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Author: Franz Malten Buemann
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Marketing vs. Operations: The Battle for a Small Business’ Attention
“Your company is one viral moment away from a potential shutdown.”
Yes, you read that correctly.
Imagine your company is fortunate enough to appear for a few minutes on a national TV show with millions of viewers. You can hardly contain your excitement. All eyes are on you. There’s no turning back.
Your excitement soon turns to horror, however, when you realize your company isn’t ready for this type of attention. Suddenly, a surge in traffic to your company’s website causes it to crash. Team members quit from the stress of performing under pressure. Vendors threaten to sue you for late payments. Customers are angry because their orders are either incorrect or weren’t provided on-time.
What took you years to build has effectively been destroyed overnight.
How can a successful organization good enough to land a coveted spot on a TV show succumb so quickly? The answer lies in Marketing vs. Operations.The Paradigm Shift from Not Enough Customers to Too Many
When an organization officially opens its doors for business, marketing-related activities tend to be the primary focus. And it makes sense. After all, if no one knows about your product or service, you won’t be in business long. Those activities can include sales strategies, P.R. and social media campaigns, and digital ads that catalyze advancement from the startup to the growth stage of business.
Eventually, if you have a great product or service that customers want, you’ll see a return on investment for those marketing activities. At this point, as an organization advances from the growth stage to the emerging and scaling stages of business, the need for Operations becomes paramount.
The reason is that this transition is usually accompanied by periods of unmanageable fast-growth – customer demand is greater than what your company can supply. It’s at this point that Operations-related activities like building the right teams, documenting and standardizing processes, and upgrading equipment and digital technologies becomes a higher priority.
If Operations is critical for scaling, why don’t more companies focus on it?
The answer depends. When it comes to Operations, leaders of small businesses fall in one of more of three categories:Unaware: They either don’t know about Operations or they’ve never been exposed to it.
Uninterested: They believe that Operations isn’t “sexy.”
Undiscovered: When they try to search for information to scale their organizations, they find the lion’s share is reserved for large enterprises or manufacturing companies.
Let’s unpack each of these.
1. Unaware
It’s no surprise that many founders and leaders (business savvy and technical acumen aside), are largely unaware of Operations – what it is and how it applies to their businesses.
With customers and cash being the lifeline of any organization, special attention is given to customer-facing activities that ensure their satisfaction. This is an anchor against which we can define Operations.
As the diagram below illustrates, Marketing represents highly visible activities that customers tend to interact with directly. It involves making some sort of promise or guarantee to customers who purchase your product or service.
Conversely, Operations is like the stealthy cousin of Marketing. It represents those activities that ensure customer orders are fulfilled on time, within budget, and within specification.
As the heartbeat of an organization, day-to-day Operations are not necessarily seen by your customers, but they certainly experience the result of it.Operations teams work behind the scenes to make sure a company can deliver on promises made.
A frustrated client in charge of Operations once told me, following a conversation with a Sales Manager, “They sell the dream while we deal with the nightmare!” It’s a humorous take on the historical divide between Marketing and Operations teams.
That’s why the Revenue Operations movement is so important — it breaks down these silos to encourage transparency while working toward the common goals of customer satisfaction and profitability.2. Uninterested
Founders and CEOs are known for being big-picture, strategic visionaries. The thought of getting bogged down by details isn’t necessarily their strength or interest. It’s part of the reason why Operations can take a back seat to the more visible initiatives offered by the Marketing department.
But there’s another culprit — small business event planners. Attend any small business seminar, webinar, or conference, and your chances of seeing an Operations topic included is slim to none. This omission creates a knowledge gap for leaders of small businesses and causes disinterest.
Through personal conversations and informal surveys, I’ve learned that a shockingly high percentage of these event planners think, “Operations is boring.” I’ve also had many of them tell me that, “No one is interested.” And perhaps most egregiously that, gasp, “Operations just isn’t sexy.” This type of thinking is dangerous and does a disservice to those seeking resources to scale to the next level.
Consider these stats from the U.S. Small Business Administration:81% of businesses are sole-proprietorships
32% of small businesses fail within the first two years
51% of small businesses fail by year five
67% will fail by year 10
I’ve often argued that more businesses could graduate from sole-proprietorships if they had a better understanding of Operations. This means job creation which has a net positive effect on local communities and economies.
I also believe that more businesses can avoid failure if they had a solid Operations foundation. Yes, there are number of reasons why a business fails. But the reasons why they fail within the first five years versus years five through ten can vary significantly.There are businesses that fail not from a lack of customers or poor cash flow, but because they have too many customers.
3. Undiscovered
When small business leaders proactively seek resources to scale, they often find that those resources are not written or formulated with them in mind. Plus, if they are lucky enough to find resources for small businesses, it’s usually for those selling tangible goods.
Where can service-based businesses go for guidance on scaling without failing?
Learning about frameworks like Lean and Six Sigma can be intimidating and sometimes too “corporate” for a small business’ needs. Thankfully, there’s a growing faction within the Operations community who are actively working to make this information accessible to small businesses.
Learn More about Operations for small businesses in HubSpot’s RevOps & Operations Community
Dr. Jeffrey K. Liker is one of them and he was careful to be more inclusive in the second edition of his critically acclaimed book, The Toyota Way.
Listen to my interview with Dr. Liker to learn more:Ignore Operations at Your Own Risk: Cautionary Tales
Perhaps Kyle Jepson, Senior Inbound Sales Professor at HubSpot, said it best: “Operational failures are dramatic and visible. Operational success is invisible.”
He’s right. There’s no shortage of examples of companies that, to their detriment, chose to ignore the due diligence and rigor required for sustainable Operations and continued to focus on the outward appearances that great Marketing afforded them.One example is Ample Hills Creamery. Once known as “Brooklyn’s most beloved” establishment, this local New York ice cream shop caught the attention of Disney’s CEO. Soon, they landed a contract with Disney World only to lose it all a couple of years later as they hemorrhaged money despite enjoying a steady flow of customers.
One of their investors, Greg O’Connell noted, “It was a fairy tale. They were kind of living in a dream world because their marketing was so great.” Their failure resulted in bankruptcy, but other more severe failures land leaders in jail.
Elizabeth Holmes (Theranos), Adam Neumann (WeWork), Billy McFarland (Fyre Festival), and Trevor Milton (Nikola) are highly visible examples of leaders who, despite receiving warnings, continued to mislead and defraud investors and customers only to find themselves either incarcerated or facing serious allegations.
Examine the back office of any wildly successful company and you will find ironclad Operations: solid teams backed by standardized, streamlined, and efficient processes and technologies. Operations pairs with innovation, and both are imbued into the fabric of the companies that are both profitable and sustainable.
Achieving this balance with Marketing is critical. This is what marketing expert Andrea D. Smith and I talked about on an episode of the Business Infrastructure podcast:Business is complicated. It requires a constant balancing of not just Marketing and Operations, but all aspects of business. Don’t silo or sacrifice one group for the other. Attracting a steady flow of customers is fruitless unless you can also guarantee customer satisfaction.
Join the quest to change the narrative about back-office activities. Operations is savvy, sophisticated, and smart. And that’s very sexy! -
Twitter’s Testing Social Commerce: What Marketers Need to Know
When you think of online shopping destinations, Twitter may not be the first place that comes to mind. However, with ecommerce sales continuing to rise due in part to the COVID-19 pandemic, social platforms want in on the action.
On Instagram, business owners can add a “shop” feature to their profile, allowing users to make purchases directly from the profiles of their favorite brands. Similarly, TikTok teased an upcoming shop feature and integration with Shopify earlier this year. Now Twitter is testing new strategies to integrate online shopping experiences into the user experience.The platform previously had a “Buy Now” button before retiring the feature in 2017 to focus on other avenues. Now Twitter appears to be circling back on this idea giving business account holders new tools for converting customers on the platform potentially turning Twitter into a space where buyers can discover new products while engaging in conversation with brands and communities.
Here’s what we know about Twitter’s commerce experiments so far.
Why Twitter Is Testing Ecommerce Features
In early 2021, Twitter executives announced their goal to double revenue to $7.5 billion and reach 315 million active users by the end of 2023.
Working towards such ambitious goals, Twitter is looking to introduce new revenue streams to help grow and monetize its user base – and one of those key streams is an ecommerce play designed to give businesses the tools they need to drive conversational sales.
During Twitter’s 2021 investor’s call Bruce Falck, Revenue Product Lead at Twitter said:
“We’re also starting to explore ways to better support commerce on Twitter. Our MAP (mobile application program) efforts help us understand how our users are transacting on the platform. Installing an app via an ad is in itself a form of commerce. We know people come to Twitter to interact with brands and discuss their favorite products.
In fact, you may have even noticed some businesses already developing creative ways to enable sales on our platform. This demand gives us confidence in the power of combining real-time conversation with an engaged and intentional audience.”
Essentially, the platform has aggressive business goals over the next two years and sees commerce as a viable way to increase engagement and revenue opportunities outside of traditional advertising.Then we’re also thinking about commerce. Helping people buy things on Twitter. We want to be really thoughtful about how we do this so that we’re helping advertisers find their customers and continue to own that relationship with the customer. $TWTR— Twitter Investor Relations (@TwitterIR)
March 3, 2021Twitter’s Ecommerce Test
The Shop Module
In July 2021, Twitter rolled out a robust ecommerce test: The Shop Module.Image Source
The Shop Module will allow brands to display products in a carousel format at the top of the profile. When a user visits a brand’s Twitter account, they will be able to scroll through a handful of products, have the ability to tap in to learn more about each product, and eventually purchase.
This initial test is designed to determine the shopability of Twitter profiles. Though consumers typically visit Twitter to connect directly with brands for questions and customer service inquiries, Twitter is looking to understand what in-app behavior can drive users to make a purchase. As more data is collected, it will be interesting to see if Twitter can see a clear link between conversation topics and sales of related products through the platform.
Twitter has rolled out this feature to a small number of brands across industries based in the United States, and Twitter users based in the U.S. who use the English app on iOS devices are currently able to see it live.
With the feature being deployed to business profiles offering vastly different products, Twitter is also testing which product verticals sell from the platform. See The Shop Module in action below.Image Source
Shoppable Twitter Cards
In March 2021, Twitter also began testing commerce features for organic tweets. Essentially, tweets that feature a direct link to a shopping page or product can generate a new Twitter card with a “shop” button and auto-populated product details.Image Source
When a user clicks the shop button, they would be taken directly to the product page of the account’s website. The shoppable Twitter card appears very similar to promoted tweets. With this feature, Twitter is testing the viability of commerce through organic shares.
At the time of publication, this feature is still an experiment and hasn’t been rolled out to all Twitter users. It has been reported the shoppable Twitter card has been seen by international users and on Android devices.
How Brands Could Leverage Social Commerce on Twitter
Even if your company profile hasn’t been granted access to these new features, now is the perfect time to put a strategy in place so you can be ready to use Twitter’s commerce tools to your advantage.
1. Create organic conversation around products and services.
Consumers engage with brands on Twitter to ask questions and surface customer service inquiries. Start organically aligning your content on Twitter with products and services you’d like to highlight in the space to prepare your audience for what’s ahead with these new commerce features.
For example, a skincare company could start a conversation with its audience on Twitter about creating the ideal skincare routine. The company’s profile could start a thread with educational tweets about each essential step of an effective skincare routine and why each step is beneficial.
The audience would likely join the conversation sharing steps of their skincare routine and asking for product recommendations, creating space for the brand to share more information about its products to an engaged audience.
By continuing to prime the audience with these types of interactions, once the skincare brand gains access to Twitter’s commerce features, they can begin featuring the products discussed and measuring the audience’s response (through clicks and purchases).
2. Select a variety of products to feature on The Shop Module.
If your company profile is granted access to The Shop Module, use it as an opportunity to conduct research on what products best resonate with your Twitter audience. Try incorporating a variety of products at different price points, and regularly assess which products are getting the most click-throughs and purchases.
3. Take an experimental approach.
In the initial stages, don’t rely too heavily on using these new features to drive more sales. Instead, take a more experimental approach to gauge performance with your audience then refine your strategy when you have a more robust set of data.
When rolling out these new features, Twitter has clearly stated it is testing things out to better understand user behavior. Marketers should take the same approach to learn what resonates with their unique audiences.
With social media platforms giving brands more opportunities to sell through their platforms, marketers can find innovative ways to organically connect consumers to products and services they’ll love. -
How’d they do it without you?
Somewhere, perhaps nearby, it went well.
A family gathering happened and all the details were right.
A project launched on Kickstarter and it succeeded.
A person was hired and they were a good choice.
The terms and conditions were updated, and no mistakes were made…
It’s easy to use our indispensability as fuel. Fuel to speak up and contribute. That’s important. But it’s also possible for that same instinct to backfire, and for it us to believe that if we don’t do it, it won’t get done right.
That’s unlikely.
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4 Great Reasons To Become a Salesforce Vlocity Developer
Salesforce is the world’s fastest-growing CRM ecosystem, for one simple reason: It works! It’s no surprise, then, that Salesforce is speeding its solution delivery up even more, with the introduction of Salesforce Industries. Focused primarily on web components, this new solution places a high emphasis… Read More
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Zero to PD1: Motivation, Mindset, Mastery & Mentor
Like many of you, I came into the Salesforce ecosystem without a coding background. When I started working on Salesforce 10 years ago there was more of a distinction between administrators and developers. I often passed requirements off to a developer since I couldn’t perform… Read More
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What was your best marketing automation campaign?
Would love to know what was your best marketing automation campaign and why
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Is TikTok powerful?
To be powerful, a medium needs two things:
The ability to reach people who take action
The ability for someone in charge to change what those people see and hear and doThe telephone reaches a lot of people, but AT&T has very little power because they have no influence over who makes phone calls.
Lots of people have Sony TVs, but it’s Netflix that has the cultural power because they decide which shows are promoted on the start screen.
People in the music business are flummoxed by the number of new acts that are showing up out of nowhere and becoming hits on TikTok. They’re talking about how powerful this company is.
But it’s not. It’s simply reporting on what people are doing, not actively causing it.
The folks with the power are the anonymous engineers, tweaking algorithms without clear awareness of what the impact might be.
Google and Amazon used to invite authors to come speak, at the author’s expense. The implied promise was that they’re so powerful, access to their people was priceless. But the algorithm writers weren’t in the room. You ended up spending time with people who pretended they had influence, but were more like weatherpeople, not weather makers.
Reporting the weather is different from creating the weather.
There are still cultural weather makers, but they might not be the people we think they are.
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Feature requests for monopolists
I’d like Gmail to be smart enough to automatically skip the spam folder for any mail that’s coming from someone I just wrote to.
I’d like my Apple calendar to know that I never, ever schedule meetings at 3:30 am and to guess that I mean PM. And I’d like it to not only know what time I typed in, but to not make me hit an extra button every single time to change the time from the default.
I’d like Final Cut Pro to allow me to watch the video I’m editing at a faster speed, the way all modern video playback permits these days. It would save hours and it’s got to be easy to implement.
I wish Fedex had phone service like they used to, and that UPS would make it easy for me to let the driver know where packages go, even (especially) since driver turnover is so high.
I’d like Netflix to offer much smarter sort mechanisms for discovery.
It would be great if Google stopped acting like an evil overlord when it comes to search, discovery and their relentless obliteration of providers they decide are competitors.
I have 80 more, but what’s the point, really? Without adversarial interoperability, monopolists don’t listen.
They don’t have to. -
Advantages of Email Marketing?
https://digitalthoughtz.com/2021/05/08/what-is-the-benefit-of-email-marketing/ Check out the top 7 advantages of Email Marketing,
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Solar marketing?
Hi all, I just applied for solar sales agent and I am thinking to use online marketing. I did some research and found websites that can automative emails for you as cold calling. But I don’t have the experience to know what to use. Any suggestions? Would really appreciate any advice or feedback! Thank you!
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