Dear Friends:

With 2008 coming to an end and a new year with economic uncertainties approaching, I’m actually optimistic for the tech industry, Carabiner Communications and our clients. Five companies recently signed up to partner with our agency, and as we continue to help all of our clients’ businesses grow, a thought occurred to me: now more than ever, it’s essential to know how to communicate your company’s value.

Whether your focus now is to build your customer base, secure funding, or generate more press coverage, the most important thing for a company to drive home is not why a new product or service is cool, groundbreaking, technologically advanced, or unique. What matters is why that product or service is uniquely needed. And in each communication, that need must be couched in terms appropriate for the intended audience.

In this month’s feature, we have some fun illustrating this point with the help of Steve Martin’s character, Navin Johnson, from the movie The Jerk. Remember the Opti-grab? Read on and we’ll help refresh your memory!

Hope you enjoy and happy fall!

Peter

Communicating Your Value

by Bob Pritchard
Coastal Director, Communications Strategist, Carabiner Communications

A business associate recently asked me to sit in on an entrepreneur’s funding pitch, which was to be delivered soon for the first time to a VC group. Always happy to help a startup, I was soon on the receiving end of a carefully prepared PowerPoint presentation laying out plans for a new device that was at the prototype stage, ready for production and launch.

The presenter was remarkably poised, confident, and technically savvy, and the slides were of a great design. Yet by the end of the presentation, I had no idea why anyone should invest in his company, despite numbers showing ROI. If the same presentation were made to an actual VC, that audience would have the same impression I did.

What went wrong? The same mistakes VCs see on a regular basis: lengthy breakdowns of the superiority of the technology; explanations rife with buzzwords, acronyms, and uncommon terms; and strong assertions that the product was unique and without direct competition (which can be as much red flag as advantage). And, most damagingly, complete absence of a convincing story that the product was actually needed.

I reviewed copy for this start-up’s initial marketing collateral, which followed exactly the same path.

For as long as there have been entrepreneurial startups, there have been communications surrounding their efforts that similarly fail to connect with audiences – not just VCs, but also potential customers, partners, the press and analysts, and anyone else for whom interest in the endeavor is critical.

The important thing for a startup to drive home is not why a new product or service is cool, groundbreaking, technologically advanced, or unique. What matters is why that product or service is uniquely needed. And in each communication, that need must be couched in terms appropriate for the intended audience.

Example: The Opti-grab

To steal an example from Steve Martin’s movie The Jerk, let’s say you’re bringing to market the Opti-grab, a device that keeps eyeglasses from sliding down the wearer’s nose. That’s a unique invention, a breakthrough solution designed spontaneously by gas station attendant Navin Johnson (Martin’s character) when a customer complains about his glasses-slippage problem. As Navin explains the idea that sparked his invention:

“I was back there thinking, what causes glasses to slip and it's because when you take them on and off you're always putting pressure on the frames like this – it causes them to spread, so I put a little handle right here in the center and it puts the pressure on the bridge where it belongs, just like the tie rods on a ‘72 Buick, plus I put a little nose brake on to prevent slippage.”

Fortunately for Navin, the customer for whom he fashioned this device is Stan Fox, who makes a living “selling stuff like this.” Stan realizes the real need for the Opti-grab, and offers to take it to market and split the profits with Navin fifty-fifty. By the time Navin meets up again with Stan, Opti-grab is a hit and Navin gets the first, fat royalty check that puts him on the road to riches and fame.

Opti-grab could obviously not have become a hit just because it addresses a need; Stan had to market it successfully, and that requires effective communications targeting a number of audiences. Navin gave Stan the core explanation of the technology, which could easily be refashioned in a problem/solution marketing message:

Ever since eyeglasses were invented, they’ve been slipping down their wearers’ noses. It’s annoying. It’s distracting. It’s nerdy. And it’s unnecessary, thanks to Opti-grab.

What causes glasses to slip is that putting them on and taking them off by holding the temple piece – which we all do – puts pressure on the frames, causing them to spread. Opti-grab addresses this problem by providing a handle attached to the bridge, which supports 90% of eyeglass weight, for removal without spreading the frames. For extra assurance against slippage, there’s a small “brake” that maintains surface pressure against the bridge of the nose.

These two paragraphs are the identification of the problem and the solution, and the elements they embody should be present in all marketing communications to any audience. What’s also required in those communications is a conveyance of need, which must be tailored slightly to address the concerns of various audiences as follows (all examples are within the spirit of the movie, of course).

Pitch to VCs

After establishing problem/solution:

This matters because there are over 250 million eyeglass wearers worldwide, and industry analysts estimate that the average wearer pushes them up 14 times per day, for a daily total of over 3.5 billion annoying, distracting, time-wasting pushes. Analysts also estimate that 22% of all eyeglass wearers – a total of 55 million – suffer from chronic eyeglass slippage, which interferes greatly with normal daily activities.

Our focus groups, conducted in four major markets, indicate a nearly universal favorable reaction to Opti-grab, with some test group participants actually breaking down in tears upon realizing that a solution is at hand. The only real concern was cost. Good news on that front: Opti-grabs can be manufactured in quantity for less than $.50 each as add-on devices, allowing sales through retail distribution at substantial profit, and at much less cost when incorporated into the design of manufacturers’ frames, for which Opti-grab Corp. would receive a very healthy and profitable licensing fee.

Pitch to a publication

After establishing problem/solution:

This issue is of utmost importance to your readers. Your media audit indicates that 32% of your 162,000 subscribers wear eyeglasses. Using industry analyst figures, that means a total of 2,268,000 annoying, distracting, time-wasting eyeglass push-ups per day, with over 11,400 readers for whom the condition interferes greatly with normal daily activities. In other words, nearly a third of your readers would find this solution of likely interest (and many additional non-eyeglass wearers know someone who would); over 7% would consider it a godsend.

[To publications like Eyeglasses Monthly: Slam dunk!]

Pitch to consumers

After establishing problem/solution:

If you’re one of the millions of eyeglass wearers who find themselves routinely having to push up their eyeglasses, Opti-grab provides immediate relief. No more looking like an old geezer peering over your glasses to scold. No more photos of you accidentally using the middle finger for an eyeglass push. You’ll have newfound, hands-free confidence whenever you’re wearing your glasses – dancing, playing video games, or peering into the eyes of the one you love most.

Pitch to partners

After establishing problem/solution:

Opti-grab is a value-add and serious product differentiator for the eyeglasses you currently manufacture. By giving your customers the option of slippage protection, you’re taking a leadership position in addressing the “silent shame” that has plagued eyeglass wearers for generations. Competitive frame makers who don’t offer Opti-grab? Good luck to them in appealing to the more than 250 million eyeglass wearers worldwide who suffer from daily slippage, and the 55 million who are chronic slippage sufferers – they simply won’t be able to compete.

In conclusion

The principles explored for communicating the value of Opti-grab really do apply to any product being brought to market. By properly presenting your messages of problem, solution, and need to each of your key audiences, you’ll boost your believability, credibility, and desirability. And because of consistency in core messaging, those who encounter your messages in more than one setting – i.e., the VC who hears your pitch, visits your Web site, and sees early press coverage of you – will get reinforcing messages that make the core value stick.

Branding and Lead Generation:
Why Your Company Should be Podcasting

Web 2.0 is no longer a medium of the future or just affecting teens on MySpace. Businesses are tapping into social media to communicate in the same way that the Internet brought us email and instant messenger. The interactive nature of Web 2.0 taps into audio and video communications that are broadcasted online, aka podcasts.

Download this slidecast to learn about the branding and lead generation possibilities of podcasting with Allen Ulbricht, CEO of PeachPodStudios.

Digital Element and Vumii Break into the Wall Street Journal

On Monday, September 29, 2008, two Carabiner clients were featured in the Wall Street Journal:

Digital Element and its IP Intelligence technology were featured in the Wall Street Journal article, “We Know Where You Are”, which discusses how companies increasingly want to know where visitors to their Web sites are located so they can better serve them – either in their native language, national currency or by offering them information, promotions or products pertinent to the local area.

Vumii was awarded Wall Street Journal’s Technology Innovation Award in the physical security category for its Discoverii camera system’s use of a near-infrared laser to illuminate an area. With Vumii’s technology, security professionals have the ability to identify targets, recognize facial features and read license plates and ship identification numbers at distances up to 3000 meters, day or night.

Five Rules for Working Vacations

As advocates of having a strong work/life balance, we hate to admit it, but at least one time during your career (and even more for most executives and entrepreneurs), you’ll find that you can’t leave it all behind and you’ll have to stay plugged into work during a vacation. In an article published on WomenEntrepreneur.com, Carabiner VP Dana Cogan lays out strategies for keeping work flowing, from the beach or the slopes. Click here to read Dana’s article.

Dana enjoying a family vacation in London, England while staying “plugged in” to work.

Carabiner Signs Five New Clients

Our growth continued over the summer with the addition of five new clients.  

	Cardlytics: developers of a powerful, new loyalty solution for banks and marketers designed to address the privacy, security and regulatory issues unique to banking.
	LeadLife: a provider of on-demand marketing automation software that generates, scores and nurtures leads for B2B marketers.
	Omnivue: the provider of choice for businesses looking to automate and streamline financial and customer relationship management to help drive business success.
	Top Eye View: Providers of environmentally-friendly helium blimps delivering “eye in the sky” remote controlled video for real-time broadcasting, monitoring and surveillance.
	vmSight: a provider of end user experience assurance for virtual desktops and applications.

Connecting with Carabiners

Bob Pritchard, Coastal Director,
Communications Strategist with Carabiner since 2007

If you haven’t heard from Bob in a while, you may find him vacationing in Northern Italy, his favorite spot away from home. A fly on the wall of the Pritchard household would hear The Flaming Lips’ music of Bob’s favorite rocker, Wayne Coyne. To find out what Bob’s first job was at the local drive-in movies and why you should stay close to him in an emergency, click here.

Paul Rubin, Media Relations Strategist & Writer
with Carabiner since 2007

This Carabiner started his career covering the police beat, court system and occasional obits as a newspaper reporter for the Chambersburg, Pennsylvania Public Opinion.  The Northeast winters eventually weathered this Miami native to settle in Atlanta, where he still enjoys listening to the first record he ever bought – Johnny Cash at Folson Prison. Click here for more fun facts on Paul.




Monica Shaw, Media Relations Strategist and Writer
with Carabiner since 2007

She interned at an aerospace and defense company, but eventually served as editor of the most widely read magazine in the North American paper industry before joining Carabiner. Growing up in Alabama, she was in love with one talking horse and earned her nickname, “Leaflet.” Learn why she now loves a Canadian vacationing city regardless of the season by clicking here.

Donna Shelton, Account Director
with Carabiner since 2006

Back in the day, before she discovered the smooth ride of a BMW X-5, this Carabiner rolled in a baby blue Ford Granada with an electric blue "leather" top. To find out what role this lover of beaches, ABBA music, and Hitchcock movies (among many others) would play in a rock band, click here.