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Scaling Your Business: Insights from Digital Marketing Expert Natalia Chappell
Episode 22519th July 2024 • Bring Your Product Idea to Life • Vicki Weinberg
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How do you know when you are ready to scale your product business? That’s the topic of today’s discussion with our guest, Natalia Chappell. Natalia is a digital marketing specialist with over 10 years of experience in the luxury fashion and lifestyle industry. She helps brands scale up by balancing free and paid channels to achieve top-line growth and a healthy bottom line.

In this episode, Natalia explains what scaling up means, how to determine if your business is ready to scale, and practical strategies for sustainable growth. We explore key indicators of readiness, such as identifying where growth is stalling, increasing average customer spend, and attracting new customers. Additionally, we discuss the importance of adapting to new platforms like TikTok Shop and the rise of experiential marketing.

The Bring Your Product Idea to Life Podcast  - Best Business Podcast Award, Independent Podcast Awards 2023


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This episode is proudly sponsored by my own book - Bring Your Product Idea to Life

Have you ever had a great idea for a product? Or does creating a product to sell appeal to you? Where do you begin? How do you come up with a product idea? Or, if you have an idea, how do you know if it’s even viable?

In Bring Your Product Idea to Life, I take you through the process of creating your product, step-by-step. From developing your product idea, to finding suppliers and launching your product we cover it all.

The book includes advice on how to price your product, where to sell it and how to find out if anyone will actually buy it. Designed to help you make real progress, Bring Your Product to Life is both practical and motivational.

Every chapter includes clear action steps, so you know exactly what to do and when. This isn’t just a book for reading - this is a book for doing.

https://www.amazon.co.uk/dp/1399954180

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My membership, Amazon Made Easy is now open. It’s a membership for people who are selling on Amazon (or planning to) and want regular access to support, somewhere to ask questions and talk things through, and a bit of structure and accountability as they grow. Inside, there are live Q&A calls, optional co-working sessions and a small, supportive community. Find out more: https://vickiweinberg.com/membership

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Transcripts

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Welcome to the bring your product idea to Life podcast.

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This is the podcast for you if you're getting started selling products or if you'd

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like to create your own product to sell. I'm Vicki Weinberg, a product

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creation coach and Amazon expert. Every week I share friendly,

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practical advice as well as inspirational stories from small businesses.

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Let's get started.

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Hi. So today on the podcast, I'm speaking with Natalia Chappell.

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Natalia is a digital marketing specialist with over ten years experience within the

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luxury, fashion and lifestyle industry. She helps brands scale up

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through finding a balance between free and paid channel mixes that deliver top

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line growth and a healthy bottom line. So Natalia is on the podcast

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today to talk about scaling up. She's explained what scaling up

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means when you know you're ready for your business to scale and the

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practical things that you can do to grow your sales in a sustainable

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way. So I would love now to introduce you to Natalia.

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So hi. Thank you so much for being here. Thank you so much for

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having me. So, can we start with you? Please give an introduction to yourself,

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your business and what you do. Of course.

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So I'm Natalia and I've got over ten years experience

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in digital marketing, primarily focusing

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in luxury, fashion and lifestyle, as that's where

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I have recently left at

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THD where I was heading up the marketing team. And now I am

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a marketing digital specialist doing

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consultancy and freelance, which has been very exciting and a

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big journey. But I have spent the

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past many years working with household name

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brands from Rixxo, Gannii,

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some of this candy brands, all the way to La Crueset and other

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brands as well as menswear Represent and some other ones,

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and focusing on digital marketing as well as actually doing some

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offline moments too. So a bit of an octopus,

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as some may say, and really kind of focusing

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on bringing the business revenue as well as making

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sure that that's very efficient. And I sort of try and focus

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on that free to page channel mix and making sure that that's really,

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really healthy. And I know we'll talk on that in the episode,

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but that's sort of my bread and butter to make sure that a business

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is healthy in driving that revenue stream through

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marketing channel means. Thank you so much for

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introduction, Natalia. So I have invited you on here to talk

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about scaling up. So what does scaling up

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mean for you? I think for me it means,

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you know, understanding that you as a

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business owner, as someone who has produced

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a product or done a service, is sort of ready

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to drive that increment, not just the

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incremental revenue but really go beyond that and it being

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extremely profitable and scalable to the point where you

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are driving more revenue beyond the money that you're

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spending. And I think that so many businesses coming

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out of COVID have really, really seen a huge opportunity

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where you can bring product to life, to customers by

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having pop ups and doing things that are taken away from

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that. Just being a digital business and really, actually

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continuing to drive that awareness so that you scale up

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through driving quite a substantial revenue stream to

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your business and awareness, but actually a really, really

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profitable and efficient way of being.

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That's kind of what I always think of

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when I talk about scaling up. Thank you. So part of it

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definitely sounds like it's about maybe doing more things or doing more

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of certain things and doing things differently as well. So I guess it

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encompasses lots of different things. Yeah. Thank

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you. So before I ask you, okay, what are the things that we could be

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doing more of differently, etcetera, let's start with how would

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you know when your business is ready to scale up? Because

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obviously some of us are in the startup phase and

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that's obviously different. How do you know when you've reached a point where,

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okay, now I should be thinking about scaling up? So I really

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think that, you know, analyzing your business and really

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looking at the data and the numbers, they might not be the sort

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of coolest of things to do, but we absolutely have to do those to

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recognize what the numbers are telling us and the data, and

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it can be really top line and basic really doesn't have

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to be overly complicated, but really

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where you feel that you are growing, but maybe

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it's a bit of a stagnant way and

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really thinking, okay, you're getting a consistent but stagnant stream

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of traffic, of leads,

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of revenue, and really thinking, okay, I'm ready now

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to take it up a notch and really continue to

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accelerate it. That's where a lot of businesses

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will be at that stage where you're not just

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going from zero to 100, you've already

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gone through the finding your feet and having

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relatively small numbers and sort of being ready

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to inject a little bit of marketing spent into it

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or whatever it may be that is required for you to

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actually take it up there to drive that sort of

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revenue stream through. Thank you. So it sounds

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like this is when you're through the startup phase. You're at a point where you're

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getting consistent sales, whatever level that might be,

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but you're not really seeing growth. You're seeing perhaps sales

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you're happy with, but there's no growth month on

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month. Perhaps you're sort of, I don't know if ticking over is the right way

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of saying it. I think I look at it as that sort of

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consistent but stagnant. I think that stagnant word is something that you

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feel as though you are sort of seeing every month

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because of wherever those leads are coming

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through and that sales are coming through, you are seeing it being consistent

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but not just growing at double digit growth and so on,

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where you can really think, okay, I need to

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accelerate this. That's definitely how I would say a business

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recognizes that they are ready because whatever it is that you're offering

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the customers, they're coming back and, you know,

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they're definitely finding your product and your business and wanting

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to or are in need of that

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product, but you're somehow not just getting it in front of

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enough people. And I think that's when you recognize that actually you need

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to, you know, you're ready to scale up your business.

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Makes a lot of sense, but it sounds like at that point, you know that

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your business is viable, so you're making enough sales that, you know, yes, people like

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my product. Yes, it's, it's good. But as you say, you're just not getting

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it in front of enough people. So that's a really nice way of thinking about

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it. So if we identify, okay, we're ready to

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scale up, what kind of areas should we be focusing on

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when we're looking to scale? So I would say that there's a

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couple of areas that you should

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absolutely look at as a starting point. You know, you should recognize

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that as a business, you will

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have enough data to be able to unpick it and

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recognize where your strengths and perhaps some

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weaknesses are. That's sort of my starting point

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of, okay, you know, what is the traffic that I'm getting?

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What is the sales? What is my av. Of my product

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and therefore, what is my conversion? And from then on,

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you are able to really forecast, I

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suppose, on what you would anticipate for that

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growth to be, and then you

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understand where that is coming from. So you can

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then say, okay, right, how many new customers versus perhaps returning

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customers do I have? And so what the balance is there?

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Am I getting more returning customers? If so, fantastic

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people are coming back and getting my product time and time again. I need to

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go and find more of those people and acquire them and make them

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into returning customers. We all know that the more

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returning customers we have, the more profitable the businesses.

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So it's extremely important that we recognize that as an opportunity

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because it gets us that incremental revenue. And what it does do

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is allows us to spend more money on acquiring those customers, which is sort

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of the dream way of doing any business. And so it's

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really understanding what is that balance between both? You

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know, am I just acquiring new customers and

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not really retaining? And that can be fine if your business

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isn't really one that customers don't often come back. But

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then is that an opportunity to, you know, potentially think of

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a product whereby you can come back for

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something later down the line and those look, windows will be different for

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every business. You know, a customer may come back. If it's something

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that's replenishable. Customers will come back more frequently, of course.

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And so that's definitely the second piece, I would say that's really quite

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important. Test and learn. Very

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passionate about that one. I think it's extremely important that

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as any business, however big or small

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you are, you continue to really, really test and

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learn. And it can be a really small scale. It

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doesn't have to be huge because you will hopefully always get

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enough of any data that will pinpoint you to understand

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whether it was a successful campaign or whether your email you

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sent out was worthwhile or whether you should do something

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and continue to test. I absolutely think that any business that

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doesn't do it becomes complacent quite quickly and

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because you do something and aren't really looking

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at understanding why you worked or didn't.

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So I absolutely feel extremely passionate about that.

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And I think that that's a really, really important one. And I suppose another

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one that I think for a lot of digital businesses out there, you

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know, Shopify is amazing. It's allowed us to take the product

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to customers and it's a really seamless experience. But

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what we often forget is that coming out of COVID people

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love experiential stuff and it can

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be really quite simple. It doesn't have to be expensive,

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but, you know, the kiosks, the things that are

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pop ups, they are really, really growing. And it's quite a huge

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trend in marketing and it is something that people,

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we thrive to be able to go and see and it can just be a

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stand in somewhere in London or at an event. And it

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really is important that you take that product, physical

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product, if you are offering that as a business to

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customers, you can get to chat to people. It's a really good way of getting

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feedback there and they're on the spot and it's a nice way of

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bringing that piece of something

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that you're offering to a physical experience as well.

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So these would be my sort of takeaways for

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scaling up and really kind of driving your business

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forward. That makes a lot of sense. Thank you. And coming back

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to one of the first things you said about data, I think,

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yeah, that's really important, isn't it? Because I think if you don't know your numbers,

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you don't really know where you're starting. And I suppose coming back to my question

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about what do you focus on? Knowing the numbers will probably give you an

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indication of where it is to focus your efforts. So, for

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example, I'm thinking that sometimes I work with clients,

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for example, who, the number of people actually looking

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at their product pages is very, very good, but the conversion rate is

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low. So that obviously gives you an area to be focusing

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on because why they're coming to your page. Brilliant. Why aren't they

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buying? And then you can sort of start looking into what needs to be done

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differently. Yeah, absolutely. And to your point

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there, more and more

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businesses recognize that the product description page is

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actually where the customer lands more likely than on your

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homepage. Why is that? Because a lot of the

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marketing activity that can be done online can be done through

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PPC, through order retailers as well. And

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so often when you've made the decision that you're looking for a product

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and then you're typing it up and happened to land on something,

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absolutely must make sure that that product description page is really,

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really there to encourage the customer to convert. And I

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always think of it as a way of, you know, you walked into

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a store and there's nobody there to greet you or ask

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whether they can help you with whatever you're looking for.

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So naturally, if there isn't a good service, you'll just come back,

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turn around and walk back out. And that's what happens with those.

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And until you analyze it, you won't know where

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that difficulty is because actually you could be spending

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all the money on marketing, driving traffic to your website. But if it's

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not converting to your point before then,

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you need to be recognizing that either you're spending

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money on targeting the wrong amount of the wrong

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people and therefore you're misleading them with a product that maybe

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is too high for them to want to spend. So what your marketing

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spend is at this point actually not worth

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the money, and then they land on your site, see the

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product, aren't interested because it's too high of a

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price point and bounce back. And then you realize actually

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that causes damage to your organic rankings because Google

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recognizes that you're getting quite a lot of people to site, but

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they aren't converting, which would suggest that that is not a

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product of relevance to them. So there can be quite

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a lot of damages and tangles if you're not doing it right. So

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absolutely always making sure that you look at the data to then understand

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what you need to do next is really, really vital for your business.

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And that sounds like that applies to the data for any advertising you

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might be doing as well. And

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how would a business recognize whether,

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where and how to advertise? I suppose I think some

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businesses that I work with, they don't start thinking about

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advertising until they're ready to scale up. So maybe the sales and

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traffic they're getting so far is organic. And then they get to a point where

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they think, okay, we can now afford to put some money behind marketing because

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we've hit a level where that was viable. Where would you suggest

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someone that starts. So I would

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be, I mean, look, I have,

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you know, I really love the fact that channel specialists

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are there to be able to say, you know, I'll come in and

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just do paid social. And often you

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have people that just say, I'll just do pR. But actually

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it's really important that as a business you recognize that it isn't

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just one channel that will drive your business. And

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I really feel strongly about looking at things in a

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holistic and a 360 approach. It's really

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important that you balance it out. You know, anyone can say great, we'll

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spend 1000 pounds on paid social every month, but that

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might actually in the end break your business because you

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are just getting revenue stream through that 1000 pound and

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that's all you rely on. You really have to balance out that free to

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paid channel mix. And to your point about there may

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be organic traffic and organic revenue stream that a

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business is getting, that's great and that should definitely be

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something that you continue to accelerate. And so

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understanding that at smaller scale, if you did

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paid social and you start small and then you

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continue to grow it, I always think that looking at things from

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a lower level and conversion, it's really,

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really good because you're looking at a customer who's

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shown an intent on purchasing and it could be

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as simple as setting up a retargeting campaign on your paid

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social and therefore anybody who's visited your

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site but hasn't yet converted you are just targeting

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those users because they've already shown unintended that they are

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willing to purchase your product but may not be ready because

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it was mid month that they looked at you and payday isn't quite

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yet happened. Or it could just be that they're

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interested in it, but they need to do a little bit more research. If you

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do that retargeting piece, which is relatively

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simple to execute, it would then mean that hopefully you

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will convert them. But thinking, do I spend

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100 pound on that versus 100 pound

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on just looking at getting new people to site?

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Well, I definitely would spend that 100 pounds on retargeting because

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otherwise you're getting loads of traffic. But unless your email

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database is big, where people have signed up and you can get

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them to sell to convert, then it is a

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lot more difficult at that stage. So whatever stage you are at

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as a business, you've really got to recognize that

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maybe small spend volumes where it's

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not too risky. And getting those people to convert would

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allow you to drive incremental revenue and hopefully therefore you can kind of,

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you know, continue to upscale it in driving that little bit of

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traffic too. That's really helpful. Thank

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you. And you mentioned as well that as well as, say, paid. So sure. You

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should also be thinking about PR and looking at things

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holistically. What's the reason for that, Natalia? Because I

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think a lot of people might be listening and thinking, oh gosh, I've only got

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time to do one thing. Why do

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you believe that we should be focusing on the whole piece?

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Because for a sustainable business, or for a business

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to be sustainable, you need to recognize that

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your sort of ability to

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scale up at a rate where you can really, really grow on

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top of it is to make sure that you're not just relying

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on one source of aspects, income. You know,

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really you're strategizing it in

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different means. And so, you know, there's no point spending

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5000 pounds. This is extremely high. But, you know,

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sort of saying we will get our products in every single magazine

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from a PR point of view and in front of every press

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individual who will write an article. But then you land on site

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and the website is rubbish and no person wants to convert because it doesn't

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marry up. Your website doesn't marry up to whatever, you know,

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the magazine looks. You have to make sure you do

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both. Same with, you know, if you're then landing

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loads of people on site, but you're not looking at retargeting

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them and really going after the user behavior there through

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your, you know, your paid social, then that feels

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like almost a wasted investment because you've got that

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person landed on site, but you're not quite ready to chase

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them, to get them to convert. Similarly, if you just relied

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on, for example, affiliates, you know, a

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really, really well converted channel, because

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you get somebody a discount code, and in this day and age,

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when the economy is looking a little bit more

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tricky, everyone is feeling the pinch. So naturally

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a discount will convert. But if you just did

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affiliates and that was your full channel mix, then

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that is not sustainable. And there will be a point where you hit the glass

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ceiling because you've just got customers that you've acquired,

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you've spent money on, but they're not willing to come back and buy with

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you again because you've taught them that the only way of coming to you

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is by discount. So you've got to really balance this out.

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Similarly with email, you need to continue to grow your database and speak

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to your customers. And I understand it feels really overwhelming and

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I'm sure everyone's listening and thinking, wouldn't we all wish we had more hours in

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the day? And I hear it and I think

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that's why you absolutely have to prioritize, which is why we're going

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back to that data piece as well. What is it that your data is

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telling you and where can you have those quick wins? But balancing this

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out for that holistic channel mix will really help you to

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think, okay, well, let's prioritize this this month and then next

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month. Always great to have 30 days worth of

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data because it feels enough for you to have some tangible

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results and then you can do it bit by bit. It doesn't all have to

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be done suddenly at once, but it certainly does keep you

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busy. And, you know, I admire everyone who is trying

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to do a couple of channels at a time, but that will

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always give you a much more sustained and

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longevity in your business. Thank you. That makes a lot of

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sense. And I think as well, a lot of what you're suggesting are things

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that might take work and time initially,

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but then ongoing, not

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saying it's done. Like, for example, getting your website up to scratch

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if it's not already. Yes, that's a lot of work. But once it's done, that's

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something you don't have to be thinking about, not every day, of course. You still

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need to be keeping an eye on the data. And the same with,

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I guess, lots of types of marketing campaign. It takes a bit of work to

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set up and test, but once they're working for you again, you can't just

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set them and forget them. But I think a lot of the work is kind

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of in the front end of things, isn't it? So once things are

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running, there's a lot more maintenance, which takes a little bit

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less time and thought as well. Yes, I think,

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yeah, absolutely. You've really summarized it very well. And we think about

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influencers and content creators and

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UGC, which is kind of becoming quite big on TikTok as

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well. And you think, well, of course, to start with, to

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encourage somebody to potentially talk about the product

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that you sell may be a little bit more tricky. But

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as you grow with that, and if it's a really nice and

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effective way of getting new customers, and it has been proven to be

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much more authentic in getting new customers, which is why it's

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grown so substantially over the past couple of years,

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somebody else who is a content creator will see

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that so and so is producing, you know, is making

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that content. And you will then actually get people reaching out to you to say,

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I'd love to get involved in this. So, you know, to your

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point, absolutely. There is an initial setup of a

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little bit of time and effort, but as you get going, it's then small

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tweaks that you need to be making and it hopefully will always grow

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legs and continue to get better.

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Thank you. And so just got a few more questions before we

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wrap up, if that's okay. So once you're starting, you're

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starting to scale up.

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This might sound a really silly question, but I'm going to ask it anyway because

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I like to ask the silly questions. And once you start scaling up

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and seeing different, is it something you can always be building upon?

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I'm assuming that scaling up isn't something that happens once. I'm assuming we can always

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be scaling what we have. Yeah, so

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absolutely. You know, scaling up, you just need to keep

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adding on top of it and recognizing that

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it's okay if something doesn't work. I always think of it as, you

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know, people think failure is the worst thing that can

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happen, but actually what it does do, it's allowing you

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to take the moment to think what isn't working.

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We all love the growth and if we can get double digit growth every

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month, we will love the fact that that

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is the best thing thats happened to our business. But what we dont tend to

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do is take the moment to think what we could be doing

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differently. And so it kind of goes back to that test and learn point again,

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that no matter how well you feel your business is growing,

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taking the time to test and learn to recognise that maybe

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you need to introduce a new product or that you need to

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adjust your offering ever so slightly to continue to

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accelerate. And businesses always evolve,

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and those that don't are, unfortunately, the ones that are in

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a bigger risk of becoming complacent and

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unfortunately not being around. And that's what

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I think digital really, really offers for all of us. But

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also, let's not forget that you have to be looking at it from a really,

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really full picture. And so continuing to analyze

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data and adding on whether that's a new

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product introduction or a service is extremely important.

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And yes, for sure, you know, you don't just sort of

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scale up and think there isn't anything beyond that. But naturally, that

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might be growing legs sort of sideways

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rather than outwards. That makes sense. And

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I think, as well, coming back to what you were saying earlier about TikTok, there

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will always be new opportunities as well, because I would say five, maybe five years

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ago, I couldn't put a time on it. I don't think many people

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were selling products via TikTok, or maybe they were, but I don't think it's as

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big as it is now. And so I guess that's something else

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to consider as well. And I don't. I'm not talking about jumping on every bandwagon,

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but what I mean is, I'm sure that as time goes on, the opportunities

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will be different, will grow, there'll be channels that become more popular, less popular.

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I mean, you spoke earlier about how face to face and getting your product in

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front of customers in pop ups at the moment is a bit of a trend.

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Hopefully that will always be a bit of a trend, because I think there's something

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really nice about getting your products in front of people.

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But presumably these things will change. So even if you feel you're doing

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very, very well, there will always be other opportunities.

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Absolutely. And yes, you know, you

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can't be so, so set in your waist, too, that you say, well,

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TikTok isn't for me. If you're a business owner,

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no matter your age, you must be willing to try

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that new platform. If you're not on it yourself, it's a lot

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more difficult to recognize what the trends are. And to

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your point, absolutely no advert business. The

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next trend is relevant for. We've got

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tennis court. That's a huge trend at the moment. You think,

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well, I'm not selling anything that's tennis related, but

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actually, how is it that it taps into so

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many different people's lifestyles? Because

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it's not just about somebody going and playing tennis and you selling the tennis

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balls or a racket or piece of clothing. It

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encompasses a whole idea of where does that customer go?

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What do they do, how do they behave? What do they like to

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buy, cook, and which shops they shop in? And

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it's that whole piece about thinking just beyond that trend.

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Wellness is obviously really huge. People are really,

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really into running at the moment. You see all of that all

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over TikTok. If you have a product that you may not

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thought your product is, you know,

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is doing extremely well and you find your niche, well, how about

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you try on TikTok shop? Because actually that's where your audience is. And

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it's really, really, really crucial to your point to understand that you're always

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staying on top of it because there are always new things that are coming

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up. Marketing is ever changing. Digital marketing

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is hugely vast, and if you're not willing to stay on top of

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it, then again, you will fall behind quite quickly. And I get it, it's

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overwhelming. You know, I wasn't on

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TikTok recently. People still think it's just about

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dancing. It absolutely isn't. There's so little of that,

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and it's very different to Instagram. So you have to be

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recognizing that the strengths that are there on those new platforms that are up

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and coming is something that you're willing to try for your business.

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Because if you don't try it, you want to know if it works.

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And if it doesn't work, that's okay. You move on to something else and go

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back to sort of your roots. But it is really, really

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important that you continue to stay on top of things. That's

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really good advice. Thank you. And actually, after a long time of resisting, by

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the time this podcast goes out, I think I should be on TikTok.

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Yeah, I haven't posted anything, but I will. That's my. My goal

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for this year is to just embrace it, because I think you're right.

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You know, you can tell yourself, I'm too old. I don't want to learn another

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thing. But actually, it's just excuses, and we

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all learn plenty of other things as we go along.

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Absolutely. And I'm really, you know, I'm excited to hear you say this

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because I'm really passionate about people sort of willing to try new

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things. I think you step out of your comfort zone and putting

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yourself out there, whether you may just to start with music

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for the people's information is great. And I personally

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have found a lot of informative information

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there, and I now use it as a little bit of a search

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engine. They have said that it's become

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the new SEO for people typing in the best places

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to visit in Barcelona. And why? Because it's authentic. You

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don't find yourself on a website where you feel like, well, you're definitely

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not going to get that room. And yes, it poses risks to

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businesses that aren't willing to adapt. So thinking

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quite widely there, if I was booking.com, i definitely would be thinking,

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okay, how can we tap into where those people are looking for

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now? Because that's what you should be doing. And I think always as a

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business, you must be adapting. So I'm very excited to

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see and hear that you are going to be on TikTok, and I

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absolutely will be giving you a follow and supporting

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you along the way as well. It's a bit of a journey and you

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do find yourselves crawling quite a lot and it becomes addictive.

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But it's great. I love it. Amazing. Thank you.

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And thank you so much for all you've shared. Natalia, I have one final question

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before we finish, which is, what would your number one piece of advice

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be for a business that's ready to start scaling up?

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I feel like I've said it quite a few times, and so

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I feel extremely passionate about

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testing and learning. I really do. Look at your data

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I used many times before

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an analogy of Lego, and it's a picture

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of how to build a house with your

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data. And it's a really, really

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important thing to do, because without it, you're not able to

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understand what's working for your business and what is in, and if it is

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working, how you can accelerate it. And if it is, what

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have you learned from? I suppose, the failure

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and how can you adapt to do new things

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for your business? Because ultimately, you want to continue to drive

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and accelerate and succeed. And that without test and

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learn, I don't think you are able to ever do that. That would be my

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biggest piece of advice. Look at your data and test and

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learn with everything because that's when you'll find your strengths and

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continue to accelerate those. That's brilliant. Thank you. And,

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you know, I think when things are important, it is worth saying them more than

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one time as well, because I think that is a really important

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thing for people to hear. So thank you. Thank you for everything you've shared.

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No, thank you so much for having me. And, yeah, I'm looking

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forward to seeing you on TikTok. Thank

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you. Thank you so much for listening. Right to

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the end of this episode. Episode. Do remember that you can get the full back

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catalog and lots of free resources on my website,

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vickywineberg.com. please do remember to rate em review this

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episode if you've enjoyed it, and also share it with a friend who you think

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might find it useful. Thank you again and see you next week.

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