April 26, 2024

You’re the Boss Blog: A C.P.A. Figures Out What Small-Business Owners Really Want

Courtesy of Blaine Gary

Branded

An insider’s guide to small-business marketing.

A few weeks ago, I received the above postcard in the mail. It didn’t hit me at first. As the owner of an advertising agency, I see a lot of in-your-face marketing efforts. But after spending a few minutes with it, I started to admire the way this service business — a certified public accountant, no less — was trying to differentiate itself from the pack.

Its simple message certainly resonated with me: Why do so many of us make that annual schlep to our accountant’s office with boxes full of receipts and files? Why don’t our accountants come to us? Why don’t we see them more than once a year?

Intrigued, I called Blaine Gary, C.P.A. I got a voice mail message that assured me my call would be returned within the next 24 hours. The recording signed off with, “Blaine Gary, the C.P.A. with personality.”

When we connected (within 24 hours), I was pleasantly surprised by how much I learned about business development from Mr. Gary, who is just 32 and had moved to Austin four months earlier. I asked him how he had come up with his messaging. Turns out, he had done his homework, starting with asking small-business owners questions about their relationships with their accountants, like how often they see them.

“I found out many small businesses have worked with the same person for 25 or 30 years, and that they have a good relationship,” he said. “I know they are not going to move over for me.” And yet, just because a business owner has a good relationship with an accountant doesn’t mean the business’s needs are being met. “The reality is,” Mr. Gary said, “their C.P.A.s are grey-haired guys on their way out, and the last thing they want is more business. I’m convinced most professionals — while great at what they do — don’t understand customer service at all. We call you back within a day, and most accountants don’t. You have to badger your attorney and keep him motivated on what he’s supposed to be working on, and then you get these mystery bills in the mail.”

I was startled. That description fit my C.P.A. perfectly. I have a great personal relationship with the accountant who has done my taxes for more than 20 years. Is he eligible for A.A.R.P.? Check. Do multiple calls and e-mails routinely go unanswered? Check. Once-a-year visitations at his office? Check! There was even one year when I really needed him to finish my taxes by April 15 — instead of requesting the usual extension — so I could get my refund. To encourage him to get my taxes done on time, I offered him a case of wine. He agreed and delivered the returns, and I made good on the vino. What’s wrong with this picture?

Most C.P.A.’s, Mr. Gary explained, are hard-core introverts. “If you’ve ever done the DiSC personality profiles, they are a high C typically.” Accurate, analytical, conscientious, careful. “When I started out,” he said, “I was wearing a white shirt during the day, banging it out in accounting departments, and then on the weekends, I was out riding my motorcycle, listening to live music. When I passed the C.P.A. exam, a lot of people asked me if I passed it on the first try. I always answer, ‘I have too much personality for that.’ I didn’t want to be the passive, introverted accountant. I told people I was the C.P.A. with personality. People always get a laugh out of it, but they remember it.”

My agency does a lot of branding and positioning work for a variety of companies, and the process always gets interesting when we ask a client’s target audience about wants and needs that are being left unfulfilled. It’s a process that can take anywhere from six weeks to several months, depending on the complexity and the amount of research required.

But — just as Mr. Gary proved — it’s something any small business can do effectively. Pick up the phone. Network. Ask questions. Compare what your target customers want to what your company is delivering. What do you offer that your competitors don’t? Too many businesses promise to do something vague like “exceed expectations” (Google it. I got 2.8 million results). Too many businesses promise a laundry list of benefits and say they do them faster, better, cheaper — but they fail to connect the dots to the emotional needs of their potential customers. A good positioning should answer this question: What does your company do that your competitors do not and that your target audience wants and needs?

In Mr. Gary’s case, he came to understand the accounting needs of his small-business audience better than many small-business owners, like me, who never stop to think we deserve better. He has found his postcard campaign highly effective in getting his message out there — much better than his old Web site and his constant networking. “A graphic designer friend of mine said, ‘Wouldn’t it be great if you didn’t have to be at the Chamber or the Lions Club all the time?’ ” he said. “That’s why you got that postcard in the mail — I have five different versions I send out and then follow up with a phone call.”

He finds that people hold on to his postcards for four to five months or a year. And then when they have one more less-than-stellar experience with their C.P.A., his phone rings. I’m not sure I can explain why, but this small-business owner has not yet made the call. I guess I’m just not ready to sever my long-term relationship with my C.P.A. Maybe we’ll see how many bottles of wine a timely tax return might run this year.

MP Mueller is the founder of Door Number 3, a boutique advertising agency in Austin, Tex. Follow Door Number 3 on Facebook.

Article source: http://feeds.nytimes.com/click.phdo?i=c5c9a2cf990ffcd32063c213859045a7

Revenue Rises at Google but Profit Misses Forecasts, and Analysts Point to Spending

Not that Mr. Page felt the need to explain. He stayed only a few minutes on a conference call with the analysts and left before taking their questions.

“Maybe he doesn’t want to do it every quarter, but there was nothing meaningful,” said Colin Gillis, an analyst with BGC Financial.

The company reported that first-quarter revenue increased 27 percent. While profits were also up, they fell short of analysts’ predictions. “We’ve had a tremendous quarter,” Mr. Page said before leaving. He said that “it shows the strength of our business and the continuing growth in the tech industry.”

Google’s shares fell 5.5 percent to $546.96 in after-hours trading. The share price was flat during regular trading Thursday.

In the analysts’ eyes, Google’s spending played a big role in the stumble on Thursday. The company had gone on a hiring spree — it added nearly 1,900 new workers during the quarter — and made good on a previous promise to give all its employees a 10 percent raise. Operating costs including salaries were $2.84 billion in the first quarter, up 55 percent from a year earlier.

Asked repeatedly about the spending in a call with analysts, the Google executives who did stick around stressed that the hiring was necessary to help build emerging products like mobile and YouTube that will pay off in the long run. Patrick Pichette, Google’s chief financial officer, emphasized that Google was disciplined and that all units had to justify their costs.

“Everybody that has a cost center has to demonstrate productivity,” he said.

That response got a cool reception from analysts. “They can’t continue to invest at this rate because the law of diminishing returns will kick in at some point,” said Ross Sandler, an analyst with RBS Capital Markets.

The big question before the call was whether Mr. Page would speak. He is not particularly talkative and, previously, while co-president, often missed such meetings with the analysts. Mr. Pichette described Mr. Page’s appearance as “a surprise,” signaling that he will likely be an infrequent participant in the future.

Mr. Gillis, BGC Financial analyst, said that Mr. Page should have made more of an effort. “The reality of running a public company is that that are some of obligations of outreach to the financial community and shareholders,” Mr. Gillis said. “The concern is that he is going to run the company without concern for shareholders and there was nothing here to placate that.”

Mr. Page led Google after co-founding the company in 1998 with Sergey Brin, but then gave up the reins three years later to Eric E. Schmidt, a more experienced technology executive who was hired to balance the offbeat founders who stayed very involved in decision making.

Under Mr. Schmidt, Google, based in Mountain View, Calif., thrived. But with the growth came increasingly slow decision making and a feeling inside the company that other companies, notably Facebook, were perhaps innovating more quickly.

Mr. Page is determined to push back the bureaucracy. During his short tenure, he has already reorganized top management to increase “velocity,” as he put it on Thursday, and revamped the employee bonus program to reward workers for the company’s success with social networking products.

Google executives are concerned about the rise of Facebook. Executives promised more social features from Google, particularly using cues from its users’ behavior to personalize their results.

Google’s first-quarter earnings are the first reported with Mr. Page at the helm. However, they reflect the company’s performance for the first three months of the year, when Mr. Schmidt, was still in charge. Mr. Schmidt is now the company’s chairman.

Google reported that net income in the quarter rose 17 percent to $2.3 billion, or $7.04 cents a share, from $1.96 billion, or $6.06 a share in the year-ago quarter. The company said revenue climbed to $8.58 billion from $6.77 billion.

Google’s adjusted income of $8.08 was just below the expectations of Wall Street analysts. They had forecast $8.11 cents a share on that basis, according to a survey by Thomson Reuters.

Revenue excluding payments to partner Web sites, a measure commonly used by analysts following the company, was $6.54 billion, Google said. Analysts had expected $6.32 billion in revenue on that basis.

Paid clicks, the number of times users clicked on ads on Google and those of its partner sites, increased 18 percent in the first quarter from the same period a year earlier, Google said. The price advertisers paid for Google’s ads grew 8 percent.

Online advertising is by far Google’s biggest business, but the company is pushing into advertising on mobile phones where people are spending an increasing amount of time.

Google said on Thursday that 350,000 mobile devices using its Android operating system were activated daily. Android led all other mobile operating systems with 33 percent of the phone market in the United States for the three months ending in February, according to comScore’s MobiLens report. Research In Motion, maker of the BlackBerry, had a 28.9 percent share, while Apple’s share was 25.2 percent.

Mr. Pichette indicated that Google would remain a technology company looking for new users and “billion dollar businesses.”

The company’s position has not changed,” Mr. Pichette said.

Article source: http://feeds.nytimes.com/click.phdo?i=67ca75c2013f6531cd442269c2223200