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Music marketing and free samples

Speaking of musicians using their unpaid promotional appearances as “free samples,” here’s an interesting aside about music marketing.

From the record companies’ point of view, these unpaid appearances on television and radio programs are geared to promote the sale of their new CD. After all, the label gets to keep the bulk of the revenue from album sales. (A big chunk goes to the retailer, and a sliver goes to the artists, music publishers, etc.)

But the artists themselves are much more interested in plugging their upcoming live performances. Many fans don’t realize it, but most artists (even huge acts like the Rolling Stones) earn the vast majority of their income (like 80-90%!) from their live gigs, not from the sale of CDs. (Unless they have their own label, of course, which many artists now do.)

That’s why record labels are so freaked out about plunging CD sales — and why they’re absolutely rabid about “free” music downloads. Downloads bypass the record companies completely, cutting deep into their most important revenue stream: album sales. So it hits them right in the wallet. It’s killing their bottom line, and no one has figured out a way to recapture that revenue.

From the artist’s point of view, a CD could (almost) be considered a “sample.” The artist’s goal is to sell out their concerts, to “put fannies in the seats” as the saying goes. At $60-100+ per ticket, with the artists keeping a huge chunk of that revenue, it’s easy to see why top acts can earn hundreds of millions of dollars in a single tour.

That’s why most musicians are happy to get up at the crack of dawn to play a few tunes — for free — on Imus in the Morning or Today. Sure, they love to play. But it’s really another chance to stir up interest in their live gigs, by giving away another “free sample.”

The wrong way to attract customers

This got a lot of attention, all right — but the wrong kind.

Free samples: Why even rock stars give them away

Harry Connick Jr. was on Imus in the Morning on MSNBC this morning (1/31/07), promoting his terrific new CD, Oh, My Nola — and not coincidentally, to plug his upcoming nationwide tour. A few days ago, the country group Big & Rich appeared on Imus. Why?

Why are top artists so willing to appear on TV and radio, even if it means getting up at the crack of dawn? For the exposure, of course. Playing a tune or two on the air is a “free sample” of their new CD. It’s just like the free taste you get at Baskin & Robbins or Starbucks.

Free samples are a proven way to introduce new products or services to existing fans, and hopefully attract lots of new ones. If they like the sample, who knows. They just might buy the whole package.

Does your business use free samples to introduce your products and services to new customers? If not, you’re missing an important sales channel.

In Guerrilla Marketing, Jay Conrad Levinson called sampling “the most effective marketing method available… assuming you have an excellent product or service.” (Free samples of junk, obviously, will only hurt you.)

The benefits are obvious:

You introduce yourself to lots of potential new customers.
The cost is low, especially compared to traditional advertising.
It reduces the risk for the prospect. You’re no longer a stranger, an unknown quantity.
You’re not perceived as a pushy salesperson “selling” something. Instead, you’re giving away something of value for free, so the interpersonal dynamic is dramatically different.
They may even feel a sense of gratitude, that they “owe” you something and need to repay it.
In the case of financial planners and other consultants, a free consultation allows you to show off your expertise, thus positioning you as an expert in your field — a nice position to be in!
Even if it turns out the person receiving the free sample isn’t a potential customer, they’ll often mention you to a friend or colleague who is. And of course a referral from a trusted friend has more credibility and influence than a hundred sales calls.

How can your company use free samples to attract new customers?

Consider these proven methods. Could your company try something similar?

Software makers frequently offer a 30-day free trial. Some high-end mattress companies offer a 90 “night” trial.
Amazon lets you read excerpts of books and hear 30-second previews of songs from CDs.
Oreck lets you use one of their vacuum cleaners in your home for 30 days. If you’re not satisfied, return it and pay nothing. They even pay the shipping. Confidence? I’ll say. It also predisposes the customer to have faith in your product.
Proctor and Gamble and other merchandising giants have long introduced new detergents, toothpastes, etc. by distributing trial-sized free samples.
Some carpet cleaning companies will clean one rug free, in hopes you’ll be pleased enough to hire them to do the rest of the house.
Consultants of many stripes (including me) offer a free initial consultation to see if your need and their expertise are a good fit. In a similar vein, photographers, graphic designers and Web developers often display examples of their work on their Web sites to impress potential clients.
Musicians, especially less-known artists, offer free downloads of new tunes.

If you have confidence in your product or service, why not figure out a way to let your customers try it at no cost?

What about you? Have you tried offering free samples? How well did it work out? Share your success stories (or warnings) in the comments or email me.

When in doubt, cut it out.

Fat is disgusting — especially in your memos, sales letters, or any other kind of business writing.

Here’s how you can tone up your business writing instantly: Just trim the fat. Prune any words that are unnecessary. They weaken your writing and dilute your message.

Good writing is lean and strong. It gets right to the point. Flabby writing is loose and sloppy. Unnecessary qualifiers slip in, so your message is weak and wishy-washy. Qualifiers like:

I guess
I suppose
It seems like
Now and then
Occasionally
You know

Imagine reading this sentence in a memo from someone in authority:

“It seems to me, I guess, that once in a while, the staff should gather together and, you know…”

Does that sound like someone in authority?

When in doubt, take it out. “Omit needless words,” in the immortal words of Strunk and White. Their creation, The Elements of Style, is a lean 100 pages that will teach you more about solid, concise writing that 100 years of reading this (or any) blog. Highly recommended.

Read it, apply it and see for yourself how quickly your writing (and speaking) improve.

Three reasons why your e-mails are misunderstood

E-mail is a great, even essential, way to attract customers and communicate with employees, vendors and partners. But as I said in yesterday’s post e-mail can be dangerous when you’re angry, upset or even just trying to be funny. Why? E-mail is simply not very good at conveying the emotions behind your message — so it can be easily misunderstood.

A study detailed in the Christian Science Monitor found three major problems with e-mail as a communications medium:

It lacks cues like facial expression and tone of voice. That makes it difficult for recipients to decode meaning.
Because it’s virtually instantaneous, it can create an urgency that pressures you to respond quickly, even before you think things through. That can lead to carelessness and conflict.
Relationships developed via e-mail are more fragile than face-to-face relationships, especially when conflict arises.

The study found that not only do e-mail senders overestimate their ability to communicate their feelings accurately, recipients often overestimate their ability to correctly decode your feelings and meaning. A classic failure to communicate.

Bottom line: Sometimes it’s better to pick up the phone or drop in.

What’s your take? When is e-mail inappropriate? Have you ever had a relationship (business or personal) blow up because of a misunderstood e-mail? Ever been involved in flame wars? Answer in the comments.

Or just… uh… e-mail them to me.

Angry e-mails? Put them in your notebook instead.

Don’t write e-mails when you’re angry, suggests AOL Consumer Adviser Regina Lewis (link). Count to ten and clear your head before firing off an angry response. This is especially true when dealing with customers, but it can be just as risky with coworkers and bosses.

That’s a great policy, but it doesn’t really help you manage your emotions. Where do you direct all that internal fury? Here’s a suggestion.

Instead of possibly alienating a customer or jeopardizing your career, open a blank Word document and start venting. Write out exactly what’s irritating you — but don’t send it. “Stream of consciousness” is fine. Busted grammar, misspellings and typos are par for the course. It’s not about “writing” — it’s about releasing your feelings. Just get it down on the page. It’s great therapy, and can be very revealing. You may discover stuff you didn’t know you were suppressing.

If you’re interested in exploring your feelings through writing, you should try doing “morning pages,” suggested by Julia Cameron in her excellent book, The Artist’s Way. Morning pages are three pages of writing, performed daily, about anything at all. Whatever is on (or in) your mind. It’s supposed to overcome your internal censor and make writing natural and habitual. It works!

Business jargon baffles and alienates

Needless jargon in the workplace baffles and alienates your employees, according to a new study. It even makes some employees think you’re trying to hide something. A survey of Scottish workers found that more than half were fed up with bosses using management jargon. Two-thirds preferred no jargon at all. Link.

I often rant about the importance of clear, simple language in your company’s marketing materials. But it’s noteworthy to discover that business jargon is often just as confusing to your own employees!

The survey, by the UK firm Investors in People, confirms what most of us already know. Phrases like “low hanging fruit,” “blue-sky thinking” and “brain dump” confuse and annoy workers. They frequently don’t have a clue what you mean — but being human, they don’t want to risk looking stupid by asking. Instead, they sit there quietly, feeling stupid and inadequate. That’s bad for morale, bad for productivity. And it widens the divide between management and staff, the survey suggests.

“Bosses need to lead by example, ditch needless jargon and concentrate on communicating clearly with their employees,” concluded the study.

As a professional writer, let me offer one partial solution: The first time you use any expression that might be confusing to your audience, explain what it means. For example:

“This month the sale team will go after the low-hanging fruit — you know, the easiest targets.”

“We need you to really push the envelope, to go beyond our usual limits.”

See how subtle that can be? You don’t have to beat your team over the head to explain what you mean. In fact, it defeats the whole purpose. But it’s important to realize that not everyone instantly understands phrases that might seem like second nature to you.

Here’s a great way to define something that may be unfamiliar: Use the phrase As you know. This gives your listeners credit for knowing something that, in reality, they may not actually understand:

“As you know, revenues are the total of all sales… “

“As you know, blue-sky thinking may not have a practical application yet, but it’s still important to consider all the possibilities.”

“Using management jargon doesn’t make you a good manager,” said Peter Russian, chief executive of Investors in People Scotland. “The most effective bosses recognize that one of the keys to engaging, motivating and enthusing people is to communicate in a way which everyone can easily understand.”

What about you? How do you feel about jargon? Do you have any better ways to explain the meaning of an unclear expression or phrase? I’d love to hear your suggestions.

But now, please excuse me. I have to go shift my paradigm…