The Upside of a Down Market

There are companies who are actually doing well amid today's economic turmoil. Do you believe me? Well, it's true.

I know, today's economy is a mess. First, we had the subprime mortgage crisis, which burst the American housing bubble and led to serious loan defaults. Then, the high price of gasoline and increased food costs have encouraged Americans to tighten their collective belts. Now, we have the unstable financial sector with mergers, buyouts, and government bailouts.

But, there are companies who are thriving and growing. I have talked to to them. One company is in the business of converting structured settlements into cash. Ah, light bulb. You can see how this company could do a booming business right now. They can appeal to people who are feeling the crunch and want to access additional money. Makes sense.

Another company helps car dealerships create custom websites. They have found that dealers are cutting back on their traditional marketing efforts, but feel that a custom website is a cost-effective way to provide valuable and relevant information to customers and prospects.

What can we learn from these two companies? Well, several things:

1. Find your niche.
Both of these companies are focused on a highly specific product or service. They have found what they do well, and that's ALL they are doing. I am constantly surprised by the number of companies who try to do everything. I recently read an article about a search engine company that is dabbling in finding new sources of energy. Do those businesses go together?

2. Focus on the positive.
Both companies have found positive ways to help their customers. They could use scare tactics and focus on the negative aspects of the economy. But, they aren't. They have positioned their products and services positively as a good financial decision. People are smart, and they know when they are being treated with respect.

3. Be enthusiastic.
Both companies are very passionate and excited about what they do. And so are their employees. From talking to their sales staff, you can immediately tell that they love what they do, and they believe in their products and services.

4. Provide great service.
Now more than ever, customer service matters. These companies serve their customers and they are happy to do it. They keep their word and deliver what they promise.

5. Evaluate your products and services.
Are you offering something of value to today's customers? If not, it may be time to modify or improve your product offering. If you're a restaurant, you may find that more people are eating at home to save money. Maybe you could offer a special family night, or create a family take-out menu with discounted pricing to encourage customers to come to your restaurant. If you're a jewelry store, customers may be cutting back on luxury purchases. You may need to evaluate your inventory to see if you can offer more cost-effective products. Or, think about added services such as free cleanings and free prong checks to make sure the stones are secure. This can create more store traffic and help with sales.

Think about companies that you know are doing well. What can we learn from them? If you have more examples of companies who are thriving, let me know!

The Power of Positive Marketing

Do you remember Eeyore from the Winnie the Pooh stories? Eeyore was the “gloom and doom” or negative voice in most situations. He said things like, “We’re never going to make it.”

Negativity can be emotionally draining and often deters people from the task at hand. It’s harder to be persuaded or moved to action by a negative message. A positive message evokes enthusiasm and carries its own energy. Think of The Little Engine That Could saying, “I think I can. I think I can.”

Negative language stops communication. Positive language encourages an open dialogue. You may have noticed that when you are in a meeting and a coworker phrases something in a negative manner, it brings the flow of ideas to a halt. However, positive wording is more open ended and allows others to build on and expand ideas. Here are some examples of phrases you might hear around the office. Note how the negative wording ends a conversation abruptly while the more positive response opens up communication.

Negative: “That’s not how we do it.”
Positive: “Here’s what we do.”

Negative: “I don’t like that idea.”
Positive: “How about…” or “What if we…”

Negative: “That won’t work.”
Positive: “Here’s something that might work.”

An important aspect of your marketing materials is the copy. The language you use sets the tone for your direct marketing efforts and helps position your company and your brand image in the minds of customers and prospects. Positive language will enable you to control or frame your communications. Using upbeat, declarative language and power words creates an image in the minds of your readers.

Compare the impact of these negative sentences and their more positive counterparts.

Negative: Don’t delay. Supplies are limited.
Positive: Please hurry! Order now to reserve your limited-edition copy.

Negative: Don’t hesitate to call me.
Positive: Feel free to call me, I’m happy to talk with you.

Negative: You can’t live without our widget.
Positive: Make life easier with our amazing widget.

People are more likely to listen to an enthusiastic person or message. It’s easy for marketers to become complacent about what they do. Marketers become so familiar with their own products and services, they can forget what is exciting and great about them. Take some time and write down the exciting, unique, and beneficial aspects of your product or service from your customer’s perspective.

Think about the ways that your company improves customers’ lives. It may inspire you to look at your products or services in a new light.