Date: Tue, 06 Nov 2001 12:10:22 -0800 From: Terry Lambert <tlambert2@mindspring.com> To: Bill Moran <wmoran@potentialtech.com> Cc: chat@freebsd.org Subject: Re: Request for opinions: what is spam Message-ID: <3BE843AE.3F354814@mindspring.com> References: <3BE81422.7080304@potentialtech.com>
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Bill Moran wrote: Just a P.S.... > An example is that I recently posted to the jobs@freebsd.com list > an announcement about my company and that we're seeking new customers. > To me, that's what that particular list is for. I would never > have posted such an announcement to questions@ or any other FreeBSD > list. I received one complaint that it was an inapprorpiate posting, > and while I don't know how many people subscribe to that list, I'm > assuming that that's a pretty low percentage that I offended. > (On the flip side, I'm wishing I had never posted it, since it resulted > in no new business for me. IOW it was totally ineffective and made > me 1 enemy) If it's not a job offer, or a resume, then it didn't belong on the list. Your posting came close to being an ad, but could be taken as a FreeBSD consultant looking for a job. The issue, I think, is that it's expected that the list will be used to solicit jobs for individuals, not businesses. For businesses, there are several web locations that you could post your company as offering FreeBSD related services. So you at least skated the edge there, but (IMO), didn't cross the line, but could have phrased it as a "looking for work", rather than a "looking for customers". > I don't want to get too long winded at this point, but beyond the spam > questions, what kind of promotion do you guys consider legetimate and > what do you consider "over the top"? How about cold-calling? Our > current budget simply won't allow for magazine or similar advertising > at this point, so what should we do? Cold calling is legally permissable, but most people don't respond well to it, if you are talking over the telephone; it's legal, because, unlike email, it doesn't generally cost the recipient of the telephone call. Cold calling in person is a much better bet, particularly for consulting services. For a humorous look at the general dislike for cold-calling, you should see: http://members.sigecom.net/theclan/Taliban.html I think that you are facing the classic bootstrapping problem all businesses face. There are several ways around it, if you legitimately believe in your business. One way is factoring, where you sell your accounts receivable at a discount to get money to spend on marketing today. This is effectively the same as a short term business loan. There is also bridge or mezzanbine financing, if you intend to go public, and there is always V.C., if you are prepared to grow your business quickly. There are also SBA programs, and there are existing relationship marketing programs, where you become a member of a group where other merchants are members, and leverage that to get customers. If you were venture funded, I'd say the following formula has served many companies well: out of every $3 you spend, spend $2 of that $3 on marketing/sales/brand management. This seems like an insane number (consider that if you are just starting out, it just probably tripled your initial capital requirements!), but it is what you should expect to have to spend to succeed. In general, there is no one true answer; you have to be prepared for the long haul, and you have to be prepared to work at it. SPAM and cold calling will lose you more business than you gain: a person who has a good experience with a company will, on the average, tell two people about the good experience. A person that has a bad experience will, on average, tell _twenty_ people. Your company's good name is a valuable asset; if you intend to use it, _invest_ it, do not _spend_ it foolishly. I recommend the following books as "must read" for all new entrepreneurs: Guerrilla P.R. A complaint is a gift Selling the dream And the more technical business building book: New Venture Creation Good luck on your business. -- Terry To Unsubscribe: send mail to majordomo@FreeBSD.org with "unsubscribe freebsd-chat" in the body of the message
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