Adopting the Utilization Principle for Your Small Business

Utilization PrincipleWe know as small business owners that we depend on discretionary spending.  You’ve probably noticed that for a few years now, discretionary spending has been at an all time low.

With energy prices skyrocketing, the amount of money consumers and businesses have to spend for non-necessities is sliding again.  If you haven’t already done so, you need to reposition what you offer in your business and how you position it in terms of what is referred to as the “utilization principle.”

This concept applies to most entrepreneurs and small businesses.  Adopting the utilization principle requires making trade offs.  There are times that the “Do what you love and the money will follow” mindset may not apply to what you need to do to make money.  Entrepreneurs sometimes think that launching businesses or products in the belief that customers will line up, which might not be the case.

That fact is, virtually all businesses need to think more extensively.  They need to think of who will utilize their service or product, and where they will utilize it.   As an example,  specialty coffee drinks that could be enjoyed only at Starbucks and other higher-end coffee shops now arguably do better in fast-food chains such as McDonald’s or Dunkin’ Donuts, even in supermarkets and shopping center food courts.

Gift basket makers who enjoyed assembling beautiful baskets for special occasions are shifting their sales to customers with a more practical need, such as an orthodontist who depends on referrals from dentists and uses gift baskets to say thank you.  A baker who produces delicious cakes and pastries may do better specializing in wedding cakes.

How to Create a Brand for Your Small Business

Business gets easier when you have a recognizable brand. Think about Coca-Cola or BMW, for example. All you need do is mention the names and millions of people throughout the world have an immediate perception and expectation of what that company stands for. There’s an emotional connection between the customer and the company name.

With a strong brand, you don’t have to sell nearly as long or as hard. Customers know what you stand for before the pitch or proposal.

Here’s how to give your company the kind of brand identity that will help drive sales. Here, too, are tips for customizing a brand personality toolkit that will keep that brand alive and growing.

Define Your Personality

A brand is the promise you make to customers combined with the customers’ judgment about how well you deliver on that promise. A successful, brand becomes an emotional bond that builds customer loyalty. A brand includes your logo, color scheme, taglines, slogan, design elements and more.

Think of branding as the personality of your enterprise. Define that and the logo and other marketing messages will follow.

To build your brand, begin by thinking through exactly what it is you sell and why customers choose your product or service. Identify the promise you are making to your customers. For instance, you may manufacture pots and pans, but what you’re really selling is a better way to cook. You must also define what makes your product more desirable to the customers you’re targeting than that of your competition.

For help in creating logos and taglines, you might meet with one of the many nonprofit small business advisory groups, like SCORE, the Service Core of Retired Executives (check your city directory to find a branch) or a local SBDC, a U.S. Small Business Development Center, often located on university campuses. Both usually offer free advice. Gather family advisors, staff, or friends to brainstorm about taglines. And don’t forget to survey customers. You want to leverage the way they see you.

Have a Brand ID

When you’re ready, create the visual look of your brand personality. Make sure that your brand ID carries  that consistent design look — coordinated colors, fonts and layouts — for commonly used business publications, from newsletters and brochures to flyers, postcards and business cards to e-mail and Web sites.   Do some online research for companies that offer free or inexpensive downloadable and customizable templates or hire a design agency that caters to small businesses to create your own unique set of templates. That way you and your staff will be able to use and customize as needed, but maintain a consistent brand identity.

Build Recognition

You want the company personality to be easily identifiable at every customer touch point, from word of mouth to final sale. Make sure that every bit and byte of packaging, presentations, communications, and marketing speaks with a brand-consistent look and voice.

The same branding should appear on your entire range of advertising and promotional options, not just stationery or sales brochures. That includes press releases, e-mail signatures, trade show displays and booths, store or office signage, banners and highway billboards, print ads, posters and marketing for sponsored or charity events — in other words, everything.

Appoint a Brand Cop

Educate everyone on staff about your brand and its tools as well. Otherwise, each employee, including the all-important sales team, could create their own version and confuse your customers. Once you assemble the brand toolkit, every employee can then access it and draw upon whatever is needed.

Even so, over time, logos tend to shape shift. Someone adds a shoreline to the water’s edge that floats your sailboat logo. Someone else re-draws the boat so the prow faces into the sun. Pretty soon, your little sailboat is sinking.

To prevent this, appoint a designer or staffer to police the brand toolkit, especially if you work with outside vendors. Keep track of who accesses the toolkit and which consultants or vendors use it for what marketing channels. You want to track all branding appearances and changes.

How to Communicate If Your Workload is Too Much

You never want to tell your boss that you can’t do something. In fact, at times you probably feel honored and good about the fact that he or she thinks you can handle so many responsibilities; but sometimes, it’s crucial to communicate that your workload is too much.

You know your workload is too much when you are making Excel documents in your dream. You know your workload is too much when you are watching TV and words like “revenue” and “products” appear louder than the rest. You know your workload is too much when you keep checking your work email …on the weekends.

There is a difference between being dedicated to your work and being overwhelmed by your workload. When it does get overwhelming, its important (and healthy) to communicate your needs to your boss.

Here’s how:

Schedule a meeting

This type of discussion isn’t something you do via email or at a moment’s notice. It’s something that you think about. If you were to walk over to your manager’s desk and ask, “Can we talk right now?” they will interpret that as you not thinking their time is valuable; this isn’t the best way to start of a conversation about how you don’t have enough time to do everything.

In addition, scheduling a meeting will also give you time to prepare exactly what you want to say.

Plan for Pleasure As Well As Pain

Bored_Pain

Listen, working for a living is always going to be a mixed bag.  The higher up you go the more true this is. As a lowly file clerk, way back when, I got used to being bored, ticked off, frustrated, idle, and quite frankly, sick of the job.    By the time I had risen to be an HR division manager, I was strangely surprised to find myself also bored, ticked off, frustrated, idle and sick of the job.  But whereas when I was starting out I didn’t expect any different, by the time I had risen to the heights I was totally unprepared for the same feelings.  I guess I expected every day to be exciting, utterly challenging, demanding, dramatic (well, I admit –  I had experienced many days of drama, being in HR), cutting-edge stuff.  And when it wasn’t, I was – I suppose  – disappointed.

Later, of course, I realized that not every day can be fantastic.  Some days will be blah.  Some days will be adrenaline-filled and exciting  – but not as many will be boring.  You have to be prepared for the pain and the pleasure.  You have to adjust your expectation so that you don’t get ticked off when it is boring, and don’t explode with pleasure when it is too exciting for words.

Trouble is, if it is boring, you might be tempted, as indeed I have been many times, to liven it up a bit by being disruptive.  It’s best  to sit on your hands and let the feeling pass.  As a manager or a business owner, you aren’t allowed to be disruptive – except in an innovative way of course.

“The secret of success is learning how to use pain and pleasure instead of having pain and pleasure use you. If you do that, you’re in control of your life. If you don’t, life controls you.”  Tony Robbins

 Photo Credit:  Pseudo-Melancholy

Rise To The (.com) Top

Website_RankingYou are now running a business and it makes sense that you need a website.  You have invested in a great website layout and design, excellent copy and graphics.  But is your company’s site in the fast lane of the information superhighway or stuck in a cyber cul-de-sac?

Is it doing its job in terms of driving customers to look at and buy your goods and services?  Does it appear at, or near, the top of an online search?

No matter how good your site looks, it’s wasted if your online audience is too small.  As most of you know, you can pay to boost your search rankings, but there are some free tools that you or your web designer can use to boost your ranking.

1.  Submit your site to Google, Yahoo!, Bing and dmoz.

2. Content is king.  Put yourself into the minds of your potential customers.  What would potential customers type into a search engine?    Make sure you are using the right keywords on your site.  Google’s keyword tool can help.

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