Lesson #17: Interns!

Not too long ago, I read an article about twenty-somethings who are doing big things in business and marketing, specifically. They were a group of bright, articulate and driven recent graduates who had established businesses of their own that were not only successful, but growing quickly. 

The best part about the article was one young lady's quote. I can't tell you what the question was that she was responding to or what her full answer was. I believe she was talking about how she overcame potential clients' hesitation over her age. She said that she used it to her advantage, making it clear that she "spoke digital fluently" since she grew up with computers, mobile and web 2.0. That phrase has stuck with me because it's so spot on about describing this generation's pool of recent graduates. (In the interest of full disclosure: I am one.)

I've had questions about hiring marketing specialists and how to make sure they're able to "do it all." One frustrated employer in the benefits industry told me that she'd hired someone to handle all of her marketing, only to have to task him with basic marketing functions and force feed him ideas about where they could take their marketing strategy. My response to this situation is two-fold.

First, try bringing in an intern in their senior year of college. Most seniors have at least one internship under their belt already. They're also going to be looking for full-time employment upon graduation, so this situation is a great trial run. If it really works out, hire them on after they get the diploma. If not, give it another try with a new intern.

Second, they "speak digital" which is essential to a marketing department today. A word of caution though: not all interns are created equally. Some are clueless. Some are brilliant (like myself. Just kidding!) and most are somewhere in between. They'll probably need some coddling in terms of being new to the business world and still having the training wheels on when it comes to taking the initiative. But they'll probably come cheap, most will come eager to learn, and their best asset is that they pretty much all speak digital.

Another word of caution: speaking digital is different than being able to leverage that knowledge into a feasible, effective marketing strategy. They're two different skill sets. There's a difference between someone who knows how to sow corn seeds on their virtual farm on Facebook and someone who can create an engaging, community-building Facebook fan page. The good news is that it's not difficult to learn if you're familiar with the general premise of Facebook and have some marketing savvy to figure out how to craft it properly. The same goes for LinkedIn, Twitter, etc. etc...

So hire some interns for the fall! A lot of seniors need to do a semester-long internship for college credit and if you add a fair part-time wage, you should have quite a few applicants to choose from. Pick someone who will fit with your culture and wants to stay in the area after graduation in case you do decide to make the situation a long-term one.

Where do you get interns?

Contact the local university's marketing and communications departments. Most of them will gladly send out a call for applications in their bulletin, especially if it's a for-credit/paid internship. You can also advertise on Craigslist or Internships.com. Also, don't underestimate the value of a paid internship- they're not easy to come by and they're coveted alternatives to waiting tables at the local diner since they're resume material.

How to gauge your applicants?

Be specific about the skill sets you're looking for. Get samples of the intern's work. College seniors should have samples from previous internships or other gigs like writing for the college paper. Give them a sample exercise and ask them to create a marketing plan for something like an event or a social media plan. Then Google them. Check out their Facebook and Twitter accounts. Best way to gauge a potential intern? Twitter. It's still up-and-coming enough that students who are actively using it are probably ahead of the curve. What kinds of posts are they sharing? If you've got someone who consistently shares marketing or social media tweets, you've probably found someone who stays on top of their field and enjoys what they do (or want to do) for a living.

Good luck!

Lesson #16: Advertising & The Spotted Purple Grouper

Today's lesson comes with a disclaimer that you may have heard before: you have to spend money to make money. 

If you don't have a marketing/advertising budget that's appropriate, you will fail sooner or later. Probably sooner. The reason is because people in your community need to know about you. Word of mouth is great but as we've discussed in previous lessons, the business world has shifted. Word of mouth marketing is still very important and it always will be, but it's not going to sustain your income for the long term.

You need people (and sub-communities) to come through your figurative door and do business with you. In order for them to come through "the door" they need to know about who you are, what you do and why you do it so well. This means ADVERTISING. 

Advertising is not easy. It's intimidating. You have to have a design for whatever medium you are using to advertise. You need to know where to advertise and what you're buying. And you need the money to make it all happen.

1. Getting a design for advertising. Start with a logo. If you don't have one, back up to Lesson #15. Make sure that you put that logo on every communication that leaves your business. Email, letterhead, invoices, forms, documents, memos, fax cover sheets, business cards (obviously) and quotes packages.

2. Decide what your "media spend" is going to be. This is advertising lingo for how much of your budget you are going to devote to advertising.

This step requires some consideration. First of all, what constitutes advertising? Social media? Print? Sponsorship? For simplicity's sake, let's say that advertising is any type of marketing above and beyond the necessities for operation (sell sheets, business cards, website) that has a price tag on it. Social media, for example may be promotional but it's only going to cost you time. So, work that in when you have five minutes here and there.

So how much of your operational budget should you devote to advertising? Some experts say small businesses should spend as much as 15%, others say 3%. My recommendation is 5% of your previous quarter's sales. Again, a lot of experts will derive this percentage from the previous YEAR but in today's economy, we need to be agile and sensitive to what's working and what isn't.

 3. Now that you have a realistic figure in mind, start brainstorming ideas that are in the general ballpark of feasible. It's understandable that you won't know how much an advertisement in the local newspaper's business section is going to cost, but you know that it's a lot more feasible than an advertisement in the New York Times. This is an exaggeration of course, but you get the idea. If you think of it and it doesn't seem outlandish (or if you aren't SURE if it's outlandish) WRITE IT DOWN.

4. Now, which of your ideas are going to hit your target demographic? The more targeted the better. Think as narrowly as possible. Don't try to go after a broad audience. When you have a limited advertising budget, you need to think strategically about where you're going to find the spotted purple grouper that you're trying to land. So think about the spotted purple grouper (or small business owner, local HR pro, fill in your target lead here) and his daily life in the grotto.

Where does he hang out? Does he eat lunch in the business district? Or is he off on his own?

What type of media does he consume? Local newspaper business section perhaps?

Does he belong to a certain Spotted Purple Grouper Professional Organization (does it have a magazine he might get as part of his membership?)

What websites is he likely to have bookmarked? Can you put an ad up on any of their homepages?

Put a star next to the ideas that are going to end up in the daily routines of the spotted purple groupers that you're HOPING to catch.

5. Now that you've thought strategically about where you're going to find the spotted purple grouper, you have permission to think SLIGHTLY broader. What about all of the other spotted groupers in your general location? They own businesses too, even they aren't in the spotted PURPLE grouper target market like you originally wanted to go after. Which of the ideas on your list could land the other spotted groupers? Maybe the red spotted groupers are all office managers for doctor's and lawyer's offices. They may not read the business section of the local paper like the spotted purple grouper, but their kids are in the same little league as the spotted purple grouper's kids. Find the common denominators as you move back up in scale.

• Other good advertising buys are local or community newspapers and magazines.
• Sponsorship of local little league teams and PTA events.
• Chamber of commerce and local commercial organization membership and sponsorship.

6. Go back to your list and start pricing out options that seem like they will REACH your target market(s). It may seem like a great idea to advertise in the school play's playbill but if it's going to eat up a third of your advertising spend and risks wasting your message on the wrong people, then it's not worth it. On the other hand for $75 if you can put a business card ad in it, then it may be a good idea. Use your common sense and don't let your judgement be clouded by cheap advertising rates.

Bonus advertising tip - Feel free to negotiate with companies (not non-profits though). If the rates are a little bit higher than what you can afford for your spend, ask them to let you know if they get close to their deadline and have space they need to fill. Nine times out of ten, they will call you and offer you a discounted rate. But don't tell anyone I told you this or else it won't work for me.

Take home from today's lesson:

First, come up with your budget for advertising spend. Then define your target audience. Third, think of ways to get your message in front of them.

Lesson #15: Thoughts on logos

There are all different types of logos in this world. The good ones have a few things in common.

• They come in sets or families. You need to have a 2 or 3 at most color logo AND a 1 color logo in black. You may also want to have one without words and one with words. Logos are not one-size-fits-all. Neither are most garments, and we know how catastrophic that can be.
• The main logo should translate well to a solid color format, meaning you should still be able to read it if it's all one color.
• They scale well meaning that they are very, very easy to read when they are smaller or far away.
• They communicate your style whether it's formal, casual, fun, etc.

One thing to keep in mind is that the Forbes 500 don't need to communicate what kind of business they do via their logo/business name. Some do, most don't. We all know who McDonald's and Target are because of their sheer size. Your community isn't going to know who John Jones is, so come up with a logo that explains it to them. John Jones Benefits, John Jones Benefit Concepts, John Jones Benefits Expert are all good qualifiers.

What should your logo look like?

• It should qualify your business as mentioned above.
• It should be clean and crisp. If you can doodle it on a piece of paper (roughly, of course. We know you're not Da Vinci) then it's a good logo. If it's too complicated, it won't translate to print or screenprint well.
• You need to like it. You need to use it everywhere. It's like your signature.
• Stand out a little bit. Don't use "the old boring navy blue text & burgundy diamond" design that looks like it came out of 1986 that every other person has. Be creative! Your logo is your chance to be memorable. Google "stock logos" for inspiration.
• In fact, visit a stock illustration site like Shutterstock.com and search "logos"- if you find one that suits your fancy, purchase it.

Take home from today's lesson:

Choose a logo design that's memorable, professional and crisp. It needs to print well on all different mediums and it needs to explain what you do.

Lesson #14: Customize your plan design package

A lot of your value as a business associate is going to come from your plan design package. Clients see this as one of (if not) your main functions. This is your chance to shine, as well as set yourself apart from the competition.

We all know that there are varying philosophies in regards to how much information to include in the quotes package. Some brokers provide a package that's several inches thick. Some provide less than a half-dozen pages. Most are somewhere in between.

There are a number of things to consider regarding the design of your quotes package:

1. How much information are you giving your clients? How much is just extraneous junk? Really consider what the average client NEEDS to know about their quotes. They're looking to you to sift through the volume of information and give them what they need to know to make an informed decision.

2. How is your information being presented? Are you using a cheap folder or something that matches the importance of the information contained within it? What quality of paper are you using? What does the actual set of documents look like- professional and clean? How can all of this be interpreted by your client?

3. What delivery method are you using? Are you mailing it? Are you sending it first class or certified? Maybe you're hand-delivering it to review with the client and show how hands-on you are. Or are you emailing it as a .pdf for instant service? What about using a combination of these methods?

4. What else are you including with your quotes package? This is an excellent opportunity to include helpful information about you and your service. A contact sheet with all of your contact info, website, social media, and a map of your office location is a great desk reference. Maybe you have a document that details what your services include. You can never go wrong with including self-marketing in your plan design package. Let people know what they can expect from you. If you go above and beyond, they need to know when they're considering pricing.

Take home from today's lesson:

Your plan design package is the most important document you will put in front of your clients. It's a tangible representation of you and your services. Give your current package a critique. Is it sloppy? Does it have too much information? Does it include self-marketing or just quote information? Take advantage of this deliverable as another chance to show your clients your worth.

Lesson #13: Tough love & getting your hands dirty

Spring is a time of rebirth! Everyone loves the new flowers, babies and Peeps. Peeps don't have anything to do with rebirth (except maybe the rebirth of a few extra pounds) but we still love them! Anyway, spring is a time for renewal and change. That's why we're going to talk about CHANGE today.

We talk about change a lot. We talk about how you have to change to stay alive in this business and in this economy. We talk about how you have to change your approach to selling. We talk about changing your website. Now we are going to talk about changing YOU, New Brokers!

<cue chorus of angels and trumpeting> It is time for a new you! <cease trumpeting>

Here's the bad news: we can't ignore the fact that brokers are losing business to the self-service business model that carriers are starting to ramp up. More and more companies are skipping the middleman and going straight to the carriers and/or TPAs. They aren't seeing the value in the middleman any longer, and budget cuts are forcing them to question whether the cost is worth it in the long run.

Here's the good news: Change always means opportunity. All brokers are facing these realities at the same time, and everyone is in the same boat. As we've said before, it's time to eat or get eaten! Some will adapt, some will not. The ones that choose to adapt and be flexible are the ones that will thrive.

OK, so where's the lesson? 

Since the problem is that clients are questioning the value of a broker, the logical solution is to ADD VALUE. You need to do more for them than just liasing with TPA's and carriers and going about business as usual. You need to give them something that they can't do themselves. Make a list. Get your hands dirty!

Things that clients can't do for themselves (or would really, really rather not):

• Do broker-y things that they already count on you to do. Devil's advocate: They COULD bring in an entry-level college grad to work with the carriers, TPAs, etc. though. You have to make it explicitly clear why you're an EXPERT in your role by communicating it to your clients.
• They probably won't have a HIPAA expert. HIPAA officers can cost $100k to hire in-house. Get to know HIPAA really really well, read as much as you can about it. Read about violations and what you can do to protect yourself. Then, pass your knowledge on pro-bono to your clients. Offer to do unofficial HIPAA testing for the HR dept. and look for areas where your clients can do a better job at protecting sensitive HIPAA-related information.
• (I've said this one before and I'll say it again!) Function as the company's benefits coach. Help the HR department through open enrollment and host on-going courses for benefits education for employees. It's so easy to forget that Joe Schmoe on the street doesn't understand his benefits. Educating Joe Schmoe will ease the stress of your client contact, and there aren't too many people who don't seriously appreciate stress relief. 
• Do things that other brokers can't or won't. What are some things that clients and prospective clients have asked for that seem like outrageous demands? Maybe you should reconsider how to make those demands work for you and your clients and revisit them.

Take home from today's lesson:

You want business? Prove it to your clients.