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Another giant entrant into the local marketing business

by MichaelHiles
43 replies
This company is a monster. They already have 4,000,000 customers, and have an incredible brand positioning with small business owners.

Unless you're an offline business owner, you probably don't even know who they are or what they do.

Deluxe

They're traditionally in the checks and forms business. But it seems they've come on really strong as an internet marketing powerhouse, offering sledgehammer services through a suite of branded subsidiary entities.

Website dev
Email marketing
Traffic generation
and an online, small business community called PartnerUp

LP:Marketing for Small Business

They're promoting via massive talk radio ad campaigns in multiple major markets across the US. Millions of dollars in ad budget.

Are you on your game?
#business #entrant #giant #local #marketing
  • Profile picture of the author redcell1
    They also have direct mail campaigns, I know because I was at a family member's office and I saw them.
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    Just here to see the shenanigans.

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    • Profile picture of the author vilardi00
      Hey Man...I'd like to talk with you about your Google Maps experience...I have a number of projects I'm about to post......
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  • Profile picture of the author MichaelHiles
    Yeah, they're no joke and I think they intend to grab some serious market share in record time.

    They will be a force to be reckoned with because they have massive $ behind the effort.
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  • Profile picture of the author Rus Sells
    I scoff at these large companies doing the local thing. When it comes right down to it this company will assign sales reps to manage tons of accounts and the small business owners will end up just being another account number.

    I might be wrong and we'll see, they do look like a player. But that can be overcome by the savvy consultant.

    My advice to local offline companies/consultants is to build that relationship by going out and meeting your clients and of course always offer value and over deliver.
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    • Profile picture of the author John Durham
      Originally Posted by WillDL View Post

      The advantage they have is their account reps already have direct numbers to decision makers at small businesses, and working relationships established.
      ATT markets directly to their existing client base and sells web services as an add on... still that doesnt stop new competitors from entering the field and thriving every day.

      Originally Posted by Rus Sells View Post


      I scoff at these large companies...
      Yes. If I had a pair of white gloves, I would take them off and slap them on both sides of their face and then turn around say"Good day Sir"!

      With that I would start to walk toward the door, then quickly turn around again, and say, "I SAID Good day Sir", and walk out!

      That would show em!
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  • Profile picture of the author WillDL
    The advantage they have is their account reps already have direct numbers to decision makers at small businesses, and working relationships established.

    They might not do as good a job as a great, local consultant, but Holiday Inn isn't as nice as a great Bed and Breakfast.

    It's just nicer than the half of them that are gross, and I am confident in exactly what quality I will get for my money. That has powerful appeal.

    I'm not trying to recommend them over local, just agreeing with the OP. They are a lot harder competition then many offline consultants have seen before. Be on the top of your game.
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  • Profile picture of the author MichaelHiles
    The funny thing is that it's all been done before. There were some really large companies hustling low end website packages back in 1998-1999 too. At one point, even CitySearch.com was desperately trying to figure out how to generate revenue and got into the web dev business.

    I would say that it's one thing to sponge off your existing database of 4 million accounts.

    It's another, completely different, tell-tale sign that you've created four serious separate business units as standalone entities, and then are hustling an integrated services approach by running traditional media marketing spots all across the US.

    I don't know their process yet, but I intend to find out very quickly.
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    • Profile picture of the author myob
      Thanks for posting this Michael. I've actually been an affiliate for them for nearly six years through Shareasale, selling not only checks and promotional products but web design services, emailing, domain registration, logo design, just about everything. It has made my consulting job a lot easier for my clients with 50% commission level including bonuses.
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  • Profile picture of the author SirThomas
    Yes, one of my buddies got sold on their $79.95/mo deal.I wasn't interested in doing his site, so he finally caved in :-)

    I can't see anything special in what they offer. They're just adding to their bottom line. That's it.


    Thomas
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  • Profile picture of the author Rus Sells
    One thing I noticed is that they are making the, "Get on the first page of Google" guarantee and its just PPC advertising.
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    • Profile picture of the author myob
      As an affiliate, it makes nearly effortless ousourcing.
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      • Profile picture of the author SirThomas
        Originally Posted by myob View Post

        As an affiliate, it makes nearly effortless ousourcing.
        Are you their affiliate?
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        • Profile picture of the author myob
          Originally Posted by SirThomas View Post

          Are you their affiliate?
          Indirectly, through shareasale.
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          • Profile picture of the author Tess D
            I keep finding many companies guaranteeing front page google, and just using ppc for that....

            Deluxe has been around for years - it will be interesting to see what they do.
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            • Profile picture of the author myob
              Originally Posted by AnneHouse View Post

              I keep finding many companies guaranteeing front page google, and just using ppc for that....

              Deluxe has been around for years - it will be interesting to see what they do.
              They already do that; guaranteed top of the first page within 72 hours. Global or local. They've developed some heavy duty ranking over the years. You just gotta luv 'em!
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              • Profile picture of the author SirThomas
                Originally Posted by myob View Post

                They already do that; guaranteed top of the first page within 72 hours. Global or local. They've developed some heavy duty ranking over the years. You just gotta luv 'em!
                What is their payout? One time or ongoing?

                If you sell the $79.95/mo 12-month program, what would be your cut?
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                • Profile picture of the author myob
                  Originally Posted by SirThomas View Post

                  What is their payout? One time or ongoing?

                  If you sell the $79.95/mo 12-month program, what would be your cut?
                  It's one-time scaled commission which tops out at 50% with included volume bonuses. This makes it easy for me to outsource just about everything for my clients, and concentrate more on my core high end products and services. Reorders on all products/services are also commissionable.

                  Their work is top of the line. My business model is not to compete with them or duplicate what they do, but outsource to them all the nuisance products/services which tend to be less profitable or time-consuming.
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                  • Profile picture of the author Doran Peck
                    Originally Posted by myob View Post

                    It's one-time scaled commission which tops out at 50% with included volume bonuses. This makes it easy for me to outsource just about everything for my clients, and concentrate more on my core high end products and services. Reorders on all products/services are also commissionable.

                    Their work is top of the line. My business model is not to compete with them or duplicate what they do, but outsource to them all the nuisance products/services which tend to be less profitable or time-consuming.
                    Well, I don't know how to compare the IM side of what they do but their print and direct mail are priced pretty high....too high for the saavy service shoppers. They have a good system...simple options and roll you right through the process. Still very cookie cutter, but that works for plenty of people.

                    Thing is....no matter what client you approach...you inherently have competition from somewhere...either from their existing people, or the other fellas just like you trying to get in their door.
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  • Profile picture of the author SirThomas
    I see. It looks like you can also market them through CJ
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  • Profile picture of the author Manic Marketer
    I researched a company many years ago in Melbourne (Australia) who were operating a similar promotional system.

    The venture fell apart because the sales reps. were making promises that couldn't be kept and, furthermore, the back-up from the Company after sign-up was appalling.
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  • Profile picture of the author Doran Peck
    You can play up the fact that what you get from them is "cookie cutter". Your client is special. He needs a form fitting solution, with detailed care to ensure he's hitting those secret sweets spots.
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  • Profile picture of the author Jagged
    If I'm a local business owner in........say........Phoenix, I would benefit greatly from working with someone who knows the Phoenix business climate, the Phoenix customer base....one who directly knows my competition & understands what it takes to stay ahead of them....one who can customise a marketing plan taylor made for my specific needs....one who can come to me personally when I need his/her (that means alot...)

    .....not some one from Minnesota, who has no clue about my local target market.....not someone who can only offer me "cookie cutter" solutions....

    With 4,000,000 clients as they say....i'm sure the "custom" website they would make me would look like 100,000 template based sites they have....and I would only get lost in a numbers shuffle...

    My best selling points to my clients are my accessibility, my personal attention, my knowledge of local target markets....

    Game On...
    ~Ken
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    • Profile picture of the author LiquidSeo
      Originally Posted by Jagged View Post

      If I'm a local business owner in........say........Phoenix, I would benefit greatly from working with someone who knows the Phoenix business climate, the Phoenix customer base....one who directly knows my competition & understands what it takes to stay ahead of them....one who can customise a marketing plan taylor made for my specific needs....one who can come to me personally when I need his/her (that means alot...)

      .....not some one from Minnesota, who has no clue about my local target market.....not someone who can only offer me "cookie cutter" solutions....

      With 4,000,000 clients as they say....i'm sure the "custom" website they would make me would look like 100,000 template based sites they have....and I would only get lost in a numbers shuffle...

      My best selling points to my clients are my accessibility, my personal attention, my knowledge of local target markets....

      Game On...
      ~Ken

      I agree Ken - well said!
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    • Profile picture of the author MichaelHiles
      Originally Posted by Jagged View Post

      If I'm a local business owner in........say........Phoenix, I would benefit greatly from working with someone who knows the Phoenix business climate, the Phoenix customer base....one who directly knows my competition & understands what it takes to stay ahead of them....one who can customise a marketing plan taylor made for my specific needs....one who can come to me personally when I need his/her (that means alot...)

      .....not some one from Minnesota, who has no clue about my local target market.....not someone who can only offer me "cookie cutter" solutions....

      With 4,000,000 clients as they say....i'm sure the "custom" website they would make me would look like 100,000 template based sites they have....and I would only get lost in a numbers shuffle...

      My best selling points to my clients are my accessibility, my personal attention, my knowledge of local target markets....

      Game On...
      ~Ken
      I understand what you're saying Ken, and in principle, I agree with you - to a point.

      First of all, in my opinion, it's a serious error in business philosophy to underestimate the competition. Now if it were just these guys and then all the small players, then I'd say sure, no problem.

      But now, there's the perception of "gold in them thar hills" and the rush is on again for everybody and their brother, trying to talk small business owners into this or that. So small businesses are getting inundated with offers to do this or that. When that happens, business owners will turn to trusted vendors with established relationships. They don't care about the "template", they care about THE RESULTS OF THE TEMPLATE. And we both know that a template website can deliver the exact results as a finely-crafted work of customized digital glory.

      With dedicated account reps with specific accounts to manage, in many cases... PRE-EXISTING RELATIONSHIPS, I don't know that you can say that their clients are just numbers, and that you'll be able to somehow deliver a better customer experience. In fact, small guys might be more attentive because they have fewer clients - but they are less responsive because they have fewer resources with which to manage the relationship and deliver the services.

      Yes, people can still go out and make money in the services business.

      No, it's not the pretty picture with happy little trees that so many people want to paint.

      I know, I know... there I go being all realistic and crap again. What a downer, huh.
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  • Profile picture of the author mr2monster
    Seems like I get a new mailer from these guys every other day..

    It's who I get my business checks done through and they have really good customer service. I have a rep that touches base with me about once a month to see if I "need anything" or if there's any way he can help.

    They're going to be a force to be reckoned with for sure.
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  • Profile picture of the author Amir Luis
    There are several big companies that have migrated into the offline arena.

    We are probably the only ones that call it that... but whatever....

    Does this mean that my piece of the pie is going to get any smaller?

    I doubt it. I just keep pushing forward no matter what. There are just as many new businesses registered as there are baby's born every day.

    I believe it is a good thing to Look at the competition, but a bad thing to Stare.

    Being cognizant of their tactics and behaviors is one thing. But making fear based decisions as a result has never worked out for me.

    I enjoy sharing the market. Why?

    Because you know you are in a viable industry when the big boys jump all over it too.

    Also.... the more advertising that these companies do helps me. It helps create top of the mind awareness. So when I contact these business owners, they know they need an online marketing presence. Why? Because some billion dollar marketing campaign told them so. Do they remember the number of the radio commercial? Or the constant barrage of television commercials done by the yellow page companies offering Internet Marketing?

    No.

    These companies planted the seed. They made my job easier.

    Thank you Big Box Internet Marketing Companies.... Keep it coming.
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  • Profile picture of the author MichaelHiles
    There's certainly plenty of opportunity. It just requires someone to understand the dynamics of the market, and create a compelling story... more than just "Hey, I can get your site to #1 in Google".

    Yeah, so can about a hundred other boiler rooms in Bangalore.
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  • Profile picture of the author Vagabond 007
    Is that really what some companies are doing...guaranteeing 1st page results and then they just use PPC?!

    Please tell me that's a joke.
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    • Profile picture of the author SirThomas
      Originally Posted by Vagabond 007 View Post

      Is that really what some companies are doing...guaranteeing 1st page results and then they just use PPC?!

      Please tell me that's a joke.

      Actually, it isn't!
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    • Profile picture of the author myob
      Originally Posted by Vagabond 007 View Post

      Is that really what some companies are doing...guaranteeing 1st page results and then they just use PPC?!

      Please tell me that's a joke.
      I can and do guarantee 1st page results within 72 hours, but it is not just with PPC. That's how I make the big bucks.
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  • Profile picture of the author SirThomas
    I love those big companies. You can easily contact their clients six months down the road and offer "customized" and creative internet marketing, knowing they haven't received any recently... ;-)

    Out of curiosity, I checked their testimonials page and researched those websites. With the exeption of one (little competition), they couldn't be found in top pages of Google, organic or maps...

    I also visited their PartnerUp social site and found the same as above.

    To me, their clients will be my new income stream. I've done it before with other big players. This one will not any different.

    Please, be aware, I don't build websites. I only provide marketing solutions.


    Thomas
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    • Profile picture of the author cityseal
      Yeah, that is what the Mom & Pop shops said when Walmart came in too.
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      • Profile picture of the author MRomeo09
        See, I look at things differently. This isn't less opportunity, this is MORE opportunity.

        When the big companies start getting involved it means that the market is maturing, and for those of us thinking ahead..... Well, I see the big picture.

        If I can position my company in front of enough eyeballs that has value, and when we talk value I mean in the tens of millions of dollars. One of my initiatives is a very cheap loss leader to get people in my funnel and a way to make money while I add people to that funnel ad infinitum. If I get 20,000 target businesses into that funnel that happens to bring in $2M in profits annually, I might be able to sell that business for $20M or more. Versus if I had to sell it on the financials alone I might only get $4-8M. A nice paycheck of $10-100 Million or more would make my wife VERY happy.

        How can you position your business for an attractive acquisition? This is probably the golden time to do it. If you can get in position by 2015-2020 you can pretty much write your own paycheck.

        And the worst case scenario is if you build a business that runs smoothly in a system those businesses are the best kind to own anyway. So you still win.

        At least that's the way I see it.

        Marcos
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        We do not have to become heroes overnight. Just a step at a time, meeting each thing that comes up ... discovering we have the strength to stare it down. - Eleanor Roosevelt

        Your opinion of yourself becomes your reality. If you have all these doubts, then no one will believe in you and everything will go wrong. If you think the opposite, the opposite will happen. It’s that simple.-Curtis Jackson- 50 Cent
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        • Profile picture of the author SirThomas
          Originally Posted by MRomeo09 View Post

          See, I look at things differently. This isn't less opportunity, this is MORE opportunity.
          Absolutely, big companies do a great job in educating and reinforcing the need for online marketing. The market gets larger.
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      • Profile picture of the author SirThomas
        Originally Posted by cityseal View Post

        Yeah, that is what the Mom & Pop shops said when Walmart came in too.
        Not really the same scenario unless you provide a commodity.

        Providing marketing solutions is a totally different ball game.

        The company mentioned in this thread is DELUXE. They have 4 million customers. How many accountants do they have in Seattle or LA? Can they put them all at the top of Google at the same time? :-)


        Thomas
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        • Profile picture of the author Amir Luis
          Originally Posted by SirThomas View Post

          Not really the same scenario unless you provide a commodity.

          Providing marketing solutions is a totally different ball game.

          The company mentioned in this thread is DELUXE. They have 4 million customers. How many accountants do they have in Seattle or LA? Can they put them all at the top of Google at the same time? :-)


          Thomas
          This... my friends... is your new USP.

          tah daaaah.....


          I already use it so I guess I will just have to keep my old one.


          The age old question... do you want to be a name... or a number?
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          • Profile picture of the author TimCastleman
            Oh no the sky is falling the sky is falling is what one offline marketer said to the next one.

            Look if you're selling on price or trying to pick a fight you can't win then you deserve to have your lunch money taken from you.

            Find a way to beat them at their own game, or make up a new one that you can win.

            Don't worry about the other fish if you're still getting feed and judging by last months numbers there is plenty of food to be had.

            Tim
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            • Profile picture of the author Amir Luis
              Originally Posted by TimCastleman View Post

              Look if you're selling on price or trying to pick a fight you can't win then you deserve to have your lunch money taken from you.


              Classic...

              Well said. There is a way around EVERYTHING. They say keep your friends close and your enemies even closer right?

              Figure it out.... I have.... I have yellow page guys selling my services to compliment their services. Why? Because I changed my offerings to things they don't do so I could join forces.

              Can I do that with people that don't have a local office? I don't know yet.... I am sure I will figure out a way.
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      • Profile picture of the author John Durham
        Originally Posted by cityseal View Post

        Yeah, that is what the Mom & Pop shops said when Walmart came in too.
        Hmm... True Dat.
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  • Profile picture of the author PaulMark
    LOL!

    Big Boy doesn't care that we can come in and swing a few deals by being relational. They are going mass. Raking in hundreds of millions while we fight for a $10K deal.

    Plus, never underestimate the "clue" held by the average business owner.

    They could be getting reamed by Big Boy and we can say, "Hey Big Boy has a thermometer up your butt."

    "Really? I don't feel anything."

    "What?!" we reply.

    "Anyway, so what? What makes you different?"

    "Well, we're relational," we say. "Big Boy uses a metal rod and we employ the latex glove approach. See, we're relational. Personal touch."
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    Just PM questions : Paul answers questions about rapid product creation, recurring revenue and creating online training programs. Mark answers questions about SEO, organic traffic, & local business marketing.

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  • Profile picture of the author SirThomas
    Marcos, it's funny you just mentioned "building to sell" method. I've been working on it for several months now and I think it's never been a better time since the BIG GUYS moving in...


    Thomas
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  • Profile picture of the author MichaelHiles
    I don't think the sky is falling Tim. I think the market is continuing to evolve, as it has since the NSF decided to privatize teh interwebs.

    It's certainly changing the game for small market guys trying to hustle up on the street.
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