The "Roger Clemens Goes To Washington" side show was the lead mindshare item across arenas today - sports obviously, but also popular culture and surprisingly the business press as well. CNBC broke in extensively from their market coverage in the morning to cover portions of the hearing, and the lead items on most Internet news sites were reports and analysis of the hearing.
Against my will, I found myself both anticipating the big event as well as excitedly following its course. And since my business plan and Internet marketing minds are, for better or worse, always on, I couldn't help but have my wheels turn in regards to the value of the millions of eyeballs tuned to the spectacle.
On some levels, it would seem impossible to put a marketing plan together for a profit-making enterprise that could capture so much free media so cheaply as these hearings (and let's be real here folks - there was really no point nor lesson to be learned from these hearings other than their "pleasure in other's misfortune" appeal of watching a rich and famous and seemingly untouchable sports icon fall from his pedestal).
But heck, the combination of the sheer numbers involved and our celebrity-obsessed culture certainly make "voyeuristic-based" promotion and PR worth exploring -- especially for consumer-facing product and service offerings having difficulty being heard above the noise (and operating, as we all are, with limited marketing budgets). GoDaddy and their racy Super Bowl commercials come to mind as a great example in this regard. So does Mark Ecko and his purchasing and then online vote regarding what do with the Bonds home run ball.
While certainly a lot of this kind of promotion is done in what we will call the "You Tube" marketing channel, it hasn't bled over to mainstream media as much perhaps as it should. My gut says that enterprising marketers will be putting this kind of "scandal marketing" more and more in their business plans in the years to come.
Raising capital for a startup or small business is without question one of the most challenging aspects of growing a business. The stories are manifold of entrepreneurs and small business owners becoming both frustrated and discouraged by the amount of time it takes to secure capital, the rejections they endure, and the lack of linearity and progress checkpoints over the course of the fundraising process. Complaints we hear repeatedly from entrepreneurs regarding fund raising include the following:
An overlooked benefit of The Federal Reserve Board cutting interest rates by 75 basis points last week and an expected additional 50 points is the palatable benefit it has and will have for equity investments:
Further to this point, the noise of the chattering classes often drowns out the remarkable resiliency of American capital system. In America, there is an enormous institutional commitment to maintaining stability and fluidity to economic markets. Rarely do things, on a macro level, get out of balance either very badly or very exuberantly (or when there is exuberance, it is usually contained to a particular sector).
It is no accident that the United States is the unrivaled venture capital investment center of the world, and no accident that a significant plurality of most the leading technology companies in the world are American firms. Capital usually feels safe in the United States, and it is safe capital that inve sts in growth investments. Stable monetary policy, which Americans often take for granted, plays a key part in inculcating this sense of safety.
Amid the tumult in the public markets, venture capital investments in U.S. startups remains very, very strong -- climbing to a six-year high of $29.4 billion in 2007. It was the busiest venture capital investing year since 2001, with investment spread across 3813 deals, and 11% more money invested than in 2006.
Perhaps most encouragingly, both the venture and individual investor forecasts for 2008 early-stage investments are robust - in spite of and perhaps even driven by public market equity and debt investment uncertainty.This robust outlook is confirmed by the amount of new investment capital that venture capitalists raised in 2007 - $34.7 billion -- 9 percent more than in 2006.
Key market arenas spurring this optimistic outlook include health care and biotechnology, Internet-based business models, and alternative energy. These three sectors accounted for more than 55.1% of 2007 VC investment -- with positive and recession-resistant outlooks for these sectors in 2008.
Growthink's long-term view regarding the early-stage private company investment market remains strongly bullish. Long-term investment return data supports our view that early, or seed stage, private equity investing will always, over the long-term, out-perform all other classes of investment. According to Thomson Financial's US Private Equity Performance Index, 20-year early/seed stage private equity investment has averaged over 20.6%/year in investment return - easily out-performing investment classes including later-stage private equity and public market indices.
Our more prescient short term guidance -- avoid listening to the chattering classes with their "it bleeds it leads" mindset to stoke fear and crisis. The capitalist system that has and will continue to create prosperity to the world is led and driven by entrepreneurs and managers with the resiliency and foresight to act while others dawdle and fret. The great ones are acting now. What will you do?
Growthink Co-founder David Lavinsky was interviewed on BusinessWeekTV recently regarding his core understandings of strategic business plan development gleaned from nine years of working with hundreds of entrepreneurs.
Entitled "What the Business Plan Expert Knows," key takeaways from the interview include:
The full interview can be seen on BusinessWeekTV here.
The tradition of making a New Year's Resolution dates back to ancient Babylonian culture, when the most popular resolution was to return borrowed farm equipment. Today, many are still using New Year's Resolutions as their way of setting business goals.
If you're an entrepreneur -- or even if you aren't -- here are eight New Year's Resolutions that could lead to success in 2008.
#1) Don't be afraid of new things.
In 2008, you will see a lot of new websites, new software, new companies, and old companies offering new products and services. Get rid of the mentality that some of these new offerings don't affect you. Rather, try as many new products and services as you can. Make predictions on which you think will work. Watch to see which ones DO work and refine your strategic thinking accordingly.
#2) Find someone you hate, or someone you love, and follow them.
Many people are motivated more by hate than by love. Find someone who is really successful that you don't like and use them as a benchmark. If that scoundrel can be successful, so can you. Follow that person, and when they succeed, force yourself to succeed as well. Or, if you prefer, follow the career of someone you admire, and each time they succeed at something, emulate them by working harder in order to succeed yourself.
#3) Develop a NEW To-Do list.
Look at your To-Do list, and you'll find that it probably has things on it from a year ago. Delete those things. Create a new list of only the things that MUST be done in order to be successful in 2008. Create a plan to achieve those things.
#4) Talk with your current and prospective customers.
Entrepreneurs often develop the mindset that their ideas are great and will work. They often don't like getting feedback from customers and prospective customers, because it might be negative and burst their bubble. Go out and talk with customers. Even if they HATE your idea, they may spark you to come up with another idea that they LOVE.
Organization sucks. But once you do it, you'll save time each and every day. Organize your email inbox and your filing cabinet so that you have easily accessible folders and can find everything quickly and easily. This will save you many, many hours in the coming year; hours that could be used to create new products/services and better fulfill on existing ones.
#6) Make sense of something that doesn't currently make sense.
For some people, words from a Shakespearean play seem like gibberish. For others, a world renowned painting looks like paint that a child could have splattered on a canvas. Find one thing that you have avoided for years, or something that you have discarded as unimportant, or that just doesn't make sense to you. Analyze it. And make it make sense to you. Even if you end up interpreting it in a different way than others, that's OK. What's important is that the process will train your brain to look at problems and situations differently, and give you an improved ability to overcome obstacles.
#7) Keep a blog, diary or other method of tracking your progress.
We've all heard the saying that you can't improve what you can't measure. Measure your progress in 2008. Our lives today are so incredibly busy, and every day, each of us is working on numerous projects. Track your progress on each important project. This will allow you to see what you've accomplished, come up with ways to ensure that your goals are completed on time, and help you to forego the non-critical tasks that eat up your time.
#8) Do it and do it on time.
How many ideas did you have in 2007 that you never found time to execute on? How many phone calls or emails did you want to make (or send), but you didn't find the time? I just did the math; there are 525,600 minutes in a year. That should be enough to accomplish the key things!
Every now and then, a commercial comes along that really makes you stop and take notice. This year we saw a good amount of those, and entertaining ads from companies like Geico and Dove made us smile, laugh, and think about our culture at large. Then there were the commercials that annoyed us. Badly.
Some of the following ad spots were a good laugh the first 400 times we saw them, but then we began to pick them apart. Some of them just stunk from the beginning. Regardless of the reasons, here are the commercials we'll be glad to forget about in the new year.
12) Burger King - Whopper Freakout
If there is one thing old men, housewives, and emo kids can agree on, it's that the whopper freakin' rocks. This fact, however, didn't stop Burger King from having a little "fun" at the evangelists' expense.
Apparently, their game plan was:
If that doesn't say "we love our customers," what does?
Want to avoid these types of mistakes? Speak with a professional business plan writer today.
Leslie Feist was one of our favorite indie musicians in 2007. For those of you who've been out of the loop, indie songs are supposed to be approximately 50% cool and 50% catchy. That is the balance Apple was looking for when they enlisted "1, 2, 3, 4" to help hawk their new iPod line. Unfortunately, this tune ended up being too catchy, and then, painfully annoying. Now, Feist's microscopic-yet-highly-choreographed prance in tight Canadian spandex is the lone redeeming value to these commercials.
10) Volkswagen - Eos
This is when the otherwise-pleasant Wilco-scored Volkswagen ads jumped the shark. No dude, you are NOT the Stay Puft Marshmallow Man.
Are you starting a new business or seeking to grow an existing business? Contact a Growthink business plan consultant for complimentary consultation.
9) Astelin - Doo Wop Allergens
"Don't let allergens or irritants do you in..." Gee, thanks docs! Oh wait, you're not doctors. You're a barbershop quartet that sings about allergy medication! Hmm, well you do have the Astelin logo unevenly dispersed across your sweaters, so you must know what you're talking about...
8) Coke -
How dare they emasculate
7) Axe - Bom Chika Wah Wah
There were a handful of similar ads from Axe this year, but this one was especially heinous. This girl's mother must be so proud.
Growthink's business plan consultants can help you avoid these mistakes with a professional business and marketing plan.
6) Target - Hello, Good Buy
Target's commercial featuring the Beatles song "Hello, Goodbye," which repositions the song as "Hello, Good Buy," is the worst thing to happen to John Lennon's music since Yoko Ono. On the other hand, McCartney probably had to make a move to prepare for those gargantuan alimony checks that'll be fueling Heather Mills' checking account: And honestly, who has time to write a song called, "Hello corporate ignorance Licensing Fees, Goodbye Artistic Integrity!"
5) I Know Who Killed Me (Movie)
Um, What? Not only do we not know what's happening in this commercial, we don't want to know what's happening in this movie. Fortunately, neither did the rest of America.
4) Snickers - Super Bowl Commercial
While the goal of a Super Bowl commercial is to grab the attention of the masses, this spot is just slightly less controversial than: "Don't Be Gay. Eat a Snickers."
The agency that put this commercial together did wonders for the Snickers brand, which will now and forever be associated with chest hair antics and mild homophobia. Good job, gang!
3) HP - The Hands of a Seinfeld
Jerry Seinfeld is an American Treasure. There is no amount of celebrity, however, that makes it ok for him to repeatedly drench us in a river of shameless self promotion. Ok, we get it: You're wife has a cookbook and you made an animated movie about bees. You're life is awesome.
All we're saying is, next time Seinfeld is on screen for more than a minute, it better be as part of a Seinfeld reunion show.
Growthink's professional business plan writers can help you avoid these types of mistakes.
2) Redenbacher - Orville returns?
Really? A dead guy with an mp3 player... selling popcorn? That it seemed like a good idea to anyone, let alone a team of people is the surprise of the year. We got chills every time we saw this creepy, creepy ad. To say that it was in poor taste is a gross understatement.
1) Cingular - IDK, My BFF Jill?
Cingular's commercial was pretty funny for a week or two. If we hear one more person say "OMG", "INBD", or "IDK my BFF Jill," though, we just don't know what might happen.
As 2007 draws to a close, we can only hope to say farewell to the Astelins, Whopper withdrawal, and overhyped bodysprays. Who knows what the New Year will hold for us in commercial land? There will undoubtedly be branding faux-paus, moments of poor taste, and scantily-clad attempts to seperate us from our hard earned dollars. Just remember advertisers: we'll be watching.
Amidst the daily deluge of negative news regarding current business and economic conditions, it is important to look at the big picture: namely the very bright, long-term outlook for business and entrepreneurship in our global, Internet age. A recent interview with Ted Leonsis – the current Chairman of Revolution Money - a new Web 2.0 payment platform and credit-card service and Vice Chairman Emeritus of AOL (and one of the key executives that fueled AOL's Internet rise in the 1990's), drives this point home.
"It's the greatest time to be an entrepreneur," was Ted's core theme at a recent Wharton Entrepreneurship Conference. Leonsis also made a number of prescient points regarding our current "three-screen world" – a world in which entertainment and commerce play out on computer screens, TVs, and mobile phones:
Just as significant, Leonsis says, is the "happiness business," which involves "getting out of the I, I and I, and really seeing where you want to fit into the bigger world."
At Growthink, we echo Ted Leonis' sentiments that business and entrepreneurship are and can be the best drivers of positive transformation in the world, and that Internet technologies and the global economy are and will accelerate this transformation to dizzying speed.