Let’s begin with a basic question – why do we want to be big? Here are a few plausible responses to that:

1) I want to make a lot of money.
2) I want to employ many people.
3) I want to serve as many people as possible with my product.

Number one is the most popular because this society is hinged on the premise that the more you have the better you are (and the happier you’ll be). Your stockbroker-turned-baker friend will tell you – money doesn’t make you better or happier. More importantly in business, it certainly doesn’t make for happier customers. When money starts to matter more to a company than the quality and caliber of its product or service, its customers are exponentially more susceptible to competitors. Good products breed loyalty and loyalty means repeat business.

Let’s take answer number two. I want to be big so I can employ a lot of people. Why? If its a matter of power you have other problems. But if its a matter of responsibility or wanting to help people, then remember that happy employees are better societal contributions than people with jobs. A company being big and hiring many people means nothing if the employees are unhappy. Large companies are the poster child for this atypical largely depressed American workforce. It’s not that all large companies are bad companies, it’s simply that large companies are generally less able to scale an environment where everyone is doing what they love and feels valued and rewarded for it. Don’t focus on hiring more people, focus on growing a passionate team. That will take a lot more time than Groupon and Wal-mart may lead you to believe.

And finally, the most noble – to serve as many people as possible with your product. Why is that important? For a non-profit that’s easy – to help as many people as possible! (Mental note: There should be a lot more very large non-profits.) But if you’re a business what is the value of serving as many people as possible? A good answer is that you believe that your product makes people’s lives better in which case you really want as many customers as possible. (Apple and Steve Jobs are a reliable example.) But if that isn’t your response, which in most cases it isn’t, then consider that the more people you try to make happy the less people you will. Democratizing your product for the sake of quantity, makes you less able to serve your real customers. Take Jean Paul Gaultier. His fashion is weird and controversial, but its this exactly that his loyal customers love and what’s gained him global brand notoriety. Conversely, trying to please everyone is the reason (I believe) most American cuisine stinks. Pleasing the palettes of immigrants from dozens of countries across the world is no easy to task. Lesson? Create a brand based on who you really are as a company; customers that share your values will buy.

A good product, a good team and finally a strong brand are what make a good business – not size. Happy customers and profitability (not revenue!) are the result. I am not saying that growth is bad, growth is good (I wrote a lot about it last year.) But what is bad is growth for growth’s sake. Its the root problem behind America’s financial collapse and the fact that this country rates 150 out of 178 on the World Happiness Index (two slots above Rwanda). Focus on being the best possible business, not the largest, and chances are growth will come naturally.

There are arguably many advantages to steep discounting.  It can bring in new customers and allow businesses to get rid of excess inventory.  For business-to-business companies, offering a “deal” on a new contract might be what gets your foot in the door.

We can’t argue that new business is great, but wouldn’t you rather have new customers who value your offerings rather than a flock of them who want cheap goods? A good client knows a good product. She also knows that quality services and products will cost a bit more.  Constantly running promotions is a sure way to dilute your offering’s [and subsequently your brand's] worth.

Promotions aren’t all bad. Consider using them more wisely.  Perhaps offer discounts to reward valued customers.  If you want to run a promotion to attract new customers, consider a giveaway versus a price cut.  Alternatively if you’re willing to lose money to gain clients why not instead invest dollars into smart marketing that will bring new customers without the cost of devaluing your brand.

A brand ambassador is a key influencer in any given topic that agrees to endorse your product to their audience.  For example, this year The Limited clothing brand launched a new plus-size brand called Eloquii.  Instead of reaching out to one of the many full figured actresses in Hollywood, The Limited hired plus-size fashion blogger Gabi Gregg of gabifresh.com.  Gabi’s blog is read by thousands of readers who look to her for plus-sized fashion inspiration.  If Gabi posts a blog about a gorgeous piece from Eloquii you better believe tons of her readers, who already emulate her style, will run to the site and purchase that very article of clothing.  

Even your existing audience can serve as brand ambassadors.  Whenever someone in your company’s social network shares content linking back to you, they are spreading the word.  If you are still warming up to the idea of social media (and you really should be on board by now!) try creating a traditional marketing campaign that encourages your network to serve as brand ambassadors. Perhaps you can send out stickers for clients to display on their doors or windows, or maybe infuse an incentive into a referral-based campaign. The idea of brand ambassadors works for two reasons: it is based on the fail-proof equity of word-of-mouth and second it allows your brand to tap into the trust already built between an influencer and their audience. If you are unsure exactly who is the best person to reach out to for an ambassador  partnership you can try tools like  Klout.  Klout is a website that measures peoples online influence and  can help you get your products/brand in the right hands.

By building partnerships with brand ambassadors you will be able to precisely pinpoint your audience. So stop playing phone tag with Tom Cruise’s people and start identifying the attainable celebrities that will help give your brand some real cred.

Conversely, a business’s weakness is that of its leader. If you run an organization, ask yourself what you’re bad at. Are you a bad marketer? Perhaps you don’t know finance very well? Chances are your company lacks brand awareness and is in dire need of a good CFO. This is why when you are trying to improve your organization, begin by improving yourself.

I always say that you can’t be a good woman, a good father, a good boss, or a good son without being first good with yourself. Your ability to give to others is hinged on whether you have something to give. That is why you must cultivate and develop your strengths, passions and interests in order to be able to truly give to others.

For a company, the answer is easy. Surround yourself with partners who have the qualities and experience that you lack. A great wealth advisor or a trusted strategist, can help your business best capitalize on its strengths. Worst case scenario you’re a better company for the experience. Best case scenario you grow your business in a way you never knew possible.

This Thursday night I went to see Matisyahu at the Congress Theatre.  It was the best concert I’ve been to.  He was brilliant.  He had a profound way of flowing musically and physically that made everyone in the room flow with him. This was particularly beautiful to experience because the crowd was the absolute most diverse group of people I have ever seen.

Matisyahu

Whether they relate to his background, style, voice or values, people of all walks of life like this young artist. A Hasidic Jew who is not only musically talented, Matisyahu is hot, young, a father, a family man, religious, real,  deep, cross-genre, and to boot, has a positive message.  This unexpected combination allows an enormous spectrum of people to connect to him.  Case in point, any variation or combination of any demographic that you can think of – age, race, ethnicity, style, class and color – was represented in the crowd that night.  It was refreshing.  It was inspiring.  It was real.

Classic ideas about diversity will soon be irrelevant.  As immigration, shared economies and technology tear down physical borders, major cities the world over are becoming increasingly diverse.  This has begun to spawn a new generation of children who are so intermixed that the traditional ideas of diversity (i.e. black, Chinese, Latino) lack meaning. Take my new son, for instance.  He is Serbian-Herzigovian-Cuban-Dominican-American.  What kind of ad do you think he will connect to?

The lesson to businesses and organizations?  If you want to connect to today’s audience in a credible way, you must forego the shortsighted act of nurturing cultural differences in favor of developing a message or value that all people can connect to.  (i.e. We ALL want to be loved, have peace, be better, etc.).

A traditional approach to diversity

A new approach to diversity inspired by Matisyahu

At the concert I had a vision of the future. Our tomorrow will not be defined by our differences but instead by our common ground.  Like Matisyahu the people, companies, organizations and leaders that define our future will not herald diversity as a cultural imperative – they’ll be a living representation of it. You will recognize them in that they will call us to a higher state of existence – one that can only be experienced when we look beyond diversity and accept a grander view of the world.

I HEART Strategy is a bi-weekly blog post where I talk about strategy, good and bad, in the media, business, community and life.

While I don’t have television service, I still love watching shows. Thanks to services like Hulu, iTunes and Netflix I still do.  During a venture on Comedy Central’s Full Episodes video section, I encountered a very smart Sears commercial.

What it was?

A video ad touting Sears having 10 of the top 10 appliance brands under one roof.  Message – Thinking about going somewhere else?  Think again.

Why its good strategy?

Sears realized that people like having all of their options in one place. This is why data integrators like Google and retailers like Wal-mart have thrived.  Sears’ promises the same ease and access.

A psychologically astute tagline. Sure all calls to action are an imperative, but this one speaks to the consumer right before they are about to make a big purchase – susceptible to self-doubt and often reconsidering their options.

Appliances are big for Sears’ business. This campaign is  an investment in maintaining Sears’ position as a market leader to new and upcoming audiences (i.e. affluent 30 somethings starting families) who are more propense to shop online.

What we can learn?

• Learn about what your customers do and how they behave.
• Consider your customers’ mindset while decision making to develop emotive messaging.
• Use marketing as a tool to keep your core line of business sustainable.

Who this strategy is good for?

• Established businesses looking to stay relevant

While over the last 8 years Sears stock price looks like the American Eagle at Great America, the strategy revealed in this campaign is a great direction for a company that needs to stay relevant in a very dynamic marketplace.

Right under your nose – The first place to look for social media followers is your client list.  Current or past clients are the ideal audience to build a foundation for your fan base because they (hopefully) have a good relationship with your company and will have no problems letting people in their network know how much they enjoy working with you.

If WE build it – We’ve all heard the saying ‘If you build it, they will come.”  Unfortunately it isn’t that easy with social media.  Including your audience in decisions and encouraging them to voice their opinions will make them root for you much harder. When WE build it instead of YOU not only will people come they will tell their friends about it.

Make it worth their while – The more brands realize the importance of social media, the more saturated social networking sites are becoming.  People have the option to follow hundreds upon hundreds of their favorite brands. In order to stand out you’ll need something exclusive to offer your followers. Whether it is exclusive information or special offers/discounts, show your online community you appreciate them.

Follow the leader – A great way to build a following is to tap into a community that already exists by building a relationship with its leaders. Look for popular bloggers in your field, follow them and engage in online conversations.  Their networks will soon notice your back and forth and their curiosity will most likely get you a few new followers.

Make friends, not enemies – Definitely  try different tactics for gaining new followers to see what works and what doesn’t however, there is one method that has proven to be a social networking no-no.  Do not bombard your followers’ networks with unsolicited messages/request to follow you.  Most social networking sites have strict rules on this practice; mainly it’s spam. Spamming is counterproductive to building your network since your account will most likely be suspended.

Taking these tips into consideration, your follower count should go up in no time.  Remember to provide valuable information and engage with your new found friends. Staying an active member of your own online community is just as important as seeing the numbers rise.

Tumblr is a microblogging site that has been gaining popularity thanks to its super simple interface that allows users to post and more importantly share posts of interest easily.   Many media outlets  have started to use Tumblr as a tool to gain visibility and new traffic to their sites and blogs. Newsweek pioneered the way with many others such as NPR, Huffington Post, & the Economist jumping on the Tumblr band wagon. These companies have all been using the site to post condensed content that redirects readers to their main blogs and/or websites. This has helped them attract a newer audience almost daily.

If your blog or website views are coming to a lull you may want to look into signing up. Keep in mind as great as Tumblr is, it isn’t for everyone. Organizations that cater to mass audiences versus B2B may find more benefits to Tumblr. If you do decide to give Tumblr a whirl here are a few tips:

• Your Tumblr posts should be related to the content on your main site but not as intense.
• Try following Tumblr pages with similar content as yours.
• The more people you interact with on Tumblr the more people will interact with you (ensuring higher visibility to your brand and message.)

Following these simple guidelines and maybe Tumblr can have the blog views rolling in.

The Mayor has done a lot for Chicago, but one thing in particular resonated strongly. He dedicated himself to create an environment where people and business can flourish. What that means is that it is not any one person’s responsibility, much less the government’s, to create prosperity, new jobs, and a great society. It means that when the fundamental ingredients are in place, in a city’s case – good education, business-friendly policies, safety and beauty, the city, its people, businesses, and communities will flourish on their own.

Now I love this philosophy for two reasons. Reason number #1 – it’s a fundamental principle of life. Case in point, human beings have evolved and prospered on this planet because over the course of billions of years, the chemical and physical environment on Earth has been one that has facilitated and allowed our existence and subsequent evolution. On a smaller scale, the same is the case with mold. When it appears on your bread, it’s because there exists a perfect confluence of factors for it to grow. Reason number #2 – it doesn’t rob the individual of self-responsibility. When you consider that the role of organizations is only to create an environment for good things to happen, it doesn’t mean that a person in that environment still doesn’t have to actually do things! On the contrary it provides the perfect stage for said individual to shine [and an inexcusable one for them to fail, or worse, complain].

So now, let me bring it down to business and strategy – my passion and our business. As an executive or leader this makes your job much clearer. It should not be your work to direct your employees to save the company money. Your hours should not be consumed with drawn out phone calls and conversations convincing prospects and contacts on why you can work with them. You should not stay up all night thinking about how you’ll achieve next quarter’s goals.

What you need to do is simple – create the foundation for your organization to thrive. Create a culture that empowers and rewards your employees to be conscious contributors to the organization’s financial and strategic goals. Create a brand and message that attracts the customers and partners you want to work with. Implement and follow a strategic plan that maps out your efforts for the year leaving you to focus on new relationships and powerful new ideas.

Leaders are people and people are flawed. The greatest leader Chicago has ever had is a great example. He however overcame himself to enable Chicago to become a global city; one with a reputation for good business, strong communities and getting things done. As a leader you have the power to do the same. By putting the right practices and tools in place you will create a fertile environment and your organization, like Chicago, will become much greater than the sum of the people, philosophy and services that comprise it.

Customer Input Reinvented – Starbucks My Idea is a social community that lives on the Starbucks website. The concept is simple. Customers make suggestions on what they want to see in the stores. Sounds like any other forum right? Well the genius behind this is that Starbucks actually selects the ideas with the most buzz and makes them happen. It’s taking listening to its customers to a whole new level and paying off in a big way for the coffeehouse.

Adapting to Your Target – There is no doubt that social media had a huge part in the last presidential election. President Obama’s campaign truly embraced this new era of marketing. Not only did his campaign set up profiles on all the major social networking sites, they also used tools such as Ustream to broadcast speeches on the web and an IPhone app that encouraged people to spread the word and vote. Obama’s approach captivated younger voters and they came out in droves to the polls. His fresh approach to politics and marketing were a winning combination. Let’s see if he can use these techniques to bring up his approval ratings…

Interacting With Your Audience – When Old Spice wanted to sell more body wash they realized they had to take a new approach – they bypassed their customers and went straight to their girlfriends. Old Spice launched a comical commercial featuring a tall dark and handsome guy enticing women to buy Old Spice body wash for their boyfriends so that they could smell just like him. The commercial was a hit and Old Spice took it to the next level. Old Spice launched personalized YouTube video responses to people who tweeted the Old Spice guy. Fans of the commercial loved this unique interaction so much that the campaign gained nationwide recognition for its innovative use of social networking.

Building a Brand – Chicago-based T-shirt company Threadless lives, breathes, and eats social media. For those who aren’t familiar, Threadless is a company that allows people to submit t-shirt designs to their site. Threadless customers then vote on which shirt designs will be sold for that week and the winning designers not only get their shirts sold but also some cash. Basically the company’s website in itself is an online community. Threadless is known for using social networking to build their brand and secure brand buy in. Their customers love how accessible and interactive they are and they have the following to prove it.

As you see with the examples i mentioned social media marketing is not to different from traditional marketing efforts you are use to yet when done correctly the results speak for themselves. With a little research, time, and effort your brand could also see big results by implementing social media into your marketing plan.