The semi-professional blog of Albert Ciuksza Jr.

Author: Albert Ciuksza (Page 6 of 8)

Can Premium Save Print?

Post-Gazette's Hope

Post-Gazette's Hope

Since at least 1996, I have been reading news sources online, usually the New York Times for general news and the Post-Gazette for Pittsburgh-related news (especially for Pittsburgh sports coverage, which wasn’t easy to get in Texas). In a span of 14 years, I’ve spent countless hours reading content online (either through a standard browser or my Blackberry), giving only my passive attention to ads. In that time, I can likely count on two hands the number of times I’ve purchased a newspaper, usually because a friend was in it or there was a major event that warranted saving the print edition. The stats — 14 years and 10 papers. In other words, I’m exactly the example of why there are so many challenges in the newspaper industry.

Pittsburgh<br /> Baseball Club

As a member of the painfully masochistic group known as Pirates fans, I read the various articles about the team published in the Post-Gazette. I’m a particular fan of Dejan Kovacevic, the Penguins-turned-Pirates beat writer for the P-G, and I enjoyed his PBC Blog when it was hosted at the main site. I was also thankful that his blog remained membership-free even as other blogs and sports insights moved to the recently-launched PG+, a paid ($3.99/mo) site that has more in-depth coverage and interactive conversation than the main newspaper. However, I knew it was only a matter of time that his daily insights would be moved behind the firewall and I’d likely limit my reading to what information was freely available.

The announcement that the blog would be moved to PG+ was made in April and finalized in early May. In the process, something made me decide to give the paid site a shot, so I ponied up the $3.99 to test it out for the month. Not only have I read Dejan’s work, but the other blogs that run the gamut from sports to local politics as well. I’ve found value in it and will likely subscribe for the year ($2.99 if you pre-pay for 12 months).

From my experience, the so-called ‘freemium’ model seems to be working for the P-G. Why? Because there’s genuine value to the experience. While superficial sports coverage and local news can be had easily and for free, the type of in-depth information that their paid site provides is well-worth the $4/month. In addition, I’m beginning to feel a sense of responsibility to the newspaper industry — like public radio, I know that these media are needed in a strong, well-informed democratic society (an interesting article suggested anecdotal evidence that the decline of the newspaper industry is having some impact on campaigns). While I think as much information as possible should be free, I have come to terms with the fact that I need to contribute my share.

Like my earlier “buy me a beer” post, the $4 seems like a bargain for the type of information I get. So, will premium save print? Is there enough truly premium content out there for newspapers to get people to buy? At what point does the industry go the Detroit Free Press route and focus more on their online presence than their print edition? And, based upon the low tolerance for paid information online, what price makes it profitable enough for newspapers to give us the kind of important information we need?

Sephora is One Scary Place

Scarier than the boogeyman

Scarier than the boogeyman

I love the National Geographic Channel and its focus on wildlife. For some reason, I’m particularly drawn to how different species choose mates and the lengths to which they will go, from the plumes of feathers on a peacock to the amount of light a firefly will use to attract the opposite sex. I’m even more fascinated by the sheer number of similarities between us humans and the animal kingdom.

On a recent trip to Ross Park Mall, a female friend dragged me into Sephora for a time she described as “quickly”, which made me realize that the she might not know the definition of the term. While initially nerve-wracking, I decided to make this my own personal National Geographic special, using the experience to analyze how products were packaged and displayed, how lower-end products compared to premium products and what design theories were used to appeal to women. While I started in an area with a bunch of boxes and bottles, I ended up in a section with various items that resembled miniature lawn equipment, much of which made me realize that I am much less likely to injure myself using a table saw than an eyelash curler (Really? An Eyelash Curler? That’s necessary why?).

The entire experience went from fascinating to traumatizing when I came upon a box with this grooming machine that included three different attachments. I looked at the first one, which looked much like the trimmer you’d find on the back of an electric razor — that’s not so bad. Next down was a tool that looked just like an electric razor with little holes to cut hair — that was just a mini Norelco razor. Finally, I got to this dangerous shark-toothed looking thing. I looked at it, tilted my head like a beagle hearing a harmonica for the first time, and tried to figure out what the hell an “epilator” was. Then it hit me. Completely by reaction, I hunched over a little bit and protected certain areas of my anatomy, subconsciously afraid that the damn thing would jump out of and attack my nether regions. I also made a very loud oomph/ouch sound, causing my friend and two sales associated to run over to make sure I was ok. They found me standing there, completely blown away that anyone would use such a disturbing device. While they were laughing, I was still in shock. I believe I’m now one of the first diagnosed cases of epilatorphobia.

The lesson learned, beyond the fact that I will never feel entirely safe being in the same room as that devil machine, is that men and women really do have completely different shopping experiences and expectations. There was a shocking amount of white used in graphic design, as well as pastels (compared to the blues/browns/darker neutrals found in men’s products). I also saw a loose correlation between product shape and price — the more unique and feminine the shape of the bottle, the higher premium on the product. Another observation involved typography — while men’s products usually feature bold/black fonts, most of the products in Sephora used type that was thin or ultra-thin. Finally, I realized the motivation women have to achieve beauty is beyond what I had ever expected before (I’m an only child with a decidedly non-girly mom who has usually dated women who could get ready in 20 minutes or less). The point? For this category of woman, appeal to the need to be beautiful, make the packaging as much of an experience as possible, market the product in a way that it feels luxurious and price it such that the product feels rare (now with “hydrokryptocyanide!”) rather than eerily similar to what is in a Suave bottle in Giant Eagle. While it is a very crowded market, there seems to be a niche for a multitude of similar products — invoke those feelings of beauty and exclusivity, and you’ll carve out a niche.

Hey Man, Just Buy Me a Beer

Like it? Buy me a beer!

Like it? Buy me a beer!

My Blackberry and I are usually inseparable, like a boy and his dog, though I’m not quite a boy and I don’t have to feed or clean up after my phone (training it is another story). For whatever reason, I’ve been losing it recently, leaving my BB Tour in places that were frustratingly difficult to remember. In a fit of frustration last night, I did a quick Google search and found WheresMyCellPhone.com, a website that rings your cell phone until you find it. It worked like a charm and I was quickly calmed (in case you were wondering, it was found behind a seat cushion on the couch).

When I returned to my computer , I saw the little message in the middle of the screen where the guy asked for a beer in return for building a useful tool. He didn’t want a donation or a hand out, just a little show of thanks that any beer-loving person would want. If I lost my phone in a bar and this guy found it, I’d absolutely buy him a beer right then and there. Why not now? A few clicks later, my beer was sent to him via PayPal.

I thought this was a fantastic way of getting people to voluntarily pay for a free service. I read a lot of different publications every day and rarely click on an ad link, so I know I’m not one of those valuable pair of eyeballs so often touted by websites that aim to be ad-supported. But what if my favorite author, blogger or sportswriter asked me to buy him or her a beer? Absolutely. That’s a reward (pricing structure) that makes sense to me, and I’d jump at the chance. In beer culture, there’s no greater compliment.

Chegg and the Art of the Freebie

Free Prize Inside!

Free Prize Inside!

If you’ve not heard of Chegg (you probably haven’t unless you’re in school), it is a pioneer in textbooks, enabling students to rent their books for a period of time, usually a semester, at a fraction of the cost of buying. They make the process ridiculously simple and shipping both ways is free. They even plant a tree in your name, allowing you to choose one of three locations. In my three semesters in grad school, I’ve gone to the Chegg site, found my books, entered in my credit card info, and had them two days later.

What separates Chegg? A slap bracelet and a beer coozie.

You see, my second shipment came with a Chegg.com slap bracelet, a fun little toy that took me back to middle school when we were buying them in all sorts of colors and prints until a few kids ruined the fun by injuring themselves, leading to bans in schools across the country. It was a great surprise and totally unexpected, something along the lines of getting a toy in the bottom of a Cap’n Crunch box. I thought it a great example of creating value for the customer inexpensively (large quantities are about $.50/each) by bringing a little fun to what would otherwise be considered a run-of-the-mill online purchase. And the beer coozie? That was in my summer term’s box o’ books.

What’s the result? I’ve told my fellow B-School friends about Chegg and I’ve given them a few shout-outs on Twitter. And now I’m writing about their great service and little surprises on my blog. At roughly $.50 an order, they’ve secured a customer (me) that will likely use their service for the rest of my graduate studies and earned a whole lot of word-of-mouth. Any marketing exec would love to have that kind of ROI.

Thoughts on Trust

Trust model stolen from<br /> Paul English<br /> (http://paulenglish.com/trust.html)

Trust model stolen from Paul English

In my forever-ago last post, I talked about personal branding and reputation, but realized that I might have missed the point. In all the conversations taking place online, from marketing, ‘personal branding’ and credibility to religion and politics, trust seems to be at the core of what everyone is talking about. How do we build trust? How do we keep people from thinking us untrustworthy? Who deserves our trust in the first place?

A friend and I were having a couple of beers post-finals and got to the question of trust. We came to the conclusion that trust is in crisis: the Catholic Church is waging a battle for survival as a result of a sexual abuse scandal that might point to the Pope himself; a movement of vocal activists are declaring their distrust of government, accusing it of attempting to become a socialist state; and banks are being charged with fraud for purposefully selling investors funds that were specifically designed to fail.

This wouldn’t be such an issue except that we’re built to trust, we need to trust. We don’t have the energy to evaluate all of the things in our life every day, so we find those cornerstones that we can lean on. When those things crumble, we have to find something new. We’re now forced to evaluate everything in our lives for trustworthiness and are incredibly quick to pull the trigger on the least hint that it is being violated. This isn’t healthy but we’ve been given little other choice.

This article by Pete Blackshaw in Advertising Age speaks well to the current challenges facing marketers attempting to build trust. He mentions the study showing that peer-to-peer trust is down significantly as a chilling reminder that we’re not even trusting our friends’ opinions anymore. And why should we — a recent study that I can’t seem to track down concluded that Gen Yers work very hard to manage their online presence to show their ideal selves (pictures attending parties vs. winning 1st place at math camp). Perhaps the best point he makes is that we have many more questions than answers.

My personal theory on trust was well summarized by Dave Popelka from Mullen Advertising, who wrote a great article about striving to be good rather than the best. He talks about the challenges and pitfalls of measuring your business (or, as I think about it, yourself) against others and suggests that shooting for “good” is the best approach. In my world, this means being good, being consistent and doing as much as possible to avoid our human tendency to pass blame to others when I’ve failed.

Overall, I see trust as an incredibly personal thing. Attempting to manipulate people’s perceptions of you lowers that trust, makes the relationship (be it you or your products) superficial and renders already fragile brand loyalty null and void. However, I still don’t see this as an answer, but rather the beginning of a series of questions that helps us to figure out what trust means to us and how we allocate it to the people, companies and brands we interact with.

“Personal Branding” Makes You Look Like a Jerk

Look at me, I even have my own logo on my hat!

Look at me, I even have
a T-Dub logo on my hat!

Personal branding is about marketing and marketing is about positioning and promotion. As someone who loves the art and science of marketing, I’ve seen how effective the right mix of tools can get people to buy. But, does marketing/branding work when you’re talking about people?

As Seth Godin says, all marketers are liars. And, while this type of approach might work for an athlete, it’s rare that a squeaky-clean branded image of a person is remotely close to who they really are. Branding a human being like you would a product or company is an inauthentic and an incredibly sad and cynical way of looking at how you approach people. It might be worth it when you’re a billionaire and making your living on a false impression of who you are, but for the rest of us normals it looks inauthentic.

The most obvious recent example is Tiger Woods. Pre-Thanksgiving ’09, Tiger Woods was the representation of mental toughness and success. Companies closely aligned with his personal brand and based their entire brands on this one man (see Accenture).  What happened? He wrecked his car, a harem of women came forward telling the world about their sexual exploits with the guy, his wife almost divorced him, Accenture treated him like kryptonite and he hasn’t played on the PGA Tour since.

When I was younger, my now hall-of-fame uncle pulled me aside and gave me some advice. He asked if I had ever heard him talk about his basketball career/talent. I thought about it for a bit and realized that I hadn’t. He said, “Exactly. Other people talk about it. Be good enough that other people talk about you. When you talk about how good you are, you sound like an asshole and people start rooting for your failure. Don’t be an asshole.”

My uncle was talking about reputation. What’s the difference between personal branding and reputation? Think of this vacuum from Hoover. Hoover has a well-known, positive brand. Yay marketing! But wait, the reviews (reputation) say that this vacuum [ahem] sucks. It doesn’t matter how much Hoover says about itself, those people who gave the vacuum a one or two are going to think their products are crap. The spin doesn’t matter.

Do you want people to respect you, see you as competent, know you for your integrity and develop the type of relationships that are going to help you further your career? Then worry about your reputation, not your brand. Do great work. Help people connect with each other unselfishly. If you’re involved in social media, provide genuine value to others in the best way you know how. Work hard for your clients. Let others talk about how good you are. Mostly, stop being a self-promotion machine. It makes you look like an asshole and it undermines your ultimate goal.

Budweiser = Innovation? You’re Kidding, Right?

bud

Does this look like innovation to you?

The Business Insider published an article on February 11th entitled “What Budweiser Can Teach You About Innovation“. This was based on blog post from the Harvard Business Review entitled “Four Innovation Lessons from Anheuser-Busch“. Based upon a talk given by the global director of innovation at Anheuser-Busch Inbev, the two wrote about lessons that A-B can teach us about innovation. While the four bullet points were perfectly fine  (explain strategic objectives in simple terms, have defined types of innovation strategies, have a clear but robust innovation process and draw insight from non-obvious places), the suggestion that A-B is innovative in its product development is absolute bullshit.

A movie that was recently released called Beer Wars that exposed the battles fought in the beer industry (written, produced and directed by Anat Baron, former head of Mike’s Hard Lemonade), showing that A-B is both heavy-handed and rips off ideas from some of the true greats in beer (Dogfish Head, and Yuengling, for instance). In one scene, Sam, the owner of Dogfish Head, shows a bizarre and unsubstantiated cease and desist order from A-B for Dogfish’s use of “Punkin'” in the name of one of its brews. Since when did strong-arm litigation = innovation?

The following quote from the HBR article illustrates the ridiculousness of the contrast between the big brewers and those who are truly passionate about the craft:

Its strategic objectives are to increase SOB (share of beer) and SOT (share of throat). It can achieve these objectives by getting consumers to switch to its products, consume its products in new locations, or attract new consumers.

Wait, what? They have metrics like “share of throat”, a term that entertains my inner 12-year-old? They don’t simply look at ways to deliver better beer to the customer? No, they don’t. They make boring, bland beers and acquire brands that have strength in the market and a loyal following (see how they destroyed the Rolling Rock brand, a particular insult as a former resident of Latrobe, PA). That’s not innovation, that’s a recipe for market domination that is focused on shareholder value. As a business, it’s a fantastic strategy, but it should not be confused with innovation.

I’m a homebrewer and enjoy a lot of different types of beer. I’m a fan of microbrews and strange and innovative beers. I frequent local microbreweries (East End Brewing Company is a great example of innovation in beer-making) and enjoy great beer-focused Pittsburgh establishments such as Sharp Edge, Bocktown Beer & Grill and Fat Head’s. I’ve had some pretty amazing, innovative beers from brewers who are willing to take risks. A-B isn’t remotely on this list. It’s insulting to beer drinkers to suggest that A-B is innovative. It’s not innovative — it bullies its suppliers, spends amazing amounts of money keeping a regulatory system in place that does not benefit the customer and actually reduces innovation, and pursues a strategy whereby it steals innovative ideas from the market and pushes out the competition.

HBR, you’re better than this. You’re better than to swallow the propaganda of the largest brewing company in the world. Keep talking innovation, but find the right players. In beer parlance, A-B is all foam, no beer.

Good Bartenders Teach the Art of Building Rapport

Learn from This Guy. He's better than you at it.

Learn from This Guy.
He understands people
better than you do.

Steve Blank is a damn good entrepreneur. He writes a very interesting blog and seems to be a great guy. He also points out a common entrepreneurial challenge in a recent post that I’ll paraphrase — a lot of engineers start companies, and those founders often really suck at the relationship part of building a business.

I’m a salesman at heart (you build these skills when the Cub Scouts force you to sell popcorn door-to-door when you’re 9 years old), but early on in my career, I sucked at the relationship part too. I’d try to impress people with whiz-bang knowledge, not realizing that I had to build rapport before I could get someone to be interested in my ideas. It’s actually a classic marketing mistake — If they like you, they’ll likely buy from you.

Then I hit drinking age.

I was so impressed by bartenders who could control a room and engage people they didn’t know, especially the folks who weren’t regulars. I realized they had something about them, some sort of skill that I just didn’t have. Maybe because there was alcohol involved, or maybe it was because a lot of people just wanted to have a good time and not worry about whatever crappy stuff they were dealing with in their own lives. Regardless, a good bartender could get anyone going.

So, I watched how they worked and figured a few things out. For those of us where the rapport stuff doesn’t come naturally, here’s the overused bulleted list in a blog:

  • It’s all about the customer — Bartenders make the customer the center of attention. They ask where you live, what you do, how your day was. They greet you with some generic-but-informal name (buddy, chief, whatever). You’re the most important person to them at that moment, and it feels awesome.
  • They’re warm — There’s nothing like being in the presence of someone who’s genuinely warm and welcoming. EVERYONE wants to be Norm from Cheers, because it feels good to be known. The masters make you feel like that, even if you’ve never been there.
  • They give valuable freebies — There’s nothing that can make you feel special like a beer on the house. To add a little drama, a great bartender will use a glass or some other token as a reminder that you’re due when you finished your last drink. It’s like there’s a little unspoken communication between you two, and that builds a hell of a lot of goodwill.
  • They bring people together — They can’t be in two places at once and there are a lot of other people that have to be served. A great bartender makes connections between people so that the attention isn’t always on them. It’s a little bit of sleight of hand, and you never know the difference. Plus, you never know who you’re going to meet.
  • They know how to have fun — It’s all about feeling good, and great bartenders focus on having fun. They’re not talking about the technical aspects of making a perfect margarita or the new electronic system that only lets them pour exactly 16oz pints. They just make you feel relaxed and at ease.
  • They remember the details — If you’re there more than once, they remember your name and what you do. They bring it up the next time they see you. They ask about the kids or what the daily grind is as a (enter your title here). You know that they paid attention.
  • They know how to get your money — Maybe it’s just some great conversation or the extra beer, but you feel compelled to leave a few bucks more for the great bartender. You feel like they deserve it. And you do it voluntarily.

You can get a drink anywhere and great bartenders know this. So, they make up the difference in service and it works. You go back to that place. You have conversations that make you feel good at the end of the night. You tip enough to be surprised by what you left the next morning. In short, you do exactly what you’d love your customers to do. You want them to like you, to refer you, to give you their money voluntarily. You want them to love your level of service and tell people about it. You want them to realize that, even if there might be other solutions out there, you’re bringing a level of game that no one else can match. Perhaps most importantly for any start-up, you want them to like you enough so that when there’s the inevitable hiccup, they’re more forgiving and understanding.

If you really want to understand how to build the relationships you need to succeed, skip the Dale Carnegie books and spend $20 at your local bar. You’ll learn more and have a lot more fun doing it.

Heinz Proves That it is Good to be the King

Heinz Packet

New Heinz Ketchup Packet

After years of watching people fumble with the little packets tossed in fast food to-go, Heinz announced yesterday that it has invented a new packet with three times more ketchup that can be opened for dunking or squeezed onto a hot dog bun. Really? After more than 50 years (the original patent for the ketchup packet was issued in 1955) and years of customers cursing the design, the company FINALLY came up with something better. It made me realize that, while there might be start-up companies that can supplant technologies, there are still industries that have market leaders with legit competition.

This reminded me of the story of Alcoa, the multinational aluminum conglomerate, and the Fridge Pack. As one of the largest providers of aluminum to the world, it obviously sees the soft drink market as important to it’s success. In 1999, the company saw that cans were sort of hard to keep in your refrigerator, as evidenced by all of the “can storage” as-seen-on-TV items in the early 90’s. So, the company decided to rethink the way cans were sold and stored, and invented the 12-can fridge pack. Stacked 6×2 (as opposed to 3×4 or in 6-packs with the soft plastic carriers), people learned to just throw the box in the fridge and forget about it.

I think the Heinz example is reinforced by a Malcom Gladwell article about ketchup. In the article, he talks about how there are a gazillion different mustards, but really only one (Heinz) ketchup. Despite many attempts to make the “Grey Poupon” of ketchup, none of them have succeeded. People like Heinz and, according to taste tests, pretty much consider it perfect.

So, what does this mean? First, it’s pretty awesome to be considered an irreplaceable product. Heinz has no legitimate threat and, as a result, no need to push the envelope too hard with respect to ketchup innovation (purple ketchup, anyone??). Second, you have to be able to anticipate your weaknesses/threats and gauge whether or not to do something about it. In the Heinz case, there might have been a consumer demand for a new packet, but the threat wasn’t such that it made a change a top priority. For Alcoa, not making an adjustment could mean a shift of consumer behavior to other soft drink containers (could prove disastrous for the company).

Companies always need to be on the lookout and figure out if they’re in a Heinz position or an Alcoa position. If the former, it’s really not worth spending the money on R&D when you could be dedicating resources to other, more profitable projects (Heinz’s restaurant squeeze bottles are a good example). If you’re Alcoa, you have to be able to recognize if there’s a threat to your business and, if so, you might need to innovate on the margins of your core offering to shore up your relevance in the market. In the end, you have to listen to the customer and do the strategic math. If your customers are willing to put up with your inadequacies, good for you! If not, get working on a solution before it’s too late.

Buy YourName.com

I was thinking about all of this personal branding stuff that seems to be the rage at the moment, and while I agree that it is important to have people perceive you a certain way, doing so in an overly self-promotional, inauthentic way is a quick road to having your personal brand = jackass. I have a few examples of this (I won’t mention names for fear of starting an online battle), but I think we all can identify at least one person who’s way too into networking/trying to present themselves in the exact right way.  You hate them, I hate them.

All of that being said, if you want to stand out from the crowd in a job search, or you simply want to protect your good name, it’s a good idea to buy yourname.com. For many folks, this isn’t easy — most common names are long gone, but there are enough other top-level domains (the thing that comes after the last “dot”, like .com, .net, .org, .name or .me) at this point that you just might be able to snag SOMETHING. Obviously, the .com is preferable, but you might not have a choice.

A recent, prominent example of name hijacking is the Pete Hoekstra case. For those who don’t closely follow politics, he is a U.S. Congressman who, shockingly, didn’t register his name, petehoekstra.com. As a result, an individual who opposes his agenda purchased the name and set up a site that carefully details opposition to Mr. Hoekstra’s views.  Not exactly a confidence-builder for his  constituents and certainly embarrassing if he wants to suggest that he’s technologically savvy.

There are some other advantages to buying a your name as a domain name. For instance, I purchased my last name as a domain name several years ago (it wasn’t all that surprising that ciuksza.com was available), and I’ve used albert@ciuksza.com for years. I’ve been told that using this email address demonstrated an understanding of technology, which was a considerable positive in a few situations.  I would also contend that posting your resume online (and giving that domain name in your cover letters) helps you to stand out from your competition.

At this point, there’s not much of an excuse. Setting up an account at GoDaddy.com is free and easy (my preferred registrar despite their irritating commercials) and with coupon codes easily found if you search for “godaddy coupons”, you can get your domain name for under $8/year (cjc749fat is valid through the end of February).

You don’t have to be insane about your personal brand to justify buying your name.  However, if you want a competitive edge in a tough climate, or just want the novelty of seeing your name as a .com, I’d suggest you make the slight investment to do it.

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