How do you make money with…?

Posted by Christopher S Penn on Sep 25, 2010 in Marketing, Money, Social media | 1 comment

The inevitable question at every conference, be it a PodCamp, social media event, or major corporate production is:

How do you make money with [insert shiny object of the day here]?

Five years ago it was podcasting. Then MySpace. Then Twitter. Then Facebook.

The answer, believe it or not, is always the same. It goes back to economics 101: money is a medium of exchange. It’s a translator of value. In the old days, before money had been invented, you would have traded for something of roughly equal value. I trade chickens, you trade goats, we figure out how many chickens a goat is worth, and we trade.

Nothing has changed in 50,000 years of human history. If you want someone to give you value (in the form of money) you must also give value equal to what you want them to provide you.

Here’s the catch: value is perception more than anything. If you perceive that more Twitter followers, regardless of quality, is better than fewer Twitter followers, then you will exchange more value with a person who has 50,000 followers than with someone who has 25,000. If you perceive that a Klout score of 51 is better than a Klout score of 40, you will exchange more value with the higher scored person. If you perceive that people subscribing to your newsletter is more valuable than people who like your Facebook fan page, you’ll exchange more value with a company that can get you newsletter subscribers.

Want to make money? Want to make more money? Figure out what the people you want to do business with believe value is in the first place, then give them what they want. The more of it you give, the more they’ll give back to you. Want to make crazy money? Provide crazy value.

Here’s where almost everyone in new media screws up: you don’t dictate value. You might be able to shape the perception of value a little, but at the end of the day, you have almost no say in what the other person perceives as valuable. More importantly, you insisting that what you have is of value and that I’m wrong for not valuing you correctly is only going to annoy me. You may think your audience of 50,000 Twitter followers is valuable, but if the other party cares only about Facebook, you won’t be able to exchange value with them. Find someone who values that and you’ll be able to make a value exchange with ease (that’s marketing: finding people who value your stuff). It’s no different than insisting that someone else should value your goat because you want chickens. If I don’t need or want a goat, we’re not trading.

So, in short:

• Determine value.
• Provide value.
• Collect money.

Simple – and as always, a reminder that simple and easy are not synonyms.

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I recommend: for Twitter audience building.

Podcasting as intent

Posted by Christopher S Penn on Sep 24, 2010 in Marketing, Podcasting | 4 comments

Following someone or something on Twitter indicates a small amount of intent. It takes literally less than a second to follow someone. Replying and conversing does show more intent.

Becoming a Fan on Facebook is the same. Liking something on Facebook indicates a small amount of intent.

Subscribing to someone’s newsletter takes slightly more intent. Reading, forwarding, sharing, and clicking through indicates greater intent.

What does it say about someone, though, who watches all of your videos or listens to all of your audio podcasts? What does it say about someone who tunes in all the time? What does it say about someone who shares every piece of content you create with their social circles and relentlessly flogs other people to tune in?

They are a true fan. They’re dedicated. They believe in you and the information you have to share.

The question is, how well are you treating them? Or are you spending all your time chasing new audience, and ignoring the gold mine you’ve already got subscribed to your podcast?

If you don’t know who your evangelists and true fans are, you probably don’t deserve to have them, and in fairly short order if you continue to neglect them, you won’t.

If you enjoyed this, please click here and share it with your network!

Want to read more like this from Christopher Penn? If so, please subscribe right now!

Click here to read my blog on Google Currents on your mobile!

Marketing White Belt Basics for Digital Marketers is now on Amazon & B&N

Watch me speak: Attend virtually!

I recommend: for Twitter audience building.

The amazing windup salesperson!

Posted by Christopher S Penn on Sep 18, 2010 in Marketing, Sales | 2 comments

The amazing windup salesperson!

I had the pleasure and privilege to speak at Multifamily Pros’ Optimization Summit this past week and talk about email marketing in the modern age (click here to watch the recorded version). One thing that hasn’t modernized, however, is that new sales folks still aren’t getting trained to be effective sales people.

What do I mean?

As part of shows like this, I enjoy walking the expo floor, seeing what new and innovative things people have come up with in their industries. I stopped at probably 30 different booths to see what was new and next. Amazingly, out of those 30 booths, a stunning 57% of sales folks never once asked me what I did.

It was almost comedy – wind up the sales person and hear the pitch come out like a child’s toy. They never qualified me by asking question (they would have quickly realized I had no need for their services) and they made the assumption that I was there as a multifamily building manager/owner like everyone else. There were two people who I was amazed managed to get to the end of a fairly lengthy pitch while breathing only once. They probably thought I wasn’t listening, but I was looking for the defibrillator in case they passed out from hypoxia.

Of the 13 vendors who were trained to actually let prospective customers talk, most made a “what do you do” question within the first couple of minutes. Some people led with that, which is one of the easiest and best strategies for building rapport and trust. As a sales person, one of the best things you can do is get the prospect talking about themselves early and often so you can gather information.

Here’s a simple test: If you’re a sales person, record yourself selling, then watch the video or listen to the recording and see how long it takes you to get to “so, what do you do?”.

Want to see how this applies to your marketing online? Jason Falls recommends checking out WeWe Calculator to see how much of any given web page’s language is centered around you the company instead of me the customer. It’s illuminating to see that most corporate web pages get so wrapped up in boasting about the company that they never give prospective customers the opportunity to mentally engage with copy that is customer-centric. Try it out and see how your content and company score.

Get this and other great articles from the source at www.ChristopherSPenn.com! Want to take your conference or event to the next level? Book me to speak and get the same quality information on stage as you do on this blog.

Game mechanics for non-profits

Posted by Christopher S Penn on Sep 13, 2010 in Jedi mind tricks, Marketing | 3 comments

A while ago on Marketing Over Coffee and other places we discussed the SCVNGR game mechanics deck, a deck of cards with different mechanisms that stimulate human behavioral patterns. While marketers are more than happy to jump all over these methods, it’s well worth considering for marketing more useful things, like non-profit donations.

Let’s take a look at just a few mechanics and how a non-profit might be able to make use of them.

Progression Dynamics. Non-profits for a long time have had statuses such as donor levels, but they’re uncreatively used. At best, a donor level is listed in a brochure or program guide, and maybe the top achievers (donors) get a shout-out at an organizational event. This is the age of social! Make those levels public and spreadable! Imagine how simple it would be for an organization to post as a Facebook status or tweet every donation (for those who didn’t want to remain anonymous) along with thanks and donation level.

Example: “Thanks @cspenn for donating! You’ve reached donor level 23! Only $230 left until level 24!”

Badges. Coupled with progression levels, badges (from locations earned in Foursquare to Achievements in WoW) are an equally potent way to recognize people. Most organizations recognize large donors or longtime donors and stop there. Get creative! Badges don’t cost you a thing – make as many as you can and hand them out with great frequency, very publicly, to take advantage of the habit that people tend to collect damn near anything you put in front of them.

Example: “Congrats @cspenn for earning the Fastest Donor badge! You donated within 60 seconds of our tweet!”

Leaderboards. The only thing better than being in a progression guild in Warcraft is being listed in a progression guild in all the major guild leaderboards. People love to show off their status. Take advantage of this simple social mechanic in your community and publish a leaderboard, and make leaderboards for more than just one mechanic. For example, you have top donors, which is of course useful, but what about top social sharers, folks who might have more time than money? What about top referrals to your web site? What about top networkers who bring new people to your Facebook page? Find ways to implement leaderboards for all the metrics that matter to you and publish them to encourage people to compete!

Example: “Hey @cspenn! You just reached #23 in the Social Leaderboard! Keep telling people about us!”

Groups. Farmville would be fairly boring without other people. Warcraft would be equally flat without guilds to join of like-minded players. Do you encourage your constituents to network just with you, or do you help them network with each other? Create reasons for teams, guilds, groups, or other gatherings virtually or in real life of people who might gain something from each other, and have them compete for the above listed progressions, badges, and leaderboards as groups.

Example: “Hey @cspenn! Your guild, Unifying Force, is now in the top 20 donor guilds! Congrats!”

Take a look at the SCVNGR deck and figure out how you can work one or more game mechanics into your non-profit organization’s structure. Most of the mechanics will require little or no money and can encourage exactly the kind of behavior you want from your audience – and let them have some fun at it, too.

Get this and other great articles from the source at www.ChristopherSPenn.com! Want to take your conference or event to the next level? Book me to speak and get the same quality information on stage as you do on this blog.

My 3 takeaways on Google Instant

Posted by Christopher S Penn on Sep 9, 2010 in Advertising, Google, Marketing, Technology | 11 comments

Google Instant launched today. It’s rolling out to a Google web search box near you, very soon. If you missed the memo, it goes a bit like this:

Google shows results as you type now, in real-time.

If your account has it, try it out. Here’s a few thoughts as I was watching the press conference today…

1. I wholly agree with Neil Bearse’s assessment that this is going to totally wreck your PPC display to click numbers. Ads are refreshing in real-time based on your query as you build it. Try it – start typing marketing podcast slowly, and you’ll see the PPC ads change rapidly. If you’ve been relying on certain impression-based metrics, get ready to toss those out.

Watch as I type marketing:

and then one more letter, marketing p:

Change of ads in real-time. Do all of these count as impressions? No – Google has a 3 second rule to prevent massive over-display numbers, but 3 seconds is still way faster than ad churn under Old Google.

2. The rage in SEO for years has been long tail queries. Long tail page directories have been the fashion and the institution for some time now. However, notice that results begin to appear the moment you start to type your query. If you as a consumer see results that are relevant in the first two terms, you’re going to stop typing and start clicking.

The short head is back in business – expect much heavier competition for short head terms. The winner of the short head terms? Those with the largest warchests to spend to get to #1 for very common terms. Can’t compete on a very popular term? Start creatively thinking about using LDA-related queries to at least mitigate the damage.

3. Geo-targeted local search is built in. I started to type University of and College of while I was sitting in Federal Hill, Baltimore, Maryland instead of where I normally sit. Guess what queries automatically populated and what started showing:

Bear in mind I was logged into my regular Google account, which most often queries from Metrowest Massachusetts. Based on my location via Internet connection (since I don’t use any checkin services), Google was doing real time searching where I am, automatically. If you’re not registered with Google Places, now you’re losing even more business. Get registered and set up right now.

Google Instant changes human behavior. It’s spooky to watch, but downright scary for marketers trying to be found amidst more and more competition online.

Are you ready for Instant?

Get this and other great articles from the source at www.ChristopherSPenn.com! Want to take your conference or event to the next level? Book me to speak and get the same quality information on stage as you do on this blog.