As I was going through email last week, I read that just since March 2010, the top 25 consulting firms have published more than 400 new thought leadership pieces. If you add what other firms and individuals published in the same period, you've got a seriously crowded market for new information.

Sometimes, it seems as though consultants adhere to the "more is better" rule. Firms keep cranking out articles, white papers, and surveys. Yet some complain that their efforts often go unnoticed. Their solution: publish more. Maybe the marketers believe that if you sling enough stuff against the wall, something will eventually stick.

With demand for services perking up, it's a great time to get into the market with the essential ideas you've already developed. I'm not suggesting that you abandon your goal of being a thought leader in your field.

Instead, I'm saying that to reap the value from your efforts, you have to do more than just toss more jetsam into the sea of thought leadership; you must engage directly with your clients on your ideas. After all, a good idea isn't really worth much until someone makes use of it.

Before you write that next article or white paper, ask yourself two questions: First, have I done enough to help clients understand the ideas I've already developed for them? And second, what is my strategy for engaging with clients and getting their feedback once I put this new article out there?

It's getting harder and harder to get clients' attention. If your strategy is to simply add more to an already-flooded market, don't expect anything better than mediocre results.

Enjoy this month's issue.
And send me an email if you have comments.

Michael McLaughlin
Editor

For the first time since August 2008, the MCNews 12 Index edged above its benchmark value of 1,000, finally pulling out of the mini-slump that started at the first of this year.

In spite of that progress, some MCNews 12 Index firms are struggling to catch the wave of the stock market momentum. Navigant, CSC, Hewitt, and Satyam executives find their stock prices lagging the market, even though demand for client services is picking up.

Though not all the global economic news is good, companies in the S+P 500 Index reported 76 percent higher operating earnings than a year ago. Consumer confidence is bouncing back, and even the beleaguered auto companies are showing signs of life. It's true that almost any financial results would look good when compared to last year's performance, but the economy is also showing strength in other areas.

Consumer spending has risen for five straight months, retail sales are growing, and people are spending--on restaurants, cruises, and appliances--in spite of an anemic housing market and a grim employment picture.

In fact, there's even a glimmer of hope on the US employment front. The number of Americans filing claims for unemployment benefits dropped for a second consecutive time last week, leading some to speculate that the job market is slowly getting off its back. It's too soon to be sure of that, though, as employment figures have been on a roller coaster ride for some time now.

With the apparent rebound of manufacturers, retailers, and financial services, it wouldn't be surprising to see a surge in demand for professional services. Like those consumers who couldn't put off replacing that decrepit refrigerator any longer, clients should also be exploring how to fund deferred projects. And that should translate into more work for professional services providers.

Learn more about the MCNews 12 Index

These days, presenting, meeting, and working in the virtual world are expected. But connecting with an online audience has its challenges. We asked webinar expert, Roger Courville, for a few tips on how to approach and succeed in this new presentation environment.

McLaughlin: What's the most common misconception about presenting in a virtual manner, as opposed to in person?

Courville: Misconception number one is that you don't need to adapt your presentation approach to a new medium. Studying communications teaches that the medium of communication changes the way messages are sent and received.

This is obvious when you think about telling a story in a book versus a movie; the discipline of telling the same story is different for each medium. It's less obvious when you think about making a presentation in a web session because you're speaking and using PowerPoint.

McLaughlin: Is that because you can't see your audience?

Courville: Exactly. But that is thinking about, "What I lose" instead of, "What are the tradeoffs." If you focus only on the fact that you lose body language or other aspects of in-person communications, presenting virtually will forever be a "poor alternative" instead of an "option with new opportunities."

Presenting virtually gains you the huge benefit of extending your reach with audio-visual communications, and it adds the flexibility and power of influence that only comes with a live connection between presenters and audiences.

McLaughlin: Is there a good technique for improving audience engagement and getting feedback on how the audience is receiving your message?

Courville: Web seminar solutions have all kinds of tools built in, including polls, attention meters, and so on. I coach people to start in one place: If you do nothing else, get familiar with the Q&A or chat capability AND (and this is a big and), figure out how to monitor it in real time.

McLaughlin: You mean instead of waiting until the end of the presentation for questions?

Courville: Yes. The goal is to figure out how to connect as naturally with people online as off. With an in-person event, we do this by responding when we see a hand go up, right? If you can't see a "hand up," you can’t respond and your audience engagement level goes down. It's like becoming a pilot...you have to learn to fly by sight and by your instruments.

McLaughlin: If you could give just one piece of advice about becoming an effective virtual presenter, what would it be?

Courville: Plan how you're going to interact and rehearse it. Use a poll, stop for questions in the middle of your presentation, use a moderator, plan a spontaneous question, and even plant one if it helps.

And give yourself a grace period. Remember a time when you hopped into an unfamiliar car, went to turn on the lights and the windshield wipers start flapping? Presenting online isn't hard; it's just different. Never wing it...that's a recipe for sub-par performance online or off.

Roger Courville is the author of The Virtual Presenter’s Handbook. He is also co-founder and principal of 1080 Group, LLC, a consulting firm that helps clients to design and optimize web seminar programs. You can reach him at +1.503.329.1662 or roger@1080group.com.

It's rare to meet a successful consultant with really poor communication skills, especially when it comes to presentations. I know--there are lots of exceptions. Like you, I've slept through my share of consultants' speeches.

Let's just say there is always room for improvement for all of us. Fortunately, the market is full of first-rate resources to help you become an outstanding presenter. This month, I've compiled an Amazon list of ten books that will help you become a better communicator, whether you're in front of room full of people or a small audience.

Have a look at this list, and feel free to send me your best recommendations for additions.

Ask any consultant about the importance of client relationships to the success of a practice and you'll hear a predictable response: they are essential. Many firms take a systematic approach to relationship building and have embraced account-based marketing for selected clients.

Account-based marketing (ABM), which is loosely defined as allocating time, people, and money to specified clients for a more consistent stream of business from them, works for firms that know what they're doing.

Consultants at Altera Group looked closely at the use of ABM across a range of service firms and reported that:

• 97 percent said ABM had either a somewhat higher or much higher ROI than other marketing initiatives.
• 84 percent said ABM provided significant benefits in retaining and expanding existing client relationships.

In spite of that potential, it's always proven difficult for firm executives to make the transition from a purely opportunistic sales strategy to an account-based management process. Most consultants are comfortable teeing up sales leads and projects from whatever sources they can find. But a true account-based marketing program demands discipline, patience, and commitment, and isn't right for everyone.

So, before you jump into an ABM strategy, consider these three points:

1. The best account managers are specialists in their area of expertise. The account manager must bring something of value to the client relationship. Otherwise, the client will view that individual only as a salesperson. In an ABM relationship, that's the kiss of death.

2. Firm leaders need patience. Some firms don't see a real return on their investment in relationships for months or even years. Every account manager needs a clear set of goals and accountability guidelines for the relationship. And those goals may be very different from others in the practice. Also, in spite of what you may think, a consultant doesn't necessarily have all of the skills to manage a strategic account just by virtue of having managed client projects. Account managers need new tools, education, and strategies to succeed.

3. Choose strategic accounts carefully. Before you commit to an ABM strategy for a specific client, be sure you have a decent shot at success. Some clients don't want strategic relationships with anyone. Others may seem like candidates for ABM, but may not be. You'll want to assess the client's interest in establishing deeper relationships with your firm, the likely demand for services over time, and the extent of the investment you'll make to create a mutually beneficial relationship.

Under the right circumstances, firms can be very successful targeting specific clients. What's less certain is whether firm leaders have the patience to let relationships build to a profitable point. Often, it takes longer and is harder than they think.

It's become common to hear about widespread identity theft and hackers infiltrating sensitive information systems. Even though it's impossible to know how many hackers are lurking in the cyber shadows, it certainly seems like the problem is on the rise.

For consultants, who must routinely dole out their personal information to facilitate travel, make purchases for clients, and manage their businesses, identity theft looms as a potentially crippling problem. That's why it was especially alarming to read a recent study of 5,550 businesses by Accenture on the issue of data privacy and security.

According to the study, nearly 75 percent of organizations claim they have adequate policies in place to protect sensitive personal information. Yet more than half have lost sensitive data within the past two years. What's worse, almost 60 percent of those organizations acknowledge that data loss is an ongoing problem.

The study goes on to report that the biggest causes of data loss are internal--not the result of some vast hacker conspiracy to steal people’s personal data. For example, business or system failures (57 percent) and employee negligence or errors (48 percent) were cited most often as the source of the breaches. Cyber crime was cited as the cause of only 18 percent of security breaches.

Maybe you've already confronted the specter of identity theft and have taken steps to protect yourself. If not, you should revisit how you've secured your personal information. Why? Because the companies you're handing that data over to aren't doing a very good job of safeguarding it for you.

"Many widely referred businesses do very little when it comes to traditional advertising and lead generation."

Our next guest will be John Jantsch, the author of Duct Tape Marketing. His new book is The Referral Engine: Teaching Your Business to Market Itself.

We'll ask Jantsch for some practical ideas to help you build a powerful, reliable referral engine for your business.

Look for the next issue of Management Consulting News on June 1, 2010.