Relying on its marketing expertise in high-tech business and healthcare information systems and the contagion of word-of-mouth referrals, Atlanta- based Abovo Marketing Group recently celebrated its one-year anniversary with agency income of more than $655,000 on billings of more than $1.1 million. Exceeding the million-dollar mark within its first year is like hitting the lottery for Karen See, the agency's founder and president, who originally projected billings of $300,000.
The agency's lightning speed growth can partly be attributed to being at the right place at the right time. It fills a highly narrow but profitable marketing void in high-tech and healthcare information systems for startups and young companies.
These two categories are among the most profitable areas for marketing and PR professionals, according to Larry Marshall of the executive search firm Marshall Consultants with offices in New York and Malibu, Calif. His study, published in HPRMN's Salary Survey issue, Nov. 12, 1998, found marketing executives in high-tech and healthcare command annual salaries of more than $300,000.
Four-Step Marketing Strategy
As a new agency, Abovo is commanding mutual respect from its clients who are also startups and relatively new players in their product category by using a four-step strategy for developing marketing programs. The four-step strategy, which involves discovery, planning, implementing and a review process establishes the framework for budget allocation, targeted message development, market research and communication tools.
This marketing approach is what established an immediate agency-client "chemistry" for Avio Corp., an Orlando-based healthcare technology firm and one of Abovo's first clients.
Avio enlisted the agency's counsel when it was still housed in the basement of See's home and there were only two other marketers on the team: Paula Londe, marketing coordinator and Nancy Joyce, VP of marketing services. Avio, which specializes in developing information systems for large physician practices, looked to Abovo to overhaul its marketing image.
The branding campaign, which involved positioning Avio as a one-stop shop for clinical information systems, relied on market research and de-emphasizing the company's technical benefits. The latter aspect of the campaign was a major departure from Avio's previous marketing approach that played up its high-tech competitive edge, says Brad Dodge, Avio's director of marketing.
The bottom line that Abovo brought to Avio's attention was that while technological innovations are important, physicians are more important with exceptional customer service - a marketing void that Avio's competitors had not adequately addressed.
To support its new "world-class customer service" positioning, Abovo helped to launch a fully integrated marketing campaign that included ads in at least 14 trade magazines, interactive exhibits in about 10 trade shows and marketing collateral (media kits, press releases, catalogues).
Fast Growth=Daunting Challenge
As a new company working with a new agency, the pros outweigh the cons because both companies are fast-thinking, aggressive and rely on a hands-on marketing approach that involves top-tier executives, says Dodge.
The biggest downside in working with a new agency is limited staffing resources, particularly when the client needs to address unanticipated market changes. "If we need to respond quickly to competitors with counter [marketing] programs, these new efforts can over tax the resources of a new agency," says Dodge, referring specifically to mid-campaign market research, tweaking marketing messages and launching last-minute PR initiative.
While Abovo's incredible growth is an exciting coup it can also be a daunting challenge. To keep its competitive edge sharp, the agency has to continue to land top marketing talent with seasoned high-tech, healthcare information systems communications expertise. In addition, the agency is so new that the executives it hires have to be willing to "wing it" and keep open minds, because job descriptions need to remain flexible to address a broad range of marcom needs, says See.
For now, the agency's focus isn't on further expansion but maintaining its current client business. In fact, it hasn't aggressively pitched new business yet. However, its word-of-mouth momentum continues to grow.
Recently, the agency was invited to submit a proposal by Atlanta city planners for a technology marketing project. Abovo will be the only new kid on the block, competing with agency heavyhitters like Ketchum and Golin Harris.
(Abovo Marketing Group, Karen See, 404/459-9300, ext. 202; Avio Corp., Brad Dodge, 407/667-4232)
Abovo Marketing Group
Headquarters: Atlanta
President/Founder: Karen See
Billings: $1.7 million
# Employees: 12
Healthcare Clients: Avio Corp., Brentwood Medical, Madison Information Technologies