Bottomline First: Owners don’t really have anyone to talk to about their problems. Reach out to those in your care.
Outside of a preacher in a small church, I don’t know of a more lonely calling than a small business owner.
I will often ask them, “Do you know what your friends think of you?”
They look at me with stunned incredulity since I had only met them a couple of hours earlier and know none of their friends.
I proceed to tell them, “Your friends think they have it made, they think you come and go as you please, hire people to do what you don’t want to do and write it all off on your taxes!! They think you have the Life of Riley!”
Then they say, “You know, you are absolutely right!”
And I assure them if they try to convince their friends just how hard it is owning a business, they think you are pulling their leg!
And THIS is during the GOOD times! The loneliness is only getting worse in the economic environment of the day!
Many times business owners will become overly friendly with their employees to cope with their isolation knowing they get the day-to-day stresses with which the owner is dealing. But that becomes a management problem within the business and makes it almost unthinkable to furlough them when times get tough.
Business owners are seen as “having it all together” not only by their friends and the public at large but also by their families. I can’t tell you how many times I have interviewed a business owner during an analytical survey of their company who was showing a loss on their P&L only to discover he (or she) had not told their spouse. And let’s be honest, men, we are more guilty of this than our sisters-in-business. That stinkin’ EGO of ours gets us in trouble and then cuts off the support we so desperately need!
So to you advisors of these stalwart but hurting heroes of our economy, reach out to them! They need to know there are people and places that can be safe for them to unmask their pain.
Bankers, attorneys, wealth advisors, CPAs, insurance agents, consultants, accounting firms, HR firms – any trusted advisor in their life can just BE THERE for them and let them know it is OK for them to share anything that is bothering them.
If you are in a role they might not feel comfortable due to the business relationship (like their banker), try suggesting they might want to talk to a friend of yours.
As Charles Dickens wrote in the Tale of Two Cities, “It was the best of times, it was the worst of time…” We have been brutally snatched out of “the best of times” and forced into what is arguably “the worst of times.”
As a man of faith, I would that all men and women would seek guidance from the Creator of us all to lean into Him and His wisdom for our individual and corporate deliverance.
Let’s all be there for each other as we walk through the valley of shadows.
Ralph Watson
Ralph Watson has a varied and extensive career spanning 45 years of increasingly responsible positions in both sales and operations in a very diverse mix of industry specialties, including food processing, textile and apparel, financial services, and professional management consulting.
Ralph served as a Senior Executive Analyst with a number of international consulting companies focused on the family-owned, privately held market where he distinguished himself as one of the top analysts in a highly competitive field. In early 2014, he personally coached 10 businesses in Europe.
With each passing week, the economic damage wrought by the Coronavirus and the resulting shutdowns grows larger. It’s not just businesses, both small to large, feeling the pain. Educational institutions, hospitals, churches, not-for-profits, and state and local governments are all finding it hard to remain financially viable.
The US has essentially turned off broad swaths of the private sector – the ultimate and only source of income and wealth creation. Without the private sector, there is no money to pay for government, schools, healthcare, or charitable organizations. To make up for it, the US has resorted to an open-ended expansion of the Federal Reserve’s balance sheet (and expanded their power) and huge increases in government borrowing and spending, the likes of which the US has never seen outside of wartime.
As in 2008, many are worried that huge increases in Quantitative Easing and money growth, along with the purchasing of debt directly from the market, will lead to much higher inflation. However, at least for now, that doesn’t appear to be a problem. The consumer price index (CPI) fell 0.4% in March and is up only 1.5% from a year ago. This week, West Texas Intermediate (WTI) oil was trading at record low levels. This suggests another negative number for the CPI in April.
But the drop in measured consumer prices in March was not just driven by lower energy prices. Other factors included lower prices for hotels, airline fares, and clothing. What do all these categories have in common? A massive drop in customers due to the shutdown.
Sure, hotels are cheap today, but almost no one is using them; hotel occupancy rates are down about 70% from a year ago. Yes, anyone who flies can get cheap seats, but the number of people going through TSA checkpoints is down 96% from a year ago. Clothing prices fell 2% in March as sales at clothing & accessory stores fell 50%. Who had time to buy clothes when you had to stock up on groceries and toilet paper?!?
In other words, prices for the actual items people bought in March probably did not fall as much as the CPI report suggested, and the same argument will probably apply to April, as well. Bottom line: in the near term, while it may look like deflation, that’s not true for the average consumer.
As I look further out, official measures of prices will eventually turn back up. I see multiple broad forces at work on consumer price inflation, which should prevent us from lurching into either ultra-high inflation or Great-Depression-style persistent deflation.
Obviously the Fed’s actions will boost various measures of the money supply. And the unusually generous unemployment benefits for many workers who have recently lost their jobs means those businesses that are trying to ramp up production will have to offer higher wages than usual to attract workers, which could feed through to higher end-prices.
However, in spite of these reasons to fear higher inflation, there is one big reason to avoid fearing hyperinflation: the demand for holding money balances, by both individuals and companies, is going sky high. The precedent of shutting down the economy will make cash King. That’s the only way to survive. So, yes, the money supply will be much higher, but velocity will be much lower; people will hold cash dear.
While I think inflation measures will head towards 3.0% in 2021, higher than it was immediately prior to the Coronavirus, hyperinflation is unlikely.
Interest rates will go up eventually, too, but don’t expect a sharp rebound. After the Great Recession, the Fed didn’t raise short-term rates again until late 2015, when the unemployment rate hit 5.0%. After the expected spike in joblessness in the next couple of months, it’ll be a long time before we get back to 5.0% unemployment. Meanwhile, having witnessed two massive recessions in a row, investors will place an even larger premium on safety and risk-aversion than they have for the past decade, which will hold the 10-year yield down relative to the economic fundamentals we’ll see in the eventual recovery.
We’ve never seen an economic shutdown like this before. The ability of people and the government to panic like this changes nearly every economic calculation. For inflation, there are forces going both ways. Only time will ultimately tell.
Kevin Garrett – Integrated Financial Group
About Kevin
Kevin was listed in
The Wall Street Journal as “One of the Financial Advisors In The Southeast That You Need To Know”
Kevin was listed in Forbes Magazine’s Annual Financial Edition as a Five Star Financial Advisor
My firm specializes in working with people that experience what we call “Sudden Income.” Typically the income came from one of these events:
1) Accessing and Managing Retirement Assets
2) A Performance Contract (Typically a Sports or Entertainment Contract)
3) Divorce Settlement
4) Inheritance or Insurance Payout
5) Sale of a Business or Stock Options
6) A Personal Injury Settlement
I believe the unique nature of these events requires specialized professional experience, empathy, and communication to deal with both the financial changes and the life changes that inevitably come with them.
My clients value my ability to simplify complex strategies into an actionable plan. They also appreciate that I am open, non-judging, and easy to talk to about their dreams and fears. Each client defines financial success differently and my goal is to guide them from where they are now to where they want to be. As my client’s advisor, my goal is to provide them with a lifetime income stream, improving returns, protecting their funds, and managing taxes.
Firm Specialties:
Retirement Planning For Business Owners & Executives
Woman’s Unique Financial Planning Needs
Professional Athletes
Investment/Asset Allocation Advice
Estate Planning
Risk Management
Strategic Planning
Kevin has been awarded the FIVE Star Professional Wealth Manager in Atlanta Magazine in 2012, 2014, 2015, 2016, 2017, 2018, and 2019.
Award based on 10 objective criteria associated with providing quality services to clients such as credentials, experience, and assets under management among other factors. Wealth managers do not pay a fee to be considered or placed on the final list of Five Star Wealth Managers.
KEVIN GARRETT, AWMA, CFS
Integrated Financial Group
200 Ashford Center North, Ste. 400 | Atlanta, GA 30338
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Loyalty, not such a long time ago, was a fairly easy thing to cultivate. You give a punch card or green stamps (or even wooden “round-tuits,” some of you may recall) to your customers, and they reward you with frequent visits or purchases so they can earn the points or badges to pocket free stuff.
Even today, as businesses like restaurants, retail stores, airlines, and hotels work to digitize and mobilize loyalty programs, customers still find it exciting and compelling to rack up the rewards.
But a funny thing happened on the way to the bank—loyalty, it seems, can be a fairly fickle concept—and even with the ease of participating in today’s e-programs, they don’t seem to be creating the brand affinity and “stickiness” that companies crave.
In fact, a third of customers will vote with their feet after a single instance of poor customer service, according to one survey. Keep ‘em happy, however – with outstanding personal service, great products, and minimal gimmickry—and you have an 80 percent chance of cementing that loyalty.
The message here: Being loyal to your customers, in today’s uber-competitive landscape, is as critical—if not more so—as customers being loyal to you.
If it seems like the script has been flipped, you’re right. In the days of Loyalty 1.0, those green stamps paved a one-way street of loyalty, from consumer to company. But now, in the world of Loyalty 1.5, with the ability to gain insights through apps, clicks, interactions, and views, it’s easier than ever to open a reverse lane of loyalty traffic from the company, right back to the customer.
So, let’s step back for a moment and think about what we really want to do. How do we tool our loyalty programs to demonstrate our love of, and affinity for, our consuming public? And, in particular, how do we replicate this online, without the benefit of the human interaction that comes with bricks-and-mortar businesses?
How to be loyal to your guests
Here’s an example using a counter service fast-casual restaurant concept.
Imagine if you will, striding into a local fast-casual restaurant near your office. You’ve been in about once per week for the last two months because it is close, and you like the food. You decide you’re in the mood for their grub again for lunch, so you cross the street, walk in the door, and take your place in line.
As you wait, you look at the menu and think about the meeting you just departed. Now, you approach your cashier, Susan (you know because of her name tag) and she looks up and says, “Hi, Mr. Smith! Great to see you. Would you like the usual today?” You are shocked she knows your name and are impressed she knows your usual order. You reply, “Yes, please,” and add a drink. Susan goes on to say, “Mr. Smith, you’ve been in a lot recently and we love serving you. Lunch is on us today!”
In this scenario, it’s easy to see why you would be floored. Susan not only knew your name, but she comped your meal too. The rest of the experience is equally as stellar (clean restrooms, a spotless restaurant, a follow-up visit from the manager) and you return to the office and tell six of your co-workers. The restaurant was loyal to you — which created an emotional bond, and the intensification of your love for that restaurant brand.
Loyalty 1.0 and 1.5 promised the ability to scale loyalty, and in most cases it did. But to add personalized messaging – like that offered by the restaurant chain — and to attempt to be loyal to your guests on this type of grand scale, takes time and a mastery of technology. Is your company up to the challenge?
If you’ve been around for awhile, perhaps you felt a little déjà vu when you heard loyalty platforms would save your team time?
Many years ago in a galaxy far, far away, a similar promise was made…
The Machine of The Year – 1982
At the dawn of personal computing, and before PCs and laptops became ubiquitous, we were promised that these gizmos were going to make our lives easier and give us more time to enjoy life.
The impact of the Apple II and the IBM PC was fully demonstrated when Time magazine named the home computer the “Person” of the Year for 1982. It was the first time in the history of the venerable publication that an inanimate object was bestowed with this award.
An excerpt from an accompanying article, “A New World of Dreams,” painted a rosy picture of a promised future:
“…Point is, it will save you time. Time time time. And we need all the time we can save. Can’t kill time without injuring eternity. Thoreau said that. Great American, Thoreau.
You say: Why should I want to save time? I hear you, friend. I hear you. You wonder where it gets you, saving all that time when you think about old Henry Ford’s gizmo that was supposed to save a peck of time. Only instead of conquering the open road, we wound up living on it. You’ve got a point. You a college boy? But this is the country of the A-bomb and the zipper. We always save time, good and bad. Tempus fugit. Time is money. Most of all, time is dreams. And computers give you time for dreams.”
Loyalty 2.0
So, how do we upgrade to Loyalty 2.0? How do we blend all that we have learned to produce a loyalty relationship with our clients that is as strong as the one we wish them to have with us? A good starting point is to replicate the 1-to-1 experience – with as much richness as we can – in the digital universe.
For a Loyalty 2.0 program to succeed, it needs to have a few of the following features:
Social media integration
Detailed analytics
Targeted email marketing
Targeted text message marketing
Smartphone integration and an app
Software that’s integrated with POS
Segmentation tools
Campaign tools
Customer recognition
Loyalty automation
The last four points are the most important. Most Loyalty 1.5 platforms lacked automated campaign and segmentation tools. Or, took too much time and effort from your teams to create the kind of personal connections we are advocating for now.
To get your company on track quickly, you might consider a provider like Punchh, LevelUp, Paytronix, and others that live in the Loyalty 2.0 space.
All of these are vendors that are purely focused on the B2C experience. They are dedicated to providing clients with a mobile-first strategy. It makes it easy to analyze customer behavior, generate insights, and develop sophisticated marketing automation. And it makes customized campaigns and promotions possible. Most offer deep integrations with leading eCommerce/online ordering, POS, and payment providers. All that provides marketers with a single view of the customer for omnichannel engagement across physical retail and digital channels.
Are you ready to take a leap forward into the world of two-way loyalty? By adopting a Loyalty 2.0 mindset, you will find it easier to be loyal to your customers. However, you’ll still need to commit corporate resources to execute with success if your customers are to feel the love.
Doug Reifschneider
Doug Reifschneider is a dynamic results-oriented, data-driven professional, Douglas drives nationwide growth through the creation and delivery of unique, creative brand strategies enhancing customer affinity and market position. With 25+ years of executive marketing experience, he strengthens brand equity with resonating positioning strategies. He uses successful marketing programs and innovative marketing campaigns that boost revenues. An innovative leader with strong team-building and collaboration skills, his strategic initiatives generate substantial shareholder and franchisee value and open new revenue opportunities.
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A prudent man foreseeth the evil, and hideth himself (or ‘seeks refuge’): but the simple pass on, and are punished. Proverbs 22:3
Ralph Watson
Regardless of where Covid-19 originated, it is an actual virus and it is among us.
Mass hysteria has gripped our country emptying our grocery stores and gun shops and tanking our economy. I’m not making a political statement nor placing blame. I am simply acknowledging the current reality of our world and the tragic effect it is having on our businesses, large and small.
Let me invite you to step away from the madness for a few minutes for a dispassionate chat about our current situation.
At this point, there is precious little we can do with the country on lockdown. Our customers are not circulating in the marketplace, but are rather cocooned in their homes possibly shopping online. That doesn’t mean we can’t do ANYthing!
In his seminal book, The 7 Habits of Highly Effective People, Stephen Covey presented his Time Management Matrix exposing the relationship between Urgent tasks and Important tasks.
Quadrant I was the “Urgent & Important” containing all the fires that business owners face all day long: operational breakdowns, customer complaints, employee disagreements, accounts receivables, job bidding, and the list goes on ad infinitum! This is the quadrant in which we spend most of our waking business hours.
Quadrant II was the “Important but NOT Urgent” containing – honestly – all the most important issues of life: date night with the spouse, children’s ball game or dance recital, thinking & planning, reading important literature, praying or meditating, taking care of our health and on it goes.
The paradox of these two quadrants is that the ONLY way to get Quadrant I under control is to camp out in Quadrant II and DO the Important work of strategic business planning and management self-improvement! As you are able to become proactive and look down the road to see potential dangers, you are able to make those provisions to avoid the fires and reduce the size and tyranny of Quadrant I.
Although this may be the first time our current living generation has seen what is happening, it is not the first time for our country. Let me acknowledge that during the Great Depression, there were bakeries that went out of business – but there were bakeries that survived. There were clothing stores that went out of business, but there were clothing stores that made it.
The point is that no business segment vanished. Some businesses in every category made it in spite of so many of their competitors folding for good. So while we are all currently forced out of Quadrant I, now is a great time to take full advantage of the situation to get seriously deep into Quadrant II and not squander this unique opportunity to Be Greater Faster!
Read a management book. Call friends who own businesses to talk about common issues. Engage with a professional consultant – a generalist if you need overall help, or a specialist if you feel you need specific help like marketing. Reconnect with distant family. Get spiritually recentered.
Now maybe a good time to do a deep clean on your business. If you own a restaurant, pull all your equipment from the wall and clean behind that greasy frier and refrigerator. If you have inventory, get it straightened up, pull inactive SKUs and sell them off online if you can. Take a close look at your shop floor to see if there is a better way to improve the flow of production.
Now is NOT a time for deer-in-the-headlights paralysis!
If you need inspiration, reach out to someone you can trust!
Ralph C. Watson, Jr. 404.520.1030
Ralph.Watson@BeGreaterFaster.com
Thank you for visiting our blog.
Jim Weber – Managing Partner, ITB Partners
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There are several basic different benefits under the provision of the Family First Coronavirus Response Act (FFCRA or Act) and are broken out down below:
General Guidelines:
Employers will receive 100% reimbursement for paid leave pursuant to the Act.
Employers will get paid for via Payroll tax credits.
Businesses under 50 employees can request an exemption to provide the leave under this Act where the viability of the business is threatened.
Items in this Act will most likely apply from a date in January that will be defined in the April 2nd completing of the rules.
If a business developed a paid leave plan for COVID-19 in the past month, that policy must be exercised prior to using this Act’s provisions (unless overwritten in final instructions).
Paid Leave for Child Care:
If an employee cannot come to work because the employee’s child’s school or daycare is closed, that employee will be paid per the guidelines below:
The employer is required to pay this benefit to the employee.
The 1st two weeks may be unpaid, or the employer may allow the employee to take PTO, vacation or sick leave this employee has established in regard to the allotted amount outlined in the organization.
Thereafter, the following 10 weeks will be paid by the organization at two-thirds of the regular wage, up to $200.00 per day for a total aggregate of $2,000.00.
Under guidelines provided on April 2, 2020 the employer will be granted a credit from payroll taxes paid. If there are not sufficient taxes, accelerated payment from the IRS will be available.
Details will be available on April 2nd explaining tax credits to maintain the employees benefits during this time.
Employers are encouraged to set up a new paid leave code in the payroll system for keeping this expense separate for reporting reasons to get appropriate tax credits.
Paid Sick Leave:
Paid Sick leave is permitted if an employee is unable to work because of COVID-19 concerns such as:
Quarantine directed by a Doctor or isolation order.
Self-quarantine advised by a healthcare advisor.
Has symptoms and is seeking medical diagnosis.
Caring for an individual with an isolation order or advised by a healthcare provider to self-isolate (max payment is $200.00 per day for caring for others).
Employer must pay full wages for up to two weeks.
Maximum payment is $511.00 per day.
Under guidelines provided on April 2, 2020 the employer will be able to take a credit from payroll taxes paid. If there are not sufficient taxes, accelerated payment from the IRS will be available.
Details will be available on April 2nd on tax credits to maintain employee benefits during this time.
Once again, employers are encouraged to set up a new paid leave code in the payroll system for keeping this expense separate for reporting reasons to get appropriate tax credits.
Small Business loan:
Not approved yet; however, the Senate has strong details on small business loans that both the House and Senate seem to be in agreement.
Loans will automatically be approved as a Small Business Loan.
If you keep 90% of your employees without Furloughs or Layoffs, the loan will be forgiven.
Loan may be used to pay employees, employee benefits and leases for facilities.
Amount is undetermined at this time, although one to two months of operating costs has been discussed.
If you must reduce staff:
What is the difference between laying a person off versus a furlough?
Furloughs are where the employer agrees to continue to pay both the employee and employer benefits during a set period of time; for example: 2 weeks or even 2 months. Employees should receive a letter from the employer stating the terms and conditions of the furlough including the anticipated timeframe.
A furlough timeframe can extend the furlough time. A new letter of terms should be prepared and sent out at that time.
AFull Furlough is a complete stop of all work and employees, including exempt employees. Employees cannot do any work including answering email.
A Partial Furlough is a reduced schedule. Some examples are working 25 hours a week, or the employee doesn’t come in for the next three days, or work M-W-F etc.
For employees with partial furloughs, the employer will need to enter hours at the end of each week through the DOL site (based on the business’s state’s guidelines). The employer should set up an online account for the FID Entity.
This data entry of hours work is how the DOL will pay the partial employees their Unemployment payments.
Each state may have different guideline so we familiarity with those for each state in which businesses have employees is important.
Reiterating that employers are highly encouraged to set up a new paid leave code in the payroll system for keeping this expense separate for reporting reasons to get appropriate tax credits.
A Lay-Off not having an employee come back to work for the company. Consider the future months ahead and if that employee is worth bringing back to work. If not, in this case, you would lay the person off. You cut the cord in paying benefits, releasing them for any employee status with your company.
Employers ought to set up a new paid leave code in the payroll system for keeping this expense separate for reporting reasons to get appropriate tax credits.
You need to address the urgent needs of keeping your family safe and healthy. You need to address the critical issues around employees, payroll, managing your cash and other realities of the current crisis. Period! Absolutely! If you haven’t spoken to your bank about the financial relief bills that congress is about to pass, call them now!
You also need to get back to business to the greatest extent possible as you address these – hopefully – short-term issues, even if you are doing it from your home kitchen table in your pajamas. During the last recession, I saw too many business owners slow down when they should have been redoubling their efforts.
You need to get back to basics and plan out how your business may change (opportunities!) and how you are going to ramp up as quickly as possible. You need to get back on The Value Track and back to exit planning – creating your future: your exit / succession / transaction. Make sure that you are integrating your short-term crisis management decisions into your planning. They will impact your business and its value just like any other decision.
How can you keep to your timeline for the sale of your business or get back to family business succession planning for the transfer/sale to your children or other family members? It may be delayed but don’t assume it will and don’t slow down working toward it.
What can you learn from what other companies are doing? What is likely to change as we come through this period that you can adapt your product or services to address. (Hand sanitizer in happy meals? McD’s, I want royalties!) I am very serious about this. My clients have been hit hard like everyone else, in a variety of ways. They are all getting creative in the short-term and I know that these decisions and detours are going to make them stronger and more valuable companies.
You need to have a clear, but flexible plan that considers the “what-ifs”. Whether here in the Spring of 2020 or in every year since you started your business. You won’t always know what those “what-ifs” are, but they WILL occur. Hurricanes, recessions, competitors, regulations, your own illnesses, tariffs, hacking, lawsuits…
Here are 4 brief blogs I have written over the last 10 years on the topic of business risk. These business management and leadership issues did not start today. Take a few quick minutes: Thoughts to Consider on Risks to Your Business
In the meantime, I am reiterating my offer of a one-hour conversation with you, your clients or other business owners who could use a sounding board at this time – whether for input on urgent problems, thinking through strategy in order to come out of the crisis or to focus on building/rebuilding value if working toward a sale.
This year of challenges marks my 20th year in practice as a consultant, coach and exit strategist; helping clients grow, solve problems, build value and work on exit strategy. I would be happy to explore how my 20 years of experiences with other clients – and how they are addressing this situation – might provide insights and help your business survive & thrive!
Stay Healthy & Safe!
David Shavzin
David Shavzin, CMC Exit Strategist – Value Growth, Exit Planning, Succession Planning
Phil Davis, of Retail Benefits, is looking for Agents to Market the Retail Benefits Cash-Back Program.
Retail Benefits (RBI) is the leading provider of organization sponsored B2B “cashback shopping” programs. RBI engages over 4500 on-line retailers in providing an average of 4% to 5% cashback on everyday purchases. The types of organizations that sponsor RBI include Banks and Credit Unions, Church and Charities, Not-for-profits, Retailers, and other organizations.
Just like newspapers and other media advertising, Cashback programs are designed by retailers to attract shoppers to their online portals.
You may have heard of Rakuten/Ebates, the biggest cashback provider in the direct to consumer space. Retail Benefits, Inc. (RBI), is the biggest provider in the business to business space.
Organizations that sponsor RBI include:
Banks and Credit Unions
Church and Charities
Delivery Services
Franchisors
Grocery Stores
Insurance Companies
Multiple Level Marketers
Political Parties
Power and Gas Companies
Resellers
Retailers
Social Media Providers
Unions
People say, “It’s not what you know, but WHO you know that matters.” Clearly it takes both, but the value of what you know is often realized through who you know.
As we all know, not all relationships are created equally. The referrals I seek share the following characteristics:
With an organization that regularly communicates to 10,000 or more consumers who may shop on-line.
The Partner’s relationship is with one or more senior executives in the organization. The closer to the C-Suite, the better.
And, it is a relationship of trust between you and your contact.
There are twelve distinct verticals that fit the Retail Benefits, cashback model. We will explore those sectors in the coming months. Because it’s an election year, let’s focus on “Political Parties.”
A political party that adopts the Retail Benefits cashback fundraising app and makes it their own (The Democrat Cash Back Shopping App) will realize the following advantages:
Year-Round Fund Raising – Cashback is automatic and on-going. Once the donor signs up and downloads the shopping app, everything happens automatically.
No out-of-pocket expense for donors – Cashback donations to the Party are from the money that has always been spent shopping. Therefore, no new donor expenditures are required
Drive engagement in the Party – A portion of cashback can be directed to the donor as “donor bucks” to purchase special offers and merchandise (such as hats, shirts, pins, etc.)
Designated the donations to multiple purposes – The donations can be subdivided to support designated candidates and/or party levels (national, state, and county).
For more information about Retail Benefits, please contact Phil Davis at: pdavishr@Comcast.net or 678-977-5578.
In our next article, I will be talking about the special advantages of Associations. Associations is a broad category that includes professional organizations, fraternities and sororities, and college and university fundraising.
I the meantime, if you need more information or if you think you might have a referral, contact me so we can explore the possibilities together.
…to you, your clients or other business owners who could use a sounding board at this time: Input on urgent problems (surviving); Thinking through strategy in order to come out of the crisis (thriving); Focus on building/rebuilding value if working toward a sale. Happy to share insights from 20 years as a consultant, coach, and exit strategist; helping clients grow, solve problems, build value and design their exit strategy & succession planning. Working together, we WILL get through this! Stay safe and healthy!
This is a difficult, even unprecedented time. There is great uncertainty, and many are fearful. Some are suffering through this alone. Thankfully, this pandemic comes at a time when our technology makes forced isolation bearable.
In difficult times the American Spirit shines brightest because we face our challenges together. Given the strength of our relationships, the value we place on one another, I am confident that we will overcome this scourge. We may be bruised, but we will emerge stronger.
From a personal perspective, I believe my life’s mission is to help however I can. My goal is to focus on what I can control and avoid dwelling on issues beyond my control.
I know that my core strength is helping people navigate the new normal for employment and career management. In many respects, this was the genesis of ITB PARTNERS.
I want you to know that I am here to help you. In fact, I am happy to offer my services free of charge to help you through this difficult time.
There are many things we can discuss, but I may be most helpful in the following areas:
Navigating the quarantine.
Developing a Personal Recovery Plan.
Maintaining relationships with your customers, clients, and network.
Viable Job Search Strategies.
Key considerations to anticipate from the recovery.
Significant trends to consider in your planning.
Evaluating options and setting priorities.
How to start a business.
Ultimately, I’m available to talk with you even if to bounce around some ideas or offer introductions from my vast network.
So, here’s my offer:
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There was a time, generations ago, when buyers didn’t venture too far from their home to satisfy their basic needs. Today, most consumers don’t think twice about using a few keystrokes to get the necessities shipped from some distant warehouse to their front door.
Despite this phase shift, “buying local” remains a relevant concept and even a source of pride for communities that rally around the brick-and-mortar businesses that still dot the landscape.
So, in the face of Amazonian-sized efforts to get consumers to do otherwise, how can you, as a multi-unit CEO, provide the necessary marketing support to your local units to keep the lifeblood flowing?
Local store marketing, or LSM, though not easy, isn’t really that hard. Once you commit to a strategy, the actual motions can be exceedingly easy. Nonetheless, LSM requires patience, commitment and resources; and execution can be time-consuming and tedious. And unlike online marketing, where data flows in both directions, many LSM efforts are still measured by feet (the human kind), and not 0s and 1s.
So, how do we define LSM, and what are some key considerations to foster success?
LSM – A Definition
First, let’s consider the following examples:
• A local restaurant drops off a catering menu to your office.
• You notice that a little league baseball team is sponsored by the local hardware store.
• You encounter three dry cleaners within a mile of where you live, each with a sign that promotes their price or extra benefits.
Of these, which would you consider to be LSM? If you answered “all,” you would be correct. Whether you know it as guerilla marketing, shoe-leather marketing, neighborhood marketing or even just plain old “local marketing,” all of these fit the definition of LSM – marketing and advertising for a small business location to augment other national or regional marketing, IF the small business is part of a larger brick-and-mortar chain.
Lather, Rinse and Repeat
To be effective, LSM has to be executed every week, all the time. Sponsoring a little league team once, or replying to online reviews twice per year, or buying an ad in the local shopper twice is what we at Chief Outsiders call “Random Acts of Marketing” – those sporadic and non-strategic one-offs that do little to move the needle.
To be truly successful, LSM needs to be a fixture of every local store’s marketing plan – in the words of Vince Lombardi, “it is not a sometime thing, it is an all the time thing.” The best way to make this happen is to commit resources to it as part of your overall marketing mix. Since it typically comprises but a small percentage of your chain’s overall marketing budget, it is built for endurance – not speed – so you need to be patient with the outcome.
Site Awareness is as Important as Brand Awareness
I’ll share a true story about an experience I had when I was at Firehouse Subs. The story takes place several years ago, when online reviews weren’t yet a big thing, and mobile didn’t have the pervasive influence that it does today.
It was at a time when Firehouse Subs had about 300-400 restaurants, and we determined that, without the air cover of regional or national advertising, we had to do something to jump-start sales and get franchisees engaged.
One way we did this was by conducting “Founder’s Tours.” The co-founders, COO and many of the rest of the HQ staff went on bi-weekly road trips, known as Founder’s Tours. On one trip, we pulled up to a restaurant in central Florida and clamored out of the bus. There were 12 of us on the bus that day and when we arrived at the restaurant at around 9:30 a.m., we were given a map of neighborhoods and businesses to visit and bags filled with catering menus, courtesy cards, cookies, and chips. Of course, one person had to remain behind to be the sign waver.
That’s right – the sign waver. That’s because the two primary LRM tactics we were modeling for the franchisee were:
1. Neighborhood canvassing to get to know your neighbors
2. Sign waving to draw attention to the location
Sign waving in the rain
While I waved a large sign with a Firehouse Subs logo on it, six teams of two people each went into the trade area and visited as many other local businesses as they could in about two hours. When everyone returned to the restaurant, we debriefed.
Here’s what we learned:
• Each team covered a distance of about ¾ – 1 mile from the restaurant
• Most businesses were happy to receive the “free” goodie bag
• About 75 percent had heard of Firehouse Subs (Brand awareness, yes!)
• Over half of those visited did not know of the specific location of this restaurant
I’ll let that last bullet point sink in for a moment. Over 50 percent of the people we talked to within a mile of the restaurant had no idea they were less than a mile from the restaurant. Had this been a new location, site awareness would have been expected to be low. Unfortunately, the business had been open and operating for more than 4 years at the time of the Founder’s Tour visit.
That’s when we realized that brand awareness is one thing, and site awareness is another. Having brand awareness without site awareness is worthless.
How can a small business let potential customers in their trade area know where it is located?
Be active in the community, get to know your neighbors — and be visible.
In other words, commit to local marketing for your locations, and be found.
About the Author
Doug Reifschneider is a dynamic marketing leader with 30+ years of experience in the restaurant industry and a demonstrated history of driving growth through the creation and delivery of unique, creative brand strategies enhancing customer affinity and market position.
I hope you enjoyed our point of view and would like to receive regular posts directly to your email inbox. Toward this end, put your contact information on my mailing list.
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Outside of a preacher in a small church, I don’t know of a more lonely calling than a small business owner.
