Some thoughts on trust and blogging

You'll want to visit the active Construction Marketing Ideas blog at http://www.constructionmarketingideas.com for today's posting on this topic.

And you can still register for my presentation: Can you really have 500 (or 5,000) friends? on the Web.

You can obtain more information and register at this link.

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What works?

If successful marketing is all about obtaining more, higher margin sales, and achieving these sales is all about your brand, and great branding is all about trust, what is your most effective marketing strategy?

The answer is you want to find the lowest cost methods, with the highest leverage, which results in the greatest amount of trust among potential clients.

Here, things get interesting.

• Conventional advertising in mass media may reach many people, but can you build a campaign that creates trust (brand) at reasonable cost -- especially if you haven't advertised much before?

• Word-of-mouth referrals of course are inexpensive and loaded with trust, but how do you leverage this asset? If you do nothing, often nothing happens.

• Great media publicity, in electronic and print media read and viewed by your potential clients -- especially in a community where you have great word-of-mouth reputation, offers truly high leverage opportunities, little cost, and great trust-building advantages. (That is where our publicity and media services come in handy.)

• Community service, through active, engaged participation in organizations and groups related to your clients, has less dramatic leverage opportunities, as many of your relationships are one-on-one and in small groups, but the intensity of the relationships and their quality (especially if you are connecting with community referral leaders), can be dramatic.

If you put everything together into an effective package, you can leverage all the resources to maximum effect: Consider the impact of taking the lead on a community activity, relevant to your business, worthy of great positive publicity.

Would your results be greater value for money than conventional advertising?

I think so, by far, but I also acknowledge this type of activity requires work, specialized skills and knowledge you are unlikely to have, and is rarely if ever conveniently packaged for you by friendly and co-operative sales representatives.

That of course brings you back to our own organization's philosophy. We'll do our best to help you with the bigger picture. But we can't do it for you. You need to put these pieces together in your own mind, understand your market, and then take the lead to make things work.

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What do you want to hear?

Yesterday, an electrical contractor phoned me to receive some advice on how to market his idea. He planned to start a design consulting service where people would obtain his advice on the overall project before getting started.

My initial reaction: "This will be a hard sell" because of the trust problem. Why should anyone go to him for this level of advice?

Where are his credentials, and where is his reputation?

Then I probed some more for the underlying reason.

He had hoped to connect with potential clients earlier in their decision-making stage so he could ultimately obtain their electrical contracting business.

The latter isn't such a bad idea, if you can pull it off, but I told him I didn't think the advisory service would fly, at least at present, because in effect he is asking people do business with him on a supposedly independent advisory level when in fact his real intent is to obtain their business as an electrical contractor.

Where is the trust here?

This led me to the next stage of the conversation, offering him some useful advice he could implement right away, without spending any significant money, and without expecting him to do any business with me.

"Are your former clients really happy with your service," I asked. He said: "Yes". I told him to take his best clients for dinner, or lunch, or coffee, and pick brains about their interests and values, offer them some free service as a Thank You, and then enlist their support to endorse or recommend his business.

I listened to him as I discussed these ideas, and could tell he wasn't really listening.

I had just shot down his great idea, and now was suggesting something "he had considered before" but just didn't want to do.

That's fair enough. My consulting services are free in this context. But I've heard stories from paid consultants who describe the paradox of their work: They deliver useful, honorable advice, but their clients rarely implement the best ideas, often making the same mistakes, and often calling them back with more fee-paid opportunities.

You might see this as a vicious or virtuous circle, depending on your perspective. The consultant doesn't mind the repeat engagements and fees, but surely the client can learn to do things more wisely.

Trouble is, most of the time, we are stuck in our ways, and it is hard to change. Sometimes a good jolt (like a recession) helps, but mostly we want to continue just as we are. This is especially the case if any change would interfere or threaten our underlying beliefs or values.

These principals apply to your potential clients, as well. They may be looking for security, adventure, quality, or price, or an impossible combination of everything, but your marketing message will only click with them when they hear what they want to hear, so you need to speak in their voice.

This can be hard to do because you may have a disconnect between your client's voice (perception) and yours. If you are fortunate to have the ability to modify your way of communicating, you can be successful. Probably easier is to work with and find clients with similar perspectives and values as yours. You'll relate naturally, without stress or angst.

As for the electrical contractor, I don't think he will give up on his idea. He will call others seeking free advice, he will continue to dream that he could be an advisor and guide his clients to the right way for the entire project, and, winning their trust, show them how his electrical contracting service is the best.

I won't change his mind, but if I wanted to run a con, I could offer to give him guidance in implementing his idea, for a price, of course. (Assuming he doesn't also have a perception that paying for any advice is unwise.)

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Construction marketing: Outsiders, insiders and the point of transition

At the Design and Construction Network Happy Hour in Washington on June 30: Sarah B. Dolby, Associate Account Manager with Atlantic Risk Management Corporation, Kathleen C. O'Leary, Business Developmentt with Scott-Long Construction, Inc., Lindsay B. McGhee, Account Manager with Atlantic Risk Management Corporation, and Brad McCoy, Account Executive with Mainbrain. You can connect with this group (no cost!) by visiting mydcn.com.

Successful construction-industry marketing is all about winning a place within your current and prospective clients' inner trust circle. When you get there, your relationships don't feel like business, they are more like enduring friendships. Money is still important, but your clients don't begrudge you your price (and profit) because they know you have their best inters ts at heart.

If your clients are "forced" by regulations or standard practice to ensure there are competitive bids, they will wire things so that you virtually always win. (I still remember a Labor Day weekend email containing the complete bidding documentation of a competitor sent to me by the bidding authority. No, I didn't ask for this confidential information, or imply even indirectly that this unofficial communication should happen. It just did.) In the U.S. public sector work especially at the federal level operates under Brooks Act rules, which takes price out of the picture and puts relationships and trust at center-stage.

The first construction marketing success question is how you win this trusted place? Equally important -- and providing a great clue to the the second question's answer, is "How do you retain the trust?"

The second question of course is easiest to answer. You retain the trust by delivering the goods with sensitivity, respect, and a sense of community, compassion, security, and adventure. In other words, you do your work so well and with your clients' interests so much in your heart that they would be insane to leave you.

(If you have in good times had a successful business by 'relying' on referrals for new work and repeat orders, you mostly have the second question answered correctly.)

Most importantly, you need to solve the second question before you even try to answer the first question. In other words, if you cannot truly deliver value for your clients, you must stop, think carefully, and either revise your business or do something else. You will be spinning your marketing wheels.

Nevertheless, even if you are great at what you do, you still need to answer the first question. You need new clients to replace ones that leave and to grow. You need to show people who don't know you, or who know you but aren't ready to accept you, that you are worthy of their consideration. Solutions include:

Connect your current, satisfied clients with new/prospective clients
This is where organized referral programs are helpful. These could be as simple as inviting clients for a meal and seeing if they know friends or colleagues who would do business with you, or as sophisticated as co-ordinating Networking and Thank-you events for your current/prospective clients.

Achieve media recognition and respect
Positive articles about your business in credible news media provide powerful trust-developing capacities. You aren't selling, you are delivering. The best media publicity is mostly "free" in that you don't pay directly for it, nor can you control every word or image that is published, and you don't have marketing control over the time and schedule of the publicity. Advertising-supported editorial (advertorial) publishing can be an effective compromise. It is what we do best and we can often provide this service without any cash or financial requirement from your business. See the Design and Construction Report for example.

Connect with your community
In the consumer market, this includes sports and community groups and associations; in the business market, you'll gain much traction by contributing to relevant client-centric associations. (Yes, participate in your own trade association, but your marketing clout will be highest when you participate in the association reflecting your clients' interests.)

Get your web presence in order
You need a great website optimized to attract leads and client interest within your marketplace. Most people now head to the Internet when they are looking for someone new, or to verify the credibility of someone they have heard a little about. High search engine rankings are better than top billing on the old Yellow Pages (these still work in some places), or community classified ads because they convey both credibility and provide immediate connections between potential clients in immediate need and your business. (We can help you out here, of course, especially if you have discovered this blog through the search engine process!)

Will any of these resources provide a quick-fix to your business/marketing challenges? Certainly, you can quickly develop your current and previous client relationships and build on them.

You may hit it off immediately with someone new, "Love at first sight", but obviously if you are banking on this happening with strangers, routinely, you are asking for trouble, both personally and in business.

What about price? Can you win trust by lowering it?
I think this is the hardest and most foolhardy way to win marketing battles. Do you really want to work with clients who hammer you down so far that you can't earn a profit?

And if you are marketing on price, how will you ever make enough money to make your business worthwhile? The only exception is if you have such a technological or operating advantage that you can truly be profitable while undercutting your competition. But most of us don't have that advantage.

As you read this, you may be scratching your head. You are being under-cut by fly-by-nighters, your loyal clients have deserted you to save some money (even though you provide great service), and you aren't worried about whether a potential client is an outsider, insider, or some fly on the wall. You just need business, quickly.

My advice for you is to take a deep breath, roll up your sleeves, reduce your business expenses and overhead as much as possible, and spend an hour a day studying marketing. Then compile a list of your current and former clients, and figure out some "gives" (time not cash!) to justify a call or visit.

As you do this, start your community/association connection and publicity strategies. Call or email me at 888-432-3555 ext 224 or buckshon@cnrgp.com for some ideas.

How do you know you've reached the point of transition when you turn from an outsider to an insider? That magic moment occurs when someone you know and respect calls you, without hesitation, and either offers you business without worrying about price, or forwards a referral, seemingly unrequested. At that moment, you can celebrate true marketing and business success.

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Buying, marketing and selling -- an explanation of why the best contractors are often the least successful at marketing

Readers here may recall this rather fascinating piece of literature I received in the in-box a few weeks ago.

You are an idiot. Remove me from your sophmoric (spelling as sent by Arthur House/ed) trash!

You should attend my seminars - and maybe you should have attended my construction marketing classes at FIU (Florida International University/ed)

But you probably are not MBA material. What a bunch of crap you spew!

Respectfully;

Arthur T. House
207-338-5285

www.arthurhouse.com

What provoked this rather amazing observation?

I had tried to turn my e-letter and blog into a selling tool for a truly ill-conceived Construction Marketing Course, something you would actually pay me to receive. House, with some legitimate teaching credentials, thought this laughable, and wrote his response. (Incidentally, no one took me up on the original offer -- perhaps two people tried the email address in my marketing piece, on a list of about 10,000 names, but they certainly didn't say 'yes' to my proposal.)

Yesterday, Susan Simion provided a clue to what provoked House's negative outburst and the lack of positive response when I actually tried to sell something here.

What makes people almost buy? What makes them get most of the way there, then drop out of your shopping cart at the last second? What makes them stare at your landing page, wanting what you have to offer, and yet, ultimately, close the page and move on to something else?

It turns out there’s a hideous troll hiding under the bridge. Every time you get close to making a sale, the troll springs out and scares your prospect away. Get rid of the troll and your copy will start converting better than it ever has before.

The ugly, smelly, dirty, bad-mannered troll is prospect fear. And it’s sitting there right now, stinking up your landing page and scaring good customers away.

She goes on to describe a variety of marketing tools and techniques designed to entice you to part with your money, only to find the entire experience disappointing. It seems the online (and real) world is full of scams.

One of the classics around is the variants of the "Google ATM" offer, in which people sign up for a "Work at Home" opportunity to make big money passively by running Google Adsense on their websites. (Like all good scams there is a grain of truth underlying the rip-off. Google Adsense provides great passive income for really well established and successful websites, but you certainly aren't going to get rich quick with a new home-made endeavour, and Google doesn't charge a cent -- certainly not $70 or so a month -- to set you you up in the business.)

Once burned, twice shy; twice or more burned, you are totally turned off by most marketing and sales conventions. You don't want to do that sort of stuff, do you?

So you don't. You build your reputation for quality, to the point that clients call you, refer friends, and you feel great about your work. Periodically, telemarketers break through your resistance, offering seemingly irresistible leads services or advertising opportunities. You "bite" only, always, to end up disappointed. You vow, to yourself, that you will never stoop that low; you will never waste money on marketing and sales, and you will continue to rely on word-of-mouth.

Then your business dries up. You are desperate. And perhaps you listen a little more closely to those marketing guys who call you (and who you listen to, because no one else, certainly not clients) are phoning you these days. Maybe, just maybe, it will be different this time. But it isn't. And you are worse off than before.

Maybe you think you are an "idiot".

You aren't. But you will have to get around some fundamental resistance whenever you go out to seek business, rather than passively wait for it to come to you. Susan Simion certainly has part of the answer in her blog posting, and this resistance explains why, whenever I try to "sell" using this blog, I end up disappointed. Similarly, you can see the consequences whenever you go out against competition in the marketplace, trying to entice people to respond quickly to your advertising or marketing messages. Fear, and bad experiences, build resistance and make it harder, much harder, to break through.

There are answers, however and here are some worthy of consideration.

You can use word-of-mouth in making your marketing choices, much like you like word of mouth referrals for your own business.

This is where forums such as contractortalk.com and your local industry associations are really helpful. Members share their best experiences, and biggest problems, and (with this information) your risk of disaster is much lower than if you go out cold.

You can certainly work with your current clients,and learn from them, about what they read, like, and care about. This gives you ammunition in deciding your best course of action.

You can set up a plan, budget, and disciplined approach to marketing expenses. And within this budget, you can try different approaches, gradually gathering a group of tried-and-true methods that are effective in most conditions. Then when someone calls you with a brilliant construction marketing idea, you can elect whether or not to reallocate some of your budget or (more likely) decline the unsolicited offer, unless you only need to pay in arrears, if the great idea is truly successful.

These ideas work, I'm sure. But what about this blog? I can't get you to buy anything from me here, right? No, but I've told my wife that in 10 years I will be a highly paid Construction Marketing Ideas consultant. (If you click on the Construction Marketing Ideas consultant link, your email browser will open, and you will be free to write your own "idiot" email -- or ask for my insights into your biggest current marketing challenge, free.)

Years of accumulated experience, insights, and knowledge, coupled with practical understanding of what works and what doesn't, will achieve the results no get-rich-quick scheme can achieve.

She remarks: "But you are giving everything away for free."

Yes, with good reason.

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