How Technology Is Changing Sales Forever

Technology has shaped the way we do business, especially in the last fifteen years. Over the course of its transformation, the sales and marketing aspect of business has evolved from one mode of customer engagement to the next.

This paradigm shift has had a lot of implications in many of today’s small to medium enterprises. Accessibility to products and services coupled with the growing number of online users also meant that the competition for customer attention will be more relentless than ever.

There are number of ways our recent technology in sales and marketing has affected the business sector. However, our focus will be the most prominent ones and have the greatest impact to customer engagement and sales on a global scale.

 

Major Shift from Traditional Marketing to Omnichannel Marketing

Before PCs and smart phones were adapted for consumer use, customers had no way of interacting with the businesses since everything was basically a one-way communication between the company and the audience (also known as traditional outbound marketing).

But as more people are starting to gain access to online services, this type of customer engagement had slowly become a thing of the past.

Some companies took their old marketing approach and moved it online (YouTube commercials, online ads, online stores, etc.). However, unlike traditional media, online consumers are able to make their voices heard through the social media, comments section, forums, online reviews, vlogs, and the list goes on.

This sparked a new era of customer engagement and the birth of omnichannel marketing. Businesses are continuously harnessing the potential of social media, blogs and online sites, using the latest CRM technology to manage their contacts and maintain customer relationship.

 

Bigger Opportunities for Small to Medium Enterprise

Big companies used to occupy a large portion of the market until the Internet reached full status at the turn of the 21st century. They stayed top-of-mind through promotional ventures and ads, while small businesses struggled to make an impact.

But with the major shift from traditional marketing to online customer engagement, things are about to change. Today, it is not uncommon to find multi-million dollar businesses with a solid online presence coming from the lower echelons of the business sector.

Social media, email marketing, content marketing — to name a few — enable business owners to expand their borders far beyond the reaches of traditional marketing.

However, unlike TV ads and other promotional material, it is by far the most cost-effective method when it comes to promoting brands and maintaining customer loyalty, so much so that even long-established companies followed suit and retrofitted their businesses with online marketing strategies.

 

More Businesses Competing for Online Space

Competition is the natural outgrowth of this technological innovation in customer engagement.

During its infancy the Internet relied heavily in physical servers to create a virtual space for users worldwide.  When cloud computing went full swing, this limitation was done away with.

Consequently, competing businesses have also grown by the millions using the Internet as the battleground for online supremacy.

To see just how much competition we’re dealing with, try searching the word ‘car’ in the Google search bar and you’ll find over 5 billion search results just for the word.

Assuming that you’re doing car sales, this meant that establishing your online presence would be an uphill battle unless you have the technical know-how to outmaneuver and bury your competitors.

Because competition is so fierce, businesses must continue to innovate and find new ways to stay relevant. Content marketing has become a buzzword and now businesses are flooding the market with blog posts, podcasts and videos. But because there is so much content, it is hard to stand out with a simple 500-word post.

Kijiji featured some up-and-coming rap artists in one of its campaigns. A Montreal rapper made a song called “Gotta sell my stuff” which received over 830,000 views on YouTube.  This is the type of content marketing that will be successful — fun, entertaining, and inclusive. Content marketing is not about talking to your customers. It’s about including them into the conversation.

 

Improved Customer Service through CRM

Since the advent of customer relationship management tools, customer service has improved by leaps and bounds. Companies don’t have to pull numbers out of thin air when trying to figure out their customer’s specific ‘pain points,’ creating value for their customers, and improving customer experience.

Mobile CRMs such as Small Business Dream features customer acquisition tools, including sales funnel, card scan function, survey engine, Google Analytics, coupled with an efficient follow-up system to keep track of every customer engagement, upcoming calls, or scheduled appointments.

By emphasizing a customer-driven approach to sales and marketing, businesses are able to keep a steady flow of qualified leads and repeat customers.

Visit our site at www.smallbizdream.com and experience the power CRM technology for your small business.

Digital and Physical Customer Engagement, and Why We Need Both

The Internet’s rise to power in the late 90s  has changed the way businesses interact with customers in an unprecedented way. Online stores and e-commerce websites started a new trend in customer engagement which enabled all kinds of businesses to link up with customers worldwide.

It leveled the playing field between small businesses and large companies by introducing automation and digital customer engagement which replaces many of their routine tasks, and lessened the impact of promotion expenses by harnessing the power of the World Wide Web.

This begs the question whether or not this movement would replace the human aspect of customer engagement. Is it possible for all businesses to be run entirely with automation in the near future?

 

Pros and Cons

To answer this, we need to look at the possible outcomes of using just one method of customer engagement.

Consider the following pros and cons of relying solely to one method of customer engagement:

 

PHYSICAL CUSTOMER ENGAGEMENT

Pros

The ability to communicate with customers on a deeper level. This can be accomplished personally, over the phone, or online.

Businesses interact with their clients in a meaningful way, providing answers to specific questions, issues, and concerns.

Cons

A high volume of customers could also mean hiring additional personnel to improve service. This translates to higher costs in running the business (hiring, training, employee benefits, etc.).

Slow response compared to digital customer engagement. Everything is basically a one-on-one engagement.

DIGITAL CUSTOMER ENGAGEMENT

Pros

Repetitive and time consuming tasks are accomplished quickly and easily through automation and CRM tools and applications.

Highly efficient and scalable. Businesses can accommodate a growing number of customers and adapt to their needs without having to hire additional personnel. This translates to lower operational costs and a better chance to compete in the marketplace.

Cons

It requires some experience and technical know-hows of customer relationship management.

Tends to be ‘robotic’ because it lacks the human aspect of customer engagement.

 

As it turns out, ‘digitizing’ customer engagement is not everything. There are certain aspects of customer relationship that could never be replaced by complex machines and IT services. By the same token, relying only to physical customer engagement will yield an equally unpleasant result.

 

Avoid Both Extremes

Relying on just one mode of customer engagement is a recipe for disaster. There has to be a delicate balance between the two and  they should be used to complement each other.

There are many examples of companies that suffered enormously because of their inability to adapt to the changing trends, particularly with the way they interact with customers.

Tower Records is one example of a business empire that succumbed to the Internet’s rise to power. Online music stores slowly ate up their dwindling customer base until its eventual collapse in 2006.

A post-mortem analysis showed that they failed to anticipate the emergence of online stores like iTunes which sold digital music and music files at a cheaper price. Tower Records overstretched their resources in physical stores and outlets and was unable to come up with a digital alternative in response to the customer’s changing needs.

On the other end of the spectrum, Sears Holdings did the exact opposite with the same catastrophic results. Most of its resources had been used up for e-commerce and other online ventures and left a small portion to its brick-and-mortar business.

As a result, other companies took up that space and the company had lost a substantial market share to its competitors. In seven years time, stock price had gone down by 75%.

 

We Need Both to Succeed

A perfect blend of digital and physical customer engagement is the key to become a successful business in a highly competitive environment. Whatever shortcomings digital customer engagement has are completely wiped out by its physical counterpart, and vice versa.

To learn more on how you can incorporate the digital aspect of customer interaction to your brick-and-mortar store, visit our website at www.smallbizdream.com and learn how you can grow your business with our suite of tools designed for small business owners like you.

 

Even the Government Uses CRM – Here’s Why

When we think of Customer Relationship Management, we normally associate the phrase with big corporations and business institutions.

For quite some time, CRM has been used successfully to attract and maintain good relationships with customers by improving customer service and maintaining constant interaction with them.

It is also a cost-effective way of increasing revenue through targeted leads and emphasizing customer loyalty as opposed to traditional marketing strategies that use expensive ads and gimmicks to get customer attention.

One of the hallmarks of CRM is its ability to respond immediately to customer’s needs and requests — something which most government agencies are incapable of.

Even today, the majority of the public sector still relies on antiquated methods of data storage and data analysis to do their job. Compare this to businesses in the private sector that employ CRM and you will notice just how fast they are able to respond and adapt to their customer’s needs.

Public Service and Customer Service – the BIG Difference

When you go to a hair salon or restaurant with good customer service, their employees make it a point to treat you like their boss and  make you feel important, respected, and cared for.

When doing business with a publicly owned institution, you might be able to see the difference because in most cases you are treated way better in commercial establishments than those in the public sector.

The difference between the public and private sector is the way they treat their clients. Most public institutions look at their people as subjects who don’t have much of a choice other than to make use of what is made available for them, and to “pay taxes to whom taxes are due.”

Businesses, on the other hand, stand to lose money. If they don’t have enough customers to keep the ball rolling, they are at risk of losing their business. For the government, it’s probably more than just losing money; they stand to lose the very people who makes them.

How CRM Will Benefit the Government 

In this day and age, we don’t need clunky machines and outdated systems to handle large amount of data. We don’t have to settle for painfully slow and overly bureaucratic way of planning, decision-making, and implementation.

Here’s how CRM will allow the public sector to function in the most efficient way possible:

  • Greatly enhance e-Government implementation — People who have been working in the government knew just how important it is to organize and systematize their tasks to meet their deadlines and avoid getting swamped with pending jobs and unfinished paper work; hence the adoption of the so-called e-Government. This modern approach  to governance helps eliminate time-consuming tasks, thereby increasing efficiency and cutting down on operational costs.
  • Collaborate with other agencies more efficiently — Most government agencies struggle to make their jobs faster because of the very nature of how the system works which involves collaborative planning, decision-making, and execution. Functions within the departments, bureaus, and agencies are also interdependent on each other. CRM can be used as a tool to coordinate these tasks and provide a seamless experience to their constituents.
  • Be more responsive to people’s needs — Some countries are looking into the possibility of incorporating CRM when responding to inquiries and complaints. Others have already been working with software companies to provide them with CRM applications suitable for public use. Before, they used to have suggestion boxes in conspicuous places. Software companies offer a better solution by providing a CRM app that links every citizen to the public sector and respond to their needs the same way a privately-owned business enterprise handles every customer.
  • Pro-active approach  to problem solving  Most of the time, the public sector could only respond to current situations but not so much in preventing them from happening  in the future by taking a proactive approach.  With CRM, governments can accurately measure how well or how bad their strategy was so they can plan out well and be able to anticipate any problem that may arise.

To learn more on how you can apply CRM to your small business or any business endeavor, feel free to visit Small Business Dream and we’ll help you out and work things to better improve your customer service and increase your sales.

Sales & Marketing Automation and CRM: Their Differences and Similarities

What is the difference between Sales and Marketing Automation and Customer Relationship Management (CRM)? And which one is more useful for your business? I’m sure it’s making your head spin.

In the beginning there was much more of a distinction between the two. It was generally believed that CRM was more about customer service and possibly upselling or reselling new and existing customers, while Sales and Marketing Automation were about the sales cycle and how to prospect and initially sell to new customers or clients.

CRMs were hard to learn and quite expensive, most small business owners didn’t bother looking at them.

Sales Automation and Marketing Automation tools were often better priced but seemed to lack power or could only handle ONE or TWO of the necessary functions requiring you to purchase multiple tools and figure out how to transfer info between them to make them work together.

Here’s a rundown showing the differences between the two so you have a better idea what they are, what function they serve, and how you can incorporate them into your business.

Customer Relationship Management (CRM)

  • Customer Profile
  • Searchable notes and account data on each customer
  • Sales History that amalgamates up to departments and the entire company
  • Tracking of all customer communications
  • Customer service tools
  • Customer support tools
  • Customer retention tools
  • Sales campaign tracking and data utilization

Sales Automation and/or Marketing Automation

  • Contact Management
  • Calendars
  • To-do Lists
  • Email Automation
  • Sales lead assignment and categorization
  • Sales Funnel
  • Surveys
  • Customer Records
  • Salesperson tracking and goal and target feedback

Although they seem similar, their purpose is quite different. Sometimes it’s hard to tell apart which of the two you are currently using. They could be used interchangeably but there’s also an overlap, or they could be used as complementary tools.

How about Today?

The great news is, there are many tools today that blur the differences even more which can be used as a substitute especially for a small business (under $3,000,000/year in sales). For example, you can get software such as Click funnels for $100 a month to handle just the online funnels aspect for you.

No longer do you have to pay thousands of dollars to have these tools. They can actually be quite affordable. In fact, there are some companies that integrate both the sales automation with customer management like Salesforce, Hub spot, or Marketo. But for a vast number of small businesses and small shops they are still too pricey. For example Hubspot starts at $200 a month for the very basic package.

Small Business Dream combines the power of Hubspot, Marketo, and Salesforce for just $99 a month and can be customized to fit the needs of every small business owner. With their suite of tools you’ll get:

• Contact Management
• Automatic email follow-up
• Calendar integration
• Survey Engine
• Social Media semi-automation tools
• Twitter functionalities
• Sales Funnel
• Business Card Scanning and Transcription service
• Mobile app
• Web App

Visit us at www.smallbizdream.com to learn more about our suite of tools

Why You Need Customer Relationship Management

There once was a little carpet store in Richmond, BC (Canada) that hired a family member, (let’s call him John, name is changed to protect the awesome!) to come in and try to help with the carpet store’s sagging sales.

The carpet store was one of the smallest in a larger carpet store franchise, and things just weren’t going well for it. A much larger sister carpet store in the same franchise kept bringing in the big sales numbers, but his poor little carpet store just kept plodding along with very little sales growth, or improvement in profits.

Now, John joined the carpet store to help out, and he had extensive sales experience. The rumour was that he could sell refrigerators to Eskimos. (Canadian joke eh!)

For months and months John tried and tried, but just couldn’t change the carpet store’s pitiful sales numbers.

He had a friend named Dennis who owned a small business consulting company, that offered to provide John with a “secret weapon” to turn sales growth ON and increase profitability FAST!

During the conversation, Dennis told John that he could save him time in the sales process during his day as well.

Low on belief, but trusting of Dennis, John agreed to learn more. He didn’t tell his family he was doing this, just in case the “secret weapon” didn’t work.

So what was the secret weapon he was offered? Sorry, not so fast! Let me start by telling you about the magic that happened to sales as a result of this “secret weapon”!

The carpet store franchise is quite organized as far as giving recognition for both the stores, and to their salespeople for being outstanding.

John went from nearly a year of obscurity in the carpet store franchise sales rankings, never once making the top of anything, working in a carpet store in the smallest category that also never made it to any of the top performer lists, even against the carpet stores of the same small category, to accomplish some truly amazing things.

John became the top selling sales rep in all the top level carpet stores, and the other salesperson in the carpet store who also secretly used the ‘secret weapon’ became 2nd! This was within 60 days of employing it on the retail floor of their carpet store!

The store became one of the TOP 3 performing carpet stores in the chain! NOT just in their weight group!

How?

What was this secret weapon?

It’s much simpler than you might think.

It comes from thinking outside the box, and doing something that many would say is NOT recommended as a carpet store sales strategy!

The “secret weapon” was Small Business Dream, a mobile and web app. Not just any old mobile or web app, but a mobile app and a web app. Quite a simple yet comprehensive sales and marketing automation and mobile CRM software suite.

John set about to secretly increase the carpet store’s sales using Small Business Dream. He spent a few days tweaking and playing to establish a good sales method, funnel, flow, and follow up that included comfortably getting carpet store customers to take a short survey and agree to give their email address to get more information and stay in touch with John and the carpet store.

He had configured a number of email auto-responder follow up series to follow up with people interested in particular items like Carpet, or Hardwood Flooring, or Linoleum etc.

A week later, John had about 35 contacts who had gone through his simple survey. He had automated emails based on their chosen flooring interests that were triggered based on what they indicated their interest was in the survey questions.

John did NOT give his mobile phone to the prospect, he filled in the Survey for them to keep it frictionless. When the carpet store was too busy, he had them fill in a small 1/8 size piece of paper asking the same things and collecting their data to enter into the mobile CRM later.

The following week he had made 3 sales he knew he never would have chased or followed up with without the sales automation due to the small order size or feeling the person wasn’t serious about purchasing. (This is a critical error of any salesperson, never prejudge, we ALL know it as sales professionals, but we all still do it!)

More exciting, was that suddenly a lot of communication had opened up by email vs. needing to try to contact each other on the phone. Quick AND efficient.

He started to use Small Business Dream to follow up on in store visits, measures, installations, and the whole 9 yards of the carpet business. Suddenly John was the “Go To” guy in the carpet store for anything, as the carpet store’s paper based systems were so impossible to use, and finding quotes or previous paperwork was close to impossible.

Due to the Small Business Dream mini CRM that John was using, all of that info was at his fingertips, in real time. He even got calls on his days off to answer carpet store questions as only he could get the answer quickly in his mobile app!

His carpet store sales were up year on year and month on month, from the very first month that the app was secretly employed. The carpet store owner couldn’t figure it out.

Fun things started to happen!

A guy walked into the carpet store on John’s day off and says to the other rep on the floor that day…”I don’t remember who I talked to over a month ago when I got a quote for $2900 worth of flooring from your store, but he has followed up with me by email constantly to see where I am at. Please sell me that flooring!!” So cha ching… John on his day off closes a $2900 deal at 9% for an unexpected extra commission of $261 and decides to have steak and lobster for dinner!

As things progressed, John kept talking to Dennis, and Dennis suggested John push the email follow ups further than the few weeks that John had done so far. Dennis suggested a 3 month and a 6 month follow up email to be sent on each category.

John wasn’t sure, and put up some resistance, saying nobody in Carpet or Flooring waits 3 or 6 months to buy, so it’s a waste of time. Dennis suggested to add a few emails which would only take 20 minutes to write and upload, so what did John have to lose?

Dennis also knew that in Vancouver, a building permit could take 4 to 6 months in some cases, so if the renovation that needed the carpet or flooring was delayed due to the permit process, it was logical that a 6 month later follow up could possibly yield results. And guess what?
IT DID!

Within a week of adding the 3 and 6 month automated follow up emails to the series, a customer came into the store asking where the guy that kept emailing him was. John felt like hiding, the guy seemed angry. The other sales rep, not wanting to be mistakenly singled out immediately pointed at John and said, it must have been John!

The guy walked up to John, re-introduced himself, and said he was ready to go, that the permits had finally come in on that $14000 carpet job. Almost ½ of John’s monthly quota for the very slow month that the sale came in! $14,000 x 9% = $1260!

He then also said very clearly that John was not the cheapest carpet store he got a quote from, but he was the only salesperson still following up, and he felt if the service before the sale was so great, the service after must be excellent.

So, John simply took a little time to get prospect and customer data and put it into a mobile CRM, by actually taking the customer’s time to do it right in front of them. Many say you shouldn’t do that.

John’s experience? Customers loved the follow up, they loved that they got emails from John which reminded them of questions they had to ask, and could easily ask vs. having to phone John.

They had a “Truckload Sale” on area carpets, imagine the family’s surprise when by they time they got in, the truck was empty as John had sold every single one by sending out a simple email blast to the 620 or so previous customers, and existing prospects with a time limited sale offer for that truckload of area rugs.

Now John’s carpet store is rabidly awaiting the Small Business Dream add on app called my Carpet Store to allow their customers and prospects to connect directly to them, and receive updates, specials, and follow up directly to their mobile device by push notification in addition to email!

DATA = POWER

DATA in a usable format, and the creativity on how to use it = Sales and PROFIT GROWTH. What do you have to lose?

Furniture Stores, Industrial Supply, Electronics stores, Shoe Stores, Hair Salons, Spa’s, Financial Planners, Real Estate agents, and the list goes on and on who could benefit with similar simple strategies and the app called Small Business Dream.

How An Obscure Restaurant Became A Massively PROFITABLE Downtown Vancouver Sensation How An Obscure Restaurant Became A Massively PROFITABLE

It all started in Vancouver a few years ago. A restaurant owner opened a Japanese Style Korean barbecue franchise from Japan location in Vancouver.

The small business restaurant owner selected the location, a space that was way too big in the eyes of all the restaurant owners and professionals in Vancouver, and a place where time after time, restaurants had failed to succeed in the very same space.

You see, the space was much too big for such an obscure chain restaurant doing food and drinks that “normal” Vancouver people may not be able to relate to. Or so the “experts” said. The location was bad, impossible to see, and too far back from the road, almost subterranean. Parking all around the area was also very expensive.

You see, it just couldn’t work. Unless the small business owner had some kind of a secret weapon. You could almost hear the little train saying, “I think I can, I think I can, I think I can”. Now a secret weapon the small business owner surely did have! So secret that they could hide it right in plain sight and have no other restaurant owners copy them.

It was so simple that most restaurant owners would actually argue that is not only unnecessary, but possibly even not to be tolerated by restaurant patrons.

Genius, yes. But … frowned upon? Maybe?

The secret weapon was not really a hard thing to do, but it would take some time, some training, some effort, and a possibly even have a small cost.

You see, it would be hard according to most restaurant owners, as someone would have to be made responsible to do it right. One of your already overworked restaurant staff, who has no time at all when it is busy, may have to add a step to their job.

Of course as a restaurant or small business owner, this is always difficult, as you wouldn’t want to put your staff out with a work task they might not like or feel comfortable with. Or worse yet, pay some money to outsource it. You see it just won’t work, so most restaurants never even bother.

Let’s also not forget the fact that almost nobody in the restaurant industry uses this very simple secret weapon, so it must be a bad idea. You as a entrepreneur, restaurant and small business owner should probably stop reason as the Secret Weapon is something really simple and silly and you likely won’t’ like it or believe it.

So just what is the Secret Weapon?

Sorry, not so fast.

This obscure restaurant, did the hard work of setting up this Secret Weapon for only about the first 3 months of their existence.

Then they reaped the rewards of its awesome power for YEARS to come…

They were busy, well, actually lined up almost constantly for the following two years and even to this day, just by utilizing OVER and OVER this very simple secret weapon they took the time and care to set up.

It likely cost them less than $350 to set up. It likely costs them under $100 a month to maintain.

They have now opened another location in Vancouver, and they implemented the same secret weapon they started building in location 1 for location 2. Now the 2nd location has been packed since opening day.

Ok, enough of the suspense. What is the Secret Weapon this restaurant has so successfully employed?

DATA! Yep, simple data.

Well, I guess it’s not just data, it is data that they collected, and now utilize almost once a week. So let’s take a look at how they implemented and utilized this secret weapon called “data”.

They collected their data in an old school fashion, and we suggest this is always at least one of your data collection components to all of our clients.

Yes we know there are iPads, and Surfaces, and tablets, and iPhones and Android devices and all this smart technology, but sometimes OLD SCHOOL is better for many of your restaurant guests.

YES you should have a QR code that sits on a tent card on the table and offers people to join your mailing list by filling in a simple survey from their smart phone, and some will. You could also do Coasters! Coasters are just like business cards that can be pondered at the table and even taken home.

YES you should have a very short url to redirect to your same survey/data collection landing page for those who prefer this way.

YES you could suggest they just give their twitter name, name and email address by twitter.

YES you should ask them to follow you on Facebook.

BUT…

This company didn’t do ANY of those things for the first 3 months.

They simply gave out a small 1/8 of a page mini survey/feedback paper to each person at the table with the bill.

They offered that all who joined the newsletter would be in a monthly draw for a $100 gift certificate. They started with just a random pen left at the table to fill in this overly photocopied UGLY piece of paper, that wasn’t even cut straight (darn hard to get good help in a restaurant!).

Then they ‘upped their game’ and gave out a golf pencil that was branded with the restaurant name. Customers were even encouraged to take it home if they liked.

Then the magic happened. They actually did something with the information!
Someone was responsible to actually entered a into a CRM type sales automation system like Small Business Dream.

They likely used the simplest one around, or who knows, maybe they simply used Outlook. All that matters is, they took action. They made it someone’s job to enter this data nightly, or who knows, maybe the paid a subcontractor to do it. And yep, I’m sure many of the surveys had hard to read email addresses, and I’d bet the bounce rate was out of this world. By the third month, I bet ½ or more were duplicates so they were wasting time. But they kept entering.

Right from the first week of collecting this data, they sent out the first email. Showing off specials during certain times of day, or that Monday was all day Happy Hour with $9.99 pitchers of beer at the time, ALL day Monday. Within weeks Mondays were packed and pretty soon, every day was full to capacity.

They didn’t sweat that many of the emails couldn’t be used because they were illegible. They didn’t worry that their survey paper looked awful. They didn’t worry that their staff didn’t feel comfortable handing out the survey. They didn’t worry that their pencils were taken home more often than not. They just continued to TWEAK their secret weapon! They continued to use their secret weapon and they continued to be full to capacity, night after night.

They opened another location, rinse and repeat. Imagine if they had an even more robust secret weapon. One that would have taken away some of the cost and time by giving patrons options like mentioned above:

  1. An iPad at the bar or front desk to have people join the mailing list while they waited for a table.
  2. Taking the survey by QR code
  3. Taking the survey by simple URL
  4. Taking the survey by submitting a direct message on Twitter, or a mention on twitter.

They continue to be a booming success, month after month, year after year, while restaurants in better locations, with better themes and menus with better parking, continued to fail. Not one of the failures employed the ‘secret weapon’.

Now the story gets better! This great Korean Barbecue Japanese restaurant went a step further.

They started a loyalty program with an actual member card. Customers got points for eating there, and they could then redeem the points to get $25 OFF their meals once they had enough points.

Again, back in the day, the waiter/waitress had to take your card, disappear into the back, likely login to some system that allowed them to track your purchase, and how many points you had, and notify you manually when you had enough.

They continued to evolve, they continued to add power to their secret weapon. The loyalty program became connected up to their POS (point of sale terminal). The customer receipt now told you where you were at for your point balance each visit. The customer could email in a picture of their receipt if they forgot their card, and it was someone’s job to match it up and credit the customer. Goodness me, what a terrible thing to make a staff member do when they are so busy!

By now I think you are starting to see that this company had a bigger secret weapon than just their data, they had the determination to make it happen instead of making excuses for why it may be too hard, or that the staff may not like it.

Then they upgraded their secret weapon again! They invested in a simple mobile app. This now allowed people to join them for the purpose of getting updates as an app, and of course we all know a mobile app sends out push notifications instantly vs. the email mailing list that can take some time to send once it gets large. This allowed their message to be received in real time, and not end up in a spam folder, or ignored by a millennial who only looks at their email once a week, if that.

Then they upgraded the weapon again. The entire loyalty program was now contained in the mobile application! You could literally redeem your points for something free in front of the waitress and it was brought to you. Now instead of waiting till you had $25 built up, you could redeem for even a $5 item. The patrons responded, and continue to respond, packed full night after night, and even have a very healthy lunch crowd.

The restaurant or bar Happy Hour, Tappy Hour, Appy Hour, regardless of your restaurant or bar type, whether you serve Alcohol or not, you may benefit from implementing a Happy Hour. It is a common fear of restaurant and bar owners worldwide that Happy Hour will reduce their revenue by taking their regular customers and having them eat or drink at a discount during restaurant happy hour periods.

As common as this thinking is, in most cases it’s simply not true. The occasion where it can be true and you must be careful, is in the case of a restaurant that never runs at capacity, even on its busiest days, in other words an unsuccessful restaurant just barely getting by, or even losing money.

If you are in this situation, it might hurt your restaurant a little bit in the short term, but it can also be the thing that sparks your restaurant to being busier and growing your restaurant’s customer list. You need to know WHY your restaurant is not busy. If your food or service is bad, Happy Hour strategies will NOT help you.

There are essentially three ways to increase sales in a restaurant, bar, or pretty much any business; Happy Hour for Your Restaurant, Pub, or Bar, a disaster waiting to happen? It is a common fear of restaurant and bar owners worldwide that Happy Hour will reduce their revenue by taking their regular customers and having them eat or drink at a discount during restaurant happy hour periods. Happy Hour done right in a restaurant or bar can actually help you with all three.

1. Get More Customers

By having and promoting a restaurant happy hour, your existing customers are much more likely to bring people they know to your establishment. Treat them right at your restaurant or bar’s happy hour and you can retain a new customer. Want maximum bang for your happy hour bucks, make sure you are using a mini CRM tool like Small Business Dream to collect all your customers’ data, and the myRestaurant mobile app to allow direct push notification communication with your new restaurant customers.

2. Increase average restaurant customer purchase

By putting your higher margin items at a discount like special drinks, or premium beer, or new appetizer items, you’re getting people to step out of their regular restaurant or bar purchasing patterns to try some of your premium items. This can lead to higher average checks when they return to your restaurant outside of happy hour.

3. Sell more often to each customer

Again by having new restaurant customers come to check you out at a discount, if you have a CRM type tool in place, helping you with your sales and marketing automation tasks like letting them join your newsletter, or specials updates letter, you will have the ability to have them come back to your restaurant or bar due to your direct invitation with an offer that is NOT happy hour.

Done right, with the purpose of building your restaurant customer list to re-market to, Happy Hour can hardly ever get your restaurant or bar in trouble.

Interestingly enough, the busier your restaurant or pub is during your peak hours, the more you can increase ONGOING restaurant sales by having a happy hour! Think of it as bribing people to get their data to remarket to them.

If you can move 10% of your customers to come before 6 pm, having them out by 7:30 pm or 8 pm in the case of a restaurant, it allows you to pick up a few more reservations or walk-ins that you may have turned away due to being full.

This is a massive boost to your bottom line if your restaurant can benefit from this. There is also a savings to your labour costs, and a benefit to your staff.

As many restaurants employ part time staff, whether you schedule them 5 hours or 6 or 7 makes little difference to the staff member, other than the positive of they get more hours and possibly don’t need to work 2 part time jobs.

Do your job right, and in a tipping economy, you can even earn more in the tip pool.

There are a number of things you can do to really multiply the advantage of your restaurant or bar’s Happy Hour:

1. Collect restaurant customer data with a tent card on the table offering them to join your newsletter for special offers, like you on Facebook, follow you on twitter, follow you on Instagram etc.

2. A QR code can be fun and easy printed on your tent card, make sure you have a super simple URL using a URL shortener so customers can easily enter the URL to be taken to your newsletter signup page.

3. Have a draw for a $100 gift certificate for any new people who subscribe to your newsletter.

4. Offer a very simple and inexpensive appetizer (nuts, edamame, chips) for any who like your Facebook page, and check in.

Once you have built your restaurant customer list safely in your sales and marketing automation software, you can really start to reap the rewards of your Happy Hour endeavor by filling your restaurant at will on a slow day, by simply emailing out a special offer for those who come on the slow day at the slow time!

Don’t forget you MUST AMPLIFY the results of your restaurant, bar, or pub happy hour by employing a mini mobile CRM sales and marketing automation tool and mobile app for YOUR customers like Small Business Dream.

This blog post will share details more specifically on how to growth hack (grow rapidly) your small business restaurant sales. Click here to read the little restaurant that could blog post which tells the actual story of how this all worked in a restaurant in Vancouver ALL the experts thought would fail. So, as a small business restaurant owner, do you have your small business customers data? Do you know why you SHOULD have your restaurant customer data?

The reason you want to collect this data and build a mailing list is to eliminate sales vacancy. What is sales Vacancy? An empty table when you have staff to cover it is sales vacancy, and sales vacancy is almost pure profit if you are at least breaking even on your current sales volume.

Once you have this data collected, you can literally fill your restaurant on a slow day with the click of a few buttons. Let’s say you know Monday nights are often slow, you could send an email to your list offering 2 for 1 appetizers during the slowest period to bring people in. This is m uch more effective than a sign out front, as it would be seen by all your customers, not just the ones that walk by. Restaurant Owners customer data worth a minimum $26.65/year in sales! This story will share details more specifically on how to growth hack (grow rapidly) your small business restaurant sales

You could offer drink specials or have a happy hour you announce with a mail blast (read our article on why this can work by clicking here).

Want to really ramp up sales? Send out any specials you have new this week in your weekly newsletter, and most importantly, a few you will take off the menu AFTER this week. The funny part about this technique is it creates urgency and scarcity at the same time, making it much more likely someone will book to come and see you THIS week, vs later or when they get around to it.

This leads to increased sales frequency which is a fantastic sales growth hack. What if you could get each customer to come back to your restaurant an extra 2 or 3 times per year. Make them come every 3 weeks’ vs the natural ever 4 or 5 or 6 they normally come. May that increase your profits?

Small Business Dream allows you to collect data in the way the little restaurant that could did (in this post) to utilize with sales automation and marketing automation with a simple survey on paper, or as we explain later in this article with a few other creative and more automated methods. We recommend doing all these things at once for maximum sales hacking growth.

A paper survey is a simple 1/8 piece of paper given out with the bill to each person at the table by your wait staff. Include as many golf pencils (can buy at any office supply shop for a few cents each, or better yet order them with your restaurant name on them and let people “steal” them) as you give surveys to keep the process easy.

Ask for their name and email address, and how they liked you on a scale of 1 to 10. Food, service, ambiance. Ask them if they want to be on your mailing list, and offer something for them to give up that data and be on your mailing list. Mailing list lets us send you great offers and update you on menu changes etc., a n d ‘bribe’ them by saying they will be in draw to win a $100 gift certificate each month drawn from all new newsletter subscribers. You have the option to do the data entry from the paper yourself, or you can use our automated transcription service to do it for you.

Let’s do some simple math on what this data is worth to your annual sales in your small business restaurant as a restaurant owner.

If you have customers that come an average of 1 time per month, and these techniques we are describing can get them to change that to once every 3 weeks as your restaurant is now top of mind, AND they get wonderful updates from you with specials, or notification of things going OFF the menu, or time limited specials going onto the menu, watch what happens.

Let’s say you have only 1350 people in your data base. A restaurant as small as 25 seats should easily have this within 3 months of collecting data.

If you have 25 seats at 60% occupancy on average and say 40% are new customer’s vs repeat after month one. The math goes like this.

25 seats x 30 days in a month = 750 people in 1 month on your mailing list.
In month 2, 750 x 40% = 300 new people on your mailing list and each month thereafter. In 3 months, you would have 1350 people on your mailing list.

Let’s say only 60% were repeat type customers that come on average 1 time per month. That gives us 810 people. Let’s say your average bill is only $25.
Your annual sales from this would be 810 x $25 x 12 (months in year) = $243,000/year.

If you now had them come back an average of once every 3 weeks what happens? 810 x $25 x 17.33 (52 weeks in a year divided by 3 weeks’ average visit to get how many times per year they come) = $350,932.50!!!!! That is a 44% increase in sales. at little or no cost to you! As you know, one of your biggest expenses is getting a NEW customer!

Still not convinced on the value of having your customer data?
If we look at the sales increase, divided by how many pieces of data you have, it will surprise you.

In one year, you would have collected 750 + (300 x 11) = 4050 pieces of data. Your sales increase was $350,932.50 – $243,000 = $107,932.50 If you want to consider that you only have 1350 pieces of data, that means each customer email was worth $79.95 to you. If you want to consider you had the 4050 pieces of data, each customer email was worth $26.65!

So is it worth a bit of effort if the worst case scenario is each piece of data you collect is worth a minimum of $26.65 to you?

So now you’ve seen the importance of collecting your customer data, let’s look at additional ways you collect it to even further grow your sales!

You have the option to do the data entry from the paper yourself, OR you can use our automated transcription service to do it for you.

One thing the little restaurant did NOT do, but you may want to consider in addition to the paper survey, is a fish bowl draw. Simply put a glass fish bowl at your front counter with a sign saying drop in your business card for the chance to win a $100 gift certificate each month, or a free lunch or whatever offer you feel you can afford to give to new subscribers to your list. Make sure you have some survey forms beside the fishbowl for anyone who missed them at the table and wants to fill one out.

Make sure you say on your sign that they will be added to your mailing list. Again you can transcribe the cards yourself, or use our built in human transcription service to do it for you.

Get a tent card made for each of your tables that displays a QR code and a Short URL leading to a mailing list subscription page, or even a survey if you want to learn more about your customers. (this is another tool included in the Small Business Dream suite)

Get Coasters printed with the information if you don’t want the cleaning maintenance of a tent card.

Collect newsletter subscribers from your website if you have one, and if you do not have one, get one! It does not need to be super fancy, but you do need at least a basic website!

It is simply amazing how many restaurants do not have their own website, but just rely on the YELPS of the world to do it for them. This is bad for your restaurant business. You should have your own website so these other sites can link to it, this allows you to control the narrative a bit more as your message how you want it to be seen is available to the public to offset any negative reviews you get. It simply allows people to decide if the negative news is justified or not. Without your own website, they have no choice but to form all opinions from the other sites that are collecting data and comments on your restaurant business.

Small Business Dream can be your simple website if you do not have one. No additional costs, its just one of the integrated tools in our Sales Growth Hacking Suite.

From your current website, or the one you set up in Small Business Dream you can direct people straight to your newsletter signup page (also a tool in the Small Business Dreamsuite), amplifying your in-store efforts by building a list of those who have not yet visited you, or saving data entry time/cost of those who join your list on their own.

Now you know the value of one piece of data is $26.65, you can see that you have no excuse to n o t get going on this asap as the payback is fast and huge.

Depending on your type of restaurant, and if you take reservations or not, there are a lot more tools in Small Business Dream that can benefit you. Should you be a restaurant that takes reservations, imagine the power of having this data, including a phone number you take when the reservation is placed.

You can now track customer preferences, like for example, what wine they ordered last time, or what their food preferences or allergies are. Does it take a bit of work to collect this data? Of course! With $26.65 being the lowest return on each piece of data, it would just get better and better as you learn more and more about your customers!

A full mini CRM and mobile CRM is also included in Small Business Dream, which includes a very powerful contact manager that you can use for collecting and recalling this data.

Finally, the big elephant in the room; Social Media! The restaurant that could, had a very cool strategy to build its Facebook followers. They offered a small appetizer that was super easy to prepare, low labour cost, and able to be done in advance. In their case they used Japanese Edamame, or soy beans. They made literally a micro portion, about ¼ of the size of the portion you got if you ordered it from the menu, served it in a funky container which made it seem special and not so smart, and offered it free if you checked in and liked their Facebook page.

We would recommend you also do this for Twitter, as Facebook has made it very hard to communicate with your fans without paying. Only about 2% of your page likes ever see your posts organically in Facebook now. That said, it can be very cost effective to do an advertising campaign only to your fans with Facebook.

The advantage of twitter is that it can still go viral. Small Business Dream has a great Twitter and other Social Media tools built in to it’s suite to help you manage these lists and posts.

Your social media campaign is most effective if it always pushes people to join your mailing list. We know it sounds old fashioned but a good email list is still worth a fortune to your business. Keeping up with social media can make you seem more relevant and cool, so doing both with the purpose of ultimately building your list is an very effective strategy.