Category Archives: Marketing

Posted On November 28th, 2017 by Crowded Ocean

Anatomy of a Successful Startup Launch

Ask anyone in Silicon Valley and they’ve got their theory about how to launch a startup. There are plenty of startup founders (Slack, Atlassian) and industry watchers who will proudly boast that you can launch a unicorn without marketing. But then there are the 90 percent of startups that have to dig in and build their customers and grow their enterprise click by click, demo by demo, free trial by free trial.

Here’s our advice for the 90 percent:

1 – launch with a cross-functional team – According to a feature in the Harvard Business Review, 75% of cross-functional teams are dysfunctional. That stat caught our eye because the heart of every successful startup launch is the launch team—which by its very nature is cross-functional. That’s product, support, sales, marketing, and the CEO/founder coming together to introduce a new solution that solves a real pain point. The dependencies, tradeoffs and decisions that need to be made to meet the goals of launch can be made faster and more effectively with a cross-functional team. And with an experienced marketing pro chairing the team, your startup can banish dysfunction.

2- tops-down support is essential – if you want your launch to happen fast, be sure to include the CEO or co-founder on the cross-functional launch team. The CEO is a member of the launch team, not its leader. The leader is your head of marketing or CMO. You want the CEO there to reinforce the importance of goals, deadlines and accountability, and when tough decisions need to be made, it’s easier when the CEO is at the table not coding or pitching new customers. Without the CEO engaged, the CMO will likely have to spend more time socializing options and hunting down decisions and less time getting everything done.

3 banish pixel polishing – part of the Steve Jobs legacy is his famous (and infamous) attention to the details of Apple product design that bordered on obsession, a habit we call “pixel polishing.” Now Jonathan Ive and Elon Musk are celebrated for their same rabid focus on product details — admirable but a huge obstacle for a startup preparing to launch. A startup team in launch mode doesn’t have the time or the money to afford to do any pixel-polishing. Just say no to pixel polishing and yes to “good enough.”

4 – beware nomadic board members– when board members start chiming in to “help” give feedback on messaging and marketing strategy, that’s often problematic. In fact, when we see board members dropping in to the startup’s offices frequently prior to launch, it’s usually a red flag. That often signals that the CEO is not strong enough to manage his board out of the way of his team. In launch mode, feedback can be hugely valuable. But, it’s better to get feedback from early customers, not board members.

5 – bring PR to the table early — there are strategic PR firms that can participate “upstream” with startup founders to nail down the positioning and messaging that’s core to launch. They can bring their experienced outsider perspective to build a solid story that will attract attention and followers among media, analysts and industry influencers. Then, there are “downstream” PR firms that are waiting to be handed the story. Hire the former, not the latter. Launch is too important not to invest in hiring an experienced PR team that will challenge assumptions, build and test the message and advocate their point of view at the table.

6 it’s never too early to build content – when a launch is delayed, it’s usually one of three reasons: product issues, customer problems, content delays. You can never have enough content and the way to avoid delaying the launch because of late or missing content is to start launch planning early. No, you don’t want to start drafting content before the messaging and customer targets are baked. But since iteration is a way of life in startup marketing, start drafting content early to hit your deadlines.

7 website UX trumps brand – if the founder starts talking about favorite brand colors and fonts, that’s another red flag. The most important thing for your launch website is designing the information architecture and content to drive conversions. Yes, design is integral to a successful site. Yes, building your brand is a process that starts with launch. But you need to focus on content and conversions first, or you’ll wander off into discussions of fonts and colors. See dangers of pixel polishing above.

8 anticipate the trough — before you launch, be sure to have at least two months of demand gen programs defined, funded and queued. Otherwise, you run the risk of allowing all of the visibility, brand awareness and site traffic from early adopters to vaporize. To leverage the blood, sweat and tears of launch and leverage early market momentum to build early sales, avoid the post-launch trough with smart planning.

 

Posted On November 21st, 2017 by Crowded Ocean

3 everyday lies you will hear at startups

Celebrated Venture Capitalist Ben Horowitz has called several familiar management mantras “just stupid.” So we thought we would share three comments we hear at startups that are just false – or hopelessly naïve–and then our take on how to interpret them.

  1. We have no politics. This timeless adage is complete fiction. Like every family, every startup has its characters, power structures and power plays. The key to success in any organization – large or small – is to balance the effort you spend on your ideas, deliverables and internal advocacy with the time it takes to make sure your ideas and deliverables are completely aligned with the goals of the company. Our advice: In other words, we’ve seen plenty of good ideas die because they weren’t sold and supported by the right folks in the organization. Do your homework on how the organization makes decisions to be sure you’re cultivating support among the key influencers.
  2. We have a very flat organization. This one makes absolutely no sense. Every startup starts out flat, if only because it’s tough to have a hierarchical org chart when you only have six employees. But very quickly you’ll have a hierarchy of: founders; C-level (C_O); V-level (VP of__) and Directors—if not in title than in practice. The founders are the passionate, single-minded believers that raised the money and quit their day jobs to build a new company around a new idea: they get more than one vote. Every startup has people in the organization who, despite the title on their business card, get to weigh in on decisions and influence the outcome. If you’ve joined a startup and you haven’t figured out how to tap into the founders’ brain trust in order to sell your ideas…well just make sure you keep your resume updated on LinkedIn. Our advice: after you figure out the “what” of your job, don’t get seduced into thinking that you can “just make it happen” by lunging ahead to implement your ideas. Take the time to figure out “how” you’re going to sell your idea and advocate with the key decision makers and influencers on the startup team (the ones with the most votes).
  3. There are no stupid questions. Actually, there are. Or, put another way, “There are stupid people answering questions.” How many meetings have you been in where a new-hire asks a question that’s just off-the-wall. And, yes, when you’ve just joined an organization, you can slow progress (as well as make a lousy first impression) by jumping in too early. Our advice: if you’re new on the team, get the lay of the land first. Learn the product. Listen a lot. And pay attention to the team that’s customer facing. Then after you’ve gotten integrated into the team, dive in with your questions. That way, you’ll be more credible and you’ll have real context for your questions and observations.

 

 

Posted On November 16th, 2017 by Crowded Ocean

Make your brain bigger with these 4 new terms

Analog fever: Call it the rise of the retro or the nostalgic in modern culture, but a reaction to the digital revolution is emerging in the popularity of hybrid design in consumer products that combines simple design with embedded computers.

Meta-learning: A growing trend in AI research is to enable AI-enabled computer systems to master new skills. This will be a significant advance over the single-task systems and robots we know today.

Ethical hacking: When a corporation hires a team of “white hat” software developers or testers, it’s harnessing the power of the good guys to combat the “black hat” bad guys. Companies like @bugcrowd (former Crowded Ocean client) and others (HackerOne, Synack) use crowd-sourced vulnerability testing to help corporations prevent cyber attacks. This white-hat hacker explains all about it here.

YIMBY: New groups have formed in cities around the globe lobbying for the development of affordable housing. They call themselves “yimbys” for “Yes in my backyard”. The movement started in – wait for it – Silicon Valley where the cost of housing, including rental costs, is among the highest in the U.S.

Posted On November 7th, 2017 by Crowded Ocean

Content, Customers, Competition, Conversions – a mantra for startup marketing

As we work with startups that are preparing to launch and that are, by definition, strapped for time, talent and resources, we find ourselves turning to the mantra of the four C’s: content, customers, competition and conversions. These four priorities should dominate the focus of your startup marketing team as you prepare to launch:

Content – It’s a rule of thumb in B2B startup marketing that there is never enough good content to tell your story. For written (not rich media) content, that means well-crafted, easily accessible, visually-rich content that drives your message home for your different targets (buyer, partner, analyst, etc.) and moves them through the sales cycle. That’s why we urge every client to start as early as possible to lay out a plan for content so that there is ample time to write, edit and review your content and to ensure that every piece is designed to move a prospect to the next stage in the sales process.

Planning for more time, somewhat conversely, also allows for your content to “gel” so that they can be shorter, pithier and more substantive. And more time will allow your content team to plan for ways to repurpose, say, that 5- to 7-page white paper into blog posts, contributed articles, and perhaps newsletter copy.

When it comes to creating a new website for launch, we know from experience that it’s almost always the content that lags, not the design or coding. That’s why we recommend you start your content development early.

Customers – It should almost go without saying that the customer needs to be front and center as a startup team prepares to launch. Customers are essential public validation (as logos on your website, quotes for the media, case studies for sales) for market launch that are almost always a prerequisite for launch. To make that customer focus a reality, the Chief Revenue Officer is involved in our launch planning and deliverables from day one.

Competition – Every startup preparing to launch benefits from having an enemy. Having a clear competitor gives your team a target to focus on and it helps to force your team to shift its aim from the internal development and early support issues to external customer development and sales. We recommend assigning someone on your team to study and monitor your competition and to regularly report on their progress to the rest of the startup to help your team be externally focused on sales growth and customer satisfaction.

Conversions – When preparing to launch your startup, it can be an endless distraction for a startup team to dive into logo design, taglines, and other elements of brand, especially the website. It’s a common wasteful detour for a startup team designing their launch website to engage in what we like to call “pixel polishing.” (that’s a form of “camel marketing”, or design-by-committee) That’s why we steer our clients to think about conversions instead. What is the path through the site for your target prospect? At every step through the site, what action do you want your target to take? What content do you have to move your target through the sales process? In other words, how do you convert a website visitor into a sales prospect as quickly as possible.

If your team is preparing to launch, repeat after us: content, customers, competition and conversions.

Posted On October 24th, 2017 by Crowded Ocean

Speak like a native: latest tech jargon

Sensor-veillance: Law professor Andrew Ferguson warns that we are entering this new era when “we can expect one device or another (think Fitbit, smartphone, webcam) to be monitoring us much of the time.”

Reverse mentoring: Need a lesson on best practices in social media or how to hire millenials? Maybe you, or your senior executives, need to seek out regular coaching sessions from younger employees. The trend is called reverse mentoring and it’s being embraced by older leaders of established companies around the globe.

Cognitive diversity: Like its cousin “viewpoint diversity”, this trendy notion is that a homogeneous group of, say, a dozen white men could actually represent “diversity” if they bring different life experiences to their job or role in society. The concern, of course is that the goal of racial and gender diversity (the “traditional” or “old-fashioned” kind of diversity) is sidelined by this new idea.

Phubbing: That’s short for “phone snubbing” and it’s the common practice of snubbing others in favor of your mobile phones.

Posted On October 12th, 2017 by Crowded Ocean

Startups: Mission, Vision and Purpose statements

Readers of this blog know that we’re not big fans of ‘Mission Statements’. Even for those companies who aspire to—and perhaps even achieve—the goals of their mission, these goals are too often vague and euphemistic. Worse, they’re self-directed, focused inward, rather than out towards the market. In the early phase of building a startup, we practice sales-based marketing* and mission statements rarely helped your sales team open doors with critical early customers which is another reason we’re not in favor of them.

Purpose Statements, not Vision Statements

While we like ‘Vision Statements’, often as an early slide in an investor deck, there is an even better ‘statement’, one that combines Mission and Vision: the ‘Purpose Statement’. It has the benefit of being pragmatic, answering the question “Why are we in business?” More importantly, it has multiple audiences: for investors, a well-written Purpose Statement is more pragmatic than most Vision Statements. And for employees, a CEO can stand in front of a Purpose Statement and say: “This is what we’re all about. If your job isn’t in direct support of this statement, then we either need to change your job’s objectives or change the statement.”

Take a step back

Our suggestion: if your team is laboring over your Vision or Mission statements, take a step back and look at why you started the business in the first place. Then go from there.

* Sales-based marketing: The job of Marketing comes down to 3 words: Make Sales Easier. If it doesn’t initiate new sales, shorten the sales cycle, or make repeat sales easier, don’t do it.

Posted On September 20th, 2017 by Crowded Ocean

How to be a lousy client (#6)

Your sh%$ doesn’t stink…

The news these days seems to be either a wonderful range of perp walks (Martin Shrekli, Travis Kalanick, Parker Conrad) or staged mea culpas (a rogue’s gallery of VCs and tech executives who have suddenly gotten religion about sexual harassment and inequity within their companies). But how they got to these points was clear: along the way they came to believe that their shit didn’t stink. (The NY Times has a great article on this phenomenon, called ‘moral disengagement’)—a belief system that was reinforced by those who supported them (among whose number, we have to believe, were their investors as well as employees.)

It’s great, after the fact, to blame the parents and school officials who allowed this behavior to proceed unchecked. But you play the cards you’re dealt, and if employees or investors don’t call your clients on their behavior, strategic advisors/marketing agencies have two choices:

  1. call your clients on their behavior yourself (and probably lose the account), or
  2. shut up and do the work, knowing that you’re kicking the same can down the road.

Crowded Ocean is in a unique position because we get in to a company early (during its formation or as it goes to market). And we’re working with CEOs (often tentative, first-time CEOs) directly and behind closed doors.

As a result, we can offer our advice as being couched in self-interest. (“We’re only telling you this because we want you to get phenomenally rich and we can claim responsibility.”) We also appeal to their vanity. (“Better that we tell you that your zipper’s down than that the market does.”)

Does that mean that we’ve been able to steer our difficult clients from the path of ‘moral disengagement’? Hardly, but we sleep a little better at night for at least being on the record about their behavior.

 

 

 

Posted On September 12th, 2017 by Crowded Ocean

Do you speak Silicon Valley? Test your vocab

Dark UX: the UI architects at sites like Facebook are investing in research and testing of subtle changes with “persuasive technologies” to their site to go beyond “increased engagement” by users to foster non-stop interaction, and critics say addiction. There is a sliding scale of intrusiveness, manipulation and safety attributes to elements of Dark UX say industry watchers.

SPAC: the new “special purpose acquisition vehicle” is an alternative route to public ownership for tech startups. According to this article in the Wall Street Journal, “unlike a traditional IPO, SPACs first raise money through a stock offering and then hunt for a deal on which to spend the funds raised.

Liquid democracy: making the power of the vote a digital capability that is combined with blockchains to make it secure as well as borderless. Theoretically, this would be the system that would allow a voter to delegate their vote to someone to represent them. The New Scientist explains in this article. There is even a Liquid Democracy organization based in Berlin.

Biohacking: the latest craze in self-improvement in Silicon Valley combines intermittent fasting with tracking of vital signs like body composition and blood glucose levels.

Posted On August 29th, 2017 by Crowded Ocean

Why is the CMO role at a startup a turnstile?

Crowded Ocean spoke last week at the annual National Venture Capital Association (NVCA) meeting about a new framework for building an effective marketing program for enterprise startups. We call it marketing-as-a-service (MaaS).

This recent article in VentureBeat explains the MaaS model and how it works off of three basic principles:

  1. Hire the CMO last;
  2. Justify every hire;
  3. Hire only for the core; outsource the rest.

Below are answers to three of the top questions about MaaS that we addressed at the NVCA meeting and also on this new podcast entitled “How to find the right CMO for your startup”:

  1. Isn’t the problem that there is simply a shortage of trained marketing professionals?

Actually, the problem is that there is a different marketing skill set required during different phases of a startup’s life. The first phase is product management which is a highly technical focus on defining the product roadmap. The second phase is corporate marketing to drive the positioning, messaging and launch of the startup with a team of virtual specialists. The third phase is product-marketing, which requires a marketing leader steeped in the industry domain of the startup. A fourth component of marketing is about “instrumenting” marketing to automate and measure elements of marketing like content offers, calls-to-action, demand generation programs. No candidate that we’ve worked with in launching over 45 startups is versed in all four, so we suggest doing Product Management in-house with the founding team, outsourcing the launch to Corporate Marketing specialists, then hiring the CMO.

  1. How can a team of contractors actually deliver at the same level that a startup employee can deliver?

Startups should approach their staffing plans by having to justify every hire, which means hiring only for core capabilities. By understanding what is “core” to your company business and deciding to outsource the rest – particularly during the first two phases – a startup can keep headcount lean and can maximize the flexibility to build out the team after company launch.

  1. Do you have a way to measure the effectiveness of MaaS?

 Let’s start with the negative: The cost of hiring the wrong person to lead marketing, or hiring that person at the wrong time, is immeasurable, from market presence to team morale/retention to initial revenue. With best practices in marketing constantly evolving, Marketing as a Service lets you tap into marketing specialists in everything from web design to video content to email marketing—all without parting with a single headcount. The startup can stay lean, nimble and current while being prepared to iterate based upon data and feedback. Bottom line: the Marketing costs in a company’s earliest stages will be significantly lower than with the traditional Marketing model. And the initial success—however you choose to measure it—will be greater with this lean, focused MaaS approach.

Posted On July 24th, 2017 by Crowded Ocean

On the radio: startup strategies with Crowded Ocean

Check out Tom and Carol interviewed about The Ultimate Startup Guide:

Listen to KGO Radio 810 Techonomics with host Jason Middleton

  • Part one (11:44 minutes)
  • Part two (19:06 minutes)

Check out more about Techonomics Radio on Facebook.