VirtuaClass

One of the more common mistakes a small business owner can make is that of co-mingling personal and business funds. This mistake could potentially cause an LLC or corporation to lose its “liability” veil, thereby allowing a creditor the opportunity to come after a business owner’s personal assetts. The easiest way to fall trap to this mistake (of co-mingling funds) is by failing to get a separate credit card for your business expenses. Just think about all of the little expenses you do or will incur, which must be paid be credit card, i.e. domain name registration, site hosting fees, etc.

Using a dedicated credit card for business purchases also makes it easier to itemize expenses for accounting purposes, and helps to build “credit” for your business. Many business owners also find that use of a cash back credit card allows them to save up to 5% on many company expenditures.

Of course, the disadvantage of acquiring a business credit card is the potential of its abuse. To be an effective financial tool the credit card must be managed properly. Here are a few suggestions for effective money management:

1) Most important - You must avoid late payments! All advantages of business credit card are quickly over shadowed when high interest rates and late fees plague a business owner.

2) Do not sign up for too many cards in an effort to take advantage of some special offer. Opening up too many lines of credit can have a negative effect on your credit score.

3) Don’t use the cash advance feature. Cash advances come at the cost of high interest rates and heavy fees.

In sum, be moderate and responsible! I would also advise that you really shop around too find the right credit card; one with a helpful reward, low interest rate, and user friendly terms. There are many informative credit card comparison sites online, which can help to make the research process fairly fast and easy.

As you may know, many companies are now extensively using the power of blogs to drive traffic to the web site. One of the opportunities blogs provide is to key in on long-tail keywords, which may not justify their own web page. The blog gives web masters the ability to go after a not-so-often-searched-for long tail keyword phrase like how do I back up my blog.

So for all of you VirtuaClassers here are several tips to keep in mind when blogging:

Make sure your headlines include some link-bait-
What is link-bait you ask? Useful or entertaining web content which compels users to link to it.

Make sure blog content is unique, researched, and engaging-
These three adjectives really separate articles which rank and get traffic from those that do not.

Internal Linking-
Generally include one link in the top third of the article. This link of course should point to a page of your website. It is ok to have more than one link but be careful not to do over it.

Use Pictures -
The Rocky Mountain Mattress Blog www.rockymountainmattress.com/blog is a great example.

Use Videos -
Another good example for RMM http://youtube.com/user/eplanit

Include Customer Reviews -
Particularly in-depth reviews versus short testimonials make for good blog posts

Comparisons -
Compare your products or services to the leading companies or brands in your industry.

Solutions-
Every industry has associated problems, so blog about the solutions.

Back Up Your Blog-
Most bloggers are unaware that one of the risks of blogging for free with the mainstream hosting providers is that if your blog were accidentally erased, or if in the unikely event hosting was ever interrupted there would no way to recover your blog. Consider the emotional or financial loss the the blogger that under goes this type of “blog loss.” We recommend using a service like Bloggled to back up your blog.

It amazes me how often when talking to a small ecommerce business owner they can never answer my simple questions about web analytics. I might ask a simple questions like “how much traffic are you getting?”, or “have you logged into your analytics lately to see where your traffic is coming from?”…and nearly always the response I get is a blank stare and a I don’t know. These are business owners that either don’t have a clue, or don’t know the importance of a great analytics software.

A business owner that was in the know could respond to those questions very easily with something like, “we average about ### visitors a day, and most of it seems to come from Google because our main keyword phrases are blank and blank.” First thing first though, you have to install a software and know where to log in to check your data. Once that is done it’s as easy as checking your email and you’ll be an in-the-know business owner.

A great web analytics software will tell you information such as: total visits, unique visitors, entry pages, exit pages, route traveled, referring URL, searched keyword, visitor computer platform, browser, and a wealth of other valuable information. This would be like if you owned a local store in your area that sold ski equipment and every time someone walked in they filled out a form saying where they came from, why they came, what they are looking for, what isles in your store they were going to walk down, etc. No one would fill that form our cause it would take too long, but they instantly give all that information to you online. Why not them make use of it and better optimize your site and your conversion by studying the data and making changes to improve. Exactly how to do that is a whole different post, but here are some programs I recommend that I have used.

Google Analytics: This is a free program that anyone can use and is simple to sign up for and install. While I still use Google Analytics I have noticed some inaccuracies in the data and so I don’t fully trust it. Although for a free program, you can’t beat it.

Mint: Mint offers a relatively inexpensive analytics program that shows you the much-needed data you want. It has to be installed server side so you need full access to your website. It always shows the data in a slightly sexy manner compared to other softwares out there.

Omniture: If you are looking for the best of the best web analytics software then you will find it with Ominture. Based off of my research and use, Omniture is the best and has the most trusted accurate data on the market, although you’ll pay a hefty price tag for it.

If you’re reading this and thinking, “do I have a web analytics software installed”, hopefully I’ve given you enough info to get filled in on the subject. Good luck and happy data mining!

An Interview with Terrence Campbell

Background:

Terrence Campbell serves as the Chief Marketing Officer for Privacy Wear, a clothing company recognized for its philanthropic policy to return 10% of all sales to breast cancer research and organizations.

Privacy Wear’s story is certainly a touching one that showcases how a company dedicated to give back found success along the way. The company’s CEO, Carolyn Jones, lost her mother to breast cancer. As an entrepreneur, Jones wanted to find a way to pay tribute to her mother’s memory while making a difference in the search for a cure for breast cancer.

The company maintains an established unique selling position focused on, 1.) giving to breast cancer awareness programs year-round, and 2.) directly addressing the “lack of attention to detail in the fit of premium and young contemporary denim.”

Goals & Objectives:

Identifying and discovering a company niche
Defining an effective unique selling position
Effectively using the press
Establishing strategic alliances
Developing an attitude of business persistence

We sat down with Privacy Wear’s Chief Marketing Officer for a candid look at the company’s unique success story, and to discover how their unique marketing approaches have worked outside of some of the more standard strategies.

Implementation

What is Privacy Wear’s niche, and how did the company develop that niche?

Privacy Wear’s main niche is with young, socially aware fashion trendsetters. This niche market recognizes the company’s philanthropic efforts and unique clothing fit. From its inception, the company’s core audience has been breast cancer supporters, which Campbell says “has supported us and continues to support us throughout the years.”

What is a unique selling position, and how does Privacy Wear use that position?

The USP should answer the question “‘Why should I do business with you instead of your competitors’” For Privacy Wear, a two-fold USP includes the company policy to donate 10% of all sales to non-profit breast cancer organizations and the attention to detail in the fit of its denim clothing. In fact, Privacy Wear found that it is the only company to give back such a considerable amount on every sale to breast cancer awareness.

What about media coverage? How can companies use the press to succeed?

Recognize the formula that goes into capturing the attention of the news media, and use it. When an event or subject has significant impact on or importance to large audiences, it is generally considered to be newsworthy. For Privacy Wear, photos of high-profile celebrities such as Eva Longoria wearing their clothing have been used to capitalize on press coverage.

What is a strategic alliance?

Campbell described the strategic alliance as “anytime two or more parties undertake an economic activity together.” Privacy Wear uses “in store marketing” strategies and other joint ventures. The company partners with other companies, individuals, and organizations in working relationships that benefit both entities.

Did Privacy Wear just get lucky? Or did business persistence pay off?

In the company’s early days, the Privacy Wear team passed out t-shirts with the company name printed on the front with persistence, and by the time their Website launched with basic t-shirts and hats, the company had already developed a loyal customer base. The t-shirt story “illustrates how we built our business and continue to build our business.” The company maintains the concept that a company should “never be to big to grow your business.”

Results

So how well have all of these strategies worked?

Privacy Wear’s unique marketing approach has helped it garner an image with virtual celebrity status. Many well-known celebrities proudly wear and showcase Privacy Wear attire in public, further establishing the company’s image and success.