Radio versus Social Media

Radio versus Social Media

For the past few years, President Donald Trump has called the major news media Fake News. Meanwhile the commentators on the networks and news organization he calls Fake, call the Presidents favorite channel Fake News.  I’m not about to dive into a political rabbit hole but this is just one example of how we as consumers have been losing trust in the long standing traditional news media, no matter what side you are on, there’s someone on the other side that will say, you’re wrong and they are right.

What led to this widespread division is not just what the news organizations are doing, but the availability for anyone and everyone to become their own “media”.  I’m talking about Social Media.

We can forget about Tom and MySpace which was the forerunner to Facebook.  MySpace is still around but Tom skipped town.

Facebook is attempting to take over the world, still but in light of what they have been doing with data collection and arguing over their legal liabilities, Facebook is losing ground when it comes to Trust. 

I just read a story that summarized findings of a survey taken this summer by Engagement Labs that points out how badly the trust factor in Social Media has fallen this year.  How bad is it?  “Facebook down 56%, Instagram down 38% and Twitter down 140%”

Yikes.

Now before I go any further with sharing the results from this story, I want you to know where I am coming from.  Since 2003 I have worked exclusively in the marketing world.  8 years at a group of radio stations, followed by some shorter positions working for a website development company that specialized in marketing solutions, another several months back in radio, followed by nearly a year as the “Social Media Magician” at an ecommerce company before I returned to radio again in 2013.  

The ScLoHo brand came about due to my online activity I was doing 15 years ago.  I have lived in both social and online media along with traditional media for a long time and I know the strengths and weaknesses of all of it.  The company I work for has a digital division and I can probably out debate anyone on the pros and cons of all this. 

Back to this story and survey from this summer…

A new survey of radio listeners finds their trust in radio and its personalities continues to grow as social media has become far less trustworthy during the past year. Conducted by data and analytics firm Engagement Labs and commissioned by iHeartMedia, the study shows listeners ages 18-69 place higher trust in radio than in television or social media and that 79% of respondents said radio is more or just as trustworthy compared to a year ago while social media is 50% less trustworthy during the same time period.

Here’s more specific numbers:

Among radio listeners 18-69, the survey found 75% trust radio, 66% trust television, 57% trust websites, 38% trust Twitter and 37% trust Facebook.

My radio station, WOWO Radio is a news/talk formated station and I just received data relating to our listenership and the trust factor that I’ll share in a few weeks.

One more quote from this story:

The survey also found that an overwhelming majority of respondents indicated that radio improves their mood, helps them feel less isolated and more connected to their community. More than three-fourth of respondents (77%) trust the information they receive from their favorite on-air hosts. In addition, heavy radio listeners were found to wield robust word of mouth power for advertisers, having more brand conversations and more influence than heavy internet users and TV viewers.

It’s that last part, the robust word of mouth power for advertisers that I’ll gladly talk to you about specifically with regards to WOWO radio if you reach out to me and I’ll also be including that information in an upcoming article and podcast.

 

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Preparing For the ReOpening

Preparing For the ReOpening

Most of America has been on lock-down for awhile.

#StayAtHome orders and #SocialDistancing along with the reminders to #WashYourHands have impacted our lives forever.

While we are all experiencing the same Coronavirus pandemic around the globe, we are all experiencing the affects on our lives differently.

I have two clients, both in the same industry that had two very dissimilar stories.  One initially laid off about a third of their team.  It was heartbreaking they told me, they’ve never had to do that before.  When I checked it with them last week however, they brought back everyone who wanted to come back due to the funding available with the legislation that was passed to help small businesses and their quick action to get approval for the funds.

The other client, in the same business, didn’t lay off anyone.  They simply switched their focus and kept everyone busy.

Then there’s the story of two of my favorite local eateries that my wife and I visit weekly.  At least we did when we were allowed to dine inside.

One of them, the Firefly originally closed for two weeks.  But then they got creative and started selling some of their baked goods for a couple of predetermined hours on the weekend.  We bought some bagels the first time, and just a few days ago they were selling their famous biscuits and gravy to go along with a whole host of other baked goods.  They started with curb-side service and now they actually have created an online store so I can order and pay ahead.  What really caught my attention was that the owners were giving all the revenue to the staff that were temporarily laid off.

The other place, Welch’s has been closed for over a month now.  The 3 main staff that we see nearly every weekend have been busy creating shutdown videos which they post everyday on Facebook.  I don’t know the details of what’s going on behind the scenes, but again, this is  reminder of some of the differences two similar businesses are experiencing.

On the employee side, some people are facing the challenges of two parents working from home with kids also at home and I’ve seen the challenges and stress this scenario creates.  There are people collecting unemployment who were suddenly laid off and now are going stir-crazy in their apartments and houses.  There are also people who were told to keep working but had their pay cut and already were living paycheck to paycheck.

As each state slowly reopens as they lift or change the Stay At Home orders, we are going to see a very different economy than we were experiencing 3 or 4  months ago.

Both consumers and the business world has been forming new habits, new routines, new experiences.

What will you be doing differently as a business owner?

What will you be doing differently as an employee?

What will you be doing differently as a consumer?

What will you be doing differently as a human being?

Next week, I’m going to remind you of some timeless truths that must be remembered when we reopen.

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Forget Plan B, It’s Time for Plan C

Forget Plan B, It’s Time for Plan C

An Opportunity to Evolve…Create a Category

When life gives you lemons, make lemonade.”

Right now, lemons are definitely being thrown at many businesses.  Are you open to making a different kind of lemonade?

Just a few short months ago, at the beginning of December 2019, I wrote and published an article and podcast with the title, What’s Your Plan B?

Not that I was foreseeing the future, I just knew that the spiraling success of economic growth and consumer confidence would one day have a flip-side and you better start getting prepared.

If you created a Plan B for your business operations, congratulations.

However now it’s time for Plan C. Yes, you may be working thru a Plan Coronavirus or Plan Covid-19 or whatever nickname you want to use for the here and now.  Also the Plan C I’m talking about has nothing to do with Medicare supplements or abortion pills.

But this Plan C is taking the past Plan A when everything was great, mixing in your Plan B which was designed for an economic slowdown, adding in the things we are learning each day in the middle of this pandemic and how we are adapting and creating a new recipe for success that we’ll call Plan C.  If you pretend we can just go back to Plan A when the stay at home restrictions are lifted, you are wrong.

If you simply put your Plan B into action, you are missing out on some of the great things that we are learning in the middle of this history lesson.  Here’s more timeless tips from my most recent Sound ADvice newsletter:

For many business owners, this is a perfect time to re-evaluate their business and potentially re-position their company.  What is it that you’re currently “known for”?  Are you known for having the lowest prices, best selection, highest quality, the fastest service? Or, are you not really known for anything specific.  Is there something different that you would like to be “known for”?

If you are looking to re-position your business, NOW is a perfect time to start planning and potentially implementing your NEW position. Many brands have been born during or immediately following a major crisis!

Do we really believe that a business can consistently offer the highest quality and the lowest price?

Many marketers make the mistake of trying to be all things to all people. Consumers’ minds won’t allow a business to own both the quality position and the discount position.

Very often the position you own is not that of a particular product or service, but rather it is an experience or demographic.

For example, Michelin doesn’t own the tire category, they own safety, while Pirelli owns the performance experience. Both come with a higher price tag and both have plenty of consumers who value their product.

GEICO doesn’t own the insurance category, they own “saving you time and money”.  They never speak to how well they pay claims.  On the other hand, if you want an insurance company that you are confident will pay your claims, even the crazy ones, you’re more inclined to lean toward Farmers Insurance. “They know a thing or two because they’ve seen a thing or two”.

In their groundbreaking book, The 22 Immutable Laws of Marketing, Al Reis and Jack Trout state law #2 as: “If you can’t be first in a category, create a category you can be first in”.

Through marketing and advertising, a business can create its own niche or demographic category.

Unfortunately, or fortunately, depending upon whether you want lemons or lemonade, now is a good time for many of us to re-evaluate the position your business holds in the minds of your customers, potential customers, and your community.

Former Chicago Mayor, Rahm Emanuel, said this about a crisis, “You never want a serious crisis to go to waste. And what I mean by that is an opportunity to do things that you think you could not do before.”

Being known for something specific is far more profitable than trying to be all things to all people!

If you’re looking to create a category you can own, click here to see The 22 Immutable Laws of Marketing.  If you’d like to further discuss creating a category for your business to own, contact me.  Also subscribe to my weekly Sound ADvice business tips and marketing email newsletter by filling out the form below.

Stay Safe – Stay Healthy – Stay Strong!

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What’s Your Plan B?

What’s Your Plan B?

If what you are doing is working for you, fantastic and congratulations.

I want to know more about your story of success.

Sometime in our conversation I also want to know, “What is your Plan B?”

For those of you who answer, “What do you mean, I don’t need a Plan B, I’m a success!”  You might want to listen up.

Some of you are a success and you don’t even have a Plan A.  Things just fell into place.  It was a combination of hard work, luck, and timing that put you and your company on the success track you are enjoying right now.

Honestly, that is how most companies start out.  Some trial and error and sticking with the stuff that works while you set aside the stuff that didn’t work.  It’s okay that you didn’t have a gameplan, blueprint or what ever you want to call it, you made it work.

The reality is that one day, the economic forces that are in place now will change and unless you adapt, your success can become a failure.

Take some time now to document what enabled you to grow and succeed.  Include the stuff that didn’t work out as well as the stuff that did. This exercise is what I call creating your Plan A with hindsight.

The reasons for creating this are multiple.

First off, for your own sake, you will probably discover that some of the trial and errors from your earlier days that resulted in discarded ideas… those ideas may have been premature.  Perhaps you had a concept that wasn’t feasible at the time, but with advances in technology or consumer behavior changes or some other factor, those ideas might be worth revisiting in the future.

Next, it’s important to preserve some of the history for future generations. There’s a theory about the 3rd generation of a family business that I’ve seen happen multiple times.  Here’s how it goes:

The first generation, the ones that started with nothing and worked their tails off day and night to create a successful business are the ones that pass that work ethic and understanding of what it takes to the second generation.

The second generation grew up in the business, they were there when their parents were putting in the work and as kids, they too were involved in the business perhaps mopping the floors or sorting papers or something and then as they got older they took on more and more responsibilities in the family business.  The 2nd generation didn’t suffer through the hardships of the 1st generation in the same way because they were still kids and not yet adults. But the second generation did see the efforts and actions of their parents first hand and sought to preserve those winning principles when they took over the business.

The third generation, well sorry but they are the ones that are likely to ruin the company if it has survived this long. Third generation is the grandkids of the founders of the company.  They are the ones whose lives and lifestyle are the result of the hard work of their parents and grandparents who wanted to create a better life for their kids.

Third generation business owners are not aware of the work that created the wealth and prosperity that they grew up with and so their attitude is not the same as their grandparents 50 years previous.  The first generation may have had to put in 100 hours every week into trying to stay afloat at first, while the third generation may be trying to live the 4 hour work week lifestyle.  Sometimes the third generation will attempt to make improvements in the company and end up harming the company because they don’t understand the big picture of how it became a success.  For them, the family business was always a success.

What I just described is not true of all businesses that last through multiple generations, but I have seen it way too often.  By writing down your Plan A in hindsight, you have created something that can help future generations.

If your business is less than 15 years old or less than 20 years old, your business hasn’t had to weather the economic changes that are beyond your control.  If you are a success now, in times of economic growth, you are living your Plan A.  One day, you will need a Plan B because the economic factors will change. 

When I returned to the radio advertising business in 2003, we were 5 years away from the 2008 recession that upended our country in so many ways.  We saw companies lay off staff, we saw people lose their homes, we saw job opportunities disappear.   I saw businesses fold because they didn’t have a Plan B.

Fortunately the company I worked for at the time already put their Plan B into action a couple years before the economy went downhill. We reorganized our team and work in 2006 so when 2008 came we didn’t have any lay offs, we actually grew. 

That’s the other reason to have a Plan B now. There are probably some aspects of your business that you would need to take a hard look at their worth and value to your company if you were faced with a downturn.  When you have a Plan B in place, you can actually start implementing it now instead of waiting.

A few more random items in support of having a Plan B:

Between 30% and 50% of the new jobs available in the year 2030, don’t even exist today. This is due in part to the rapid advances in technology and that impacts all of us.

The population shift as the largest generation, the Baby Boomers leave the workforce. Many are living 20 or more years beyond retirement.  How many are retiring? 10,000 a day. Do the math on that and we see up over 3 and a half million people leaving the workforce each year which over by 2030 ads up to around 35 million Baby Boomers that are working right now, that will no longer be in the workforce.  The number of people entering the workforce is less than those leaving so changes will occur and that will have an impact for your business to consider when creating your Plan B.

Let me wrap this up with a bit of insight I observed from the 2008 recession.  Companies that aren’t prepared will look for ways to save money by cutting costs and often they cut the wrong things.  Advertising and Marketing  is the wrong thing to cut.  Those companies that cut their ad budgets stopped inviting people to spend money with them and eventually went out of business because they had no customers.  Those that had a Plan B and continued to invest in advertising and marketing, reaped the rewards.  Advertising and marketing was a required part of their Plan B.

What are you going to do?  Are you prepared to create your Plan B?  Do you need insight from someone who has guided others?  Let’s talk. Contact me.

 

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Digital Burnout

Digital Burnout

Do you ever get annoyed at advertising?

I did an informal and unscientific poll of friends and strangers recently and discovered that the answer is Yes.

This is nothing new.  As long as there have been advertising, there are reasons for people to dislike it.

Music radio stations that play too many commercials in a row, that’s an annoyance.

TV ads that are just plain awful, usually it’s the locally produced ones that look and sound bad.

In the digital world there are a couple of irritants I discovered too.

One is the number of times we are shown an ad when we are online.

There is a practice called remarketing that is as old as digital advertising, that is part of the culprit.

When you visit a website, it places a tracking pixel, or “cookie” on your computer and adds you to their database of website visitors.

Then when you are visiting other websites, you start seeing ads from that website you just visited.  The reason is statistics tell us less than 10% of us buy the first time we visit a website.  So to remind you of that website you were visiting and the stuff you may have bought but 90% of the time, the stuff you didn’t buy, these ads that follow you around online.

It’s a neat concept from a marketing standpoint but it has become an irritant. A recent survey said that if you are still sending ads to people who visited your website a week after they were there, you are annoying 85% of the people you are trying to convert to customers.

Nearly half only want to see your ads for 24 hours and after a couple of days, you are just creating a bad vibe for your company.

One company has taken this seriously.

Proctor and Gamble which spends between 6 and 7 billion dollars a year in advertising announced this summer that going forward, they are reducing the number of times a consumer sees the same digital ad.

I know that there are multiple ways to track our online actions and one that seems to be missing involves connecting the dots between visiting a website and making a purchase.

If the digital marketers could get an alert when we make a purchase so they stop bombarding us with ads that are wasted, because we already spent our money on what you are still trying to sell us, everyone would be happier.

I know the technology is out there to do this, it just needs to be implemented.

If you are currently doing or are considering digital ads, talk to me first.  There are better ways to invite people to become your customers and buy your stuff without annoying them to death.  Drop me a note Scott@WOWO.com.

By the way, you can subscribe to this weekly ScLoHo Media and Marketing Article update that I share on my website, you can also subscribe to the podcast version which is pretty much the same weekly content that you can listen to in 10 minutes or less.  I also have a separate email business tips newsletter called Sound ADvice that you can get by filling in the information in the box below.  All free and yours just for the asking!

 

 

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