Like many CEOs I started my career in the accounting department. I learned over time that accountants often having a glaring blind spot. They sometimes mistakenly think their business is the accounting. In reality, the accountants are the scorekeepers and from my experience they often don’t really know, for sure, what the score is. What they forget is that whether they have the score correct or not, the positive results generally come from the folks actually playing the game.
It’s the research department and engineers that create the best products. It’s the front line “sales force” that sell the product and grow the business. A growing business must have a successful “marketing team.”
If you’re an “accounting type,” you should surround yourself with dynamic, enthusiastic and fun sales people. Your customers will happily purchase your products and services from sales people that are knowledgeable, personable and lovable.
All accountants know that “common sense marketing” comes from convincing the marketing folks that the money they spend on marketing must create results. There must be a return on the investment. By now most marketing folks have not only learned this lesson but are tired of hearing about it.
However, the accountants are not easily convinced that the opposite is also true. As all marketing people know, you must spend money on marketing to get a positive brand, establish a good reputation and to grow a successful business.
The prudent, safe and boring approach to managing your business does not always result in a growing profitable business.
Working with financial institutions, I tire of regulators and accountants telling me that we must perfectly follow our budgets and Asset/Liability Management (ALM) models. They tell us to avoid risk in our investments and loans. What they forget is that budgets and ALM models are predictions and estimates. While the results have merit in helping us make good decisions, we have to understand that the results are based on taking calculated risks, managing those risks and our reactions and decisions of a changing environment.
Our “common sense marketing” plan should address branding, reputation, community involvement and professionalism. There is not always an obvious return on investment to accomplish these things.
Successful Business use Common Sense Marketing
- Rule #1 is to not waste money on advertising that doesn’t work.
- A return on your marketing investment is not always measurable in purely accounting terms.
- Your customers’ perception of your business is a result of what they see from your marketing department. Don’t embarrass yourself and your business by entrusting your marketing to someone that can throw together some “artistic” ads.
- A good marketing strategy is based on your business’ vision, it’s Strategic Plan, it’s budget and your talented and well trained “sales force.”