Strategy is about having a future
By Stephen Rhodes

At The Marketing PAD we work with some of those companies, usually when they’ve peaked and are looking for the next growth spurt.

Strategic planning is really napkin planning on a larger scale; actually make that a longer scale.

Many companies start up because the principles see a need in the marketplace, or they have a particular expertise. If you have a unique product or service, your company can go a long way. Most companies don’t however have such a unique position. Most enter the fray against a wealth of competition and rely on location to drive their business.

Ray Kroc mortgaged his home and invested his entire life savings to become the exclusive distributor of a five-spindled milk shake maker called the Multimixer. Hearing about the McDonald's hamburger stand in California running eight Multimixers at a time, he packed up his car and headed west.

Ray Kroc had never seen so many people served so quickly when he pulled up to take a look. Seizing the day, he pitched the idea of opening up several restaurants to the brothers Dick and Mac McDonald, convinced that he could sell eight of his Multimixers to each and every one. "Who could we get to open them for us?" Dick McDonald said.

Ray Kroc opened the Des Plaines restaurant in 1955. First day's revenues-$366.12! No longer a functioning restaurant, the Des Plaines building is now a museum containing McDonald's memorabilia and artifacts, including the Multimixer!

Tim Horton’s, Starbucks, Wendy’s, they all have similar histories -unique entrepreneurs with a unique business model and product.

They may have started on the back of a napkin, but you don’t build some of the most successful companies in the world without a long-term strategy.

Strategy is mumble jumble to a lot of people when really it’s very simple. Have a plan that says this is what your business will look like in five years, 10 years, and 20 years. Yes, it takes a little work but like all things without something to measure against there is little chance of success.

Understand your strengths and weaknesses. Know your competition. What are the opportunities and what are the threats to success. You might decide you want to be number two in the marketplace as Avis did when they launched the campaign “We’re number two, but we try harder.”

The key is to set goals, strategic goals that are measurable. Track against those goals and adjust as necessary.

Finally, get focused. Develop a unique position in the marketplace. First know your target audience. Second know your competitors. And third, know your competitors.

Developing a brand or at least a point of differentiation will help position your business to win customers. Be good at something. No, be the best at something and then tell people about it.

Sometimes a business has to make sacrifices to be good at something. Too many business fall into the trap of trying to be all things to all people. Better that your business is seen as the best there is at one thing, than mediocre at many things.

It’s about thinking strategically over a long period of time. At The Marketing PAD we encourage our clients to think beyond the next business year. It works.

There is always paperwork, billing and accounting to update. It’s also a good opportunity to consider the plan and whether it’s working.

The truth is that many businesses create their own cycles. One can argue that there are external factors that impact on business such as the economy, the weather, vacations etc., and I don’t dispute that. What I do challenge is the way we accept these cycles and build them into our business plan. When you get down to brass tacks, when we are busy doing the work that we do, we tend to neglect that part of our business that most of us dread anyways. Prospecting. The amount of work we do is a great and convenient excuse for not cold calling or paying visits to new potential clients. It doesn’t take long for current business to reach completion, for referrals to dry up and for business to slow down.

Successful business owners never give up on prospecting or cold calling. On the other hand, marginally successful or unsuccessful business owners create only enough leads to keep them busy for a certain time period. The lag follows.

You may be one of those people who are uncomfortable with prospecting, or afraid to make the calls. Maybe picking up the phone is the easy part for you, the actual conversation is difficult. Some symptoms of prospecting fear include; worry, panic, fear of presenting to groups, avoidance of asking even friends and relatives for referrals, or waiting until you feel the timing is right before making the call.

This fear or phobia probably stems from a previous unpleasant experience. Keep in mind that you are not the first person to have a door slammed in your face, a phone hung up on you or to be grilled by a prospect who senses your apprehension.

A positive experience can turn this around. There are many courses out there that will help you overcome this fear, and there are coaches who can work with you over time to help set you on a positive track. Networking groups can assist you in having a positive experience through warm third party referrals. Providing the name and number of someone they know who may have an interest in your product or service gives you the opportunity to practice your skills in a less threatening environment, than a true cold call.

Practice is the only way to reduce this fear. Once you are more comfortable with the prospecting process, it must become a habit. Set a goal for yourself for a certain number of contacts weekly. Make the time to make the calls! Review your business cycle after six months of continuous prospecting and see for yourself if your previous sales cycles were indeed “man made”.