Lessons From The Last Year

No doubt about it, 2009 wasn't easy but as they say, we learn through adversity. Over the summer I reflected on what I learned in 2009 and in gathering similar feedback from other marketers I have compiled a list of lessons from the last year.

I am not as smart as I thought I was nor as dumb as I feared. When times are good, it's easy to believe you, or your team, created the momentum that you are riding. When times are not so good and that momentum is gone and you're still doing the things you've always done, you realise that you're not as smart as you thought. If you have the good sense to realise that the macro-environment has changed and you adjust, you're not as dumb as you feared. That's what happened to me and our marketing/development efforts in too many ways to detail in this post. A little humility and a lot of hard work are required in good times or bad.

The brand matters except when it doesn't. Our brand mattered throughout 2009 and continues to matter. What the brand doesn't do is close the sale. In 2009, every sale was harder to close for a myriad of reasons: the customer didn't want to spend the money, the customer didn't have the money to spend, prospects were delaying buying decisions, competitors' pricing didn't make sense, etc. If you believe your brand is bullet-proof, think again. You've got to prove everyday that your brand has value and do the hard work to nurture a prospective customer to a close.

Don't lose your head while those around you are losing theirs. In 2009, some pricing decisions from in the market were astounding in their lack of foresight and/or possibly desperation. In some cases, companies seemed to be giving away their products or services. While these firms made have had strategic (or cash flow) reasons for these pricing decisions, they confused the market. Smarter companies (or at least that weren't faced with staving off immediate oblivion) responded and continue to respond to pricing pressures but didn't lose their heads because they knew that 2010 was coming, and then 2011, and so on. They took the long view in order to be here to provide the same level of quality and service.

Moving forward requires taking a step back. When things get hard it is tempting to assume the "head down - tail up" position and push forward. The problem is that in this position you can't see where you are headed and what obstacles might be in your road. There are times to run hard but don't forget to pause and consider the bigger picture, question your assumptions and think differently about your business, your market, your competitors and your approach.

Relationships are key but hard times touch everyone. When the client who loves you and your work but doesn't have the money, s/he doesn't have the money. When the intermediary who has worked with you for years and believes you are the best choice for a number of reasons has a client who is only interested in price and the market is full of extremely low-price competitors, the relationship with that agent won't bring the sale. That doesn't diminish the importance or power of relationships. They need to be continually nurtured through good times and bad.

Testing is good but not when it hurts. When budgets are tight you have to make sure every dollar is working hard. If you don't test you won't improve but be honest about what it really costs and make sure that even allowing for unsuccessful activity (how else will you learn?) your overall cost per acquisition is within your allowable. This applies in good times and bad but in tough times it is more challenging due to generally lower response rates.

It's better to be the tortoise than the hare. Short-termism may save the day but if you take your eye off where you are headed and compromise those things that you (and your business plan) hold sacred then when the fog clears you may find yourself far off course and unable to get back to where you - and your brand - need to be. Weigh every seemingly short-term decision against the longer-term consequences. Perseverance and a daily focus on the finish line can get you there.

I'm looking forward to 2010 and the challenges that it will bring.Bring it on!