MARCH/APRIL 2016
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Mind Your Business TIPS, TRENDS, IDEAS AND INSIGHTS FOR SMALL BUSINESS OWNERS
THE BIG CATCH Learn what it takes for a small business to catch big clients [5]
TOOT YOUR HORN No one’s going to toot it for you. Start planning your PR campaign [12]
FOCUS ON YOUR BUSINESS How to clarify your value proposition, your audience and what your business is all about [14]
8 WINNING HABITS Practice the traits successful entrepreneurs share [18]
WHO ARE YOU? SERIOUSLY. WHO DO YOU THINK YOU ARE? If you don’t know, your customers won’t either. Learn what you need to do to define yourself in your marketplace and in the eyes of your customers.
Every Great Business Starts with Great Employees A competitive benefits package that includes a high-quality health insurance plan can help you find the best employees for your small business team. As the oldest and largest health insurer in Ohio, we partner with COSE to offer benefit plans that work for small businesses. So, whether you’re hiring your first employee or growing your business, we have a solution. To find out more about Medical Mutual plans offered through COSE, please contact your broker or the COSE Benefits Team at Medical Mutual at (440) 878-5930.
2 | COSE Mind Your Business | MARCH/APRIL 2016
contents 4 MEMO
5
FISHING IN THE BIG POND
14 DEFINE YOURSELF
Figuring out who you are, what your value proposition is and what audiences will be most receptive to your message will go a long way toward determining your success.
20 VIEW FROM THE TOP
Our 3 marketing gurus explain what you need to do to leave your mark in your customer’s mind.
You operate a small business, but that doesn’t mean everything you do is small. Learn what it takes to compete on the big stage. ERIN SKIRKANIC
12 EXPERT’S EDIT
Repeat after us: The press can be my friend. The press can be my friend. The press can be my friend.
Incoming Chairman Mike Stanek of Hunt Imaging addresses the Annual Meeting crowd.
18 COSE Webinar Series
Every successful entrepreneur seems to share the same eight habits. How many of these apply to you?
22 ON THE SCENE
Couldn’t get to COSE’s Annual Meeting on February 24? We have you covered. Here are the four takeaways you need to know.
MARCH/APRIL 2016 | COSE Mind Your Business | 3
MEMO
What makes you, you?
S
uch a simple question that headline above is, right? What makes you — and more specifically, your small business — so unique that your customers can’t help but open up their wallet to you, rather than your competition? Yes, it’s a simple question, but it’s one
that many small businesses struggle to answer. It’s also a question that Mind Your Business dives headfirst into in this issue. Each of the stories you’ll read in this issue takes a different tact when it comes to answering that burning question that often times defines the success of your business. For instance:
• Walking The Giants (Page 5): The customers you approach define your business. What does it take for a small business to go deep sea fishing to find the monster catches that will give your business more name recognition with big companies?
• Expert’s Edit (Page 12): OK, you know what makes you, you. But does anyone else? Maybe not if you haven’t done any public relations for yourself. Our Expert’s Edit section will walk you through what a small business needs to do to get a PR campaign up and running.
• Finding Your Niche (Page 14): Everyone wants their slice of the pie. But how do you determine what slice of the pie is yours? Our experts explain how you should go about thinking through how your business is positioned in the marketplace.
• View from the Top (Page 20): We reached out to three top marketing gurus in Northeast Ohio to get their thoughts on the best way to not only engage with your customer, but leave an indelible impression in their minds, too. As if these stories aren’t enough, I’d also like to invite you to visit www.cose.org/myb to view unique content related to each of these stories, so you can continue your learning experience on our digital platform. While you’re there, you’ll also have the chance to view our inaugural
Mind Your Business
A PUBLICATION OF THE COUNCIL OF SMALLER ENTERPRISES COUNCIL OF SMALLER ENTERPRISES STEVE MILLARD President and Executive Director smillard@cose.org MEGAN KIM Managing Vice President, Membership Development & Marketing mkim@cose.org SHAWN A. TURNER Content Director sturner@cose.org DAN ROMAN Director, COSE Corporate and Foundation Relations droman@cose.org COURTNEY WOOFTER Account Executive cwoofter@cose.org CONTRIBUTORS KRISTEN HAMPSHIRE HEATHER CENTORBI ALLISON HALCO DRANUSKI STACI BUCK Art Director COSE.ORG CRAIN COMMUNICATIONS, INC. Design and Production Services
Mind Your Business issue that launched in January (in case you missed it) as well as unique content related to those stories. Our goal is for you to walk away from this issue, and every Mind Your Business, with a clear action plan you can immediately apply to your business. That’s our value proposition to you. And it’s what makes us, us.
STEVE MILLARD president and executive director
smillard@cose.org | 216.592.2436
4 | COSE Mind Your Business | MARCH/APRIL 2016
G
Securing a partnership with industry heavyweights can pay off handsomely for small businesses. But how can a smaller enterprise grab the attention of big business? Mind Your Business reached out to two small businesses that have done just that in order to learn the secrets of their success.
WALKING WITH
GIANTS By KRISTEN HAMPSHIRE
MARCH/APRIL 2016 | COSE Mind Your Business | 5
F
rom Day One, Joshua Holmes had big dreams for his small business. “There just aren’t a whole lot big firms in Northeast Ohio that can handle complex software projects,” Holmes says of his 12-person company that is based in Medina. At first, he did pretty much all types of Web-related work, but he kept his eye on the big leagues, and his business finally built up a rapport and symbiotic partnership with Miami, Florida-based software firm, dotCMS, that was looking for a developer like Ethode to implement its program.
Holmes learned about dotCMS because he was looking for a platform built in Java. He came across dotCMS, which had the features he wanted. When he got to know the firm — which was rolling out its product to marketers who needed help with implementation — both parties discovered a synergy. Holmes didn’t know dotCMS, and it’s not like the relationship bloomed overnight. But Holmes took a chance, vetted the firm and dedicated time to learning their product and using it himself. The more they got to know each other, they realized they had a lot in common. “We came from similar backgrounds,” he says. “When dotCMS sells a customer, Ethode is one of the main implementers called to handle the project.” And when a customer is considering dotCMS, Ethode often helps close the deal because its thirdparty opinion makes an impact. “Our business doesn’t come from constantly trying to find the next customer,” Holmes says of partnerships like dotCMS and how this opens the sales door. “They depend on us to install a product to make their customers happy, and most of their customers can’t do it themselves.” So you’re ready to go big-game hunting? Great! Before you start that hunt, though, read what our experts have to say about their own experiences and how it can
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jumpstart your efforts. Getting this business involves more than just aking for it. Allow our experts to explain.
WHAT ARE YOU TRYING TO DO? If you’re thinking about a partnership with a big business, the first thing you need to do is: “Stop,” says Christian Silveira, director of sales and mass market operations at OnDemand Energy Solutions, which, like Ethode, has also taken the bigbusiness plunge. You first have to figure out if it makes sense for your business. “What is your scope? It’s not necessarily a good business practice for every company, depending on the verticals or services they provide,” he points out.
DIFFERENTIATING COMMODITIES OK, so, you’ve decided it makes sense for you. So, now what? (Hint: It has to do with standing out from the crowd!) Energy is a commodity, but OnDemand’s services are far from it. Acting as a consultant is how the firm differentiates itself from competitors. A conversation about the price of power shifts to business strategy — and that’s when large clients listen. “The conversation changes from savings to risk mitigation and that is typically exciting for our big clients,” Silveira says. “We talk about how they want to manage their energy risk and go in with a layered approach to buying a volatile commodity. This message resonates with them.”
WINNING FACE TIME
SHOW YOUR VALUE
For Holmes, the key to securing large clients has been physically meeting decision makers and contacts who can point him to key personnel in large organizations. Of course, that’s easier said than done. But Holmes has found typical lead generation tactics many Web businesses use are not as effective — such as pay-per-click, search engine optimization and traditional advertising. “In this day and age, everyone thinks it’s all about electronic ads, but at the end of the day there are a lot of people who say great things but wind up doing a terrible job,” he says. “So, there is fear around hiring IT companies. People are always skeptical of you.” Networking in the community and actually meeting prospects makes all the difference. “You have to find them and shake their hands — and once they realize what you know, they recognize you are unique,” Holmes says.
This seems like a simple question to ask, but what can you really do for a big client? If you’ll help grow their revenues, how? If you’ll mitigate risk for them in some capacity, how? If you’ll expand their footprint or product offerings — how? Be prepared to explain how you can help, and back that up with examples. “An anology I like to give when talking with large clients is, ‘Do you file your corporate tax returns yourself?’” Silveira says. Of course, they say no. “Did you hire the cheapest CPA, or the best that provides the most value?” Getting prospects to think about value and recognize that they are buying an expertise can be a game-changer. “The main thing we push here is question-based consulting,” Silveira adds. In other words, he doesn’t want to sit in a boardroom and spend an hour delivering a pitch. He wants prospects to toss him hard-ball questions so he can prove OnDemand’s expertise.
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By reinvesting profits into the business, Holmes has grown his firm to the scale where he can service large corporate customers. He knew from the beginning this “enterprise” demographic was his target audience, so he aligned his business strategy accordingly.
“
That includes plans to build the first data center in Medina County in 2017, and possibly opening another U.S. location out of state.
SCALING UP If you’re going to service the big players,
you better be prepared with the resources and manpower (if required) to fulfill your obligations. Big business can mean big workload. For Ethode, that meant scaling up with independent contractors at first so Holmes could service customers’ needs as a constant point of contact (and salesperson).
“
INVESTING IN GROWTH
I’m a small guy and I fish in a big pond. But if you have some background working with big business, that can alleviate their fears.
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JOSHUA HOLMES Owner, Ethode
Once he grew the business, by year three, Holmes brought on full-time employees. By the end of 2016, he expects to employ 20 people, growing the staff by up to eight employees. “The Catch-22 of contractors is you don’t own them,” Holmes quips. “You can’t dictate their full-time schedules, otherwise they are not considered contractors by law.”
DROPPING NAMES
ACTION ITEMS Swimming with the big fish can sound daunting for a small business, but it is possible. Just follow the action items listed below (and as discussed in this story) to achieve success. n Ensure the partnership makes sense n Show your potential partner how you stand out n Get face-time with decision makers at the larger company n Be prepared to scale up your business
Holmes leveraged his background building corporate enterprise software systems when talking with large prospects about his small business. “I name dropped a little,” he says, relating that he worked on a “massive” project for Skyy Vodka and subsidiaries. “The customer is buying you. They want to know that you know what you are doing, so I said, ‘This is my background. This is what I’ve done.’” “I’m a small guy and I fish in a big pond,” Holmes says. “But if you have some background working with big business, that can alleviate their fears.”
n Don’t be afraid to name drop other businesses you’ve worked with
BIG BUSINESS WINS Following the tips above can pay off in a big way, as Holmes and Silveira can attest. Through its partnership with dotCMS and others, Ethode works all over the country. This means Holmes gains exposure to a range of clients in his “sweet spot.” Ethode has implemented projects for companies such as Roto-Rooter, The Cheesecake Factory, Johnsonville, St. Jude Children’s
Research Hospital — and locally, The University of Akron and Oberlin College. “I knew I wanted to immediately grow the company,” Holmes says of the business that got its start in 2010. “It made sense for me to reach out to those two industries (healthcare and e-commerce) and network with people I knew already.” It’s been a worthwhile venture also for OnDemand, where large customers
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COSE extends a warm welcome to the following new members: 1Direction, Inc. Cleveland Time Clock And Service Co. Accounting for Action CodeRed ACE Learning Garden LLC Comrod, Inc. Advanced Auto Glass Connick Law LLC. Alternalite Electric, Inc. Constantino’s Market Aqua Engineering Contemporary Cosmetic Surgery, Inc. Arc Seals, LLC Cowden Humphrey Co., LPA Artistic Impressions Cutting Edge Signs Atrium Medical Group Deck Vend Services, Inc. Auto Dealer Designs Diamond Hard Chrome, Inc. Baci Dynamic Sign Co. Bar 25 LLC E B Fitness Club Beautiful Lawns & Snowplowing Educator’s Music Corp. Bedford Metal Recycling, Inc. Erie County Economic Belvoir Consultants Development Corporation BOOM Nutrition, Inc. Excel Air Tool Co. LLC Brakey Energy Inc. Executive Capital Management Brookpark Design-Builders, LLC Fassco, Inc. Brunswick Family Medicine First Investors Corporation Burton Scot Contractors LLC General Awning Co., Inc. CDW Service Center Gibson Machinery, LLC Censeo Group LLC Grubb & Ellis C/O Richard S. Sheehan Charles Morgan H.E.L.P. Malawi Chetan Patel, M.D. Harvest Presbyterian Church CK Insulation Heritage Appraisers By SHAWN A. TURNER Clemson Towing Inc Independence Bank Cleveland Business Consultants Jamestown Container Companies Cleveland Special Tool Inc. JCK Ventures LLC
John E. Hurley, D.C., Inc. KASmith Group, LLC Kelly Day Financial Kollar Design Kozlovich Enterprises Inc. Lawrence J. Rich Lennon Machinery Make & Model Marketing Maurice Helou, Inc. MB3 Consulting MBJ Restaurants Inc. McCarthy’s Auto Body, Inc. Melamed Communications LLC Moscarino & Treu Nancy Molnar, RPR Nanotronics Imaging, Inc. NG Rubin & Associates LLC North American Marine, Inc. Patrick M. Farrell Co., L.P.A. Patriot Security Systems Pease & Associates, Inc. Pens, Paint, Paper PLK Restaurants LLC POLICY MATTERS OHIO POM College Consulting Premium Steel Sales LLC Pro Class Contracting Co. Prudential Advisors-CLVN
Rocco’s Hair Design Roediger Construction Services RTS Service Inc Saul & Cutarelli M.D.’s Inc. Schirmer Construction LLC Shi Shi Events ShieldMark Inc. Sindyla Consulting Group, LLC Skirbunt & Skirbunt Co., LPA Smith Import Specialist Sophie’s Choice Inc. Sorbir Inc. Staffinders Inc. Steam Planet Tarsitano Winery, Inc. TENFOLD The Kids Club Inc. Child Care The Regency Roofing Companies, Inc. Truline Fence Company Twinsburg Eye Associates, Inc. Ultra Tech Industries Co. Vacuum Energy, Inc. Warner Interiors WashClub Cleveland Weible & Associates, Co., CPA Weinberg Wealth Management WENRIVER MGT INC Yinovate LLC
Questions about your business? Get answers from the COSE Expert Network. The COSE Expert Network features experts who: • are available to answer questions • provide 60-minute, in-person consultations • connect via email or phone to provide feedback or information • are vetted and reviewed by COSE
To get answers to your business questions or to set up a consultation with an expert, visit www.COSEexpertnetwork.org today!
10 | COSE Mind Your Business | MARCH/APRIL 2016
NEXT STEPS
comprise approximately 20% of the customer base. And 80% of the energy load under contract comes from that base. “It’s the old 80/20 rule,” Silveira says. Overall, OnDemand manages electricty supply requirements for more than 5,000 CASH clients with more than 27,000 meters, a FLOW total energy load under contract exceeding 15 billion kilowatt hours. That’s big. A “legacy book” of ongoing relationships prior to launching OnDemand has been key to getting in the door with big companies. Like Ethode, OnDemand took a good look at “who do you know” and honed in on those clients. Previously, the firm was part of a wholly owned subsidiary of Duquesne Light in Pittsburgh, Pennsylvania. OnDemand’s client base runs the gamut, and most are small businesses. But the firm can really stretch its consulting muscles when working with large firms that hire OnDemand as an extension of their energy management teams. They look at OnDemand as the CPA or attorney — a professional they need on hand to navigate energy procurement contract language. MYB
WHICH BUSINESS PARTNERSHIP IS RIGHT FOR YOU?
The National Federation of Independent Business has identified four things to consider before launching yourself into a business partnership. They are: Brand alignment: Does your potential partner share your company’s same values? Are the cultures similar? Location: Will being separated by many miles or time zones strain the partnership? Complementary products: Service companies, for instance, should consider joining forces with a company that offers a product you commonly use. (Think a water softener manufacturer linking up with a company that installs water softeners.) Target audience: Ensure the business has the same customer profile as yours. Want more? Visit www.cose.org/myb for additional resources related to this article.
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MARCH/APRIL 2016 | COSE Mind Your Business | 11
EXPERT’S EDIT
How to develop a PR plan that will get you noticed By SHAWN A. TURNER
Promoting your business yourself is one thing. But when your small enterprise begins getting notice from third parties, including the press, the attention from a neutral third party can have a dramatic effect on how you’re viewed by your customers. In this edition of Expert’s Edit, Mind Your Business turned to PR pros — Jose Vasquez of Quez Media Marketing, Edward Stevens of Stevens Strategic Communications, and Nancy Lesic of Lesic & Camper Communications — to get their thoughts on the following sample PR plan that is based on actual plans. MEET THE EXPERTS:
My 4-Step PR Plan STEP
Jose Vasquez CEO
Quez Media Marketing
Edward Stevens
Nancy Lesic
Stevens Strategic Communications
Lesic & Camper Communications
OWNER
CEO
Vasquez:
ointed if you Don’t be disa pp to bite. If don’t get anyone t picked up, your story is no your continue to build research media list and ns w hich pu blicatio t make th e m os sense for you to targ et.
1 2 3 4 STEP
STEP
STEP
I’d like to make this a comprehensive campaign covering services my shop offers. I’m also planning to be heavily execution of the PR plan.
I’m going to collect as many journalist email addresse out a message talking about how awesome my small b
If I get a bite — and I’m sure I will — I’ll want to ma business as much as possible. If I don’t hear anything time next year.
Social media is going to play a role in my campaign, results in additional business for me, I’ll plan on follo
Lesic: This is a common
mistake companies make. Just because you talked to a reporter doesn’t mean they’re going to cover you. But that doesn’t mean you should stop communicating with them. Foster communication. Some of the best relationships are made from the cutting room floor. 12 | COSE Mind Your Business | MARCH/APRIL 2016
Stevens: Incorporating
other channels, such as social media, is a GREAT idea, but don’t forget about other methods as well. For instance, a direct mail campaign spotlighting one particular facet or aspect of your business (e.g., a launch event) can help leverage the PR work you’re doing.
EXPERT’S EDIT
Vasquez: Try to
keep this plan as simple as possible. As a small business owner, you’re already wearing a lot of hats and you have a core business to run so you need to make sure this is something you can commit to.
Stevens: Don’t just blast out
your own feel-good story; that probably won’t get covered. Look at what’s happening in the news. Is there something going on right now you or your business could relate to? That will help you get a foot in the door with these reporters.
rs Lesic: Rep orte
g all of the different involved in the
es as I can and send business is.
aren’t th ere to PR serve as your obably pr team, so th ey ng your w on’t be coveri — unless you ri bb on -cut ting to incorp orate ca n find a way ing as part of a w hat you’re do orters love larg er trend (rep a fresh angl e! that). Give th em
Stevens: G et to know th e reporters and w hat th eir beats are and pitch th em stories that relate to w hat th ey cover or th at fit th eir editor ial calendar. Th ey aren’t goin g to go out of th eir way to ad vertise th eir editorial need s for you. Just as you try to deve lop relationship s wit h potential cu stomers, try to do th e same w it h th e press.
ake sure I promote my g, I’ll just try again this
FINAL EXPERT TAKEAWAYS
too. If this campaign owing up with another.
Vasquez: You have to
be consistent when it comes to PR. Plan on putting your focused message out at least quarterly, if not monthly.
Stevens: Make sure you have a solid plan in place before you go forward with your PR strategy. That means putting together an “editorial calendar” that dictates what news you’re going to share, with which audience, and on which channel.
Vasquez: Be focused on what you do, and ask yourself what you’re trying to accomplish. What goals do you want to achieve? How do you want your target market to perceive you?
Lesic: You have to be sure you know how to concisely and effectively describe your
company. Make sure your colleagues can do the same. And before talking to a reporter, think about what questions they might ask and be prepared to answer them. MYB For a sampling of resources related to developing a PR plan, visit www.cose.org/myb
MARCH/APRIL 2016 | COSE Mind Your Business | 13
FIND YOUR NICHE
3 WAYS TO DEFINE YOUR BUSINESS
In order to effectively sell your product, you need to be able to clearly articulate how your product meets the needs of your customers. That can be a tricky exercise, but it can be done, as our cadre of small business experts point out. By SHAWN A. TURNER
14 | COSE Mind Your Business | MARCH/APRIL 2016
“W
hy should I care about you?” OK, we know that sounds harsh. But that simple question is what is going through the mind of each of your customers (make that, potential customers) when they are first exposed to your business. The way you answer that question will go a long way toward determining how much, if any, of that customer’s wallet you end up getting. “I think when you’re a small business, it’s definitely a lot harder to penetrate the market than it is for a mid-market or larger company,” says Vince Salvino, principal consultant, Web applications, at Cleveland technology company CodeRed. “You have to identify that niche. And you really need to build up something that is way beyond what your competition offers.” But how do you do that? And how do you answer the other burning questions customers are asking about you and your business: How does your product or service benefit me? How well do you know me? After we’ve done business together, what happens to our relationship? He looks at figuring out the compelling reason why people should do business with you as the best way to create a calling card for your business that clearly defines the space your business occupies in your segment. But what’s the best way to develop that calling card? Mind Your Business reached out to pick the brains of three small business professionals who came up with the answers to the blunt, but vastly important questions that customers are going to ask you.
QUESTION 1 “Why should I care about your product?”
THE ANSWER
so it’s a good idea to involve the staff in this process, too, Salvino advises. Oh, you’re a one-person shop? Well, in that case, don’t be afraid to talk to — gasp! — other business owners (more on that in just a few paragraphs.) “You’re never going to effectively develop anything unless you have an open conversation about these ideas you have.” This strategy will go a long way toward determining what audience would be most interested in your product, the experts report. It will also have the bonus impact of aiding in the development of the selling angle the business should take when it comes time to actually marketing the product.
A good, solid marketing plan will help answer the question above. This will help you identify the space you need to occupy. Here are the questions the marketing plan should address: What sells my business? Who’s going to use my product or service? How should I position my business? Should I sell on price? On value?
“
“Behave consistently. Don’t stop doing what’s working.”
“
Tom Scully, president of Sales Techniques, Inc., says this is the first question for which you need to find an answer. After all, this is going to serve as the calling card for your business so you need to get it right. During a recent COSE webinar, Dick Clough, a local advertising, marketing and publishing veteran, revealed that the answer to this all-important question lies in having a solid understanding of your company’s mission statement. “To me, mission is about results,” he says. “It’s not about what you’re doing or how you’re doing something, but what you’re trying to achieve. What’s the impact? You have to look at the results you want to achieve.” That can be a lot to get your arms around,
TOM SCULLY President, Sales Techniques, Inc.
MARCH/APRIL 2016 | COSE Mind Your Business | 15
QUESTION 2
“Do you understand what I really need?” When CodeRed launched in 2012, one of the first things the staff did was look at what needs in the market weren’t being addressed, says Salvino. A big part of that process came from obtaining feedback from customers in the marketplace. That led CodeRed to having a presence in a number of fields, including application programming interfaces, identity and mobile device management, and database administration for Oracle, SAP, PostgreSQL and MySQL. Salvino acknowledges this is a step a lot of his fellow small business owners are afraid to take. He finds many are secretive and afraid to open up freely about their business for fear of giving away too much inside information. But he believes this openness can lead to
THE ANSWER
16 | COSE Mind Your Business | MARCH/APRIL 2016
the discovery of new ideas that could further endear clients to the business. You need to stay in constant communication with your customers to maintain a keen awareness of other problems you can help them solve. “It’s continuous communication,” he says, “being continuously immersed in the customers’ environment.” Salvino says too many companies are only focused on selling their product and forget about how critical other interaction and engagement is with the customer. Once the transaction is finalized, that doesn’t mean you should be done with your customer. “We’re always talking about the latest things going on,” he says. “We try to keep
an eye on everything going on so we can help our clients.” Nevin Bansal, president and CEO of Outreach Promotional Services, agrees, saying an entrepreneur who stays chained to his or her desk will find it much more difficult to determine exactly what the needs of his or her customers are. One easy way to gather this feedback is by attending trade shows, for instance. “You have to be aware. You can’t stay at your desk. You have to be out there to understand what your customers might need,” he says. Networking is indeed a perfect way to continue to modify your business to meet unique needs, Salvino says. The best advice he has received is to make a list of everyone you have a business relationship with, and set up lunch or coffee dates and talk shop. “Nine times out of 10,” he says, “they will have really valuable feedback for you.”
Get out and attend industry events. Talking to the potential clients and contacts you meet at these events will give you a good idea as to what customers are looking for from your business. COSE’s annual Small Business Convention, which brings together hundreds of small business owners every year, is a good place to start. (We’re just sayin’.)
QUESTION 3
Why are you worth my attention today? Even within their product niche, entrepreneurs are likely serving different customers. As part of niche-building, small companies should take it upon themselves to develop a tailored marketing message that can be delivered to different customer segments, says Bansal. He advises small business owners take a long, hard look at all of the different interests they serve and figure out the best way to reach those audiences. “It’s hard to figure out the messaging until you figure out the demographics for what it is that you do,” he says. Looking at his Outreach Promotional Services business, he says his company serves both large and small businesses and has a
THE ANSWER
different message when it comes to reaching out to both. For example, he understands many small businesses are price conscious, so when marketing to smaller companies, they will focus on price. A similar message might not resonate with big customers that have more resources to play with, he says. “As every day goes by, we can better understand what the pain points are out there for people,” he says. It can be tempting for small businesses to undercut themselves just to make the sale. That’s a bad idea, Bansal says. “For us, we understand we have to be price competitive to win business,” Bansal says. “We also don’t want to dilute our brand by being the cheapest.”
ACTION ITEMS There’s only one you. Show the world how your business stands out by following the action plan laid out in this story. n Develop a detailed mission
statement for your business.
n Personalize messages to your
audience.
n Stay in contact with your
customer and continue to show appreciation for their business.
Test, test, test. Be fanatic about doing A/B testing on your sales campaigns. Be fanatic about trying new things and analyzing the results. MYB
NEXT STEPS OK, we lied. There’s actually a fourth question you’re going to need to answer. And that is:
WHAT HAVE YOU DONE FOR ME LATELY? Selling doesn’t stop once the sale is made, Scully says. “You have to do a lot of the grunt stuff,” he says. “Pick up the phone. Join associations that fit your niche. Learn to be a good talker. You don’t have the money to fly a blimp over the stadium.” Some good, old-fashioned shoe leather salesmanship will go a long way, Scully says. It will also help keep your well of prospects from drying up. “Behave consistently,” Scully advises. “Don’t stop doing what’s working.”
THE ANSWER What’s the best way to think about customer retention? A lot of work also has to go into retaining the customer you just made a sale to, Clough says. “Show your appreciation to that customer,” he says. “In an age of email and texting, I think one of the most effective things that is completely lost is writing out a personal letter. It lets people know I care about them and the work they’re giving me.”Think about how Mr. Rogers would treat your customer. And then do that. Want more? Visit www.cose.org/myb for additional resources related to this article. MARCH/APRIL 2016 | COSE Mind Your Business | 17
COSE WEBINAR SERIES
8 Essential Habits of Successful Entrepreneurs By SHAWN A. TURNER
It’s no secret the entrepreneurial mindset operates a little bit differently than others. But what habits do the most successful entrepreneurs share? That’s a question that author and entrepreneur Gary Schoeniger has set out to answer. During a recent COSE webinar titled, “Essential Habits of Successful Entrepreneurs” he said he found that the most successful of these people seemed to share the same eight critical habits. And those habits are:
1
THE POWER TO CHOOSE
This might be the most important quality an entrepreneur can possess, Schoeniger said. He defines this as turning off the auto pilot and turning on the radar. “Choose the way you respond to your circumstances,” he said. “Be aware.”
2
RECOGNIZE OPPORTUNITIES
“Problems are opportunities,” he said. When a pain point is encountered, the entrepreneurial brain immediately starts trying to think about how it can be improved: “Why are we doing it this way? How can it be done better?”
3
IDEAS INTO ACTION
If you think for too long, you won’t take action, he said. Also, when you begin to implement your ideas, you’ll discover what was previously undiscovered and that can help your business. 18 | COSE Mind Your Business | MARCH/APRIL 2016
4 5
PURSUIT OF KNOWLEDGE
Again, the most successful entrepreneurs should be thinking about how they can improve their business. They test. They think. They learn.
6
BUILDING A BRAND
Customers should know what to expect when they do business with you. Be reliable.
CREATING WEALTH
Entrepreneurs understand it is more important to BE wealthy than LOOK wealthy. “Most people choke themselves with debt to look wealthy,” Schoeniger said. If an entrepreneur gets a $500 tax refund, for example, they will use that money to advance their ideas and not spend it on material things.
7
CREATE A COMMUNITY
Surround yourself with other successful entrepreneurs. “A rising tide lifts all boats,” he said. Also, this extends to social media. Schoeniger suggested building a powerful Twitter news feed by following people such as Elon Musk on the social network.
COSE WEBINAR SERIES
NEXT STEPS During the COSE Annual Meeting on February 24, we took time to ask attendees what advice they would give their younger self to help set them on a path to be a successful entrepreneur. Here are the four pieces of advice that emerged:
8
THE POWER OF PERSISTENCE
Being a small business owner is all about resilience. It’s the notion of turning into an overnight success after 20 years of hard work. Entrepreneurs should not expect things to be easy. MYB
1 2 3 4
LEARN: Find a mentor. Do as many internships as possible because experience is the best teacher. PERSEVERE: The path to success can be a rocky one, so it’s important to keep your head up and keep grinding. NETWORK: Get out and meet people. You never know when one of the business cards you pick up might end up coming in handy. FOLLOW YOUR HEART: Follow your passion, and turn that into your career. Do what you love.
Watch the video where we posed this question at the COSE Annual Meeting by visiting www.cose.org/AnnualMeetingQuestions.
WORKERS’ COMPENSATION SERVICES COSE Compensation Services offers the most comprehensive program in Ohio, including: • Claims management • Legal defense
• Safety consultation • Unemployment consultation
It’s not too early to start planning for 2017 premium savings.
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www.cose.org/workerscomp MARCH/APRIL 2016 | COSE Mind Your Business | 19
VIEW FROM THE TOP
UNLOCK YOUR MARKETPLACE: How to access opportunities Business opportunities aren’t going to just fall in your lap. You have to work for them. We reached out to three marketing experts to get their take on the best way to spot these opportunities that might not be readily apparent. By HEATHER CENTORBI
P
rospecting for clients and accessing opportunities in your specific marketplace are a few of the many challenges a small business is faced with every day. Though many sales people know how to lead a client or prospect through a successful sales funnel, not many focus on or know how they can get to that prospect in the first place. If you are not focused on prospecting or new ways to access prospects, you are missing an opportunity to become a great sales person. For small business owners, evaluating these market opportunities is key to remaining competitive while maintaining growth. With that in mind, for this edition of “View from the Top” Mind Your Business reached out to several marketing companies that regularly help clients address this issue. Here’s what they had to say:
20 | COSE Mind Your Business | MARCH/APRIL 2016
Matt Sonnhalter President, Sonnhalter
M
att Sonnhalter, president of marketing communications firm Sonnhalter, says to find opportunities, you’ll need to break away from your desk. He says attending key industry trade shows is important because it will allow you to get face time with your prospects. Set up meetings ahead of time and have a plan of attack before attending the trade show, he advises. This will help you put your best foot forward. According to Trade Show News Network, there are several powerful reasons why you should put in an appearance at a trade show or conference. These include: n On average, 81% of trade show attendees have buying authority. n 99% of marketers report finding unique value from trade shows they did not get from other mediums. n The average attendee spends 8.3 hours viewing trade show exhibits.
OK, SOOOOOOOOO … NOW WHAT? Alright, you are going to attend a trade show. Now what? Matt Radicelli, CEO of Rock the House, has a few tips: n If you’re going to have a booth, do a little role playing ahead of time. What are you going to say as people approach? n Make sure your booth is inviting. Add a large backdrop and keep it open. “I see the Great Wall of China when I see a table,” he says. “I see a wall between you and attendees. It can prevent getting successful leads.” n Remain attentive. Don’t sit down. Don’t lean on anything. Shake hands when people approach. n Be ready to keep working even after the show ends. Did you get business cards? You did? Awesome! Make sure you follow up with everyone you got a card from within 48 hours.
VIEW FROM THE TOP
Michelle Venorsky
Bob Rawlins
Co-founder and partner, Hello, LLC
Senior VP, digital marketing strategies, Hileman Group
S
ometimes you need to create your own opportunities—especially when you are just starting out. When marketing engagement agency Hello, LLC first got off the ground, one of the tactics it took was to do a little work to help establish themselves in the market. For example, Venorsky says the firm had pre-existing relationships with other agencies in the area so they touched base with those folks to get on their radar and let the firms know Hello was standing ready to support and assist in any way they needed. In addition, Hello reached out to potential brand clients that fit in with Hello’s strategy. “The relationships we started early on are still benefitting us today,” she says.
OK, SOOOOOOOOO … NOW WHAT? Venorsky reflects on the strategy the firm relied upon during the cold calls to potential clients. During the calls, the firm would try to relay helpful marketing tips (e.g., “Here’s an example of a successful marketing campaign in your industry” or “We noticed your Facebook isn’t as engaging as it could be.”) Offering free tidbits such as these was a great way to break the ice early on and got Hello noticed. Once the representative on the other end of the line got the idea Hello wasn’t trying to sell, they became much more receptive. “They got the idea the work we were doing was genuine,” she says. Another cold calling tip: Focus on companies that do work in industries you want to have a presence in. And then research that company: Who’s their marketing person? What kind of PR work has that company done in the past? Find out as much as you can and develop your cold calling script around that information. Being prepared will not only help you feel more confident on the call, but it will show the firm you’re calling that you mean business.
L
ocated in the heart of Cleveland, Hileman Group, an interactive digital marketing firm, has used personalization to enable it to find new opportunities. Rawlins believes taking the time to over-research a company or prospect can provide excellent knowledge in drafting a more personalized email. “Too many times I get emails from people that I know have not researched me or the company and they provide irrelevant content or information that I can see right through,” he says. Data around the effectiveness of personalizing email seems to back up Rawlins’ point. Research from data firm Aberdeen Group shows that personalizing emails increases click through rates by 14%. Rawlins agrees that personalized digital solutions, such as micro sites, landing pages and custom applications, can prove especially effective. “If you aren’t on the digital highway, you are not in the fast lane of best practices for new opportunities,” Rawlins says.
OK, SOOOOOOOOO … NOW WHAT? Personalization is great and all, but how do you do that without getting too creepy about it while at the same time getting people to be receptive? Rawlins says LinkedIn is a great prospecting tool that small business owners can use to research a person, a company, or see if there are connections within your own network who could make an introduction. As for getting people to be receptive, Rawlins says you can’t beat relevant content that fits your audience’s interests. “People engage in things of personal interest, not normal ‘marketing’ garbage, which is what everyone does.” MYB
NEXT STEPS It’s easy to fall into the trap of staying at your desk too much. To access opportunities, sometimes you have to get out and network. Visit www.cose.org/events for a list of events where you can do just that. Want more? Visit www.cose.org/myb for more information and resources related to this article.
MARCH/APRIL 2016 | COSE Mind Your Business | 21
ON THE SCENE
4 Takeaways from COSE’s Annual Meeting Hundreds of COSE members attended the 2016 edition of the COSE Annual Meeting on February 24 at the Near West Theatre. Here are five takeaways from the meeting they walked away with:
1
MEET COSE’S NEW CHAIRMAN, MIKE STANEK Mike Stanek of Hunt Imaging was introduced as the new chairman of COSE for 2016 and 2017. He follows Rion Safier of Rion Safier Accounting in that role. Stanek said his goals for COSE are four-fold: n n n n
Increase member engagement and participation. Expand COSE’s regional footprint. Continue to evolve COSE’s mix of support and services. Ensure the organization stays fresh and exciting for members.
2
RECOGNIZING RION SAFIER Safier was recognized as the departing chairman of COSE. He said the groundwork has been laid for closer collaboration with the Greater Cleveland Partnership, and as such this closer alignment will create additional connectivity across the business community and create more of a benefit for the voice and role of small business in the work that is done in this region. What is remaining the same, he said, is the intense focus COSE will continue to have on small businesses.
3
2015 VOLUNTEER SERVICE AWARD The 2015 Volunteer Service Award was presented to Toby Heintzelman of Driftwood Restaurant Group. Heintzelman was instrumental in initiating action by COSE/GCP to ERIN SKIRKANIC get legislation passed that instructs the Annual Meeting attendees take Ohio Bureau of Workers’ Compensation advantage of a networking session. to establish criteria that may reduce or waive costs to be transferred to an employer who is a successor in interest. This change paves the way for relief for business owners – who are often unknowingly impacted until it’s too late – that move to a new location or open up a new business and inherit a separate business’ workers’ compensation experience.
4
2015 COSE STAFF SERVICE AWARD Steve Millard, the President and Executive Director of COSE, presented the 2015 Staff Service Award to Adina Magda, Events Manager for COSE. In her role, Magda is charged with creating effective, enjoyable experiences for COSE members through events such as the annual Small Business Convention, OHTec’s Tech Week, and many others. MYB
22 | COSE Mind Your Business | MARCH/APRIL 2016
NEXT STEPS WHAT TO WATCH IN 2016
Millard closed the meeting by pointing out what members should keep an eye on as 2016 progresses. COSE Health and Wellness Trust: This is a self-funded option that allows for flexibility of benefit options, provides rate stability and holds financial benefits designed exclusively by COSE and the Greater Cleveland Partnership. COSE’s goal is to provide this new multiple employer health plan by mid-summer. The health plan is not subject to some state health insurance regulations/benefit mandates and other requirements of the Affordable Care Act. Therefore, the benefit options may be less expensive. COSE’s health insurance partner Medical Mutual will administer the plan’s benefits. The plan will require approval from the state before it can be offered. COSE Expert Network: The COSE Expert Network is a resource that connects small businesses with other small business experts in fields such as marketing, HR, IT and others. COSE is continuing to recruit more experts to this network and to create heightened visibility of the resource to support the small business community. HR and marketing solutions: COSE will roll out a variety of new resources in these two highly important areas for small business in the next couple of months. COSE Small Business Investor Network: This network, comprised of small business leaders, will, over the next year, cover the full geography of Northeast Ohio. It will be a sounding board, voice and source of insight for COSE’s work and to represent the needs of small business owners in the region. Thank you to everyone who attended Annual Meeting. We look forward to continue to work with you in pursuit of the growth and success of your business in the year ahead.
20 numbers for
2015
COSE devoted itself in 2015 to providing the right solutions to help our members succeed. Here are 20 ways that we helped shape success for COSE members in 2015.
HEALTH INSURANCE
OHTEC
more than
Placed
125,000
lives covered
Events:
Tech Week:
attendees
attendees
Podcast downloads:
535 4,300 3,378
EXPERT NETWORK
23 hours
ENERGY
up to of consultation
Energy audits performed:
Average energy savings achieved:
22.5% 213 1,644,902 total square feet audited
ADVOCACY STATE TAX REFORM VICTORIES
254 IT interns
100%
deductibility for first
$250,000
WORKERS’ COMP
of small business income
0%
Represented Represented small business on
595
small businesses in workers’ comp contested hearings
CAT Tax increase
$8.5 mm workers’ comp premium discounts
EDUCATION & NETWORKING
971
businesses connected via chamber partnerships
1,200+
small business listings in RNC Supplier Guide
4,147
education & networking event attendees:
659
SBC attendees:
729
SBC owner-led workshops:
meetings between small businesses and large corporate buyers
35
MARCH/APRIL 2016 | COSE Mind Your Business | 23
TM
TEC H WEEK CELEBRATING 10 YEARS OF THE BEST OF TECH AWARDS
Join us for
12 Days of Tech APRIL 13 - 24, 2016 FEATURED EVENTS Linking IT Talent to Opportunity, presented by GCP WEDNESDAY, APRIL 20, 2016, 1 - 5 P.M.
Independence Community Center, 6363 Selig Blvd., Independence, OH, 44131 Growing? Adding staff? Showcase your company here and connect with the talent you’re looking for.
Best of Tech Awards
THURSDAY, APRIL 21, 2016, 5:30 - 9 P.M. Trinity Cathedral, 2230 Euclid Ave., Cleveland, OH 44115 OHTec proudly presents the 10th annual Best of Tech Awards, recognizing innovative products and companies, inspirational leaders, incredible teams, and more!
Launched by OHTec in 2011, Tech Week is an annual initiative to support, celebrate and engage the local tech community. OHTec's 2016 Tech Week is presented by OEConnection. For a full list of events, visit www.techweekneo.com