Is Your Business Ready For Podcasting?

Could podcasting -- currently mainly an ancillary service promoted by mainstream media types -- become a small business tool? If so, how, exactly, can podcasting make a substantive contribution to the bottom line?

Podcasting is a term to describe the producing of audio content and the delivery of that content via an RSS feed. It's downloaded by users from a Web site onto devices like PCs or MP3 players (such as an iPod). Small business entrepreneurs are often first-adopters of such cutting-edge technology because they are generally more willing to take risks, to shake out bugs and, basically, to give something new a shot. But the term "podcasting" brings to mind two disparate images: One, of professional broadcasters (ala Rush Limbaugh) who are offering high-quality podcasts to boost their offerings to Web site subscribers, and two, of this century's equivalent of CB radio operators. So can a business case be made for podcasting? Experts seem to think so.

Rick Wootten, director of eBusiness at SonicWall, is not looking at podcasting as a chance to become a cult figure in the land of iPods. Rather, he sees podcasting as a strategic way to get his company, and his company's clients, out in front of customers. He's careful to note that SonicWall is not using podcasting to promote specific products, but, rather, the company's overall expertise in Internet security.

"We are creating podcasts to showcase our experts in the field; we're not promoting specific products," says Wootten. "We take a question-and-answer approach. A customer comes on with a problem and a SonicWall executive discusses solutions. It's really an expert showcase." He says the approach offers a better, longer-lasting value for his marketing dollar than focusing on a specific product that becomes out of date within 18 to 24 months. "The investment I make in promoting our top executives gives a halo effect to all our products. We're getting out in front of people and showing the intelligence of our executives...these podcasts will demonstrate SonicWall is a thought leader in our industry."

Training ApplicationsThe company is also looking at podcasting for its resellers as an alternative to group training sessions. The idea is to make new product information available for download by its VARs on SonicWall's Web site. "Most of our VARs are on the go. This is so much better for them, they can listen wherever," Wootten says. "They're able to get what they need when they want to listen. It's much more cost effective than a conference." Plus, SonicWall hopes to lead by example, by illustrating to its solution providers -- many of which are small businesses -- that there's a business case for podcasting. SonicWall encourages its VARs to produce regular podcasts as a way of branding themselves as Internet security experts.

SonicWall's podcasts are currently in the works, and the company expects to spend $5,000 to $6,000 to produce each professionally. The podcasts will work together with marketing and advertising to solidify the "expert" image the company is striving for. Wootten notes that the company has "a tighter ad plan than in years past. This will be tied in closer to online and print advertising; online, we will have more educational material."

Small Investment, Big Payoff

But while SonicWall is spending a fair amount of money on each podcast, that doesn't mean the endeavor has to be a costly one. Tim Bourquin, founder and CEO of TNC New Media, notes that a small business can start creating its first podcasts after investing just $25 in a computer microphone and by downloading free audio software, such as Audacity. The most important aspect of podcasting for small businesses, he says, is to focus on getting a company's name out there, not to have the best-produced podcast. "I think that podcasting is not radio, so it doesn't need to be super polished," Bourquin explains. "But it can't be so bad that you can't understand it. You don't need to be Larry King, but you need to be good."

Just what does good mean? Experts say that while a "homey" quality to a podcast is OK, it's important not to be hokey. The main goal is to get positive word out about your company or product. "Small businesses can effectively use podcasting as a communications tool...For example, the local coffee shop can do a podcast on different types of coffee," says Bourquin. Once again, the idea is getting the company's name as top-of-mind for potential customers, rather than selling the product outright. "Podcasting puts a personal face on business. The more customers know you, the more apt they are to be loyal."In addition, some small businesses are finding they can actually profit from promoting their own businesses by selling ads on their podcasts. "Selling advertising can subsidize cost of podcasting," says Chandresh Shah, director of marketing and sales at Click and Buy. "If you decide to get fancy, you might spend thousands of dollars producing professional-quality podcasts. So you might get advertisers to subsidize that cost by selling spots [of advertising]." Asking other companies to advertise to support your product may at first seem counterintuitive, but Shah says such cross marketing can be very effective. "For example, say I have a business helping people collect payments on the Internet. If I want to show merchants how to maximize revenue on the Internet, I can produce a series of podcasts on that topic," says Shah. "And, if I want to sell spots on the podcast, I could allow Visa [for example] to advertise." In essence, you are promoting a symbiotic relationship with an advertiser, while collecting some revenue, he says.

Another way of offsetting costs is to charge site visitors a fee to listen to podcasts. That can be accomplished through a subscription model, where you deliver the podcast to the subscriber via e-mail, or on a pay-per-use basis. Consultants, for example, could make use of this type of set-up. Shah advises a small monthly subscription rate, say $10, if you are confident you can produce "shows" on a regular schedule. "Commit to doing this on a regular basis. Otherwise, you won't attract an audience." says Andy Carvin, coordinator of Digital Divide Network, an online community of more than 8,000 contributors. "Don't step into it lightly. Do it periodically, and put yourself on a schedule; say, the first week of every month you'll deliver a podcast. Create an expectation with your audience and then fulfill it."

Stuck for topics? Think just a little bit outside the box: A car dealer could discuss car nostalgia with the president of a local car club; a gourmet food store owner could interview a nutritionist. "All you have to do is be creative in positioning your knowledge of the area of your expertise," says Shah. Also, short and sweet is generally the way to go, he says: "These should not be more than 10 minutes. We're not talking about producing a radio show... Six to seven minutes is ideal...talk about value and advice, and remember, this is not a sales pitch. Offer tips."

Tips For Success

Potential podcasters should keep in mind the following before sitting in front of their $25 microphones.First, be professional, but not stuffy. "Have fun with it," says Carvin. "Get people interested. Don't just hear your own voice."

Position yourself as an expert, then live up to it. Be creative in your topics, and never, ever just push products. No one will download the podcast if you do that, which will mean you'll have wasted time (and time is money) producing something no one wants.

Finally, remember that podcasting is a great way to disseminate training among your employees. You might offer the iPods free, with the understanding that they are responsible for downloading the training required. That can be a cost-effective option, particularly if the alternative is paying for offsite training.

Podcasting is an emerging technology in the businessworld, and its potential is just being realized. By adding a podcast to your site, visitors will not only see your business as embracing technology, but also as a company interested in communicating with all its potential customers.

Jennifer Bosavage is a freelance journalist residing in Huntington, NY. Reach her at [email protected].0