Money, Margins, Value and delivering LOCAL solutions... |
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All Business is Local.
Why Place Matters More Than Ever in a Global, Virtual World. Radio is in the right place.
IF you Create local Field Messages, you Deliver LOCAL High-VALUE for Your Customers.
Radio's strength is local market presence. Field Messages deliver local relevance for radio stations.
My 2 cents worth:
Tools and analysis that worked in the past do not work in the present.
It is difficult to let go of history and experience, and legacy.
The seven biggest broadcast KILLER companies did not exist 6 years ago.
Today, every customer demands instant payback- daily- measurable- hard-dollars- imediate return- on target- solutions.
This is the required foundation for a positive customer sales conversation. This is Quickshow.
Field Messages deliver in 5 BUSINESS VALUE areas.
#1 the money and margins,
#2 market position
#3 customers: existing, new, various markets, repeat
#4 implementation
#5 best of all alternatives
1 MONEY and MARGINS:
1a. field message packages retail at $5000 each
This may be less than a standard radio broadcast advertising package. But iIt's priced at a good 'get started' place. easy to purchase, low risk, with a one week implementation.
DELIVERED VALUE: $1000 cost, $5000 revenue. 400% return. zero investment: no capital or FTE or operating expense
1b. messaging accounts retail at $150 / year
customer locations and salesperson want their own messaging accounts, this is high quality recurring revenue, enable request additional shows
DELIVERED VALUE: $60 / year cost, times the number of sales people.
1c. sales margins, profit & risk avoidance
the Quickshow term sheet explains accounts, cost, mark up and our shared discount committment.
For Quickshow, this is an 'ALL-IN' arrangement: we supply audio and images, show build, and one messaging account.
If you provide local audio talent it raises your profit margin
DELIVERED VALUE: expands each customer as a profit center, takes your local talent voice inside a company, expands your local market sales autonomy
1d recurring revenue
Show edit, revision, changes and new shows created from old and existing shows. Messaging accounts are 100% recurring revenue.
DELIVERED VALUE: this is really complex accounting, you may need a spreadsheet to keep the details (:<))
1e cash flow value
collect and escrow the package money. as shows are completed Quickshow invoices your station for completed work. regular business accounting rules apply. field message packages invoicing timing and transition and reuse is spreadsheet time.
DELIVERED VALUE: Accounts Receivable people smile at you. Margins are GREAT.
1f Google's mobile ad sales will surge to $5.8 billion
DELIVERED VALUE: You finally don't feed at that trough with all the other Google resellers. Your Field Messages are also mobile ads. that deliver to web click measurement, plus feature phones, and all smart phones, PC, etc.
#2 market position
No one can dispute: it's a shark feeding frenzy. soon there won't be much left of the audio and TV broadcast business.
2a product delivery pace, customer response value.
build, delivery and edit typically do not exceed 5 days. delivery speed increases cash flow.
in today's busy world this allows you to provide multiple fast responses. Measured as value-- product delivery pace is a big multiplier.
DELIVERED VALUE: reduce invoice pay cycle by 10 days
2b sales message advantage for every radio station.
DELIVERED VALUE: become a hot industry that has relevance in today's rich media centric world
2c community advantage
radio's value is its presence in the local community. a long history and present-day relevance.
field messages expand radio's local reputation creating and delivering quality, providing a service, and involvement with local business.
VALUE: PRICELESS ! it's all soft money to the accountant.
(but, they don't run the business.)
2d local competitive value
field messages provide the opportunity to extend the audio VOICE of the local market personality
DELIVERED VALUE: deliver generic male and female, add factor with local D.J..
2e What's your business?
Don't confuse history with the future. The future is determined by your decision this week.
DELIVERED VALUE: decide on the right thing.
2f entertainment value / venue
your can present and sell field messages to any business. regardless of your on-air broadcast --whether country, rock 'n roll, or talk radio, a customer field message are not part of your radio broadcast entertainment. the customer can choose the type of background music they prefer.
DELIVERED VALUE: no customer left behind
3. Customers come in many sizes.
3a company headquarters
your local field message can be adapted to a national advertising, promotion, campaign.
DELIVERED VALUE: Gold. pure advertising company gold. It's 24K gold without the mine shaft. $1,000,000
3b Regional headquarters
DELIVERED VALUE: not as good as a company headquarters, but not bad. think $50,000 / year
3c National distribution
DELIVERED VALUE: field message expand your opportunity area to companies outside your radio broadcast signal ~$20,000
3d ZERO customer perception
if an opportunity does not see an intrinsic value in having a field message, if they have a non- technology personality, if there a member of a tightly controlled business organization ( examples include Edward Jones and Allstate) don't bother with the presentation. they will be buying radio either.
DELIVERED VALUE: walk on by, be friendly, these people will never be your customer.
3e industry groups
insurance
there are several types of retail insurance organizations: independent agents, captive company agents, and independent agents.
DELIVERED VALUE: you can tell by the sign on the door
3f real estate
do not approach residential real estate agents. their market is saturated and oversold and fragile.
real estate brokers need field messages to recruit new agents to their office.
each real estate office needs field messages for use by all of the local salespeople, the office shows are about the community location, and
regardless of the kind of real estate transaction this office can handle the details, locating, negotiating and closing the real estate transaction.
VALUE: you know who to talk to
3g mortgage
follows real estate around. fixed-price variable price variable interest variable term, loan closing process, value of your credit score, effects of a down payment, etc.
DELIVERED VALUE: look only for large organizations with a headquarters or regional office in your location
3h car / auto / truck / motorcycle retail center
it's all about the building location and brand, and the service department, and all of the insurance and finance field messages each department routinely uses to conduct their back-office business.
DELIVERED VALUE: take back some of this market from the bundler
3i retail shops
a widely varying, fairly thin market opportunity, not generally recommended for field messages.
VALUE: show them a field message, get teriyaki rice bowl for free
3j construction
a variety of construction services—commercial residential, tract housing and/or custom home are a good match for field message stories.
VALUE: show them a field message, they will explain the business details of commercial construction
3k home services
What do you know about these small local-owned franchise business? cleaning services, home repair, smoke and water damage cleanup, painting, plumbing, electrical work. These are typically low-overhead businesses. field messages are perfect for their routine business needs. And, part of a national business. see 3a, 3b & 3c.
VALUE: free cleaning, trade for commercial services
4 IMPLEMENTATION
Unlike digital radio, competing with and against your customer's own web pages, the Internet coupon cycle--
4a what to do after the go-ahead decision
1. agree with the term sheet.
2. decide on the topic for your first couple of shows.
3. start using your own shows, for your own broadcast advertising use.
DELIVERED VALUE: steps are simple, take less than two weeks, and help your broadcast advertising activity.
4b sales options-- purchase option flexibility value
field messages can be sold as a package with radio commercials, as an expectation that after field messages are created the customer will look positively at starting radio advertising,
at the end of the radio advertising contract as a repurpose of the broadcast audio
it's all about extending the relationship and expanding the conversation with the customer
VALUE: anytime you talk with the customer you have the opportunity, in a positive environment, to test radio advertising opportunity
4c training:
there is no show building training.
sales training takes about three minutes.
Customer training takes 4 minutes can be accomplished on the phone, in person, by the radio station, or by Quickshow..
VALUE: easy, simple, low risk, simple pathway to getting any user trained and certified
4d fast edit and on-line refresh
the ability to edit a show, refresh the information for a show that is in service is factored into a customer's satisfaction quotient
VALUE: go home at the end of the week with no work overhang, no problems waiting for you on Monday
4e collaboration / work sharing value
if your company has multiple stations in multiple communities, for the very first time ever a sales success in one community becomes a referral in the next community.
Before field messages, a salesperson was successful in community 1 it had no effect on the radio sales success in community 2.
With field messages this becomes a referral sale. the first show is used in the second community as an example and sales presentation to similar businesses and community 2.
VALUE: academia has suggested this is the highest value of any business organization. Sometimes is called teamwork. Sometimes the benefit is attributed to that rare quality called leadership.
4f account implementation
computer configuration is completed during the show build process.
Implementation is complete at the end of training.
Implementation includes sending a few e-mails, selecting a playing the show from your account, cut and paste of play show buttons into your existing e-mail application software.
VALUE: Ha!
4h How Easy ?
Carry your tablet PC to your meeting,
start an example show,
hand the customer the tablet....
don't say anything until the show is over,
ask for their comments.
holding the show, playing on a tablet in their own hands, you have exposed to them converged media.
probably the first time they've experienced a business video up close. the same show can be on a webpage or on a tablet computer. If the customer doesn't want to immediately purchase, they will make an excuse and tell you when to come back to close the deal.
VALUE: name your price! High Speed sale
SALES MEETING VALUE: in today's market, PRCELESS !
5 ALTERNATIVES
5a discounted Services
basket of services diluted by offering packages compared solely and exclusively on a price basis, competing with discount bundlers and resellers. national advertising resellers, coupon services and media streaming services cannot be at a business meeting in your local marketplace.
do not neutralize your local and community meeting advantage into a pricing battle.
You will always lose. someone will always offer a lower price
field messages are not a discount service
VALUE: Field Messages don't go there.
5 PSA value:
build a public service announcement, schedule it, broadcast it, and then cover it with a field message. the organization that made the public service request has Internet access, mailing lists, and their interested community. by extending your public service field message you are extending your market reach at a very low cost.
5 Digital radio now or later?
it's about purchase and implementation timing
here's your options: an early adopter will spend more money for equipment,
betting that there will be a revenue opportunity,
the a middle-of-the-road adopter will choose from a variety of equipment
and make business decisions about how to grow the market share and take customers away from the early adopters,
the late adopter will not spend money unless there is a clear and immediate value payback for that business expense.
VALUE: so many assumptions, so much operations expense. someone else's problem.
your job is to survive and grow today's revenue so there is a business
to implement and transition to digital radio.
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