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Archive for October, 2006

Word of Mouth Marketing (Review by Guy Kawasaki)

Sunday, October 22nd, 2006

Book Preview: Word of Mouth Marketing by Andy Sernovitz
My buddy Andy Sernovitz, the CEO of the Word of Mouth Marketing Association, is coming out with a new book called, duh, Word of Mouth Marketing.

I highly recommend this book because it was so practical, tactical, and hysterical. Here are the ten ideas, stories, and recommendations from the book that I liked the most:

1. Companies could hire a customer service rep to cruise the Internet looking for kudos and complaints. When the rep finds kudos, he should thank the person. When the rep finds complaints, he should get it fixed. This is such a simple, effective idea—I doubt, therefore, that many companies will do it! :-)

2. Commerce Bank has a free change-counting machine in its branches that anyone can use. This beats the hell out of the machines in markets that take 7%.

3. A study by the Verde Group showed that people who heard about a bad shopping experience are less likely to go to the same store than the person who actually had the bad experience.

4. The most powerful word-of-mouth advocates might be the customers who have only done business with you once so far. They are the most excited; repeat customers are probably accustomed to the great product/service and therefore, ironically, less likely to talk about it.

5. The Prostate Net, a not-for-profit educational organization, contacted 50,000 barbers to talk to their clients about prostate cancer detection and prevention.

6. Incentives and rewards are likely to reduce word-of-mouth advertising because motivation becomes suspect. You can’t “buy” word-of-mouth advertising.

7. The Wynn Las Vegas resort gave free rooms to cabbies to generate word-of-mouth advertising via this very influential part of the transportation infrastructure.

8. Henkel Consumer Adhesives, the manufacturer of Duck Tape, sponsors a contest for college scholarships called “Stuck at Prom.” Is this funny or what?

9. A word-of-mouth campaign, brought back “Family Guy” from the dead (that is, cancellation). How many tv series have you heard of coming back from the dead?

10. Zappos has a one-year, no questions asked return policy for shoes. This boggles my mind although I’ve never heard of any woman return anything to Zappos.

Someday I hope to read about your kick-butt ideas in a book like this. Until then, your word-of-mouth marketing efforts will surely get a boost if you read this book.

Whole + complete

Wednesday, October 18th, 2006

“Everything you need you already have. You are complete right now, you are a whole, total person, not an apprentice person on the way to someplace else. Your completeness must be understood by you and experienced in your thoughts as your own personal reality.”

~Wayne Dyer~

7 beliefs that govern – agency.com

Sunday, October 15th, 2006

beliefs

1.
in a world of spiralling choices and mounting overload
we believe in making the complex simple

2.
in a world of product parity, low attention spans and bought loyalty
we believe captivating experiences create affinity

3.
in a world of decisions based on the briefest of encounters
we believe every touchpoint matters

4.
in a world of disjointed and fragmented communications
we believe digital interactions must fit seamlessly into the customer experience

5.
in a world propelled by incredible technology
we believe human behavior is the hardest code to crack

6.
in a world where customers demand perfection
we believe delight leads to demand

7.
in a world full of brands and their noise
we believe it takes insight and imagination to stand out and win

in an interactive world, you need an agency.com

Semester at Sea

Saturday, October 14th, 2006

In college, I stepped out on the skinny branches to go on an educational program called Semester at Sea. At this point, I had never traveled any further than Winsor, Canada or Nogales, Mexico. Being that I was from Fort Wayne, Indiana, the world was huge and scary to me. So the world to me was something I wanted to get to know and I challenged myself to greatest adventure and period of personal growth. I enrolled not knowing a single person that had attended Semester at Sea. So I began a learning experience that not a single day goes by where I am not blessed from the adventure, experience, education, and open mind that this program created for me. So check out the Semester at Sea Video and enjoy. Enroll if you can or enroll someone. You will change their life forever. This is the type of education you just cannot buy or understand until completion.

Semester at Sea started in the Bahama’s, then went to Venezuela, Brazil, South Africa, Kenya, Tanzania, India, Vietnam, Hong Kong, Macau, China, Taiwan, Japan and returned to Seattle. The program is just over 100 days and when at Sea you have classes from Professors and world leaders such as Desmond Tatu. In port, there are iteniaries that included meeting Nelson Mandela, visiting companies, learning languages, seeing the Great Wall, the Taj Mahal, going on an African Safari, climbing Mountains, University exchanges, putting on a Circus, and many other unique cultural experiences that took you far beyond your comfort zone. To the point, you became comfortable with being uncomfortable.

Nonetheless, other programs that I have participated in that have been intense and valuable are Landmark Forum, European Business Seminar, Casa de Espanol in Guatemala, PSI Seminars Men’s Leadership and Rapport Leadership International Master Graduate Program. All have created the experience I have to be successful every day. How cool is that?

Extend you customer strategy

Friday, October 13th, 2006

Turn strangers into friends…
Turn friends into customers…
and then do the important job…
Turn customers into salespeople.

- Seth Godin, Small is the new Big (2006)

Create hospitality not service, extend how you treat your employees first and then your customers. Create a hospitable workplace and your customers will benefit and keep coming back.

Create simple elegance with everything you do, be frictionless. Read my new book, Frictionless to learn more.

Articles with Great Quotes (my quotes or articles)

Thursday, October 12th, 2006

LookSmart’s FindArticles – Power tools: whether you own a business or work for one, these gadgets, guidebooks and gurus can take you to the top

Essence, June, 2006, by Wendy Wilson

Books about selling can help newcomers, veterans in sales

THE JOURNAL NEWS, March 2006, by BARBARA WOLLER

Organize-U Highlights Aaron Bare

Organize-U, March 2004

SWOT Team: Asks Will CAN-SPAM Make List Brokers Obsolete?

Marketing Prof, 2003

Other articles have appeared in the Wall Street Journal, Readers Digest, Power Broker Magazine, Selling Power, and Sales and Marketing Management.

Is it a SMART goal?

Tuesday, October 10th, 2006

Is it a…
Specific,
Measureable,
Attainable,
Realistic,
Tangible
goal?

Quotes by van der Hayden

Monday, October 9th, 2006

“When the will comes in conflict with the imagination, the imagination invariable carries the day.”- Emile Coue

“Give me a lever long enough and a place to stand and I will move the entire earth”- Archimedes (C. 287 – 212 B.C.)

“Most people’s lives are a direct reflection of their peer groups”- Anthony Robbins

“No man becomes rich unless he enriches others”- Andrew Carnegie

These are quotes provided by Robert van der Hayden, a world class designer, collaborator and friend. When he shares his portfolio of uniqueness with me, I will share it with you.

Leadership Qualities and Ratings

Monday, October 9th, 2006

Rank yourself 1-10 on the following attributes. Focus on improving your scores in these areas and your performance will improve.

Defined Goal or Main Cause: All leaders have a definitive goal or cause, which they support and which is supported by them. They see this goal or cause as greater than themselves and to its fulfillment they commit their lives.

Self control: Self control refers to the ability to keep emotions, physical desires and intellectual thoughts directed towards a given end.

Self Confidence: A high self confidence indicates a strong trust in ones own powers and abilities.

Self Esteem: To esteem yourself is to love yourself unconditionally.

Enthusiasm: Attitude or feeling about life. People who display stong, positive, and excited feelings.

Persistence: Ability to continue ones course despite difficulties, oppositions, and failures.

Creative and Imagination: Refers to unique and fresh approaches to overcoming barriers and problem solving.

Clear Thinking: The ability to organize thought, identify the main parts and keep emotionally laden facts in perspective.

Achiever: An achiever gets results.

Communicator: Ability to communicate ideas simply and by doing so influence others to their way of thinking.

Taking the Initiative: Instigate of change.

Personal Commitment: Personal lives enhance and support the cause or goal for which one works. All resources are stacked towards the achievment of the goal.

Ability to Create Unity: Technique of keeping things in balance and maintaining harmony.

Willingness to do more than paid for: Leaders reach out and do what needs to be done regardless of the amount they are paid.

Courage to make decisions: Leaders do and must make decisions that affect only their own lives but also those of the people around them.

Strategic intuition: The key to innovation

Friday, October 6th, 2006

Strategic intuition: The key to innovation
Combining ideas from military history, cognitive psychology and modern neuroscience, strategic intuition offers a four-step method for identifying and capturing opportunity.

Several years ago, Professor William Duggan was intrigued to learn that while most common English words date back to at least the 15th or 16th century, the word strategy entered the language only in 1810. He set out to discover why. It turned out that in 1810 Napoleon Bonaparte was at the height of his power, and in that year Carl von Clausewitz began his classic treatise On War, which attempts to explain Napoleon’s military success. “Von Clausewitz describes something as the essence of strategy that he calls coup d’oeil, which in French means ‘glance,’” Duggan says. “And it occurred to me that it seemed an awful lot like modern research on expert intuition.”

That connection led Duggan to a concept he calls strategic intuition — a framework for understanding how great strategists set and achieve goals. He articulated the idea in two books, Napoleon’s Glance and The Art of What Works, both published in 2003. So when the U.S. Army asked him to explore the implications of strategic intuition for Army planning procedures, the idea came full circle — back to its military origins.

In On War, finally published in 1832, von Clausewitz points out that instead of pursuing territorial objectives, Napoleon looked for opportunities to win battles. A profound student of military history, Napoleon sought to apply the successful tactics of past generals to new situations. Von Clausewitz describes four elements of Napoleon’s approach to strategy: (1) examples from history, (2) presence of mind, (3) a coup d’oeil or flash of insight, and (4) the resolution to move forward and overcome all obstacles.

Research on expert intuition supports the notion that in urgent situations, people make decisions by combining analysis of past experience with a flash of insight. In the 1990s psychologist Gary Klein studied the decision-making processes of emergency room nurses, firefighters and soldiers in battle. While these experts initially attributed their choices to intuition, further probing revealed that they were actually making rapid connections between the situation at hand and similar situations stored in their memories.

Recent brain research provides further evidence that people make decisions through a combination of analysis and intuition. In 2000 a group of neuroscientists won the Nobel Prize for a new model of the brain called intelligent memory, which overturned the previous left-brain/right-brain model. “Basically as you go through life, you’re putting things on the shelves of your brain,” says Duggan. “The scientists call it parsing; it’s technically analysis. Your brain is constantly comparing what it’s taking in to what’s already there, and when it finds a combination — a synthesis — you have an insight.”

After making the connection between von Clausewitz and modern science, Duggan defined the common idea as strategic intuition: “the selective projection of past elements into the future in a new combination as a course of action that might or might not fit your previous goals, and the personal commitment to work out the details along the way.”

Last year Duggan reviewed the core procedures in the Army’s standard planning manual to see how well they fit with strategic intuition. In the resulting publication, Coup d’Oeil: Strategic Intuition in Army Planning, he notes that the manual reflects an outdated view of the human mind — the idea that analysis and intuition take place in separate parts of the brain and are appropriate for different situations. In reality, as the new brain research shows, analysis and intuition are closely intertwined in all situations.

Strategic intuition describes how breakthrough ideas happen in all realms of human endeavor, from business to politics to art. “This might sound like the opposite of an innovation, but in a practical sense this is how innovation actually happens,” says Duggan. “And even in business this is an old idea — the Austrian economist Joseph Schumpeter basically said this in the 1940s. So it’s something that we rediscover again and again and again. I trace its earliest origins to the Tao Te Ching in ancient China, 450 BC.”

In a course that Duggan teaches in Columbia’s MBA, Executive MBA and Executive Education programs, he introduces strategic intuition with a famous quote from Thomas Edison: “Genius is one percent inspiration and 99 percent perspiration.” Duggan adds, “What we’re talking about here is the one percent. It’s only one small piece of the puzzle. But if you don’t have inspiration, your perspiration is a waste of time.”

Once you understand how strategic intuition works, you can identify opportunities that you might otherwise have missed by following these four steps:

1. Examples from history

If the shelves of your brain are well stocked, you are more likely to make an important connection. Napoleon and Patton, two of the most successful generals who ever lived, both had an encyclopedic knowledge of military history. “They were famous for not choosing a strategic objective, like a city or a bridge or a fort, but rather putting their armies in motion,” says Duggan. “When they recognized a strategic situation from past battles, they would replicate that battle or pieces of that battle to defeat the enemy. They fought battles; they didn’t conquer territory. But in doing so they defeated the enemy.”

2. Presence of mind

The key to presence of mind is expecting the unexpected. In order to open your mind to a coup d’oeil, you must abandon your preconceived notions of what the solution might be — or sometimes even what the problem is. “Sometimes people don’t see what to do, and that’s OK,” Duggan says. “They should keep searching and keep looking for opportunity. And if they’re prepared and aware and have great presence of mind, they will see the opportunity that indeed might take them in a different direction than if they had first tried to plan without an idea of how actually to fulfill the plan.”

3. A flash of insight

A coup d’oeil is not a totally new idea but rather a new way of combining past ideas from different sources. For example, Ransom Olds was the first carmaker to build a mass-produced car using a stationary assembly line, and Henry Ford copied that car quite closely in both its design and its manufacturing process. Then on a visit to the Chicago stockyards, where carcasses were hung on a rail and moved from station to station, Ford got a flash of inspiration — and the moving assembly line was born.

A coup d’oeil can show you how to reach a goal, but it can also change your goal — an idea that many people find difficult to accept. “Most strategic planning typically says, first, ‘What’s your goal?’” says Duggan, “and then it helps you plan. It doesn’t really care what the goal is. Whereas strategic intuition offers a way to answer the question ‘What’s a good goal?’ And a good goal is one that you see some way to reach, based on some combination of things you can put together from the past.”

4. Resolution

Resolution in this context is more than simply the determination to achieve your goal. It includes an element of flexibility — the willingness to move forward without a detailed plan and also the willingness to change course if a better opportunity presents itself. In Napoleon’s first campaign, his men were vastly outnumbered by Italian and Austrian troops. But because the situation resembled several campaigns of Frederick the Great some 50 years earlier, Napoleon had an idea: he would move his army between the Italian and Austrian armies and fight first one enemy and then the other.
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br />“His goal came out of some historical sense of what would work, and he projected that into this situation, which was not identical,” says Duggan. “He had a general goal rather than a detailed plan, and he put his army in motion and indeed he defeated each enemy army in turn, in a series of battles. He had no idea beforehand where the battles were going to be, but as they emerged he saw the opportunity there. So strategic intuition is not against goal setting. It just asks the question ‘Where does your goal come from?’ And then it says your goal is as detailed as you see — not more so — and that you fill the details in as you can.”

In Duggan’s strategy course, participants create a map of all the goals that might make them happy and all the opportunities they currently see that might get them to one goal or another. “The idea of having multiple possible directions is much more realistic in life and gives you many more options,” says Duggan. “But if you already have a five-year goal and know exactly what you’re going to do and really are trying to get there, that’s fine. Just remember that some opportunity may arise that will take you somewhere better.”

William Duggan is associate professor of management at Columbia Business School.