Being a Developer Makes You Valuable. Learning How to Market Makes You Dangerous
talsraviv.com
talsraviv.com
Yeah. I think, in fact, it's overvalued by the market right now. Many people are bidding for ad words as if the google adword is what brought you the customer.
The thing is, at least in my case, this simply isn't true. Nobody buys a VPS on the first click; if someone clicks through a google ad for my company, yeah, google should get some credit, but most of the credit should go to the blog the customer saw a month ago.
That's the thing; because the adwords are the first hits and are super convenient for the customer, they pick up a lot of people that would have clicked on the organic result.
Now, this is okay if they are taking a very small cut, but the way many people use google adwords? the price is bid up to a very large cut of the profit you are going to earn from that customer. I mean, yeah, sure, if google really is bringing me brand new customers that had never heard of me; people I would not otherwise have a chance with, yeah, I can see paying 90% of the profit. But if google is bringing me customers that were very likely to come to me anyhow? eh, I'm not going to want to pay google nearly that much.
I think this is also why facebook is so highly valued; people believe that facebook has enough tracking data to see that blog that my customer read last week that actually caused the customer to sign up through the adword this week. And maybe they do... but it's a dang difficult problem, and I haven't seen facebook make much progress. Even then, they are going to have a hard time integrating the people that heard of me because of the checkout-line advertisements I bought in Mountain View Safeways.
(because of this, my advertising dollars go into cost per impression advertising, rather than cost per click.)
There's approximately four people in the world that can do that. Two of them like their jobs, one just got funded, and the fourth one can charge whatever he darn pleases. (This is an exaggeration, but not much of one.)
+ You might naively assume I'm talking about the AdWords API, but there are so many things a developer could do to wring extra money out of an AdWords campaign that it is virtually cheating. A consulting client once bragged to me that they had a lot of landing pages, and they asked me how many I had. It turns out that they had 11 and I had, at the time, only 900-something. There are a lot of marketing departments which think that developing 900 landing pages would take a team of 20 people the better part of a year. A properly motivated intermediate Rails developer could bang that out on any given Monday. (P.S. If you're not going to make the company a million bucks next Monday, consider banging this out.)
This is something I have very little knowledge of... I have a (perhaps irrational and unjustified) generally low opinion of marketing people, and little contact with that world, but I thought that adwords/seo people were usually mediocre programmers.
> (P.S. If you're not going to make the company a million bucks next Monday, consider banging this out.)
so, how come you aren't a millionaire many times over? Clearly you are good at this sort of thing, you are a reasonable programmer, and on top of that, you are a good writer, and have a bit of fame. (I am convinced that being able to write well is one of those skills that, while nearly useless on it's own, dramatically multiplies the value of any other skills you obtain.)
I mean, I'm not saying you are wrong... just that it's more complicated than that. Marketing fluff, I mean, selling something for money that is pure marketing and nothing else is harder than it looks. And actually providing a service to a large number of users is also harder than it looks.
There is always that choice of "do I spend my time improving the product?" or "do I spend my time on marketing?" - the more time you spend on the latter, the harder the former becomes. The more time you spend on the former, the easier the latter becomes.
This is my current problem; I can't add users much faster than I am without degrading the service for existing customers. Marketing, right now, is mostly a 'for fun' thing.
You're mostly right. SWAG numbers: 50% of SEM/SEO professionals are FizzBuzz-level efficient in Excel, 10% of them know what a pivot table is, 5% of them know enough scripting to do their jobs. Against that expertise curve, the least accomplish programmer in e.g. an entire class of YC startups is a programming god among men. If you can ship products, you're so far ahead of the curve it isn't even funny.
so, how come you aren't a millionaire many times over?
The things I'm really good at tend to scale with the size of whatever line-of-business I'm allowed to work on. A 10% improvement in BCC's numbers is worth, ballpark, $5k a year or so. (Or it was before I doubled conversions recently -- guess it would be worth $10k a year now? Ask me in December for a better guess, summer throws things off.) A 10% improvement in $CONSULTING_CLIENT's $PRODUCT is worth, ballpark, a lot more. The large majority of that upside will accrue to whomever beneficially owns $CONSULTING_CLIENT.
marketing fluff
You don't need to have a product of your own to sell to monetize an engineering/marketing skillset if you (or someone in the audience) hypothetically has it. Many companies already have things to sell, and they will pay handsomely, in a variety of ways, for your expertise in making that happen.
This is my current problem:
I'd tell a client in your circumstance to focus on the hardware provisioning or CS bottleneck or whatever which is apparently making it infeasible to service VPS customers acquired at scale. In the meanwhile, continue experimenting with marketing channels. After solving the bottleneck, double down on whatever marketing channels seemed to work in microscale.
Um.
It might be worth holding off evaluation of how much something is worth until you know what you are talking about.
Also what is your advice about the landing pages?
My advice about the landing pages is in more depth on my blog in multiple places, but basically, "Build a CMS to spit arbitrarily high numbers of landing pages out of some data source which you have and some templates. Iterate on the templates in a data-driven fashion." It's essentially as technically complex as the Rails 15 minute build-a-blog demo. For more elaboration, see blog.
You could also consider using canonical tags for landing pages that are slight variations of each other [to prevent duplicate content penalties]. This one is really just a guess.
I've seen the programatically generated 'query-catcher' pages that the big boys use and have always dismissed them as effective (because they don't work on me). Am I completely missing the boat somewhere or is there some intersection I've yet to discover?
More broadly, "My behavior is not a good proxy for the behavior of all people everywhere." and "I may be smarter than substantially everyone in my industry but that is not the way I should bet." are two lessons to learn early and well.
Thanks for the head's up though. I'm still all for the careful crafting of landing pages, but at least I know I wouldn't be wasting my time to script out a bunch to at least put up until / unless they can be replaced or upgraded.
A google search for "last touch attribution" will give you other resources. Agreed on it being a very difficult (and valuable) problem to solve, though. The privacy issues with tracking a person's every touch point with your brand makes it even harder.
If I'm right that people are willing to pay more for advertising they can track, and that meatspace advertising will remain nearly impossible to track, meatspace advertising will remain undervalued.
This is called attribution measurement. It is generally considered the next big thing in advertising technology - primarily by anyone who runs a website where buying intent isn't obvious.
I think this is also why facebook is so highly valued; people believe that facebook has enough tracking data to see that blog that my customer read last week that actually caused the customer to sign up through the adword this week.
Facebook isn't valued because of this, it is valued because of the sheer volume of people. Facebook lets you advertise to people who "like" something, but doesn't do anything very smart to predict this (perhaps they might in the future).
Google, OTOH, does have data on what you search for and actively uses it on 3rd party sites, as well as offering re-targeting.
For example. One could sit down and write the following for an email mailing.
class Mailing:
def __init__(self):
self.name = "name"
self.email = "email address"
self.subject = "mailing subject"
self.campaign = "mailing campaign name"
Then:class WeekendSaleMailing(Mailing):
def set_name(name):
....
#basically define the mailing using code.
The you go on to __main__ : weekend_sale = WeekendSaleMailing()
#set the details of the mailing (customer names, offer, etc.)
Then you go on and describe every scenario that you can think of and describe it using conditionals: if client responds_to_mailing():
#...
elsif client open_emails_but_does_not_buy:
#you might want to then write more code describing what to do in this case.
You might also want to include a loop to describe what iterative process you will use to market to a customer.For example,
while customer does_not_buy():
#send a different mailing or marketing tool.
and so on.It may seem like a lot of work, and it is. But it just shows that marketing is just like code. In the way that you abstract away your marketing plan and design it as if it was a complex object oriented program. This way you still feel that you are programming and not outside of the scope of your skills.
Try it out. It works. And it takes away the sense of weirdness of marketing. After all, it is not marketing anymore, its code.
To add,
Same with doing marketing tools. I write my ads by using code. I have a basic template of an ad, and then I run through it the different headlines and paragraphs until I find an ad that works. Then its just testing to see which ads pull better than others. Testing is super easy because you now have a framework to work with. You dont go blindly into it, you have a set of parameters to measure. For example, Headline 1.a might pull more than headline 1.b, because it added the more "FREE" at the end, instead of using it at the beginning.
Anyhow, what patio11 says is true. If you approach marketing as if it was software, you are going to really get ahead because most people treat marketing as if it was black magic. It isnt.
email in profile for questions
PS. Its not real Python, btw. Just pseudo code.
If there are 1000 people who are 'idea people', 100 of them can execute on an idea; actually build something. 10 can get that thing sold.
Those 10 are the dangerous ones.
Great post.
I hope this is true! I've been developing for 12+ years, and always had an interest in marketing, but never really studied marketing. Now, I'm one of three tech co-founders of a startup that does not yet have a dedicated marketing person. So, I've finally been diving into really trying to learn and understand marketing (and sales).
OK, wait, I did take "Marketing 101" at the local community college a couple of years ago, but that's the only formal education on the topic I've had.
Now, I have a huge stack of sales and marketing books I'm working through. So far I've mainly focused on the Jack Trout, Al Ries, et al. stuff... Positioning, Re-positioning, The 22 Immutable Laws of Marketing, etc., and I've been going through a video series from Chet Holmes (of The Ultimate Sales Machine fame).
Looks like some good resources in the linked article, so looking forward to chewing through some of that as well. And here's a pre-emptive "+1" for more good startup marketing related links on HN!
a. Spin Selling by Neil Rackham
b. 50 ScientificallyWays to Be Persuasive by Noah J. Goldstein, Steve J. Martin, Robert B. Cialdini
c. Three Steps to Yes by Gene Bedell; -Only print, no audio
d. Made to Stick: Why Some Ideas Survive and Others Die by Chip Heath & Dan Heath
e. How To Win Friends & Influence People by Dale Carnegie
I've heard a lot of good things about Made To Stick though, so I think it's time to bump that up the list a little.
Thanks for sharing!
The Greatest Salesman in the World
by Og Mandino.
Yeah, we're working on a somewhat traditional product oriented company... more Microsoft or IBM, than AirBnB or Dropbox. In that world, I think the positioning stuff matters, but I will freely admit that it may be less relevant in a different domain.
Nontheless, I would think most companies would want to achieve what Chet Holmes calls "Top of Mind Awareness," where your company is first in mind for a customer when they think about a need for $FOO. For example, ask most people to "name a router manufacturer" and the majority will almost certainly come back with "Cisco" (a few oddballs might say "Juniper" or something weird, but Cisco clearly has "TOMA").
Well duh. Also, the sun rises in the east.
$cool_skill element_of {marketing, design, negotiation, leadership skills, design, writing ....}
$positive_adjective element_of {dangerous, rockstar, ninja , pirate, extraordinary, one in a million, cool, killer ... }
mix and match and you have a dozen or so catchy titles.
Throw in links to the top books on the topic and links to some blogs, and most importantly an ad for an ebook somewhere in the post. Profit.
Repeat a few dozen times. Landing pages for SEO. Hey you are a guru!
Maybe, I am just feeling too cynical abut such 'how to do a startup' porn. Feel free to ignore me.
OTOH HN generally has good discussions, even when the submission is spammy/low quality.
For good branding, it helps to have a good name, logo, etc. Although, in the end it helps if they like your product.
If you're in a crowded space, marketing is going to be harder. Although, I've never really found marketing to be that complicated. If you are in a crowded space, it can be harder to market, because your message gets crowded out.
Who is struggling with marketing? Let me know. I don't really think it is that hard.
The answer is yes, yes you do!
The proof, 3 months in to my freelance career and I'm already getting customers, via blogging and Google search results. Heck I've even been lucky enough to get one customer as a direct result of getting front paged on Hacker News.
I have no idea whether I'm approaching "dangerous" yet. But I know for certain, I've still got a lot of marketing effort to go, and one hell of a lot left to learn.
I own http://drivingtests101.com/ . It is a free driving test prep website covering ~400 tests across 11 countries, all states/provinces and vehicle types. It was not until we spent time on SEO and pushed to get into the media a few months later before we truly began to realize the fruits of our labor. A product or service can often lead to no monetization without a push from marketing, aside from the true viral one-off hits. Do not count on this!
Marketing is key and I would encourage all business owners, not just developers, to learn this invaluable skill.
Good luck!
Does anyone have any other actionable suggestions for reading? I've picked up a few books but I'm looking to really dig in and get better at selling SaaS stuff online.
Not necessarily SaaS specific, but some of the foundational works of recent times are the works by Jack Trout, Al Ries, and various co-authors: Positioning, Re-positioning, The 22 Immutable Laws of Marketing, The 22 Immutable Laws of Branding, and Differentiate or Die among others.
-Understand technology. What it takes to build, scale, maintain and fix things. What are the affordances and benefits of one approach over the other.
-Understand design. Not just pretty pixels (in fact that is the least important part, IMHO). But the WHY. How it affects people, what the goals are, why the current system is broken or why it does not exist.
- Understand Marketing. How do you convince others that your product (idea or finished) is THE one they should vouch for. Why should they invest time and money into it. How can you make them believe that you know what you are doing and better than any bad experiences they have had with products of that kind. Selling/Marketing is not evil. It is a necessary (evil). Many humble and smart people fail to understand that.
I totally understand it is very hard for one person to be great or even good at all three. But hey most don't even try, so you are already better then them the first day you try.
You can build a mobile app, submit to the app stores and see how it sells. Track your sales, dive into the numbers and find out what works and what doesn't. Does a good design help? What key words help your app get found? What about your UI? Do people love it? Hate it? Why?
You can build a static website and attach Google Analytics and see where your traffic comes from, how is your SEO working? What mobile users are on your site? What pages are they viewing? What's your conversion rate?
Build an e-commerce website and see what sells. Does the position of the items matter? What colors are people buying? What are your buyers preferences? Are your price points too high? Too low?
There's so many cool things you can learn when you start to get interested in marketing. If you're hacker, you can have a lot of fun and learn a ton of stuff just by creating simple things and seeing how the public/users react and use it. It really is completely fascinating.
Tracking numbers for a mobile app is fruitless if you don't have a way to get tons of people to use it in the first place. A/B testing design, colors etc of a mobile app is only useful once you users.
Similarly, for an e-commerce site, it doesn't make sense to A/B test different things like price if you got a measly number of visitors.
Now, how is one supposed to get all those visitors/customers/users in the first place, so we can then tinker/test the various variables? That is marketing, and a lot of it isn't "hacker" oriented. It's actually messy, and geared more towards people who are sales oriented, even some of SEO. SEO is actually one of the few remaining hacker-friendly methods of marketing.
That said, I'd say after a certain scale, it becomes incredibly hard to do both: a) coding; and b) marketing. There's so much to do in both fields that you cannot do justice to both _at the same time_. So you have to eventually build a team and decide between coding or marketing (but the great part is that by that time you can afford to do this).
As a marketer, it seems like you always have to be on the cutting edge. What worked in the 1980s is unlikely to work in 2012. Even what was cool in 2008 is unlikely to be effective today. The next problem is that marketing is, by its nature, a public activity. Doing it badly is embarrassing and likely limits your ability to even give it a second try.
Is it even possible to work as a programmer if you are using 1980s tech? What about if you know nothing created after 2001, how limited would your carrer prospects be?
I think you have things backwards.
The cutting edge of marketing is usually horribly ineffective (see QR codes).
So this post's call to action is to read/listen/watch various resources; in sum they are probably dozens of hours of learning. With a little searching, I'm sure the actual material available stretches into hundreds of hours.
So my question, similar to the one I posted almost a year ago [0], is: what is the best available material out there, where I can learn 80% of marketing in 20% of the material?
I'm sure it's far more than that. Especially if "a little searching" includes bittorrent trackers. Not that I advocate this sort of thing, but there's one tracker I know of, that specializes in business related topics, with a healthy dose of sales and marketing material. There is so much material (books, videos, reports, articles, podcasts, etc.) to watch, listen to, read, etc. that you could probably spend tens of thousands of hours on it.
, is: what is the best available material out there, where I can learn 80% of marketing in 20% of the material?
OK, I'm not marketing guru, just another "developer trying to take up marketing." But based on a lot of reading, watching, asking questions, etc., I get the sense that material from Chet Holmes, Dan Kennedy and Jay Abraham is usually regarded as pretty good. I'm watching some Chet Holmes videos now, and finding a ton of value in them, FWIW. YMMV, of course.
Also, the works of Jack Trout, Al Ries, Steve Rifkin, et al, are usually regarded as pretty important. Trout and crew basically created positioning theory.
And then there's a whole separate world of material for people who are interested in the spammy(er), get rich quick, "Internet Marketing" stuff. I haven't studied any of his marketing materials, but Eben Pagan seems to be one of the more popular guys in that world. Whether or not his material would be of use to the typical HN reader is left as an exercise for the reader. Or, if somebody here is familiar with his work and could chime in, I'd be really curious to hear your take.
It's no good saying "There's this cool little news site all the smart people hang out on (HN)" without telling us how to find it.
I didn't name it explicitly because I don't really know if pg has any policy of frowning on encouraging piracy here at HN (and most of the content on the tracker I'm thinking of is pirated).
But if you're really curious, my email is in my profile. Just sayin...
If you have a commute, I'd recommend listening to some podcasts like Internet Business Mastery, Foolish Adventure, Lifestyle Business Podcast, Startup Success, and Startups for the Rest of Us. Find the ones that suit you.
Prove humanity by completing the lyric: "Blame..." huh?
I guess the morale of the story is to learn everything you can!
Marketing = Principles/Thoughts Software Development = technical/tangible skill
Marketing = Ideas; Software Development = Execution of those marketing ideas.
IMO there are 2 aspects to doing this well:
(1) USE IT AS PART OF AN INCREMENTAL CAMPAIGN. Use the traditional stuff as the first element to get them involved with you. Sending them a well-designed, relevant postcard invitation = you have their attention (whereas they are 'banner ad blind' and 'email blind'). Use that attention to push them to the next step (which isn't the sale - it's just another incremental commitment like attending a webinar, or downloading a whitepaper, or using an online calculator to spec something out, etc).
Incremental commitment is the name of the game in B2B sales and marketing, and traditional marketing can be a great start to the chain.
(2) LINK OFFLINE STUFF TO ONLINE STUFF. As you can see even from my examples above, it's important to get them into online channels as soon as possible (where they can be tracked and interacted with more efficiently). You want to have tons of relevant content you can offer them, lots of places for them to explore the problem/solution, etc.
The real joy (and pain) of B2B marketing is that you have to do the 'strategic' campaign planning well while also nailing the 'tactical' messaging / design / etc execution.
- Write an interesting blog post and post it to HN
- Include a link to something you're selling
somewhere near the end of the post
There are so many people doing this it's unreal.If we don't it will lose all meaning, in some ways it already has.
I'm not. But since it came off that way I will apologize. First for lashing out at you, and second for not being more specific.
The word "Hacker" is being applied to everything and everyone, and it's annoying. As an example, a search for "Hacker" in my RSS feed produces the following headlines (Among others, but I list these as egregious examples.):
Mobile hackers: The future scares us, change it at Everyme
The Distribution Hacker’s Mission: Create an Unfair Advantage
ShowHN: Hacker Tourist - opinionated ecommerce for photographers
Reinvent Retail. Growth Hacker at YC Mobile Startup.
Ask HN Teachers and Edu Hackers : How do you prepare educational materials?
When you start talking about "Hacker photographers" and "Growth hackers" and "Distribution hackers" I have to ask, do you mean "People who are hackers who happen to know marketing/photography/whatever a distribution hacker is supposed to do/etc too." or are we just applying this term to everything so that everyone can feel like they're part of some elite club?
And that's not even getting into the whole "Well you can't just say you're a hacker and expect everyone to go with it." argument.
EDIT: Which, in certain views on that latter point, the word "Hacker" is about an elite club, which only makes the appending of the word to everything just feel like some sort of envy.
(Full disclosure: I do not consider myself a hacker.)
I've loved the field of human persuasion for years, and I think I can add something that I have written in the past to this conversation. I essentially made a list of marketing "truths", based on my research and experience, and have tested it against others. What remains of the list is what no one has been able to refute, so I think it's decently close to a list of universal irrefutable "rules of marketing."
The Truths of Marketing
1) Ethos (your perceived character) is the most important.
2) People make judgments by comparison/anchoring.
3) People process information best from stories.
4) People are foremost interested in things that affect them.
5) Breaking patterns gets attention.
6) People look to other people's decisions when making decisions.
7) People will believe things more easily that fit their pre-existent mindset. The converse is also true.
8) People handle one idea at a time best.
9) People want more choices, but are happier with fewer.
10) People decide first, then rationalize - If people are stuck with something, they will like it more over time.
11) Experience is memory, the last part of the experience is weighted heavily.
* Keep in mind that this should not necessarily be used a checklist; see what the director of a large creative agency says on the subject:
"I think that in broad strokes these truisms are accurate, but they aren't really how I personally get to the bottom of the marketing equation when working on a brand.
Of them, I think 1 and 4 are probably the closest, but I think the biggest problem is the same problem you find in how any analysis of consumers, or what is usually called "consumer behavior" is used -- it is, by definition, one step removed from what you're trying to analyze, yet it's treated like the consumers themselves.
Because consumers are often perceived as black boxes to marketers, there's a temptation to analyze their behavior and then market to that analysis instead of to them. Maybe this is because I'm on the creative side, but for me the most useful role of research is to inform and guide what is a form of for our consumer. To not just analyze what drives them, but to genuinely it yourself.
Reading research about twelve-year-old girls' purchase decisions and focus group transcripts is not the same thing as thinking like one. I have a client in that market, and I read everything when I'm working on something -- research, web sites, fan magazines, television -- but none of it is a substitute for sitting in a dark room and genuinely trying to imagine the trials of what it must be like to actually be a twelve-year-old girl from a first person perspective.
It sounds absurd, but that's how you come up with great ideas -- to do your best to become a twelve-year-old girl, and then develop things that you would enjoy.
So I think truisms like yours are useful as long as they remain a means to an end, and not, as they so often do, a checklist, or worse, the end itself."
It's [almost] like a checklist when working on any marketing project to get inspiration from and make sure you're doing a complete job.