Marketing Communications Blog

Packaging for the new business

Meeting with a client the other day - a start-up - about their packaging.

The client has produced a product - from mock-up, to prototype, to actually having it manufactured, and now was ready to start selling it locally on store shelves.

He and I both had confidence that it would be picked up and sold, and that he would be profitable. He could have put it in plastic zip-lock bags and sold a million of these items.

But, thank god, he came into contact with me, and we started discussing long-term aspirations; from where does he want the company in a year (over $800K in sales), to where he wants it in 10 years (Fortune 500); what kind of a company/brand does he want to found (U.S. famous) and if he wants to sell the company (no). And so forth and so on.

We eventually got to the nitty-gritty of the product. From licensing to future employee's.

And that is when we both discovered a serious flaw in his product line. He hadn't thought about the packaging (he had a local design firm doing mock-ups, designs, etc.) and didn't consider it to be that important. He already had orders for the product, so, he had money in the bank (he thought) - amy old packaging would do.

I wasn't concerned (too much) about the design and lay-out, but, I did start to ask him some questions that he needed to have answers to that related to the packaging (as well as his overall business model).

1. Returns? How was he going to handle these.
2. Warranty? Was he going to offer one (even though, by law, he had too), but, for how long.
3. UPC tracking (every product in the U.S. needs a UPC if they are hoping to have it scanned and charged to the consumer - most stores have scanners and tellers at the check-out line don't/can't enter the products number by hand).
4. Extension of the product (for various other uses) - each one needed a different UPC.
5. Software to track the product numbers.
6. Packaging of the product - in bulk (how will they be shipped, etc.).
7. How easily can the product be used on the store shelf - does it fit a typical store shelf? Can it be hung? What if a client wants some to be hung and some to be sitting on a shelf?
8. Trademark, patent, and copyright claims on the packaging.
9. Users guide.
10. etc.

When we came to the Users Guide, he stated the product was self-explanatory.

I brought up the old thermometer issue - when you buy one, do you use it orally or rectally - and most thermometers are used one way or the other, but not both. He understood that this may be an issue, as ALL customers must be assumed to be "not the brightest" and build the product packaging and internal components with that thought in mind.

 I just want to mention that when you are going to market with a product, make sure that you hire a firm that knows packaging, knows how to build all the components, will ask all the right questions needed to make sure that your product meets all the local and federal laws, AND appeals to the mass audience. I'm not just talking about the design of the packaging (how it looks on the shelf), but, all the other items inside and on the packaging that a) appeals to your market, and b) protects you from lawsuits and misunderstandings.

Posted by blaine at 10:51 AM | Permalink | Comments (0) | TrackBacks (0)

The Cutting of your Marketing Budget

Was reading Business Week the other day and at the end of each magazine, Jack and Suzy Welch give advice to people who write them.

Recently, in one of their responses, they were giving advice on how a manager can manage short-term AND long-term (i.e. get profitable now (short-term) and build for the future (long-term)).

In one of the paragraphs, actually two sentences of the paragraph, they mention how cutting the marketing budget by 20%-50% will drop those moneys right to the bottom line. Which is true.

Through the years, with all the experience that I have in marketing, it always comes down to this - marketing is easy to cut and it affects the bottom line directly.

But, as Jack and Suzy Welch failed to mention for any length or substance, is that LONG-TERM, that budget cut will come back and haunt that company a few short years from now.

First, marketing personnel understand the future (if they don't, they shouldn't be in marketing). They know that the "laying of the ground work" now will yield positive results in the future. That, by cutting the budget, that ground work will have to be done at a later date, which, in turn, means that it will take the much longer for the reward to be realized.

Secondly, the success of future products are relient on today's marketing.  So many times, when meeting with analysts, I started the prep work for a future product; which, of course, peaked their curiosity as well as brought them "on board" for future follow-up (i.e. endorsement of the product).

And lastly, if you work for a company that cuts its marketing budget, start seriously consider about staying there. Of course, if they company is going bankrupt, and this is the only way to save it, it has to be done (but, I have heard this before where NO budgets, anywhere else, were cut). If the CEO and CFO are so short-sighted (i.e. long-term profitability) that they are willing to cut the budget without seriously considering the consequences long term (and the only way to know this is to schedule a meeting, pitch your case for "why" and "how" this will affect  the companies future), it may be time for you to move on.

In closing, my point is, when you see a company, it its first budget crunching time, decide to cut marketing's budget, think about why this is being done. Through the years (and I believe I mentioned this in a previous post), there are two types of companies, sales companies and marketing companies. There are a FEW companies that walk the line between these two very well - like Google, Microsoft, etc. And yes, they have the money to make it happen, but, most companies fall into one or the other of the categories.

When taking a job, ASK them what they think they are, and why they think that. It may help you understand the culture that much better.

Posted by blaine at 05:35 PM | Permalink | Comments (0) | TrackBacks (0)

Mentoring (again)

I have to discuss this again - I am seeing it mentioned on tv drama, sit-com, news, etc. They almost treat it as if anyone can be a mentor, and anyone who wants a mentor, just needs to find someone who knows more then them, and whallah, you have a mentor.

There are a few things that, in my opinion, make a mentor:

• They say "i don't know", when they don't know
• They are available for advice almost anytime
• They go the extra mile to help you with an answer/situation
• They give more then they receive
• They find others who can help you (or suggest others)
• They want to see you succeed as much as you do

Pretty basic, but, the key components that make a mentor. Of course, the mentor has to be in the same field/profession as you if they truly can "mentor" you to your success (I had to say it, for those of you that don't quite understand what a mentor is).

Mentors can give you "sayings" and "quotes" that you will remember for the rest of your life. One mentor (who I am sure picked it up from someone else), said to me "No one, on their deathbed, ever said 'I should have worked more'". It was said to me when I was spending 20 hour days and countless of those hours fighting with the president of the company to get more funds to make the brand what she wanted. With the words that he said, I realized that I needed to give up and move on to other, less important things (but, of course, come back to it when the situation warranted).

I don't know, it's just that I don't want everyone thinking that a mentor can be found on the street corner. A mentor, to me, is like your friends - true friends can be counted on one hand and the same goes for mentors.

Posted by blaine at 01:59 PM | Permalink | Comments (0) | TrackBacks (0)

Presentations

I'm sure that I spoke of this before - maybe in parts, here and there - but, wanted to bring it up again.  Was reading an article the other day on how to make a presentation (like PowerPoint).

It amazed me how still, to this day, after years and years, people still don't know how to make and do a presentation. I don't want to discuss how a presentation should be made or not; I want to discuss the other elements of a presentation.

What other elements?

In a past posting, I mentioned that I do NOT do presentation when I go on press or analyst tours. Why? Because I want the other individual focused on me, not on anyone or anything else. When they are looking at me, I know when they are paying attention and when they are not.

Was at a job interview the other day, and one of the questions I was asked was: "If, in the middle of your presentation, you notice that your audience is not paying attention as attentively as they should. What would you do? a) Start over, b) Ask if they need me to repeat anything, c) Ask if I am going to fast and they are lost, or d) Ask if they don't understand anything".

What amazed me, if you have done over 50 presentations in your life, is that there was no "e) Skip ahead to the meat of your subject, worry about the details later".

When I lived in Israel, I was reminded that what I had always been doing was welcomed, as I always would present "e)", which the the Israeli culture demands. Get to the meat of the subject and cover the details later.  In other words, get to the strategy and go over the tactics at a later time/date.

I know, I know, it depends on your audience - a CEO wants strategy, where Product Managers want tactics first and then strategy. In other words, the CEO wants "what", and the PM wants "how & when".

I know I am rambling again, but, I am a member of a board of advisors for Dell Computer. They send presentations out, from one of three individuals. Two of them present as if I am a PM, while the other presents as if I am a CEO - AND, that same individual, in later slides, gives the tactics if I have further questions or issues.

Okay, an analogy. If you have kids, or nephews, nieces, etc., you probably have been in the position of one of the following:

1) "Owww, it hurts, it hurts. Help me."

2) "I bit the inside of my mouth. It hurts. Help me."

Which one would you prefer? Of course, #2. Gets right to the point, huh?

To close this, back to them paying attention or not. Do presentations when you have a technology that can't be seen with the naked eye, or have to display large images, sketches, etc. to numerous individuals. When I have one or two people that I have to give a presentation to, I do not do a presentation. When more then three, then, do a presentation.

Posted by blaine at 02:51 PM | Permalink | Comments (0) | TrackBacks (0)

Media Training 2

I spoke before about the need for media training. So, nothing new about it, but, just want to bring it up again and discuss why and what the value is of media training.

You and your employee's need to make sure that they understand that they are always in the publics eye. That whatever they do, they reflect on the company.

You may not or cannot afford to "train" everyone in your organization, but, there are always the people who are the "face" of your company. Like your CEO, CMO, CFO, and pretty much anyone in your marketing, public relations, and communications divisions. It doesn't have to be a formal training session with professional media trainers, but, if you know how to speak with the media, and have done it for many years, then, you pretty much know the in's and out's of what is needed to reflect your company in a positive way.

Sit down, write down everything that you have learned over the years in dealing with the media, and think of how you can teach others what you learned. If you are a good manager, then, you already know how to teach; so, just write down 10 points, and try and teach your people those 10 items. Do this once a quarter, and soon enough, your people will start to handle themselves appropriately when in public.

People LOVE to talk about themselves or let others believe that they "know" everything. You usually have no alternative if someone speaks with the media, and they aren't authorized, then by firing them.

So, what I am trying to say, is that, instead of firing them, teach them what to say, how to say it, and then, when they speak to the media - even if they aren't supposed to - you may not have to fire them, but, reprimand them; why the reprimand? Because they didn't hurt your company, they just spoke when they shouldn't have.

Hope this makes some sense. Everyone wants to talk about themselves. Try and contain it with proper training.

Posted by blaine at 12:29 AM | Permalink | Comments (0) | TrackBacks (0)