Friday, October 22, 2010

Courting Customers Online

A cool article from the Rapid City Journal about how small businesses are using social media and online notifications to attract customers:

More businesses court customers online

Bully Blends Coffee and Tea Shop sends its online audience daily “blasts” about specials such as ham and bean soup, beef brisket ciabatta and vegan minestrone.

The 756 Facebook fans and 129 Twitter followers of the business receive menu updates every morning, which turns them into customers for lunch and dinner, according to Aida Compton, owner of Bully Blends.

“We have some particular lunch menus that are very popular, some soup,” Compton said. “When we post that we have that soup that day, people come in because they know.”

The daily promotion on social network sites creates a good problem for the business — especially on the soup-plus-cornbread days. The cooks can’t make enough, regardless of the size of pot they use, Compton said.

As online consumption becomes increasingly portable, businesses are moving away from the personal computer model of getting the word out about their business and toward a presence on smart phones.

Compton said making Bully Blends’ business more mobile is something that interests her and her husband, along with helping the restaurant become easier to find on pocket-friendly devices.

The National Retail Federation estimates that by 2015, shoppers worldwide are expected to use their mobile phones to buy goods and services worth about $120 billion, amounting to 8 percent of the total e-commerce market.

Many national companies already are cashing in on the mobile retailing concept: Target and Wal-Mart, for instance, both have mobile sites. But what about small mom-and-pop shops? Mobile phones have provided retailers with an easy, affordable way to reach new and existing customers.

Could Bully Blends customers buy their coffee and tea products from their phones, or is mobile retailing beyond their capabilities?

Mobile sales are possible, according Scott Meyer, co-founder of 9 Clouds in Sioux Falls. Meyer said he expects to start seeing more of the smaller, mom-and-pop shops set up mobile retail shops within two years to allow for actual purchases, starting first with companies that are working with national brands.

The great thing is that small-town shops with mobile technology can suddenly compete much better with national companies, Meyer said.

That doesn’t necessarily mean creating a retail application or a mobile website. In many ways, social networking and texting is a great way to slowly step into the mobile retailing landscape, and Meyer already is seeing that in Sioux Falls.

For instance, Sanaa’s 8th Street Gourmet restaurant in Sioux Falls recently started using Foursquare, a smart-phone application, to attract customers, and Nick’s Hamburger Shop in Brookings has had success in text-messaging coupons to customers.

In Rapid City, Acme Bicycles has an online Twitter and Facebook presence, and owner Tim Rangitsch plans to ramp it up this fall to increase his interaction with customers.

He also would be interested in increasing his business’ presence in the mobile world, and said GPS devices are already sending tourists to his shop.

“I do see the importance of wrangling it for the business, and I can get out more information,” Rangitsch said.

A mobile presence would simply be another way Acme Bicycles could connect nationally with mountain biking enthusiasts, encouraging them to come to the Black Hills, Rangitsch said.

Meyer said some business owners still are hesitant to use the Web to market and sell their merchandise, partly because there is so much new technology out there.

But it holds a lot of potential, particularly in catching members of the younger generation, he said.

It will be some years before mobile sales really take off with smaller companies in South Dakota. But it seems inevitable that customers someday will expect it.

Contact Holly Meyer at 394-8421 or holly.meyer@rapidcityjournal.com. Sioux Falls Argus Leader reporter Kelly Thurman contributed to this story.

http://www.rapidcityjournal.com/business/article_af4d7c6e-dd4f-11df-9640-001cc4c002e0.html

Tuesday, October 19, 2010

Workshop to Help Manufacturers Expand into Federal Contracting

The federal government spends more than $400 billion a year for goods and services, and South Dakota companies now have a chance to learn how to get a bigger piece of that federal pie.

On Monday, Oct. 25, South Dakota manufacturers can attend a one-day workshop in Oacoma on the process to obtain federal contracts.

“South Dakota manufacturers can be very competitive in this marketplace, but they have to take the time to get educated about how to deal with the federal paperwork,” Gov. Mike Rounds said. “This is a great way to learn the ropes of doing business with the federal government.”

South Dakota has more than 400 top-notch manufacturing companies, adds Richard Benda, secretary of the Department of Tourism and State Development.

“They have the technical ability to fulfill contracts for the federal government. This workshop will give them some additional administrative know-how,” Benda said.

Company officials attending the workshop will hear from business leaders who are practiced in securing federal contracts, learn how to obtain necessary operating certificates, hear from companies on sub-contracting opportunities, and be connected with additional contracting resources.

The workshop is sponsored by the Small Business Administration, the South Dakota Governor’s Office of Economic Development, the Small Business Development Center, South Dakota Manufacturing & Technology Solutions, Procurement Technical Assistance Center and the Planning & Development District III.

The workshop is at Cedar Shore Resort in Oacoma and runs from 10 a.m.-3 p.m. CDT. The workshop is free, but companies must register by Thursday, Oct. 21.

To register, contact Jean Rogers at 605-330-4243, extension 29, or visit
http://events.sba.gov/EventManagement/eventlisting.aspx?state=SD

Friday, October 8, 2010

Discovering Your Market Niche

Doing business in a small town shouldn’t mean small profits. All the successful businesses we have in Tripp County have one thing in common: they have found their niche in the marketplace and follow through with the promises they make to customers. Whether that promise is customer service, best price or innovative ideas, you can be sure that our most successful businesses more than likely ascribe to one or more of these principles in their industry dealings and tailor their activities and marketing to fit that need.

Consider using these guidelines for selecting the “best practices” for your business. They will help you make better use of principal resources: People, Time, and Money. You may be tempted to say “I want all three.”; but choosing to be all three simultaneously almost guarantees that you will become a herd member rather than a herd leader. So take a look at these three options, choose one, and then you will know what best practices are likely to best fit your organization:

1. We define success as being a highly efficient company focused on limited customer/client choices that appeal mostly to the price conscious. If that’s true, then build your processes, policies, and procedures around that value proposition. Spend a minimal amount of money on building close personal relationships with clients. Market your “pricing” ability.

2. We define success as being an innovative and creative company that can put products and services in place that tap into the previously unknown and unmet needs and wants of the marketplace. If that’s true, then you need to be putting people, time, and money into product/service research and development. Market everything as “new and improved” or as the leading edge of whatever line of business you happen to have. Your target market likes and wants “change”.

3. We define success as being trusted advisors and consultants to prospects, customers, and clients who want a great deal of personal time and attention from their vendors and suppliers. You probably chafe a little at being thought of as a vendor or supplier because that implies a more distant relationship than you want. So, your best practices are going to focus on maintaining a level of customer intimacy that the more operational efficient would find unnecessary.

-Dan Schneider, Rawls Group

Once you decide whether you are Door 1, Door 2, or Door 3, you will be able to recognize what “best practices” are most appropriate for you. Choosing the “best practices” helps you identify what business processes and procedures will help you better achieve your business goals.

On a related note, the Development Office, Winner Area Chamber of Commerce and the City of Winner have partnered to create a new, more user-friendly website to appeal to potential businesses, visitors, sportsmen and residents. We saw a customer need for more online information so we redesigned the site and now provide a fresh, clean look for our online communication.

Check out the site at www.winnersd.org for information on our community, ongoing events, city business, relocation, tourism, business start-up information and contacts! There are some cool photos on the site of various landmarks and community members; we invite you all to make it your homepage today. (Thanks to Shawn Ray and some local photographers for their outstanding photo contributions.) Additionally, if your business, club or organization has an event planned, please let the Amy and the Chamber of Commerce know, they would be glad to add it to the new online event calendar!

Monday, October 4, 2010

AG Warns Small Businesses Of Shipping Scam

PIERRE, SD - The South Dakota attorney general's office is urging small businesses to be alert for a scam that involves shipping goods from other states.

A release from Attorney General Marty Jackley says 12 businesses have been victimized this year, losing $1,000 to $2,000 each.

The scam, as described by the attorney general's office, is carried out by a person or people who contact the businesses through TTY systems - phones that do text messaging - and place large orders for items to be shipped into South Dakota. The orders require special shipping that carry big fees.

The scammer gives a name and location for money to be wired for the shipment, along with a credit card number that the business can charge. But the credit card numbers are stolen and the charges are reversed to the business.