Missouri Small Business and Technology Development Centers Blog

I recently joined Facebook because many of my “younger” friends thought I should be “out there.” I resisted this for as long as I politely could because the whole idea seemed strange to me — sharing details of my life and activities where all could see.

However, once I started investigating it, I realized that what is shared really is solely up to me, and the potential benefits far outweighed any threats. As one of my Facebook friends told me, “It’s a nice discussion with friends all day long.”

The entire experience has caused me to re-examine how I feel about online networking, social media and cyber marketing. I’ve concluded that it is all much ado about something. It really works. However, I ran across a report today that reminded me that amidst all of the noise about online marketing, it’s important to remember the balance of media that is needed to truly reach a wide demographic audience.

This source reported that 21 percent of Americans have still never visited a website, sent an email or searched the web. Hard to believe, I know. But this report stated that in many highly developed countries, such as France, Belgium and Austria, more than 40 percent of the population never uses the Internet. The percent of the population offline in the far East? Believe it or not, it’s 85 percent.

Many segments of the consuming public still prefer print marketing. For instance, the Hispanic community responds eagerly to direct mail marketing, and 85 percent of women between the ages of 25 and 44 read direct mail pieces, while only 53 percent read email marketing messages.

The lesson: use a mix. At least in the near future, a menu of marketing options will help you reach the widest audience most effectively.

My brother had shoulder surgery the other day. As we prepared to sit in the waiting area until the end of the procedure, the medical staff handed us a small, plastic unit and told me it would buzz and glow when they wanted us to return to the desk.

I had seen these things before — a several local restaurants. These were the same type of units that the hostess hands you when you put your name on a waiting list for dinner.

I found myself amused at how one industry had informed another on a good way to do business and provide customer service. And I realized one way to stay ahead of the competition is to not only look for best practices in our own industry, but also in those that may at first seem unrelated.

Competition is a double-edged sword. While we all may wish we had none, the fact that we do indicates there is a market for what we want to sell. The competition can also be one of your most valuable sources of information about what you could do to grow your company or improve your operation. And, if you learn from their mistakes, you have the advantage of letting someone else pay for the learning process!

Identify your top three competitors. Then list three things they do well, and three things they need to improve. Use what you learn to make your business even better!

And don’t forget to look outside your industry for good ideas.

It may take years for us to truly understand what is included in the recently passed economic stimulus legislation, but for now, these points are worth noting.

The bill provides $730 million to the U.S. Small Business Administration and makes changes to the agency’s lending and investment programs so that they can reach more small businesses that need help. The funding includes:

• $375 million for temporary fee reductions or eliminations on SBA loans and increased SBA guaranteed shares, up to 90 percent for certain loans
• $255 million for a new loan program to help small businesses meet existing debt payments
• $30 million for expanding SBA’s Microloan program, enough to finance up to $50 million in new lending and $24 million in technical assistance grants to microlenders
• $20 million for technology systems to streamline SBA’s lending and oversight processes
• $15 million for expanding SBA’s Surety Bond Guarantee program
• $25 million for staffing up to meet demands for new programs
• $10 million for the Office of Inspector General (more…)

I get some interesting information from time to time from a variety of consumer behavior websites and demographic resources. Here are some interesting recent findings:

• Percent change in average household spending on cable service, 2000 to 2006, after adjusting for inflation: +43.
• Percentage of American women who pray at least once a day: 68.
• Percentage of men who favor requiring a police permit before a person can buy a gun: 73.
• Householders aged 55 to 64 spend 25 percent more than the average household on women’s shoes, more than any other age group.

Recently, I’ve heard two series of local radio ads that I found refreshing.

One is for a siding company and another for an HVAC firm. They send a similar message: “We’re trying to keep our business going until things get better. Call us now for special deals and even better customer service. We want to keep our guys working.”

It’s unfortunate that the economy has required these firms and others to develop such direct messages, but I personally like that directness. These companies are making no secret of the fact that times are tough right now, particularly for folks in their business, but they are intent on surviving it through a blend of optimism, determination and very hard work. And they are reflecting one of the tried and true strategies for marketing during a recession – keep talking, and when things improve, you’ll still be standing while your competitors may have thrown in the towel.

I was fascinated by a list I found the other day of the companies who had actually started or thrived during past recessionary periods. The leaders of these firms saw a market opportunity and capitalized on it – good advice for prospective and existing business owners regardless of the economy’s health. (more…)