Guerrilla Retailing

Orvel Ray Wilson, CSPSenior Partner

THE GUERRILLA GROUP inc

It’s a Jungle Out There!

• Economic Uncertainty

We Apologize

It’s a Jungle Out There!

• Economic Uncertainty• Ruthless Competition

It’s a Jungle Out There!

• Economic Uncertainty• Ruthless Competition• Demanding Customers

More More More

It’s a Jungle Out There!

• Economic Uncertainty• Ruthless Competition• Demanding Customers• Pressure on Prices and Margins

Slowly but Surely

The most successful marketing series in history:

What Do We Mean by “Guerrilla” ?

• Time• Energy• Imagination

Time

• Marketing is cumulative• Stick with it

Energy

• “Fatigue makes cowards of us all.” – Vince Lombardi

– Eat Right– 20 Minutes a Day– Reward Yourself

Imagination

• “Imagination is more important than intelligence.” --Albert Einstein

– Think Big– Think Small

• Message in a Bottle

“Never, ever, think outside the box.”

Characteristics of a Guerrilla Retailer

1. Investment

• The Law of The Slight Edge: “The difference between a champion and an also-ran, more often than not, is a very slim margin.”

Invest in People• Hire first for Attitude

– “It’s not the location, or the market, but the SALESPEOPLE.” – Bob Lynn, Moorehead Communications, Marrion, Indiana

• Train Constantly• Resource Center• Use Outside Experts

Invest in People

• DISH U– More than 100 training modules on-line

• Retailer Development Forums• Team Summit

Invest in Technology

• Demo Equipment• Event Kit

– EZup tent, banners, table covers, flags, literature, and activities to stop traffic

• Easy to Deploy

Invest in Technology

7x10 Mobile Office

Mike Buffington, One Stop Wireless, Lewiston, PA

Invest in Yourself

• Attend classes on Marketing, Advertising, Business Management

• Create a Master Mind

Invest in Your Community

• Get every employee active in Chamber, SBDC, Downtown Merchants, etc.

• Sponsorships for sports teams, bowling leagues, Parks & Rec, anywhere you can create visibility

• Get every employee active in Chamber, SBDC, Downtown Merchants, etc.

• Sponsorships for sports teams, bowling leagues, Parks & Rec, anywhere you can create visibility

2. Assortment

• TV• Radio• Newspaper• Direct Mail• Door-to-Door

• Sponsorships• Special Events• Contests & Sweepstakes• Community Involvement• Referral Programs

1 2 3 45

67

89

Number of Impressions

Total Apathy

Purchase Readiness

Prospect Learning Curve

Don’t Quit 48% quit after the first contact20% quit after the second contact 7% quit after the third contact 5% quit after the fourth contact 4% quit after the fifth contactYet 80% close AFTER the sixth contact

3. Consistent

• “Poor marketing done consistently will be more effective than great marketing done sporadically.”

• Consistency is interpreted as longevity, credibility, and trust.

3. Consistent

• It’s everything working together• Use your Co-op funds

– $2M left on the table

• Same look-and-feel across all touchpoints

He’s on another line

“He’s on another line at the moment, would you like to hold?”

5 Things Every Customer Needs:

The Need to Feel Welcome

• Greet at the Door• Never “May I help you?”• Smile first• Maintain eye contact

The Need to Feel Comfortable

• Offer refreshment• Dedicated seating• Offer your name• Use theirs• Explain the install

The Need to Feel Important

• Listen• Use Verbal Attends• Ask LOTS of questions• Take Notes

The Need to Feel Understood

• Avoid “Tech Talk”• Resist the temptation to over-explain• Never make them wrong or stupid

The Need to Feel Appreciated

• 30 days• 6 months• 1 year• 20 months

3 Ways to Generate More Referral Business

• “Don’t keep us a secret.”• Leave Referral Forms behind• Participate in Club DISH• Or create your own

– Diana Tucker, Valley Satellite, Patten, ME

Photo Note PadDear Charlie,THANK YOU for the opportunity to be part of Team Summit. What a ROCK SOLID group! OrvelRay

From the desk of Orvel Ray Wilson

34316 Gap Road, Golden, CO 80403 800-247-9145

Lifetime Customer Value

• Average family spends $5,283.00/yr.• 20% move every year• Average Customer Lifetime = 5 years• Operating at a margin of 3%• Lifetime value = $750

Mail Advertising Services Association MASA

4. Confident

• “Guerrillas believe in their products and their people.”

4. Confident (cont..)

• Know the offerings cold• Know the competition cold

– Oil Dry

• Collect Testimonials• Create a “Wall of Fame”

Why Customers Buy:

Confidence

Quality

Service

Selection

Price

Why Customers Buy:

1. Confidence

2. Quality

3. Service

4. Selection

5. Price

Low Bidder

“How did I go broke? I was the low bidder!”

4. Confident (cont..)

• Guarantee Everything You CAN– Sunshine Trash Service

Mr. Colton, do we stand behind our products

“Mr. Colton, do we stand behind our products?”

5. Excitement

• “Guerrillas are militantly optimistic.”– “How’s business?”– A Good Word for Everyone – Share Your Success Stories– Never Complain

Brussels Sprouts

Have Fun! • “Fill-’ur-up Frank”

– Tracy Lindley, Dean’s Satellite, Sparta WI

• Always have something for the kids– Fill the balloons on demand– Include a Prize

• Greg Ruddell, Rocking R, Lincolnton, GA

0

2000

4000

6000

8000

10000

12000

14000

$1 $10 $50 $250 $1,000

Units

Move Them Up the Curve

Up Sell

Cross Sell

Re-Sell

Get Out of the Store• Event Marketing

– Home shows, Boat shows, Mall shows, flea markets and Craft fairs

– Sporting events and tournaments– Even a card table on a street corner– Work it actively

Get Out of the Store

• “The quickest route to a new customer is to knock on a door.” – Brad Barrott, Big Dog Holdings, Inc.,

Pocatello, ID

Get Out of the Store• Door-to-Door Guerrilla Style

– Target areas that are vulnerable– Soften them up with Direct Mail– Door hangers first– Knock where they’re missing– Ask for introductions to the neighbors

6. Measurement

• If you can’t measure it, you can’t improve it.– Customer Survey– One-on-one Focus Group– Talk to Lost Customers

“Discouraging data on that new antidepressant.”

Incentives to write business today:

• First ticket• Most tickets• Biggest ticket• Smallest ticket• Last ticket

Your Tip So Far

7. Commitment

• Use what you have, Do what you know.• Take care of your team• Invest in your stars• Fire someone