2010 May

V I S I T U S A T W W W . S A P A T O D A Y . C O M

Southeastern Advertising Publishers Association (931) 490-0400 (931) 490-0488 fax 1

SAPATodayAdvancing the free paper industry by providing resources for success and venues for sharing ideas.

THE MONTHLY NEWSLETTER FOR THE FREE PAPER INDUSTRY MAY 2010

Board of DirectorsThe leadership of SAPA is in good hands. The board of directors, director, and assistant are listed with contact information.Page 3

Why “I Love Me” Advertising Doesn’t Work Some customers love to run ads all about themselves instead of their products. Here’s how to deal with it. Page 3

Conference ScheduleJoin SAPA and IFPA in the Music City, Nashville, Tennessee on September 23 - 25, 2010. Plan now to attend this Megevent!Page 9

Please Your Readers and You’ll SucceedIn this article Richard Clark explains how your classified department can help the most.Page 5

It Ought To Be IllegalLandy Chase of Char-lotte, NC explores why you shouldn’t lower your prices.Page 7

USPS Stamp TaxDonna Hanberry lets us know that the “Stamp Tax” is the #1 issue facing the postal service and why you should care0

A Manager’s Guide To Empowering Sales Performance

by James Lorenzen

Developing a sales force isn’t easy. It takes commitment and a consistent process. That’s the reason our papers held training five morn-ings a week, every week of the year.

Training “events” can set the stage and ignite a desire, but it’s the process that develops skills. Even now that we’re in the training business, we never kid ourselves into believing we’re the reason other people succeed. When clients suc-ceed, it’s because THEY were committed to the ongoing training process. People like us who set the stage and provide the roadmap can’t – and shouldn’t – take credit for what the orga-nization’s management, supervisors, and sales-

Want Sales to Achieve?Get S.M.A.R.T.

people themselves are actually doing.

Success in anything requires S.M.A.R.T. goals – goals that are:

Specific - Goals need to be definable, provid-ing focus and direction. The end result must be clear. By the way, be sure goals are WRITTEN. Unwritten goals are like smoke, they disappear.

Measurable - Results need to be quantifiable. Your people need to see the difference between what they achieved vs. where they started. They want to know when they’re progressing. Remember this simple formula: WHO is to do WHAT by WHEN.

Action-oriented – Use action verbs. It should be an activity, performance, or operation de-signed to produce results, i.e., “increase,” “re-duce,” etc. Most often, goals will have a series

of Action-Steps required to achieve them. Each Action-Step should have a target date, as well. You should also be aware of the potential ob-stacles that might be encountered and the so-lutions that can be applied to each. This is an excellent workshop you can conduct for your managers and supervisors.

Realistic - Your people must see it as attain-able and believe it. They’ll be motivated only if they believe they can do it! When I set my sales records, I didn’t expect my newer and younger reps to accomplish the same thing; they didn’t have my background or experience. If I had expected them to write campaigns at the rate I did, they wouldn’t have even tried. Since they saw the goals as realistic, they ‘jumped’ at the chance to succeed – and they did. We outsold all of our much larger competition even when we were perceived to be far from dominant.

Tangible - The goal should be easy to recognize when it’s accomplished – and highly visible.

To make it all work, you need to determine

Southeastern Advertising Publishers Association

continued on page 2



Get SMART!what motivates your employees. And, that begins with an understanding that people do things for THEIR reasons, not yours. Former L.A. Dodger manager Tommy Lasorda once said, “My players are already motivated; that’s how they got to the majors. I have to find out what motivates them and tap into that!”

Ask a group of people what motivates them and you’ll hear words like money, recognition, pro-motion, self-satisfaction, winning, paid time off, awards, etc. The fact is, each is true for some-one but all aren’t true for anyone. Most people have one or two that motivate them most of the time.

Our salespeople were motivated by money and recognition. That made sense because our compensation structure was definitely geared to high performance, which didn’t attract those looking for a cushy job. Top people made more money working for us than they could at the Los Angeles Times. Bottom performers didn’t last and usually ended up applying for work at our competition. That’s exactly how I wanted the doors to turn.

That was the money part. For recognition, those who achieved a certain level of annual contract advertisers with minimum revenue and maxi-mum cancellation benchmarks were rewarded with a leased luxury car. Most in those days requested a Mercedes, which made me look a little out of step, because I drove a Buick. Natu-rally, they had to maintain production levels to keep the car. Reps from other papers saw my reps driving around in style and the result was my never having to look for talent. We had a waiting list. Our reps were also active in civic groups, chambers, etc., and I never missed an opportunity to brag about them to other people

very publicly. Everyone wants to be appreciated and top people should be.

Training played a big role. When you train peo-ple correctly, they find it’s fun and exciting and they get “charged-up,” It also sends the signal you think they’re worth the investment. When you fail to train them, it sends the opposite mes-sage, that’s when they start looking around.

Motivated salespeople bring you additional benefits: They volunteer to do things others won’t. They react well to new information. They implement new ideas and information immediately. They set a positive example for others. They view knowledge as an opportunity for growth. And, they’re fun to be around. You know you’re doing it right when they’re excited about skill development and take pride in ex-ecution.

Where do you begin? Start with your manag-ers and supervisors. Train them on how to manage and lead salespeople. You could easily spend two hours on just the topics covered in this short article, but you’ll also want to cover subjects like:

Learning to lead your sales teamHow to build your sales teamDeveloping essential sales management skillsHow to achieve results as a sales managerHow to lead your sales team with momentumYou could easily involve them in workshops, etc., for three hours on each one of those topics. I guarantee you, you’d have a high-performance organization that could compete with any in the marketplace.

The next step is obvious. Begin training your salespeople, and never, ever, stop. Baseball

teams have batting practice before EVERY game. The reason is simple: They want to de-velop rhythm and a mental picture of success before taking the field – where they have to ex-ecute under pressure – every single day.

Selling is no different. Training is a process, not an event. Events fail if stand-alone events are all you do. However, special events can be highly successful if it’s part of a strategy and tied to a comprehensive training process. The key is not to drop the ball when the event is over! What-ever you do, be sure it’s only the “kick-off ” to a much larger initiative, and be sure your training must be grounded in reality and tied to actual field experience. That’s what gives your training credibility and truly aids in genuine skill devel-opment.

James Lorenzen founded, built, and sold five suc-cessful publications, an advertising agency, and a direct-mail company and has been the headline speaker at more than 500 conventions worldwide (see www.jameslorenzen.com). He is CEO of Gardner Hathaway, LLC, a Moorpark, CA-based firm specializing in high-performance training and organizational development consulting (see www.gardnerhathaway.com). Call 805.265.5418.

continued from page 1

p d

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PALIGODATACONSULTING

Ryan PaligoPresident

200 Kimberly DriveColumbia, TN 38401

931.334.1757

[email protected]



PresidentRussell

QuattlebaumSoutheast Sun

Enterprise, AL 334-393-2969

Vice PresidentTony OnellionBargains PlusSlidell, LA

985-649-9515

Past PresidentGreg Ledford

Shelby Shopper & Info

Shelby, NC 704-484-1047

TreasurerAlan Lingerfelt

The Piedmont Shopper

Danville, VA434-822-1800

Board MemberWill ThomasExchange, Inc.

Fayetteville, TN 931-433-9737

SecretaryCaroline

QuattlebaumSoutheast Sun

Enterprise, AL 334-393-2969

Executive Director

Douglas FrySAPA Headquarters

Columbia, TN931-490-0400

Board MemberJW Owens

SGS Publications, Inc.Keystone Heights,

FL 863-634-8499

Past PresidentGary Benton

Peddler ADvantageParis, TN

731-644-9595

Administrative Assistant

Vickie BeldenSAPA Headquarters

Columbia, TN931-490-0400SA

PA

Lead

ersh

ip Integrity is the foundation upon which all other values are built.

Brian Tracy

By John Foust, Raleigh, NC

At a regional marketing conference, I had a brief conversation with an unhappy advertiser. “I used to advertise in my local paper, but it didn’t work,” he said. “A couple of years ago, I ran a special ad for several months. It didn’t generate a single call that resulted in new business, so I dropped out of the paper and decided to put my marketing money somewhere else.”

When I asked about the content of the ad, he said, “It was about how much our business has grown. There were pictures of our top producers, with captions that described their backgrounds and credentials. It was a shame that nobody responded.”

It may have been a shame that no one responded, but it is no surprise. The ad was about the advertiser, not about what the advertiser could do for consumers.

That advertiser’s complaint reminded me of the story about a business owner who had no success in getting press

The Futility of “I Love Me” Advertising

continued on page 4



releases published in the local media. In an act of desperation, he delivered his latest press release in person. The business editor opened the envelope, read the release, and unceremoniously dropped it into the trashcan.

The business owner was shocked. “Why did you do that?” he asked.

The editor said, “Because I figure there are only two people who are interested, and both of them have already read it.”

People pay attention to – and take action on – things that have relevance. The disgruntled advertiser’s ad didn’t work because it lacked what I call RTB – a Reason To Buy. People don’t care about the XYZ Company nearly as much as they care about themselves. If the XYZ Company wants to attract buyers, they should stop talking about themselves and start talking

about what they can do for potential customers.

RTB doesn’t necessarily mean that a purchase is the only desired response to an ad. It is merely shorthand for “buying in” to an advertiser’s message – leading to an appropriate step in a buying decision. RTB could even be a request for more information.

There are two steps in creating RTB advertising:

Step 1: Start by asking, “What do you want readers to do, as a result of reading this ad?” Do you want them to call for details, place an order, or attend an open house? Do you want them to take advantage of a special sale, take a test drive, or clip a coupon?

Advertisers should welcome this time-tested concept. After all, if there is no clearly defined action, how in the world can response be measured with

any degree of accuracy?

Step 2: Think backwards. Now that you know the objective, compose the ad with the end in mind – to lead readers to the specific action you want. The more compelling your reasons, the better. How will readers benefit from taking action? What will they lose by not taking action?

Ad response has everything to do with the right RTB. And nothing to do with “I love me” boasting.

(c) Copyright 2009 by John Foust. All rights reserved. E-mail John Foust for information about his training videos for ad departments: [email protected]

Southeastern AdvertisingPublishers Association



Please Your Readers And You’ll Succeedby Richard Clark

As an old advertising person, I hate to admit it, but most classified departments could learn a valuable lesson from news-paper reporters. That lesson is that we ultimately work for the readers. That is to say that satisfying our readers is far more important than satisfying our advertisers, bosses, business offices or production de-partments. That’s a major shift, and if you can’t make it, the rest of this advice may not make any sense to you.

The key to success in classifieds is volume. Free papers must maintain a critical mass of ads in each major classified vertical. Ads beget ads. The more ads you have, the more interesting your readers will find your classified columns. Most of your lo-cal classified line-ad advertisers are also readers. The more readers your classifieds have each week, the more advertisers you will have.

A good newsroom staff continually strives to find angles that make any given story more interesting to the readers. This is exactly what we must do in classifieds. For every fair offer that is published in the classifieds, there is a reader out there

someplace that is looking for just that of-fer. If your Ad-visors can get the ad-visor to show what makes the offer a deal, the right readers will respond.

This brings us to the biggest lie that is told in classifieds. Sometimes the advertiser says it. Worse, sometimes we say it. The biggest lie is any version of, “Oh, if they are interested, they’ll call.” My favorite response was from an Ad-visor who said, “Yes they will, but we want to be sure it’s you that they call, right?” Think about it, all your life your mother told you not to talk to strangers. Anyone you don’t know is a stranger. Most people are reluctant to go to a stranger’s home to examine the ar-ticle for sale.

The opposite is also true: most of your readers are reluctant to invite strangers into their homes to examine items for sale. They certainly are nervous about hav-ing strangers drive their vehicles. Garage Sales are one answer to this dilemma. The seller simply puts all the stuff they want to get rid of out on the driveway, runs an ad with the address, times and dates, and hopes for the best. These sellers would be far better off to list the primary items that they will be selling, as this will draw

in more serious prospects for those items.

Your paper has been bringing buyers and sellers together for years and years. You know which ads work and which don’t work. The ads that show that the offer is a deal always work better than those that leave readers guessing. The advice you can give is one of the primary advantages you have over the many free-ad websites. Don’t throw this advantage away by just “taking ads.”

The vast majority of your print and online readers are from your local area, which means they are a lot like your advertisers, not scary strangers from all over the in-ternet world. Another strong advantage you should point out is that you don’t take every ad that is placed. Your publication enjoys a trust relationship with its readers. Some of that trust is extended to your ad-vertisers. Readers should know that you have a policy of not accepting ads that you suspect are misleading.

If you can focus on making sure your Ad-visors get the best possible “story” out of every advertiser, your classified readership and revenues will prosper.

Classified Development, Richard Clark, 2101 Millbrook Drive, Johnson City, TN 37604 , 423-929-2243 fax 423-928-2244, e-mail at: [email protected]

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It Ought To Be Illegalby Landy Chase

The Minimum Wage Law, established by the Fair Labor Standards Act of 1938, guaran-tees a minimum wage, under law, for most workers. I’m sure we can all agree that the concept of guaranteeing all workers a rea-sonable minimum wage commensurate with their efforts is one that should be protected by law.

You might be unaware, however, that the FSLA specifically excludes outside sales people from this protection afforded other workers. In other words, it is perfectly legal in this country for another person – in this case, a buyer - to take your income away from you.

That’s exactly what happens if you lack ef-fective negotiation skills. A customer balks at the price that they are quoted for goods or services, and you respond by negotiating your price – and your corresponding com-mission – downward. So, in effect, by agree-ing to a lower price without a corresponding drop in value, you willfully agree to take a

pay cut.

This practice, of course, isn’t illegal. However, it should be.

Nobody that you do business with should have the ability to take your hard-earned in-come. As a business person providing goods and/or services, you invest a tremendous amount of time, effort and expertise to pro-vide your client with value. I can’t remember the last time my dentist, florist, trash collec-tor, veterinarian, accountant, auto repair-man, or lawyer haggled over the fees for their services. In fact, I am not aware of any other service-based occupation other than sales where a person’s income is expected to be negotiable.

So why should yours be?

I regret to inform you that it is highly unlikely that the government is going to intervene in this matter on your behalf. (Part of the prob-lem is that you are in one of the highest-in-come occupations). Since you aren’t eligible

for a handout, you must take steps to protect what is rightfully yours. This means that your policy on negotiating is simple and straight-forward: you do not reduce your price with-out a corresponding decrease in value. If you were to recognize the act of negotiating on price for what it is – a cut in your compensa-tion – you might stop doing it. I can assure you that you would then add thousands of dollars to your income in the process.

This isn’t as difficult to do as you might think. However, you need to learn how to handle price objections properly when confronted with them.

First of all, most sales people assume that, when a buyer wants to negotiate, they are beginning the negotiation process in a posi-tion of weakness. This is usually not the case. Most of the time, your buyer is on little more than a “fishing expedition” when they ask you to lower your price. Furthermore, if the following two conditions are in place, you, not the buyer, are in a position of strength. These are:

1) The customer has already decided that they want to buy from you, and

2) The customer does not feel that your ask-

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continued on page 8



ing price is unreasonable.

These two conditions depend entirely on the premise that you have done a good job of providing value in your proposal. If that is the case, and the above two conditions exist, then dropping your price upon request is a very bad idea, because there is no basis for doing so.

The next time a client asks you to lower your fee, or drop your price, take a deep breath and say this:

“I’m sorry, but I can’t do that.” (If reciting this phrase makes you feel queasy, say it standing in front of a mirror, repeatedly, until the feel-ing goes away.)

Then explain why: “Our policy on this issue is that it would be unethical for us to charge

our clients different prices for the same amount of value.”

Believe me, they will understand, because you are absolutely right. They will also re-spect you for standing your ground.

Of course, we still have the issue of a dif-ference between where your buyer is (what they want to spend) and where you are (what your current price is). Once you’ve established this by asking, “How far apart are we?” go back to your initial recommen-dation and look for ways to alter the initial solution in a way that serves to get the price to a point of mutual agreement.

By doing this, you avoid compromising your margins. In other words, you will be paid what you are supposed to be paid based on

It Ought To Be Illegal continued from page 7

what is being purchased.

If the two conditions discussed earlier are in place – that they want to buy, and don’t feel your asking price is unreasonable – in most cases you will end up with a win-win trans-action. This means that the buyer gets a fair and equitable solution at a fair price, and you were appropriately paid for your time and ef-fort.

I’m confident that someday it will be illegal for buyers to stick their hand in your pocket and take your income. In the meantime, you must take the law into your own hands. Up-grade your negotiating skills and keep more of what is rightfully yours. After all, you earned it.

Based in Charlotte, North Carolina, Landy Chase, MBA, CSP is an expert who specializes in speaking to corporations and associations on advanced professional selling and sales man-agement skills. For more information, visit his website at www.landychase.com or call (800) 370-8026.

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Super Conference Sept. 23-25, 2010: Plan now for a great conference in 2010. IFPA will join with SAPA in Nashville, Tennessee at the beautiful Hilton Downtown. We selected a hotel right in the heart of downtown, located next to the Country Music Hall of Fame. You will experience the energetic, unique nightlife as well as a trip to the Gaylord Opryland Hotel if you haven’t been there before. You’ll sample some

Conference Schedulesof the best the South has to offer as well as an educational, entertaining, and exciting schedule of events. Now, more than ever, you’ll benefit from attending this upcoming conference. Call Douglas Fry at 1-800-334-0649 for more info.

Community Papers of New England - May 22 & 23, 2010: Douglas Fry, our executive director, will train the folks up in New England on all things digital. There will probably be other speakers but do they really matter? CPNE’s annual Spring Conference and Trade Show will be held at the Marriott Providence Downtown Hotel. For more information contact Lynn Duval at 1.877.423.6399 or email her at [email protected].

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Exceeding Expectations working with you every step of the way

We truly believe in a partnership and this begins before

your job ever enters our plant. We offer consultation on

file preparation and design needs such as color balance,

photo retouching, etc.

This service is free of charge and offered at any time.

• Coldset Web Printing

• Electronic Prepress

• Expert Consulting

• In-house Finishing

Southeastern Advertising Publishers Association



STA M P TA X I D E N T I F I E D A S NUMBER ONE ISSUE FACING MAILERS

Each year the Postal Service is required to pay over $7 billion into the Federal Treasury to fund current and future retiree health benefits. In reports issued by the Office of Inspector General (OIG), the Postal Regulatory Commission (PRC), and the Hay Group, these annual payments have been found excessive or unjustified. When mailers compute the amount of their postal payments required to help fund this debt, the total equals a “stamp tax” of over 7% built into the postal rates mailers are paying today and will need to pay in the future.

The issue of the retiree health funding has been identified as the number one issue facing the Postal Service and postal stakeholders.

On January 28, 2010, PostCom convened a Leadership Summit where PostCom members and association representatives were invited to come together to discuss the top issues facing the Postal Service. The list of participants read like an alphabet soup of mailers with representatives from bankers, business catalog mailers, parcel shippers, DMA, advertising distributors, printers, envelope manufacturers,

individual mailers, SMC and others.

The number one issue topping everyone’s list of top five concerns was the pre-funding of postal retiree health costs. During, and after, the meeting association leaders discussed the importance of taking this issue to the Hill and developing materials that can be used in communications with the nation’s postal policy makers.

The momentum to take action on this issue was continued by PostCom in its February Board meeting. The Board of Directors unanimously passed this resolution to stop the stamp tax:

PostCom should propose and pursue a permanent correction and elimination of the annual USPS Retiree Health Benefit payment. The OIG report, Hay and PRC reports all document that postal payers have been overcharged. The annual health cost payment is pushing the USPS to cut services and shift costs to ratepayers when it is not necessary. It is a stamp tax on postal payers. PostCom should urge its members and other postal associations and stakeholders to ask Congress to:

* Recognize that the USPS and ratepayers have overpaid the Federal Treasury for postal pension obligations that arose then the Postal Service was part of the Federal

Government.

* This over pay ment has f ul ly or substantially satisfied the Postal Service’s retiree health costs obligations.

* Congress should stop this stamp tax by recalculating the over-funding of the pension obligations and reduce or eliminate the annual retiree health cost payment.

The impact of the stamp tax on the Postal Service’s health and future was a topic for discussion in a public forum meeting conducted in late February by the Postal Regulatory Commission and in comments filed with the Commission in proceedings considering the Postal Service’s annual compliance report.

On February 23, 2010, the Saturation Mailers Coalition filed comments with the PRC that described the financial stability of the Postal Service as the most critical issue facing the Postal Service, the Commission, mail users and postal workers. The comments stressed that with the exception of 2009, where the recession induced a decline in postal volumes and revenues, the Postal Service’s financial problems and hemorrhaging was caused by the “mammoth obligations imposed on it for the funding of retiree benefits a staggering $7 billion annually.” SMC describes the Postal Service’s financial woes as “result of legacy costs inequitably imposed on the Postal Service and its ratepayers, resulting in a huge overfunding of retiree obligations that is a tax that has undermined the efficacy of the Postal

The Stamp Tax#1 Issue

Justin Gerena, President, Director of Salesp: 888.592.3212 x710e: [email protected]

JB Multimedia, Inc. P.O. Box 704 N. Bellmore, NY 11710 888.592.3212 phone/fax www.jbmultimedia.net

M a k i n g p u b l i c a t i o n s i n t e r a c t i v e.

continued on page 11



Service as a communications medium and brought it to the brink of insolvency.”

SMC urged the Commission to thoroughly review the issue of over-funding of the Postal Service’s pension and retiree health obligations and to use its authority under the Postal Reform Act to inform and educate Congress about of the status of the postal system and the Commission’s assessment of the rationality and impact of these excessive funding obligations.

Although the Commission cannot make or change the law, the Commission could make recommendations for legislative reform to correct the overfunding in order to maintain the postal system as a vital national communications medium.

Hopefully, the PRC will add its important voice to the voice of industry leaders in shedding light on the “stamp tax” and asking that the Postal Service and postal ratepayers be relieved from this unjust and inequitable burden.

in·san·i·ty [in-san’-i-te]

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We’re pleased to share that the PaperChain Purl/Eblast won a Silver Addy Award. The ad campaign was the one where PaperChain mailed a personalized 3 panel brochure and directed the agencies and media buyers to a website to register for a gift card. They had to respond in order to receive a Starbucks gift card. The emails and contact information that were accumulated will be used for future marketing efforts. The ADDY awards are the advertising industry’s largest and most representative competition, recognizing creative excellence and the very best advertising worldwide. The ADDY Awards competition is unique because it includes three rigorous levels of judging: local, regional, and national/international. It is the only creative awards program administered by the advertising industry for the industry. PaperChain won a local Silver Addy and will be entered into the regional level. The marketing committee is working on a project that will increase

Report

exposure for the various association-classified networks. D & G, the ad agency working with PaperChain, was able to locate a company that can provide an email list of companies that advertise in our classified networks. This means that PaperChain will be able to contact these companies electronically and send them an electronic post card explaining and directing them to the PaperChain website that has a listing of all the various associations. From there the media buyer can contact the individual associations to place a buy in any of the free paper classified networks. The classified ads for March of Dimes are running in most if not all of the networks. This is building awareness about the various free paper classified networks while supporting a worthwhile cause. Many of the March For Babies walks will be taking place in a month or so. Now is a great time to for PaperChain to be promoting this cause with the classified networks. This is the first time that PaperChain has used the power of our combined classified networks to promote anything. This is truly a national effort. We hope to gain significant recognition from March of Dimes for our effort. Thank you to everyone who stopped by the PaperChain booth at the AFCP conference in Tucson to check their paper’s SRDS listings. This is so important that PaperChain will be doing it again at the IFPA conference in September. Making sure your contact information is correct is the only way a media buyer can contact you when placing a media buy.

8 8 8 - N o w a t a 1www.NowataPrinting.comH a r r i s o n , A R | N o w a t a , O K | S p r i n g f i e l d , M O

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What is your overall satisfaction with Nowata Printing Company?

We’ve been asking our customers the same question—and we’re real happy with the feedback. It’s loyalty like this that is helping us become the most complete resource for shoppers, newspapers, inserts, flyers, and catalogs, in the midwest. Give us a call to see how our numbers can help improve yours.

8 8 8 - N o w a t a 1www.NowataPrinting .com

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2010 May

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