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Archive for the ‘Business Advice’ Category

The One and Only Way to Market Online

Monday, March 15th, 2010

marketing online

There is one way to effectively market online, only one.  And it is never-ending.

To “win” the online game, you have to consistently work on building links.  You have to constantly test your conversions.  You have to be absolutely obsessed with your analytics.  You have to constantly interact with your customers.

You also have to intimately involve your online marketing with the ‘backend’ of your business.

Then, and only then, will you create a beast of company that dominates its niche online.

Two Bad Misconceptions of SEM
There are two common beliefs about running an online business built around search optimization (organic/paid) that you must banish right now.

The first, is “Set it and forget it”.

Popularized by affiliates and early-movers, this concept describes creating a website that makes money and then letting the money roll in while you smoke doobies on the beach.  Cool idea, very appealing to human sensibilities.  It might even work for awhile.  Like 2 years even.

Increasingly by the day, “set it and forget it” doesn’t exist online.  The reason you should abandon this concept in your online marketing is that eventually something is going to change.

Someone is going to come along and kill your cash machine.  It could be Google, it could be the next net-stud up the block, but it’s going to happen.  If you’re too busy “forgetting it”, no way you will see it coming.

Consultants Don’t Work Long-Term
Number two is the idea that a consultant on a 3 month contract will take care of your online marketing.  This does not work long-term.  As a business owner, you care about the long term right?

The reason this does not work is because things change.  It is because the search engines demand your participation.  It is because your customers demand it, too.

The products you’re marketing in months 1-3 may change greatly by months 10-30.  The conversation around your product or service may shift over time.  The pimp blog review you got in ’07 isn’t paying off much in ’10.

Make Marketing Your Heart
Or liver, or lungs.  Whatever makes it a part of you and your company every day it exists.

The talent you have working on your online marketing needs to be as intimately tied to your business as you are, or else you’ll miss opportunities to succeed. Get them in on the sales meetings and brainstorm with the accounting team.  Constantly.

The “set it and forget it” and consultant models fail in keeping a pulse on your company and your industry.  It has to be there every day, in the trenches of “.com” land, or else you’ll falter.

Takeaway
Marketing doesn’t start and stop. You can’t “forget it”.  Marketing online, more than any other medium in history, requires testing and daily interaction.  Act accordingly.

Photo: Bob.Fernal

Invest in Something You Can Control

Wednesday, March 10th, 2010

Part of the beauty of angel investing is the idea that you’re investing in a person or idea that you can speak to, see, and interact with.

This as opposed to dumping your hard-earned cash into stocks, bonds, or mutual funds.

Investing in a company as an angel is an intimate affair. You commit only after a thorough due diligence process evaluating the potential success of the idea.  You evaluate the talent and drive of the founding team.  It’s about people, and the company comes to hold a special place in your heart.

Traditional investments like stocks?  They’re just a ticker symbol in a chart, affected by powers far-removed from your own.

Right?  Isn’t one of the best things about angel investing that you get to participate in how well your investment turns out?

It’s Not Just Your Money They Need
My ideal vision of an angel deal incorporates something much more than money.  Forget about being a “passive investor”.  That’s just as boring as a mutual fund.

When you put your money into a company, hopefully it’s partly because you feel it can benefit from your experiences in business.  So you’ve grown 2 online companies through strong search marketing and sold them?  That’s awesome, and you should be finding companies that can benefit from that experience.

Of course you’re not necessarily going to come in and be the CMO.  But the 1 email per week you can give your entrepreneur could be worth $100,000 to the bottom line.  The one answer per week that you can provide about a tough marketing decision could make all the difference in the world.

Go With What You Know
It’s only natural for people to be drawn to things they understand.  In angel investing, that means you’ll likely gravitate towards companies that mirror your own past experiences.

That’s a good thing!  Take your money and your advice to places where it’s mostly likely to be useful.  I’m not about to invest in a pharmaceutical manufacturer, but I’ll jump all over sleepapnea.com.

Remember – You Can Contribute
The “passive” angel investor annoys me, especially if he/she bemoans the poor performance of their investments.  If it’s your Energizer stock, that’s one thing.  If it’s the $50,000 you put in 2 angel deals in 2008, well do something about it. I’m sure your entrepreneurs are open to ideas, help, connections, and insights.  Get dirty!

(If they aren’t, sorry.  Probably shouldn’t have invested to begin with.)

Takeaway
A big reason we coined “growth partner” is because angel investing is the perfect opportunity to actively invest.  Embrace the opportunity to solidify your investment, and get dirty with your entrepreneurs.

Photo: Birdsmack

In Business, There are No Maps

Thursday, March 4th, 2010

I read an article from the 37signals blog entitled “There’s No Room for the Idea Guy (in a Startup)” today, that stated:

The truth is that most everyone has plenty of ideas that could work out to be great businesses.

The title threw me off a little (and I won’t debate it here), but I couldn’t agree more with the idea that almost everyone is full of viable business ideas.

I also think most of those people are waiting around for someone to show them how to execute their idea.

Where’s the roadmap?

So You’ve Got Ideas . . .
Every group of people I’ve been around since childhood has discussed grand plans for business.  From candy in the lunchroom to the internet era notions of blogs or UGC (and we’ll wrap ads around it!) . . . the ideas are plentiful.

Easy to come up with ideas.  Hard to decide which ones to give attention to.  Even harder to give them an honest try.

Why is that?  Why is it so rare that a person or a small team can take a novel idea and make a run at it?

Besides the typical fear and anxiety, it’s a reliance on being shown what to do.

Trained to say “Show-Me”
In Seth Godin’s Linchpin, he talks about how our education-to-job system is broken.  We train people from a young age to take in information, spit it out on a test, and move on.  We train them to sit in their chairs and do what the teacher says.  It creates worker bees ready for instructions.

Worker bees are necessary for many things, but starting a new business is going to take a level of execution that creeps into the unknown.

Embrace it!  Have confidence in yourself to make smart moves.  The intimidation factor is high for many people in taking an idea and putting it to work in the real world.  The distance seems much greater than it really is.

You should remember that every other entrepreneur who put his balls on the line for an idea knew just as little as you do right now about what the future may hold.  You’ll make mistakes, but at least you’ll make something.  And no one’s going to show you the way to success.  YOU have to DO IT.

Cue up a little DIFN.

Otherwise your ideas will be nothing more than a rush of adrenaline, followed by decades of cubicle jockeying.  And do the rest of us a favor – return to your distractions.  The grown ups have business to do.

Takeaway
If you want to start a real business, there is no roadmap to follow.  None.  Make your own.

Images: Jasperdo and 5348 Franco

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