Posts Tagged ‘business’

Choosing a Marketing Plan: Traditional or Social Media?

Thursday, February 25th, 2010

EPC CIGAR COMPANY manufactures and distributes cigars that are hand-rolled in the Dominican Republic from Ecuadorean, Nicaraguan and Dominican tobacco. It has been in business since April, although the family that owns it previously ran a successful cigar company that was sold to Swedish Match in 1999.

THE CHALLENGE To develop a cost-effective and efficient marketing strategy to promote the company and its new brand, E. P. Carrillo, while building on the family’s legacy.

THE BACKGROUND EPC Cigar, based in Miami, is owned and operated by the Perez-Carrillo family, whose Cuban-born patriarch, Ernesto Perez-Carrillo, established El Credito Cigars in 1968; its best-known brand was La Gloria Cubana. After Mr. Perez-Carrillo’s death, his son, Ernesto Perez-Carrillo Jr., sold El Credito to Swedish Match in 1999, working there until March 2009. Mr. Perez-Carrillo Jr., 58, remains a big deal in the cigar world.

He was encouraged to start EPC Cigar by his daughter, Lissette, 36, a lawyer based in Miami, and his son, Ernesto Perez-Carrillo III, 28, a management consultant based in New York, both of whom had worked for El Credito while growing up. The three family members run the company, which employs 34 people in Miami and the Dominican Republic.

Its first product was a $13 limited-edition inaugural cigar released in December; it will be followed this spring by the core E. P. Carrillo line, which will be available in five sizes priced from $6 to $8.

Last year, Mr. Perez-Carrillo III, who oversees the company’s marketing, hired an advertising agency, DeVito/Verdi, to develop a logo, labels, packaging and a marketing campaign to introduce the new company and its cigars. Mr. Perez-Carrillo III estimates that EPC Cigar will spend $300,000 on the campaign, which began in April 2009 and will run through December.

THE OPTIONS DeVito/Verdi suggested a range of traditional and new-media marketing strategies.

The traditional options included taxi-top advertising in New York City; commercials on cable channels like Comedy Central, Spike and VH1; radio ads in cities like New York, Los Angeles and Chicago; and print ads in publications like The Wall Street Journal, Forbes, Fortune, Yachting, Golf Digest, Wine Spectator and Cigar Aficionado. With the exception of Cigar Aficionado, these promotions would aim at casual cigar smokers and even nonsmokers willing to try the company’s cigars.

The social media options included three Web site concepts: one involved a collage on the company Web site of live, online mentions of the company and Ernesto Perez-Carrillo Jr.; a second featured a world map (from Google Maps) on the Web site that showed the origin of real-time Twitter messages about cigars; and a third would use a Facebook page as the company’s main online presence. In any case, the digital strategy would involve the use of Twitter, Facebook and Flickr.

THE DECISION Ultimately, Mr. Perez-Carrillo III decided to take DeVito/Verdi’s advice and emphasize the Internet and social media initiatives. Ellis Verdi, president of the agency, calls social media “a natural place to go when you want to show something real,” adding, “If you say it’s real, people won’t believe you, but the Internet lets you show it.”

Mr. Perez-Carrillo III said his primary objection to traditional media outlets was the expense. “For the first go-around,” he said, “we put them off the table.” The company, according to Mr. Perez-Carrillo III, will spend $40,000 on digital-media initiatives between 2009 and 2010, with the remaining $260,000 of its marketing budget going to trade shows, cigar-enthusiast events, point-of-sale material and some traditional media.

Social media allow the company to communicate directly with cigar buyers, retailers, tobacco growers and others with whom it does business, according to both EPC Cigar and its agency. This is particularly important as the popularity of once-fashionable cigar bars wanes and public smoking bans proliferate.

At the agency’s recommendation, the Perez-Carrillos chose the Web concept based on Google Maps and Twitter. Thus, on the home page, Twitter messages about cigars — regardless of whether they are about EPC Cigar or raise health concerns about cigar smoking — appear on a world map that rotates to show where the messages originated.

The site’s “About Us” section uses another world map to show places where EPC Cigar conducts business or has roots, thus honoring the family’s history. The section also offers photographs and videos, including a vintage, black-and-white snapshot of Mr. Perez-Carrillo Jr. as a child in Cuba and modern videos of a Nicaraguan tobacco farm.

The site lists retailers that sell the company’s cigars, with Google Maps indicating theirlocations, and more than 1,000 places to smoke, with recommendations contributed by visitors and by Cigar Places, a Web site for cigar enthusiasts. DeVito/Verdi is in the process of developing an iPhone application that will feature these cigar-friendly places.

The agency has encouraged Mr. Perez-Carrillo Jr. — and not his son — to use Twitter to build and communicate with the company’s following. It is Mr. Perez-Carrillo Jr., said Tyler DeAngelo, interactive creative director of DeVito/Verdi, who is “the face of the brand.”

While Mr. Perez-Carrillo Jr. posts Twitter messages almost daily, Mr. Perez-Carrillo III maintains the company’s Facebook page, where he posts articles and reviews and encourages fans to comment. There are also links on the page to the company’s Twitter feed, YouTube videos and Flickr photos. Similarly, there is a box that pops up from the home page of its Web site that lets visitors “follow Ernesto” on all four social media channels.

THE RESULTS So far, only about 250 people are following EPC Cigar through Twitter and about 700 are Facebook fans. These numbers notwithstanding, the Perez-Carrillo family and DeVito/Verdi say they are satisfied with the campaign’s impact.

“To have a lot of people talk about the limited-edition cigar after only a few months, in a market that’s challenged, in an industry that’s not really growing, is very exciting,” Mr. Verdi said.

The campaign has “generated a lot of buzz so far,” Mr. Perez-Carrillo III said. “When we talk to retailers, to the end consumer, everyone pretty much knows Ernesto’s gone on his own. They can’t wait for him to come out with the core line.”

One unexpected benefit is that Mr. Perez-Carrillo III has been using Google Analytics to track how many people visit the Web site and where they come from. He has discovered that almost one-third of the visitors do not live in the United States. “I’m talking to foreign distributors far more quickly than I expected I would,” he said.

The 25,000 limited-edition cigars that EPC Cigar has been releasing monthly since December “are selling extremely quickly,” Mr. Perez-Carrillo III said. He projects sales of $1.5 million this year.

–JANE L. LEVERE

Is it Becoming Less Critical For Businesses to Have Websites?

Monday, February 15th, 2010

I don’t think there’s any question that you need a web presence to survive in today’s business climate. But do you still need a traditional website, or has the web moved on in that regard?

Do you still need a website to be succesful online? Share your thoughts.

First off, let me be perfectly clear in that I’m not advising anybody not to have a website. That said, there are a lot of ways to have a web presence without actually having a site, and let’s face it – maintaining a site (let alone a successful one) takes time, money, and resources.

According to data from Compete, Facebook has become a bigger traffic source than Google for some sites, and for many others, it is right up there with Google as a major traffic source. If it can drive the traffic, then that means the people are already at Facebook. You can be on Facebook without having your own website. Businesses can build a Facebook Pages, complete with analytics provided by Facebook itself, and they can spend time making that page a good one. Here are some tips on how to do that. Facebook pages are perfectly capable of being found in search engines. In fact, they are often right on the first results page.

You know what else is often right on the first page? A set of local search results from Google Maps, courtesy of Google’ Universal Search integration. Within those results (which are very often right at the top of the SERP) are links to individual businesses’ “Place Pages”. From here, users can find coupons, reviews, store hours, etc. There is a very good chance users will find this before they find your site anyway.

Google is actually going to great lengths to get people using these Place Pages. They are even sending out stickers with barcodes for stores to hang on their windows. When a user scans this barcode with their mobile phone, they will be taken to the business’ Place Page. Social media profiles can also appear on these pages (although so can website links of course).

I probably don’t have to tell you that the web is rapidly becoming more mobile. Smartphone usage and mobile broadband subscriptions continue to accelerate, and people are using a variety of devices, operating systems, browsers, and apps. Making sure you have a site that looks right across all of these is no easy task. This is not so much of a worry when it comes to Facebook pages, Google Place Pages, and other third-party entities.

In many cases, it seems that small business sites are becoming harder to find through organic search. If you look you can find them, but users want convenience, and they are probably not going to look too hard if they can find what they are looking for on the first search results page (or right within Facebook where they’re already spending their time).

Social profiles show in up in search, and often early. The very nature of social media is viral. If one Facebook users becomes a fan of your Facebook page, that user’s friends are going to see it. Then, maybe a couple of them also become fans. Then maybe a couple of their friends become fans, and that trend can continue on and on. The more people who become fans, and the more exposure that page gets, the more chance that page has of acquiring links, which of course can lead to better search engine rankings, not to mention a larger presence on Facebook itself, where a large percentage of Internet users are already spending a great deal of their time. Your reputation and following within the social networks themselves may do your profile well in the eyes of Google too.

If you sell things online, there are obviously many different options out there without having to sell from your own site. In fact, even Facebook and e-commerce are on the road to becoming more and more closely attached. People can buy/sell physical goods through Facebook.

A great deal of focus has been placed on Facebook in this article for the simple fact that it is the world’s most popular social network. That could all change in time. But that doesn’t mean the points would not sill apply to other services. Google is going to be placing a lot of emphasis on Google Buzz this year, and it’s going to become integrated with more and more Google products. Currently, Google profiles are kind of the central place for a Buzz presence. Users can include any links they wish right into that profile (Facebook page, Twitter account, blog, eBay/Amazon listings, etc.)There’s no telling how big Buzz can be, and there’s always the possibility that something else will come along and take the world by storm. And that is one of the reasons…

Why it Still Pays to Have a Site

Can you be successful without a site? I think so. However, having a site gives you a more stable foundation, and still creates more opportunities than if you didn’t have one. When you have a site, you have control. You don’t have to adhere to the policy guidelines of any third-party platform. If Facebook decides to shut its Pages down (as Yahoo did with GeoCities, for example), you still have your own site that they can’t touch. For that matter,having your own site certainly lends credibility to your brand.

Still, social networks continue to work on making data more freely able to flow among one another via a number of open standards like Activity Streams, AtomPub, OAuth, PubSubHubbub, Salmon and WebFinger. “The idea is that someday, any host on the web should be able to implement these open protocols and send messages back and forth in real time with users from any network, without any one company in the middle,” says Google software engineer DeWitt Clinton. “The web contains the social graph, the protocols are standard web protocols, the messages can contain whatever crazy stuff people think to put in them. Google Buzz will be just another node (a very good node, I hope) among many peers. Users of any two systems should be able to send updates back and forth, federate comments, share photos, send @replies, etc., without needing Google in the middle and without using a Google-specific protocol or format.”

Google itself, even has its own site dedicated to making user data for its various products exportable. That’s just Google, but the web in general appears to be moving more in this direction.

I’m not saying that you shouldn’t have a site, or even that you don’t need one, but I think it’s an interesting discussion. For now, I’m going to say having your own site is still in your best interest, but has a more social Internet with more portable data made a standalone site less critical? Is having a website going to be less important in the future? I’d be interested to hear your thoughts on the subject. Comment here.

–Chris Crum

7 Tips for Local SEO and PPC Success

Thursday, February 4th, 2010

I count my lucky stars that my fortunes don’t rely on SEO and PPC alone. I’m happy to be part of a couple of agencies with a full range of interactive and traditional marketing solutions. That means I don’t have to pretend like SEO and PPC always are the best choice for clients. They’re not.

I thought it might be refreshing to talk about when SEO and PPC are NOT a great choice for local businesses- but not just to discourage you- The reasons they don’t work can tell us something about the businesses, what they should do next, what makes a good business in a certain niche, and so on.

First, let’s think about what makes for success in search:

1. Relevant keywords
2. Prospects that convert
3. A competitive advantage or a not too competitive niche
4. Proportion of cost and revenue that creates positive ROI
5. Trackability that can prove that ROI

We’ll look at each of those in the ideal situation, and how problems in each can lead to marketing failures for local businesses.

1. How a Lack of Relevant Keywords Can Doom Search Efforts

I typically divide keywords into two groups:

  • Brand names
  • Category (general) keywords

The brand searches are the low hanging fruit. If a local business has a strong brand and repeat customers, there’s good ROI here. And you can make it even better by testing ads.

Category keywords could be vertical-related, offering-related, or geomodifiers. For a mexican restaurant, it could be “mexican food”,  “myrtle beach restaurant”, or “myrtle beach mexican restaurant”.

Where this breaks down:

–> If you get too long tail; for example, “myrtle beach mexican restaurant with California burritos” isn’t going to show evidence of volume in Google’s Keyword Tool.

–> If your vertical is too competitive, and you’re not near any geomodifiers that get search volume; e.g. a golf course in the boonies on the edge of Florida and Georgia might run into trouble- not committed enough to get good results from either state, not near a big golf tourism city, and “golf” itself is way too competitive in SEO and too expensive in PPC. Add in lack of brand recognition, and you’ve got an uphill battle that looks a lot like a sheer cliff.

–Brian Carter

Essentials of an Office Business Center Social Media Toolkit

Tuesday, February 2nd, 2010

You can think of social media as a set of tools that your business center can use for a variety of purposes – customer service, branding, promotion, relationship management, etc. Just as with any toolkit, you’re not going to use every tool every time.

Sometimes the hammer fits, but if you’re trying to measure something the hammer is pretty much useless. Similarly, sometimes a blog will fit perfectly, while other times YouTube might be a more suitable tool.

The barrier for getting started with social media is low; it’s dependent on your involvement level, objectives, and goals. Thefacilitators of the message, our tools, are the key components that make it all work. The sole purpose of these tools is to: create, manage and distribute content, build awareness, drive traffic, connect with our customers and hopefully turn a lead into a prospective sale.

If social media represents a set of tools – what should be in your office business center’s toolkit?

Social Media Statistics

The default tool in any toolbox always starts with Analytics. Knowing where your executive suite company’s existing traffic or lack of traffic it is coming from will yield a goldmine of data that can be strategically utilized.

Google Analytics is the enterprise-class web analytics solution that gives you rich insights into your website traffic and marketing effectiveness. Powerful, flexible, and easy-to-use features now let you see and analyze your traffic data in an entirely new way. With Google Analytics, you’re more prepared to write better-targeted ads, strengthen your marketing initiatives, and create higher converting websites.

Build your blog community with RSS
Give your readership ways to stay up-to-date and informed with your blog, by encouraging them to subscribe to your blog’s RSS feed. FeedBurner, another Google-owned product, is the only game in town for feed management. It will give you statistical data about your feeds content, distribution, and subscribers. Even though the data can be taken with a grain of salt. The real benefit of Feedburner is the ability to offer email and RSS reader subscriptions to readers of your blog. The trend, I find, is shifting more to email subscriptions than RSS subscriptions. Feedburner’s email delivery service works very well and it can be customized rather nicely. If we can’t educate consumers on using RSS readers, we can at least educate them to subscribe via email, something everyone has done at some point.

Social Networking and Social Signage

Professional Networking
LinkedIn is the tool of choice for professional networking. At the very least, if you’re not using the site for employment purposes, fill out a completed work history, resume, and profile. Set your profile to public so that it ranks for your name. LinkedIn allows you to aggregate third party service content such as, blogs and SlideShare presentations into your profile page. Use your profile to showcase your work and talent. Create a group page for your business center and keep in touch with current clients and prospects that way.

Social Networking
Facebook: love it or hate it, it’s here, and it’s the 800-pound guerrilla force to be reckoned with. Use Facebook for professional or personal networking. Be cautious on how you combine the two, because they can very easily spill over onto each other. If you’re going to be doing any marketing on Facebook, set up a public fan page. Facebook is a completely different beast and should be treated as such. There are a ton of bells and whistles that will allow you to customize your Facebook page, in addition to aggregating content from other third party sources.

Social Megaphone
Twitter is a social megaphone. There is no right or wrong way to use Twitter, however due to 140 char limitations it’s best for megaphoning links and information back to your home base. Establishing a Twitter presence is standard protocol nowadays, but ask yourself what you want to get out of Twitter. Your objectives and goals will dictate how you use the service.

Social Profile
Create a Google Profile and control to some extent what information people see about you online. As long as your profile is set to public, it will appear in search results for your name. You can also link all your social profiles. This is outpost number one – spend the time, and optimize it correctly.

Social Curation
Delicious and Diigo are the only two tools for this category. These bookmarking tools have proven that they can scale and have a solid track record. There are pros and cons to both, but they both achieve the same objective: tagging, saving, and storing bookmarks. The nice thing about Diigo is that it can save all new bookmarks automatically to Delicious. This gives you peace of mind knowing your digital data is archived.
Video and Photo Sharing

Thanks to the advent of mobile technology, faster and more accessible broadband and sites that host, broadcast and share consumer generated content, the video revolution is upon us and has been for some time now. Social media, is well, social. Stories get people talking. Create informative videos that are relevant to your messaging and brand, encourage others to share it and to create their own video content. Viral videos are rare and lots of factors determine if something will go viral. If your content is good and worth sharing, people will take notice.

YouTube reigns supreme in this category and rightfully so. YouTube is yet another Google owned property (are you starting to see a common theme here?). YouTube makes it extremely easy to host and stream videos. YouTube videos are easy to embed and are very shareable. Create a branded YouTube channel for your brand and always optimize your title and keywords accordingly. YouTube is a video sharing site at its core, but it’s also a massive search engine.

Pictures are worth a thousand words
Photo sharing sites are in abundance, but the two we recommend are Flickr and Google’s Picasa. Flickr has been around the longest and has lots of social components, specifically a built-in diehard community. Picasa has the same functionality with basic editing capabilities and easy bulk uploading to the web. Both services offer the basics: uploading, tagging, and sharing of photos.

In Conclusion

The number one benefit of social media marketing is gaining the all-important eyeball. It will also generate exposure for your businesses, improving traffic and build new partnerships. Start working on your toolkit today to build your Social Media platform. Just take one step at a time and you will eventually reap the benefits of your efforts.

Susan Smith