What’s the old saying – the early bird catches the worm? I think it’s true for agencies too.
Now is the time when many forward-thinking firms are beginning to start their planning for 2010. I’ve already begun to work with firms on their next year’s plan.
I am going to give you six key strategies that will guarantee you a successful 2010 (full disclosure: I cannot fix the economy but I am confident it is improving) and here’s the first.
Strategy 1: Critically Assess 2009
It is extremely important that before you start your 2010 planning you take a critical assessment of 2009. Put the economic issues aside for this. What did you learn about your agency?
Review the following:
• Time management and staff billability. Are you meeting industry benchmarks? Are you spending your time working on your business not just in your business? Where can you be morfe efficient? What did you neglect in 2009 that you won;t tolerate in 2010?
• Process improvement. Where can you improve your internal processes? What's not working well?
• Financial data. Are you getting the right reports to help you understand your P&L, running rates, monthly revenue against budget, accounts receivables, etc?
• Standards of excellence. Do you have them – both internal and external? Does your staff adhere to them? What must you do differently in 2010 to make these standards the basic fabric of your business?
• Management team. Are you satisfied with their performance? Do you need to make changes? Does the team really help you run your agency effectively? What do you need them to do differently next year?
• Staffing. Where do you need to upgrade staff? What new positions might you need to establish?
• Services. What new services, capabilities, or expertise do you need to add to keep your firm on the forefront of trends in your business or improve your offering to clients?
• Marketing and business development. How effective was your agency marketing and business development programs? What do you need to do to improve them?
Don’t drink your own Kool Aid! Look at these and other issues with a critical eye as you start to plan for a great 2010.
Thursday, October 8, 2009
Monday, September 7, 2009
Threat or Opportunity? The Southwest Emerging Media Model
I read a post in ragan.com about the success of Southwest Airlines’ social media efforts. It sparked a question: is this a threat to the growing revenue potential that agencies see in social media?
SW started a blog in 2006 called “Its Nuts About Southwest” to bring customers and the airline closer together. The success of the blog broadened the company’s social media efforts and they named a Manager of Emerging Media, Paula Berg, to oversee their efforts.
But here are the paragraphs that sparked my question:
“As the blog evolved, so did the roles of Berg and her colleagues. When Berg started working on the site she was part of the company’s public relations team. Her co-manager, Brian Lusk, was a corporate editor in the company’s executive office. Soon after the airline began experimenting with Twitter and other social media tools, it moved Berg and three of her colleagues into a new Emerging Media department.
There Berg’s six-person team (two new employees joined it last November) maintains a Twitter feed, Facebook fan site, Flickr group and YouTube channel. Each tool is overseen by a single team member and geared to reach a slightly different audience. “
I wonder, is the emerging (read social) media department separate from the public relations department? It sounds that way. Could this be a trend in other corporations where conversations and connections with the consumer or end user are critical to sales and reputation? And, if so, will it require PR agencies to build new relationships not only with public relations, marketing, top management and finance, but also with social media departments who might logically hire (if they need to) social media agencies and let the PR department deal with the PR agency?
Or, does this signal another reason why it is so important for the traditional PR firm to reinvent itself, and why positioning and marketing an agency will be even more critical in the future?
SW started a blog in 2006 called “Its Nuts About Southwest” to bring customers and the airline closer together. The success of the blog broadened the company’s social media efforts and they named a Manager of Emerging Media, Paula Berg, to oversee their efforts.
But here are the paragraphs that sparked my question:
“As the blog evolved, so did the roles of Berg and her colleagues. When Berg started working on the site she was part of the company’s public relations team. Her co-manager, Brian Lusk, was a corporate editor in the company’s executive office. Soon after the airline began experimenting with Twitter and other social media tools, it moved Berg and three of her colleagues into a new Emerging Media department.
There Berg’s six-person team (two new employees joined it last November) maintains a Twitter feed, Facebook fan site, Flickr group and YouTube channel. Each tool is overseen by a single team member and geared to reach a slightly different audience. “
I wonder, is the emerging (read social) media department separate from the public relations department? It sounds that way. Could this be a trend in other corporations where conversations and connections with the consumer or end user are critical to sales and reputation? And, if so, will it require PR agencies to build new relationships not only with public relations, marketing, top management and finance, but also with social media departments who might logically hire (if they need to) social media agencies and let the PR department deal with the PR agency?
Or, does this signal another reason why it is so important for the traditional PR firm to reinvent itself, and why positioning and marketing an agency will be even more critical in the future?
Monday, August 10, 2009
Your Personal Brand vs. Your Agency Brand
Ok, we all have read countless stories on the importance of building a brand via social media channels if you are on your own – consultant, sole practitioner, entrepreneur, or the like. You know most of the popular tools. One of the most effective tools in personal brand building is your own blog.
Yet, I'm puzzled by the conflict that some agency owners have about creating a personal blog vs. creating a corporate blog under the agency name. Why the conflict? Take a look at Richard Edelman’s popular 6 A.M. blog. http://www.edelman.com/speak_up/blog/ or Peppercom’s Steve Cody’s www.repmanblog.com
Clearly these blogs contain Richard’s and Steve’s viewpoints, interviews, comments, etc. on topics of interest to business people. What they also contain are links and references to their agencies.
Agency heads complain about how difficult it is to distinguish their firm from competitors. In truth many agencies look and sound alike. So, with the possibility of a well-promoted and distributed blog as a key part of an agency’s visibility program – what’s the problem?
Here’s what I often hear: “I’m not sure what I could (should) write about.” I have rarely met a PR person who didn’t have something to say about just about everything. I think it is more about “risk.”
Putting yourself “out there” in a way that calls attention to who you are and what you have to say is uncomfortable to many who are used to being behind the scenes and letting their clients shine. In today’s highly competitive agency environment, it’s time to get over your “fear.” You have much to say – start saying it.
Thought leadership is one of the best, yet least practiced ways of creating agency reputation, recognition, and referrals – the three “R’s” that all businesses crave.
So start planning your thought leadership program now and follow that with your own blog that carries your message to the prospects you want to reach.
Yet, I'm puzzled by the conflict that some agency owners have about creating a personal blog vs. creating a corporate blog under the agency name. Why the conflict? Take a look at Richard Edelman’s popular 6 A.M. blog. http://www.edelman.com/speak_up/blog/ or Peppercom’s Steve Cody’s www.repmanblog.com
Clearly these blogs contain Richard’s and Steve’s viewpoints, interviews, comments, etc. on topics of interest to business people. What they also contain are links and references to their agencies.
Agency heads complain about how difficult it is to distinguish their firm from competitors. In truth many agencies look and sound alike. So, with the possibility of a well-promoted and distributed blog as a key part of an agency’s visibility program – what’s the problem?
Here’s what I often hear: “I’m not sure what I could (should) write about.” I have rarely met a PR person who didn’t have something to say about just about everything. I think it is more about “risk.”
Putting yourself “out there” in a way that calls attention to who you are and what you have to say is uncomfortable to many who are used to being behind the scenes and letting their clients shine. In today’s highly competitive agency environment, it’s time to get over your “fear.” You have much to say – start saying it.
Thought leadership is one of the best, yet least practiced ways of creating agency reputation, recognition, and referrals – the three “R’s” that all businesses crave.
So start planning your thought leadership program now and follow that with your own blog that carries your message to the prospects you want to reach.
Tuesday, July 14, 2009
If Your Agency is Three Years Old or Less ...
I find that many new agencies start and exist in their “formative years” (say 2-3 years old) by operating by the “seat of their pants.” Often I’m told, “We don’t know what we don’t know.”
Typically that’s because the owners grew up (as we all did) as account people with little or no experience running a business.
Many of these firms are doing well or at least holding their own – even in the recession. However, this is a critical time for newer firms.
As we begin to pull out of the recession, more established agencies will reap the benefits of longevity, reputation, vision, and an awareness of who they are and what they do well.
Newer firms normally don’t have the luxury of brand reputation or brand recognition and often they have no clear direction or vision of the kind of firm they want to become nor of the niches in which they need to specialize. Specialization helps builds reputation, and determining where and how to specialize is one of the most difficult decisions facing a young firm.
So what do new firms need to do to remain or become competitive? Here are four tips:
1. Create a vision of the firm you want to become (to look like) over the next three years. This vision will then lead to the strategies to help you get there. But, be sure to also identify the barriers to success and how you will overcome those barriers.
2. Be brutally honest with yourselves about what you do well and for whom. Decide what your agency will focus on. It could be a functional skill (e.g., crisis communications) or it could be an industry niche (e.g., luxury goods). It’s OK to have 2-4 specialties, but not seven or eight.
3. Identify your ideal client. Where have you been really successful? Profile that ideal client (what factors made it successful?) and resist the temptation (read money) to take business that doesn’t meet your ideal client profile.
4. Build a marketing program around your wisdom and knowledge. What do you stand for? Where is your thought leadership? If you don’t know, then think long and hard. Gaining recognition in the long haul comes from your clients and the work you do. But, for newer firms, getting those great clients will come from building a reputation based on what you stand for. That’s thought leadership.
There will great opportunities for communications firms in the near future. If you are new, if you have been successful, congratulations. Now the real work starts.
Typically that’s because the owners grew up (as we all did) as account people with little or no experience running a business.
Many of these firms are doing well or at least holding their own – even in the recession. However, this is a critical time for newer firms.
As we begin to pull out of the recession, more established agencies will reap the benefits of longevity, reputation, vision, and an awareness of who they are and what they do well.
Newer firms normally don’t have the luxury of brand reputation or brand recognition and often they have no clear direction or vision of the kind of firm they want to become nor of the niches in which they need to specialize. Specialization helps builds reputation, and determining where and how to specialize is one of the most difficult decisions facing a young firm.
So what do new firms need to do to remain or become competitive? Here are four tips:
1. Create a vision of the firm you want to become (to look like) over the next three years. This vision will then lead to the strategies to help you get there. But, be sure to also identify the barriers to success and how you will overcome those barriers.
2. Be brutally honest with yourselves about what you do well and for whom. Decide what your agency will focus on. It could be a functional skill (e.g., crisis communications) or it could be an industry niche (e.g., luxury goods). It’s OK to have 2-4 specialties, but not seven or eight.
3. Identify your ideal client. Where have you been really successful? Profile that ideal client (what factors made it successful?) and resist the temptation (read money) to take business that doesn’t meet your ideal client profile.
4. Build a marketing program around your wisdom and knowledge. What do you stand for? Where is your thought leadership? If you don’t know, then think long and hard. Gaining recognition in the long haul comes from your clients and the work you do. But, for newer firms, getting those great clients will come from building a reputation based on what you stand for. That’s thought leadership.
There will great opportunities for communications firms in the near future. If you are new, if you have been successful, congratulations. Now the real work starts.
Friday, June 26, 2009
When Growth Stalls -- Read About It
At the recent PRSA Counselors Academy Conference in June, I heard Steve McKee speak about what happens when a fast-growing business (his own advertising agency) stops growing.
Steve’s own company problems led to two research studies and ultimately a great business book called “When Growth Stalls”, subtitled How it Happens, Why You’re Stuck, & What to Do About it.
While external market factors – McKee calls them Market Tectonics – clearly can and affect the growth and health of a company (can anybody spell recession?), McKee’s research points out that external factors alone are rarely responsible for stalled growth.
Instead, his research identified four, what he calls, “subtle and highly destructive internal factors that conspire to keep companies down.” The four are:
• Lack of consensus among the management team
• Loss of focus
• Loss of nerve
• Marketing inconsistency
Lack of consensus among management is easy to understand. You and your partner(s) simply do not agree on direction, strategies, or actions. There is a loss of trust and maybe a loss of confidence. I have seen this almost destroy more than one agency.
Loss of focus often plagues agencies in recessions. Loss of focus does not mean not adding new services or even going after new markets. What it does mean is straying from the strength of the firm to pursue strategies or actions that distract management from what it does best.
Loss of nerve is an affliction that has plagued many a firm during this recession. McKee says that fear of taking a risk, resisting change, not investing in the business are all signs of loss of nerve. I have seen and spoken to agency heads that are almost paralyzed by economic uncertainty even though they know in their gut that things will be better. He goes on to say that loss of nerve is a common “wake-up call” but one that companies must heed to return to a growth mode.
Finally, marketing inconsistency. Pretty self-explanatory. Frankly most agencies don’t even have a real marketing plan to be inconsistent about. But, for the companies McKee researched, changing one’s marketing frequently is a sure sign of a company in trouble or looking for trouble.
There are plenty of lessons in McKee’s book for all leaders. It is well worth reading.
Steve’s own company problems led to two research studies and ultimately a great business book called “When Growth Stalls”, subtitled How it Happens, Why You’re Stuck, & What to Do About it.
While external market factors – McKee calls them Market Tectonics – clearly can and affect the growth and health of a company (can anybody spell recession?), McKee’s research points out that external factors alone are rarely responsible for stalled growth.
Instead, his research identified four, what he calls, “subtle and highly destructive internal factors that conspire to keep companies down.” The four are:
• Lack of consensus among the management team
• Loss of focus
• Loss of nerve
• Marketing inconsistency
Lack of consensus among management is easy to understand. You and your partner(s) simply do not agree on direction, strategies, or actions. There is a loss of trust and maybe a loss of confidence. I have seen this almost destroy more than one agency.
Loss of focus often plagues agencies in recessions. Loss of focus does not mean not adding new services or even going after new markets. What it does mean is straying from the strength of the firm to pursue strategies or actions that distract management from what it does best.
Loss of nerve is an affliction that has plagued many a firm during this recession. McKee says that fear of taking a risk, resisting change, not investing in the business are all signs of loss of nerve. I have seen and spoken to agency heads that are almost paralyzed by economic uncertainty even though they know in their gut that things will be better. He goes on to say that loss of nerve is a common “wake-up call” but one that companies must heed to return to a growth mode.
Finally, marketing inconsistency. Pretty self-explanatory. Frankly most agencies don’t even have a real marketing plan to be inconsistent about. But, for the companies McKee researched, changing one’s marketing frequently is a sure sign of a company in trouble or looking for trouble.
There are plenty of lessons in McKee’s book for all leaders. It is well worth reading.
Tuesday, June 16, 2009
Traits of a Great Agency Leader: Part Two
Last week I posted three of the six traits that I have observed in great agency leaders. I asked the question then and it bears repeating: What are the behaviors that separate the great from the average? Can good CEOs become great? Can mediocre ones improve?
Here are traits 4-6. Comments and challenges are welcomed.
4. They live in the present but have a clear, compelling vision of the future -- they know exactly what kind of firm they want to become
• They have an unwavering focus and commitment to make the vision a reality.
• Their vision is a filter for decision-making. It simplifies and provides a strategic context for all their major decisions
• They are willing to take risks to achieve their vision
5. They are “star-crazed”
• They understand that a great leader needs great lieutenants not foot soldiers
• They invest in “stars”
• They don’t tolerate the “average”
6. They live by standards of excellence (external and internal)
• They set the standards
• They meet the standards
• They understand that standards of excellence are non-negotiable
In part three, I’ll show a simple scorecard to rate yourself as a leader.
Here are traits 4-6. Comments and challenges are welcomed.
4. They live in the present but have a clear, compelling vision of the future -- they know exactly what kind of firm they want to become
• They have an unwavering focus and commitment to make the vision a reality.
• Their vision is a filter for decision-making. It simplifies and provides a strategic context for all their major decisions
• They are willing to take risks to achieve their vision
5. They are “star-crazed”
• They understand that a great leader needs great lieutenants not foot soldiers
• They invest in “stars”
• They don’t tolerate the “average”
6. They live by standards of excellence (external and internal)
• They set the standards
• They meet the standards
• They understand that standards of excellence are non-negotiable
In part three, I’ll show a simple scorecard to rate yourself as a leader.
Tuesday, June 9, 2009
Traits of a Great Agency Leader: Part One
As a former agency CEO who now advises CEOs and owners of public relations firms, I have observed great agency leaders, good ones, and some that are just mediocre. What are the behaviors that separate the great from the average? Can good CEOs become great? Can mediocre ones improve?
Here are three of the six traits that distinguish great agency leaders:
1. The “possibility” mindset
• They are committed to being great and wildly successful
• They always focus on the positive
• They understand that doubts will interfere with the outcome they want.
• Especially today, outstanding leaders think, act, and believe in abundance and prosperity. They are open to receiving it
2. Action-oriented
• They are doers – not just thinkers and talkers (motivate by actions not words)
• They are always moving their firm forward – not just treading water
• They work on their business, not just in their business
• They run their business like a business with an active business plans, marketing, business development and financial plans
3. Personal change agent (“If I am not part of the problem there is solution”)
• They recognize the need to change (awareness)
• They embrace the need to change (acceptance)
• They make changes in their own behavior (action)
• They invest in themselves and their firm
Test yourself. How do you rate against these first three traits?
Here are three of the six traits that distinguish great agency leaders:
1. The “possibility” mindset
• They are committed to being great and wildly successful
• They always focus on the positive
• They understand that doubts will interfere with the outcome they want.
• Especially today, outstanding leaders think, act, and believe in abundance and prosperity. They are open to receiving it
2. Action-oriented
• They are doers – not just thinkers and talkers (motivate by actions not words)
• They are always moving their firm forward – not just treading water
• They work on their business, not just in their business
• They run their business like a business with an active business plans, marketing, business development and financial plans
3. Personal change agent (“If I am not part of the problem there is solution”)
• They recognize the need to change (awareness)
• They embrace the need to change (acceptance)
• They make changes in their own behavior (action)
• They invest in themselves and their firm
Test yourself. How do you rate against these first three traits?
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