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BY JUDIE FRAMAN
Innovation and Entrepreneurial Spirit Lead the Path for Industry Pioneer
Diane Buzzeo realized early on that she was not cut out to be a retailer, and in 1980 she closed the doors to her Iowa music supply store. By 1982, her entrepreneurial spirit lead her to pursue a new business direction. From starting a new business with less than $100 to becoming a leader in the direct commerce industry, Buzzeo’s business journey has been one of innovation, determination and success.
With a background in musical supply, but not wanting to continue the retail path, Buzzeo found a logical fit. She began a musical instrument mail order catalog. “I remember when I was standing in front of a Coke vending machine,” Buzzeo said. “I put in 50 cents to get a Coke, and then I took it back. I only had $56 and 50 cents is 50 cents. I needed every cent for the postage to mail the catalogue.”
Results from her initial catalog were encouraging. Armed with a loan from a friend and determined to grow her business, Buzzeo purchased one of the first Apple computers created specifically for desktop publishing. It paid off. The catalog’s second edition mailings topped 30,000 pieces.
At the time Buzzeo began her small start up catalog business, the direct marketing industry was in its beginnings. Innovations were taking place and expanding the industry. With one successful business under way, Buzzeo seized this opportunity and partnered with a former employer to create one of the nation’s fastest growing, most successful direct mail retailers in the industry – American Musical Supply (AMS).
Confident with AMS’s success and realizing the potential the direct commerce industry had to offer, Buzzeo again took another path and branched out in 1986 to create Marketing Concepts in Spicer, Minnesota. Beginning with revenues of $100,000, Buzzeo has turned Marketing Concepts into a highly successful firm with two locations, over 100 employees, and annual revenues of $5 million.
The Minnesota office of the Small Business Administration (SBA) recently named Buzzeo the Woman Business Owner of the Year. The SBA also honored her at the regional level, as well. From a company that began with one employee to a company with customers across the country, Marketing Concepts has been successful in its wide offering of business solutions. Marketing Concepts provides clients with direct commerce services such as a contact center, web design and programming, search engine optimization and internet marketing, consulting, and software products. In addition, Marketing Concepts Ability Software products support and enhance existing e-commerce and order management systems.
Over the years Buzzeo has been extremely involved and committed to the Spicer community. From 1991 to 1995, she served on the Spicer City Council. She has been a board member of the Spicer Chamber of Commerce, and served as its President from 1986 to 1988.
Marketing Concepts’ Minnesota office employs over 80 professionals and houses a full service Contact Center that provides 24/7 phone, email, live chat and credit services to their national catalog and web site customers. Creative and graphic specialists, administrative personnel, information technology team, as well as marketing, product programming, and support members are based at the Spicer, Minnesota location.
Strong Minnesota ties, and an unwillingness to part with her exceptional workforce, have kept Buzzeo committed to building the high-tech job market in her Spicer location, despite the challenge of serving an increasingly global marketplace from rural Minnesota. Buzzeo found a unique solution to this challenge by opening a second location, Marketing Concepts South in Delray Beach, Florida, to serve as a sales and training center.
Sunny weather, easy access to three major airports, and proximity to a large high-tech market make the Florida location a perfect complement to the Minnesota office. Clients, business contacts and marketing professionals can be conveniently brought on-site in Florida to close a sale, share knowledge, or begin a Marketing Concepts career. Once the business relationship is created face-to-face in Delray Beach, much of the production work can continue in the Spicer office.
Buzzeo continues to grow her business in both locations and is dedicated to her communities, her employees, business growth and educating her clients about ways to use the services they need for maximum success. She also enjoys helping others follow their entrepreneurial path, and she works with groups that serve women business owners and the community at large. Her desire to assist others in their journey to business ownership led her to become the originator and initial contributor of the Women’s Business Revolving Loan Fund, which has grown to a regional small business fund.
She admits that she could quit working today, if she chose. “But nothing gives me greater pleasure than when an employee tells me they bought a new house, or drives up in a new car,” she said. “These people are family and I enjoy working with my great team, and providing them a good lifestyle in exchange for their hard work.”
And for those who want to start their own company, Buzzeo advises, “Grab your bootstraps girl and get going. If I can create a multi-million dollar company and employ 140 really smart people by starting with $56 in my pocket, so can anyone.”
Buzzeo attributes several factors to the success of transitioning from an industry pioneer to remaining a key innovator within the industry. One important factor is catering to each individual company’s needs. Marketing Concepts does not follow a one solution fits all approach. Because of its extensive collection of solutions, Marketing Concepts is able to tailor customized programs and new product software to meet the differing and unique needs of each company it works with.
“The flexibility and range of services Marketing Concepts provides allows our customers to select from traditional direct marketing services to e-business solutions,” says Buzzeo. “Whether clients are looking for service solutions or software solutions, we offer the products, support and expertise to fulfill our clients’ needs,” she adds.
Everything has not been easy for Buzzeo since denying herself that soda more than 20 years ago. “Continuing to sustain and even grow during bad economic times has made me realize my strengths,” Buzzeo said. “We survived the bust of the dot coms, and when the catalogue industry tanked after September 11, 2001. To come out of that even stronger made me realize I’m a good manager.”
And she says that recognizing her weaknesses has always been easy. “I have so many of them,” she says sincerely, “so I surround myself with such smart people. That was a huge growth thing for me. Originally, I hired the type of people that I felt I could afford to do the job to get it done. But to bring the company to an entirely different level, salary-wise, I had to pay more and understand the value of those people.
“To grow, you need to go out and find people that are the best at what they do and give up that part of management to them. Really empower them and you’ll change your life, and theirs.”
Buzzeo has been honored with numerous other awards for her professional and volunteer work including: the Earl B. Olson Entrepreneurial Spirit Award (2001), Employer of the Year Award from the Minnesota Business and Professional Women (BPW), the Excellence in Business Award from the Southwest Minnesota Initiative Fund. In 1990, 1991, 1993 and 1995 she received the Mid-Minnesota Enterprise, Building the Kandiyohi County of the Future Award from the Kandiyohi County Economic Development Partnership, Inc. This organization also recognized Buzzeo for her work with the Women’s Revolving Loan Fund Program in 1996.
Buzzeo’s business journey has taken her from a pioneer in the fledgling world of direct marketing to an innovator and leader within the industry for more than two decades. Her vision has expanded Marketing Concepts’ offerings to create a company with a diverse range of products to offering complete solutions for its customers.
“When you own the company, that money is coming out of your pocket,” Buzzeo said. “You have to believe with all your heart that your management and employees can do the job, and then you have to stand back and let them do it.”
Marketing Concepts has been a leader in the direct commerce industry for over 20 years. By offering technology, marketing, operations, e-commerce, and software solutions, Marketing Concepts has the knowledge and tools to grow businesses in today’s challenging global marketplace.
Judie Framan is senior editor of Enterprising Women.
(This article is reprinted from the Summer 2005 edition of Enterprising Women magazine. Copyright 2005 Enterprising Women Inc. Reproduction in whole or part is prohibited, except by express permission of the publisher.)
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