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Wednesday, November 12, 2008

The New Realities

By Jerry Bernhart
Published in DM News, October 20, 2008

In the most recent Bernhart Associates quarterly survey on direct marketing trends, only about one-third of those companies responding said they plan to add to headcount the rest of 2008. Another one-third said they have imposed a hiring freeze. Not exactly a cheery outlook for direct marketing job seekers. But there was another interesting revelation. When asked to describe the degree of difficulty they are experiencing finding qualified candidates, two-thirds of the employers said they were still having challenges attracting the right people for some of their positions.

If it's challenging now, just wait until the economy rebounds and direct marketers start scrambling to fill critical positions.

The rules of the game have changed. New technologies, the impact of competition, the growing propensity for workers to switch from one company to another and the shifting power of customers and marketers are the strategic inflection points that will reshape and
transform the direct marketing workplace. Talent is now the critical driver of corporate performance and the differential value of highly talented people continues to increase.
I hear examples of it every day. A highly talented circulation analyst, for example, can easily improve the return on a catalog's marketing spend 10-20% compared with someone who possesses only mediocre skills.

Many direct marketing companies still struggle with talent management. Even fewer have a well-defined recruiting strategy. For many direct marketers, winning the battle to attract the best and brightest will require a total change in mindset. Capital is no longer the competitive advantage. Rather, talented people will make the difference. No longer can you think of your employees as loyal subjects who think their jobs are secure. Everyone now thinks short-term. No longer can you treat everyone as equally capable. You should identify your A, B and C employees and invest in them accordingly. Finally, it will take more than just standard compensation packages to attract A players. To attract the best you must break the rules because talented people will demand much more.

The business landscape is changing and tremendous opportunity awaits those who adapt to these new realities and make talent priority number one. It will be the determining factor in your company's long-term success. I can practically guarantee it.

Visit our website at www. bernhart.com

Surviving the Recession: Some Words of Wisdom

By Jerry Bernhart
Published in DM News, November 17, 2008

In my nearly 20 years as an executive recruiter in direct marketing, this is the third economic downturn that I've experienced. There was the recession of 1990-1991 when the country was reeling from the savings and loan debacle, there was the dot.com bust, and then the period following 9/11. Recessions are never pleasant, but the good news is that we have never had a recession that isn't temporary. This, too, shall pass.

In recent months, it seems I have been receiving as many calls and emails from people looking for reassurance as I have from people looking for a new job. So, permit me to remove my "recruiting" hat for a moment and replace it with my "career advisor" hat, which is a hat I am wearing often these days. No two recessions are ever alike, but my advice has never changed:

--This is not a good time to be actively looking for another job unless one of three
conditions exist: You are out of work, you fear that you may be about to lose your job, or you are planning to start your own business. The job markets are likely to get worse before we begin to see any improvement. The latest Bernhart Associates Direct Marketing Employment Survey bears that out. Only one-third of those companies responding plan to do any hiring the
rest of this year, and employers have little visibility when it comes to hiring plans for 2009. There is nothing wrong with keeping your ears to the tracks, as they say, and sometimes the grass is indeed greener on the other side of the hill. But in the current economy, much of the grass out there is getting mowed to the roots, and that grass may not be lush and
green again until sometime during the latter half of next year.
So for now, if you're gainfully employed, think a little less about dusting off your resume and think more about what's important to your company's business and the activities that bring in revenues. Align yourself as best you
can with the critical priorities of your employer. Rather than waiting around for another shoe to
drop, start going beyond expectations. Take on that extra project, put in some extra hours, produce better results, and expect nothing from it. Remember, when times get tough, companies need their best people more than ever. They will remember you for this.

--If you have been laid off, you are probably doing everything you can to leverage your contact network. Were there at least 25 people on your list who you contacted right away to help with your job search? The most difficult time to ramp up your network of contacts is when you need it most. You now have the time, so you have no excuse. Spend at minimum one hour each day up-dating, reconnecting and extending your network until you have a least 25 solid contacts. Also, tap into the online social networks. LinkedIn and Facebook are extremely valuable networking tools.

--Having a positive belief structure is essential if you want to succeed. It is vital is you want to succeed during times like these. Always remember that people tend to see what they believe, rather than believe what they see. Negative beliefs will cloud your outlook and impact your attitude.

--During a recession, people want to work with the best suppliers, the suppliers they can rely on, the suppliers who support them no matter what. Take the time to truly understand your client's needs and add value over and above anything they could have ever expected. If your competitors struggle that means more business for you, and it sets you up to take the pole position when things pick up.

--Heed the advice of Baba Amte, Ghandi-follower and renowned humanitarian who abandoned a life of privilege to help the outcasts of society in India. Baba said: "The future belongs to the common man, with uncommon determination".

Time for everyone to pursue a little bit of uncommon determination.


Visit our website at www.directmarketingrecruiter.com.

What Makes a Great MultiChannel Marketer?

By Jerry Bernhart
Published in Multichannel Marketing, November 3, 2008

In my corporate presentations on talent management, I talk a lot about the value of "A" talent. These are
the individuals who personify the gold standard of exceptional performance and distinguish themselves by consistently delivering outstanding results and inspiring and motivating others. Ranked against their peers
they represent the top 20 percent of the multichannel marketing talent pool that’s out there. Studies conducted by McKinsey & Company suggest that highly talented marketers are as much as 130 percent more productive than low performing marketers. For those who market to multiple customer touch-points, the differential value of a superior performer is likely even greater.

Sometime ago, the CEO of a major catalog/internet/retail company asked me to start a search for a Vice President of CRM. He made it clear that anyone less than “best in class” need not apply, so I asked: “Aside from what is written on the job description, what in your view would distinguish a superior multichannel marketer from someone who is average?”

“I'll know it when I see it, ” he said.

Good to know, I thought, but how will that help me qualify someone who can deliver knockout results for my client? That got me thinking: What exactly do great multichannel marketers do differently? What is it about them that makes them more prized than their B and C level counterparts? Do they have special talent that no one else has?

When you think about it, having talent may seem rare and special but it really isn't. Everyone has a unique set of talents. But I realized that it's the candidates who find roles that allow them to cultivate their talent
who become special. If I could bottle those special qualities, this is what I’d put on the label:

-Ability to focus on top line growth. Charlie Silver, consultant and former Vice President of Marketing at Bloomingdales Direct, says the best mutlichannel marketers think differently because they look at the sum of the parts. “They know which channels are more effective for prospecting or brand building, but these individuals don’t fall into silos,” according to Charlie. “They achieve marketing synergy across all channels to grow the overall business.”

-Highly adept with analytics. The best multichannel marketers are testers, and they know the metrics inside out. “They are very at home with numbers, “ says Erik Martinez, Director of Ecommerce at Peruvian Connection. “To them, analytics is a cornerstone of world class multichannel marketing.”

-A strong drive to succeed. The best multichannel marketers have a constant, self-imposed drive to strive. Multichannel marketers are highly competitive and they have a need to compare their accomplishments with companies they compete with. They are not risk averse, and they crave recognition. They also are highly driven by a desire to put beliefs into action.

-The ability to hire top talent. It's an irrefutable fact: Superior multichannel marketing leaders surround themselves with other superior performers. These leaders invest in their best and brightest employees, and maximize those employees' contributions to the company.

-Outstanding ability to engage and motivate others. Having good verbal communications skills won’t buy you a ticket into the A club. The elite possess an exceptional talent for communicating. The best multichannel marketers ask the right questions, they know how to build feelings of mutual support, they create enthusiasm, and they have the ability to persuade others logically.

Do these qualities describe you? If they do, consider yourself a member of the multichannel marketing "A" team!



Visit our website at www.directmarketingrecruiter.com.