Predicting what 2008 will bring is tricky business. It’s an election year, housing is moving on from sellers-market denial, credit card debt continues to eat away at our economic stability, the U.S. dollar has seen better days, old media continues to fight the once-good fight while new media prepares for all-out infiltration and conglomerate air time is continually consumed by the Writer’s Guild strike and Britney Smears instead of our troops.

Armageddon? Not yet. As far as I can tell, turmoil breeds panic for the timid and intrigue for everyone else. The business climate, depending on the business, is at once volatile and filled with opportunity. I see the upcoming two years as less of an end to a decade than a precursor to the incredible shifts that will take place beginning in 2010. Virtual living and working will cause person-to-person business to make room for better online practices and philosophies. To be truly successful in the Web 2.whatever, businesses must synergize online and offline activities. Your business’ relationships, revenue and mojo depend on it. Enough about the decade, let’s just focus on 2008 for now.

Below are WallFly’s top three predictions for the upcoming year. I have to admit they are a mix of prediction and hope. Maybe I should have called them “Business-Fulfilling Prophecies” instead?

Recession Schmession

Smart companies will improve relationships, not business plans.

I’m not suggesting you avoid streamlining. We’re all making measured decisions with our cash flow. Just last week I considered not sending out a business mailer for the holiday season. Instead I opted to spend less money at Panera and wait until the new year to hit Staples.

Move your numbers around all you want but if you’re not taking time out to do the following, you are losing ground with clients: a) connecting with your clients on a regular basis (phone, mail, email or events) to increase opportunity for more interaction b) learning when, why and how your current clients interact with you, and applying that knowledge to improving your value and c) feeding your positioning with a menu of competitive activity, impending growth and your customer’s changing climate.

We all know that getting a client takes double the effort versus convincing a happy client to stay, so why do companies continue to neglect clients in the off-season of interaction? Think about your best personal relationships and what makes them tick. Making someone happy in a relationship 90% of the time requires improving their life every day (i.e., taking out the garbage) versus buying an expensive gift one day out of the year (i.e., buying an iPhone). Next time you consider dumping all of your marketing dollars into a big trade show, think about the low-budget things you can do to reach out to clients throughout the year: start a monthly newsletter, make quality control phone calls, talk about how other clients benefit from you, make in-person annual visits or even send out a short quarterly email that shares info on upcoming developments.

Ecomm Grows Up

Utility will emerge from 80 gazillion social media apps.

I’ve seen some pretty useless Facebook applications - from starting a virtual snowball fight to getting hugged by a zombie. How do these strides in web development improve your business? They won’t. But they will change the way users interact with the web and that’s what you need notice. Once users start expecting things from the online world, they want it from everyone - a streamlined user experience, content that takes into account context and a site that understands the concept of easy.

The massive amount of activity taking place among developers for Facebook and now Google’s universal app platform will both increase the size of our kids’ behinds as they play less soccer (or play more virtual soccer) and generate technologies that users will want to see everywhere. If you have a website, start paying attention to the activities happening online. You don’t have to apply them all but you have to understand how it will affect your clients. I’ve advised some clients to skip blogging because it didn’t make sense for them. It’s not about jumping on the latest, new technology - it’s about understanding how all new technology is driving the way we do business.

Marketing Gets Stuck

New media will drive marketing. The stories that stick, win.

I was wondering when some smart marketing guy would take Chris Anderson’s Long Tail and extend it by applying it to branding. The smart marketing guy is Mohammed Iqbal and the essay is The Elongating Tail of Brand Communication, as found on ChangeThis.

One-hit wonders are not only increasingly rare in this climate of targeted success, aiming for them is the same as denying the tastes of various music fans. We are a culture of choice and highly personal demand. One size does not fit all and this philosophy applies to both your products or service and your brand position.

I recently discovered this in my research for finding a market for a Connecticut coworking space, Group88, that I will help manage in 2008. Some of the area professionals liked the idea of getting out of their home-based office to meet with other folks while others had no need for networking at all (I think there’s always a need for networking but I’m partial to the practice). You can’t be all things to all people so don’t even try. You can, however, choose the primary values of your positioning that appeals to your variety of customers. Using new media channels to test an idea and then kill it or expand it will yield higher results than picking one thing and crossing your fingers that it will stick. Don’t egg your basket - add crates and buckets and other things to put all your eggs into.

I have never been tempted to drag myself out of a post-Thanksgiving coma to mingle with the early morning freaks on Black Friday. But darn that Kohl’s if they didn’t have the best deal on digital photo frames. So, there I was, pulling into Kohl’s at 4:15 a.m., and under my droopy eyelids I suddenly notice not 1, 2 or 3 but like 8-10 women strolling out of the store with purchases in hand. The store had only been open for 15 minutes! These gals must have been camped out since 2 a.m. and, obviously, knew exactly what they wanted - my digital photo frame. Dang it!

I parked the car, in the second back lot since the first was a complete nightmare, and strolled into the store. After finding the empty shelf that was home to my digital photo frame and catching a glimpse of the frenzy throughout the store, I split. I then strolled over to Best Buy, which was opening at 5 a.m., and got in the line about 300 people deep. A guy in front of me told another guy that he’d need a ticket or he’d be forced to wait outside and, by the way, they weren’t giving out tickets anymore. Back to the car I went. I’ll spare you the details of the rest of my day, which I now call Black-Eye Friday, for the elbow-throwing crazies who will do anything to grab the biggest deal first.

Have we totally lost our minds? Retailers are pointing to high fuel prices (which are definitely a factor but not always a deal breaker) and the mortgage crunch for pre-blame commentary on how they will have a tough holiday season. Dozens of surveys and reports such as this one by U.S. News predict consumers will tighten their belts and spend less than we have in the past 5 years. Fooey! It’s not the holidays we should be worried about. Consumers won’t spend less between now and December 25. They’ll just jack up their plastic and then, starting January 1, try to figure out how to pay for it. And that’s when we’ll all be in trouble.

I don’t think we’ll have an all-out recession (plus, who am I to predict such things?), but I do think that businesses will be tightening up in every area: resources, marketing, advertising, overhead, employee benefits and anything that isn’t instantly reflective of the bottom line. You will see tons more businesses investing marketing dollars in online within the next two years. This isn’t difficult to predict based on the recent growth in trends and the Googlization of advertising, but I believe more businesses will be open to online for basic cost-saving factors. As long as they can be sure of the return and, with online, tracking the return is as easy as a few clicks and a scan of the data.

You can take all the surveys you want that will predict a slow in spending, and they might be true, but I’m less concerned with the economical effects of not buying Johnny an iPhone in Christmas 2007 versus the after-effects of a nervous economy that breeds less investing and ostrich-like spending in 2008 and beyond.

Last week I was fortunate to have presented to XCellR8, part of the Connecticut Growth Network, an eclectic mix of technology start-ups, academia, reps from the state, VCers and consultants. After a shaky start, literally . . . (I stupidly skipped breakfast and wore shoes that crunched a broken left toe, sparking nausea and a blood sugar drop that almost landed me on the floor - I wish I were kidding) . . . my very patient, considerate crowd and I tackled a few topics on brand synergy and top online and offline marketing channels for pocket-friendly budgets.

If I could redo the hour, I would’ve focused it more on the area of high-return marketing channels. Brand synergy is important stuff, particularly for companies looking to build loyalty and find a competitive voice, but this group needs more “what can I do right now that won’t kill my budget” options. So, here are three areas that I believe hatchling start-ups should contemplate, keeping in mind that each business requires unique strategies:

Strategize, Don’t Agonize

During the discussion, the group expressed a few pain points that need further discussion. In particular:

“My business is not ready for marketing.”

RESPONSE A: If you’ve got a website and/or clients, you’re already marketing. The trick is focusing those energies to ensure the right message gets to the right markets and leads to more clients.

RESPONSE B: Remember that commercial that showed a start-up company’s excitement turn to panic as they launched their website and then watched purchase orders pile up into the millions? Never happens. I’m not saying that you shouldn’t have your infrastructure in place before you reach out to the world, but avoiding marketing because you think you’ll be bombarded with clients that you have to turn away is causing you to miss opportunities. Building a product (or service or organization) and marketing it are joined at the hip. While you are building, you should be marketing. This doesn’t mean printing flyers or hiring a PR guy. It does mean engaging your market on the groundfloor to grow your audience, learn from them and then reach out to places where there are more of them. More tips on what marketing to tackle first are coming up.

“My clients don’t live online.”

RESPONSE: Are you sure? Call them and find out. Spend a few hours to reach out personally to clients and ask them questions about their challenges, the benefits you’ve been able to provide, how you can make it better, where they spend their time, publications they read, what types of programs they’d participate in and how they prefer to interact with you (email, print, etc.). When you have this information, compile it into a spreadsheet and compare notes among the clients based on their industry, purchase history and other defining features. This knowledge will help you finetune the channels you use to reach out, what you say and how often. By calling, you have also just made yourself top-of-mind with a client who was thinking about solving a production line problem or how they could improve efficiency. You never know where conversations can lead.

“My background is tech-based and I can’t afford to hire out for marketing or I only want to spend XXX, where do I invest?”

RESPONSE: Consider setting a budget, even if it’s only $500 and pick one or two initiatives. Based on what you know about your current clientele, target efforts that make sense for your business and what your audience is willing to do. Some ideas include: starting a referral program with clients or building a “beta or advisory group” of select clients where they give you feedback on your product/service in exchange for giving them something they can use (access to you, discounts, etc.). If you’re going to spend your money in online advertising, first find out how your current clients found you. Get the keywords they used, who mentioned you or, if cold calling, what sold it on the phone. Google Adwords (and the like) are cheap but worthless if you don’t use them wisely and keep an eagle on eye on their return. I believe, for start-ups, you’ll get more leverage out of building unique content and generating PR buzz.

Every business is different and requires a unique, tactical approach that aligns with your business strategy. If you’re starting out, focus marketing efforts on areas that get you noticed, provide the biggest return and allow you to be agile. You are testing the waters of what works, how to best market yourself and where to find your audience. Where you spend your time and money now will become building blocks for your brand’s unique value and will set the stage for bigger marketing initiatives.

Become A Resource

These days, out of sight ensures out of mind. Depending on where your audience lives, online or offline, reach out with unique content or activities that sparks more interaction with you and adds value to their day. Here are some ideas:

1) One Paragraph Tips. Spend an hour and write out 5-6 different paragraphs on using your product/service, business ideas, ways other clients have been successful and dos and don’ts. Use this content to post on your homepage (and in your blog if you have one) and email to clients in a quick “Tip of the Week” type email, always linking back to your site for them to read the archived tips. When you run low, sit down for another hour and write out 5-6 more.

COSTS: If you can easily post items on your website and can manage email campaigns, this will cost you 3-5% of your time per week. If you need to pay your web developer to do this for you (yuck - that will add up!), it will cost you a few hours of their time per week.

2) Get Out There. Conferences and seminars always need speakers. Find outlets where your audience is future clients, not just colleagues. The key here is to use the opportunity as networking and leveraging. Before your talk, announce your appearance to clients and encourage them to join you. Maybe a client you’re very close with will want to help you present and give their view from the in-industry side? Be sure to follow-up with clients after the event with a recounting of the experience that includes what you learned at the conference and trends to watch.

COSTS: Again, your time is required on all aspects: putting the presentation together, participating in the event and reaching out to clients and prospects. Make sure the investment is worth it by ensuring the audience is within your target market and that buzz you create around the event will engage your current clientele.

3) Pitch It. I realize that not everyone is comfortable with talking to the media or don’t even know how to go about it. Getting major PR does require connections and a savvy PR guy or gal who can make it happen. However, media is always scrambling for fresh stories. Especially in these days of constant content when they have paper and/or a website to fill and a narrower audience base to reach. When you reach out to a publication, have a game plan. Give them a story idea that fits their audience and makes their publication look like they’re on the cutting edge. Maybe you and a client are working on an unusual project or maybe you see a trend in your industry that no one else is catching on to. The goal is to a) get published for visibility and b) use that publicity as a conversation starter with clients and prospects.

COSTS: This requires more time with gathering a list of media outlets, writing press releases and/or pitches. Consider contacting me for a free needs assessment. If you’ve got a budget for this, I can work with it. If you have a zero budget, I can give you more ideas of things you can do yourself - just be prepared to invest time that may take you away from your core business. How do you like how I did that – I pitched myself in a post on pitching. See how easy it is?!