Guerrilla Marketing Keynote - American American Rental Association

transcript

THE GUERRILLA GROUPinc

Guerrilla Marketing Tactics for the Rental IndustryGuerrilla Marketing Tactics for the Rental Industry

Orvel Ray Wilson, CSPSenior Partner

Google me!

Orvel Ray Wilson, CSPSenior Partner

Google me!

It’s a Jungle Out There!It’s a Jungle Out There!

•Economic Uncertainty•Economic Uncertainty

•Economic Uncertainty

•Ruthless Competition

•Demanding Customers

•Pressure on Prices and Margins

If you’re going to be texting:If you’re going to be texting:

•I’m here at #ARA listening to #OrvelRay Wilson speaking about Guerrilla Marketing and it’s fantastic.

What is Marketing?What is Marketing?

•Marketing is a Circle•Marketing is a Circle

10 Most Common Mistakes Made in Marketing10 Most Common Mistakes Made in Marketing

1. Assuming You Don't Have to Market

•Every business must market constantly, aggressively, or fail.

2. Assuming You Need Big Money to Market2. Assuming You Need Big Money to Market

•Guerrilla Marketing lists 100 marketing weapons, and 50 of them cost you nothing.

3. Improper Targeting3. Improper Targeting

•“Narrowcast”–Message in a bottle

•Advertise to remind rather than to impress.

•“Narrowcast”–Message in a bottle

•Advertise to remind rather than to impress.

4. Confusing Image with Identity4. Confusing Image with Identity

•Customers recognize and appreciate the truth.

•Show up

•Customers recognize and appreciate the truth.

•Show up

5. Undervaluing the Product5. Undervaluing the Product

•Be competitive, even aggressive, but don't give products or services away

•Customers will not place value on your service unless you do.

•Be competitive, even aggressive, but don't give products or services away

•Customers will not place value on your service unless you do.

6. Incomplete Customer Feedback6. Incomplete Customer Feedback

•Follow up every rental after several days

•Ask everyone, “How are we doing?” and “How could we improve?”

•Take every suggestion seriously.

•Follow up every rental after several days

•Ask everyone, “How are we doing?” and “How could we improve?”

•Take every suggestion seriously.

7. Failure to Set Specific Marketing Goals7. Failure to Set Specific Marketing Goals

•Expect a specific rate of return on your marketing investment

•Be clear about your goals and track your response rates.

•Expect a specific rate of return on your marketing investment

•Be clear about your goals and track your response rates.

8. Insufficient Information8. Insufficient Information

•Put the “5 W's” up front

•Then use enough ink to tell your whole story, so your customers can make an informed decision.

•Put the “5 W's” up front

•Then use enough ink to tell your whole story, so your customers can make an informed decision.

9. Failure to Develop Strong Vendor Relationships9. Failure to Develop Strong Vendor Relationships

•Don’t always go with the lowest bid•Don’t always go with the lowest bid

10. Changing Too Soon10. Changing Too Soon

•By far the most common, and the most expensive mistake

•Don’t let well-meaning friends persuade you to change

•By far the most common, and the most expensive mistake

•Don’t let well-meaning friends persuade you to change

How is Guerrilla Marketing Different?How is Guerrilla Marketing Different?

1. Time, Energy and Imagination

2. Psychology instead of guesswork

3. Profit is the only yardstick

4. Strictly geared to small business

5. Removes the mystique

1. Time, Energy and Imagination

2. Psychology instead of guesswork

3. Profit is the only yardstick

4. Strictly geared to small business

5. Removes the mystique

How is Guerrilla Marketing Different? (cont..)How is Guerrilla Marketing Different? (cont..)

6. Cooperation vs. competition

7. Go for the relationship

8. Marketing combinations work

9. Use as many weapons as possible

6. Cooperation vs. competition

7. Go for the relationship

8. Marketing combinations work

9. Use as many weapons as possible

10 Principles of Guerrilla Marketing10 Principles of Guerrilla Marketing

1. Investment1. Investment

•The Law of the Slight Edge:“The difference between a champion and an also-ran, more often than not, is a very slim margin.”

1. Investment1. Investment

•People

•Technology

•Yourself

•Your Community

•People

•Technology

•Yourself

•Your Community

Invest in PeopleInvest in People

• Hire first for Attitude

–Jack Welsh 20/70/10

• Train Constantly

–Tap your manufacturers

• Resource Center

• Outside Seminars

• Outside Expertise

• Hire first for Attitude

–Jack Welsh 20/70/10

• Train Constantly

–Tap your manufacturers

• Resource Center

• Outside Seminars

• Outside Expertise

Invest in TechnologyInvest in Technology

•Digital Video–Shoot every installation

•Wireless POS

•SEO

•QR Codes

•Digital Video–Shoot every installation

•Wireless POS

•SEO

•QR Codes

Invest in YourselfInvest in Yourself

•Knowledge, Skills and Attitude

•Join Professional Groups

•Master Mind Group

•Build Your Library–Trade magazines

•Knowledge, Skills and Attitude

•Join Professional Groups

•Master Mind Group

•Build Your Library–Trade magazines

2. Consistent2. Consistent

•“Poor marketing done consistently will be more effective than great marketing done sporadically.”

•Consistency is interpreted as longevity, credibility, and trust.

•“Poor marketing done consistently will be more effective than great marketing done sporadically.”

•Consistency is interpreted as longevity, credibility, and trust.

“I’ll tell you why I don’t trust him.It’s that damn sheepskin vest.”

5 Things Every Customer Needs5 Things Every Customer Needs

•Welcome

•Comfortable

•Important

•Understood

•Appreciated

•Welcome

•Comfortable

•Important

•Understood

•Appreciated

The Need to Feel WelcomeThe Need to Feel Welcome

“The terrorist barriers seem to be working.”

The Need to Feel WelcomeThe Need to Feel Welcome

•Greet at the Door

•Never ask, “May I help you?”

•Smile first

•Maintain eye contact

•Greet at the Door

•Never ask, “May I help you?”

•Smile first

•Maintain eye contact

The Need to Feel ComfortableThe Need to Feel Comfortable

•Offer refreshment

•Offer your name

•Remember theirs

•Offer refreshment

•Offer your name

•Remember theirs

The Need to Feel ImportantThe Need to Feel Important

•Ask LOTS of questions–“The 37 Magic Selling Questions”

•Listen

•Use Verbal Attends

•Get then in the store

•Never make them wrong or stupid

•Ask LOTS of questions–“The 37 Magic Selling Questions”

•Listen

•Use Verbal Attends

•Get then in the store

•Never make them wrong or stupid

The Need to Feel UnderstoodThe Need to Feel Understood

•Avoid “Tech-talk”

•Use signposting to match their criteria

•Ask, “Is this what you had in mind?”

•Avoid “Tech-talk”

•Use signposting to match their criteria

•Ask, “Is this what you had in mind?”

The Need to Feel AppreciatedThe Need to Feel Appreciated

24 hours

7 days

30 days

6 months

Annually thereafter

24 hours

7 days

30 days

6 months

Annually thereafterThe Rule of 10%

3. Confident3. Confident

•“Guerrillas believe in their products and their people.”

Why Customers Buy From YouWhy Customers Buy From You

Confidence Confidence

Service Service

Selection Selection

Quality Quality

Price Price

Why Customers Buy From YouWhy Customers Buy From You

1. Confidence1. Confidence

3. Service3. Service

4. Selection4. Selection

2. Quality2. Quality

5. Price5. Price

Confidence comes from:Confidence comes from:

•Experience

•Product Knowledge

•Competitive Intelligence

•Promises you can keep

•Experience

•Product Knowledge

•Competitive Intelligence

•Promises you can keep

“Mr. Colton, do we stand behind our products?”

Promises You Can KeepPromises You Can Keep

•No Lemon Guarantee

•30 Day Price Guarantee

•On-time Delivery Guarantee

•No Lemon Guarantee

•30 Day Price Guarantee

•On-time Delivery Guarantee

4. Patient4. Patient

•Fine-tuning your knowledge and skills takes time.

Number of Impressions

Total Apathy

Purchase ReadinessPurchase Readiness

Prospect Learning CurveProspect Learning Curve

5. Assortment5. Assortment–Fill the Curve–Package Pricing–Show the Best First–Fusion Marketing

–Fill the Curve–Package Pricing–Show the Best First–Fusion Marketing

“How did I go broke? I was the low bid.”

4 Ways to Build Margin4 Ways to Build Margin

•Upselling

•Crosselling

•Reselling

•Double it

•Upselling

•Crosselling

•Reselling

•Double it

The GradientThe Gradient

PricePrice

OverheadOverhead

If money were no object. . .If money were no object. . .

If all you want is . . .If all you want is . . .

What we do is. . .What we do is. . .

They’ll Pay MoreThey’ll Pay More

•Quality

•Authenticity

•Stability

•Reliability

•Knowledgeable salespeople

•Quality

•Authenticity

•Stability

•Reliability

•Knowledgeable salespeople

“This DVD player costs less than players selling for twice as much.”

•Reputation

•Partnership

•Consistency

•Exclusive features

•Advanced technology

•Reputation

•Partnership

•Consistency

•Exclusive features

•Advanced technology

•Authority

•Popularity

•Scarcity

•Disposal

•Intrinsic value

•Authority

•Popularity

•Scarcity

•Disposal

•Intrinsic value

•Authenticity

•Financing

•Short delivery times

•Arrives in perfect condition

•Authenticity

•Financing

•Short delivery times

•Arrives in perfect condition

•Problems fixed quickly

•Environmentally friendly

•Benefit a third party

•Reduced liability

•Problems fixed quickly

•Environmentally friendly

•Benefit a third party

•Reduced liability

•More fun!•More fun!

6. Subsequent6. Subsequent

•“Guerrillas wage their marketing campaign simultaneously on three fronts.”

Lifetime Value of a CustomerLifetime Value of a Customer

$5,000.00 per year

x 5 years

$25,000.00

$750.00

$5,000.00 per year

x 5 years

$25,000.00

$750.00

6. Subsequent6. Subsequent

•“It takes 11 positive impressions to overcome a single negative impression.”–Repetition, Repetition, Repetition–You Oughta’ Be In Pictures

Dear Mike

THANK YOU for inviting me to speak for ARA for the third year! What a FUN group! We had a GREAT time! OrvelRay

From the desk of Orvel Ray Wilson

34316 Gap Road, Golden, CO 80403 800-247-9145

7. Convenient7. Convenient•“Guerrillas are user friendly. They are in touch, easy

to reach, and they do everything immediately.”

–Location–Business hours–Delivery hours–Staffing

•“Guerrillas are user friendly. They are in touch, easy to reach, and they do everything immediately.”

–Location–Business hours–Delivery hours–Staffing

“He’s on another line at the moment, would you like to hold?”

The Economics of Exceptional ServiceThe Economics of Exceptional Service

•The average business never hears from 96% of its unhappy customers.

•But 90% or more will not visit or buy from them again.

•The average business never hears from 96% of its unhappy customers.

•But 90% or more will not visit or buy from them again.

•For every complaint, the average company has 26 customers with problems.

•Of customers who register a complaint, 70% will do business with you again if you resolved the complaint.

•For every complaint, the average company has 26 customers with problems.

•Of customers who register a complaint, 70% will do business with you again if you resolved the complaint.

•That figure jumps to 95% if the customer feels the problem was resolved quickly.

•The average upset customer tells 9 people about it. One in five will tell more than 20.

•That figure jumps to 95% if the customer feels the problem was resolved quickly.

•The average upset customer tells 9 people about it. One in five will tell more than 20.

•Better service performers charged about 9% more for their goods.

•They grew twice as fast and picked up market share at 6% a year, while those with poor customer service lost 2% per year.

•Better service performers charged about 9% more for their goods.

•They grew twice as fast and picked up market share at 6% a year, while those with poor customer service lost 2% per year.

•Service stars earned a 12% return on sales, vs. a paltry 1% for the rest.

The Strategic Planning Institute, Cambridge, MAThe Strategic Planning Institute, Cambridge, MA

8. Measurement8. Measurement

•“What you measure is what you get. Inspect what you expect.” – Tom Peters

“Discouraging data on that new antidepressant.”

•P&L– Which part of the business is most profitable?

•Days in AR

•Motivate everyone to above average production

•P&L– Which part of the business is most profitable?

•Days in AR

•Motivate everyone to above average production

Monthly Sales Performance

Total Sales Volume

Number of Transactions

Gross Margin

Jeannie $16,550.00 25 31.1%

Ted $20,196.00 26 30.2%

Aaron $24,952.00 30 29.3%

Chris $19,252.00 32 32.1%

Pat $22,532.00 31 34.9%

Michelle $21,036.00 25 26.0%

Ryan $26,382.00 19 31.0%

Average $21,557.14 26.86 30.7%

Total Sales Volume

Gross Margin

Jeannie $16,550.00 25 31.1%

Ted $20,196.00 26 30.2%

Aaron $24,952.00 30 29.3%

Chris $19,252.00 32 32.1%

Pat $22,532.00 31 34.9%

Michelle $21,036.00 25 26.0%

Ryan $26,382.00 19 31.0%

Average $21,557.14 26.86 30.7%

Total Sales Volume

Gross Margin

Jeannie $16,550.00 25 31.1%

Ted $20,196.00 26 30.2%

Aaron $24,952.00 30 29.3%

Chris $19,252.00 32 32.1%

Pat $22,532.00 31 34.9%

Michelle $21,036.00 25 26.0%

Ryan $26,382.00 19 31.0%

Average $21,557.14 26.86 30.7%

Total Sales Volume

Gross Margin

Jeannie $16,550.00 25 31.1%

Ted $20,196.00 26 30.2%

Aaron $24,952.00 30 29.3%

Chris $19,252.00 32 32.1%

Pat $22,532.00 31 34.9%

Michelle $21,036.00 25 26.0%

Ryan $26,382.00 19 31.0%

Average $21,557.14 26.86 30.7%

•Traffic and Closing Ratios–People Counter System

9. Excitement9. Excitement

•First ticket

•Most tickets

•Smallest ticket

•First ticket

•Most tickets

•Smallest ticket

•Biggest ticket

•Most Units

•Last ticket

•Biggest ticket

•Most Units

•Last ticket

Pay incentives to write business todayPay incentives to write business today

•Have Fun!–“How’s business?”–A Good Word for Everyone–Never Complain.

10. Commitment10. Commitment

•Use what you have

•Invest in your stars

•Put it in writing

•Use what you have

•Invest in your stars

•Put it in writing

THANK YOU!THANK YOU!

•Like me on facebook

•Follow us on Twitter

•Call with questions 800-247-9145

•If you want the slides. . .

•Like me on facebook

•Follow us on Twitter

•Call with questions 800-247-9145

•If you want the slides. . .