and get some face time, for a very legitimate reason. Which means you can continue to build your relationship. 2) In your questioning, you will inevitably communicate your concern through your interest in understanding your customer better. You never know, you may just uncover an unmet need or two that you can convert into a sale!