Tag: marketing

Incentives

Posted on by Steve Sammartino

One of my favourite business phrases is this:

Incentives shape behaviour.

Incentives shape the behaviour of all the people involved in our business value chain. And these incentives we create are also holistic in the sense that they go well beyond money. But before we go designing some kind of incentive program, we are better off thinking about what’s in it for all the people involved. People including but not limited to:

Our Employees

Our Shareholders

Our Suppliers

Our Retailers

Our Customers

Our Community

Our Government

Let’s focus for a few moments on our suppliers. Our usual predisposition here with suppliers is to get the best deal possible. The cheapest supply price. To negotiate hard. And if we do this we’ll make more profit. The flip side of course is that our supplier makes less profit. Maybe we’ll be one of their least profitable customers? In this case what kind of service are we going to get? How will they help us if things are urgent? Will they be as reliable as we need them to be? What will they tell the industry about us as a customer of theirs? In fact negotiating the best deal may just give us a disadvantage which is greater than the price benefits. It’s not such a great incentive for our suppliers and may lead to breakages in our business value chain. It’s smart to leave something in it for the other guy.

As Startups we should ask ourselves the following question….

Are we creating a system in which the people above will have an incentive to help us succeed, or will they simply be indifferent?

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Brain exercise

Posted on by Steve Sammartino

As we have our brains constantly in the depths of our daily business issues, it’s easy to get stale. Just like our bodies, our brains need frequent and varied exercise to stay fit. There is only so many forecasts, sales calls, design iterations, cash flow statements, customer queries, deliveries, blog entries, product development meetings, WIP’s, administrative tasks… (insert daily business activity here) any sane person can handle…

Too much of this and we get a little stale. Sometimes we need to get into a new mind space. Today’s solution is simple. It involves the body and the mind.Take 5 to do this:

Learn how to and build the worlds best paper airplane. Then go outside the office and fly it.

Even better do it off a balcony. The pic is below & and instructional video link is under it.

Paper airplane


I also found this video of how to make the airplane above with simple easy to follow instructions.

Instructions link.

Free your mind…. then get back to work!

Startup Blog Live – episode 3

Posted on by Steve Sammartino

I’ll be doing another Startup Blog Live session at 8pm this Thursday night. It will be via www.twitcam.com under my twitter sign up which is www.twitter.com/sammartino or @sammartino for current members.

Thursday 13th August at 8pm – Live.

TV Studio

The topics of discussion will be Tactics vs Strategy – which was the topic of a blog post below and a very important issue for startups and entrepreneurs. If you can make it – ask a question in teh comments and I’ll answer it live for everyones benefit. Last time we had over 70 people tune in. So join us.

Steve.

I am on Twitter – Click here to chat with me

Tactics vs strategy

Posted on by Steve Sammartino

In startup land the tactics we employ are far more important than our total business strategy. They are more important for one simple reason:

Tactics are short term. Strategy is long term.

Our goal as entrepreneurs in the short term is to get to the long term. To think, to invent, to create to build and ultimately to survive. If we survive long enough our we’ll be able to test our strategy in market.

Strategy is the domain of large companies who have revenue and time. In the world of the startup we must be tactically superior to get a chance to play in market. Often the tactics are not as the strategy intends. But unless we progress and gain momentum. The ultimate strategy will never see it’s place in market.

The lesson for startups is simple. Our tactics give us a chance at being straetgic in the long run.

Yes or No?

Posted on by Steve Sammartino

Entrepreneurial thought for the day:

How many Yes or No positions did you put yourself in?

This is what determines our success. Without doing this simple task each day, we cannot progress. There will be no result. There will be no feedback.

Startups ought think in Yes / No terms.

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Social media – Numbers are irrelevant

Posted on by Steve Sammartino

I saw this little 1 minute video from Seth Godin (Who I used to worship, and now just ‘like’) and had to post it here. Be sure to read my comments below the video.

[youtube=http://www.youtube.com/watch?v=r0h0LlCu8Ks]

Why the numbers are irrelevant to me….

  • My blog has few promotional elements on it (they’ll find me if I deserve it)
  • I only follow people on twitter I know. I want a conversation. Mind you if you @sammartino at some point I will follow you…. yes I’m interested in conversation.
  • Quantity loses to quality every time. Scores are misleading. Numbers are pointless.
  • Yes you can meet people on line and then create strong physical friendships. I have many times.

In summary I’d say this. If it doesn’t make sense in the real world (physical life) then there’s a good chance it doesn’t make sense on line. In ‘real life’, that is our off line life we think of our friendships and even business contacts in terms of quality. We don’t go around trying to make 1000 friends and wear a t-shirt that says ‘I have 1000 friends’. Rather, we prefer to have strong meaningful relationships which are one on one. Where both parties benefit. We don’t have a list in spread sheet with the people we’ve met. Sounds ridiculous doesn’t it?

Startups should be using social media to build relationships – not gathering numbers.

From now on I’ve changed my twitter link below on my blog posts. Can you see the change?

I am on Twitter – Click here to chat with me


Domain name speculating

Posted on by Steve Sammartino

I recently got an email from a domain name provider called hostess.com.au. It was about selling domains names with some recent examples. The title of the email was ‘Your domain name could be worth big dolllars’.

Here’s a screen grab.

Picture 70

It’s easy to think that this type of behaviour is ‘unethical’. But the reality is we live in a capitalist society. Speed and noticing opportunities is a key business skill. So my view is if you’ve savvy enough to find and speculate on domain names and make some cash – good luck to you. There is no shortage of examples of people who’ve made a bundle doing it.

So how to do it? Well, here’s a couple tips on some people have done it:

  1. Spelling mistakes of popular domains. Then sell advertising or back to original (Tiwtter.com)
  2. Buying the .com of popular country specific domains. Eg www.theage.com – they sell advertising.
  3. Moving quick on new words, phrases entering the common vernacular. (eg tweet, roadrage, soccermom)
  4. New brand name launches
  5. register technology advances, and economic terminology. (GFC.com?)
  6. Short words of a made up nature. Popular for startups.

I’m sure you can think of some other ideas, or methods used in such speculating…. be sure to add them in the comments.

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