Brain Breach

This is best illustrated with a story.

ScreenBird Presenter was in its alpha stage, and had little traction in the presentation community, so I went to advertise on GoogleAdwords. What quicker way to get customers for my program? Having seen the effects good Adword campaigns, I know it was a sure bet. Sign up and registration was very straight forward, as was the actual process of setting up the campaign. There is however a learning curve to the whole program. In fact I have watched the creator of Adwords give a lecture, so I appreciated the complexity that goes into the whole program.

What do you know, it worked! For the paltry sum I put into the effort, I was able to show successful installs of ScreenBird. So now it’s time to spend a bit more cash elsewhere, and get a taste of the landscape. Thus we are lead to Yahoo!

Sign up first. Ok, simple, I have three Yahoo! id’s, so I will just use one of those. REJECTED! Hmmm, I will suffer, make yet another i.d. for some reason. With all the Google services I use, I have but one id. Now we go to setup the campaign. That wasn’t too bad, and I would say comparably nice to Google’s tools. I am on a roll now, and pause……. I get an error page during the very end of the process. Too many questions; did my new i.d. take, or do I start over again? Do I just wait for something magic to happen? Is my campaign live? I reload the page to get the same error.

Well bugs happen, but such a large one on your main revenue stream? Three days later I get an email welcoming me to the ad service.

That my friends, is righteously bad after-marketing!

The problem is the message took so long to arrive, and the processes of enrolling was just uncomfortable enough that I am reluctant. The experiential side of their after-marketing was the problem. I haven’t given them too much of a chance to try their other after-marketing techniques on me.

This is similar to buying a new product, and receiving a terribly written manual to jump start your experience. If Yahoo exercised great after marketing in this one little area, they would have my measly cash, and others that maybe shared my experience.

After-marketing happens after the buy-in or sale.  Experience can also be categorized under aftermaketing.  Aftermarketing one of those things that helps retain customers if done well. A 5% decrease on customer desertion can lead to 25%-80% revenue gains, depending on your industry.

There is such a great marketing opportunity after your customer has bought in, and it can be wasted with a bad experience and poor planning, or a great one with opportunities to pitch upgrade services.

A colleague at work suggested I read The E-Myth . After picking it up Friday, I couldn’t stop thinking about it, and finished it Saturday. It’s on my top 5 for business, so far. Here is what I learned.
The E is for entrepreneur. The E myth, which Gerber goes on to dispel, says entrepreneurs are super-human. Only these heroes have the right to start businesses. Really what goes on in the rest of the book is a intro to business development. But that would have made a terribly boring title. What’s so exciting about business development? It’s the fact that you didn’t know you needed it.

Gerber first starts with a bit of psychology. Inside of everyone involved in business, there are three personalities:

• Entreprener – This is the dreamer
• Manager – Likes order and predictability
• Technician – Likes the art of the craft, the end product.

According to Gerber, most folks start small businesses because they are a good technician. Technician meaning anything technical; baking pies, programming, styling hair etc. . They make a faulty assumption:

The Fatal Assumption is: if you understand the technical work of the business, you understand a business that does that technical work. pg 13

A clear difference from a bird’s eye view, but this misunderstanding is the most common reason small businesses fail. Each of these personalities has a vital role. For example, you inner technician should be the master of the product, documenting exactly how to reproduce it. You inner manager should implement that system, and be consistent. Your inner entrepreneur should always ask, “what would the customer want?”, and not be contented until they have it.

The enigma with a start up happens after your first couple of employees, when you hand off management by abdication, not delegation. For some reason, the widgets have scratches on the, or they come unglued all the time. In other words, your employees aren’t doing as good as you did when you wore every hat. It only gets worse as you get a larger workforce, until you get so stressed, that you throw your hands up and go back to a one man shop.

So why are the big guys big? The big guys had systems in place to control and reproduce everything worth doing right. Everything! They had a system to teach every employee that process. See, every time you are getting something done, you have to think how can this be reproduced exactly right, thousands more times. A franchise mentality! This is a major shift in thinking for a technician. Many folks start businesses because they don’t want their lame incompetent boss directing their life. The problem is technicians aren’t good at running businesses. Managers and Entrepreneurs are, so you must give them space to work.

My favorite idea found in the E-Myth is not to create a business to work at, but create a business that works. Every piece of your business should be perfectly documented, and adhered too. It should provide a structure for employees to flourish, a “game” for them to play. They can flourish and earn rewards by following the rules. It’s a rule of thumb to document the position well enough for the lowest skilled employee can become great under it. Money saver!

There are more tasty morsels that I didn’t mention, and some good insight on what your system should look like. Worth a read if you ask me.