Business Value

Last night we went to the BMA Awards dinner, the keynote speaker was Keith Pigues. He gave a very good speech about delivering value. Here are a couple of the key points that I wanted to remember.

The top priorities for marketing companies should be to either increase their clients revenue or decrease their costs. This brings real value to their clients.

Don’t make up a need, build a product for that need and then try to sell that product. This is backwards! Figure out the need first, then create the product that fulfills that need. If it creates real value, then you will have no problem selling it.

Larger organizations are moving toward partnering with service providers so they have some “skin in the game”. This would mean setting some kind of base cost and then using a bonus structure that was based on specified measurements of the company’s performance. Seems like a good idea, but how does the service provider evaluate the client and all their other vendors to ensure they are pulling their own weight?