When a marketing team is looking for costs to cut, the main objective is usually to save costs without cutting programs. After all, who wants to admit that something that they’ve been working on for months (or maybe even years) is expendable?
As it was written in the old Monty Python movie “the Holy Grail”, last week I reviewed five items to look for that would cause “just a scratch”, not even a flesh wound.
1. Second page letterhead
2. Obsolete inventory
3. Postal rate optimization (by envelope standardization)
4. Hide the color copier
5. Management reports online instead of in print.
These five items impact no programs, no jobs and no customers. The brand is intact. Just some internal egos to bruise. Now… on to the next step – the minor flesh wounds.
Folders. The cost of a pocketed folder can range from 50 cents to $5.00 depending on the production values that are included in the design specifications (and how many are produced). When a major product launch is being contemplated, the urge of the product team is usually to create a carrier to evidence all of their hard work. Price sheets, brochures, FAQs, buck slips, newsletters, or even a prospectus or offering memorandum can all be “displayed” in a weighty package. However! Would an envelope suffice? Will the sales team dismantle the package immediately and use only the parts they like? If there is a corporate folder, would that do the trick just as effectively? Keep in mind that the folder is often an ego-driven byproduct and not particularly useful to build anything more than cost overruns.
Die cuts. While I’m on the subject of print production, those little “slits” you find in brochures that conveniently house the corners of a business card can easily be abolished. A staple works better and makes sure the card doesn’t fall out or get lost. Again, no impact on the quality or substance of the brochure… just the cost.
Yellow pages advertising. With multiple categories available to just about every business type, it’s hard to know where to stop the spending on your yellow pages account. Which category deserves the full display ad versus the listing only? Stop and consider your target market and whether the internet (i.e. Google) could reach your target audience just as effectively. Especially with the advent of geo-based searches. The best kept internet secret of all is Google Places – which allows the business owner to include pictures, hours of operation, phone numbers, email addresses etc — for FREE. Long and short of it – cut back yellow pages to the bare bones minimum. Go online.
Reduce frequency. If you’ve been faithfully producing a newsletter or other type of publication on a quarterly basis, you must ask yourself: would anyone be the wiser if you did one every four months instead of every three months? In all, you could save 25% of the cost of that single program, and no one would notice.
Production values. I once worked for a company that won a “best design” award for a printed document. A lovely accolade, except for the fact that the document in question was a prospectus. For those not close to the financial industry, the prospectus is the “legal-ese” document that must be provided at the point of sale. It’s not part of making the sale… and is usually only brought out after the paperwork is signed. The moral here is if you’re going to spend money on designers and print production values, make sure it’s on something that is customer-facing and will be used to make the sale, not support it after the fact.
Okay… that’s five flesh wounds. These cuts go straight to a marketer’s pride, but they’re still not likely to inflict any material damage to careers or customer relationships. And when the choice is to give up a program in one large artery-spilling coup, or to take five band-aids to a broader base, most marketers would still prefer the band-aids.