Constant Contact Colocates with Small Business Customers

Great companies go beyond just providing a product or service. They think of themselves as partners in the success of their customers. Three companies that do an outstanding job of advocating for the small business customer are American Express (with its Open Forum small business community and annual Small Business Saturday promotion, among other things), Intuit and Constant Contact, the Massachusetts-based e-mail marketing company.

I often use Constant Contact’s Twitter and Facebook profiles as models for other B2B companies to follow. About 90% of the content the company posts in social networks is intended to help customers succeed in small business marketing. Less than 10% promotes Constant Contact products. It’s like that in the company’s remarkable Pinterest account as well.

Constant Contact’s Small Business Innovation LoftNow the company is taking customer advocacy to the next level with the launch of the Small Business Innovation Loft. That’s a physical space within the company’s Waltham, Mass. offices were startups can set up shop for four months at no cost and get $10,000 to spend on marketing activities. They also get free meeting space and priority support from Constant Contact’s support team. This press release has more.

Innovation labs aren’t new, but they are usually sponsored by venture capital firms or real estate companies that hope to cash in on them. In contrast, won’t take equity in the startups it nurtures. The value to the company comes from the promotional benefit and the word-of-mouth awareness that will develop as some of these companies invariably succeed and set off on their own. What better way to put your money where your mouth is?

Constant Contact makes it a point to get inside the minds of its customers and understand their ambitions, fears and motivations. That’s the secret of content marketing, however you define it. Check out this clever year-end video the company put together to celebrate its customers.

Five Facebook Tips for Small Businesses

Most small businesses are terrible at marketing in general and online marketing in particular. That’s understandable: The founders are usually more passionate about what they do than about promoting themselves.

But with Facebook becoming the place you just have to be for businesses of all sizes, a little marketing know-how comes in handy. I recently spoke to Mark Schmulen, general manager of social media at the small-business-focused e-mail service provider Constant Contact about how to go beyond the Facebook wall and make the social network a practical and measurable small business marketing platform.

“When we look at what platforms our small business customers are using for social media marketing, 94% of them are on Facebook,” Schmulen said. However, “Most small businesses are doing Facebook without knowing why they’re doing it.”

That’s the herd mentality at work. While it’s pretty easy to create a Facebook page, the task of convincing visitors to create persistent relationships through the “Like” button and to engage in conversation requires different skills. Forrester Research has estimated fewer than 15% of people who click a Like button ever visit the page again. Getting that repeat traffic is the special sauce of Facebook success.

Here are five tips that Schmulen recommends:

Tip #1: Know what your goals are. Sounds simple but it ain’t necessarily so. Depending on the business, goals might range from generating orders to attracting subscribers to building thought leadership. Whatever your goal, you need an offer to match.

Fancy Fortune CookiesArchway Cookies and Fortune Cookies are both focused on trials, the first through coupons and the second via a contest. Vindale Research isn’t in the food business, though; it wants to recruit people who are interested in getting paid to take surveys.

Each company matches its offer to its goal, whether it’s a free trial, information or downloadable assets like ringtones. Offers should always include a clear call to action, and you can use rotating FBML (Facebook Markup Language) pages to test different offers. If you lead with your wall, you’re missing an opportunity.

Tip #2: Make your offer shareable. There’s a Facebook phenomenon called the “power of 130.” The average Facebook member has 130 friends and the fastest way to spread a message is through social sharing. Facebook automatically offers members the opportunity to share a Like, but the real creativity comes when you can convince people to share some kind of unique content or offer you provide.

Intrepid TravelFor example, Intrepid Travel invites visitors to play a trivia game and share results with friends. Players can also sign up to visit the exotic places highlighted in the game. Each answer to the quiz is shareable, as is the final score.

Tip #3: Keep it simple. Intel’s Facebook welcome page features product promotions, a gateway to its international pages, jobs, discounts and even a Twitter feed. Intel can get away with all that because it’s Intel, but for most small businesses, less is more, Schmulen recommends. He favors an approach like that of Fitness magazine, which rewards new fans with “our all-time favorite abs workout!” Fitness has a variety of other offers on its Facebook presence, but it leads with the simplest one.

That doesn’t mean you can’t have multiple offers, but give each one its own page and rotate them through different promotions. It’s easier to test results that way, too.

Tip #4: Promote everywhere. “’Field of Dreams’ was a horrible move for people who are learning about marketing,” Schmulen says. “Just because you build it doesn’t mean people will come. When you create a campaign, share it across all your social networks and e-mails. Use every channel you have.” I couldn’t have said it better.

Tip #5: Measure. Surveys, A/B tests, website analytics and marketing automation are essential tools for professional marketers, but you don’t have to be a statistician to understand whether or not your campaigns are working. Facebook’s built-in analytics give you a pretty good idea of what’s sparking conversation on your page. Take the 10-minute tour and learn what they mean. PageLever is one of the first independent Facebook measurement tools, and I expect there will be more. You can also use free and simple utilities like Bit.ly and Google URL Builder to track the popularity of links you post on Facebook. Most commercial e-mail services also offer pretty good metrics to show which messages are resonating.

Schmulen ticks off some factors to consider: “How many people visit the landing page? How many participate in the offer? How many share the offer? If people visit the page but don’t take the offer, it isn’t compelling enough. If they accept the offer but don’t share it, it isn’t distinctive enough. A great campaign gets people to connect, accept your offer and share it with their friends.”

Getting people to Like you is just the beginning, of course. A really effective Facebook presence is an ongoing conversation with lots of questions, challenges and responses. For inspiration, you could do worse than look at Constant Contact’s Facebook wall, where the company constantly seeks input on everything from new product ideas to the choice of band at a celebration party.

This is one in a series of posts sponsored by IBM Midsize Business that explore people and technologies that enable midsize companies to innovate. In some cases, the topics are requested by IBM; however, the words and opinions are entirely my own.

 

Surveys Show ‘Social Business’ Concept Gaining Traction

A quartet of new research reports suggested that small and midsize businesses (SMB) are rapidly waking up to the potential of social media and cloud-based infrastructure to create new operational efficiencies and better engage customers – and that they may also be leading the US out of recession.

Fall 2011 Attitudes and Outlook Survey

A recent survey of more than 2,000 small businesses by e-mail marketing provider Constant Contact found that 81% say they now use social media for marketing, up from 73% in the spring. Furthermore, a significantly larger percentage agreed with the statement that social media marketing is “easy to use,” “doesn’t take up too much time,” and “works with my customers” than did so in the spring. Facebook was identified as the most effective tool by a comfortable margin, but Twitter, LinkedIn and video sharing are all creeping up.

It should be noted that the majority of respondents to the Constant Contact survey were customers, which means they are already marketing online. Other research studies over more general populations have indicated that small businesses still lag far behind large enterprises in their adoption of social media tools.

It’s also worth noting that 81 percent of respondents use face-to-face interactions to connect with customers or prospects, underlining the fact that Facebook has its limits.


A new global study of chief marketing officers (CMOs) at midsize businesses released today by IBM shows that marketers are concerned about improving customer engagement but are unclear about how to proceed. More than seven in 10 respondents said they aren’t sure how to improve customer loyalty at a time when peer reviews and open sharing are making customers more informed, more critical and less loyal. Only 40% are taking the time to understand and evaluate the impact of consumer-generated reviews,  blogs and peer rankings on their brands.

The CMO research further reveals that 62% say they are unprepared to take advantage of the opportunities presented by mobile commerce and 72% say they don’t know how to cope with declining levels of brand loyalty that could result from easier comparison shopping. So while midsize firms may be using social marketing, they aren’t necessarily confident in the results.


There is no question that the concept of “social business,” which is being promoted by IBM and others, is gaining traction. Social business involves using tools both inside and outside the organization to unearth knowledge, improve business responsiveness and create new paths for engagement with customers. The concept has gained momentum in the form of “intranet 2.0” platforms, which augment traditional intranets with Facebook-like features.

An IBM study of more than 4,000 Information Technology (IT) professionals from 93 countries and 25 industries found that adoption of the social business concept is erratic and geographically influenced. Indian companies were three times as likely to have embraced social business concepts as Russian companies. The US and China showed strong adoption rates, but both lag India by a significant margin. The research, which was conducted by IBM’s DeveloperWorks organization, also showed rapidly growing acceptance of cloud computing as a platform for application development and a swing toward developer preference for the Android mobile operating system.


If, as many people believe, small and midsize businesses are leading indicators of economic growth, then there’s also good news in survey of 1,295 small and medium business IT professionals conducted by Spiceworks. The study found that IT budgets grew 9% in the second half of 2011 compared to the first half. That’s the largest increase in two years. Nearly one third of SMBs said they are planning to hire new staff, which is also an improvement over the stagnant staffing rates of the past two years.

Disclosure: IBM’s Midsize Business organization is a client of Paul Gillin Communications.