May 17, 2008

Strategy Calls! New Group On FaceBook

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Strategy Calls! - The Strategic Alliance of Online Businesses - is a new group on Facebook, http://www.facebook.com/group.php?gid=54338290656&ref=mf 

formed for the purpose of being a forum of opportunity for online businesses to network with each other, and to offer tele-seminars, courses and conferences that may be of interest to the online business owner.

In online marketing, this is known as the JV or joint venture.

As was recently pointed out in the astute online marketer, Rich Schefren's recent article on the subject,
http://www.strategicprofits.com/blog/1-plus-1-equals-3/, many marketers have treated the JV as an email campaign, but a joint venture relationship, or a strategic alliance, is what you make it to be.

Traditionally, the ability of a firm to price higher than competitors is called differentiation. A product or a service which offers something unique,or is or greater value than the competition, could then merit a sustainable higher price.

But a firm may also choose to offer a differentiated product or service at a similar price to competitors in order to increase market share and volume.

It is, of course, of no value in achieving competitive advantage unless it is of value to the user, so that the user has preference for those products or services over those of competitors. Focused differentiation through strategic alliances lead to a perceived added value to a particular product or segment, which may also warrant a price premium.

The aim with strategic alliances is to achieve higher market share, and therefore higher volume, than competitors by offering better products or services at the same price; or enhanced margins by pricing slightly higher.

It is much more difficult for a competitor to imitate a basis of differentiation linked to a mix of activities or features rather than just a product or a service, if the mix is a good one, then this is highly likely to benefit many of the businesses online.

Strategy Calls! - The Strategic Alliance of Online Businesses - encourages businesses of all kinds to join this group to

*network
*find possible partners to form strategic alliances or enhanced joint ventures with
*receive information on the subject
*listen to experts being interview from the comfort of your home or office
*receive information on upcoming networking conferences and seminars.

The Strategy Calls!  website, to be located at http://StrategyCalling.com,  is under construction and a schedule of calls is forthcoming and will be available very soon.

Strategy Calls! Please join us!

Angela Wickenberg
Founder

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May 28, 2008

A Guide to Business Development 2.0

Written by Alex Iskold / April 10, 2008

At least once each day I get a call from someone trying to sell me outsourced development services. It's difficult to not be frustrated with these calls and it is increasingly hard to be polite, because they come so frequently. Yet, more than frustrated, I am just puzzled. Does this tactic still work? Who in this day and age would give business based on a cold call? These companies could definitely use a dose of business development 2.0.

Because of these calls, for a while I have been thinking about the impact of the modern age on business development. In the good old days, it all boiled down to the salesmen with the big rolodexes who could close the deal. But clearly, the rules have changed. How does business development work this days? What makes sense and what does not? In this post we take a look.

Cold Calling is Dead

The reason we all hate cold calls so much is because they are very intrusive. A stranger interrupts our flow, and takes precious seconds away from our lives. But maybe even as recently as 10 years ago we did not feel it so acutely. Why? A few reasons. First, the pace of our lives was not as fast, the minutes did not feel as precious. But more importantly, today we have a much less intrusive form of solicitation - email. True we all hate spam, but an unwanted email doesn't feel like as sharp an interruption as an unsolicited phone call.

Besides being annoying, cold calling is no longer effective. People are smarter these days, and have learned to ignore upsells. A targeted email which avoids the spam box has a higher chance of getting a response than a call. With a call, the default allergic reaction is now "no." But with a brief and sincere email it could be, "hmmm, this might be interesting…" However, even cold emails do not work. To have a chance at making a sale, you need to get a warm introduction. It used to be that the business web was hidden inside of people's heads and rolodexes. Today, however, a lot of it is out there in the open - inside a digital business network called LinkedIn.

Warm Calling via LinkedIn

LinkedIn is a business network that has emerged as a substitute to the rolodex. Because it is online and self-managed, LinkedIn offers a much more robust way of maintaining your business connections and seeing what they are up to. But beyond that, LinkedIn has become an indispensable tool for business introductions.

Say you're interested in talking to Acme Co. about your new product. You log into LinkedIn and search for people who work for Acme. Then you see how you might be connected to them. Ideally connection is just one degree away, or in other words, you know someone who knows the person you are looking to connect with directly. And then you ask for an introduction.

An introduction received via LinkedIn is much warmer than a cold call, because it comes with a bit of trust. You are no longer a stranger trying to upsell things that no one needs, instead you come with a recommendation, however light, from a person that the receiver is connected to. And even if you can't find a path to connect to someone, sending a direct message via LinkedIn is better than sending a cold email. The reason is that LinkedIn implies business context, and so the person you're trying to reach likely is not going to be as surprised or angry about the unsolicited ping.

Creative Calling via Social Media

Beyond connecting on LinkedIn there are other modern means of connecting with people. Facebook message, Twitter @response, a comment on a photo or blog post, etc. These are ways of getting someone's attention that are creative, but you need to be careful when employing them because they can be unwelcome. People do not use Twitter to get unsolicited business pings, nor do they post pictures for strangers to comment on. Facebook is probably somewhat acceptable because a lot of people are mixing business contacts with friends there. But the most solid way of connecting with someone outside of LinkedIn is via their blog.

People who blog generally want to have a conversation. If you engage with someone around their blog and participate in a conversation on a topic that they are interested in, you will naturally connect with them. Particularly if your business engagement is relevant to the topic they are discussing, blog comments are likely the best way to engage. However, if you try to push the conversation off topic, the person will perceive you as disingenuous and there will be no business.

Transaction 2.0

Let's suppose you've found the right way to connect and you've got your meeting. Now you're looking at the whole sales cycle. Particularly, if you are small startup aiming to sell your product to a big company, has anything changed? Not really. You still have two fundamental hurdles - the time and the risk. Between startups and big companies expectations of how quickly the deal can get done are completely misaligned. Big companies are scared of the startup speed. Startups are frustrated with big companies' turtle pace.

Beyond the length of the sales cycle the issue that kills most transactions between startups and large firms is risk. Will this 5 person company be around tomorrow? That's a question that large companies are likely to answer with a "no" and that becomes a big problem. For this reason it doesn't make sense to buy from startups - it is too risky. However the mitigating factor is often cost - startup products are often cheaper or even free. Yet even if the technology is free and easy to remove if things don't work out, big companies are wary. They do not understand free, it scares them and perhaps rightly so.

The worst part about having a startup that sells to big firms is actually scale. The famous crossing of the chasm necessary to get big is really complicated. In the enterprise world, it means signing up many clients, keeping the pipes open, and sending out more and more products. This model is so costly and risky that venture capitalists are reluctant to shell out the money to fund it. Because of the complexity of building the enterprise business that knocks on doors a new model is emerging - web services and APIs.

Door Knocking 2.0: Web Services and APIs

How can a small start up that has no capacity to knock on doors sell to big companies? A possible answer can be via a web service or an API. The model is applicable to a whole range of services - from data plays like del.icio.us to messaging systems like Twitter to infrastructure like Amazon Web Services and semantic web services like Open Calais from Reuters. The basic model is to have a web service which is accessible via API (application programming interface). Clients sign up to use the service and have to agree to the terms in order to obtain a key. Using those keys, clients can use the service programmatically to send and get data from it.

Some examples: the del.icio.us API, allows clients to access information about specific users (if the user permits that). The Twitter API allows sending and receiving messages without using the Twitter web site. The Calais API is an example of a web service which encapsulates an algorithm. In this particular case, the algorithm takes a document and extracts semantic information from it. Unlike del.icio.us, which offers an interface to consumer data, Calais is a one shot deal algorithm. And perhaps the most important example of a web service play comes from Amazon. Taken collectively, the offered Amazon services is powerful infrastructure for building web-scale applications.

What is common between all these web services is the simple monetization strategy - pay per API call. For each call into the web service, the callee has to pay based on the amount of the resources consumed by the call. For example, Amazon has been charging for bandwidth, storage, and CPU time. The exact model does not matter as long as a fraction of a cent is charged for each call. Remarkably, this is a business that has a huge potential to scale. Each individual client is paying an affordable price, because each call into the web service is very cheap. However, collectively clients might amount to big revenue for the service provider.

What is the most attractive about this business model is that it is completely forecastable. By estimating the cost of scaling the business (mostly hardware, support and maintenance) and setting the price per web service call and the number of clients, you can determine if the business will work or not. Of course to be fair, we need to mention that just like in traditional sales, there is number of clients hidden in every equation. Two fundamental risks exist in this model - clients will not want to use the service and clients might not be able to figure out how to use it.

Still, the risks and costs of a web services based business are much less than the traditional enterprise approach. There is no need for an expensive sales force and an army of consultants to implement the solution. We are yet to see this model succeed in a major way, but because of their simplicity and straight revenue model the API based businesses are looking attractive.

Conclusion

Nothing stays constant in this world. The technology, the web and the society always evolve. Business development evolves along with everything else and lead generation has been changing along with methods of communication. Business networks like LinkedIn have replaced old rolodexes and email have made cold calling look ridiculous. Yet, there are no fundamental changes in the sales cycles and risks for startups that choose to go the traditional route of knocking on the doors of large companies.

The markets are iterating to come up with a new form of business development called web services. This new form is both cheaper and simpler - no enterprise sales force is needed to scale the business. However the question, "If we build it, will they come?" still remains unanswered. If any company can make this model work really well it is likely to be replicated and become widespread. Will web services succeed? Time will tell.

For now, please share your favorite examples and stories of business development 2.0 in the comments.

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May 18, 2008

Strategic Alliances And Joint Ventures

It's an auspicious time for us all in business and especially those of us who have waken up to the enormous opportunities online.

While there are many great challenges in the economy and for business owners, many have spoken of the gold rush of opportunity that is on the Internet today. And this is so true! Never has there been so much opportunity and so many resources, literally available at our fingertips!

But for many, this has escaped them. This is because as small business owners, we tend to try to do it all ourselves. All of the successful businessmen have told us, time and again:

"Make offers more attractive for potential buyers!"

"Know your strengths and weaknesses and delegate your weaknesses, or form a joint venture!"

"Take what is working and exploit that to the fullest!"

"Take MASSIVE ACTION!"

So how are you going to do this if you have no resources, no time or no money? Strategic alliances or joint ventures are the answer to this.

Please leave comments or message me with your thoughts.

Strategy Calls.com also invites you to answer the questions below:

1) Is there a particular aspect of strategic alliances that you feel you do not grasp, or in other words, that you would like to learn about?

2) Have you tried joint venture relationships before and what are your experiences from this/them?

3) If negative, what went wrong? What was missing?

4) If positive, what was right? And has the relationship continued?

5) Is there something that particularly frightens you about strategic alliances/joint ventures?

6) Would you like help creating a joint venture or strategic alliance?

7) Please state in what area you need assistance.

8) Would you like to be a case study?

I hope to hear from you soon.

Strategy Calls!

Angela Wickenberg

P.S. Please join us!   http://www.facebook.com/group.php?gid=54338290656

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May 20, 2008

Facebook CEO Comments on Blocking Google Friend Connect

Facebook blocked Google Friend Connect upon it's beta release last week.  They claim that Google developed and released Google Friend Connect, which uses the Facebook application, without asking them.  Google Friend Connect shares the personal data of Facebook members without asking the members themselves for permission.
 
Facebook Founder & Chief Executive Officer, Mark Zuckerberg, who was interviewed from Tokyo, says that Facebook's intention is to solve the differences they have with Google, who, he says, is a large player on the market and does lot of good things.

Angela

P.S. Don't forget to join our new Strategy Group on Facebook, Strategy Calls!

http://www.facebook.com/group.php?gid=54338290656

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May 4, 2007

Compliments of Yanik Silver: Mp3 Recording of the 4-Hour Workweek Author Tim Ferris

http://www.surefiremarketing.com/4hourweek/call/

Even though the call was free - I strongly suggest
you make time to download and listen to it.

On this call you'll discover:

*  How to kiss the email habit goodbye. (Tim only checks email
2x/day or sometimes not for weeks at a time if he's on one of
his many getaways!)

* How to create your ultimate lifestyle NOW and not waiting until
retirement. (Tim calls this "Lifestyle Design" and I promise it'll
get your more excited than you've been in a long time!)

* The management secrets of remote-control CEOs. (Or the
new "MBA" - management by absence.)

* Mastering the "low information" diet. Why most of us are drowning
in information and what to do about it.

* Outsource your life - using "geoarbitrage" to get others to work
for you at a fraction of the cost. (This is not elance.com)

* Creating automated "cash flow muses" in just 2-4 weeks to fund
your new lifestyle & much more!

http://www.surefiremarketing.com/4hourweek/call/

Don't forget to grab Tim's book at Amazon and tell a friend!

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March 9, 2007

On Alchemy, Destiny and Personal Legends

Since I have been ill, as well as all of my children, and still recoupering from what seems like a bout of viral pneumonia, I have been lying around, sleeping and dreaming quite a bit.

I recently got up the energy to read a book that I've had in my bookcase for a while: "The Alchemist", by Paulo Coelho.  I enjoyed this book; it was an easy read but it had a profound message.

It was about an Andalusian shepherd boy named Santiago who travels from his homeland in Spain to the Egyptian desert in search of a treasure buried in the Pyramids.  Along the way he meets a Gypsy woman, a man who calls himself King and an alchemist, all of whom point Santiago in the direction of his quest. No one knows what the treasure is, or if Santiago will be able to surmount the obstables along the way.  What starts out as a jouney to find worldly goods turns into a journey of self-discovery.  It portrays the transformative power of our dreams and the importance of listening to our hearts.  This is alchemy in its truest expression.

Angela


There are two ways to live your life. One is as though nothing is a miracle. The other is as though everything is a miracle. –Albert Einstein

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December 26, 2007

Releasing The Multi-Tasking Queen Syndrome

The inefficiency of multi-tasking in business is well-known. 

Checking emails, making phone calls in the middle of working on a project is called continual partial attention -

when your mind has something is it constantly tracking and never turns off.

When your business needs to shift gears it takes a while to shift back - as much as 30 minutes each and every time -

for me much more time - and the cost of it can become very high.

I know this from experience;

I have called myself "the multi-tasking Queen", juggling resources and time all of my adult life. 

It took me 10 years of study at the university,

a lost job,

a broken marriage,

the birth of four children,

and 10 years of failure at business to finally learn this one.

This is my greatest AHA this year.

Continuing to multi-task when my experience has taught me that it is extremely inefficient is just downright foolish. 

I have three kids at home and since our recent move, my office in the living room,

so how will I achieve real focus and "flow" in my work and business?

Obviously, I need to make some changes - more changes.

But they are good ones - these changes -

and I start by changing my self-description on my "about us" page on this site.

To Our Mutual Success, Both Online and Offline,

Angela Wickenberg

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April 18, 2008

"Deliberate practice": what separates the merely good from the great

"He's just a natural." How many times have you heard someone say that in order to explain somebody else's greatness? This "explanation" derives from the commonplace belief that certain individuals have an innate gift that the rest of us didn't get and never will.  There's just a slight problem with this belief: it's wrong!

A recent article in the Harvard Business Review by some noted researchers totally debunks the myth of "the natural."* Studies by more than 100 scientists consistently and overwhelmingly proved this astonishing truth: experts are always made, not born.

Moreover, the studies show that the greats in any field do something that the average ones don't: they achieve their greatness through hours, days, and years of always practicing deliberately. Golfing great Ben Hogan once said, "While I am practicing I am also trying to develop my powers of concentration. I never just walk up and hit the ball."**

These researchers say that when most people practice, they just focus on the things they already know how to do. That's why, for example, an average salesperson makes the same easy calls over and over—and still calls it "selling." But a great salesperson, on the other hand, deliberately works at what he or she currently can't do well. And the research shows that this continual, deliberate effort is the distinguishing factor between the good and the great.

So, what does it take to become adept at deliberate practice? We think it's not only having the right tools or techniques, it's also having the right mindset in the first place. You have to have your mind focused in order to apply the techniques you've learned.

If you find that you are:

1. Not practicing your skills regularly (like you tell yourself you are going to do)

2. Not able to perform "live" as you do when you are practicing.

3. Fearful (not your full self while prospecting).

4. Not stretching and constantly improving.

Then it is likely that you are experiencing subconscious blocks.   These subconscious blocks can fight your conscious efforts every step of the way.

This is common, and probably the main reason why most beginning sales professionals and network marketers fail.  However, there are things you can do.

Through extensive experience, we have found that the safest, fastest, and most effective way to overcome these blocks is through hypnosis. Now,