MyMobiguide - Reaching Thousands Of International Tourists Coming To South Africa With Multi-lingual Content On Demand.

Something that started as a personal interest and Hobby for Amanda Forsythe, founder and Managing Director of MyMobiguide, evolved into the most unique and amazing digital marketing solution currently available to the South African Tourism industry.

The eyes of the world are focused on South Africa leading to 2010, and thousands of international tourists are eagerly awaiting the opportunity to explore the unique and diverse South African culture. Unique point of sale marketing on the MyMobiguide website and WAP portal provides the perfect opportunity to reach tourists continuously throughout their travel experience.

In December 2009 MyMobiguide launched with the full support from South Africa Tourism and co-marketing partners Vodacom, Glocell and Audio Trex. It’s simple; everybody has a mobile phone, particularly in the tourism sector where mobile phones have become essential companions for travellers. MyMobiguide is one of the very few service providers in South Africa to provide multilingual content on demand and the anticipated usage of their guides, and therefore the amount of traffic to their web and WAP sites, is enormous.

Through the Vodafone Live and Glocell portals alone MyMobiguide has access to almost 40 million local mobile phone users in South Africa and nearly 10 million foreign visitors expected in 2010 and beyond. This is serious bang for your buck!

The MyMobiguide portal is now open for all travel and tourism partners wishing to access this market by advertising on the MyMobiguide website and within the MyMobiguide clips on the mobile phone site.

For more information and advice on how you can join this fantastic mobile revolution send an email to doohexpert@gmail.com or call Pierre Fourie on +27 74 180 1942.




Pierre Fourie is a leading marketing and advertising consultant based in Johannesburg South Africa. He is highly regarded for his expert knowledge on Digital Out Of Home (DOOH) systems and his ability to conceptualise and execute marketing / advertising strategies. Pierre was dubbed the “digital expert” on developing content strategies and promoting branding concepts for private digital advertising networks, including Planet Fitness Gyms and The More Golf Group. His background in the electronics engineering field of study, combined with more than 10 years experience as a business owner, entrepreneur and media expert is reflected on his personal blog: http://mediamarketingandsales.blogspot.com

Digital signage dictionary

DOOH / Digital signage / Dynamic signage
Digital Out-of-Home (DOOH) / Digital signage / Dynamic signage refers to signage that is displayed in public spaces by means of projector, LCD, Plasma screen, Electronic billboard, Isle-talkers, etc. Multimedia content is usually displayed using a computer, also referred to as a digital engine or media player. You will find digital signage in most public spaces like airports, outdoor concert venues, bars, restaurants, cafes, college campuses, convention centres, stock markets, call centres, trains, busses, taxis, and retail environments.

Interactive Digital Signage
An interactive layer is added to a digital signage system, allowing the targeted audience and users to engage with the on-screen content in real-time by means of a specialized devices, touch screen, or mobile phone.

Digital media platform
The infrastructure (hardware, software, connectivity and various resources) that is purposefully designed to host, support and broadcast various media file types with the objective to entertain, inform, and educate a targeted audience. Interactive layers and peripheral devices can be added atop this base to create an Interactive Media Platform.

ABN (Ad-based Network)
Revenue from third party advertising is not necessarily the primary objective of a Digital Signage network. Digital signage networks that do support third party advertising is normally referred to as ad-based networks, and rely on the ad-revenue to sustain the network and generate an extra revenue stream to enhance return on investment (ROI) for the system owner/s. In order for an ABN to be viable it is required to have the right balance of relevant content to advertising, as well as sufficient dwell-time in order to engage the viewer.

Dwell-time
The amount of time a customer remains in a venue, or a specific area within the venue. Dwell-time is an important variable in determining display placement, advertisement size (seconds), content loop duration, advertising-to-content ratio, and advertisement cost. One of the primary objectives of Digital Signage is to increase dwell-time, and therefore often forms part of the Return on Investment (ROI) metrics and cost justification value proposition.

Expression-based media & Social Media Applications
Invites people to engage with beneficial and entertaining content that forces users to HAVE FUN. It also encourages people to share information and talk to each other in a user-controlled media environment.

Mobile click
The user’s phone number is treated much like a web “cookie”, adding a layer of measurability to track user statistics across digital signage networks. It enables the dynamic digital signage system to recognize a unique user engaging with a social media application via a mobile phone.
New media triadThe media distribution model by which brands and advertisers can engage with consumers using various digital media, all within an integrated campaign.

OTS (Opportunity To See)
The probability a screen has to be viewed by consumers. It is unlikely that a screen will be seen if it is hidden away or placed in a low dwell-time area. OTS is expressed as a percentage ratio comparing the amount of people who actually see the screen to the amount of people that entered the venue where the screen is installed. OTS is a useful variable for brands and advertisers.

Proof of Play
Proof of play is a built-in feature of proper digital network management software. It is a secure document where advertisement flight details are logged every single time an advertisement is sent to the screen. It records the date, time of day, and for how long the advertisement was displayed. Technically the proof of play only states that the advertisement was sent to the screen. Additional network features and technology is required to tell if the screen was actually switched on and working at that specific time. Proof of play, combined with other measurable variables, is important in calculating how many people actually looked at your advertisement in order to determine ROI.


Pierre Fourie is a leading marketing and advertising consultant based in Johannesburg South Africa. He is highly regarded for his expert knowledge on Digital Out Of Home (DOOH) systems and his ability to conceptualise and execute marketing / advertising strategies. Pierre was dubbed the “digital expert” on developing content strategies and promoting branding concepts for private digital advertising networks, including Planet Fitness Gyms and The More Golf Group. His background in the electronics engineering field of study, combined with more than 10 years experience as a business owner, entrepreneur and media expert is reflected on his personal blog: http://mediamarketingandsales.blogspot.com

Mustek Digital signage open day - 17 November 2009

Mustek Digital Signage Open Day - 17 November 2009

Mustek, Midrand, South Africa
From: 9:30 am
To: 3:30 pm
Entrance is FREE.

RSVP by 13 November 2009
Call: +27 (0)11-237 1677 pertuniam@mustek.co.za
A full agenda and directions to the venue will be forwarded to you upon receipt of your RSVP.


Creating awareness and educating all who are interested in Digital Signage and Kiosk solutions.

Topics covered include the following:

• Hardware for digital signage.
  
• Software solutions for sigital signage.
  
• Connectivity and content management for digital media networks.
  
• Interactivity and synergy between differnet digital mediums.
• TCO, ROI, etc.
  

Joine me at Mustek for my presentation on:

Selling digital advertising – Learning from experience
Presented by: Pierre Fourie

1. Industry Jargon
   
   
2. Consulting Vs. Selling
   
   
3. Selling digital signage solutions (B2B)
   a.) The sales cycle.
   b.) Think like a business owner.
   c.)What should go into my digital signage proposal?
   
   
4. Selling the advertising
   a.) The biggest enemy of digital signage networks.
   b.) Value proposition of a technology based signage solution.
   c.) Content strategies that will benefit your advertisers.
   
   
5. Overcome today’s biggest challenge in selling digital advertising.
   

Pierre Fourie is a leading marketing and advertising consultant based in Johannesburg South Africa. He is highly regarded for his expert knowledge on Digital Out Of Home (DOOH) systems and his ability to conceptualise and execute marketing / advertising strategies. Pierre was dubbed the “digital expert” on developing content strategies and promoting branding concepts for private digital advertising networks, including Planet Fitness Gyms and The More Golf Group. His background in the electronics engineering field of study, combined with more than 10 years experience as a business owner, entrepreneur and media expert is reflected on his personal blog: http://mediamarketingandsales.blogspot.com

10 Questions to ask if your advertising doesn’t work

Every day I talk to business owners, especially the SMME’s, who simply gave up on advertising because “it doesn’t work for my business”.

I found that business owners often do not understand the dynamics of how to create an advertisement that will effectively influence clients to come and buy, or at least try their products and / or services. By identifying the most common mistakes found in advertising I was able to create the following list of questions that will lead to a more productive and profitable advertising campaign:

1. Who will buy from us and where can we reach them?

If your answer is “everyone” you are almost certainly wasting your advertising budget. Before you even consider putting an advertisement together you have to know who your target market is, and where they will be looking for the products and / or services you provide. You need to do some market research and focus your campaign on your target audience. If you don’t, your advertisement will certainly fail, regardless of how great it looks.

2. What is important to our prospects?

Unless you want your advertisement to be ignored, I suggest that you find out what is important to your prospects and deliver a message that is important to them. Your prospects have hobbies, families, careers and the associated wants, needs and challenges they bring. These things are important to your prospects and have great impact on their buying behaviour.

3. Does our advertisement have a compelling headline?

The headline is the most important element, regardless of the media you use. On average, five times as many people will read the headline than the copy of your advertisement. The success of your advertisement relies heavily on how well the headline sells the product and / or service. Make sure that your headline addresses the main concern or interest of your targeted audience.

4. Why should our prospects believe us?

It can take many years and hard work to attain a credible reputation that will drive customers to your business based on referrals alone. You have to turn sceptical prospects into believing that you and your product will provide, at very least, the main benefit you promised them. Some of the most common methods include independent research, customer testimonials, case studies and frequently asked questions with suitable answers.

5. Are we offering VALUE from the client’s point of view?

Your prospects are only interested in how your VALUE proposition can satisfy their wants and needs. Are you saving them money? Are you giving them more than they are paying for? Will you make life easier for them? Your advertising message must focus on giving VALUE to the client. Don’t waste your time and money on trying to tell your clients about how great YOU think your business is.

6. Do our prospects know what to do?

It often happens that a client looks at your advertisement and realise that they actually have a need for your product, but because there is no urgency to your message they will often forget about it. If your prospects don’t have a reason to act NOW they are unlikely to do so at some point in the future. You have to inform your prospects of what they will miss out on if they don’t act NOW. Simply listing your telephone number is not enough.

7. Do we have the right advertising frequency?

Frequency is the number of times a person is exposed to your marketing message in a given time period. Frequency is important, even if you have a great message. High repetition is important and your advertisement will have greater impact when frequency is applied. If you know what media matches your prospects’ profile you should stick with that media for at least 12 to 18 months and apply the right frequency.

8. Have we got enough reach?

Reach refers to the number of people that see your message in a given time period. Purchasing media with large reach is generally more expensive, but it allows you to reap the benefits of advertising more quickly. The more prospects you reach the greater the percentage will be that need your product or service right now. However, buying too much reach without repetition can be disastrous for your company’s long-term growth. Buy as much reach as you can afford but DO NOT sacrifice frequency in the process.

9. Do we know what is working for us?

The main goal of advertising is to increase sales revenue. An advertisement producing no results IS WASTING YOUR MONEY. With available modern technology, and given enough time, you should be able to attribute a return on investment to every marketing activity and every single piece of advertising.

10. How big is our marketing budget?

How businesses function without a marketing budget is beyond me. You need to know how much money you can spend to reach your target market. Your marketing budget will also drive your choice of media (newspapers, fliers, radio, television, mobile, digital signage, etc.). Another advantage of having a marketing budget is that it provides you with a degree of defence against pushy advertising sales people.


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Pierre Fourie is a leading marketing and advertising consultant based in Johannesburg South Africa. He is highly regarded for his expert knowledge on Digital Out Of Home (DOOH) systems and his ability to conceptualise and execute marketing / advertising strategies. Pierre was dubbed the “digital expert” on developing content strategies and promoting branding concepts for private digital advertising networks, including Planet Fitness Gyms and The More Golf Group. His background in the electronics engineering field of study, combined with more than 10 years experience as a business owner, entrepreneur and media expert is reflected on his personal blog: http://mediamarketingandsales.blogspot.com
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Rethink your sales strategy

I have met many hard-working people in my life. Some became successful, while others failed miserably. It is therefore inevitable to come to the conclusion that success in business and life depends on more than your ability to work hard.

I am also, what most people call, a “workaholic”, and therefore have great respect for the hard-working, honest individual. I can appreciate the pure intentions and the feeling of hope that “your hard work will, sooner or later, be rewarded”. Unfortunately hard work alone will not turn your hopes and dreams into reality. Right now you might even be at a point in your life where your business is causing you more frustration and heartache than freedom and joy.

As a business owner and / or entrepreneur you have worked your fingers to the bone in order to plan, deploy and develop your business. You have done your market research and know for a fact that there is a demand for you product. You are the best guy for the job, and yet you are struggling to maximise profit and earn good money.

One key factor that influences the success of almost any business is communication. In modern terms we say, with absolute certainty, that technology changed the way we communicate with our customers. It changes the way we conduct business and how consumers make purchasing decisions. Businesses are challenged to find innovative ways to convince customers you to buy their products and services, and consumers find themselves in world where it is unbelievably easy to buy.

Most consumers nowadays have access to the internet and will do an Internet search on products that will satisfy their specific wants and needs. Two major factors come to mind when we look at the way modern consumers make purchasing decisions:

1. Consumers are aware of their personal wants and needs, and they now have the power to search for the products and services that will fulfil those needs according to their own criteria. Consumers have access to millions of websites, packed with information, competing for an opportunity to persuade and make clients want to buy.
   
   
2. People buy what, and when they want to buy. This is probably one of the biggest reasons why so many businesses fail in their marketing efforts. Most business today still attempt to manipulate clients into buying things they don’t want or need.

Within the scope of this discussion there is one question I want to ask you:

Are your current sales a result of assisting your clients in making informed decisions (persuasion), or are you simply selling in order to benefit yourself (manipulating)?

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Pierre Fourie is a leading marketing and advertising consultant based in Johannesburg South Africa. He is highly regarded for his expert knowledge on Digital Out Of Home (DOOH) systems and his ability to conceptualise and execute marketing / advertising strategies. Pierre was dubbed the “digital expert” on developing content strategies and promoting branding concepts for private digital advertising networks, including Planet Fitness Gyms and The More Golf Group. His background in the electronics engineering field of study, combined with more than 10 years experience as a business owner, entrepreneur and media expert is reflected on his personal blog: http://mediamarketingandsales.blogspot.com

Don’t loose touch with your staff and co-workers

It won’t kill you to get into the front-line every once in a while. Answer some calls, work a few shifts, do the filing and make your own coffee.

Over the course of time many mangers tend to withdraw from the fiery furnace to the sterile, air conditioned comfort of their private offices. For some reason managers tend to get off the train in order to avoid communicating with the staff.

Stay in touch with your people. Don’t drift off into outer space and become a stranger to those around you. As a manager, CEO or director of an organisation it is important that I remind you that the people working with and underneath you actually appreciate seeing you once in a while.

This is especially true during times of change and economic uncertainty. Your people are looking at you for reassurance, peace of mind, inspiration and motivation.
How can you expect people to share your vision if they never see you around?

Being a stranger to your people will lead to a humble fall.

Don’t guess what your customers want

Sometimes the best advice is free. The key ingredient to successful market research is to get as close as possible to the customer. With Internet and email it is now possible to get even closer to your clients. If your clients are so “close” to you, why not get them to do some work for you?

Your customer is the most reliable source of information at your disposal, and it is free. “Quality purpose recordings” are used to train personnel; on-line surveys and polls are used to collect valuable information directly from the targeted market.
If you collect information with the intention to improve the quality of your service your clients will certainly not have any problems giving you a piece of their minds.

You cannot get close to the consumer with aggregated data. Making one-to-one contact with a few clients will provide valuable, accurate data that cannot be matched by aggregated data.

If you do not have time to talk to your clients you better make time. You need to get rid of the “average” data and discover the real consumer. If you “make” time for your customers your customers will make more time for your business. In the process of communicating with your clients, your clients become part of the product development process. You will discover new segments and provide products and services that were actually developed by your clients.

Market segmentation – Less is more

Even with the technological advances and vast choice of media at our disposal, the possibility of effectively reaching “everyone” is nothing more than marketing utopia.
Small companies develop into large corporations because they realise that segmentation multiplies opportunities. They also realise that market segmentation is the most efficient and profitable means to better client service.

Unless you want to remain a small, run of the mill business you have to realise that you cannot be all things to all people all of the time. This is especially true in business. You simply do not have the time, energy and money to give every customer everything they want.

Through the process of market segmentation you will group clients together who have similar requirements or behaviour. Once you have set the criteria for your focus groups you can begin to tailor your products and services in a way that will appeal to your focus group, and therefore “attract” the clients you want.

The trick of segmentation is to have more than one market segment. In other words, you need more than one product or service with every product or service aimed at a specific segment of the market. The more segments you have, the more opportunities you will have.

As time goes by you will notice that new segments emerge. You will also notice that your existing segments are living organisms. They constantly change as a result of economic climate changes, advances in technology, political influence, fashion trends and a whole range of internal and external economic factors.

Start growing your business through successful market segmentation and claim a bigger piece of the pie.

Understanding the client buying cycle

There are client buying cycles with most products and services. It is important that you have a clear understanding of the client buying cycles, and to be able to identify where you "stand" with your client in order to implement the right sales strategy.

The buying cycle

Initiation point

The initiation point is the point in the client buying cycle where the client begins to think about whether or not to spend his or her money on a specific product or service. The client will become aware of the need to buy a new car, a pair of shoes, or whatever the need might be. This need within the client is not necessarily generated by an advertisement. It is an internal awareness of something that will need to be replaced or updated soon. The buying cycle has been initiated.

invisible development period

This is the point in the client buying cycle where the client starts noticing advertisements, different manufacturers or suppliers of the products and services he / she needs. The client begins to pay particular interest in articles published regarding the product or service. No sales people are currently aware of the client's intention to buy something. Sometimes a friend or family member of the client will let a salesman or woman know that the client is currently in the market to buy a specific product or service. The client is well into the buying cycle at this stage.

Visible development period

At this stage in the client buying cycle the client will start to ask questions about the particular product or service he / she is interested in. The client will ask friends, family and colleagues at work about the products and services in order to get more information to make a decision. The client is very close to buying at this stage.

Maximum visible development period

This is the point in the buying cycle where the client physically walks into a shop or showroom with the intention to purchase. A client who is at this point in the buying cycle is 80% sold. The salesperson will not need to make contact and persuade the client to buy. The client is ready and willing to buy, and a good relationship with the client is not a necessity. Clients who find themselves at the maximum visible development point not only wants to buy the product or service, they also have the ability and desire to do so.

Visible decline

The sale is done and the client goes into a visible decline. The client will still show an interest in the products and services that are available, but the client is happy with his purchase and shares his / her new found excitement with their friends, family and colleagues. Gradually the client's interest in their purchase will fade away as they loose interest in their new purchase.

Rejuvenation or rest period

This is a dormant stage in the client buying cycle. The client doesn't put anymore thought into the product or service he / she purchased. The client might identify a new need for a different product or service.

If you understand buying cycles, and know how to identify where the client is in the buying cycle you will know when to be talking to the client about buying.

Empowering your sales force

If you take a look at the various sales teams within an organisation you will find that there are teams that are not performing at all, and then there are those teams that are just flying. The difference between a sales team who flies and a sales team that falls is usually a result of the sales managers ability to lead, develop and inspire his or her people. The sales meeting is the heart of the driving force of your sales team. The most important thing about a sales meeting is that everyone walks out of that meeting, feeling that something valuable has come out if it. The following few tips will give you a good idea of what you can to make your sales meetings more exciting and productive:

1. Everyone gets a chance

I have read about it in many books, and I have seen it work in practice. Not only in my business, but also in my personal relationships with my friends and my marriage.
Treat someone as if they already reached their full potential, and you will help them become the best they can be. Appoint a different sales person to take charge of the sales meetings. As the sales manager you can cover a few topics and announcements, and then hand the meeting over to the appointed sales person responsible for leading the meeting.

2. A change is as good as a holiday

Some people might not realise it, but part of their frustration and depression at work can be ascribed to the monotonous, automated routines. Some people take a different route to work every once in a while just to break the "auto pilot syndrome".
The same principal applies for sales meetings, especially brain-storming meetings.
By changing the venue regularly you remove people from their pre-programmed routines and ways of thinking. You put them in a different environment, and in the process created a feeling of "we are not at work now" where everyone can give input and contribute to the meeting at hand. As a sales manager you will show the sales team that you really care, and that these meetings are in fact important to you. This Will be at least one meeting a month no one dares to miss.

3. Visit other sales meetings

As a sales manager you have many associates who also conduct sales meetings. With a little practise you might be able to convince one or two of them allow one of your sales people to attend their sales meeting. The main idea is to get ideas from other sale meeting you can use in your own meetings. It is easy to bring back a bag full of negative feedback. if this is the case you missed the point of the whole exercise. Bring back positive ideas you can use in your own sales meetings.

4. Quick tools and tips

At beginning of each sales meeting you should focus on one good "sales tool" or "skill of the week". By doing this you are constantly reinforcing winning principles.

5. "I shopped at the competition"

Get three or four of you sales people to pay a visit to your competitors once a month. To avoid any suspicion you need to rotate the sales people that visit the competition, or at least provide some incentive to strangers to pay a visit to them and give you feedback afterwards. The report or feedback should be focused on the "good things" about the competition. If you can't visit the competition physically you can use the telephone to make a few enquiries. Use the feedback to improve on your own services, and identify areas where you can take advantage of the information you collected.

6. "We got shopped"

As a sales manager you are in an authoritative position. You sales people will always perform their best in your presence, do and say things to impress you. Therefore, it could be a good idea to get someone once in a while to "shop" at your business. You could keep it a secret and not tell your staff about it, or you can "warn" you staff in advance, without telling them who it will be or when "the shopper" will be there.
As the sales manager you can also implement an incentive program for the sales team. The incentive will depend on the performance of one staff member. If "the shopper" feels that the staff member made the grade, everyone in the sales team will get the incentive. If that single staff member fails the test no one will get the incentive.

7. The client's opinion is very important

Get a client to attend one of your sales meeting once in a while. Ask the client for his or her input in the sales meeting. The focus should be on the client's experience, likes, dislikes, suggestions and opportunities he / she identifies.

8. Invite a valued guest

Make a list of valued people you sales people would like to listen to at your sales meetings. The list could include tax specialists, industrial psychologists, motivation speakers, your suppliers, etc. You can also focus on people who have no relevance to your core business. For example: you can invite celebrities, people who have exceptional knowledge and skill in another type of business, government officials, health officials, etc.

9. products and services quiz

Pick a product or service you would like to focus on and compile a list of relevant questions about it. You can then present the product or service to the sales people in the meeting and give them the questionnaire.
You can build an incentive for the level of knowledge about the product / service / concept, the customer's perspective of the product, industry knowledge, sales skills, value added tactics and strategies, etc.

10. Become a VIP

Make sure that you and your team take full advantage of upcoming events. Dress up and become a VIP. Go to business shows, conferences, exhibitions, sport events, entertainment events, book a sports box, go to a premier, etc.
Setup an events board and rotate the responsibility to keep it updated three months in advance.

10. Special days

Setup a board with special dates. These dates include everything from birthdays, wedding anniversaries, business anniversaries, valentines, Halloween, religious days, etc. It doesn't all have to be serious. Perhaps you can get creative and throw in a few of your own. Use this board the same as the VIP events board, and keep it updated at least three months in advance.

11. Brainstorm important topics

Brainstorm with your sales team on important topics they would like to see covered in the next 90 days and prioritize them.
Start your brainstorming tradition with a meeting on setting rules and objectives for meetings. It is always a good idea to have a 'code of conduct for meetings" everyone agrees on. Print a poster and put it on the wall. You can always refer back to the poster to keep your meetings on track.

Gain market share at the bottom of the economic cycle

There is no better time to gain market share than when we are at the bottom of the economic cycle. When I tell this to business owners the first reaction I get is a frown or a twitch. After I explained my statement the frowns quickly turn into smiles of hope.

If you look at your competitors and other fellow businessmen you will find that most of them are negative, demotivated, immobile, depressed, withdrawn, unsure and often in a state of panic.
It is easier to outperform your competitors when they are down and out.

Following is a list of a few things you can do to gain market share during economic down-time:

• Get rid of the excess. Be keen on what you spend your money on and get rid of the extra weight that drags you down in tougher times.


• Get focused on a target group. Cut your marketing costs and focus very strongly on specific segments of you target market.


• Increase your contact frequency. Make more calls an spend more time developing your existing clients (especially the A-list clients).


• Get training. Read books, listen to recordings of successful business coaches and owners and go to exhibitions and seminars. Do everything, read everything and listen to everything you can find in order to get your attitude and skills level up to standard.


• Take some vitamins and exercise regularly. This is a sure way to keep your physical and mental energy levels up.


• Associate yourself with positive, successful, motivated and upbeat people.


• Be more creative in your inventions, and be more aggressive in providing excellent customer service.


• Project a positive attitude and make sure that you have a powerful personal marketing agenda to "be seen".

Capitalising on economic cycles

You have the skill, but do you have the boldness to move ahead in a turbulent economy?

There are not many things in life that causes more uncertainty than a global recession. If you have been running your own business for a while you will certainly be aware of the fact that business, in general, consists of many ups and downs.
Although a global recession hits the hardest, because a large group is affected by it, businesses in general are exposed to constant economic cycles.
Whether it is in your industry alone, in the town or city you are operating in, or in your personal finances. There are many "cycles within cycles" that cause constant turbulence, and in the process puts the skill and boldness of every businessman to the test.

My next collection of posts will focus mainly on economic cycles, understanding them better, taking charge of your own economy, how to gain market share in down times, and how to manage your sales team in turbulent times.

You will discover from this series of posts that it is not all related to skill alone, but how bold you are in taking chances, and turning risky situations into viable business opportunities.

Some food for thought: There is nothing wrong to go after a project that you are ready for as long as you have the resources to pull it together and get the job done. If you won't take the chance, who will? In turbulent times everyone is waiting for leaders, entrepreneurs and innovative people to introduce new opportunities that will open the doors to new found wealth.

Understanding economic cycles

By definition and experience I believe that most people around the world are by now familiar with the term global recession. What I also assume is that many people heard about the recession, doesn’t really know what it means and therefore looses sleep over something of which they almost certainly have no control.
I am in no way trying to tell you that you should not be concerned about economic cycles. On the contrary, I think it is very important that you are well aware of the global economic cycle and how it will affect you and your business. It is also just as important to know how the economic conditions will not affect you or your business.
It is due to the constant CHANGE in the economy that most people feel uncomfortable, insecure and afraid. If you know how economic cycles work you will understand it better, and hopefully feel better about it. It is normally not the concept of economic cycles that scares people. It is the fear of the unknown and unpredictability of the economy, especially during a recession that causes people to loose vision and hope.

By equipping yourself with knowledge and skills regarding the economic cycles you will enable yourself to ride the waves of even the stormiest economies.
The good news for those who are currently finding themselves at the bottom of the economic cycle is that the cycle is at the bottom, and if it is not already going upwards, it will soon start go better.

Although I have strong interest in the science of economy, I will not attempt to give you a lecture in economy. I am simply going to give you a glimpse of the signs of times during the various stages of the economic cycle.

If we consider the economic cycles and how it applies to everyone today we can identify the following behaviour during the economic cycle:

At the top and going down – We are flying

At the top of an economic cycle society buys and spends at enormous rates. People are overbought and you will see newspaper headlines talking about consumer debt to income ratios that are increasing. Society is over-optimistic and life is just great.
It is a brilliant idea to keep track of these ratios to help you keep track of where you currently are in your economic cycle.

At some stage during the top of the economic cycle you will find that a spending becomes saturated. Society becomes so overbought that they either won’t buy, can’t buy, or simply don’t need to buy anymore.

When people are spending too much and rely primarily on credit to do so, you will find that it is usually the banks that make the first move in cutting off access to credit.
People find themselves in a position where the cash dries up, it becomes nearly impossible to get access to credit and there are talks of rising interest rates on the horizon.

Consumers start to show some concern and start to cut back on spending. Businesses respond to this reduction in spending by reducing production and getting rid of excess stock in their warehouses. Prices begin to slip as companies try to get rid of their inventory, and the “buy one get one free” turns into “buy a car and get a year’s fuel supply for free”. The Services sector has inventory in the form of people, and layoffs begin in order to reduce inventory. Once the layoffs begin we are crossing over into the bottom of the economic cycle.

At the bottom where we feel the heat – life is terrible.

As the layoffs begin people start to show more concern, and those who lost their jobs are in a state of panic. Those who lost their jobs can’t spend anymore. Those who have not lost their jobs also stop spending out of concern that they might be next.
Many of the people who didn’t lose their jobs have to settle for a reduction in their salaries. Car payments and mortgages fall behind. The banks shift their focus away from mortgage originators and start looking for auctioneers to get rid of the properties in possession. Panic sets in as stock markets loose track. Financial indicators has no loyalty to hang on to. Crude oil prices drop significantly and everyone hopes that it won’t get any worse than this. Life is miserable, governments are corrupted, unemployment is at a new record high, and somehow the minister of education hopes for better exam results this year.
There are many economists who reckon that there is more money in the average person’s bank account at the bottom of the economic cycle than there is at the top. This is due to the tendency to save or hold back during tougher times. It is rather the consumer’s confidence that disappears than the cash itself.

The time has come to move in for the kill for those who have learnt to read the signs and exploit the opportunities of a down economy. Employment can be found at low rates as people are desperately looking for work. Property prices are down and everywhere you look there are “for sale” signs. Businesses who are familiar with the economic cycles will now move in to gain market share, and smart money starts to shift around.

Small positive stories begin to surface. There are signs of people beginning to buy again. There is some hiring taking place. Confidence is beginning to look a little bit better. Some more hiring takes place, buying increases and confidence levels begin to rise. We are moving up to the top again.

Crossing over and moving up – Life isn’t that bad after all

We are moving up again. What have learnt from all this suffering?
That it is good to save during good times, so that we have some reserve (smart money) during the tougher times.

Unfortunately life doesn’t work like that. Most people will soon forget about the heartache, concern and panic. As we move upwards, buying increases, prices of goods and services start to rise, salaries increase and society begins to build and improve on their dreams. Large investments and new projects begin as investors realise that the upward trend is for real. Auctioneers are looking at alternative income options while developers, real estate agencies and mortgage brokers begin to rise up from the grave.

More positive news hits the streets and people realise that life isn’t that bad after all.
There is some concern about rising prices, the stock markets are booming, you now have two cell phones and wonder how you ever managed with only one. Business is booming and we are flying. Let’s hire more people…

No economy can stay down. It will rise again. The question you should be asking yourself is this:
What can you do to benefit from the downswing in your economy?

9 trust-gaining strategies (Part 3 / 3)

This is the final part of the series containing trust-building strategies. I hope that these strategies will help you to develop the skills required to both trust others and getting other people to trust you in return.

7. Be sensitive to others' needs

It is important to realise that you might not be the only person who works hard, get tired and experience the everyday pressures. There are people around you who also go through these emotions and experiences. I am not asking you to pity those around you, but I can assure you that everyone, including yourself, needs some understanding and sympathy from time to time.
To in order to establish strong trust you have to show awareness of, and sensitivity to the needs of the people you work with, do business with, and those you share your life with.
Relate to others in their circumstances, not yours, and you will experience reciprocal understanding for the things you are going through and experiencing.

8. Respect the opinions of others

Two people are staring at moon. The one can see the moon clearly without any obstacles that could ruin the view. The other person is looking at the very same moon, but through the leaves of a tree, slightly obscuring the view.
Both of these people are looking at the same moon, only from different perspectives.
You have to learn to respect other people's views and opinions. The main focus here is to show respect and to cultivate an attitude of diversity.
Don't allow your low self-esteem to diffuse other people's creativity, ideas, perceptions and opinions. Form your opinions about other people by spending time with them and getting to know them better. It is impossible to make objective decisions about someone based on some gossip you heard.

9. Empower people to take action

Everyone knows the age-old saying: "You can bring a horse to the water, but you can't make it drink". The logic behind this is that people have to empower themselves to act. You can assist them to take action by providing an environment where it is all right to make mistakes, to take risks and complete what you have started. If people do not experience the freedom to act, the will not be able to empower themselves to take action. It is ok to trust your senses, but keep an eye on your brain. A world without trust is a world full of lawyers and prosecutors. All control-freaks loose control sooner or later, and often find themselves in an empty world where there is no trust.

9 trust-gaining strategies (Part2 / 3)

Yesterday I published the first of three entries that focus on strategies that gain trust. Today I continue with the next three strategies that I consider to be important in order to gain trust. I realise that the things that are important to me might not be important to you, but I sincerely hope and believe that you will find at least one strategy that "speaks" to you.

4. Show some loyalty to everyone

Loyalty reaches beyond, but not excluding, your colleagues and clients. It goes back to the roots of family life, and in a sense refers to the glue that keeps family together. We often laugh at the idea that we can not choose family, and that family stick together no matter how big the fight or the mess you made.

The reality is that fights will occur. Disagreements are something we can not avoid. They will cross your path for certain. The important thing to remember here is that you have to keep the fight inside the team (family). You don't put your problems, differences and dirty laundry out on display for all to see.
Show some loyalty. We are often presented with the opportunity to agree with someone about a fellow-worker or team member's distorted ways. When was the last time you defended another person who couldn't defend him / herself in his / her absence?

Bad-mouthing someone behind their back will cause the person you are talking about to find out about it, and they will certainly not trust you. The person you are sharing the conversation with will also doubt you, because the assumption will be made that you probably bad-mouth everyone behind their backs. Show some loyalty and stick up for fellow-workers, friends and family.

5. Take responsibility

How often do we point fingers when something goes wrong? Pointing fingers destroys trust. By taking responsibility for things, even if you are not a manager or team leader, builds trust and loyalty. It brings down the walls of crossed arms that point fingers in all direction. Perhaps this is one of the main reasons that governments across the world is no longer trusted.
Who will be willing and able to exercise their right to speak freely and share new ideas if there is a ton of bricks that will come down on them when they open their mouths?
Be a stand up and accountable person. You will gain much more trust if you have an attitude that says "this is our mistake. Lets learn from it and move on".

6. Give credit to others

"Nothing is ever yours until you give it away" - Albert Einstein

In most things I accomplish there are more people involved than just myself. It only makes sense to me to be generous with what you have done. Yes, maybe it was your idea to do it in the first place, but it involved other people. People who made it possible to realise your dream, concept or idea.
By scooping up all the credit you have accomplished to loose people's trust in you. If you have sincerely shared the credit with everyone who stood by you, and made it possible to accomplish your goals, you have cultivated trust.

The gain in trust lies not only in your ability to give sincere credit to others, but also in your ability to share. Don't take credit that belongs to someone else. Take credit only for the things you have actually done, and share the spotlight with others. There is nothing more aggravating than to see how someone else takes the trophy for the work you have done.

9 trust-gaining strategies (Part1 / 3)

Trust is something that is gained through hard work over a long period of time. It can be broken in a wink of an eye, and broken trust will leave you on a long and lonely road to recovery. It is therefore best to keep trust in tact, and not allow it to be broken.
Most of us is far from perfect, and at some stage in our lives we will be guilty of breaking someones trust. When you find yourself guilty of breaking someones trust you have to acknowledge your mistake, explain it, apologise and pledge to do everything in your power to prevent it from happening ever again.
I have put together 9 strategies to gain trust, and divided it up into 3 parts. These 9 strategies represent the building blocks and requirements for building trust:

1. Have clear goals

Always be clear on where you are going and you will not be overwhelmed by confusion. If the people around you can not clearly identify what your goal and purpose is they are most likely going to doubt you and find it difficult to trust you.
Without a clear vision and set of goals you will leave those around you disillusioned and bewildered.

2. Become an honest, fair and willing listener

This is an interesting concept that helps you to gain trust in other people. If you are open, willing and honest when you listen to someone else, you are more likely to trust the person talking to you.
It is a scientific fact that your attitude towards someone else is reflected back to you through their attitude towards you. People mirror the emotions sent out to them, and it is therefore important that you do your best to trust someone else first.
If you do not trust someone else, there is a strong possibility that you are also not trusted.
Encourage people to discuss their concerns with you, and make sure that your door is always open to people who need to talk to you.
Share your knowledge and keep clear of power-play. People in general, especially the new generation is known for their lack of trust in authoritative figures.
Powerful, intelligent people in authoritative positions can cause those around them to feel insecure and inferior. To gain trust you need to loosen your grip of power and start to listen with an honest, willing and fair hart.

3. Stop being so indecisive

Making decisions without a clear course of action on how you are gong to execute these decisions is very frustrating draining on those around you.
I am a firm believer that it is better to do something than doing nothing. It is therefore better to make bad decisions with a clear course of action than to make no decisions at all. If you want to gain trust you should stop being so indecisive. Make decisions and execute them.