Ideas Blog

2 Growth Strategies – “One Fan at a Time” and “Nodes and Networks”

Image by Nimages DR

There are two effective models to grow your business.  It’s best to recognize and utilize both to your advantage.

“One Fan at a Time” – Grassroots Growth – You need to be able to identify your audience and speak to their interests.  After knowing who they are you need to go find them (this is called marketing) where they hang out in the real world or online.  Once you find them you need to convince them that your product is worth buying (this is the sales part) – or a better way to look at it is to help them see the value that you could contribute to their life.  Continuing the dialogue with your fans is the final part of grassroots business growth.  Once you’ve found them, engaged them, they’ve purchased something from you (tickets, merch, music) then your job is to keep them interested – to make awesome content or products that inspire people.  I know it’s not easy and there’s no real forumla for it either.  But the point is, if you can learn how to make awesome products and find people who will enjoy them then you’ve built a successful grassroots business.

“Nodes and Networks” – Connections and Top-Down Growth – Who are all of your possible connections that could introduce you to your ideal audience?  The list could include agents, manager, venues, festivals, other bands, local businesses.  As you grow your business think of all the connections that are easy to make and reach out to them.  Even in the early stage of a career there are connections to be made with your local market.  Find and befriend all of the bands in your area that share your genre.  Get to know the owners of the stores that would identify with your brand.  Eventually when you grow your business to a certain point, you will go looking for an agent or manager.  One of the greatest benefits of the right agent or manager is the professional connections they offer.  In fact, if you’re looking for an agent or manager consider whether this person is going to provide you connections into the business opportunities you desire (festivals, clubs, markets).  Connections are an important part of business, just like real life… don’t forget about them!

Grassroots growth keeps you connected to the source – the fanbase.  Connections help network you into pockets of similar audiences where your ideal fans may be hanging out.  Recognize and capitalize on both – all successful businesses do.

Making Work Live

My work is an expression of who I am.  I figure out who I am and what works means to me at the same time.  In other words, this is what I would be doing even if I didn’t “have to work.”  The very intentional goal has always been to make “work” not work but rather constructive play with friends and the world.

I have always assumed that this approach to work isn’t for everyone.  I’ve heard that some people just like to have a job that they can leave at the end of the day and not have to think about it.  I realized recently that I don’t really believe this.

If you enjoy the work you are doing then you are doing it for your pleasure and for the Business of You.  On the other hand, if you are miserable at work then you need to adjust something in the Business of You.

We all go home at the end of the day.  Not thinking about work has nothing to do with the work itself but rather your ability to be mindful and in the moment.

So… if you fit into this category, no more excuses.  Find the work that makes you come alive and make the work live.  We all benefit from this.

Web Streaming vs. Radio

It could be argued that offering free streaming of your music is a replacement for radio.

Consider that radio played music at no cost to the listener.  In most cases radio had tremendous reach into the community.  If your song happened to get on radio and was successful, your song was heard for free by thousands of people every week.  After getting to know a band’s product (i.e – the song on the radio) a listener may be compelled to become a customer of the band.  But it took that exposure to the free sample to sell the product.

Streaming your music for free isn’t really a new concept then.  The web is just replacing the radio as the broadcast medium.  You stream your music with the hopes that enough people will hear it, get interested in the free sample and like it enough to buy the product.

What’s different is that radio served as a brand, a broadcaster, and a filter.  There was a symbiotic relationship here between bands and stations.  Cool new music strengthened the radio brand and the radio brand strengthened the clout of a band in that market.

By simply streaming your music away on your site, you lack a branded filter.  In other words, each band is like it’s own mini-radio station.  But with hundreds of thousands of them across the web.  Hoping a new consumer finds your band is like a finding needle in a hay stack.  You aren’t identifying with a symbiotic relationship.

The web is wonderful for its ability to distribute content at low cost.  But the power of a branded filter is still real and needed. Look to all of the great blogs as an example – they become filters for content on certain topics.

If you’re reading this and thinking of how you can be involved in music – consider the act of being a filter for a genre or your local market.  The medium of broadcast has been the only definite change.  The need for branded, broadcasting filters is still real indeed.

Update: A reader rightly pointed out to me that I didn’t provide any advice on how to act here.  I reread the post and clearly see their point.  So… there are two action items here.

1.  If you aren’t an artist but you are interested in getting involved in music in some way here’s an idea: become a web-based filter.  The benefit of the web is that it’s less expensive to start a hub there than it is to start a radio station, it’s less regulated, and you can play whatever you want.  This last point is a benefit to bands as well because many great artists aren’t “radio friendly.”  That’s no problem on the web if you become a filter for your specific genre niche or your market.   Artists and managers still have a need for filters to associate with but there aren’t that many out there.  Go start one and drop me a line when you do or drop me a line if you already have one.

2.  If you are an artist or manager – I’d keep your eyes out for the local filters that aren’t radio stations, especially if you aren’t a “radio friendly” band.  When you come into a market, drop a line to your best fans in that area and ask how they find out about shows.  In most major markets I have found underground message boards, blogs, and connectors through communicating with our hard core fans there.  These connections can be more effective than traditional broadcasters for the power of “Word of Mouth” they offer.

Here are a few examples of various size and style:

  1. Charlottesville Indie music – http://www.nailgunmedia.com/blog/
  2. San Francisco Indie music – http://www.playinginfog.com/
  3. Orlando Blues music – http://www.meetup.com/roadblockbluesjam/

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Zen Physics of Work

Imagine a circle drawn in the dirt and you standing in the middle of it.  Your goal in life and work is to stay centered (balanced is another term for it).  Here are some scenarios you may feel at the work place.

Pulled/Pulling – As an employee sometimes you are pulled into work that you don’t want to do.  Inside you resent being asked to do the work or you disagree with the method of how to go about the work.  First, fearlessly question (to yourself) what you don’t like about the work.  If you think there is a better method, find a way to express this to your boss.  If you just don’t like the work but you have to do it, find what piece works for you.  Recognize when you feel pulled and try to find how to define and practice your center.

As an employer you know the feeling of pulling an employee into work when they clearly don’t want to do it.  When you become aware of it, mention your observation and without emotion or ego, ask them what they like/dislike about the assignment.  Opening the conversation is the start of helping your employee be centered.

Chasing – When you chase an opportunity this implies that all of your momentum is going forward.  What happens if you don’t win the chase?  You’re exhausted.  Possibly you trip, and fall flat.  There is no need to chase.  It’s better to stay in the center of your circle, know what you do really well, and then announce that and converse from this centered position.

Driving – This implies control while remaining centered.  From the center of your circle, observe yourself.  What work do you choose to drive.  What really motivates you?  What do you really excel at and enjoy?   As a boss you can observe this of the people around you as well.  In work and life, empower those around you by recognizing what they choose to drive and passing work to them that fits within their circle.

If you feel yourself being pulled out of your circle, chasing an opportunity, or being pushed off balance, step into the driver’s seat and steer yourself back to center.  The center is where you will find true power.

Business Lessons from David Heinemeier Hansson

David Heinemeier Hansson is the creator of Ruby on Rails (a programming framework) and a partner in 37signals (creators of Basecamp and other popular web applications).  In 2008 he gave a talk which was sent to me recently.  There were a few good ideas in it that I want to pass onto you now:

  1. He feels confident in setting a price for a good application as they do with the 37signals products.  He also believes in releasing some things for free.  He released Ruby on Rails to the world for free.
  2. In our world we are conditioned to think that the ultimate success is the big hit.  We dream of being the next Facebook, U2, Michael Jordan, Pixar, or Apple.  The odds of becoming that next thing are very small yet the irrational hype drives us to desire it.
  3. Combining the above 2 points, what if you charge $40/month for a subscription to your business (as they do).  Then you only need 2000 customers to be a $1M business.  Not bad.  His point is that having a business of this size is good and he doesn’t need to have the next Facebook if he has a business that is profitable and he feels good about.
  4. They found that making products for businesses rather than end consumers was better business.  The businesses showed less turnover and were willing to pay a higher rate.  In other words, they found their ideal client.
  5. At a certain point, having a “lifestyle business” – one that can sustain itself and makes good money – is more rewarding than the idea of making the company bigger.  Calling your own shots, being your own boss, not being in meetings all day, setting your own pace – this is a definition of wealth and a way to enjoy your own life.  Bringing in outside money to make a bigger company would take away many of these benefits.
  6. Most start-ups are narrowly focused on growing a business then selling it off.  The idea is to work real hard, then sell it, make a lot of money, and live the good life.  Is that really the good life though?  What about the idea of finding something that you believe in, and working toward that?  A quote from Craig Newmark who started craigslist says “Finding a good cause is incredibly hard and time consuming.”  We all want to believe in something bigger than us.
  7. There is plenty of space for loads of businesses.  There are thousands of nice Italian restaurants around the country.  It’s not like there has to be just one winner in business.  You can solve a niche and have a good business.  You can build a business that does the same old thing but better than the other guy (look at Zappos and selling shoes – people have been selling shoes for a long time but these guys just do it better).
  8. Don’t be in a hurry.  Most great companies are not built over night.  Starting up businesses takes time.  Also, take it easy.  There will never be less work.  Set up your practices to have a good life.  37 signals recently reduced their work week to 4 days, about 8 hours of work per day.  Employees can work from anywhere.

These are excellent ideas for our 2.0 World.  There are more ways to measure wealth than just money.  David mentions several of those measurements above: working for yourself, “working” less, working for a cause, working in a comfortable environment with a flexible schedule.  And mostly just being mindful of your desires and ambitions.  A great life can be had by living simply.

Thanks David!  You can watch the presentation here.

The Business of You

The word “business” carries a definite meaning for many people.  By definition it means “the occupation, work, or trade in which a person is engaged.”  I hear people say: “I could never run my own business” or “I don’t like business.”

The way I see it everyone is in business.  Everyone.  You are in the Business of You.

As an employee, you think you have a job.  Here’s another way to look at it: you have a client, not a job.  You have one client that supports your whole business.  Like any business, you had to sell your service to that company to get the contract.  In the Business of You, there is monthly income and expense.  If you lose that client (i.e. get laid off) it hurts the bottom line.  The nice thing about this business is that in the macro view it never fails – it just is.

Running your business is challenging but it can also be great fun.  In your business you get to decide exactly how you want things to run.  You’re the boss in the Business of You.  Remember that.

Strange Creatures and Fearless Questioning

In my dream last night, I was standing by the Pacific Ocean in Northern California.
Smooth rocks greeted the ocean, while the waves patiently tapped the earth.
To my right, in the water I saw the white face of what appeared to be a polar bear break the surface.
Two young guys reached down to pet the bear’s head.
I thought:  That’s dangerous. Those guys are crazy. Polar Bears eat people.
What’s a polar bear doing in Northern California? It’s not cold enough here.

Next scene, the bear had climbed out of the water and was on a large boulder next to and above me.
The bear was very large and now I could see it had dark fluffy fur, with a white face.
I thought:
Is that a panda bear? I’ve never seen anything like this before. I’m not sure what it is, but it’s big and looks threatening.
My friend next to me informed me that she thought it was a brown bear.
We backed slowly away because great speed would alarm it and perhaps provoke an attack.

Next scene, behind the boulder an SUV was parked.
The “bear” had climbed into the back seat and was leaning into the front, happy and licking its owner in the driver’s seat.
“What is that?” I asked to the owner.
He explained the breed of dog – large like a bear, but fluffy like a poodle, and harmless like a stuffed animal.
I petted the dog, enjoyed the friendly exchange, and said goodbye to the owner.

End of dream.

In life we encounter all sorts of new and strange creatures – a new boss, a stranger on the street, new environments. We have the tendency to approach these strange creatures with a mix of fear and curiosity.  Fear can be good because it keeps us safe from obviously dangerous situations. It keeps us from petting the polar bear.

The curiosity in us asks the questions about what we are seeing that we don’t completely understand. The curiosity inside us asks “Why are those guys petting that thing on the head?”  Curiosity is good, it’s the thing that keeps us learning and growing.

The problem comes when the fear trumps the urge to vocalize the question. When this happens, we keep our curiosity inside. We ask the question inside but we are afraid to externalize it.  Our thirst for knowledge (our question) goes unanswered.

What I propose for this new world we’re building is Fearless Questioning. Fearless Questioning is when the urge of curiosity trumps the fear we have inside.  Fearless Questioning leads us to ask questions out loud because we are not afraid of the answer, or afraid we will look stupid or silly.  Fearless Questioning makes us yell across the rocks “Hey, What is that Strange Creature you’re petting?”  Fearless Questioning creates the opportunity to learn something new, to start a new conversation, to make a new connection.  In short, Fearless Questioning creates.

Statistics, Critics, and Doing it for You

In context of your projects, your life, your business:

Statistics and data offer an analytical view of your actions.  This is the black and white view.  Analysis is important since it provides a factual (not emotional) view of your efforts.

Critics by definition, judge both the merits and the faults of a work.  Approach criticism from your position of power: you are the creator, yet you are balanced enough to learn from someone else if there is something to learn.

“Doing it for you” is the most important aspect of these three.  This should be the core of every iteration.  When you choose to take on a new project, a new line of work, a new exercise – find your reason for doing it for you.  If you are assigned a certain task by your boss that you don’t want to do initially, reframe it in such a way that you can find the opportunity in it.  Make the project yours, take ownership of the reframed perspective so you see your benefit from it.

If you can successfully frame your work and life so that you are doing things for you, then you’ll see analysis and criticism as teachers leading you down the path of improvement.  This is satisfying.

Hey… You on the Phone Blanket!

It’s very easy to instinctively reach for your phone in an uncomfortable moment.  Most phones are equipped with multiple ways to grab and retain your attention.  In social situations like being at a party, bar, or concert, when you are in between conversations, you don’t want to feel like the loser with no one to talk to so you pick up your phone.  Look at it, see if any new emails came in, send a text, read something.  Anything to keep the moment from being awkward.  When you’re walking down the street on the way to work or to meet a friend you pick up the phone.  Walking is boring so why not.  Driving down the road and you’ve got to stay in touch?  Grab that phone and text.

In these moments you are not reaching for your phone, you are reaching for a security blanket.  Your phone as a security blanket is called a Phone Blanket.  Using the Phone Blanket is common in this fast paced world.

We reach for the Phone Blanket because we are afraid that we are going to miss something.  Afraid of the awkward moment.  Afraid of being bored.

If you’re reading this and it jives with you (and I’ll put myself in this camp) then join me in putting down the Phone Blanket.    Lift your head up and take in the fearful moment.  Break through and be a prisoner no more!

Update: Someone had asked me how to break through.  My answer is 1) that awareness of the issue is the first step.  Secondly, if you find that you’d rather not have the phone blanket feeling then 2) when you feel the urge to reach for it, become aware of it, and focus on your breath.  Let the thought pass.  Simply be in that moment without having to reach for the phone.  By doing this you are breaking a habit, and slowly you can condition your mind for a new habit.  The new habit could simply be to enjoy the moment of alone time.  Try to be comfortable by yourself.

The Artist-Audience Exchange

Several years ago I was at a Phish concert in a large amphitheater.  If you’re not familiar, Phish is a band known for improvising significant portions of their show.  Watching this show, it became clear to me that the artists and the audience were engaged in a dance – an exchange of energy and attention.  The band circled through three stages:

Driving - At times, the band would crescendo (get louder and faster).  This would send the crowd into a frenzy.  At these moments the band was clearly putting out a big amount of energy.  The audience would absorb it and the music would drive them to dance.  Imagine the energy from the band getting injected into each person.  The band couldn’t sustain this for an entire show.

Cycling – Often times after a crescendo the band would pull it back down into a pre-scripted part of the song (this part not being improvised).  At these moments the energy exchange seemed about the same.  The audience knew the words, the band knew what to play.  This is like hitting even ground on a run or going through the fundamentals at your job.  It’s kind of easy compared to the hills.  Though it was an equal exchange of energy it appeared to be a more superficial exchange.

Absorbing – Then there were the times, often for extended moments and before the crescendo where the band would open up into an improvisational jam.  Often times these started slow and open.  The music created more of a landscape that invited the listener to step into it.  It was in these moments that the band clearly absorbed energy from the audience.  In this case, the audience was “paying attention”.  With the audience investing their energy it allowed the band to recuperate a bit and pull in more energy in preparation for the crescendo.

The best concerts are ones where both the performer and the audience walks away Refreshed.  This doesn’t mean they have more energy than what they started with.  It means that they spent a huge amount of energy but they got an equal and different amount in return.

These concepts are illustrated here with music but they are universal.  Your greatest interactions are no doubt the ones where you get as much back as you put into it.  Since we are all artists of life, you could ask yourself the same question performing artists ask themselves on a nightly basis: how to we increase the energy exchange?

If you want to walk around energized and refreshed, then work on getting your balance of cycling, driving, and absorbing.  Once you get it down, you’ll feel the applause all around you.