MarketingBeyond

New Mobile Internet Marketing & Advertising Site Launches

IM-Mobile is a mobile Internet marketing and advertising site. The world is quickly turning from desktop--even laptop--computers to mobile phones for information and entertainment.

Many sophisticated applications written for smartphones are available now and the market for mobile applications is growing rapidly. Likewise, companies, large and small, are launching dot mobi websites that bring content-rich Internet experiences to smartphone users.

IM-Mobile focuses on these developments in mobile technology from a marketing and advertising perspective. How can mobile publishers monetize their websites and blogs? Which  marketing strategies work best for advertisers to reach target audiences? How do marketers create conversations and connectedness among mobile users?

IM-Mobile is not only a blog; you'll find podcasts, including interviews with mobile marketing and advertising professionals. (Subscribe to the podcasts either on the IM-Mobile site or through iTunes.)

Letter to Dan Hesse at Sprint: Salesmanship and Customer Service

(A podcast version of this post is at MobileBeyond.)

November 22, 2008

Dear Dan:

Today, Dan, I walked into one of your stores--the one at Newpark Mall in Newark, CA, not far from my home. I'm a Sprint customer, qualify for a phone upgrade and thought I'd check out a few of your phones that caught my eye of late: The BlackBerry Curve, HTC Diamond Touch and even the Instinct--your "iPhone Killer"--although I'm not heavy into multi-media or touch-based keypad phones.

Dan, let me be candid. If you're wondering why you're losing millions of customers to AT&T, Verizon and T-Mobile, it's because you haven't trained your staff how to sell and offer superior customer service. You haven't even conveyed to your staff a sense of urgency in our economically troubled times.

When I walked in the door, four--that's FOUR--Sprint employees were cracking jokes and having a great time behind the counter. I yelled out "Hi" to everyone, got a slight acknowledgment I existed and started playing with the BlackBerry Curve. (The demo Curve's screen, by the way, was full of finger prints and looked like it hadn't been cleaned in a week.)

Not one of your employees approached me. I looked at several phones, thought about upgrading and signing another two year contract, then walked out the door.

Meanwhile, excited T-Mobile salespeople at the kiosk outside your Sprint store were actively soliciting business from people walking near the kiosk. I heard one say: "Hey, would you like a free phone?" Further down the mall thoroughfare were TWO AT&T kiosks. Positive, excited salespeople were showing off shiny new phones from your competitor. Down further was Verizon's kiosk with a giant BlackBerry Bold display and sharp-looking employees showing off Verizon's line-up.

You know, Dan, I was almost tempted to stop by each of those kiosks, if only to listen to how excited, positive people offer superior salesmanship and customer service. But time was passing and I had to leave the mall.

Dan, just so you know I'm not knocking Sprint alone, read by blog post on AT&T: "Training Retail People People to Become Marketers and Delight Customers." In the post, I relate a negative experience I had at an AT&T store. Or, if you're in the mood for some humor, take a look at my blast against Verizon: "News Release: Verizon Wireless Announces $99 'Talk All You Want' with Rollover Plan."

Sprint is running some VERY cool online flash videos of your phone line-up and expensive broadcast and print advertising portraying Sprint as the leader in wireless technology. So, I'm very sorry to see that, having spent millions of dollars on quality advertising, you would allow its impact destroyed by your retail employees. It doesn't make sense.

Here's what should have happened today at your Sprint store:

1. A pleasant, well-dressed trained Sprint sales rep meets me at the door
2. Through a series of questions and rapport building, the rep makes me feel comfortable and helps me find several phones that meet my needs
3. The rep answers all my questions and skillfully handles my objections by presenting features and benefits of the phone, the plan and Sprint as a quality company
4. The rep closes the deal with appropriate statements and quesitons ("this phone does meet your needs, yes?")
5. The trained sales rep upsells me at the counter with accessories, phone insurance, a better voice and data plan
6. After handling the transaction, the Sprint rep gives me a business card, asks me to call him/her at any time if I have questions, thanks me for buying from Sprint, walks me to the front of the store, thanks me again for my business and wishes me well

Dan, I know you have a training program in place for your sales reps. But you disappointed me today. You made me feel that, just maybe, I made the wrong decision going with Sprint. Your reps' lack of care, attention and professionalism didn't jive with your cool, high tech ads. I walked out the door feeling negative about Sprint.

I know you're working hard, Dan, to turn the company around. You're moving ahead with WIMAX and other new telecom technologies and services. But, today, Dan, you disappointed me.

I thought you would like to know.

Regards,

Brian

 

Credit Card Theft Goes High Tech: Banking's Next Challenge

Before the debacle of sub-prime mortgages...before the creation of CDO's and CDS'...before the near collapse of the banking system...before George Bush entered the White House...and after God created the Earth in seven days...credit card theft reigned supreme.

Today, the Wall Street Journal reported that Target customers, who accepted the enticing offer of a free Target credit card, are in default to the tune of over $300M. CitiBank, which announced the elimination of 20% of its workforce yesterday, American Express and other major banks are also losing billions in their credit card operations. And the good news keeps dribbling in.

Just to add to your list of worries, however, the Department of Justice recently announced a masssive credit/debit card theft, CBS News reported a case where 11 people stole information off 40 million credit cards wirelessly by driving past retail outlets, then transmitting the stolen data overseas. And CrediMom, a blogger, wrote a post describing how credit card thieves clone and skim your private information off the metallic strips on the back of your cards.

Let me tell you a personal eCommerce story that should keep you awake at nights...a secret that few people know about credit card transaction processing in the U.S.

I spent three hours on the telephone today speaking with my former merchant account company (merchant account companies work in tandem with Authorize.Net and banks to approve credit card transactions). I also chatted with a police officer in West Virginia about a $2,500 loss I recently experienced in my business due to credit card fraud.

What I discovered is startling. Do you know that if someone has your credit card number, the three or four digit CVS security code printed on the front or back of your card, your zip code and numeric street address, a credit card transaction can be approved?

If it's an online transaction, the thieves don't even need your NAME. That's right. If the card is valid and the charge is within the credit limit, an online purchase can be approved even if the purchaser writes "Donald Duck" in the bill-to area of the shopping cart screen.

No one at my merchant account company, Authorize.net, a "gateway" company that coordinates CC transactions and the bank that processes approvals could tell me why credit card holder NAMES are not part of the authorization requirements. The answer from everyone with whom I spoke: "That's just the way it is."

Fraudulent credit card transactions--now estimated in the billions each year--are either charged back to online merchants, who have insuffiicent proof-of-delivery, or written off by the issuing bank. The owner of the credit card disputes the charge and that's it.

Now you know why credit card companies charge outrageous interest rates. Someone has to pay for credit card fraud and, guess what, it's you and me.

So, while Americans worry about losing their jobs, homes, 401k's and next year's vacations, don't forget about the plastic. Remember, the thieves are out there--and many have gone high tech.

Fremont Bank: Local California Bank Stays the Course

When I switched all my accounts from Washington Mutual to Fremont Bank  in Fremont, California last year, I knew that responsible local banking was still possible and thriving. Since then...well, you know the story. Large commercial and investment banks succumbed to the temptations of maximizing their profits at any cost, driving the world's economy into chaos.

Fremont Bank, which serves a small segment of residents in the East Bay--not far from San Francisco, San Jose and other Bay Area communities--prides itself on secure, conservative banking. Its investment managers were not swayed by sub-prime mortgages, credit swaps and other financial instruments invented by financially greedy bankers elsewhere. Fremont Bank's mission, stated in its website, is clear:

"For 45 years Fremont Bank has been built on a very strong and sound foundation. That foundation is designed to adjust, protect, support, and provide confidence to our clientele. We have based our operations on partnering with our clients and the strength of the market we serve. We are not just a bank. We are your bank and you are our client. To operate a safe and well-managed financial institution has been and will continue to be our primary focus. We consider our senior management team and board of directors to be the finest in the industry who have worked together for over three decades.

"If you have any questions or concerns regarding your deposits, the financial stability of Fremont Bank, or your banking needs, please do not hesitate to contact your local branch manager.

With our deep-rooted values and commitment to you – rest easy knowing we are here today, we’ll be here tomorrow and we plan to be here in the future.

Thank you for your continued partnership and trust."

As I've written here on MB recently, trust is paramount to the success of any business--especially with financial institutions that hold our future in their coffers. Without them, buying a house or car would be impossible, and conducting our day-to-day financial affairs would become burdensome to say the least. We need banks. But more than that: we need banks that maintain trusting relationships with their customers.

Fremont Bank, as a responsible member of our community, has also addressed the financial struggles of its mortgage customers. You'll also read this on its website:

"Let us Help You Save Your Home. Our Loan Workout Team Can Help You Find a Solution."
 
If you cannot afford your monthly mortgage payments and wish to avoid foreclosure, you may be eligible for a loan “workout” or modification.  We determine eligibility for loan “workouts” on a case-by-case basis.  Among other things, we will consider the value of your property and your ability (based on your current income) to make monthly mortgage payments in accordance with the “workout.”  You may also qualify to refinance your current loan with us."

While we read horror stories of bureaucratic bankers who move quickly to foreclosure, Fremont Bank, as a solid member of the East Bay community, is willing to work with its customers to explore all options preventing foreclosure. This not only helps its customers from losing their homes, in many cases, it just makes good business sense. Companies--banks, in particular--that demonstrate community responsibility and maintain excellent customer relations will thrive over businesses that don't.

Kudos to Fremont Bank for acting responsibly in its investment policies and helping the local community in one of the worst economic downturns of the century.

ShopZilla and NexTag's Advertising Cash Cow: "Keep the Donut Machine On"

Ever hear the story of the donut machine that couldn't be turned off?  That's the situation at ShopZilla/Bizrate, NexTag and other so-called "shopping services"--the place you go for comparison shopping on the Web.

My recent experience with both advertisers, promoting MobileDiscoveries, my consumer electronics site, is a case in point. Each site attempts to list thousands of products available from online merchants to drive business to their E-Commerce sites. ShopZilla and NexTag charge per click, based on minimum bids associated with product categories. Computers, peripherals and other electronics items carry the highest minimum bids.

The online shopping cartels have created cash cows in the the Web shopping industry where the donut machine can't quickly be turned off. Unlike search engine advertising, which permits pausing campaigns--no donuts there--shopping service advertisers must submit "product feeds" to the sites, wait days for product categorization, fund a draw account (a hefty $700 for NexTag and $100 for Shopzilla/Bizrate), then bid on product placement. 

Like Google, Yahoo and other online advertisers, merchants who place the highest bids get listed in prime positions. Unlike the search engine advertisers, however, it takes ShopZilla and Nextag from 24-36 hours to make any changes--whether bids, campaign pausing or product listing updates. As a result, hundreds of clicks, priced from 15 cents up and averaging  85 cents, continue mounting for days, despite merchants' attempts to stop them. The donut machine can't be turned off.

ShopZilla has two programs, a "continuous" program that keeps replenishing ShopZilla's coffers, as shoppers click away, and a "monthly budget" plan. However, ShopZilla's monthly plan doesn't stop when the budget is reached. If clicks are excessive--as with my campaign--the charges continue creating a negative balance that accrues with additional clicks until ShopZilla can remove the product listings. This method differs 180 degrees from search engine companies that  "stop the press" when your budget is exhausted.

NexTag and ShopZilla argue they don't have the technical ability to immediately pause campaigns, change bids or product information. However, I find it very convenient that ShopZilla and NexTag in the Internet age avoid technology that would stop the donut machine in midstream. One sales rep at NexTag told me "we're working on it." But until then, money flows into the online shopping engine coffers unabated.

In terms of customer service, NexTag is virtually unreachable. Customer service never responded to my queries except with boiler-plate emails. And I finally had to engage American Express to investigate and get my deposit back. That got NexTag's attention, generating a short NexTag customer service survey. Not good.

ShopZilla provides better advertiser support, but the account reps have to follow the company line on maximizing revenues and profits.

Complaints from merchants and consumers abound on the Internet about the shopping services. NexTag clocks in at over 82,000 while ShopZilla receives only a mere 42,000. BizRate takes the prize at over 353,000, with many complaints related to its $100 survey promotions. Click rate fraud, as with Google Yahoo and others, is also a hot discussion topic.

The donut machine is alive and growing at ShopZilla and NexTag.

The Marketing of Belief and Trust: World Economic Conditions & You

 During the past few weeks, anyone who has read the papers, listened to radio, watched TV or talked to their friends has been battered with news from Wall Street and beyond about worldwide financial troubles. I debated all week long whether to blog on our financial conundrum. What could I offer that isn't already under discussion? What do I know about the financial services industry, the credit crunch, mortgage securities and the like?

The answer is "not a lot." But when I started writing MarketingBeyond last year, I promised--from a marketing perspective--to comment on the passing scene and try to avoid the trivial and tripe. And I hope my readers believe I've held to my mission.

However, as I've read about the serious financial troubles facing the U.S. and other countries, I can't help but comment on what I'll call "The Marketing of Belief and Trust." Notice I used the word "belief"and "trust"--not "hope" or other word. Marketers have the tendency to choose words common to the industries, companies and messages they seek to promote. Thus, we end up with trite phrases melted into our heads like cheese on an omelet.

In my mailbox today were the latest copies of Time and BusinessWeek. The front page story titles--the hyperbolic phrases that sell magazines--were there. "How Wall Street Sold Out America: They had a party. Now you're going to pay," proclaimed Time. "Is it Safe Yet?" in 200 point type was BusinessWeek's proclamation about the economic downturn.

But the press isn't running the country and our financial demise is not a result of the devil, a single politician, the Feds or greedy financial types. You pick your own enemies that caused our financial mess. I prefer talking about belief and trust to relieve the pain.

From a marketing perspective, belief and trust are the most important elements of any organization's growth and sustainability. (This includes belief and trust in government as well.) As long as people believe and trust in companies whose products and services they buy, consumers will "stay the course" in times of trouble and strife. Lose belief and trust, however, and you might as well close shop, as we've witnessed in the financial services industry of late.

Belief and trust were not only decimated between consumers and financial institutions. The financial institutions themselves--banks, in particular--refused to loan money back-and-forth around the globe to diminish the impact of the credit crisis. Like a snowball rolling down a hill, the largest global financial firms exasperated the situation by letting the snowball enlarge, crushing everyone in its path down a very steep hill. So much for belief and trust.

Comparisons of our worsening financial crisis to the Depression in the 30's brought to mind Herbert Hoover's famous promise to the American people: "Prosperity is Around the Corner." Little did Hoover know he was in the corner rather than around it. The Depression lasted quite a few years. He might better have said: "I know we're in a pickle, but, trust me, I will do everything in my power to remedy the situation as quickly as possible." That kind of language engenders belief, and it's exactly what we need right now.

As we weather the pain of our current predicament, then, let's save the finger pointing til later. Those who may have contributed to bank failures, loss of thousands of jobs and inadequate government monitoring will face their punishment in due order.

Until then, everyone in the United States--consumers, business leaders, government decision-makers and  financial services executives--must focus all their energies on the marketing of belief and trust. Ignore this mandate at our peril.

Tiffany Appeals Ruling: Charge eBay 50% of Total Counterfeit Sales

Tiffany, which recently lost a trademark case in U.S. District Court, has rightfully appealed the judge's ruling that eBay is not responsible for the sale of counterfeit goods, as long as eBay removes listings identified as fake by the trademark holder.

(Listen to my podcast on MarketingVisions.)

The judge's decision is the first of its kind to dismiss a major e-commerce seller from the responsibility of policing its own site for the millions of dollars exchanged each year of fake goods. eBay says it's the responsibility of the trademark holder to notify them of infringement. eBay is not only wrong. The company's management is stupid. They have nothing to gain and everything to lose by not proactively stopping counterfeit sales.

While the case is in litigation, possibly ending in a change in the trademark laws by Congress and regulators, eBay's responses to Tiffany's claims only convince additional buyers not to trust eBay.  eBay's response, according to today's Wall Street Journal? "'Tiffany's decision to carry this litigation on doesn't do anything to combat counterfeiting. The best way to stop counterfeiting is ongoing collaboration between companies, government agencies and law enforcement.'"

Since eBay refuses to remove all but the most flagrant counterfeit abuses--and continues profiting from counterfeit sales--the company should be fined for every authenticated fake transaction.

When a buyer files against an eBay seller through PayPal and/or a credit card company--and the decision is in favor of the buyer--eBay is fined 50% of the sale price. The 50% goes to the holder of the trademark. eBay's listing and final value fees, charged to sellers who sold the merchandise, are also given to the trademark holder.

The 50% trademark infringement fine should encourage eBay to better police its own Internet portal. One of the largest e-commerce and technology companies in the world, eBay has the ability to scan keywords and content listings for suspect listings and remove them. It is not the responsibllity of copyright holders to scan eBay's listings.

eBay's continuing failure to recognize its responsibility to monitor listings for fake goods must come to an end.

The Six Steps: Symantec Norton SystemWorks Mail-In Rebates in a 2.0 Age

To receive your $20 ($50) Visa Prepaid Card from Symantec, please follow these six steps:

1. Purchase Norton SystemWorks Premier Edition between 7/30/08 @4 a.m. and 8/1/08 @2 p.m. (We would have given you more time, but our marketing crew felt that if we did, you might buy a competitor's product, and there's no way we're sending you $50 if you do that. So, just pretend it's the Friday after Thanksgiving and you're starting your Christmas shopping. Have fun. Get up early.)

2. Read, memorize and complete this rebate request form. (Sorry about the 2 point type and having to memorize the stuff, but Symantec truly believes that if you like our products and want the money, you should put some time into this thing.  And our marcom person, who's just learning how to use Publisher,  just couldn't make the type any larger after the lawyers added the legalese. So use a magnifying glass, complete the darn thing and mail it. And please don't write us about Web 2.0 and why we should do this on the Internet and why you have to memorize our form. What, do you think we're a software company or something?)

3. Enclose the original UPC code from Norton SystemWorks Premier Edition. The UPC code is a 12 digit bar code found on the bottom of the box. If you purchased this product in a DVD case, the UPC code is located on the back of the case. Photocopies will not be accepted. (We hate to be hard-nosed about it, but every time we do these rebate campaigns, someone ends up ripping us off with fake UPC codes or tearing out only part of the UPC. So, get a pair of scissors and do it right. And the hackers? How would you like someone ripping you off?)

4. Enclose a legible copy of your dated sales receipt from Fry's Electronics or Frys.com with the purchase price of Norton SystemWorks Premier edition circled. Handwritten or altered documents will not be accepted. If you purchased this product online, your dated sales receipt is your confirmation email from your online purchase. (You wouldn't believe how many nerds mail us a blurred copy of the sales receipt each year. If they'd just replace their ink cartridges once in a while, we wouldn't have to throw so many rebate requests in the trash. Also, it never fails, some customers just can't read; they forget to CIRCLE the product name! I mean, don't they read the instructions? The handwritten/altered docs? Our processing people just laugh and shred those requests right away. Then, at our annual Christmas party, we have a bon fire. Really makes the marketing team feel great watching all that paper going up in smoke. Eh? )

5. Make a copy of your rebate submission for future reference. Originals submitted become Symantec property and will not be returned. (Sorry about being hard-nosed about it, but if you can't remember to photocopy your own rebate submission, you should probably buy that other product. Symantec only wants customers with all neurons firing upstairs, you know what I mean? Plus it's OUR form. Do you know how long it took to write this thing? Have a heart, guys.)

6. Mail your submission to the following address (must be postmarked within 30 days of purchase):

    Symantec Corporation
    Attn. $50 USD Norton SystemWorks premier Edition Mail-In Rebate
    Offer # 08-27323
    P.O. Box 540029
    El Paso, TX 88554-0029

(We know, yeah, you have to mail two letters for the $20 and $50 rebates, but we have separate computers and staff for each offer, they come in from all around the country, and it's just a big hassle when you include both rebates in the same envelope. So, have a heart, will you? I mean, after all, WE protect your computers against all sorts of nasty Trojan Horses, Worms, emails full of garbage. Don't you think you owe us something? So put the two stamps on two separate envelopes, write the addresses clearly, and we'll send you your money, o.k.? Just a heads-up. We're changing the return addresses next year to Anchorage. We figure that should add at least 2 to 3 more days with the Post Office--and probably a lot more letters will get lost. So....that saves us money. Hey, don't tell anyone I mentioned this. My boss asked us to hush-hush it. Enjoy the Visa card, but remember. If you don't use it withn six months, we charge you a $3 maintenance fee. Hope you like the product.)

 











 

Need Lambchops? Maybe Better Retail & Online Customer Service?

Viewed an interesting TV show today--on my PC, nonetheless. Two consumer journalists were discussing the pros and cons of buying online. They chose a number of well-known major chain stores that have an online presence to accommodate customers who prefer buying online and/or want to save on the high price of gas and hassle shopping in a retail store.

More on MobileBeyond, including a podcast that's easy on the ears...

Sorry, Tiffany, eBay Doesn't Care About Trademarks. Buyers, Beware...

The Wall Street Journal reported today that a Federal judge ruled that online e-commerce sites--in this case, eBay USA--are NOT responsible for trademark infringement by its sellers, as long as it removes listings brought to its attention. (eBay lost a similar lawsuit in Europe recently where the courts ruled that eBay IS responsible for fraudulent sellers listing counterfeits on its e-commerce sites.) The fine: $63.7M. payable to LVMH Moet Hennessy Louis Vuitton SA and other elite brand name manufacturers.

Although Tiffany is appealing the case, the courts have effectively ruled that eBay is similar to Internet Service Providers (ISP's) that allow customers to profit from selling fake items online. eBay is essentially an "Internet portal."

Unlike a newspaper or magazine that could be sued along with an advertiser selling products breaking trademark law, eBay and other Internet e-commerce sellers are different, according to the courts.

I think eBay is crazy thinking it won this case. Despite the listing fees retained by eBay from canceled listings, does eBay truly want buyers believing counterfeit brand goods are not monitored? For God sakes, eBay has the technology to flag suspect listings based on brand, keywords and other listing content. 

What if I decide to list a $1M fake De beer's diamond on eBay? Are eBay and the courts claiming that eBay shares no responsibility in a flagrant abuse of the trademark laws? I realize eBay can't review every listing it accepts, but to hide behind the mantle of innocence, when eBay can scan keywords for likely fraud, is a bad business practice and hurts everyone in eCommerce.

The Federal court judge ruled it's the responsibility of Tiffany and other trademark holders to identify online trademark infringement and report it to eBay--that the burden falls on the holder of the trademark. This is utter nonsense when a technology company, colllecting high listing and final value fees from sellers, claims otherwise.

Rob Chesnut, Senior VP and Legal Counsel at eBay said, per the Journal, " 'This ruling appropriately established that protecting trademarks is the primary burden of rights owners--not market places like eBay...' "

I think not, Mr. Chesnut. I think you and eBay are trying to hide the truth about the millions of eBay listings that are suspect. Everyone is aware of the exacting replicas of high-end merchandise  you're allowing for sale on eBay. And even your feeble attempts to control the onslaught is rewarded by retaining millions of dollars in listing fees when sellers are caught.

Here's my proposal, Mr. Chesnut. Whether it's Tiffany, Nike, Debeers or other well-known brands. Insert the following paragraph at the top of every brand listing:

"Buyers, you should be aware that some products listed on eBay are replicas of the originals. Therefore, we encourage you to review the seller's ratings and customer feedback before purchasing. While eBay attempts to remove fraudulent listings, it's impossible to identify all listings that may represent forgery or replicas. Thank you for your cooperation."

eBay should use its technology to slow the growth--not enhance it--of fake merchandise pawned off to unsuspecting buyers. If not, eBay and other eCommerce marketplaces will rightfully feel the wrath of the courts and, if not the courts, a massive change in the trademark law by Congress. Then, Mr. Chesnut, eBay and legtimate eCommerce sellers will really end up in quicksand, as all online sellers are forced to notify buyers of potential fraud.

Call Us in the Morning - The Failure of Customer Service (Podcast)

Customer service has frequently been referred to as "the sale after the sale." Marketers spend billions of advertising dollars to convince us to buy their products and services.

Then, companies lose or dismay customers instead of delighting them.

Listen to an insightful podcast by Brian Prows on MarketingVisions, now syndicated on iTunes.

Murdoch & Wall Street Journal Announce "Wall Street Lite--The 30 Minute Read"

Press Release

April 23, 2008

Contact: Whoever Answers the Phone

Media Mogul Rupert Murdoch today announced Wall Street Lite--The 30 Minute Read, a new version of the Wall Street Journal catering to newspaper readers seeking lively information and positive content to start their day.

According to Murdoch: "News Corporation's top management believes newspaper readers today want quick summaries of world, national and financial information--not long dissertations. Wall Street Lite (WSL) is the answer. I know we've been criticized for destroying print journalism, but just like Yahoo and Microsoft, it's time to 'bite the bullet' and make the hard decisions."

Marcus Brauchli, who recently resigned as the Journal's managing editor to accept a News Corp. consulting position, commented: "Our strategy is to morph WSJ into WSL quickly over the next few months, raising readership--especially among younger readers--by 25%."

Publisher Robert Thompson outlined specific WSL changes in the paper's "look and feel":

• New Masthead: "Wall Street Lite: The 30 Minute Read"
  
• Section and Column Title Changes and Add-Ons:
  
  
  
  • "Market Place" to "Market Space" to attract MySpace members who work on Wall Street
  • "Personal Journal" becomes "Let's Get Personal," providing financial, dining and dating advice
  • Front section's "What's New" changes to "What's Hot!," a quick review of positive events around the world, the nation and in the financial markets
  • A new column on page 2 tentatively called "Yada Yada." Thompson remarked: "We think there's room in WSL for a bit of trivia and light reading to start the day. 'Yada Yada' is the new home for unusual--even absurb--content. Maybe some New Yorker cartoons. We think it should be a winner."
  • "Money and Investing" morphs to "How to Make Money!"
  • An expanded reader forum called "Let's Chat." Thompson said the idea came from Mr. Brauchli as one of his first consulting recommendations. Readers can post online or send  text messages to WSL. Brauchli refused to comment.
  • Six columns are reduced to four increasing white space for video content.
• Other Changes:
  
  
  • "YouPod," a la David Pogue of the New York Times. Murdoch remarked: "Podcasting is growing fast as newspaper readership declines. Since Pogue cut back his column podcasts, we think 'YouPod,' covering technology and other topics in a humorous vein, will generate a lot of social buzz."
    
  • More Positive Headlines. Thompson feels newspapers are downers and WSL should put a "positive spin" in all articles. He provided a few examples:
    
    
    • "Dollar Hits New Low in Euros" to "Dollar readjusts its Value to Euros"
    • "Ford Announces Job Cuts" to "Ford Re-Positions Its Workforce for Greater Profitability"
    • "U.K. Home Prices Post Anemic Growth" to "U.K. Home Prices Rise 10% Since 2002"
    • "Wyeth's Profits Fall 4.6%" to "Wyeth Management Positive About Future Growth"
    • "Asia Shares Drop Across the Board" to "Asia Stock Market Exploring New Opportunities for Gain"
  • Story and Word Length. Thompson said: "I've just finished reviewing page-by-page the last three months of the Journal and we need to get back to basic English." Thompson proposed the following:
    
    
    • All front page stories end on the front page
    • Sentences limited to 12 or fewer words with no more than three syllables in each word
    • Adding "cool," "dude," and "awesome" to relevant articles. "Despite what the Social Networking Foundation says, we need to write like people talk these days...oh, and drop the 'Mr. this' and 'Ms. that.'"
  • Pictures and Videos. Working with WSI Online, Thompson proposes color pictures attached to each story on page one and videos, as appropriate, hosted on WSI Online. "I believe," Thompson said, "that 'Yada Yada,' in particular, is a great column for video content. Let's do it."

"To summarize," said Murdoch, "we're not going to destroy the Journal. We're reinventing it for a Web 2.0 world."

The $99 Estate Check & Bank of America: Fixing Customer Relations

 
Let me tell you a story about my Mom's $99 refund check from Kaiser Permanente, a major health care provider in the United States, and why I firmly believe poor customer service is killing off companies faster than sub-prime mortgages.

Mom, who died in April, 2007, was enrolled in Kaiser's Senior Advantage Medicare program. Her monthly premiums were automatically deducted from her Bank of America checking account each month. Mom was a Bank of America customer for over 40 years.

After Mom died, since I held Power of Attorney, Kaiser continued mailing me monthly statements showing a balance of -$99. (Yes, the computer was programmed to send out negative balance statements to dead members.) Finally, after three requests, Kaiser issued a check for $99 to my Mom's "estate." Well, her estate, just before she died, consisted of a Bank of America checking account, which was closed last October.

I gathered the paperwork--a copy of Mom's death certificate, durable power of attorney, her will and, yes, the $99 check.  Thinking that my bank would deposit the $99 check into my account, I first went there. Answer: No way. The check's made out to her estate and we can't deposit it into your account, despite the DPOA and other paperwork. Suggestion from my bank's employees: take it to Bank of America. (No suggestion, by the way, about contacting Kaiser first.)

 Today, paperwork in hand, I walked into Mom's Bank of America branch and explained the situation to a bank employee: No way. "The account has been closed for more than 90 days and it's made out to her estate." The bank employee suggested I get a judge to "reopen her estate" and assign ownership of the $99 check to me. Second suggestion: "Why don't you visit Citibank, since they issued the check?" Again, no mention about contacting Kaiser.

"Surely," I said, "I'm not going to take the time for $99 to get a court ruling on such a small amount and CitiBank is probably going to refuse the check as you did." Long pause...

Then the cosmic customer service "do not say" sentence flowed from the employee's mouth. "Well, if you had an open account with us..." I stopped her, paused briefly and said: "Don't even go there. Don't even suggest that if I were a Bank of America customer this would solve my problem, because you and I both know it won't." That's when I asked for a manager. Response by the bank employee: "Well, I can let you speak with the Assistant Manager but he's going to tell you the same thing."

I was stunned. After a quick mental "Brian, don't say what you really want to say," I looked the employee in the eye and said: "My Mom was a Bank of America customer for over 40 years. She was loyal to your bank. When she died, she was still your customer. I would like to speak to a manager, even if the answer is still 'no.'"

While the B of A employee went off to find the manager, I called Kaiser, explained and resolved the situation. Kaiser will mail me a form. I'll return the old check and they'll issue a new one in my name.

One might say I should have thought about calling Kaiser myself from the beginning. Probably true. But that isn't the point. The issue, as I walked out of Bank of America, boiled down to LACK OF EMPATHY AND CUSTOMER SERVICE SKILLS.

Questions:

• Was my problem a customer service or marketing issue? For that matter, was it only MY problem? Despite my mother's 40 years with Bank of America, would a reasonable person believe that B of A OWED my mother and me something, even if bank rules prohibited accepting the $99 check?
• Is there marketing value in EVERY employee "going the extra mile" to solve customer issues? What are the consequences of poor customer relations?
• Am I likely to do business with Bank of America in the future? We've all read the studies: "for every bad customer experience, a customer will tell 8 other people about that experience."
• How much revenue will Bank of America lose based on my experience today?
• Have we reached a point in business where improperly trained and screened employees are allowed to destroy--rather than enhance--the customer experience?
• Who's responsible for the employee's interaction with me today? Could it possibly be the supervisors and managers who monitor, train and coach their staff how to RESOLVE CUSTOMER PROBLEMS?

Oh, by the way, I forget to mention that when my Mom's account was closed in October, the balance was a negative $56.42. "No problem," said the employee, "we just wrote it off."

Customer Billing and Follow-Up: A Competitive Advantage

A frequently forgotten part of marketing is customer billing. Companies of all sizes spend millions in advertising and operations to acquire customers and then drop the ball on billing. Marketers are hard at work stuffing bill envelopes with cross-sell/up-sell promotions, but most customers view bills with dread.

Why not impress customers with positive information--preferably just below the amount owed? Why not thank customers for their business? Why not create a multi-channel campaign incorporating the billing process, the MOST important customer communication channel?

Regular readers of this blog may notice a category called "customer service marketing." I've posted numerous times to it, focusing on how customer service impacts marketing effectiveness. I've praised some companies for excellent customer service. I've criticized others. Alas, poor customer service experiences are more memorable than good experiences. Here's another sad one. Sorry, AT&T Mobility, but it's you again.

While an AT&T customer for a week or two to test the iPhone and AT&T's overall service levels, I decided to port two lines back to Sprint, a company that's struggling under newly appointed Tzar Dan Hesse. See my AT&T retail posts: "Training Retail Sales People to Become Marketers and Delight Customers" and "'Call Us in the Morning: Why Customer Service is Failing.'" Read all customer service marketing posts here. In your spare time, take a look at "'Keep the Customer Satisfied:' Spread the Word" on Mobile Telephone Marketing.

My first AT&T bill, still showing the activation fees, arrived in late January. I immediately called AT&T, the CS Rep made the adjustments, told me the final bill and that it would be charged to my credit card on February 14th. The CS Rep was friendly and appeared knowledgeable about AT&T's billing procedures. The call ended on a positive note.

Fast forward to yesterday--February 28th. A past-due notice arrived from AT&T indicating I hadn't paid the bill and my closed account was re-opened. The letter warned me how my credit rating would suffer if I didn't pay immediately.

Back to the phone, again talking to a pleasant, seemingly knowledgeable rep, who was just as baffled as I about the bill, since the account was closed by me within seven days of activation. Oh, another twist. Because the bill was not paid on February 14th, AT&T added the $175 per line early termination fee, raising the total to over $450. Long and short of it: The CS rep offered to "send a message" to AT&T billing requesting a complete credit on everything and "someone" would call me during the first week of March. In other words, the CS rep was powerless to resolve the billing error on the first call. But she gave me a case number and "notated" our conversation, just like the first CS rep.

I even have a case number: xxx-xx-xxxx-x-xxxx-xxxx. (This is AT&T's form of Morse Code, apparently an improvement over tin cans connected by wires; after all, AT&T is in the COMMUNICATIONS business.)

Enough about AT&T. They're too busy, like Verizon, counting how much money they'll lose on the new $99 unlimited minutes plan.

MarketingBeyond's Recommendations for Billing Statements and Pro-Active Follow-Up

• Throw away the four-color inserts. Include the most important messages on a bill's front page, preferably near the total and due date. As more customers view their bills online, they won't notice the inserts anyway.
• Include a "We appreciate your business" on ALL bills, including past-due accounts. Eliminate the negative word "delinquent."
  
  • Use American Express' "member since ___" technique.
• Insert the following line--especially on newly opened or past-due accounts: "We realize that sometimes billing errors occur. We're here to help and would love to resolve any situation quickly. Feel free to call us at xxx-xxx-xxxx or email us by clicking here. We'll get back to you within 24 hours. We promise." Then, keep your word.
• Empower your contact center reps to resolve billing issues in one call. Have supervisors monitor calls to assess rep resolution performance.
• Train and reward reps who SOLVE CUSTOMER PROBLEMS. That's their job. Let them do it and recognize superior performance.
• Eliminate the negative, stupid phrase: "If you've already paid, please ignore this bill." It does nothing but irritate customers who've paid, indicates your billing system is on autopilot and will not persuade non-payers to clear the bill anyway.
• Create an outbound unit in your contact center to pro-actively call new and past-due customers to assess customer satisfaction and help customers resolve problems. This shows you care and seek an equitable resolution to all issues.
• Throw away the "we've improved our bill" inserts. If customers can't easily understand their bills, you've done a lousy job. Make it understandable. Make it a marketing collateral.
• Reduce the number of "customer survey" calls and emails about "your recent experience." AT&T contacted me three times after opening an account. The first was an automated IVR system, the second an email, the third a rep call from a research firm. Consumers are inundated with survey company communications. Put your money into one-on-one, personalized communications.

If you want an example of a company that's doing it right, read my post on American Musical Supply.

Economy Hurting Marketing Campaigns? Thinking of Joining a 12-Step Program?

One of the biggest marketing challenges--whether pushing mobile devices or stuffed teddy bears--is getting noticed and not ignored. As a marketer, you write news releases, create product and pricing strategies, maybe advertise a bit. But you still have a gut feeling no one's listening. Not good for your social life. Worse if your boss is pushing for increased sales.

Read the rest on Mobile Telephone Marketing.