Thursday, September 30, 2010

Blockbuster Vs. Redbox


Approximately 5 years ago Blockbuster came up with a campaign to start sending clients late fees to collections. This lead me to start looking at their business model to see how powerful or infallible they really were. After looking at the company model and recent campaigns I realized that they were on their way out. This was in 2005.

Lately I have rented all of my movies from Redbox because it's fast, simple and inexpensive. It just makes a heck of a lot of sense. When comparing the two, Blockbuster had every opportunity in the world to evolve and scoop the market share early for this strategy that Redbox has executed but failed to do so.

I'm not sure if it was arrogance on the part of Blockbuster or lack of insight but they have clearly lost the battle already. I saw recent news that Blockbuster filed for bankruptcy protection and have noticed a few stores closing. Here is where I feel they failed:

1) Instead of focusing on making their process more customer centric focused, they alienated their customers by sending late fees to collections and ultimately ticking off a lot of people

2) They became too focused with trying to make the mail in rentals work in order to compete with Netflix and must of somehow completely missed the entire concept that Redbox executed.


Click here to read more.

Friday, September 24, 2010

Why I Would Pay for Twitter, Facebook and Linkedin


I recently heard rumblings of news about Twitter potentially charging a fee. Some people have stated that if they did so, they would cancel the service. Silly.... in my opinion. Here's why:

Thus far, the public at large have exchanged (paid for) nothing from Twitter or most social media platforms yet are willing to pay monthly fees for silly expenses like TV to watch a constant inflow of advertisements that attempt to sell products which takes money from them. Twitter, is quite possibly one of the best promotional and sales vehicles that exists today. That statement may not be real for a lot of people but I assure you, it's correct. Let me qualify that statement further.

Twitter gives people the ability to reach out to any target public audience to establish communication with them and develop relationships that can and do result in sales and revenue. By survey, the number one and two sources of new business for any company is word of mouth and referrals. This is precisely what Twitter facilitates. You may not be familiar with Twitter or how it could be the very best promotional and business development tool for your company to employ but nevertheless, there are ways to use it strictly for business development that produces new relationships and sales. Our agency uses it for this very purpose for ourselves and our clients. To us, Twitter is no different than a cell phone. It's a tool to be able to communicate with who we want, when we want so we can develop new business.

Would I be willing to pay for it? Yes! of course. $50 per month? Sure! It helps me produce new business which is a vital aspect to any company. I pay for my office phones, my staff mobile phones, internet connections etc so why wouldn't I pay for Twitter? I can't wrap my wits around why anyone wouldn't pay for it. It's a tiny price to pay for something that could help me produce thousands of dollars per year for our agency.

Now, I actually don't think Twitter will end up charging for their service but will rather take the advertisement supported model but regardless I support it and will absolutely pay for it if they charge a fee, it's worth it.

Consider the intrinsic benefits of these tools before making a rash decision like John Mayer to close his account on Twitter recently. He just locked out 3 million fans from being involved in the conversation. The value of staying in front of your audience is priceless. John made a silly move to close his account and if I was his agent I'd be having a fit right now. The fans are his customers and his obligation to keep happy. No fans means no money. No celebrity is above bottom line numbers being affected by silly moves like that.

If you're thinking Twitter is simply a site to say "your getting a coffee right now...." then let me clarify that you have completely missed the strategy and opportunity with it. It's more than discussing random thoughts and the people who only use it for those purposes think they get and really don't. It's blows the doors off of most promotional outreach strategies if used correctly and will continue to do so. If there was a monthly fee, it would be insignificant compared to the value of it.

- Robert Cornish
CEO, Richter10.2 Media Group - Follow us @richter102media

Thursday, September 9, 2010


Have you ever truly looked over the value of speed as it relates to your companies growth, strategies, sales, delivery and expansion? I personally rate this as one of the highest valued items in our agency and in any company.

Speed. How fast you can take an idea into execution to make that idea a reality. Speed is your friend and time is your enemy. Speed of delivery. How fast can you deliver your product or service with the highest level of quality. Speed of sales. How fast can you find your audience, prospect, sell and close them to create hoards of new business.

Speed is something you should measure, if you don't already. People talk frequently about competition, what the other companies are doing etc. If you master speed, the truth is, there isn't any real competition out there. Most companies are slow. Most people are slow. Competition is a highly overrated concept. Focus on speed and the "competition" becomes something that you view from a distance scratching your head wondering how and why they don't get it.

Even looking at today's economy, if people and companies operated faster, new companies started fasted, decisions were made faster, speed became a central and crucial element of the marketplace, we wouldn't have a problem. The economy would recover swiftly and new fresh funds would be produced and circulated quickly.

Sometimes simple answers are the hardest to figure out but are ultimately the best solution.

Make a point this week and next to execute tasks faster. Speed up your cycles. Look at how you can take the time out of the equation on situations and your production will increase. Look at all the applications of speed and figure out how to put them into action.

- Speed of sales
- Speed of promotional ideas to get them into action
- Speed of quality delivery
- Speed of internal communications
- Speed of external communications
- Speed of news to the market
- Speed of promotional updates or changes such as websites etc
- Speed of hiring, training and executing actions
- Speed of meetings and phone calls

While this may sound a little overboard - it's not, I assure you. There are slownesses all throughout your personal actions day to day as well as throughout your company and I promise, it's costing you the game. Take speed seriously. Get disciplined about it and your "competition" will become a silly concept. Companies are slow, people are slow ..... take advantage of it.

- Robert Cornish
CEO, Richter10.2 Media Group