Radio Doesn’t Work

Posted on May 9, 2013 by Ray Massie

This is a true story. I was on a call recently and I wanted to share it. The names and business have been changed to protect the identity.

The client was adamant. Radio simply did not work for his business. It’s not the first time I’ve heard that of course. In this case, the client had a somewhat non-essential product that retailed for between $250-$400.

I believe in radio and our ability to solve problems. I love a challenge like this. So here’s what happened next.

I asked the client if he would allow me to do a promotion for him to prove radio. If I could prove radio worked, he would agree to buy a year long schedule for a certain amount.

He was listening.

I offered to trade advertising for 5 of his items at full value. And I would run a promotion telling listeners that on Thursday two weeks from now, they could win one of the items simply by listening to the radio station and calling when asked.

There’s was just one twist.

I’d arrange for the calls to come to the business rather than the radio station.

So for two weeks I would promote the idea Thursday May 23rd, you could win a $500 piece of gear. I’d spend my own money and air time to promote it. All the client had to do was answer the phone on the appointed day and take the orders.

“But, but,” he sputtered, “I can’t handle that kind of volume of calls. What happens when I’ve given away the five items? I don’t have the people to handle all that. There will be hundreds of calls”

First, I replied, you should have some kind of deal mechanism in place, so when you have made 5 winning customers happy, that will get people to come in for a special deal at your store they could have only received by calling you. Maybe capture names and phone numbers because you know they are calling and have a need for your product.

Secondly, though, I’m confused.

I thought you said radio didn’t work.

Really is a true story and one that points out a problem. Buyers move through the stages of the buying cycle everyday. .

You can run a very effective radio campaign on most radio stations in Billings for between $16.67 and $23.95 a day. If your message doesn’t move them to action now, it might simply be they aren’t in the market for your product. Not that your media choice doesn’t work.

Social Media’s Epic Marketing Failure

Posted on April 25, 2013 by Ray Massie

Let’s be honest about social media. It’s a great tool for people to talk to each other. Lawyers and police love it for the great trail of data it leaves when they are putting their cases together for prosecution. Marketers love it because its low or no cost. They think they are doing something when they use social media.

As a news outlet, it is not much better than the “telephone” game we used to play as a kid. As a marketing venue, it certainly does a good job of reaching the already converted and committed.

But social media’s marketing failure is much greater than its news failure. It diverts resources that could be used to help a business grow. It counts things that don’t matter at the risk of those that do.

Most of all, it violates one of the tenants of all marketing.

It doesn’t get attention.

Remember, attention, interest, desire, action? AIDA. The description of how people move through a marketing channel has changed little in the past 100 years. McKinney tried to “reinvent” the funnel by suggesting it was a “trigger” that began a marketing feedback loop.

Then again, while the entire world of ad agencies and the millions of “social media experts and agencies” subscribe to the idea “if you can’t count it, it doesn’t matter,” the economy continues to swoon. While the idea of counting is absolutely a correct idea, lets count what matters–like revenue and cash flow.

Businesses stop focusing on sales and revenue and focus on tweets and likes at their own peril. The fatal flaw of social media marketing is not the distraction it has become. A recent research study indicates 61% of small businesses have seen NO improvement in their sales from social media marketing.

The fatal flaw is the violation of the marketing paradigm. Social media, except in those cases where something “goes viral” doesn’t get attention. If I don’t know you exist, how do I know to look for you. Maybe my friends will tell me about it if you are that remarkable. Chances are they won’t. My friend Scott McKain has written a new book called Create Distinction that is a must read.

Mainstream media has an advantage in one crucial area–it interrupts and grabs attention. Without attention, getting someone to buy your product becomes an exceptionally difficult thing to do.

Much of what’s called social media marketing today is really content marketing by another name. If you “write it, produce it, create it,” they will come is just as much a fallacy today as it ever was.

Marketing’s Dangerous Echo Chamber

Posted on October 14, 2012 by RayMassie

Marketing echo chamber defined Marketing by echo chamber can kill your business. Its not just small business owners who believe everyone thinks and acts just like them. Marketing agencies can be swept away too.

Doug Garnett from Atomic Direct :

“far too many (business ad decisions) ad agency decisions are based on personal preference and neighborly anecdote. It also explains the ad biz obsession with digital – resulting in spending that far outpaces it’s effectiveness.”

An echo chamber is a place where you hear only your own voice coming back to you in a delayed fashion. Generally, its a fun experience. Maybe you can even remember the first time your heard that kind of an echo as a kid. Harmless fun.

Death by Echo Chamber Marketing

When it comes to your marketing, the echo chamber will kill your business. Entrepreneurs have the worst problem with echo chambers. The business they created with their own hands, their own ideas, and their own sweat is endangered by the very skill set that enabled them to take the risk.

Here are a few symptoms of echo chamber Marketing.

Your revenue is stagnant or down
You only listen to pitches from people you know
You think everyone uses media like you
You are going to run the same promotions next year you did this year
You think you are the smartest person in the room

There are great local examples of echo chamber marketing in Billings. Almost any purchase of time on either cable supplier is a definition of echo chamber. Expecting a cable ad buy to make your business improve is akin to putting your life savings on 36 red and spinning the wheel. The usage of cable is so low gambling might actually be more effective.

The Billings Gazette with a reach of only sightly more than 15% of all of Yellowstone County residents gets enormously overbought. Its a great example of businesses and ad agencies stuck in what they think versus marketing realities.

It is echo chamber marketing at its best.

Should you think this doesn’t apply to you or your business, take a look at this chart from the Media Behavior Institute. This is a chart of how real people use media compared to how industry pros (ad agency people) use media. The same chart looking at entrepreneurs instead of agency people would probably have similar scores.

Notice the huge disparity between the general population and people who do advertising for a living. If you intend to win and grow your business, you must focus on what real people do.

The echo chamber was fun when you were young. Take a moment to see if you are still in that chamber. It will kill your business.