Thursday, April 26, 2007

What is McDonald’s Thinking? Is it Positioning or Exclusion Marketing?

After a recent business meeting I stopped by the “Golden Arches” during the lunch hour. Sometimes a Quarter Pounder with cheese sounds too good to resist.

As a marketing consultant, I’m on the road a lot working at the client’s site. Most of these appointments are early in the morning or in the afternoon. This allows me a precious block of time during lunch to do some designing, content writing and catching up on emails on my laptop.


Like other small business professionals on the road, I search out a suitable location with decent food and free wifi access. Well, on this specific day the craving for a Quarter Pounder was in charge of my decision making process.

I was aware that McDonalds’s offers wireless internet access along with lots of electrical outlets to plug into. My plan was to satisfy my burger yearning and send a few emails and everything would be good with the world.

However, after sitting down with my burger I attempted to log onto their network and gain access to the net. Much to my surprise, the Golden Arches doesn’t offer this common service for free! They want to charge $2.99 a couple of hours of internet access!

My first thought was, ‘I should have gone to Panera!’ What a kick in the head.


Being the marketing junkie that I am, I started to assess the dynamics of the situation. Why would Mickey-D’s charge you for access when they are launching a line of coffees to shore up their market share? Obliviously, someone is disconnected with the marketplace.

Why are they charging a fee for their access when every other coffee shop and café offers the same service for free? Does they want to attract the independent business owner or not?


As I write this blog entry, I sit in a Panera franchise and can see 7 other people working on a computer. Many work-at-home professionals will set meetings at coffee shops and restaurants because they don’t have their own facilities.

Starbucks, Panera and many small local shops want you to frequent their store because you will buy something. The beautiful thing is that you can spend as much time as you want. It’s like a second office that costs you a cup of coffe to rent the space.

So why does McDonald’s charge for their wifi? I can hardly believe it is a profit center for each location. Aren’t they in the business of making food? Why wouldn’t they use it to draw more people in and sell more Big Macs?

Maybe they don’t want the mobile professional that takes up space. Making it less appealing to a certain segment of the market you find less than desirable is a common strategy. Sometimes it makes sense to exclude a market segment so you can better serve another makes sense when the market dictates it.As for me, it appears that I will need to get kiss the Quarter Pounder goodbye and become fond of the Fontega Chicken sandwich at Panera.


Until next time,
Coach Ron

Check out the Small-Business-Marketing-Hub

Monday, April 23, 2007

Building a Brand: The Decisive Edge for Your Small Business

Build a brand that establishes your reputation asthe most trusted source in your market.


Building a brand is one of the most important things you will ever do in your business. Marketing doesn't happen without a brand and sales don't takes place with out marketing. Without these two key ingredients you will soon be out of business.

Don’t think that you need a brand to survive? Too late---You already have a brand whether you know it or not.

You started building a brand the moment you r opened your doors for business and sold your first product or service. From that point on, anyone who has come in contact with your company, directly or indirectly, has experienced your brand and has formed an opinion about your business.

For better or worse, you are constantly projecting who you are, what you do, and the value you offer. Every time someone sees your logo, hears your name, or reads your brochure they are forming an impression about you and your worthiness as a solution to their problem. From these impressions your brand reputation is being formed and your future is being determined.

Yes, dear entrepreneur, your business is always being judged!

The important question is: what do they think of you and how does it affect your sales? If you don’t have a clue how to answer this question, you currently have no control of your brand. Without any control you marketing, and the ultimate success of your business, is at the mercy of your competition and other unseen forces in the market. You have set your company up to lose simply because you chose not to play the branding game!

Click here to continue

Monday, April 09, 2007

Think Strategically, Act Tactically When Marketing Your Business

The first and most important fundamental principle of marketing is to approach everything you do within the context of a strategy. Most businesses make the critical mistake of only using tactical methods to craft their marketing. The question that must be addressed is: are you strategic or tactical?

What’s the difference? Why does it matter? Take a moment to look in the dictionary and compare the definitions of the two words. Webster’s defines strategy as, “The skillful planning and managing of an activity.” The operative phrase here is “planning and managing.” These are indispensable ingredients a successful business cannot afford to overlook. Both are essential for giving a business clear objectives and direction. They make up the compass which you use to guide your business to your established goals.

Conversely, take a look at the meaning of “tactic.’ It’s defined as, “A way or method of working toward a goal.” Tactics are very crucial when creating a successful business, but they always subservient to the strategy. Each tactic must work within the framework of your strategy to accomplish the desired outcomes of your business. Otherwise, there is no direction or true sense of purpose, only a mishmash of activities that might produce a short-term profit.

By operating tactically instead of strategically, many businesses set themselves up for mediocrity. Countless hours and thousands of dollars are spent on tactics without a proper strategy in place. These businesses have no idea what their marketing goals are, let alone the desired outcome they are working toward. Sure, sales may increase a little here and there, but consistent growth is rarely experienced due to the constant chaos of reacting to the whims of the marketplace.

Visit the Small Business Marketing Hub to learn more on how to create a marekting strategy for your business.