Business

CRM vs. Friendship Relationship Management

CRM vs. Friendship Relationship Management

Have you ever considered how similar Salesforce is to Facebook? No really. We are frequently discussing in the office how CRM (Customer Relationship Management) is such a dry and boring space, unlike consumer facing services, when it hit me today that Facebook and other social networks aren’t really all that different in purpose.

I think the point we were discussing today was that it doesn’t really make sense any more (if it ever did) to seperate our personal lives from our professional lives, in the sense that during the day we interact with one social circle, and after hours we interact with an entirely different and non-overlapping circle. Salesforce vs. Facebook. But the world is changing, and these worlds are colliding. What we do and say in one circle is going to impact the other. You can’t write a personal blog post and not think about how it will be seen by your company, employees, investors, or the press. So the circles are forced to overlap in a Venn sort of way.

We use CRM tools like Salesforce to manage all of our customer contacts – who they are, how to contact them, notes and interactions, etc. Companies spend enormous amounts of money organizing all that, but nobody gets particularly excited about it. It’s dry, its dull, its “enterprise.”

But in the event that I need to contact a friend, where do I go to look for their phone number if it’s not already in my phone? Where do I go to see what a friend has been up to lately? What city they’re in? What they’re interested in? Facebook. Or what I’m going to heretofore refer to as FRM (Friend Relationship Management). CRM requires you to input data about others, FRM lets others do it for you. CRM is work, FRM is fun.

Does it have to be that way? Why can’t CRM be more like FRM? Why do they need to be distinct circles anyway? Much like our personal and professional lives, it seems they are destined to merge.

My apologies to the design gods for my 5-minutes on the train venn diagram above. I would have used Comic Sans to seal the deal, but I’ve erased it from my computer.

Why you should be shorting Samsung stock

Why you should be shorting Samsung stock

Samsung product manager Chris Moseley’s comment, when asked about the possibility of an Apple TV:

“TVs are ultimately about picture quality. Ultimately. How smart they are…great, but let’s face it that’s a secondary consideration. The ultimate is about picture quality and there is no way that anyone, new or old, can come along this year or next year and beat us on picture quality.”

Talk about not getting it. If that’s their roadmap for TVs, they just painted a giant “kick me” sign on their back for every other electronics maker, Apple included.

Few people can discern the picture quality differences between a $500 TV and a $1500 TV. They’ve reached that point where there’s little to distinguish them from each other but price and brand names. They all work roughly the same, with the only somewhat interesting developments being in “smart TVs” that integrate Netflix streaming, and usually not in a terribly elegant way. It’s red ocean territory, and another business that’s just asking for someone like Apple to come in and turn it all upside down.

5 Companies Ripe For a Takedown in 2012

5 Companies Ripe For a Takedown in 2012

Happy 2012! Lets talk about some companies that are ripe for disruption this year. Below are 5 companies that I think are at serious risk of being unseated from their top positions in the near future. If you’re looking for ideas for a new startup, or wanting to know what startups you should be looking to join, consider these as trend lines to jump on.

GoDaddy

GoDaddy has been the big-daddy of domain registration for years, aided by obnoxious and tactless super bowl ads which, despite all due criticism, made GoDaddy the registrar who everyone had heard of, and which many people used. They’re like the Wal-Mart of domains and hosting – if you only care about price, GoDaddy has been the go-to registrar.

They’re at the top of my list of companies itching for a takedown right now because of the recent dust up over their support for SOPA, and the ensuing exodus of domains from tech-savvy customers, but GoDaddy has been on my radar for years because of their horrible user experience. Something as simple as purchasing a single domain name turns into a dozen-page nightmare of confusing forms, aggressive add-ons and upsells designed to trick users into buying things they don’t need, and a miserable interface that would make Gandhi want to stab someone in the face. After you’ve registered that domain, managing it is often just as difficult, and despite being a relative pro when it comes to these things, I’ve had to call their phone support multiple times to figure out how to change something. God help you if you have other services with them as well.

SOPA issues aside, and those are certainly valid, GoDaddy has a huge vulnerability when it comes to user experience. Whoever comes up with a “mint for domains” will win a lot of converts, even if the price is slightly higher. I moved most of my domains out a year or so ago after being fed up with GoDaddy’s nightmare of a site, but I have yet to see someone really do it right yet. I expect soon I will. The reality is that domains and hosting and other services once the domain of the tech elite are now being sought by the mainstream, and the experience for purchasing and managing them needs to be updated accordingly.

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Designers vs. Developers in Startups – You Need Both!

Designers vs. Developers in Startups – You Need Both!

Dave McClure at Business Week recently published an article about the value of design to startups, in which I thought he made some good points about how important designers and marketers are to the success of startups and applications. Predictably, this didn’t sit so well with developers like Steve at Big Dumb Dev, whose sarcastic response mockingly fails to think of a single startup where design trumped development. As is so often the case, I think the answer lies somewhere in between.

I disagree with Steve that the success of many/all startups was due to stunning technical achievement. While that’s important, and indeed at the heart of many startups, I think design is too often taken for granted. Perhaps I’m a bit bias being a designer myself, but nobody would want to use your awesome new app if there wasn’t a designer on the front end designing a quality UI. In the case where developers are left to their own devices, usually the app is ugly and unusable. Google as the example of a company that doesn’t need designers or marketers is disingenuous. Google is really a case where they are successful despite poor UI/UX design simply because they are reliable and free. Google Analytics, for example, has serious usability problems and a pretty steep learning curve, but it’s popular because it’s free. If it were not free, it would have a big vulnerability from a competitor who invested in a good UX designer, and it’s one of the reasons John P over at Woopra has a business that can compete with free.

Lets look at Flickr as another example. There’s nothing technically amazing about a photo sharing site (I’m sure there are some achievements in there for scaling and performance, but those apply to any large app), and Flickr wasn’t the first. What made Flickr work was design and marketing. It was EASY, you could make friends and comment on photos, and the result was a social network around a hobby. You wouldn’t need a team of MIT grads to build Flickr, but you would need a team of designers driving product development, making careful decisions about whats needed and whats not, where everything on the site goes, what the interface elements are, etc. Those are key advantages Flickr has over other photo sharing sites, and it’s why Flickr actually makes money while other sites struggle to attract members for a free service.

I’m currently working on a startup myself, 1FTP, where we’re rethinking how we can use FTP connections. FTP has been around forever, and has become a commodity, but it has a tender soft underbelly when it comes to usability because the only people who have been working on FTP products to date are developers. We have an awesome developer on our team, but technical achievement isn’t what’s needed to make a better FTP service. What’s needed is to make FTP simpler, easier, and idiot proof. It should be something that is natural to use, not something we loathe to use. Anyone who’s tried to walk an FTP newbie through the process of connecting to a server over the phone will understand where the difficulty is. The 1FTP team is 1 developer, 2 designers, and that ratio reflects the needs of the product.

I think it’s only natural for everyone on a team to view themselves as indispensable, and that is often the case. Design and marketing alone won’t take 1FTP anywhere without a developer. But in today’s market the inverse is also true – development alone is not enough to make a product people want to use, and designers are a critical part of a product’s success. If you’re building a startup for consumers it’s essential to make an investment in a good UI designer, and the earlier you bring them into the process the better.

Getting Started in Social Media: Twitter for Business

After one of our clients recently set up a twitter account for her company and we connected, she sent me an email that read “OK, seriously – how did you manage to get 439 people to follow you?  I mean, I’m sure you’re an interesting guy, but 439?  The race is on!”

I had to admit that 400 wasn’t really that many compared to a lot of the people I follow, and we continued a conversation about how twitter and other social networks could fit into their marketing plan. In keeping with my new years resolution to blog more for clients than creatives, I thought this topic would make a good blog post – so here we go: how to use social media for your business (an introduction). More

Don’t define your customers, let your customers define you.

Never underestimate the creativity of your customers. You may think you have a great product, but don’t get married to your intended purpose for it. It’s quite possible that customers will find alternative uses you may not have even thought of, maybe even better uses. If you’re launching a new product, particularly a web app, be prepared to adapt it to the way your customers actually use it, and not necessarily the way you designed it.

Original sketch of what would become Twitter

Original sketch of what would become Twitter

The most recent, and high profile example of this is Twitter. Twitter was originally designed as a “what are you doing/thinking/status” feed for friends. 140 character limits forced you to keep it short and sweet, and post more often. At first, this is how people used it, but after a while we all grew bored reading about how so and so was heading to the mall, or feeling a bit down today, or enjoying the rain.

Looking at twitter today, I think celebrities are the only ones left posting the mundane details of their daily activities. The rest of us have re-purposed Twitter for other uses. We have conversations, we share the latest news with shortened URLs, we plug our latest blog posts and company announcements, and then we ‘retweet’ anything we think our followers would think is interesting. Twitter is being used as a gauge for measuring hot topics, and for insight into consumer opinion and behavior. Brands are engaging with customers, providing technical support, hawking their wares, and turning their customer service reps loose. Then there are those who use Twitter as an alternative to RSS. And on the dark side, some users are trying to establish a Twitter beachhead for their “make money from home” affiliate businesses.

The reason there isn’t a plan for monetizing Twitter is that the primary use of Twitter has not really been established yet – it’s in constant flux.

Twitter has done a good job at adapting to these new uses. They have adopted the @user nomenclature for mentions, added top 10 trending lists, and opened up an API for data mining, spawning a whole industry of satellite businesses built around the information in the Twitter network. A new Twitter app shows up about every 3 days. Twitter would be nowhere if they had insisted that their service just be used for stream of conscious updates from teenagers.

At Mural, we’re close to officially launching a new site called CloudProfile, with sister company SMBLive. We’ve designed it with a specific purpose in mind – connecting small businesses with customers on the web, and in particular with social networks. But we’re already thinking of alternative uses, just for ourselves. Instead of setting up a central company blog, for example, we’re planning to simply give every employee their own CloudProfile, and then setting up a page on our site that aggregates the collective wisdom of all of our employees. It means everyone is connected to their own networks, as well as the corporate network, and upkeep of the blog doesn’t fall to one person or become a laborious task.

I love the idea of building tools that can be used in a myriad of new ways, and can’t wait to see what the world does with CloudProfile. As you build your apps, make sure that you’re building tools that empower users, not restrict them. Don’t spend forever building the perfect feature-complete app, but get an initial version out early and watch what people do with it. It may be used in ways you didn’t expect, and you should be nimble enough to assign development resources to supporting those unexpected uses. Connect your users together so they can share how they use it and allow good ideas to spread. The more uses your app has, the more valuable it becomes to more customers, so embrace it!

How to respond to bad press online

Following up on my earlier post about customer service being the new marketing, I just came across a great example of how your business should respond to bad press online.

TTAC BlogFor some reason, an insensitive phone call with a Spanish speaking customer was recorded and uploaded to YouTube, to the embarrassment of Frank Myers Auto Maxx. It got picked up by a very popular blog, The Truth About Cars, giving it broad exposure. Immediately the comments started coming, all of them disparaging to the dealer.

Fortunately, the owner of the dealership was paying attention, and responded quickly in the comments of the blog:

frankmyersauto :
July 17th, 2009 at 4:58 pm

I am the owner of Frank Myers Auto Maxx and I appreciate the person that brought this sick and pathetic video to my attention. Yes, it was made at my dealership but I can assure you that this type of behavior is NOT tolerated when it is known about. It is unfortunate that the “good guys” in the industry are not spotlighted more and this is the type of news that makes the headlines. I have called and personally apologized to the customer for this fiasco, I have had it removed from Youtube, and the people involved are being dealt with according to our strict company policy. In addition, all employees will be attending a mandatory sensitivity class. Once again, I owe anyone that had to sit through this embarrasing video an apology from the bottom of my heart and “thank you” for bringing it to my attention.

Great response – note that the subsequent comments turned around completely, becoming sympathetic with a business owner who can’t control everything his employees do, and thanking him for addressing it properly. Liability turned into an asset – done.

Why IE6 isn’t dead yet, and how you can twist the knife.

The web is abuzz lately with mounting campaigns against IE6. Web designers and producers have been moaning about it for years, but the reality has been that 20%+ of internet users have still used the old browser, avoiding the upgrade to 7 for whatever reason. There’s a reason it’s stuck around so long, even now, 8 years later, and a twitter campaign is not going to kill it. I do have a suggestion for easing development pain, though, and ultimately ending the bane of IE6.

IE6 Must Die

"IE6 Must Die"

Before we can kill IE6, we need to understand why it’s still alive. Your mother already upgraded, she’s not the problem anymore. The problem is IT managers at really big companies. For the sake of personification, we’ll call them ‘Chet.’ Many years ago when IE6 was released, Microsoft added a lot of proprietary features that turned the browser into a development platform. Netscape had been defeated, and IE had over 90% browsershare. A lot of IT departments took great advantage of this, building custom software for their companies, intranets, and so on. But then we had a bit of a revolution on the internet – a huge shift toward open source and standards based development practices that would work across all browsers. The rise of alternative browsers like Firefox and Safari has fueled this trend, forcing developers to take other browsers into consideration. Even Microsoft has joined the game, abandoning their proprietary code in favor of standards.

The remaining IE6 users are not voluntary IE6 users, but shackled IE6 users. Thanks, Chet.

Unfortunately, Chet has been a bit oblivious to this trend. Chet is old-school, and he expects the software that his team developed to last a long time. It’s expensive to rebuild these things, especially after they have years of additional code stacked on top of them. Chet wasn’t really forward looking, and didn’t expect the browser world to leave him behind. No problem though – as long as we mandate IE6 for all users in the company and never upgrade, nothing breaks. Nice thinking, Chet.

I have first hand experience with these companies, and there’s more of them than you think. And they’re really big ones,  with tens of thousands of employees, all using outdated legacy software built on top of archaic software, virtualized and VPN’d. The remaining IE6 users are not voluntary IE6 users, but shackled IE6 users (as Digg recently discovered). Thanks, Chet.

So what can we do about it?

At Mural, we would love to drop support for IE6, but when your clients are companies where Chet works, you can’t build a site for them that nobody at their office can use. I was working on a proposal today in fact for a certain giant internet retailer, and of course we get to estimating production and have to start thinking about how much time we expect we’ll need for IE6 debugging. We had been toying with the idea of leaving IE6 out of our SOW, thinking that the main audience for this site probably would be on IE7 or greater. But instead of just leaving it out and having the inevitable conversation about it later when they insist they need it, we decided to take another approach: make it a line item.

Instead of a line item for all development/production, make another line item for ‘legacy IE6 compatibility.’… For clients, it forces them to consider exactly how much that 5-10% is worth.

The reason most clients insist they want their sites to cater to the remaining 5-10% of users using IE6 is that they don’t really know how much development time that adds to their project. So make it real for them. Instead of a line item for all development/production, make another line item for ‘legacy IE6 compatibility.’ If you’re anything like us, that line item probably adds 30% or more to the cost. For clients, it forces them to consider exactly how much that 5-10% is worth. More importantly, it creates awareness inside those companies that Chet is costing them money, and is going to continue to cost them money as long as his systems are dependent on IE6. It helps build an ROI case for updating their systems.

So complain all you want on blogs. Add an anti-IE icon to  your twitter avatar. But if you really want to help make a difference in the campaign against IE6, it’s up to you (agencies, designers, developers) to make the case to your clients to move forward, and it’s up to you (clients and employees at large companies) to go tell Chet how much he’s costing you.

Update: TechCrunch points out a new campaign pointed at IT managers, Hey IT!

Customer Service is the new Marketing

Customer Service is the new Marketing is a mantra at Mural, and something we emphasize with our clients. We always make sure that customer service is a core value of our clients marketing efforts, because we believe that it’s an essential skill set in our new internet driven economy. I was recently contacted by an old client I did some work for about 4 years ago that proves how true this is.

This company is a family owned, but multi-million dollar HVAC company in the North Texas area. It was started by the current owner’s father decades ago, and has always maintained that small, family owned, low tech quality that can be a very endearing trait. They have done a lot of things right in the history of the company that has helped them grow to such a large size. They are extremely picky in who they hire, and hold them to very high standards. There are random drug tests, weeks of training, no cursing, no smoking, and the work day ends when the job is done, and not before. If you’re going to have some strangers in your house all day, you can probably appreciate the standards they enforce. They’re a bit more expensive than the independent guys, but they’ve worked hard to establish a level of trust that’s hard to beat.

The Internet has become a huge megaphone for consumer feedback, and customers who feel slighted or cheated have a really loud voice.

That is, until the last year or so. They’ve serviced over 100,000 homes around DFW just in the last few years, mostly for happy satisfied customers who have trusted their business for years. But as you can imagine, at such scale, screw ups happen. A bad egg tech slips through and pushes unnecessary repairs on customers, people with no A/C in the Texas summer lose patience when it takes hours longer than expected to get a tech out, and sometimes they have been slow to respond to unsatisfied customers who need repeat service. These types of issues have probably been with them forever, and surely plague their competitors as well, but there’s been a shift in power over the last few years. The Internet has become a huge megaphone for consumer feedback, and customers who feel slighted or cheated have a really loud voice.

Customers for this company have started to speak up when things go wrong. Things really came to a head for them when a collection of complaints about the company’s policy of refusing to turn gas lines back on if they detect a crack and possible carbon monoxide leak in a furnace were published in a local paper, and loyal customers started calling to cancel their service. When they called me, they were interested in an agency that could help them with a public relations problem. So I started looking into it – a google search quickly turned up the infamous article, as well as a couple dozen other review sites littered with 1-star reviews from angry customers. Anyone searching for this company online would likely be turned off from them very quickly, and would probably be warning their neighbors. The reviews were scolding. It would not surprise me at all if google is costing this company millions a year in lost revenue.

It quickly occurred to me that the problem was not one that could be covered up with positive PR to compete with the negative press. That would just be a bandaid on a gunshot wound. What was needed was a swift and dramatic shift in the customer service policies of the company to make sure as few customers as possible ever got angry enough to bother writing a bad review.

I made several recommendations to the company to help remedy the situation. I consider these points of sound advice for just about any business today:

  1. The first step is always admitting you have a problem. Make the decision to change what you need to get the problem fixed.
  2. Be immediately responsive to any complaint, and give it priority over new business.
  3. Be proactive – ask customers if they’re satisfied, and if not, what else you can do for them.
  4. Online communication must be two-way. Don’t just shout out into crowds, and don’t leave your unhappy customers to do the same. Connect with them! Monitor the web for new reviews of your business, monitor social networks like twitter. Dedicate a CSR to ‘online customer service’ and empower them to remedy any complaint found online.
  5. Do it publicly – don’t try to counter-review yourself online anonymously, but post a neutral review with your Online CSR’s direct phone number and email so anyone about to write a review sees that there’s a recourse. Don’t avoid problems, embrace them, solve them publicly, and demonstrate your commitment to customer satisfaction.
  6. Get involved with online communities like GetSatisfaction.com. Encourage your customers to visit and post an honest review. You can’t avoid the conversation, so you might as well embrace it.
  7. Commit to the long haul. This isn’t a campaign you run for 3 months and then slack off. This is as important, if not increasingly more important than traditional advertising. Consumers are wary of advertisements, but trusting of honest communication. This needs to be a permanent establishment of the company.

The gears are turning over at the HVAC company, and new policies and strategies are now being drafted. If they play their cards right, in a year they could very well have completely turned the tide, and converted a liability into an asset. The brave new world we find ourselves in requires a new set of strategies for companies to effectively engage with customers online, and companies ignore it at their peril. Google can be your savior, or your executioner – it’s up to you.