CPA Trendlines

Here’s one that could actually make you more money.

by Rick Telberg

‘Tis the season for New Year’s resolutions, so it seems only natural that we make some of our own as finance and accounting professionals.

But I have only one (yes, that’s “1″) for you today. It’s this: Forget about finance, taxes or accounting.

“What?” you’re asking. “What do mean? What else is there in life but accounting?” Well, plenty, and you know that.

The point is: Your clients or corporate colleagues don’t really care about taxes, accounting, auditing, financial reporting, comps, reviews, bank reconciliations or all the other stock and trade you live by. They do, however, expect YOU to care about that stuff ? and to know it inside out. And you probably do. After all, that’s why they hired you ? so THEY don’t need to worry about it.

So what does every businessperson REALLY want to talk about? That’s easy: Making money! Selling! Closing on new business! Marketing!Every businessperson cares about success. And, particularly if you’re working in your own practice, you can talk like a pro. Even in business and industry, you already know this old dictum from the late business guru Ron Zemke: You’d better be serving the customer or serving someone who is.

By moving off what YOU can talk about, and moving to LISTENING to what others have to say about their business, you could probably learn more in 10 minutes than you would in a day and a half of poring over financial statements.

So where do you start? Glad you asked!

Here’s a handy-dandy list of marketing-related conversation starters for small- and medium-sized businesses.

Most of them are low-budget and easy enough to deploy. Some of them may even apply to your business. All of them are worth thinking about and talking about. And every one of them is worthy of consideration in your firm or company.

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RESOLVED:
Connect With Clients and Colleagues by Understanding Their Business

? Do You Enlist Your Clients and Vendors in Marketing?
? How Do You Make Other Small Businesses into Partners?
? Have You Considered Your Advertising?
? What Are You Doing Differently These Days?
? Have You Thought about Raising Your Prices?
? What about Lowering Your Prices?
? How Do You Take Full Advantage of Being a Small Business in a Big-Business World?

Source: Bay Street Group
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1. Do You Enlist Your Clients and Vendors in Your Marketing Efforts?
The people you do business with every day know you and already have a stake in your success. If they can’t recommend you, who can? Bring them into your “inner circle.” Offer them special deals. Let them be the first to know about new products and services. Turn them into referral machines by giving them an incentive-and it could be as simple as a thank you note with a $10 gas card (make that $25 these days). And by the way, spend 10 minutes a day sending out handwritten thank you notes. And if you can’t think of anyone to thank at least once a day, maybe you should be wondering why.

2. How Do You Make Other Small Businesses into Partners?
In your lobby, in your literature, how often do you publicize the offerings and successes of your (non-competing) compatriots. It’s free to them. You get an implied endorsement. And they’d probably do it for you ? if you ask.

3. Have You Considered Your Advertising?
As a longtime media developer and publisher it’s hard for me to say this, but most small businesses spend too much buying ads that are too big. Sure you can make a splash in your local newspaper or trade journal with full-page ads. But it’s usually better to run more ads more often than a few big ones only occasionally. So cut down on the size of ads, and run them more frequently. My experience shows that it takes at least six ads for anyone to even recall the ad. And it takes about 28 customer “touches” to close a sale in professional services. So think about year-round marketing programs.

4. What Are You Doing Differently These Days?
As a small business you have the opportunity to try something new. That small ad I just sold you? Try that in a postcard campaign. Or, maybe an email? And check out Google Local; it’s fast replacing the Yellow Pages.

5. Have You Thought about Raising Your Prices?
What? Raising prices is a marketing strategy? Yes! It can be ? if it’s tied to a new, premium service. You may be surprised at how many clients would be willing to pay more for a higher grade of service, such as hand-delivered tax returns. IRS audit “insurance”? A computer system safety and security checkup and monitoring program? Or bundle a few services together and call it something new ? for example, tax and write-up for a fixed annual price, paid in monthly installments with free phone calls off the clock.

6. What about Lowering Your Prices?
For new clients, when you’re still in the getting-to-know-you stage, try a stripped-down version of your service, such as 1040s without the fuss, but all electronic. Or how about introductory offers? In pitching an annual bundle of services, try a special three-month trial offer. Just remember, you’ll still need to deliver on your promises.

7. How Do You Take Full Advantage of Being a Small Business in a Big-Business World?
If you’re a small business, be proud and loud about it. The Fortune 1000 advertise to create brand awareness, name recognition and future sales. As a small business, you can’t afford to do that. Instead, develop your marketing programs to produce sales . . . today! For one thing, make sure every ad promotes a special offer ? an offer that will expire if they don’t accept quickly. Make it worthwhile. It can be as simple as a position paper on how other small businesses in town are saving money, or a free diagnostic of last year’s tax return. But give them a reason to react now, not later.

[First published by the AICPA]

Posted January 3, 2006