One Small Step...

How many of you have ever driven by a billboard or seen an in-store display promoting a lottery, and we see the current jackpot amount, and think, "Meh, it's only up to 2 million bucks - not the 34 million it was last week" and think, "maybe I won't bother playing this one." As if "only" two million dollars couldn't possibly be worth investing a dollar in. "I'll wait til it's really up there to buy a ticket."  Meanwhile, somebody wins that 2 million, and you can bet they were glad they played.

When economic times are good, and people are busy and working and making some money in business, we become a bit jaded.  We take much of it for granted, and usually can't be bothered with customers or projects that simply don't yield enough ROI or revenue to make it worth our while.  "We can only make five grand on that?" or, "Five percent?  Sorry; I'm used to making fifteen."  But now - as the tougher economy has hit so many people - how many of us would be thankful to make 5% on something - rather than 0%?  Even in good times, the smart businesses are often the ones who recognize that any profit is still PROFIT.  Invest a dollar, make back a buck ten.  It's more than you started with.  From retail to financial services, it simply makes sense.

I was recently at the mammoth antiques event in Brimfield, MA.  I walked past acres upon acres of tents and tables. Thousands of vistors (read: would-be buyers) walked past millions of old items. And - generally speaking - nearly all the sellers had a much higher valuation of what their stuff was worth than what the visitors felt it was worth. I quipped to one of the friends with me, "At the end of this event, I'll bet 90% of this stuff gets packed up and goes right back where it came from." Someone overheard me and said, "I'll bet that number is low."  We laughed, but he was probably right. We saw some bargain tables where everything was 50% off, and it still wasn't enough to sell. Whether or not the items were of quality is subjective; the point is that no one was willing to part with their money. As my father always says, "It's worth whatever someone is willing to pay for it."  Nothing more, nothing less.

In our industry, many service providers lose business because they are either too expensive, or because they "only want the good jobs."  Meanwhile, many of them sit around waiting for the phone to ring - waiting for "the next big project." And eventually, some of them go out of business waiting and waiting. In the past, dropping prices meant "selling out" and being a cheap date. Well, the days of that pride-driven mentality have ended for most.  Even a wallflower wants to dance, but it means getting out on the dance floor. And if that means lowering your price - if even as a special promotional offer - it's worth considering.

Don't confuse this with being cheap; it often simply means you need to take a hard look at new ways of being resourceful.

I ask this: Would you rather be busy doing something or not busy doing nothing?

A friend of mine (and if he's reading this, he'll rib me for always telling the story) produces custom music for TV and video. He always said, "I am a composer, whether I am working or not. And on days when I am not getting paid to write, I still write."  So in his down time, he compiled a collection of his music and made it available online - for a flat fee - to other producers.  It worked, and he picked up new clients he might not have had by just "sitting around, waiting for the phone to ring."

Here's some uncommon sense to a common problem - slow business:

• Focus on your specialty; promote the one thing you do best - not the six things you do "ok."
• Become "the go-to guy" in your field; position yourself as THE expert, and spread the word.
• Build a customer base and new revenue quickly by offering your services at just over cost. What do you have to lose? Even if you only made 5%, it's 5% you didn't have before.
• Build your client list through volume; 5% apiece adds up - and you may well be able to upsell to them over time.
• Build relationships, not just customers; get to know them, attend seminars or events they might sponsor, be present where they are present, and offer to lend a hand - even if it doesn't mean a quick sale.

Finally, keep in mind that it's not all about "generating new business".  The business is already there.  Just work on being the one to get it.  Because just like the lottery ticket, someone's going to collect... and it could be you.

All together now...

It's time for a barn raising. A good old-fashioned, roll-up-your-sleeves, work-up-a-sweat, grab-a-hammer-and-get-busy barn raising. Part Habitat for Humanity, part Monster Garage. Only the "humanity" is the industry in which we work, and the barn we're raising is the thing that will feed us, shelter us, keep us sane. The barn is our product, and the builders are our collaborative community.

In the creative services industry, collaboration has been alive and well for many years. From agency to in-house, teams of people all working toward common, profitable projects are standard fare. Unlike many industries, the often cyclical nature of the world of creative services typically dictates that collaboration among many is the only way to success.  Our own business model relies on this, and our clients appreciate the variety - and depth - of services we are able to bring them, all through a single point of contact.  And of course, there are thousands of companies similar to ours who all operate the same way, keeping a vast network of talented individuals busy.

A little while back, I was speaking at a meeting for an industry organization to which we belong. One of the questions that the group pondered was, "Why are we here?"  The group loves to network, hang out, and eat free food. But that doesn't pay the bills. The ultimate agenda of *any* networking group is, of course, to make connections that lead to paid work. And even the groups who say, "You don't join this group to get work; you join to meet people" are in denial. A person joins the group to meet people who can either get them work, or refer them to someone else who can. If we are all honest with ourselves, we'll admit this is generally so. I told everyone in the room this, and they all got it. I even suggested, "Look around here tonight. Who among us is so busy they don't need new work?" No one raised a hand. "And if you were so busy, would you be less likely to spend personal time in a networking meeting? No, you'd still come in hopes of finding better work."  A lot of head nods and mumbles in agreement.

This group consists of freelance film crew, writers, voiceover actors, public relations consultants, creative directors, designers, and producers - all professions with whom our company works, and the types of folks who collaborate - as an industry - all the time. I said, "Let's play a game. It's called 'Gilligan's Island.' We are all the survivors of a massive ship wreck, a ship called The S.S. Creative Agency. The agency - in all its big-box splendor, with 15,000 feet of gleaming steel and chrome furniture, pinball machines and latte machines, and door after etched glass door of offices full of in-house creatives - can no longer sustain itself and shuts down. And we are the marooned creatives washed ashore on the island known as the open market. What do we do?" The silence was deafening.

"I'll tell you what we do: we keep creating. We create because that's what we do. Why wait for the phone to ring?" It was starting to sink in - you could see it in their faces. (Sidebar: one member has taken this approach quite successfully, writing a music library during his downtime between paid gigs. The resulting library has been a success, netting him revenue he would otherwise not have had, had he chosen to simply sit by the phone.)

Flash forward to today, and I'll reiterate the challenge I put on the table that night: what sort of project might we all come up with together that will lead to a success? What can we create that when pitched, produced, and marketed will lead to the same sort of satisfaction and profitability as we might find from a traditional client relationship? Let's look to the best kept secret: the client within us. Far fetched? Not in the least. After all, it's at the heart of entrepreneurship. It's a barn raising that says, "If we build it, they will come."

Who's in?

Quitting

There's an interesting article over on Politics Daily by Donna Trussell. Although prompted by the Al/Tipper Gore separation, it discusses the notion of quitting, and perhaps why it should be looked at not with the traditional disdain with which we often regard it, but from a much more positive perspective. Is quitting for "quitters"? And are quitters "losers"?

The article quotes a section from The Lost Art of Quitting, suggesting that quitting can be far more virtuous than it is given credit for: "As human beings, we change. Our lives change. Our opinions change. Our habits change. Our thoughts change. Our perspectives change. Our ideas change. Our goals, dreams and aspirations change. And with that needs to come flexibility. If, on the other hand, we are constantly in the process of change, but are also constantly trying to stick to our initial commitments and try to avoid being a quitter, we're going to be pulled in both directions, never making progress in either."

Whether in business or in our personal lives, we are always told never to give up or give in. "Stick with it, kid." "The squeaky wheel gets the grease." "Try, try again." "If at first you don't succeed..." You get the idea. Yet, how often do we also hear the complete opposite advice? That when something doesn't work, not to keep repeating the same thing over and over? (In marketing, we hear this all the time.)  Contrary to what 90% of all the "business success" books proselytise, satisfaction and well-being can often come from throwing in the towel. And not simply knowing when to quit, but actually quitting. There are many cases when the time and energy it requires to continually look for a different, workable angle of approach often are not justified by the return - and a whole new route is the best plan of attack.

Our measure of worth is often judged by our achievements, and social mores typically define achievement as having accomplished a goal or attained a certain level of success. If we quit, we're seen as a loser. A non-achiever. The dirty 7-letter Q word: quitter.

Well, I'm here to make a declaration: I am a quitter. That's right, I quit and I'm proud. And as a result of quitting, I've often improved my life and the lives of those around me. In fact, my success often comes from my ability to quit. Paradox? I think not.

Any time our company was involved in a line of business, a client relationship, or a technology that simply didn't return on its investment - the time and money infused to keep it "a success" - we pulled the plug. We've remained in the market - and profited from it - often while others have not, and we credit this in part to knowing when to quit. Through quitting, I've ended numerous projects and plans, abandoned goals, and started fresh many times. And it's allowed me to take advantage of new opportunities and gain new leases on life along the way.

Life around us changes daily - personally and professionally. Our ability to shift gears and adapt - to quit when we need to quit - keeps us fluid, flexible, and - yes - successful.

Junk Food

Let's face it: at one time or another, we've all had the urge. A giant, juicy cheeseburger and greasy french fries, washed down with a big cup of sugary sweet carbonated goodness. Nectar of the gods, right? (OK, so maybe it's not a burger and fries, but just substitute your junk food poison of choice here.)

Sometimes, you just have a craving. You belly is rumbling, you've got a measly $3 in your pocket, and you just don't feel like driving the extra 2 miles to eat anything better. Hell, everything in moderation, right? I mean, one cheeseburger ain't gonna kill you, right? Besides, you'll eat healthy for dinner. Maybe a salad and fresh fish. Hit the gym a little extra tomorrow.

But for now, it's a quickie. And so good going down. For less than the cost of a gallon of high-test, you got your fix and fought off starvation for another couple of hours, and you didn't even have to waste the gas driving the extra few blocks for anything else. Ha! Congratulations. You beat the system, kid! Now you have all that extra time to take the nap that's sure to follow. Let the other guy do all the work trying to stay healthy.

But wait... What's that feeling? Your stomach? That... that lump. *urp* Ooof. Hmmm... how are you feeling now? Maybe that meal wasn't so satisfying in the end after all. Sure, it was an easy catch. And sure, it required no investment in time and zero thinking. It was fast, local, and you couldn't beat the price. But for the last half hour, you can hardly keep your eyes open and it feels like a sack of warm, wet cement in your gut... and it's slowly trying to ooze its way back up your esophagus.

What's that? You think maybe the other guy had it right after all? The guy who spent the extra few minutes driving to a better meal, investing a little more in gas and time? The guy who ate a satisfying lunch that gave him the energy and stength to charge through the day, rather than winding up bloated and run down from the fast-food fix?

If you haven't guessed already, I'm really not talking about burgers and fries here. Is your business based on a solid, well planned menu, or a steady diet of quick hits that leaves the illusion of being full one minute, but the reality of an upset stomach the next? The next time the phone rings, and the new prospect on the other end of the receiver has some new business for you, think carefully: is it a well balanced meal, or just a cheap, quick jolt to the books that eventually makes you regret taking the first bite?

(Unless we're talkin' seasoned curly fries. Those are always worth it.)

Our Community, Our Responsibility

(author's note: this post is paraphrased from a recent post I made to our city's Chamber of Commerce blog, and wanted to share my thoughts here, as well. -Steve)

* * *

As a media development company (video/TV/radio/interactive), we often interface with businesses and ad agencies in an effort to increase our clients' brand and market presence. But one thing we often see lacking in their efforts is something available to them free. And in this day and age, who doesn't like free?

Our Chamber is often said to be among the most active, progressive, and dynamic in the country; and from what we have seen so far, I believe this to be true. There is a veritable treasure trove of sub-committees, special interest groups, and helpful individuals within our community - all of whom are eager to lend a hand, ear, mind, or anything else they can. They represent a far-reaching network and powerful ally, and guess what? All of you reading this are also part of this wonderful microcosm.

More than merely having an interest, we should consider it an obligation to ourselves to help broaden and strengthen the network around us, as we are truly the stewards of our community. It does not build itself, and like any other living thing, it must be nurtured and cared for in order that it may grow and serve us back. And it's OK to have an agenda, an ulterior motive, an anticipation of some personal gain. We expect that if we put in an effort, there will be beneficial returns. And what benefits one will benefit many.

Look forward to connecting, and see you 'round town.

The Lemonade Kid

When I was in 4th or 5th grade, my brother and I were in Cub Scouts. And like most good scouts, we participated in fundraisers. One year, my troop was tasked with selling Christmas ornaments. He who made the most sales received the distinction of getting to walk up on stage at an end-of-year award ceremony and be recognized in front of all the other scouts. Well, I lived out in the boondocks, so making sales - as charming as I may have been - was something achieved few and far between. Nonetheless, I managed to sell a bloody ton of ornaments through good old-fashioned pounding the pavement; door-to-door at its most vigilant.

Well, as noble as my effort was, there was one resourceful kid who beat me out using another bit of old-fashioned knowledge: own the system, don't work for it. He outsourced! He did what so many other kids these days do: he got his dad to do the hawking for him. This kid must have supplied his old man with caseloads of ornaments, so that he could take them to work and sell them to all the staff. Hey, we've all seen this before: "My kid is selling pies; be a pal and order a couple." If you're a boss, and you hit up all your faithful, work-to-get-ahead employees, how can you lose? (Ouch... when did I get so cynical? Oh yeah, when I lost the Cub Scout sales award. Now I remember.)

I learned a lot then, but the lessons would really not be realized until years later. While I took the long, time-consuming, labor-intensive route and sold ornaments on a 1:1 individual basis, capitalizing on the bare minimum of sold goods-per-lead, the other kid pulled off a wholesale approach by sending cases of ornaments to a single point of distribution - his father's office - and outsourced the selling and distribution. Dad got the good feeling of helping his son, the scouts racked up a ton of sales, and the kid got the accolades for doing nothing more than delegating. While I honed my salesmanship, he unwittingly accrued upper management and business ownership skills.

Now, as smart as that kid was - perhaps even without his knowing at the time - he missed the whole point of the exercise: to learn how to sell. Yes, he won the award, but he never got the selling experience that the scouts intended him to have. To this end, a word of advice to all parents: let your kids do their own selling! It's not about how many apple pies or reindeer made out of clothespins that get pawned off; it's about the "art of the sale" itself that every kid should learn. After all, selling - at a base level - makes the world go 'round.

As was suggested to me this morning, one needs to know enough about the system in order to know how to best work the system. One of the best things any kid should do? Open a lemonade stand! And if not lemonade, then cookies, birdhouses, or magazine subscriptions. Learn and develop the skills that will refine over time, building the foundation for not just a good entrepreneur or leader, but a great one.

Ch-ch-ch-changes

If someone were to tell me five years ago that my life would be as it is now, I wouldn't necessarily be surprised, but it would certainly sound like one of those science fiction parallel universe stories. In fact, even a single year ago was quite a bit different from now.

How often in our lives are we able to truly predict what will happen next with any real degree of certainty? We plot our courses and set sail - often with a flight plan, so to speak - but do we always reach our destination? And if we do, is it in the way we intended? Did we get thrown off course, or spring a leak in the hull along the way?

One of our well known corporate clients had a long-running slogan, "You can't predict; you can prepare." I think that's an especially key mantra to live by in this day and age. Given the tumultuous business climate, erratic financial market behavior, and consequently unstable nature of clients' budgets (or even the clients themselves), who among business owners are able to quantify with great certainty how their companies will fare over the next quarter, season, or year? Banks, consultants, and accountants have been saying, "Sure, you've had a great run over the years. But let's see how you do this year." It's a whole new ballgame for business; a "New World Order" as some say. It's time to get creative, but also time to look around and see how prepared we are to weather the storm - come what may.

Like with roulette, each day in business can be like a chance with the wheel. How ready are we for each new spin? Adapting to change and finding new ways of doing old things are notions I often write - and speak to people - about. Indeed, it's central to the theme of this blog. But as much effort as we all put into being adaptable and inventive, so too must effort be put into being proactive in our business strategy. The climate for most businesses can shift as radically as a winter wind. Build a position to be able to react smartly. So no matter what number comes up on the proverbial wheel, you'll have a leg up.

A New Box

It's amazing how many conversations get launched over the title of my blogsite, and the metaphor it suggests. For those new here, it describes a simple notion: thinking outside the box is not the answer. Nearly everything we need is inside the box - in our own hearts and minds and in our stable of resources. What often needs changing is the box itself.  The model. The framework. The rules of engagement. Especially during times of economic downturn, businesses and their people need to find alternative ways of working and creating. But getting outside the box is a bit like running away. Now is the time to focus on the inside, and in recreating our environment - our box.

The face of industry is changing before our eyes, and often suggests looking at a more organic, collaborative approach. In the entire communications industry, alliances with smaller, focused, and highly capable partners - even individuals - are becoming increasingly the norm. Client lists are growing longer and more diverse, as resources are being tapped to act as part of a consortium on a wider variety of projects. And we see fewer larger agencies in a sole capacity to their clients, but rather a rise in smaller shops who form alliances with several team providers.

In the current landscape, there is an increase in the communal, collaborative aspect of business. And specialists - while often preferred - are often now requiring to become "specialized generalists" - multi-disciplined in several capacities. Think also to "the old days" of the nature of early American society: one guy made all the horseshoes while someone else grew the corn, and they bartered. And there was a doctor who might also be the postman. People in settlements used the skills they had, in whatever capacity they could properly provide, to help one another live and prosper.

I am suggesting this paradigm is now once again an appropriate strategy. And frankly, for some businesses, it represents their greatest chance for survival.

There are added benefits: for starters, reduced competition in one's market. In the case of otherwise competitors joining forces, there become fewer options to the buying market, and therefore a corresponding increased chance for this new alliance to land business - particularly if these collaborators are already strong players in their field. And if each brings their own areas of specialty, along with the shared resources they might enjoy, the resulting alliance is a leaner, stronger, healthier entity than are the collaborators individually. 1+1+1 can equal 6.

How are you approaching your business model?

Thanks for reading, and I welcome your feedback.

A Change of Scenery

Perspective.  It can be the best medicine.  It's an amazing thing: it is free of charge, and can work instantaneously.  It's like the saying my mother used to tell me as a kid, "I cried because I had no shoes, until I met a man who had no feet."  One minute, life is terrible.  Until fresh perspective comes along and saves the day.

"Things could always be worse."  And that's usually true, as bad as things may be at the moment.  Did you get a flat tire on the way to work?  Be happy it wasn't in the middle of the desert at 3am.  It goes hand in hand with "look on the bright side."  While it may be difficult to find even so much as a thread of silver lining in the bad times, it's usually there - burried beneath a few layers of muck. 

In the movie Ratatouille, film critic Anton Ego suggests that the young restaurateur - Linguini - offer to serve him up some "fresh perspective."  Something that might change his mind about the restaurant and the way he perceived it.  Linguini did just that, and served Ego a plate of Ratatouille - a dish that brought Ego back to memories of his childhood.  He insisted on meeting the chef - a rat, of course - and after hearing the incredible story, Ego's entire attitude and understanding changed.  Indeed, he was served some "fresh perspective" and saw the restaurant in a whole new light.

What gets us through each day is an ability to look at other sides of the dice that are rolled. Rolling threes may not be as good as a pair of sixes, but at least it's not snake eyes.

Life Happens - Part 2

Years ago, I was working with the head of a financial planning company who was also an excellent motivational speaker. His speeches included several memorable aphorisms and parables, among my favorites being along the lines of, "Don't be someone who life merely happens to. Be someone who makes life happen for themselves." In his speaking, he encouraged people to be proactive and not simply reactive. Make financial decisions that set us up for a life of well-prepared planning and sound strategy. And even if occasionally found behind the 8 ball, we can reverse the mindset that causes many of us to feel controlled and not in control.

In business, many of us tend to react to situations at hand with a greater deal of disorganization or forethought when pressed to make decisions under duress.  Emotions come into play to a far greater extent. Our hearts can take over when our heads don't have enough time to make the best decisions. To have a mentality that predicates on a basis of control is to reduce emotional influence, and to make our plans more largely based on logic and prepared tactics.

Ever played a game of chess and felt as though every move was simply a defensive one - a bid to stay alive and merely survive another turn? To minimize casualties and sustain as little damage for as long as possible? Perhaps sacrificing a pawn or two if it means sparing a knight? And the feeling of never being able to get ahead, since all of ones turns are exercised simply to keep afloat?  And what of the other player, who seems in complete charge of the game, sacrificing few - if any - key pieces, making moves with calculated, seemingly effortless flow? This "upper hand" was the result of setting up a strategy that afforded offensive moves with far less need for the defensive, reactionary tactics employed by the lesser-planned player. At the outset of the game, both players started on even ground. Yet after a handful of turns, how does one player fall prey to the other? Is it a matter of not knowing the rules? Not understanding the play of the game? Of course not; the rules are simple. It came down to planned strategy and understanding control.

When we win a new client, was it a stroke of luck? A wistful happenstance? Not so much; it was a result of the control we had over everything that went into winning the heart and mind of the client, from demonstrating our ability to deliver the services and products the client needs, to the promise of value or pricing, to our confidence in our relationships with them. And what of losing a client? How much can be blamed that was truly outside our control, with absolutely no way around an obstacle? How willing might we be to bend and flex, in an effort to maintain something otherwise lost? It is the limitless range of possibilities we possess to adapt, change, and grow that puts us in full control of far greater things than we often give ourselves credit for. 

In summary, as is a common theme in this blog, it can't be stressed enough the importance of a few things:

1. Have a plan! Don't go into anything improvised. It's true we often need to think on our feet and make some fast, intuitive decisions from time to time.  But unlike the fresh, often exhilarating approach to spontaneity we might enjoy in our personal lives, our businesses require forethought and calculated strategies to exist healthily.

2. Stay ahead of the game. Always being prepared for the next several moves, so to speak, will keep us from finding ourselves in a purely reactionary state. Whether it be having enough money in the company coffers to withstand a brief downturn, having the staff and advance resources available to adequately handle new work that comes along quickly and efficiently, or simply having the time available to devote to a crisis that may arise - all these things represent being stabilized, and allow us to act more logically and rationally.

3. Remember: you are in the driver's seat. Will we come in first every race? Not necessarily; but the important part is to understand we achieved each advance position in the circuit based on exercising control over our circumstances and the other drivers on the field. And never take your eye off the rear view mirror by becoming too focused on the road ahead. Every driver behind you wants to be in front as much as you do and will use their own control to achieve this.

Every minute of our day is another move on the chess board. Will we make our moves reactively and defensively, or proactively and on top of the game? Keep in mind the above three things, and you'll live a life of greater control.  And our businesses and personal lives will thrive for it.