Bloggy Business Today

Many of the most successful businesses in the world start with a simple idea. If you’re an entepreneur, it’s important to look at the world around you for ideas and inspiration. There’s always room for innovation in any business, and sometimes a novel approach is closer than you think.

For example, if you’ve driven on a major highway recently, you’ve probably seen hundreds of billboards on the sides of the roadway. Every 500 yards or so, in between signs for exit ramps, speed limits and mile markers are ads for any number of businesses. Some advertise food, gas and lodging while others advertise local and national businesses. Or they promote the morning news team on your local NBC station or the local radio show.

These ads are within the visual range of hundreds of thousands of people a day, and are processed quickly and subsconsciosly by the people who see them. Without other competing sources of information to weigh, a driver may decide where to fill up his car or his stomach based on that business’ advertising on a highway billboard. This type of marketing is brilliant because it catches people in a captive location (in this case, along the roadway), and in a position where they are likely to make a purchasing decision quickly and effectively.

The companies that purchase these billboards know this. You wouldn’t see a gas station that purchases billboard space 150 miles away from their service station. They know instead that their advertisement will be much more effective the closer it is to their place of business. Not only does this make a decision immediately actionable for a consumer, but it also creates a sense of urgency for the consumer. If the person waits too long to make a decision, the window of opportunity has passed and he may have to wait another 50 miles for the next opportunity to eat at the Waffle House or to pump gas at the Texaco.

A billboard approach is not exclusive to drivers and roads. Go onto any major website and you’ll find several ads for a variety of products. They’re strategically displayed and usually well-placed based on the demographics of the website.

Now, if you’re reading this article, chances are you’re not on bloggybiz.com just for the advertisements. You’re here for the content, for the business advice, for useful information about the world you live in. Or maybe our owner told you about this site. Or maybe you’ve heard really good things about this young writer who works for the site, and you just can’t wait to read his next entry.

Now what does all this have to do with your job or business? A lot, actually. It demonstrates the power of ideas and innovation — even a simple idea like a billboard can be truly impactful for your business.

So the next time you’re driving down the interstate, take a conscious look at all the advertising efforts that zoom by you at 65 miles per hour. If you’re driving more than 200 miles, you’ll probably see hundreds of billboards during the course of your journey. And similar ones on the way back. Which ads catch your eye and capture your imagination? Why are some better than others?

And while you’re eating a pecan nougat log at a Cracker Barrel off the interstate, you can wonder why you got there in the first place. You were hungry, you wanted something to eat and the sign on the side of the highway told you could stop at the next exit. You’re there thanks to a combination of necessity (you have to eat, after all) and good old-fashioned advertising.

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This is the first in an ongoing series about simplifying economic and investment principles for your everyday business needs.

One of the best ways to increase employee morale and attract high quality candidates to your company is by offering an employee benefit package. Though employee benefits vary from business to business, most packages include some combination of medical insurance (health, dental and vision) and a retirement plan. The most commonly used retirement plan is a 401(k) plan.

But what exactly is a 401(k) plan?

The phrase”401(k)” refers to the section of the IRS code from whence it originated. First available in 1981, a 401(k) plan typically offers an assortment of mutual fund investments that employees can use to earmark a portion of their income toward retirement.

It is a common misconception that a 401(k) plan is an investment itself. It is not. The 401(k) is the piggy bank you put your hard-earned money into. To use another analogy, the 401(k) is the aquarium, not the fish. It facilitates your ability to save on a regular basis.

There are many benefits to investing in a 401(k). First, the savings are done a pre-tax basis. This means that for tax purposes, you are reducing your adjustable gross income (AGI) by the amount of your contributions. This will allow you to reduce your tax liability year in and year out.

Second, many employers make a matching contribution up to a certain percentage. This is a powerful benefit as essentially your employer is adding “free money” to your retirement portfolio. After a certain number of years with a company, you are “vested” and the money is yours to keep should you change jobs.

Third, your retirement savings will grow tax deferred until you begin withdrawing your savings during retirement. For those of you who are in your 20s or 30s, your investments will grow for several years without triggering any tax consequences.

Lastly, one of the main benefits of a 401k is choice. The plans offered by many companies include conservative mutual fund choices (money markets and bond funds), moderate (blue-chip income stock funds) and more aggressive choices (small cap and international funds).

Do yourself and your future a favor in 2008. Take the time to speak with your Human Resources contact and learn about the power of your tax-deferred investment savings.

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One of the most forgotten parts of the sales process is the ongoing service, contact and support of existing customers. It’s natural for many businesses in our profit-centric business culture to chase after the next big sale. It’s quite another thing for companies to look inward and focus on what they lredy have — their existing book of business.

Diversify your marketing and tap into one of your most powerful assets (your own customers) by following these tips in 2008.

Use contact management software to automate your follow-up — Consider investing in a tool like ACT to keep track of all your clients and prospects. ACT is designed specifically with salespeople in mind and will help you tremendously with organization and time management. If you’re on a budget, you can use Microsoft Outlook or even the Yahoo and Google web-based services to much the same effect.

Empower your employees to do the follow-up for you – It’s been said many times before that a good leader knows how to delegate. Developing a client service approach and system for your business is a great way to give your new employees great experience at your company. What better way for someone to learn the ins and outs of your business than speaking directly to your company’s clients

Invite your customers to give you feedback — The companies that stay in business are typically the ones that are always improving. Don’t be content to stick with what worked last year. At every chance you get, ask your clients and prospects hiow you can improve their experience.

Always ask for referrals – If people trust you and your company enough to use your product or service regularly, they probably trust you enough to recommend you to others. Don’t be shying in asking for help to grow your business. The worst they can say is “no”

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Have you watched the pitchers in a Major League Baseball game recently? If you watch closely, you will see that every player seems to fill a role, providing a specialization that fills a particular need of the team. One pitcher starts the game, another faces a handful of batters in the middle innings, another for the late innings, and yet another comes in to close the game. Teams do this not just for convenience or to spread around the work, but also to keep from spreading their resources too thin. This concept of specialization is one that many business owners should take to heart.

One of the main reasons many businesses fail is because they try to do too many things. And it usually starts out innocently enough. In the spirit of “keeping the customer happy,” businesses often allow themselves to do work outiside of their defimed area. Before they know it, they have veered too far off the intended path and are no longer able to provide the same level of service in their core competency.

In many cases, it’s better off to simply turn down business or refer a customer to one of your competitors. This will demonstrate your commitment to your company’s product.

There are many advantages to having a specialty, or niche, and sticking with it.

First, having a niche allows you to become an expert at what you do. After a while, your customers will see you as the go-to company in your area. While other companies are scrambling to be all things to all people, you can pick your spots.

Second, having a specialty allows you to keep your resources (human, equipment, etc.) on a clearly defined goal.

Third, starting your business with a clearly defined niche allows you to pursue growth at a more deliberate and steady pace. As you accumulate success after success in your defined specialty, you can more leisurely add other areas of expertise to your core business competencies. This will allow you to keep youor growth under control and give you the opportunity to expand only when you are ready.

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As a business owner, public speaking engagements offer a great opportunity to spread the gospel about your business and position yourself as an expert in your industry. At the same, public speaking makes many professionals anxious and nervous.

Here are some helpful hints to make your presentations more persuasive, effective and stress-free in 2008.

Join a Toastmasters group: These organizatiions exist for the express purpose of helping individuals improve their public speaking skills. These clubs are available in most major towns and cities, and there is little cost to join and particpiate. These groups help train speakers in a number of different styles of rhetoric and communication. After one has completed the Toastmasters program, he or she is then eligible to speak on the Toastmasters circuit. This could be a great opportunity for a business owner looking for more visibility in the local community.

Ask for feedback – Your colleagues and peers are often the greatest source of advice when it comes to critiquing your speaking and presentation skills. After all, these are the people that you work with every day. They hear you speak all the time and probably know your strengths and weaknesses best.

Prepare and practice – Know what you’re going to say before you say it. Use a note card or a sheet of paper to create an outline for your speech. If you have a map of where you’re going or where you’ve been, you’ll know how to find your way back on course should you get lost. Practice your prersentations as many times as you can. Do it while driving or while walking somewhere. Practicer it in the mirror when you’re shaving in the morning.

Observe others – There are a lot of exciting public speakers out there,. Go see a motivational speaker at your local convention center if the opportunity presents itself. Or turn on the television and watch the presidential debates this year to see one of the greatest public speakers in recent memory — Barack Obama. Regardless of your political beliefs, you have to be impressed with the way Obama can a work a crowd into a frenzy. Don’t be afraid to borrow the techniques of others and make them your own.

Be yourself — When in doubt, keep it simple and be yourself. Speak in a way that is most comfortable to you. People will appreciate a speaker that is genuine and speaks from the heart.

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