Over 90 Field Tested Guerrilla Marketing Tactics
Looking for some easy ways to get your business noticed? Try one of these quick, fairly easy, and sometimes free guerilla marketing tactics.
This presentation is literally chock full of ideas on who to market your business, and what’s nice many come with real world examples and case studies.
Best viewed with full screen
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The Nuts and Bolts of Advertising
The following guest post by John McLain, author of How to Promote Your Home Business, goes over a few often overlooked but potentially effective forms of advertising.
Even the smallest business may on occasion find it useful to PAY for a placement in the form of a display ad, a classified ad or a radio spot. Because paid advertising seems at times to invade our every waking moment, there is a mystique about the power inherent in growing your business through the lavish use of your advertising budget.
Advertising Works…
First, let me point out that advertising does work. Companies ranging from huge department stores to pizza parlors and quick-lube shops to high-tech manufacturing facilities would not do it if it didn’t work. It is, after all, the American way for the widget-maker to let the public know, through advertising, of their need and desire for the latest, greatest widget. However, keep in mind that there is no faster way to go through your hard-earned money than buying ads, particularly if you don’t know what you are doing. Small- and home-based business owners are especially vulnerable to this notion that advertising will save the day.
…If You Track Results
This doesn’t mean that you should avoid advertising. It just means that you too should TRACK the pulling power of every single ad you place. When most small business people decide that it is time to advertise, they typically will seek out the assistance of ad representatives of newspapers, magazines, shoppers or radio stations. Here is where, as the small business owner, you may make your first and often biggest mistake.
It is one thing to gather from the ad rep statistics on circulation figures, exposure and the market reach of your potential ad, but it is quite another to rely too heavily on any ad salesman for predictions on whether your advertising will be a success in his or her medium. Without a doubt, you will hear that your ad dollar will be best invested in that ad rep’s station or periodical because it’s the most powerful medium in town, you’ll be reaching the right people. And, most of all, it will be suggested that for best results you advertise big and advertise often. Consistency, consistency, consistency. That’s what works in advertising. If you are not consistent, you won’t make a lasting impression. Potential buyers often don’t even notice an ad or advertiser until the second, third or fourth time the ad appears, they say. It takes that long to make an impression, they say.
What Good is an Ad? Will it Work for Me?
All of the foregoing is true. But, it just may not be true for you. You can easily blow an entire bankroll in the process of learning whether this or that particular ad vehicle is right for your business. A typical scenario involves the small business owner whose business is in the doldrums and decides to advertise out of panic. That’s when he becomes easy prey for any ad rep touting the special of the week. Advertising in such a desperate or erratic manner will have the same result as if you had flung your limited cash out the window. It seldom works.
It’s far better to develop your own marketing and advertising strategy in advance, and then stick with the plan — consistently. It’s fine to gather facts and figures from advertising salespeople, but it’s equally smart to consult with successful colleagues who run similar home-based businesses. Study what other like businesses are doing to advertise. Examine their ads. Find out what works for them, what has worked in the past, which methods are a waste of time and money.
Importance of Knowing Your Market
Knowing your own business and knowing why customers would want to seek out your products or services will help you decide whether your advertising budget is best spent on an ad in the Yellow Pages, on a sprinkling of jazzy radio spots, or on classifieds and display ads.
Most advertisers select a combination of ad vehicles as part of their promotional strategy. In very few cases will choosing a single medium in which to advertise be enough to warrant advertising or yield results.
Example
In one example, the owner of a picturesque, popular New England bed-and-breakfast inn says she will never buy display ads in one of America’ s biggest-circulation magazines on New England life, the obvious spot for a B&B to advertise. For her, it’s too costly. An ad like that costs her an average of $250 for each new customer generated. With rooms at the inn earning $70 a night, such a display ad is simply not cost effective.
Instead, she relies on cheaper ads placed in chamber of commerce publications, local traveler-oriented tabloids, her own brochures, and discount coupons B&B Bucks — which she hands out to both regular customers and prospects. The coupons get results in both repeat and new business and they cost her pennies to photocopy. In a word, she found what works for her including her new Internet web site. Repeat business from existing clientele and customer referrals are what she nurtures.
As part of your own ad campaign, you’ll need to do some homework by studying good, well-written ads in your field. Clip your favorites from newspapers and magazines. Keep them in a shoebox or album to refer to as models for your own. Many excellent books on ad copywriting are available in your library or local bookstore. One of these, coupled with the ad-writing tips offered in this article, will go a long way in helping you craft your own hard-hitting copy.
Advertising Mediums to Consider
CLASSIFIEDS
Don’t overlook the power of tiny classified ads in newspapers or magazines. They’re not just for flea markets, church suppers and used cars. Retailers often devote a portion of their ad budgets to using the classifieds. They’re relatively cheap and, if well-written, sometimes can outpull a display ad. Some home-based businesses with a potential national clientele have good luck with classifieds placed in special-interest magazines. If you place classifieds in more than one magazine, you should always "key," or code, the ads so you can gauge which periodical is pulling the best for you. You may have to run your classified a few times to give it a fair test. Generally, you’ll find it’s easy to write your own classifieds. Study others to determine which ones appeal to you and which ones don’t. Model yours on the ones that you find most effective, and move you to action. Later in this chapter, we’ll examine how a good ad is written.
DISPLAY ADS
If you decide to advertise this way, you’ll find plenty of help available from the newspaper or magazine ad reps you deal with. They can take care of the mechanics of designing and laying out an effective display ad. They’ll help write your ad or make good suggestions on how to improve your copy. However, with the abundance of software design programs available packages like Microsoft Publisher or high-end programs like QuarkXPress and Pagemaker many individuals can crank out their own camera-ready display ads. They can be printed right on your own laser printer and are suitable for most publications. Take care to lay out your ad precisely in the column widths and lengths required by the periodical. Often you can save a little money by producing your own camera-ready artwork. But if this is alien to you, it’s wiser and more cost-effective to let a professional on staff write and design the display ad.
RADIO ADVERTISING
Jingles and radio spots to advertise your business are best left up to the experts. After you buy a spot on the radio station most likely to target the audience you’re after, the radio ad staff is in the best position to craft your ad. They do it day in and day out. They know how to "write for the ear." And they’ll sell you better than you can sell yourself. Jingles and radio chatter are deceptively hard to write, and it’s very easy for the do-it-yourselfer to miss the mark and sound foolish in the process. The main thing you need to worry about is explaining your business sufficiently to those who will be crafting your spot. This advice applies equally to TV advertising: leave it up to the experts to devise your ad and translate your selling message.
THE YELLOW PAGES
Ironically, the Yellow Pages aren’t the place to motivate someone to purchase your service or product. By letting her fingers do the walking, the potential customer already knows what service or product she’s looking for. The key to a successful Yellow Pages ad is to merely persuade her to do business with you and your firm. It’s a subtle distinction, but one you need to understand in order to put together an effective phone-book ad. A Yellow Pages ad must position you as the best choice. Here, instead of focusing on whetting the customer’s appetite for your service or product, the emphasis will be on how you deliver fast, effectively and with the most professionalism.
First, if you have more than one phone directory in your area to choose from, ask what each directory’s "usage" number is. Usage is the number of times consumers use it each year. This is different from the directory’s distribution figure. By dividing the directories’ usage number-per-year by what they charge you for a same-size display ad, you can easily determine which gives you the most uses for your dollar.
BIGGER IS BETTER
The idea in Yellow Page ads is to grab the reader’s attention and size-of-ad is the way to do it. Bigger ads, when it comes to the Yellow Pages, have more stopping power. Besides an attention-getting headline and supporting copy that impels the reader to act, it’s critical for your Yellow Pages ad to contain a good graphic, eye-catching artwork that focuses the reader on your ad. Clipart for such purposes is inexpensive and widely available. It’s often best to choose interesting "line art" (line drawings) over photographs. Photographs tend not to reproduce well or look crisp on the rough, yellow stock used for phone directories. In order to attain the best position on the page for your ad, you will need to sign on with the Yellow Pages as early as you can. It’s very easy to overlook their early deadlines and wind up jockeying for precious space with your competitors or getting left out altogether. Call ahead for their schedules.
*~*~*~*~*~*~*
John McLain, a veteran journalist and national media consultant, is author of the newly published book, HOW TO PROMOTE YOUR HOME BUSINESS, available on Amazon.com or through his New York publisher at: Strategic Book Publishing
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Five Very Last Minute Tax Tips
The following guest post from top selling author, attorney, tax and small business expert, Barbara Weltman is extremely timely for people like myself who put off taxes until the last minute. Here Barbara shares her best last minute tips for tax day.
In today’s economic environment, every financial milestone is an important one. It’s critical that small business owners have the right tools and know-how to properly manage their taxes year-round so they’re not dealing with undue stress on the days leading up to April 15th. The right solutions can help small business owners efficiently and easily manage their business’s finances and employee tax withholdings, so they can spend more time running their business. With the April 15th deadline looming, here are some things you can still do to reduce your tax bill and make the filing process a little easier.
5 Very Last Minute Tax Tips
1. Contribute to a deductible IRA or HSA. Yes, even though 2008 is over, you can put money into an IRA or health savings account (HSA) for the 2008 year (assuming you’re eligible for these accounts) and deduct the contributions on your 2008 return. You must act by April 15th. IRA contribution limits for 2008: $5,000, or $6,000 for those 50 or older on December 31, 2008. HSA contribution limits for 2008 depend on whether you have self-only coverage under a high-deductible health plan, or family coverage; those 55 or older on December 31, 2008, can add another $900.
2. Double check for carryovers. You may have forgotten tax breaks from your 2007 tax return that can be used to cut your 2008 tax bill. Look for capital loss carryovers (reported on last year’s Schedule D of Form 1040), which can be used to offset any capital gains in 2008 if you had them, plus up to $3,000 of ordinary income. Other carryover possibilities: home office deductions, charitable contributions, and net operating losses.
3. Settle up your tax bill. If you owe a small amount, pay it by check or charge it to a major credit card. While the IRS doesn’t charge a fee for paying by credit card, there’s a 2.49% convenience fee imposed by the credit card processor, so if you charge $1,000 in taxes, you’ll pay $24.90 to the processor—a hefty cost for racking up frequent flyer miles. Larger bill? If you can’t pay in full, ask the IRS for an installment agreement by filing Form 9564 This usually allows you to pay what you owe, plus interest, over the next three years.
4. File electronically. If you wait until the last minute, avoid lines at the Post Office, as well as save paper and postage, by using e-File to submit your return. Electronic filing also ensures that your return is free from math errors and has all the required information (e.g., Social Security numbers) for processing; you’ll receive an electronic acknowledgment from the IRS that the return has been accepted for filing. You may even be eligible to use FreeFile to prepare your return online and file it electronically at no cost. Bonus: If you’re owed a tax refund, you’ll get it sooner by filing electronically than you would if you send in a paper return.
5. Put your refund to work. If you’re owed money, use it to create future tax savings. You can have the IRS deposit your refund directly into an IRA, an HSA, or a Coverdell education savings account. Provide the account information (account number and routing number). Make sure the account custodian credits your refund to the correct tax year (e.g., your 2008 is applied toward your 2009 IRA contribution). You can even split your refund into two or more accounts (file Form 8888 to provide all account information.)
Caution: If you had a large refund, recognize that it amounts to an interest-free loan you made to Uncle Sam. To avoid this next year, reduce quarterly estimated tax payments related to your business income to better equal your actual tax bill for the year. Under a new rule for small business owners (more than half your income is derived from a small business and your 2008 adjusted gross income was under $500,000), you won’t be penalized for underpaying estimated taxes and you’ll improve your cash flow by pegging 2009 estimated tax payments (plus any tax withholding) at 90% or more of last year’s tax bill.
Final word. If, for any reason, you don’t want to think about taxes now, be sure to obtain an automatic six-month filing extension. File Form 4868 no later than April 15 to avoid late filing penalties. Also, if you expect to owe money, pay as much of it as you can now to minimize or avoid interest and penalties for late tax payments.
About Barbara
Barbara Weltman is a top selling author, attorney, tax and small business expert. Barbara serves as an expert on the Small Business Online Community, powered by Bank of America. She recently conducted an expert forum on the Small Business Online Community, where she answered questions about the impact of the stimulus package on small business owners. Barbara has also authored several books include “J.K. Lasser’s Small Business Taxes” and “The Complete Idiot’s Guide to Starting a Home-Based Business.”
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How Well do you Know Your Lover?
How well do you know your lover?
Not your wife, or significant other, that’s a topic for another blog – but how well do you know the customers that really love what you do?
They love your products, and they love your brand? Your brand lovers.
Your most powerful marketing tool are your brand lovers. You should know them, and know why the love what you do.
The Power of the Brand Lover
The folks at cultbranding.com have put together a great presentation on the power of the brand lover.
How do brand lovers drive your profitability?
- Existing customers are 5 times more likely to buy from you than another provider
- Your brand lover will buy from you more often than a casual customer
- Brand lovers are your most loyal customer – they don’t even consider the competition as an alternative to what you do
- They are word of mouth machines, creating new customers for you
Repeat sales at Zappos account for 75% of their revenue. Those are brand lovers hard at work.
If you want to unleash the power of your brand lovers, spend a few minutes with Cultbranding’s presentation.
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Small Business Succeeding Despite Economic Downturn
A group called Network Solutions recently conducted a survey with the University of Maryland to create the Small Business Success Index
A Peak at The Results
More than 1,000 small business owners were interviewed by phone.
The Small Business Success Index found that small businesses are succeeding despite the economic downturn.
69% of small businesses made a profit in 2008
7% of small businesses report that they broke even
The majority (69%) of those who showed a profit in 2008 said it was equal to or better than the previous year
70% of small businesses expect their firms to still be operating in five years as opposed to being closed, sold or transferred, and of these, 66% expect to be bigger in size
More importantly, entrepreneurs and small businesses can use the Index site to learn which best practices they are succeeding in utilizing, and where they need to improve.
For example, most small business owners think customer service is the most important part of their business, while the research demonstrates that investing in sales and marketing and financial resources are much more important. In essence, small businesses can optimize their performance for maximum success using the index.
Pick up a free copy of the full report here
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Q&A With Jim Sinegal Founder of Costco
I had the pleasure of attending a Q&A session this morning with Jim Sinegal, co- founder and CEO of Costco.
Costco racks up around $53 billion in sales, has over 500 outlets and employs over 120,000 workers. For his efforts as the founder of one of the nations largest retail companies, Mr. Sinegal takes home about $350,000 a year for his troubles.
Summarizing the Q&A
What impressed me with Mr. Sinegal was is unassuming, down to earth persona, mixed with a laser sharp focus on what his business does. In every answer, to every question it was apparent he not only knows the retail business inside and out, but the business model he has set for Costco permeates everything his does – he has never wavered.
I thought I’d try to summarize some key points from his talk this morning and hit on some of the highlights and “ah-ha” moments I had.
As you read through his thoughts and ideas, keep in mind he didn’t start the $50 billion dollar behemoth until he was nearly 50 years old. For those of you who think there is only one window of opportunity to start your own business, let Mr. Sinegal serve as a model for what can be accomplished at any stage of life.
Also keep in mind that Costco didn’t start out as “Big Business”, it’s beginnings trace back to 3 outlets in the Pacific Northwest.
On Starting-Up
Sinegal spent nearly 25 years in retail before he decided to build a retail business of his own. Here are some key points he made about the start-up phase:
- Have enthusiasm – he truly loved retail
- Be an expert in your field – he knew retail backwards and forwards
- Understand you can’t do it all, you’ll need to surround yourself with good people
- Know your market – Sinegal was from California and decided to start his company in Seattle, WA which market research told him was one of the “least competitive” regions in the US when it came to retail competition.
- Have a long term outlook – “Short term outlooks lead to short term goals”
- Be realistic about goals, but also stretch yourself – originally Costco’s goal was to get to 12 outlets. They thought that was the most they could do. He said he still has the original business plan with that number on it, and it’s a bit embarrassing now.
On Employees
Sinegal runs his company on the belief that if you treat people good, good things will happen. In every answer he gave, he referenced how important the employees are.
- Hire great people, who identify with your business
- Treat them well
- Give them good jobs
- If you do right by the people working for you, they will build you a successful business
On Management
Costco managers are always promoted from within. As Mr. Sinegal put it, “I can’t conceive of a time when we’d hire management from outside the company”.
Therefore his thoughts on how to manage were from the perspective that any one of the employees could some day be running the company.
- Training happens constantly – not just in classes or training sessions
- Grow your own talent – those are the employees who get what your business is trying to do
- Model what you want from your employees – Sinegal said that when he goes to a CostCo store, and takes the time to pick up a piece of trash on the ground, the employees see that and immediately know it’s important and therefore do it themselves.
On Business
Above I said Mr Sinegal has a laser focus on what his business does, and that focus is the core of what makes his company successful. A few of the highlights:
- Know who your customers are and why they do business with you
- Stay focused on your core business.
- Don’t try to be too much to too many, you’ll dilute your business model and loose focus
- Know on what level you compete – For Costco they compete on quality and price. They want the highest quality merchandise for the best value. Mr. Sinegal shared a story of selling designer jeans for $29.99 and selling out as quickly as they could stock the shelves. Every retailer in the nation had these jeans priced at $50 and above. He was asked why not move the price up just a bit, maybe capture another $2-3 per jean and still be the lowest price. His answer – that’s not our business. Our business is to give the customer the best value we can.
On Growth
Mr Sinegal sees no slow down, in fact he mentioned:
- Still opening new stores as we speak, with new stores opening in Hawaii, and parts of the Northeast
- Same growth plan as before – open 50-60 Costco locations a year (even one planned for Australia)
- Internet sales are growing, nearly $2 billion in revenue from the net
- Will run the business for long term sustainability. He wants Costco to be here long after he’s gone.
On Marketing
Someone asked how in the early stages of growing a business he could get away with not having any advertising, his answer:
- Word of mouth is the most powerful marketing tool there is
- It sounds better when somebody else talks about you than when you talk about yourself
- Costco still has no PR department and probably never will.
On Ethics
As Costco grows, becomes even more multinational, and his span of control widens, somebody asked if ethics plays a bigger part in his thinking. Again, his answer was very straightforward. He said they will continue to do business like they’ve always done:
- Obey the law
- Treat customers right
- Treat employees right
- Treat suppliers right
If they do the above, he felt ethically they would be just fine.
On Challenges
Of course he was asked what he see’s as the biggest challenges facing Costco, especially in tough times. His answer to this question struck more of a chord with me than anything else he said. Essentially,
- The biggest challenge will be what it always has been, not to loose focus of what we do, and our business model
- Focusing on our core business, and ensuring we do not loose sight of that, transcends any economical challenge we may face.
- He sighted other retailers who lost focus, and eventually lost their way and their business/market share.
Other Interesting Anecdotes
Mr Sinegal seemed to be a very unassuming, down to earth guy. Which means many of his answers were peppered with stories, and he really is quite funny. Here were some of my favorite facts/stories.
- His first retail job (just out of college) was a one day employment to help unload some mattresses off a truck and into the company’s warehouse. He did his job, but they didn’t pay him at the end of the day ($1.25/hr), instead they told him to come back the next. He came back, they had more work and again didn’t pay him at the end of the day. He said he just kept coming back everyday, hoping they’d eventually pay him, and after leaving the company 25 years later he felt it all worked out okay.
- The maximum markup at Costco is 14%. Meaning you never pay more than 14% more than Costco paid for the item.
- Costco has some of the lowest shrinkage in the industry (unexplained disappearing of merchandise) at 1/10 of 1%.
- Those people at the door who check your receipt before you leave aren’t just looking for theft, they find as many mistakes in the customers favor as they do against. It’s another way to make sure you got the best value.
- He likes to visit as many of the stores as he can every year, and still “perpetuates the myth” that he goes to all of them once a year. He said he likes them to think that he can show up anytime!
It was great getting a few minutes in the same room with someone so successful. After listening to him talk it is satisfying to know that great businesses can be made and sustained on the back of a set of core values, and that even at his level he hasn’t wavered from what makes his company great.
For Costco that means giving customers the best value, at the best price. Treating people right, and with respect. Acting ethically, and most importantly never loosing sight of what the purpose of your business is.
Inspiring.
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Small Business Marketing – Easy as 1-2-3
Possibly the question I am most often asked goes something like this “What should I do to market my product?”, or “How should I advertise my service?’.
I then ask probing follow up questions, and that’s where it tends to break down. In the euphoria to get the word out, we can easily forget the process and method to the marketing madness.
Make it Easy as 1-2-3
You can make your next campaign as easy as 1-2-3 by working through the following – in order! Please continue to email me for thoughts and ideas about your marketing, but be prepared for me to ask you about the following:
#1 Purpose
What is the purpose of your marketing? On the surface that may seem like an easy question, but not all marketing purposes are created equal – that is not all are designed to immediately sell more product.
The purpose of your marketing can be:
- informational focused
- a teaser to intrigue
- a sales generator
- a lead generator (not the same as a sales generator)
- Word of mouth “bait”
- A call to action
- Brand reinforcement
You need to know first and foremost what the purpose of your marketing campaign is. You can have multiple campaigns with different purposes, but you can’t have different purposes for one campaign.
#2 Message
Once you know why you are marketing. You can begin to craft the message.
Ask yourself “what am I trying to say to my customers?” Your key, or central message to the customer needs to be clear, concise, and laser focused. You’re not trying to tell me what War and Peace was about, you’re giving me the first sentence and letting me decide how I want to proceed. You can have multiple campaigns with different key messages, but you cannot have multiple key messages in a single campaign.
#3 Medium
Only after you know your purpose, and your key message, can you decide on the proper medium.
This is where I see people go wrong most often. They start with an idea they want to use Youtube to promote their service, and then work backwards to the purpose and message. Only after you know #1 and #2 can you decide on what the best medium is to reach your customers with your message.
Think about your current marketing…did you work through the steps? If not, would your marketing efforts been more successful had you of?
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Seth Godin on Social Networking and how to do it Right
A couple days ago I posted some thoughts/questions that I was working through when it comes to networking and the effect the breadth of our conversations has on the depth.
I asked “Is the breadth of our conversations diluting the depth?” And we’ve had some very good responses, which I thank you all for taking the time to do.
Today I stumbled across a video in which Seth Godin was asked almost that same question.
Who is Seth Godin?
For those of you unfamiliar with Seth he describes himself as “a best selling author, entrepreneur and agent of change.” His list of credentials is much to long to post here. Check out the bio on his blog for a full run down.
Seth is widely considered an expert in all things marketing, so his opinion on networking and social networking in particular was one I was interested to hear.
How to do Social Networking Right
What is Seth’s opinion on creating large social networks? Does he think social networking is important for business? Take a look at this one minute video and find out:
What do you think? Agree or disagree with Seth in the comments below.
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5 Secrets of the World’s Best Marketing Machine
Very few brands can equal Apple in success and recognition.
The folks at Apple have reshaped what we’ve come to expect in portable electronics, their functionality, and most definitely their style.
So what were the secrets to Apple’s marketing and branding success?
Don’t Sell Products
Products don’t sell – people do. Focus on what people do with your product, not what the product does.
Never be the First to Market
Make something that is already good, greater.
Empower Early Adopters
Help your customers help you.
Make Your Message Memorable
Boil the story down to its “syrupy goodness”.
Go One Step Further
Surprise and delight your customers
For more detail on Apple’s five secrets to building the worlds best marketing machine, take a few minutes to check out the following:
Tip: For best viewing use full screen mode
Marketing Apple – 5 Secrets of the World’s Best Marketing Machine – Get more Business Plans
Photo Credit: jonrawlinson
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A Question for You
This week we’ve done quite a bit of talking about relationships that have been formed due to social networking, and conversations over social channels.
In Wednesday’s post about Twitter we had some conversation around relationship building in the comments section, and our featured entrepreneur from last week talked about relationships in the context of their business.
Evolving Conversation
I started thinking about how conversations have changed, and evolved, not only with the advent of the internet, but with the proliferation of social media networking, and how that affects our relationships. We (the collective we being us plugged in internet folk) do more communicating now than the generation before us. And no doubt we would say we foster more relationships than we did a few years back.
My Question
The breadth of communication and relationship building is greater today than it has been at any other time in our history.
But are we sacrificing the depth? Has quantity overtaken quality – or has the internet and social media made it so we can have quality conversations and relationships on a large scale?
That’s today’s question.
Let me know your thoughts in the comments below, and let’s see if we can get some “conversation” going around this topic. I’m interested in what you have to say…
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