Marketing

The Myth of Selling Without Selling

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It seems like nobody likes sales people (at least when they’re customers), and “sales” seems like a dirty word these days. But it doesn’t have to be that way.

Nothing I can think of sells without selling. Not even candy bars in vending machines.

Let’s explore that thought experiment for a moment. Imagine one of those vending machines with the glass front that allows you to see its contents. In this one, all the merchandise is packaged in identical, completely nondescript containers. Perfectly cube-shaped, unmarked cardboard boxes.

You have no clue what’s inside any of them. Could be anything.

When you happen across this vending machine, what are you going to buy? Will you press A1 or E7?

I’m willing to bet you’ll choose to keep the dollar in your pocket.

Why? Because nothing is being sold. It’s just there. It’s available for sale, but it’s not being sold.

Now let’s imagine the vending machine is in the middle of a sweltering desert. There’s nothing else in sight but sand and scorpions. And you’re getting really, really thirsty.

What do you do now? Remember, you can’t tell what’s in any of those containers. Might be bottled water, or a bag of cheese curls. But since you have that dollar in your pocket, you might take a chance and pick something at random. You desperately need something to drink, and you have no other options. So you take a chance.

Why? Because your thirst is more important, more urgent than your dollar bill.

A Salesman’s Journey

I’ve sold lots of different stuff over the course of my career. Everything from warranties to watches. I loved it. The rush of closing a deal. The battle of wits and wills when overcoming customer objections. The competition between peers and with myself

At one point, I felt like I could sell anything to anyone.

Then, Harry Browne smacked me across the face with his painfully simple, brutally powerful book, The Secret of Selling Anything.

The question is often asked, do salespeople sell, or do customers buy? I always held to the position that salespeople sell. When transactions take place, the success is 90% due to the ability of the salesperson.

Reading Browne’s book, I found out that I was wrong. I was introduced to what Browne referred to as the “universal fallacy:”

“The universal fallacy is the belief that an individual would willingly accept something unprofitable to himself.

“No individual will give up some of his own resources for something he values less. When you think he will, you’re headed for failure. He may very well make an exchange that you would never make — but he will not willingly make an exchange that will lower his values.” (Author’s emphasis)

No one willingly does what she does not want to do.

Jonathan Edwards, considered by many to be the one of the greatest minds in America’s history, had this to say about making decisions: people “always act according to the strongest inclination they have at the moment of choice.”

Edwards is saying that, from the options available to us, we always choose what has the strongest, most desirable emotional impact on our lives in that moment. Period.

Back to the Vending Machine

Let’s put the shoe on the other foot.

If you were responsible for the sale of just ONE of the items in the vending machine, how would you get the guy in the middle of the desert to spend his dollar on your product?

For starters, you’d make sure that he knows it’s a refreshing liquid.

In our example, where does the selling power come from? It comes from the thirst of the guy in the desert.

On the other hand, could you sell salty potato chips to him? I don’t care how good a salesperson you put on that job, he’s not going to have much success.

We see that people buy what they want. Selling is (or at least it should be recognized and treated as) giving people what they want. Helping them satisfy their desires and needs.

With the vending machine, you’re not selling without selling. You’re selling without being obnoxious. There’s a major difference!

Guess what. Your salesmanship is nothing more than increasing the likelihood that your product in that vending machine is the one that gets picked.

The argument isn’t so much whether salespeople sell or customers buy. It’s both! The desire comes from the customer. It is the job of the salesperson or marketer to help the customer make the best decision.

My Talk with Mark Fox

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Yesterday, I had the distinct pleasure of interviewing Mark Fox, CEO of Sly as a Fox, LLC and author of Da Vinci and the 40 Answers. He’s one of the world’s leading experts on the subject of purposeful creativity. Oh, and he is former Chief Engineer on the Space Shuttle.

He enlightened me for 35 minutes and let me record the conversation.

Here’s why it matters to you.

We’ve talked about how improving your offer will improve the response you get from your marketing and sales propositions. Mark gives two of the best examples I’ve ever heard of “better than money back” guarantees. One involves a million dollar payout.

You can definitely learn something from these ideas.

The broader context of our discussion was how to become creative on purpose instead of having to wait for your muse to show up. We’re all well-accustomed to accidental creativity. But what if you could reproduce those times of inspiration predictably, on demand?

You’d start to see problems and obstacles dissolve right before your eyes.

On top of all that, I make a total anus out of myself in the first 5 minutes of the recording. I was so embarrassed I almost canceled the rest of the talk. I’m getting over my pride, because there is some really great content that I think you’ll benefit greatly from hearing. It’s worth the shame.

Check out the audio here.

You don’t want to miss this.

P.S. While you’re at it, you should go to Mark’s site. His is one of the only newsletters I haven’t unsubscribed from. He’s also offering the full text of Da Vinci and the 40 Answers in PDF form for free. No opt-in required.

The One Change that Changes Your Response the Most

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While I was still in school, I always enjoyed math class. I’m feeling a little mathematically inspired right now.

Remember word problems? Let’s work through one together. We’re going to combine two direct marketing axioms to see what we come up with.

#1. “If you want to dramatically increase your response, dramatically improve your offer.” – Axel Andersson

#2. Ed Mayer’s 40-40-20 Rule. Mayer gives us a breakdown of what determines the success or failure of a direct mail package which I’ve found applies to pretty much any marketing message. Simply stated, 40% of the effectiveness of the message depends on the quality of your list. One thing I talk about all the time is understanding your target market so that you can communicate with them in the most compelling way. 40% of the effectiveness comes from the quality of your offer, and 20% from the creative (copy, design) itself.

(Side note: Denny Hatch estimates that the ratio is 70% offer, 10% list, 20% creative for internet direct marketing.)

We see that Andersson and Mayer are really agreed on the point. If you want to get the biggest bang for your buck in response to your marketing efforts, you must improve your offer. Pretend you’re the Godfather and make your customers an offer they can’t refuse. Claude Hopkins said that “The right offer should be so attractive that only a lunatic would say ‘No’.”

Using the same logic and math, you’d get identical or very similar results by improving your list. But taking that approach is less controllable. Once you know your customers really well, there’s not much you can do to improve your list. You can almost always improve your offer. You can nearly always give more.

Don’t tell any of my copywriting colleagues that I’m letting the 40-40-20 Rule out of the bag. According to Mayer, the creative part of your marketing has less effect on response than the other elements. So rather than running out to hire one of us, or trying to rewrite your message yourself, give your offer priority. Then focus on your list of potential buyers. Make sure you’re giving as much as you can profitably offer to an audience whose desires, fears and problems you are increasingly familiar with.

Selling Cash for Profit

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I think I’m in the wrong business…

These guys are selling $2 bills for ten bucks!

I’m not going to talk about the 9/11 World Trade Center “bombing” or “conspiracy” (at least not today). Nor will I address quantitative easing, hyper-inflation or the plummeting value of the American dollar.

I just want to briefly talk about selling $4 worth of money for $10.

Do you believe someone is getting the short end of the stick in this deal? Is someone ripping someone off?

The fact is that this is a mutually profitable transaction for everyone. Both the company selling the bills and those who buy them are getting what they want. The sellers are creating revenue and the buyers are getting commemorative collectibles.

I think everyone knows what they’re getting into in this deal. It’s not like the older brother tricking the younger sibling into trading her dirty, dull quarter for his shiny new penny. Those who make this purchase know they’re paying 2.5 times more than the monetary value of the product.

And they’re happy to do it.

Good copywriters and marketers have been said to “sell money at a discount” to their clients. But I gotta admit, selling NEW money at a marked-up price is somewhat new to me.

Who I Am Not

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“I am what I am and that’s all that I am.” ~ Popyeye the Sailorman

Knowing and embracing your identity is a major aspect of achieving real success. As a matter of fact, understanding who you are, as a human being or as a business, may be the most important step you can take to make sure that you experience success on your own terms. (If being a millionaire is not one of your goals, people may look at you as successful, but that’s someone else’s definition).

If knowing who you are is essential to getting what you want in life, the other side of the coin is acknowledging and accepting who you aren’t. You may not think about it very frequently, but it is something you need to consider. With that in mind, let’s consider this idea from three angles: recognizing 1) who you are not, 2) what your business is not, and 3) who your customers are not. Then acting accordingly.

Who I’m Not

“It is those who concentrate on but one thing at a time who advance in this world. The great man or woman is the one who never steps outside his or her specialty or foolishly dissipates his or her individuality.” – Og Mandino

You’ve probably heard one piece advice more than any other over the course of your life. “Be yourself.” Your parents, teachers and good friends have probably said it on numerous occasions to keep you on the right track. It never gets less true or becomes less valuable.

In the context of this discussion, we can rephrase the statement. Don’t be anyone other than yourself.

Know your goals and aspirations. Don’t be afraid to chase after them or pay high prices to attain them. I’ve said it before, and I think it’s apropos: dreams are never too expensive.

Know your values and morals. Adhere to them no matter what, and be bold in standing up for what you believe. Yes, it will cost you, but integrity is worth it every time. Don’t bow down to pressure to conform to anything that violates your conscience.

Remember that being a copycat is usually a bad idea. Modeling exemplary people is fine, but never surrender your individuality. You are one of a kind.

What My Business Is Not

“When a man’s undivided attention is centered on one object, his mind will constantly be suggesting improvements of value, which would escape him if his brain was occupied by a dozen different subjects at once.

“Many a fortune has slipped through a man’s fingers because he was engaged in too many occupations at a time.”

These are the words of legendary showman P.T. Barnum (from his booklet The Art of Money-Getting). Smart guy.

Think about this: Ferrari doesn’t make family cars. They’re not trying to either. They just make the world’s most iconic sports cars.

Apple is not Microsoft. Neither is Google. Each company likes it that way.

Whether it is explicit (like Whole Foods– no un-wholesome food) or implied, what your business is not matters. What you don’t do makes a difference. This is true for a few reasons.

1) Taking a strong stand for something you’re against will put you on the same “team” as others people with the same opinion. They will more readily relate with you, like you and buy from you.

2) Deciding what you don’t or won’t do will make you a specialist. Being great at one thing or in one area is almost always better (and more profitable) than being decent at several things. Like the brain surgeon. General practitioners are well-paid and highly skilled, but the neurosurgeon can become world-renowned, in-demand and can earn far more than his less specializing peers. Specialists are in a class of their own.

All because they don’t do everything. The key word here is focus.

3) Choosing what you don’t do protects you from wasting time. There are things that you don’t want to do, or don’t do well. Why waste time talking about them with prospective clients? Do you really want to spend your time and energy working something where your results will be less than your best work?

This is very true for me. I am not an artist, graphic designer or HTML expert. It’s good that I know that. I have the can either learn these skills, or avoid situations where they are part of the deal.

It’s also good for potential clients to know, so they don’t have the wrong impression. They can save time knowing that I am not the best choice for every job. I know where I’m gifted, and I’m aware of my limitations.

Your business will see amazing benefits by knowing and making known what you are not and what you abstain from doing.

Who My Customers Are Not

Knowing who you customers are not is huge when it comes to providing them with products and services that they want and need. It will help keep you from creating products that flop. You hear that the foundation of marketing is knowing your customers. Understanding who they are not has great advantages.

Lifetime is “Television for Women.” They know the majority viewers are not men. They don’t try to speak to men. The shows, movies and whatever the heck else they provide is designed for adult women. Similarly, the commercials that run on that channel are designed for female buyers. The people who make the commercials and buy the advertising time slots know who’s watching, too.

When your business is what it is, and isn’t what it isn’t, that fact alone will go along way in determining who your customers are not. You’ll still have to look deeper to find out more. The better you understand your market, the better you’ll be able to serve them. The better you serve them, the greater success you’ll have.

You can think about your target customer in terms of gender (like Lifetime), age (do they still sell Sixteen magazine?), economic status (Rolex and Walmart), and a great number of other distinctives.

Getting to know what your customers are not is part of getting to know them. How well do you know the people you want to sell to?

Succeeding in business is difficult when you’re shooting in the dark. Flip on the light switch by getting in touch with your prospects and customers.
 

Another Judo Move

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There has been some great feedback on my post “5 Judo Moves Every Copywriter Should Know.” If you haven’t read it, please do so. I’m more than 99% sure you’ll be able to get at least one benefit from it.

So, how ’bout a sixth move to add to your judo repertoire?

Ancient Roman poet Ovid said that “Nothing is stronger than habit.” George Santayana is quoted as saying “Habit is stronger than reason.”

So, if you can attach your product or service to a habit that exists in your marketing, you have a tremendous advantage: there’s a force of nature working on your behalf!

For example, you don’t see most cigarette lighter manufacturers do much advertising. They don’t really need to. They’ve attached their product to a habit/addiction. Smokers are going to smoke, and they need matches or lighter to make that happen. All a company has to do is put lighters where smokers can see them, and they’ll sell.

On the other hand, there are companies that create habits around their products or services. What percentage of people buy the same toothpaste every time, without even thinking about it? I bet it’s a pretty high number.

A researcher at Duke University published a paper in 2006 which found that over 40% of the activities we perform every day are habits, not conscious decisions. We’re not nearly as analytical and rational as we like to think we are!

Can you think of any ways you can use the force of habit as one of your best salesmen?

  • Become associated with something your target market already uses habitually.
  • Help your market engage in those habitual behaviors instead of trying to get them to change those habits (which is what a lot of marketing attempts to do)
  • Make it easy to form a habit buying from you.

Why You’re Not Making Any Money Online

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Ryan Healy listed 12 reasons why most people don’t make any money in their internet “businesses.”

If you’re experiencing difficulty getting money flowing online, this will help. You might see yourself here.

Check out 12 Reasons You Can’t Make Your First $50 Online.

The Ophiuchus Effect

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Facebook and Twitter were abuzz this week with rumors that a mysterious 13th sign called Ophiuchus has been added to the zodiac. As the “news” went viral, emotions ran high. You’d have thought that World War III had been declared by the way some people reacted.

Now, I’m not into astrology, but all the commotion surrounding this ordeal can give us some valuable business insight.

Peter Drucker said that “The purpose of business is to create a customer.” No matter what industry you’re in, your product or service is all about people. The dynamic that generated such a strong emotional reaction with so many people can also have a profound impact on your customers and prospects.

What’s Your Sign?

The primary reason for the stir surrounding this topic is that it strikes directly at the way in which many people identify themselves.

The mind automatically moves into self-defense mode when confronted with any perceived threat to one’s view of the world and his place in it. If you’ve ever had a disagreement with someone about religion, politics, or even sports teams, you know this is true.

Many people take their zodiac signs seriously.  Their identification comprises a major part of how they think about themselves and the world around them.

Millions check their horoscopes as part of their daily ritual. Important decisions are often made based on what they read. Every newspaper has an astrology section. And there are countless places to check horoscopes online and even on cell phones.

The idea of changing this way of thinking has proven to be earth-shaking.

Every interested individual is forced to ask the question, “Am I what I have always considered myself to be?”

It’s the same reaction that people have when they find out that they were adopted. Everything they think they know about themselves is challenged.

Putting the ‘Ophiuchus Effect’ to Work

What are the key lessons you can take away from this phenomenon and apply immediately to your business?

1. One’s perception of who he is forms the very foundation of every choice he makes, including purchasing decisions. No one buys from you because of who you are. They buy what they buy because of who they are.

2. The main reason people form connections to certain products, services and brands is because they tie into how they think of themselves.

Apple shines in this area. Their products and services appeal strongly to those who consider themselves to be creative, intelligent, free-spirited and cutting-edge. Apple has created a cult-like following by participating in customers’ self expression.

How do your customers think about themselves? How can you fit your business into these parts of their lives?

3. People are firmly attached to their own personal categories. You need to know how your customers and potential customers categorize themselves. If you don’t know, find out immediately. Think about the way Democrats and Republicans “brand” themselves. The concepts of “liberalism” and “conservatism” carry powerful emotional ties and fierce (often blind) loyalty. You can use the same strategy to build bonds with your audience.

4. It may be possible to create a category for your business, but it is much easier to become associated with what your customers and prospects already love. Tommy Bahama is a good example. The lifestyle of perpetual tropical vacation is one that certain individuals aspire to. Those people will naturally relate to products like the ones that Tommy Bahama offers.

Make a bold statement of who you are as a company. You will attract the kind of customers you want to do business with. Lukewarm relationships will decrease proportionally to the strength and specificity of the stand you take. Instead, you’ll form passionate, long-term relationships.

5.  Affirming the worldview of your customers and connecting with their categories they identify with will help build instant rapport and trust. You are “one of them!” As such, they will feel that they can trust you and relate with you. They believe that you understand them and their needs.

Take time to get to know how your customers view the world. Find ways to affirm their way of thinking. You’ll discover your interactions with them will be more beneficial both for your business and them.

The addition of Ophiuchus to the zodiac may be the latest tall tale, but the emotional reactions are no myth. The psychology is real and powerful. Apply the lessons this event has taught you; your business may never be the same.

Arthur’s Advertising Wars, or Why You Don’t Want to Compete on Price

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You can learn a lot from cartoons. I have 4 kids in the house, so I know.

Marc Brown’s classic cartoon Arthur teaches us a business lesson we should all heed. Competing on price is a losing proposition.

The entire episode is enjoyable, but the business fun starts about 5 minutes in.

So, do you still want to be the low price leader in your field?

5 Ways Twitter Improves Your Writing Skills

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People keep telling me that the internet is making people dumber. To be honest, I don’t know whether or not that’s true. But did you know that Twitter can make you better writer?

If you are purposeful in your how you approach your use of any microblogging platform, there are 5 ways that you can they can skyrocket your writing ability.

1. You learn the value of every word — no, of every character. In writing, especially for marketing and sales, the tighter your message is, the better. When you have only 150 characters to work with, each letter has to earn it’s place. It has to pull it’s weight. This forces you to think carefully about your choice of words.

If you’ve ever gone over the character limit and had to edit your tweet, you know what I’m talking about. “How can I say what I need to say in the allotted space?” You have to be ruthless. If that comma isn’t serving a purpose, it’s gotta go!

2. You begin to break free from some of the “rule” forced on you by your English teachers.  The best writing is the plainest.  How many people do you know that speak with perfect grammar 100% of the time? In my neighborhood (Calumet City, IL, in south suburban Chicago), it’s probably less than 10%.

When you are communicating via the written word, sometimes there’s a desire to be super-formal.  Believe me, that’s not the best way to get your message across to the average audience. Unless you’re talking to English professors…

George Orwell’s sixth rule for good writing is to break any of  his other five rules before ”saying anything outright barbarous.”

Writers need to have the freedom to say what they mean, forsaking the rules when necessary.

3.  You have to learn to communicate in such a way that your reader will understand exactly what you mean. How many people do you know who don’t quite understand this principle? I see plenty of tweets that have no clear meaning, or that can be understood in multiple ways. Thoughtful writers will take the restricted amount of communication space to heighten their concentration. ”How can I eliminate any ambiguity and say what needs to be said so that the message is plainly understood?“

This is great focus training for any writer.

4. You are forced to choose exactly what you want to say.  In an age where noisy chatter is constant, a Twitter message makes you strip your message down to the core. The way it should be. There’s no room to go off on tangents or talk about about non-essentials.

When brevity is required, you see who really knows how to communicate, and who’s just talkin’.

5. Twitter can give you extra writing practice. Tweeting is writing on a small scale. More practice is always a good thing. A high percentage of Twitter users access the social network with their cell phones. So even if you don’t have a pen and paper, you can practice crafting clear, compelling messages.