Navigating The Economy & Making Money

by Scott Howard | Jun 28, 2022 | Marketing and Advertising Insights, The Not-So-Secret Writings of ScLoHo, WOWO Fort Wayne Radio Advertising with Scott Howard

If you are listening to, watching, or reading all the doom and gloom stories in the news right now…

Stop It.

My friends, instead of getting swallowed up in the bad news of rising prices, staffing and supply chain shortages and whatever else we have going on in the political world, take a look around.

People are still buying stuff. It’s one of the reasons prices are going up. Not the only reason, but it’s the universal law of supply and demand.

I work in the media. Specifically as the General Sales Manager of the leading conservative talk radio station, I know our conservative talk show hosts point out how bad the liberals are and on TV at home I see the liberals talking about how bad the conservatives are. It’s the nature of what political commentators do… point out the bad stuff the other side is doing and ignore the good anyone is doing.

However people are still spending money and your job is to adapt your business model to help them buy from you.

We did it a couple years ago in 2020 when we were told to shelter in place and stay home to stop the spread of Covid. Our country has lived thru other challenging times and come out stronger on the other side. Wars, inflation, recessions, you name it, we’ve been thru it and those that adapt usually make it.

Here’s what I’m telling my advertising sales team to tell the businesses they work with…

You need to invite people to your business to spend money with you instead of pulling back and letting your competition scoop up all the customers.

Let’s put together an ad campaign and invite our listeners to spend with you.

It’s that simple.

No Short-Cuts

by Scott Howard | Jun 21, 2022 | Marketing and Advertising Insights, The Not-So-Secret Writings of ScLoHo, WOWO Fort Wayne Radio Advertising with Scott Howard

There is a simple formula in advertising that seems to be accepted by nearly anyone that hears it:

The Right Message, presented to the Right People, the Right Number of Times = Results.

Yep, it take into consideration three “right” things and promises to work if you get those three “rights” right.

However, most businesses fail at at least one of those “right” things, and that diminishes the outcome.

Let’s say you are a financial planner and you want to grow your business. The way most financial planners do this is by contacting all the friends and family they know and try and convince them to become their client. Then as time passes, they get referrals from those clients and over time, they grow.

If there was only a short-cut to grow faster…

There is, and that is to expand the number of people you are inviting to do business with you at a faster pace than the organic model I just mentioned.

This is where some paid advertising and marketing come in.

I know of one financial planner that will buy a list of potential clients from a service that gathers this information and then mails them invitations to a lunch or dinner where the meal is free but you have to sit through some form of sales pitch presentation. This used to work for some when it was introduced a couple of decades ago, but over time, the return on investment has been getting smaller.

The cost for one of these events is usually a few thousand dollars. Between buying the list of prospects, doing the mailing, the cost for the dinner and all the assorted costs of the presentation, it ads up. Then there is the follow up. A small percent sign up at the meal, some might become your customer after a few follow ups, but financial planners are given a formula that tells them when to quit pursuing a potential client and move on.

This so-called short-cut has plenty of short-comings, let’s look at some of them.

The messaging in the invite is a thinly veiled “bait and switch” tactic. The only reason it is legal is that the invite you recieve has plenty of disclosures printed on it and they do say you will learn about something financially related.

I wonder if this tactic is reaching the Right People? Years ago, I worked for a couple of radio stations that did live remote broadcasts at car dealers and gave away free pizza or hot dogs to listeners that came by. Most of those listeners were not able to afford the higher priced cars the dealers were trying to sell.

When you are giving away a steak dinner as an incentive for financial planning advice, who are you really going to attract? My guess is people without a lot to invest, or those who are looking for free stuff instead of value.

At the very beginning of a financial planners career, they invite people who know them to become their clients and those that do are doing it because they TRUST the financial planner.

Trust is the missing ingredient at these financial planner dinner schemes.

Trust has to be earned. There are no short-cuts.

How do you earn trust?

Let’s look at that formula again and this time the focus is on the Right Number of Times.

Assume you’ve got an appropriate message and a way to target it to the Right People that are your ideal clients and customers.

The Right Number of Times an individual person is exposed to your offer is essentially the number of times it takes for that individual to Trust you and your business enough to spend with you.

This month, we had a Financial Planner come to us at WOWO radio and he wants to grow a become as well known and successful as our most well-known Financial Planners. We were upfront and told him that it could cost him well over $100,000 per year, maybe double that to rise to the ranks of those he mentioned.

Why so much money? To big in the big leagues, you need to compete with enough right messages to reach and those numbers are what is working. We did offer another option which is closer to $25,000 per year to get started that is very specifically targeted.

However, when we met again and he gave us a starting budget of under $5000 per year, we almost told him no.

I can’t offer him what he wants for that small of an investment. His proposal to us was to spread out his messages each month and try and reach different people all month long. I’m not sure how he got that idea, but it is the exact opposite of what he needs to do. I asked him if he is willing to wait a year for his first potential client to contact him. (Yes, he might get it sooner than 12 months, but that’s just being hopeful and I prefer a plan over hope.)

When we meet again, we will offer him the opportunity to spend the budget he has given us to work with, but to do it wisely with a plan that will help him establish name recognition and trust with a group of our WOWO listeners that listen “when it’s dark outside”. If he accepts, his ads will air late at night and overnight where the price for ads is low enough for him to get the right number of messages every month, not just over a year or longer.

No short-cuts to success is a lesson we all need to learn for all areas of our lives. Also, if your Plan A is impossible, look for a Plan B, or C. And finally,

The Right Message, presented to the Right People, the Right Number of Times = Results is a good rule to start with.

You Can Only Coast Downhill

by Scott Howard | Jun 14, 2022 | Marketing and Advertising Insights, The Not-So-Secret Writings of ScLoHo, WOWO Fort Wayne Radio Advertising with Scott Howard

What are you doing to build your business right now?

It’s a question I ask when I am in front of a business owner.

Sadly, many don’t have a plan.

Or some are afraid of what the future might hold and they are behaving very cautiously.

Too cautious I dare to say.

“Oh, we’re going to take a few months off from advertising and see what happens”, is something I hear by many.

Good luck with that I say. Sometimes I say it to their face. Sometimes I say it to myself and write them off.

We are going thru a time of uncertainty that some of you are experiencing for the very first time. However there is plenty of history in the recent past that points to a positive outcome for those who are willing to step out instead of retreat.

About 14 years ago, in 2008 our economy was seeing economic collapse that created panic and downturns that were just as scary to the casual observer. For years, lenders were taking us down a path that was going to create a crash, and basically in 2008, it all came crumbling down. In a nutshell, lenders had been told to make it easier for people to buy a house. Sub-prime loans were a part of this along with no-doc mortgages.

I saw first hand how the no-doc mortgage loan was abused. I had a client that was running a mortgage company and we were supposed to meet about 1 o’clock one afternoon in 2008. I got to his office before he returned from lunch and overheard one of his mortgage guys reviewing an application with a client over the phone. As their customer told them their monthly income, the mortgage guy said, we’re going to bump that up so we can get you a lower interest rate.

Afterward, I spoke to the owner of the mortgage company about what I heard and he told me that was common practice now since they didn’t need to provide any documentation to back up the figures they were putting on the loan applications. Also they could get people into bigger, more expensive homes this way and the mortgage lender would make more money without risk because they were just a broker and these questionable loans were sold off and he had no liability as the mortgage broker.

I decided not to renew his advertising contract when it expired a few weeks later because I had a gut feeling that this was not right and I didn’t want my radio listeners to be taken advantage off by this company that was putting people’s finances in jeopardy in this manner.

When things took a crash in 2009, this guy’s mortgage company went out of business. That was a good thing.

There were other companies that went under back then but it wasn’t because they were crooked. Many of them did what I see going on right now and they decided to be conservative and act like a scared turtle and hide in their shell, waiting for things to get better.

They decided to coast for awhile.

Problem is, you can only coast downhill.

Sure if you have enough momentum you will continue to be fine for a bit.

But if you stop inviting people to do business with you, eventually they will stop doing business with you.

And that’s all that advertising really is… a paid invitation from you and your company to potential customers to consider you when they are going to buy.

Some of your best customers will eventually decrease their spending or stop. It may have nothing to do with you, just circumstances in their life. For this reason alone, the average business will need to replace 20% of last years customers with brand new customers just to stay even.

That 20% number fluctuates greatly depending on the type of business you are in.

We have roofers advertising on my radio station that offer lifetime warranties. That means they will never be able to sell that customer another roof until the customer moves to a new house. Roofers like that have to replace nearly 100% of their customers every year!

Besides the business owners that say they are going to coast for awhile, there are others that are in the start-up or growth phase of their business plan and those are going to advertise. They are going to earn the trust of your potential customers now and once a consumer buys from someone else, they are out of the market to buy from you.

I actually don’t mind the fact that some businesses are going to coast for now because it makes room for those that want to grow and those are the ones me and my team enjoy working with.

I’ll boil it down to this:

If you want to grow, contact me.

If you are considering coasting, contact me and we’ll continue this discussion.

If you have already made up your mind to pull back and coast, thank you for making it easier for your competition that I’ll be working with to take your place.

More Powerful Than Digital Advertising

by Scott Howard | Apr 5, 2022 | Marketing and Advertising Insights, The Not-So-Secret Writings of ScLoHo, WOWO Fort Wayne Radio Advertising with Scott Howard

Over the past couple of decades, the biggest growth in advertising expenditures has been digital. I’m talking about nearly anything online, from websites, to apps, to Google ads, Social Media Ads, all of it together has consistently seen growth in the double digits, percentage wise.

This is a good thing, by the way. Technology is always evolving and automating tasks… that help us be more productive. Our company just upgraded our CRM system this year from an older, non-intuitive software system to one that was designed specifically for our business.

As we learn to use and trust new tech, we might think that it can replace nearly everything that people used to do.

However, you and I are still people and we still use Human Relationship Principles in our daily lives.

Sure, I mostly trust my digital tech to pay bills and order a pizza, but when it comes to picking a dentist, I want another human being’s input, not just a techy.

The Trust Factor.

It is one of the most important elements of being human.

A recently released study from MarketingCharts.com says that Word Of Mouth Beats Websites, and they also list a few other ways to spread the word.

Word of Mouth has nearly DOUBLE the Trust Factor over branded websites.

Word of Mouth more than DOUBLE’s the Trust Factor on online consumer reviews.

What if there was a way to take the power of Word of Mouth and make it spread faster than just me telling my friend one at a time?

There is.

I’m referring to something I’ve referred to as “Word of Mouth with a Bigger Mouth” It’s my radio station. WOWO, nearly 100 years old and the most powerful Word of Mouth vehicle in Northeast Indiana.

With over 30 radio stations, WOWO is the biggest Talk Radio Station with over 100,000 weekly listeners.

A news/talk format with local hosts and newscasters is a trust machine. Thousands tune in every morning to WOWO for news, weather, sports and current events. Our two local hosts, Pat Miller in the afternoon and Kayla Blakeslee in the morning do the ultimate Word of Mouth endorsement for a select few advertising partners on WOWO and the results speak for themselves.

We actually have a waiting list of businesses that would like to have Kayla or Pat’s endorsement because they will only endorse one business per business category.

This Word Of Mouth with a Bigger Mouth on WOWO reaches tens of thousands of consumers each day. If you are in the WOWO-land listening area and want to know more, contact me. Scott@WOWO.com

The Trust Factor

by Scott Howard | Feb 15, 2022 | Marketing and Advertising Insights, ScLoHo's Collective Wisdom, The Not-So-Secret Writings of ScLoHo, WOWO Fort Wayne Radio Advertising with Scott Howard

A couple of Thursday mornings ago, a couple things happened before 8am.

An email from Insider Radio that included the headline:

Americans May Love Social Media, But Survey Finds It’s Radio That They Trust.

Also it was the beginning of day 2 of a weather-induced work from home day as our area was getting non-stop snow with predictions of well over 15 inches which becomes much more severe when the winds kick in and “drifts up to 4 feet” were predicted by the national weather service.

(I heard that prediction listening to my local news/talk radio station WOWO.) We ended up with a little less and by Friday, I was back at the office and by Monday most of the rest of the city was back to normal.

Social Media has been the darling media that normal Joe’s and Jill’s turned to for communication to the masses. What began with MySpace and then Facebook, Twitter, Snapchat, Instagram and numerous others became the bright and shiny new place for advertisers to run ads. Promises of “hundreds of people for mere pennies” and “trackable results” along with “targeted ads that produce less waste” were all made and continue to be made.

To which I can say, not really.

Look, I am speaking from a multitude of perspectives. Yes, I’ve spent the majority of my career in radio. However a couple of times I worked full-time in the online world. First time was 2011 when I anticipated never returning to radio and instead I was highly immersed in the digital world where we crafted websites that were built to convert traffic into sales. We looked at, what appeared to be heat-map technology and a deep dive into analytics to design websites that improved the UX or User Experience and so I know how that is done and not just the technology but psychology behind it all.

I also worked full-time for a multi-million dollar world-wide company that transitioned from a print catalog sales model to an e-commerce based outfit. I was one of a half dozen specialists in the Internet Marketing Department and my chief role was Social Media for our multiple brands.

Then there is my own personal success story of creating an online following and connections with the ScLoHo brand identity, so I am a believer in the power of online and if you and your business can’t be found online… well you simply don’t exist. Get your company a website now. Claim your social media profiles for you and your company. LinkedIn, Facebook, Instagram at the bare minimum.

However, if that is all you do, the online stuff, you are being short sighted and leaving yourself very vulnerable.

It was just announced that Facebook actually lost members recently. That’s right the biggest Social Media company in the universe, saw a decline.

But that’s not the real reason you are vulnerable. It has to do with the Trust factor.

A dozen years ago I was giving a presentation to students at Huntington University and part of the discussion demonstrated the good stuff that was happening on Facebook. I used the example of my friend Heather who was looking for a new dentist for her family and so she asked for recommendations. Dozens of friends responded with both recommended dentists and a few to avoid. This was modern day word-of-mouth and crowd-sourcing done on a personal level.

However when companies tried to tap into the social networks by running ads, it just wasn’t the same. It was an advertisement, not a personal recommendation. Like so many other forms of advertising, except it started to become annoying because all we wanted to do was see what was going on with our friends and family and instead we were being served ads every few posts on our newsfeeds. I just took a look at my Facebook newsfeed and of the first dozen posts, numbers 2, 7 and 11 were ads.

Another factor creating distrust in Social Media is the political climate for the past several years. I think it has intensified online when we were limited in our ability to gather in-person due to pandemic restrictions.

Here are some quotes from the story I referred to at the beginning of our talk today:

A new MRI-Simmons survey finds that nearly two-thirds of Americans say radio is either “very trustworthy” or “trustworthy” with radio topping every other media type other than newspaper – trailing by a mere one percent difference.

Also:

More than twice as many adults consider radio trustworthy compared to social media. When it comes to fake news, it seems Americans have concluded it is not traditional media outlets that are the source, but rather online media options.

And finally:

In its analysis, Katz says the MRI-Simmons research shows why radio is an “ideal platform” for advertisers looking to make their voice heard and their message count. “Radio is a trusted environment with vested local connections to consumers across demographics, and all types of media users,” it says, adding, “Radio provides the best chance for messaging to break through, resonate, and not be mistrusted by consumers.”

Contact me for more information and insight.

The Giving Time of the Year

by Scott Howard | Dec 7, 2021 | Really? The Personal ScLoHo, ScLoHo's Fort Wayne, The Not-So-Secret Writings of ScLoHo, WOWO Fort Wayne Radio Advertising with Scott Howard

Blessed to be a blessing is a phrase I heard a long time ago and right now I see a lot of it going on.

It’s a quiet Sunday afternoon as I compose these words for this weeks featured article on my website and podcast and I’m thinking about a multitude of things.

It’s now been 8 full years that I’ve worked for WOWO Radio, the first 6 as one of the Advertising Account Executives and for close to 2 years, as the General Sales Manager.

I grew up with WOWO, as thousands of others did too. In 2025 WOWO will turn 100 years old and when people hear I work at WOWO, nearly everyone has a story about WOWO to tell me.

It happened a few times this past Friday during the All American Stores #PumpForPennyPitch event.

But please, this is not about me, it’s just my personal story and the impact that WOWO and our listeners and our airstaff and all the supporting players have at this time of year.

Look, I started working in radio as a teenager and worked for our parent company, Federated Media in my 20’s, on the air at WMEE. WOWO was not owned by Federated Media back then, so while I’ve worked for our company a couple of times, it’s just been the past 8 years that I’ve worked for WOWO.

In between, I worked for other radio stations and some of them would do something nice around the Christmas Holidays for listeners.

But what struck me during my first week here in December 2013, was something that occured on a Friday afternoon when we were having our annual #PumpForPennyPitch event. I saw how at other stations, they gave cash and prizes away to listeners as an extra incentive for them to listen. But at WOWO, it was the listeners who were giving their cash to help others in the community.

The contrast, stuck with me and now every year, I make a point to come out and support our on air staff during the Penny Pitch events that occur over a 4 week period this time of year.

This year we kicked things off with a live broadcast of Christmas On Broadway and the lighting of the 40 foot Christmas tree on November 19th. Over 4000 people came to the event hosted by Steve Shine and it was our first opportunity for people to give to Penny Pitch this year.

Penny Pitch has been around for over 70 years and began when WOWO radio personalities Bob Sievers and Jay Gould received a letter requesting funds to purchase a special typewriter for a handicapped boy and they in turn asked for listeners to contribute their pennies. Penny Pitch evolved from helping individuals to helping local organizations that in turn help individuals.

My first Penny Pitch in 2013 was for the benefit of Turnstone, a local organization that wanted to raise funds to build ramps for handicapped individuals would needed them at their homes. I got to talk to Nancy, their CEO at the time along with some of the listeners who gave and hear the stories. As you can imagine, it was eye-opening.

Every year a different local charity is selected by the Penny Pitch Board of Directors. This is my second year serving on the board and it is not easy selecting from the numerous charities that apply.

The 2nd event each year to raise funds for Penny Pitch is the Bob Chase Memorial Hockey Game played on Thanksgiving evening at the Memorial Coliseum with our world famous Fort Wayne Komets Hockey team. WOWO and the Komets have a 60 year history together and the late Bob Chase was the voice of the Komets on WOWO until he passed away just a couple of years ago.

Event #3 is the gas station event that took place on Friday. We actually had it at 3 different All American stores in the area including on Lima Road on the Northwest side of Fort Wayne, just east of Fort Wayne at the All American store in New Haven and our live broadcast of the Pat Miller Program from 3 to 6 was at the Ossian All American store, just south of Fort Wayne. I decided to visit all three locations and got to talk with listeners and donors.

This coming Thursday and Friday is our big grand finale radio-thon for Penny Pitch. Both days, December 9th and 10th, our two local shows, Fort Wayne’s Morning News with Kayla Blakeslee and the Pat Miller Program will be broadcasting live from Sweetwater Sound, just like we did last year. Four hours in the morning and 3 in the afternoon each day with nearly all the program content focused on this years Penny Pitch recipient charity, the local Gigi’s Playhouse that needs to raise over $80,000 to purchase transportation to expand the services they provide as a downs syndrome achievement center. I bet we raise over $100,000 this year from our listeners.

When I titled this piece The Giving Time of Year, I know that WOWO listeners who can give a few cents will give again this year, just like the donors who give much bigger amounts. If you want to join them, here’s a direct link to give online: https://pennypitch.ejoinme.org/donate2021

Or perhaps you have other organizations you support. Perhaps it’s individuals that you give to.

All of us have something to give; time, money, an encouraging word, let’s all participate and you too will be Blessed to be a Blessing

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