Qwikster, New Coke and Big Fat Marketing Egos

Netflix's Reed Hastings has fallen on his knees again, begging for forgiveness. No need to rehash this news from yesterday's Netflix blog. This might be a good time to put the cement overshoes on his marketing consigliere, though. Someone's corporate ego is in the way big time.

I hear from NPR that the finance side might have been a big reason for these twin black eyes for Netflix. On the one hand, raising prices is bad enough. But not understanding the needs of your consumer and how they interface with your revenues is deadly. Here's a cycle not to repeat: double your price, say I'm sorry and we're going to make you do twice as much work to consume our service and then mea culpa, we didn't understand you used our service to simplify your life and entertainment choices.

I'm old enough to remember "New Coke" and it's a case study in wrongly-done marketing in courses and graduate schools around the country. It seems like such common sense now, but back in the day this was big fat marketing egos gone wild. Despite the Coca-Cola Company's spin (read this!), "New Coke" was a try that failed in the most public way. It cost a bunch of money and generated much negative press and consumer confusion. Even today, it is shorthand in the marketing profession for a really bad marketing decision.

OK, nobody's perfect. But we all can use a little humility. What are you doing to make sure big, fat marketing egos don't get in the way of your integrated marketing communications programs with ill-conceived strategems like market share warfare and illogical service spin-offs?

More reading:

Qwikster – Biggest Marketing Blunder since New Coke

Mobile Is Now How Content Gets Shared

Go Popcorn (@GoPopcorn) is the source of this very interesting graphic, which details the fast growing influence of mobile platforms on social content sharing activity. Here's a slice of activity that's just 60 seconds long.

Motivating Lawyers in Business Development

It's amazing what you can learn for a $35 lunch at the LMA Virginias Chapter. Below you will find my first followup to the earlier post on Deb Knupp and Megan McKeon's program in July, also posted at the Virginias Chapter blog.

Business development coaching is about motivators. Motivators can be carrots (recognition, compensation) or sticks (management, peer pressure), but everything boils down to what’s in it for the lawyer. Methods of motivation include training (what is it I need to do), coaching (how do I perform business development) and encouragement (where is my support).

Business development for any lawyer, says Deb, revolves around three truths:

1. Knowing his target market – what’s a good fit so he can concentrate on catching only the clients he wants
2. Building authentic relationships – she must focus on mutuality, trust, frequency and sincerity
3. Solving problems that should be solved – even when self-interest must be suspended

Simply, the keys are being focused, making friends and solving problems. Akina sees the business development cycle in six phases, which they call the Revenue Acceleration Framework. It describes three preparation phases that Deb likened to “taping the room” before you paint; necessary, but definitely not the exciting part.

 One of the principles in these phases that served as a light bulb moment for me was the deliberate segmentation of a target market. In the Akina approach, as Megan and Deb outlined it, a lawyer makes a list of their top 20-40 contacts. These must fall within three types: prospects (contacts who buy legal services), connectors (contacts who know and refer people who buy legal services) and allies (contacts who can co-market legal services). Further segmentation sets a “priority” level: A= definite prospects/clients; B=not sure about the contact’s value; and C=completely unknown value. This matrix puts the highest value contacts at the fore, but also defines concurrent work to understand the business development benefit of the additional relationships. Thus begins a process resembling “dating”, according to our speakers.

Despite the mechanical nature of the description, Deb insisted the purpose of the exercise is to “share the love.” And for the next phase, a lawyer must discern what these contacts need to know. She and Megan had some suggestions about messaging.

In training lawyers on the proper message to deliver, Deb works in two areas. The “quick pitch” (“elevator speech”) is the answer to the ubiquitous question “What do you do?” Deb arranges the answer like this: the problem I solve for whom. Diagrammed another way the answer is “I [verb] [target market] [problem solved].”

The “follow up” is also the familiar question, “What’s new?” This answer can be broader, but should show some relation to 1) current events (ie. specific news), 2) a current project (either business or personal) or 3) looking forward (what’s on the horizon). Deb even handed out a worksheet to outline these areas in more detail, where the lawyer can note the possible answer to “What’s new?” so they enter a relationship activity prepared.

That’s what’s new with me. What’s new with you?