Marketing Reports

The more I have become addicted to marketing metrics the more I find that it is important to step back and take a big picture look at the reports I am running.  When I first began developing marketing metrics many years ago it seemed that I was generating great data, but it was not always actionable data.  Over time I have learned how to focus on developing data and metrics that drive better decisions and revenue. This past week I have been thinking about the reports that I will be running over the next 12 months with a focus on producing data that can be acted on to help drive profits. Below is a listing of some of those reports and I hope many of you will find the list beneficial. I would love to hear if you have additional reports that you are running to help drive top line growth.

Monthly Reports

• Revenue Forecasting
  • Lead Reporting
  • Pipeline Reports (Fee proposals and  qualification based proposals)
  • New Business Reports (New work signed by month)
  • Backlog Report  (Volume of contracts signed but not yet billed)

Quarterly Reports

• Marketing/BD Costs by group, division, and companywide
  • Marketing Labor Costs (Marketing personnel Only)
  • Marketing Labor Costs (Non-marketing personnel)
  • Business Development Labor Costs
  • Marketing/BD Non-Labor Costs
• Hit Rates by group, division, companywide, and most importantly by opportunity owner
  • Proposal to Awarded
  • Shortlisted to Awarded

Bi-Annual Reports (1/1 and 7/1)

• Revenue Comparison Report (Compare revenues for Top 100 clients to prior 3 years revenues from those same clients)
  • Identify growth and losses for top clients
    • Reversible or Inevitable?
• Identify Client Managers and set meetings regarding relationships that are losing ground

Annual Reports

• Project Size Report
  • Project profitability by project size and as portion of total profitability
  • Project size as portion of total revenue
  • Repeat Clientele Percentage (percentage of clients that are New vs. Repeat)

What will a CRM do for me?

One of the primary goals of a CRM (Customer Relationship Management) system should be Increasing Revenue. This is accomplished by leveraging many aspects of the system, the most important of which are: Communication, Collaboration, Follow-up, Reporting, and Forecasting.  I was recently asked what we should expect from our corporate CRM (Deltek Vision) and I thought that you might find the list helpful as well.

A Good CRM should:

• Be the corporate Client Database
• Measure Business Development outreach efforts
• Remind you to follow-up in a couple of days, weeks, or years
• Become a central repository for notes and information on a given client or lead
• Manage qualified leads and keeping them from falling off the radar
• Manage and track outstanding fee proposals, including forecasting revenue
• Manage and track outstanding Statements of Qualifications, including forecasting revenue
• Track customer interactions
• Identify Business Development Tasks that need to happen
• Identify if those Business Development tasks are actually happening
• Notify Client Managers about interactions everyone else the company is having with their client
• Provide feedback on projected revenues and actual revenues
• Report projected revenues by group/division/ company
• Increase collaboration between groups and divisions through information sharing
• Flag Client Managers and management when revenue is declining for a given client
• Provide a historic record of project files prior to the award of a project
• Identify money pits (people we’ve been pursuing for years to no avail)
• Be a central repository of information on winning firms (ex: Architects that are winning Higher Ed, Local Gov, K12, work that we can team with to pursue future work)
• Report on Business Development activities: “That which is measured is improved”
• Manage conferences – costs, exhibiting, attending – and relate it back to specific employees
• Track and measure Master Contracts (term contacts) to ensure they are being leveraged fully
• Answer the question: What happens to someone’s contacts when they leave?
• Provide historic Information on pursuits, lunches, relationships, and more

A Great CRM should:

• Integrate with existing project and client data, allowing for cross reporting related to current revenues and past revenues and how these relate to future revenues
• Identify “Stuck Opportunities”
• Report on the effectiveness of the Business Development staff
• Identify who and what efforts result in new work
• Integrate with a Client Retention Program (ex: survey feedback loop to measure success)
• Become a measurable part of the employee review process

 

Corporate Character

“Corporate Character is the intellectual and moral qualities that distinguish one company from another.” If you were to look at a ‘best value’ bid in Arlington County, VA you would find the following evaluation criteria used to award contracts: “(the County considers) the character, integrity, reputation, judgment, experience, and efficiency of the bidder.” Did you catch that, your clients are interested in the character of your company, not just your fee. They want to know the quintessence of who you are, your reputation, and why you’re the best; they want to understand your Corporate Character.

Inside and Out
Your Corporate Character is made up of hundreds of things that can be separated into two categories: how you are viewed (external) and who you are (internal). The external attributes of your Corporate Character are easy to understand and easy to change, they include your brand, public relations, reputation, sales, and customer service. The internal attributes of your Corporate Character are much more complicated, they include your corporate culture, integrity, honesty, judgment, moral standard, and experience.

Wrapping Paper on a Bad Gift
The external attributes of your Corporate Character are easy to change, but like wrapping paper on a bad gift, they only cover the underlying problem temporarily. To truly change how your company is viewed in the marketplace you must start by changing the internal attributes of your Corporate Character.

Your Corporate Character
It is the inside out approach to changing Corporate Character that builds a company which your clients will want to work with, one that has the “character, integrity, reputation, judgment, experience, and efficiency” to be trusted.

Network Like an Introvert – My New Book!

My new book Network Like an Introvert is finally here!  I can honestly say that I had no idea just how much work goes into writing a book, so I am extra excited to announce the launch today.  Special thanks go out to everyone that was involved in the project over the past two years, especially Richard Klabunde (that’s my Dad) and Matt Handal.  I am proud to say that Network Like an Introvert is being published by Mark Buckshon and Asset Beam Publishing Ltd.  Please take a moment to order a copy, marvel at the new things you learn, and write an amazing review on Amazon.

About Network Like an Introvert:

For years introverts have been told that in order to succeed at networking they should follow extroverted and sales-driven tactics that are counter to their personalities. Network Like an Introvert takes on these false assumptions and looks at the lives of introverts that have succeeded at networking without trying to be someone they are not. Written by an introvert, for introverts, this book will give you a refreshing approach to networking that will leave you with the tools and plan to build a successful network.

To find out more about this book and to read what others are saying please check it out on Amazon.

The Key to Great Conversations

Great conversations start when people have something in common. For my second video in this series I wanted to share with you a little secret I use to help ensure that I can find common ground quickly when I meet someone new.  Not only is it simple, but you’ll find it is fun to implement as well!

For those that subscribe to CofeBuz via email here is a link to the video: http://youtu.be/225wZaf8f2A

Proposal Development Secrets

It isn’t every day that I promote a book here on CofeBuz, but I believe I have found a great book worth sharing. Several weeks ago AEC marketing guru Matt Handal published the book “Proposal Development Secrets: Win More, Work Smarter, and Get Home On Time” as an Amazon Whispernet exclusive book. It quickly moved up the ranks to a “Top 100” Marketing book, even rising as high as the Top 10 for a period of time. After reading it I know why, in it Matt provides a comprehensive overview how to win proposals while providing anecdotal “secrets” that are easy to understand and even easier to implement. This engaging book was a win for me, providing far more value than many other much more expensive books. (It only costs $3.99) Be certain to check it out, and also keep an eye out for my latest video set to release on Monday here at CofeBuz!

QR Codes: Rules, Response Rates, and Opportunity

I recently began testing the use of QR (Quick Reference) Codes in an effort to see how they could be leveraged as a new marketing tool. I have scanned these square barcode style codes using my smart phone plenty of times before, but usually when reading an advertisement or brochure in an effort to learn more about the product or service being sold. My objective, however, was a bit different: I wanted to see what it would take to transform these codes into a tool that could help me build relationships more effectively for our company, and ultimately bring more work in the door.

If you aren’t familiar with Quick Reference or QR Codes, they were created in 1994 by a Toyota subsidiary Denso Wave. You have probably seen these square codes numerous times even if you haven’t ever scanned one. The rapid increase in the use of the codes for marketing is, in part, a result of their ease of use, and because Denso Wave chose to make the codes available for free without licensing requirements. As a result, QR Codes can be easily implemented into a marketing program with less effort than it takes to ensure you have the proper licensing to use a stock photographic image.

Common uses for QR Codes

You have probably seen the codes in numerous places, but throughout our industry and others QR Codes are being leveraged in a number of marketing platforms to provide an additional connection point with clients. The most common uses include:

• Brochures – QR Codes are often used in brochures as a way for the reader to find additional information. Recently I scanned a code that led to a short YouTube video with additional images and information.
• Post Cards – An effective post card traditionally has an action for the reader to take. QR Codes can help the reader take those actions even if they don’t have immediate access to a computer.
• Advertising – Including QR codes in print advertising is increasingly being used to direct potential clients to additional information imbedded in videos or websites. Hickok Cole Architects in Washington, D.C. even started an industry scavenger hunt with QR Codes in a recent advertising campaign.
• Business Cards – Including a QR Code on the back of your business card can create an easy way for contacts to download your vCard or to connect using social media.
• Promotional Products – Many companies are having QR Codes printed on promotional products such as t-shirts that are given away at special events and trade shows.

Response Rates and Opportunity

As with any new marketing tool, it is important to start with research into the associated hit rate. A recent study at the Harvard campus showed a response rate of 0.3% when 160 signs that were distributed to gauge a response to the QR code experiment. For comparison purposes, this rate is analogous to the hit rate on your average post card mailing. For the study, half of the signs had instructions on the use of QR Codes and half did not. Notably 60% of the activated codes were from the versions with detailed instruction on how to use the QR Code, indicating that the awareness about QR code usage is still in an embryonic stage. Therein lies the opportunity for marketers to take advantage of this new tool, but it also shows that in order to increase your hit rates it is highly advantageous to provide detailed instructions on the use of QR Codes when using them in marketing.

Knowing the QR Code Rules

As with every marketing tool there are a handful of best practices that every marketer should know to effectively implement the tool. For QR Codes consider the following 5 rules:

1. Smart-phone friendly – QR Codes are designed to be scanned by smart phones. Don’t send out a post card with a QR Code that leads to a website that is not smart phone friendly.
2. Keep it short – Every character that you place into a QR Code must be translated into the code, thus be certain you shorten links before creating your code by using a website such as http://bit.ly If you want to use the QR Code for a complex function such as sharing a vCard consider developing a smart-phone friendly webpage that you can embed the vCard in since QR Codes with too many characters will not be readable by every smart-phone.
3. Provide value – Don’t use QR Codes just because they exist, instead ensure that they provide value or your hit ratio will suffer.
4. Instructions – Remember the Harvard campus study and give instructions on how to use QR Codes until you are certain that your target audience knows how to use them.
5. Have fun – Get outside the box with designer QR codes. Check out www.customqrcodes.com for unique QR Code graphics that will set you apart from others in the industry.

Building Relationships: Scan Here to Connect

As I have been experimenting with QR Codes, one of the most successful ways I have used the code is on my business cards. For an industry built on relationships it didn’t take long to discover that using the codes to focus on individuals quickly led to new connections and new project leads. For testing purposes I created a quick smart-phone friendly website (www.TimKlabunde.com) that contains links to all of my social media connect points including LinkedIn, Twitter, Plaxo, my blog Cofebuz, and YouTube. In addition, I created an easy link for visitors to download my vCard. I then created a QR Code at http://qrcode.kaywa.com and imprinted it on the back of my business cards.

The results have been intriguing to say the least. From a website analytics perspective, the hits have been much better than I expected and far better than the Harvard campus study: about 1 in 4 recipients have scanned the code. The true success of the experiment, however, has been the conversations that hatched when I first handed someone my business card. The QR Code has become a topic in-and-of itself, as it opens discussions related to the most effective uses of technology in marketing.

Technology as a Tool

As marketers, we often see new technology like QR Codes and begin to use it just because it exists. The problem is that technology for technology’s sake does not create great marketing. Great marketing happens when tools are leveraged together to meet a predetermined set of objectives, and in our industry that objective must be the establishment and furthering of great relationships.

This article, written by CofeBuz author Tim Klabunde, was published in the August edition of Marketer magazine.

The Relationship Development Process

Success in business starts with successful relationships. Because of this, the relationship development process is often the guide that is used to govern the marketing and business development roles in companies. As you look at these stages of the relationship development process note that marketing plays the pivotal role of effectively laying the foundation for relationships, while business development facilitates the initiation of those relationships.

The Relationship Development Process

Name Recognition – During the name recognition phase of the relationship development process a company or an individual goes from being an unknown, to being known. This foundation sets the groundwork for a relationship as others are at least aware that you or your company exists. Name recognition is one of the primary objectives of a strong marketing department and it often takes the form of advertising, promotions, mailers, and press. It is also handled in business development and sales when a new relationship starts. A common introduction when you meet someone new for the first time often builds name recognition: for example: “I’m John Adams with ABC company.” Note: I have found that if your company is an unknown, prior to initiating a new relationship, your chances of turning the relationship into a sale are reduced significantly.

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Develop Understanding – During this part of the relationship development process, a company or individual goes from just being a name, to being recognized for how they fit into the world. This stage establishes a thorough understanding of your company, the services you provide, and how others see you in the industry. Most importantly, it is during this stage that others will learn how your company can be of benefit to another individual or company. This stage should be handled by marketing at the company level and business development at the relationship level. In marketing, this often takes the form of websites, brochures, newsletters, and articles. In business development, it often happens during conversation and should include how the individual fits into the corporate structure.

Interactive Communication – During this part of the relationship development process you must begin to engage at the human level. This is no longer about facts or information, it is about building a personal relationship. Because of this, business development should take the lead at this stage with minimal marketing support.

Solidify Relationship – Relationships are solidified when you engage in mutually beneficial action. When you call someone that you have solidified a relationship with, communication is easy and most of the time you will be able to quickly find direct and indirect topics of conversation. This stage should be headed by your business development staff in conjunction with your project management staff. Often, this is the point at which new work or projects are begun with your new client.

How are you doing?

Looking at this process, you can see the importance of both business development and marketing in the sales process. Take a moment to identify the areas that you need to strengthen in order to improve the effectiveness of your sales process. Is your marketing department truly laying a foundation with name recognition and developing understanding, or are they just producing glossy brochures? Is your business development staff regularly initiating interactive communication with important potential relationships, or have you yet to identify who is responsible for business development at your company? As you think about these questions, I hope you can see the steps you need to make to improve your sales process.

Construction Marketing Ideas

This past week I received a copy of Mark Buckshon’s new book Construction Marketing Ideas and I must say that I am impressed. It provides a comprehensive overview of not simply the basics of marketing, but truly how to leverage marketing to bring work in the door. Since I am a sucker for stories I have especially enjoyed the stories from others in the industry that have faced so many of the same problems that we all face and have found unique ways to solve those problems.

I definitely agree with Mark on the role of associations in building an effective marketing program:

Association marketing:  Your untapped gold mine

After attending a Society for Marketing Professional Services (SMSP) annual Build Business convention in Denver, Colorado, our family visited a small working gold mine. The miner, after years of low gold prices, had discovered a way to survive by selling site visits to tourists.  With gold prices soaring, the actual mining operation is now thriving.  Nevertheless, the tourist revenue continues to create an exceptionally profitable business. However, the miner doesn’t need to dress the place up as a tourist site; it is a working mine, after all.

Discovering untapped resources

From a marketing perspective, associations have similarities to the gold mine.  They can seem expensive, and while you can sometimes find nuggets on the surface, the best value is deep within your  participation.  However, unlike the mine, which (even if it can continue for decades) is a depleting resource, effective association participation results in increasing advantages until you hit the mother load of consistent, repeating opportunities.

It took me a long time to appreciate why associations are so valuable for marketing, and my research suggests that many people give up before they achieve success.  A senior SMPS member said the association struggles with people who join, then quit after a year or two.  “This turnover is disturbing, because the real value in membership comes with time and the networking and leads developed over the years,” he said.

A wealth of leads

When leveraged actively and consistently associations can provide a wealth of new project leads. More importantly for me has been that my involvement in great associations (such as the Society for Marketing Professional Services) have yielded true friendships. It is an amazing thing to enjoy going to work every day to achieve success with true friends.

Construction Marketing Ideas

If you haven’t already done so let me encourage you to pick up a copy of Construction Marketing Ideas by Mark Buckshon.

Warming Up a COLD Contact

I greatly dislike making cold calls, so several years ago I decided that I was going to change my approach to calling someone I didn’t don’t know: I decide to start “warming-up” calls before I made them. For years now I have successfully implemented a simple three step process to warming up a cold contact when other traditional methods such as referrals and introductions are not readily available. The process takes time, but when followed completely, I have found that it increases my success seven to eight times more than making a cold contact. I hope you find it helpful:

Step one: Name Recognition
I initiate name recognition by sending out two post cards exactly one week apart to the person I want to contact. Note two things here; one is that I always know the name of an individual I want to speak with before I start this process (not simply a company name), the second is that the information I send them is memorable. Oftentimes this will be done to a group of people I want to connect with to minimize effort. This first step provides me with name recognition, and the excuse to implement step two.

Step two: Develop Understanding
One week after I send out the second post card I call the individual to tell them who I am and to ask one simple question. It sounds something like this: “Hi, I am Tim Klabunde from Gordon. You should have received two post cards from me recently and I was wondering if I could send you some more information about what I referenced in my post cards.” Of the hundreds of times I have made this call I have only been told “no” once.

Note a couple of things that make this step successful: First it is an excessively short conversation, in other words I am very respectful of their time. Second, I never leave a voice message; I keep calling back at different times of the day if I miss them until I get through. Third, I fully expect that many of the people that receive my step two packet will discard it, but I have ensured through the phone call that they will at least look at it before they throw it away and remember it.

Step three: Initiate the Relationship
Step three is simply a warm follow-up call one week after I send out the additional information. By this point I have developed name recognition and they understand who I am and how I fit into their world. When I call, I reference our last conversation and information I have sent so they recognize who I am. With this foundation I initiate a conversation and relationship. Setting up lunch or a meeting becomes easy because a foundation has been laid for our relationship over the past month.

Building Relationships
Remember when you are working a cold contact that most people fail because they call someone else for personal gain, rather than laying a foundation for a mutually beneficial relationship. Instead of focusing on your personal objectives consider helping your new friend to reach their objectives. The result will be a relationship based on trust and and an individual that wants to help you succeed.