A virtuous bank?

The travails of the current recession have had the thinking public looking for the source. While the list of culprits is long and varied the popular voice almost uniformly heaps the lions share of the blame on Wall Street and the financial sector. Whether or not this disdain is fully justified is a question for another day but the current actions- think AIG and Goldman Sachs bonuses- within this sector have only strengthened the anger.

But new forward thinking businesses are emerging out of the malaise created by the greed of the previous generation. Whether or not this latest iteration of businesses can succeed will probably depend on their ability to reign in the universal drive for excessive lucre. Among the companies leading this new charge is none other then organization from the oft hated Financial Sector, Spanish bank Caja Navarra. It is this bank and its unique business model, referred to as "Civic Banking", that I want to showcase.

Since 2000 this bank has been quietly and effectively turning a healthy and guilt free profit in Spain. Their motto, "Future financial institutions will be civic...or they won't survive" not only explains their Raison d'être it also serves notice to the other financial institutions that they are harvesting a new wind of change.

Picture this. I have a bank account and I receive a monthly statement that details my charges and what I've made in interest. Pretty standard stuff. Caja Navarra does this but they also will let you know exactly how much money they made off of you and they give you the ability to designate 30% of those profits to charity. So we now have increased visibility and incredible corporate responsibility.

The bank is now poised to enter the US Market. They have met with institutions such as Columbia, Wharton, and Thunderbird evangelizing their message of corporate responsibility. The way the public currently perceives the suits on Wall Street this type of move couldn't come soon enough. We need more organizations and corporations that think beyond themselves and, hopefully, this will inspire more of them to follow suit.

Thriving in the new economic reality

Let me borrow from Mr. Huxley by calling the current job market a “brave new world”. The current economic conditions, technology, and geography are conspiring to create a whole new paradigm for the next generation work force. The younger generation is catching on; the seasoned vets need to take note that the game is changing.

First, let’s define what is taking place….

Companies are restructuring in an effort to cut costs and streamline operations. The typical byproduct of such activities is layoffs and unemployment. Because Arizona is so reliant on industries that have been specifically pummelled by the recession- think construction/real estate- we find ourselves in especially dire straits. According to the US Department of Labor the unemployment rate in Arizona has doubled over the past year to 8.9%.

Second, let’s illustrate how proactive people are responding to this trend….

We have a very educated and resourceful job base, despite the numbers. There might be fewer formal jobs but that doesn’t mean that are no opportunities. Things are evolving and we, taking a page from Darwin, are adapting to the new changes. Companies still have work to be done, just not enough to justify full time employment. Smart people are engaging these companies and contracting those specific services. For those of us who are not up to speed on this trend go and do yourself a favor and read a great book like Free Agent Nation.

So companies still have work but just not enough to justify bringing you on. What do you do? Smart people are becoming “free agents” and selling their expertise to multiple companies. In a strange mutual fund sort of way this approach builds additional stability by diversifying your streams of income. It also provides for increased flexibility.

As more and more “free agents” enter the market it creates a need for cheap or free workspace like Gangplank. It is one of several locations valley wide that is popping up to provide entrepreneurs and other free lance workers with the traditional amentities of the office. That and the company is far better. One of the great side effects of such an arrangement is that it provides job seekers and entrepreneurs with the chance to interact and create synergy.

People are also taking advantage of opportunities to find affordable ways to further their education. For profit universities like The University of Phoenix and Grand Canyon University are all seeing growth as education tends to act in the reverse of the economy. Places like Training to You are able to use government stimulus money to provide professional training in areas like computer programming and project management.

In short, times are tough. But smart people are heading the words of Churchill and vowing not to give up. Smart people are taking a page from Darwin and changing with the times. Eventually things will turn around but it will be the people who are adapting now who will be in the best position to profit.

Lacuna announces referral agreement with PivotLink

FOR IMMEDIATE RELEASE

Contact:
Peter Watkins
Lacuna Strategic Marketing
Phoenix, Arizona 85006
Phone: 602-478-8187
http://www.lacunastrategy.com
info@lacunastrategy.com

Lacuna Strategic Marketing signs referral agreement with PivotLink to provide world class web-based business intelligence solutions to companies in Phoenix

Phoenix, AZ -- June 22, 2009 – Lacuna Strategic Marketing has entered into a referral agreement with leading Business Intelligence(BI) company Pivot Link Corporation. The move allows Lacuna to offer a complementary application that enhances its service offering as well as provides PivotLink with additional access to the Phoenix market.

The move is a natural extension of one of Lacuna’s core service offerings- marketing intelligence and analysis. The web based PivotLink solution provides a world class business intelligence platform that will deploy at a fraction of the cost and in significantly less time then traditional business applications. This platform provides the necessary foundation for the analysis and reporting that Lacuna Strategic Marketing provides.

According to Lacuna founder Ryan Jensen the move will “allow our services to be fully realized by providing our clients and prospective clients with a world class solution that will enable them with the necessary visibility and insights into their overall performance.” With a deal in place Lacuna Strategic Marketing will aggressively tout the benefits of PivotLink to prospective clients who are searching for simple and affordable business intelligence solutions.

About Lacuna Strategic Marketing

Lacuna Strategic Marketing provides world class competitive intelligence, marketing analysis, and strategic guidance to mid-sized companies who realize the importance in bringing in a trusted partner who can provide insights beyond their current capabilities. The company has provided guidance for such notable companies as LG, Infusionsoft, Disney, Nike, and British Petroleum as well as smaller enterprises looking for world class expertise at an affordable price.

About PivotLink Corp.

As the leader in on-demand business intelligence solutions, PivotLink serves over 6,000 business users in industries such as consumer packaged goods, e-commerce, healthcare, insurance, retail and technology, including customers such as: Car Toys; Guardian Home Care Holdings, Inc.; KoolSmiles; Novell; Rossignol; Shaklee and Zones. PivotLink's unique, self-directed reporting and analytics are based on the Software as a Service (SaaS) delivery model, providing users with complete analytical freedom with minimal IT involvement. Headquartered in San Francisco, California, PivotLink is a privately held company funded by Trident Capital, Emergence Capital Partners and StarVest Partners.

# # #

For information: http://www.lacunastrategy.com or
Contact: info@lacunastrategy.com
Phone: 602-478-8187

Bring proper marketing analysis from the lab to reality

We no longer need to fight to bring more analysis and logical reasoning to our marketing efforts. The past decade, with the maturation of sound technological applications, has brought a more measurable and scientific approach to our efforts to reach the right customers, at the right time, in the right place, and at the right price. Marketing analysis now has a permanent seat at the table and now it is time to take the proverbial lab coat off of the technicians so that the esoteric talk of the ivory tower can translate into real world results at the market place.

Gail McGovern of Harvard has done a great job of explaining the value of working with an outsourced partner who has the strong analytical left-brain know how that many marketing organizations lack. Smart technicians have taken heed to this trend and there are more and more companies that offer solutions in the realms of applied statistical analysis, econometrics, and predictive modeling. While this is great there is often a disconnect created between the science and the business.

Take a look at the latest issue of the Journal of Marketing Research and you will be bogged down with jargon, formulas, and language has a hard time translating to the day to day efforts of most marketing groups. You don't want to spend serious money on a report that gets left without an appropriate Rosetta stone that allows it to be directly applied to your specific set of circumstances. That's why choosing the right partner is so critical. They need to be proficient and knowledgeable in the application of the right analysis for what ever the situation calls for. But they also need to have a solid background in business and marketing so that they can translate the findings into recommendations that can be easily executed upon by the client.

So, what are some tips for leveraging your marketing analysis and your relationship with your provider of such intelligence?

• Demand that all research be brought home. Or in other words make sure that the insights provided is actionable intelligence that can be interpreted and acted upon all parties involved in executing the recommendations. It sounds very basic but you would be surprised at how many"inane" jargon and nuance laden reports end up in the hands of executives who have no idea what to do with them.
• Start simple or at least understand the underlying assumptions and models being used. That way there is greater transparency and you are a more involved participant in the process. Don't let ignorance prevail and take everything as scripture just because you see a lot of fancy greek letters everywhere.
• Always ask why. Many people advertise the fancy service or analysis without describing the benefits. Companies want the sizzle not the steak. They don't care about conjoint analysis but they care about what characteristics their next product should contain.
  

Choosing a partner that has the requisite analytical background is an essential complement to marketing activities. Finding one that has the ability to provide practical results that also fit nicely with corporate strategy is the paramount difference between success and just spending a lot of money on a bunch of propeller heads in lab coats.

Numbers Do Matter....now more then ever

Back in the old days a superior product, value chain, or marketing campaign could win you easy market share and profits. These days companies offer similar products and often share similar technology. Geography doesn't matter as much and technologies can be easily replicated. One of the last remaining vestiges of competitive advantage can come from a superior use and understanding of relevant company data: Business Intelligence.

Yes, this especially pertains to the world of marketing. Think of all of the new developments pertaining to marketing in the past decade. Whether it is running a series of online marketing campaigns or managing the efforts of a sales team the one common denominator is the increased presence of analytics. A recent quote in the American Marketing Association "Marketing News" magazine by Mike Linton, former CMO of eBay, underscores this point. "At its core, marketing is 70% math." Now I wouldn't quite go that far but you have to blind to realize that marketing is becoming more and more numbers driven.

Marketing needs to embrace numbers and math, and statistical analysis. It allows us to make smarter decisions and it gives us more ammo when we have to justify our marketing efforts to those curmudgeons in the Finance department. There are a whole host of tools that are now readily available and priced to fit most budgets. I have listed several in past entries so take a look.

The bottom line is that you need to measure and evaluate your efforts. You can start off by generating simple and straight forward reports. Eventually you can move to more sophisticated work that will allow you build models that will allow you to forecast the results of your efforts. This framework below was developed by SAS and was recently featured in the recent HBR book "Competing on Analytics". It does a masterful job of outlining the place and impact of most forms of analysis that most successful businesses employ today.


So take a closer look at your operations. Determine whether or not you have systems in place that allow you measure the performance of all facets of your organization. If you have any gaps or deficiencies than please bring in someone, like Lacuna, who can help you out. Marketing dollars are becoming more and more scarce. You absolutely, postively need to be able to analyze and exploit those actions that are generating the best returns.

Competitive Intelligence Case Study #1

Here is a recent example of a successful project that leveraged "competitive intelligence" to greatly enhance the sales and marketing efforts of a leading software company.

Relevant Reading

A great presentation from the good folks at Aquent.

Making Marketing Smarter Amidst the Cuts

View more presentations from Aquent Webmaster.