Everybody Knows

Tell me if you've heard this one before: Millennials are self-entitled.

How about this one: Trump supporters are racist.

Or this one: Religious fundamentalists are poorly educated.

Depending upon your own generational, political, or religious bent, you probably feel that 'everybody knows' at least one of these statements. If not, I'm certain that we can find one that resonates, because one of the things that our hyper-pattern-aware species is terrific at is categorization. We evolved to think that when caveman Erg died after eating red berries, all red berries from that point on were suspect, and that when a patch of tall grass rustled right before Erg's wife, Yrt, got dragged off by a saber-tooth, rustling of any kind meant spears up and put the kids in the center of the circle.

'Everybody Knows', besides being one of my favorite Leonard Cohen songs, is useful when you have little or no control over your environment, or when you simply lack data. The problem with it as an ongoing practice for a species that has Google, tasers, and cookbooks is the same thing that was always the problem: It only applies a certain percentage of the time, and that percentage shrinks as the data set grows. When you're talking about data sets the size of half of the U.S. electorate, a generation that is now almost 50% of the population, or a major religion, the stereotypes 'everybody knows' don't apply to literally millions of people in each of those groups.

As uncomfortable as data-mining makes some people, one of its biggest advantages is that it finally makes it possible to treat each person - each Customer - as an individual. Rather than communicating offers that a given Customer may or may not be interested in via shotgun snail mail coupons, we can gather enough information - in most cases, at little or no cost - to determine exactly what will appeal to each Customer, when, and at what price point. All that it takes is effort... and a complete change to how most organizations approach marketing.

To be heard in an age when our competitors are already probably ahead of us, even how we communicate our messages has to be individualized. How many mailbox ads do you even read before you put them in the trash? Some Customers want to be told things in person, some via email, some by phone, others by text. Deciding to communicate with all Customers in just one way is just as ineffective as making no change: a large percentage will not hear you at all.

Why waste all that time and money? That's like spending all of your money on local television, newspaper, or radio ads to reach Customers who get most of their information and entertainment online.

Remember the 3 fundamentals of keeping Customers:

• Timeliness
• Perfection
• Individualized experience

Customers love to tell us what they want, like us when we listen, and stay when we offer what they need.

The (Lack of) Persistance of Memory

The human brain is an amazing organ. Despite our current technological expertise, it has yet to be equaled in terms of computing power per ounce, but it does have something in common with the hard drive on your computer:

Every time that you remember something, your brain re-commits it to memory, effectively playing post office with itself and fundamentally changing the memory. This has such a profound effect on your perceptions that it's actually possible to create memories of events that never happened, so vivid that your brain can't tell the difference.

Aside from how disturbing this is when applied to the idea of 'eyewitness testimony' at a trial, this has potentially destructive implications for your business. Even Customer Service and Salespeople that are 'young and sharp' remember things differently than they actually occurred.

How do you combat this? By making it part of your organization's culture to record everything in your CRM or database as soon as it happens (while it's happening, if possible, so that even the wording used is retained). If it was a phone conversation, record those and attach them to Customer accounts (in my call center experience, 95% of Customers remember a phone conversation differently than what actually occurred). If it was an email chain, make certain that those are attached to the Customer account, too.

The essential ingredient here is urgency. If a rep or anyone else who has direct communication with Customers is slow to record those communications, curb this behavior immediately. The longer anyone waits, the more that will become your culture, and the less accurate the information in your database will be. And then why are you spending so much money for it?

Databases for Dummies

Have you ever noticed that database people are fussy? Really, really fussy. (It's okay for me to say this, first because it's true, second because I am one.) It's because we have to be, because literally everyone else in the company constantly tries to mess everything up. Our lives are spent rolling our eyes and fixing problems that cost you a tremendous amount of money and lost man-hours, and that never should have happened in the first place.

If you don't have a database of your Customers and prospects, it's time to create one. If you do have one, it's time to clean it. The first will help you make money; the second will help you save money.

A database, for the purpose of today's topic, is a place to save Customer information. There are 5 main must-do's when creating a database:

• Only have one database, ever.
• Figure out in advance what information you want to save in your database, now and in the future.
• Create clear, meaningful names for each database field, with no redundancy.
• Decide which data fields are mandatory and what constitutes acceptable data for each field.
• Require that everyone use the database, always (especially salespeople).

And there are 2 must not's:

• Never, ever use Excel in place of a real database.
• Never, ever use Act in place of a real database.

The reason that you only want one database is to avoid pocketing and the cost & aggravation of having to merge dozens of databases later (trust me; I used to do this for a living). You have to figure out in advance exactly what information you want your database to include, now and in the future, because of a triusm that applies to a lot of things in business:

Plan carefully now, or regret expensively after.

You always want your database fields to have real-world names, without cryptic acronyms. Otherwise, you are just begging for people to put the wrong info in the wrong fields, means turns your database into worthless crap. Never use the same field more than once. You've already asked for the info; why do you need it twice? Some fields can be optional, like the Customer's birth date, but you should set most so that they have to be filled in. What good is a Customer name without an address, phone number, and email address?

Also, don't allow anyone who uses the database to use abbreviations, or I guarantee that you will have duplicate records. If your Customer's name is 'David', use 'David' and not 'Dave'. If he likes to be called 'Dave', put that in a 'Nickname' or 'Goes By' field. Otherwise, when you buy lead lists or someone else enters him under the other name, you'll have duplicate records. Also, always spell out street names, city names, and country names. (I once had to work with a database where a single city name appeared as 6 different abbreviations, plus spelled out correctly, which meant the company was spending money to send the same mailer to each Customer 7 times. Now imagine if the street names and county names were sometimes abbreviated, too.)

If you already have a database, now you know why you need to get someone to clean it. The sooner the better.

If your organization has salespeople, I'm going to suggest that you create a new rule, if you haven't already: Any sale that takes place before a Customer is entered into the database belongs to the company. No exceptions, period. This will ensure that every Prospect is entered into the database, because there are salespeople who have a bad habit of sandbagging leads, in the mistaken impression that your Customers 'belong' to them.

Customers belong to the company. Period.

Not only will this create a more flexible corporate culture, it will also make things much easier when you have to reassign a Customer to another salesperson or split a territory.

And, while everyone who touches Customers should have access to your database, only Sales, Customer Service, Accounting, and Tech Support should be able to enter or change data. Not only that: any good database should also record who entered or changed that data, and when.

Finally, why not use Excel or Act?

Excel is not a database; it's a spreadsheet (duh). Microsoft puts all kinds of code in each field that you can't see to make it work well as a spreadsheet. Unfortunately, this code makes it difficult to do anything with the data if you try to use it for anything else, and a costly conversion if you have to convert it to a true database format when you eventually move up to SQL or some other real database, and someone has to manually clean out all that gunk (and your pockets, while they're at it; remember the Leaky Roof rule).

Act, while easy to use and great for a self-employed, standalone salesperson, does not share data well across a network - the whole point of having a database.