Thursday, March 31, 2016

David CAN beat Goliath: Digital Marketing & Startups.

“I remember reading a lot of stories about people complaining that the ice bucket challenge was a complete waste." Jonathan Ling, ALS Association. Well not so much. David did beat Goliath. ALS association raised a staggering $115 million from this off-the-wall campaign.  And still reap ripple effects from the initial campaign. How did they do it? Why was it successful? 

The Online World is Flat: Digital tools leveled the playing field for businesses globally. They have a flat hierarchy for success. A big budget has little effect on marketing campaign successes. Social media tools are free in most cases and their market reach far supersedes the traditional TV and print subscribers. There is definitely overlap in market segments in terms of customers using mediums across the gamut. However, social media is more powerful as its interactive and with major network effects. Startups with shoestring budgets can now test their products while raise money through a kickstarter. Non-profits can galvanize impact movements and charity walks by a simple message. Online marketing has taken all barriers and hierarchies. A homeless man can write an email to Leader of the Free World. Savvy startups need to sit up and take notice.

Be the message you want to see in the world: Online messaging for your business brand across social media is not an afterthought, it the the core of your business. As a founder of a recent Startup and an old school pick-up-the-phone-and-call-them marketer, I have learned that lesson the hard way. The world is changing faster than we can keep up with. The right online message far trumps the money offloaded into advertising. Less can really be more when it comes to targeting the right message to the right audience. Honest company in consumer goods and Under Armor in sportswear are prime examples of targeted messaging at the right time. Honest company crafted a message of chemical-free and safe everyday products for expecting and new mothers when the industry was inundated with negative press about harsh chemicals for babies. Under Armor pioneered a look-good-feel-good message to millennials about working out when big players like Nike and Reebok were churning out mass fitness products. A well crafted business message to a niche audience is key for market penetration. And startups are better equipped to take advantage and pivot if needed.

Get Emotional: Startups have a unique advantage of not having history. In other words, they haven't messed up yet. And if they do, its easier, safer and cheaper to fix. But business environment is always competitive and noisy. They need to beat out their message and rise above the din. Get their customers fired up about their products so they talk about them. Startups can do it much better than a GE or a Microsoft in gaining consumer trust. Little guy has more power than they think when it comes to having a unique value proposition. Think Sanders versus Clinton. Uber versus Taxi Commissions worldwide. Examples galore in every industry of startups making huge difference because they got their customers fired up. Who wants to talk about GE making a hybrid car versus Tesla launching a 100% electric sportscar that runs on a revolutionary technology with Elon Musk, a maverick captain of sorts. Do you think GE raises that same beat-the-chest emotion that Tesla can? 

Startups and non-profits are in a unique position to spread their message online. And that is all they have to do. It can't be an afterthought. Else those startups will end up in dotcoms' cemetery.

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