About Rob Trecek

Rob Trecek
With over 20 years of integrated marketing experience including database and print/mail management , Rob manages the continued growth of JD as Director of Business Development. Rob works to identify prospects and cultivate relationships that can make a positive impact on businesses.

Hooters…a case of “Idiot Son Syndrome”

Has anyone out there watched the TV show called Undercover Boss on CBS?  I caught the first episode featuring the CEO of Waste Management after the Super Bowl. I finally had the chance to sit down and watch the episode featuring the CEO of the Hooters restaurant chain.  I know what you’re thinking.  It had nothing to do with catching a glimpse of the scantily clad waitresses.  I read in February that Hooters wasn’t doing well financially due to the recession and was shopping itself to a number of private-equity firms.
I’m sure the recession has some bearing on the financials of Hooters but after watching the episode I think Hooters suffers from what Don Libey affectionately calls “Idiot Son Syndrome!”  While his late father started and successfully built up Hooters, the second generation son who took over the chain, obviously born with a silver spoon in his mouth, seemed clueless about the obvious reasons why the chain was having not just sales issues, but major morale issues with its people.
I could not believe how clueless the CEO was about the day-to-day operations of his business.  For example, in one undercover assignment he worked at one of the company’s packaging plants and stated to one of the managers that he hadn’t set foot in the place since he was 17.  The manager told him most of the people in the plant have never seen the new CEO and don’t even realize it’s the son!  The son has to be in his mid to late 40’s.  Where has he been the past 25 years?  Collecting a pay check and playing with his toys instead of making himself visible….obviously.
In another segment of the show the CEO participates in a street promotion-handing out coupons to a new restaurant that just opened in Dallas-with two Hooters gals at his side.  Doing this he hears positive but mostly negative feelings people have towards the restaurant chain.  The CEO seemed concerned and rather surprised to hear these remarks.  He must have ear muffs on for the past 10 years sheltering him from the feminist cries!  Again clueless!
In today’s economic climate, CEOs and business leaders have to be visionaries and at the same time not afraid to roll up their sleeves and get to know all the facets of the business they are in charge of.
I’ll be placing a call into Hooters pronto.  They could definitely use Johnson Direct’s PR Services!

Has anyone out there watched the TV show called Undercover Boss on CBS?  I caught the first episode featuring the CEO of Waste Management after the Super Bowl. I finally had the chance to sit down and watch the episode featuring the CEO of the Hooters restaurant chain.  I know what you’re thinking.  It had nothing to do with catching a glimpse of the scantily clad waitresses.  I read in February that Hooters wasn’t doing well financially due to the recession and was shopping itself to a number of private-equity firms.

I’m sure the recession has some bearing on the financials of Hooters but after watching the episode I think Hooters suffers from what Don Libey affectionately calls “Idiot Son Syndrome!”  While his late father started and successfully built up Hooters, the second generation son who took over the chain, obviously born with a silver spoon in his mouth, seemed clueless about the obvious reasons why the chain was having not just sales issues, but major morale issues with its people.

I could not believe how clueless the CEO was about the day-to-day operations of his business.  For example, in one undercover assignment he worked at one of the company’s packaging plants and stated to one of the managers that he hadn’t set foot in the place since he was 17.  The manager told him most of the people in the plant have never seen the new CEO and don’t even realize it’s the son!  The son has to be in his mid to late 40’s.  Where has he been the past 25 years?  Collecting a pay check and playing with his toys instead of making himself visible….obviously.

In another segment of the show the CEO participates in a street promotion-handing out coupons to a new restaurant that just opened in Dallas-with two Hooters gals at his side.  Doing this he hears positive but mostly negative feelings people have towards the restaurant chain.  The CEO seemed concerned and rather surprised to hear these remarks.  He must have ear muffs on for the past 10 years sheltering him from the feminist cries!  Again clueless!

In today’s economic climate, CEOs and business leaders have to be visionaries and at the same time not afraid to roll up their sleeves and get to know all the facets of the business they are in charge of.

I’ll be placing a call into Hooters pronto.  They could definitely use Johnson Direct’s PR Services!

Rob Trecek
Director of Business Development
rob.trecek@johnsondirect.com

Girl Scouts of America Go Social!

I’ve been busy carting my kids around to ball games, forensic meets, band concerts and scouting events.  It surprises me that I get to read anything anymore.  Just read a great story that the Girl Scouts of America utilized social media to assist in their cookie selling campaign this year.

My daughter has been involved in scouting for 8 years.  She gets very excited over the cookie sales. She pounds the phone the day after receiving the cookie sales sheet calling all the relatives and everyone on our Christmas Card list.  She even hit up her friends at school. (It’s yet to be seen if we will collect any money from them!)  The first weekend of the campaign she was out in the cold soliciting from the neighborhood.  I asked if she wanted me to drive her around.  She refused.  “People will buy more if they see me walking in the cold”, she informed me.  The kid already is a sales psychologist!

The Girl Scouts of the USA campaign included viral video on YouTube which linked to a microsite. The site asks visitors to enter a ZIP code to find a local troop.  According to a DMNews article the site also captured e-mail addresses and phone numbers.

Who says you can’t teach an old nonprofit a new trick!  They didn’t do a good job promoting the campaign down to the local troops.  I didn’t know about it until after the cookie sale was over.

I don’t know how well the campaign did…but I’m sure it helped spread the word, build the brand, and most importantly, sell more cookies!

Rob Trecek
Director of Business Development
rob.trecek@johnsondirect.com

Follow Up or Die!

In the recessionary economy which we all find ourselves in today, you’d think that most salespeople and businesses would be fine tuning their follow up skills with not only their existing clients but especially with their interested prospects.  Unfortunately, more often than not, this is not the case.  Regardless of the industry, product, service, big ticket item or small purchases, it’s stunning to me how little businesses follow up with prospects and even customers.  They’re missing a fortune because the follow up is rarely done or non-existent.

Here are some amazing statistics related to sales that should inspire you to crank up your follow up efforts within your business:

  • 48% of sales people never follow up with a prospect
  • 25% of sales people make a second contact and stop
  • 12% of sales people only make three contacts and stop
  • Only 10% of sales people make more than three contacts

Now here’s the case for following up with prospects:

  • 2% of sales are made on the first contact
  • 3% of sales are made on the second contact
  • 5% of sales are made on the fourth contact
  • 80% of sales are made on the fifth to twelve contact

Ask yourself this question, how much do you follow up on referrals and prospects?  I’m certain most companies can improve on the number of contacts they make.  I’m a big believer in developing a formalized process to stay in touch with prospects that didn’t convert immediately but still have a high chance of converting down the road if you stay in touch with them.

I recommend you print off this blog post and highlight the statistics in yellow and place it near your work space as a constant visual that follow up is where the fortune is made.

To put my sales cap on, Johnson Direct and our team of professionals can assist in developing such a formalized follow up process!  There are many channels/tools to help you stand out, keep top of mind awareness and close more sales.  These tools include an e-zine or e-newletter, creating a series of touch base postcards, utilizing social media such as LinkedIn, Facebook, blogs and YouTube, and holding a special customer appreciation event.

Remember that for each month that goes by without some form of communication to existing customers and prospects, 10% of top-of-mind awareness for your company disappears.  People are buried with choices, media and aggressive competitive offers trying to lure them away from your business.  Developing a sound formalized follow up process will help you create what my friend Tony Rubleski calls “Mind Capture” and assist you in winning more business!

Rob Trecek
Director of Business Development
rob.trecek@johnsondirect.com

DMA ’09 in San Diego – A Story of Disorder in the House

“Disorder in the house
The tub runneth over
Plaster’s falling down in pieces by the couch of pain.”

Thus starts the song “Disorder in the House”, a song written and recorded by Warren Zevon on his last studio album before his death.  It may be an appropriate anthem for this year’s DMA Conference in San Diego.

Prologue

The ruckus started months before the conference when Executive Committee member Gerry Pike questioned the leadership of the DMA.  He alleged that “DMA’s relevancy is fading, its membership is falling and its events failing as budget-buster dues and conference fees are sending long-time DMA members heading for the exits.”  It didn’t help that it was reported that executive director John Greco is raking in a salary of $838,500 a year…twice the industry average for national nonprofits! This news came on the heels of Greco laying off half the DMA staff over the past year …

Mr. Pike makes very valid points.  I will also add that for the price the DMA charges for the conference, it may be a good idea to change up the speaker docket every once in awhile.  I’ve been going to the DMA for 14 years and there are a good dozen headliners that are giving the same presentation over and over again!  Perhaps they should call in fresh perspectives and lively interactive presentations from new blood — guys like Grant Johnson who are well respected and are highly active within today’s diverse marketing environment.

Chapter 1 – crescendos and criminals

Grant and I walked into the San Diego conference center on a beautiful October day. It was eerie to notice that there were no lines at the registration area.  After registration we headed to the keynote address.  We entered to the sounds of a Benny Goodman swing quartet … relevant, you ask? Yes, we asked ourselves the same thing, wondering what the social media crowd of 20 and 30-somethings were thinking. Soon we were hearing Mr. Greco spout about the “great things” the DMA was doing for the industry … like fighting the “Do Not Mail” legislation and increased postage rates. Thought bubbles of “give me a break!” raced through my head.

Headlining the keynote was Martha Stewart. Doesn’t the direct marketing industry have a better representative to trot up there?  I suppose they could have brought Kenneth Cole back. They should have brought in the former CEO of AIG. I guess that wouldn’t have been a good choice either.  There was a technical glitch in Martha’s multi-media presentation.  She wasn’t too pleased about it.  I’m sure that’s the last DMA gig she will do.

Chapter 2 – quality over quantity

Talking to industry leaders, the projected attendance and the number of exhibitors were down 30% to 40% from last year.  The exhibit hall could be compared to walking through a ghost town.  I’ve never seen traffic so light.  The DMA did a good job spreading the exhibits out so it appeared like there were more exhibits than there actually were. Exhibitors put a positive spin on things saying the “quantity isn’t here but the quality is!”

Chapter 3 – the good news

The annual DMA conference is still a meeting point for direct marketers internationally.  It is a good venue to have companies showcase their products and highlight the newest trends.  Social media has bubbled to the surface in conversations as a highly effective means to reach customers.  DMers are currently exploring ways to both exploit the medium and quantify its effectiveness.  Quantifying its effectiveness is the difficult part of the equation.

Chapter 4 – a happy ending

What you get out of attending a DMA show now-a-days is really dependent on what you put into it. Grant and I had a very productive two days at the show.  With proactive pre-show planning, we had 10 really good appointments with clients and prospects.  I’m sure we will be heading to DMA 2010 in San Francisco next fall.  To save money, we guerrilla market, and just have one of our vendor partners provide us with exhibit hall passes.

Speak up!

I’d love to hear from you about whether you went to the show (why or why not) and what you thought of it. Send me a note at rob.trecek@johnsondirect.com. You can also reach me on LinkedIn.

Rob Trecek