Business

Mousetraps and Snow Shovels

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Falling snow can bring all kinds of thoughts to mind: Grandma’s hot apple cider, Saturday morning sledding or tackle football at recess in 4th grade.

Snow always makes me think of opportunity.

You can go to bed on a clear night and wake up with a foot of fresh snow on the ground. Suddenly everyone has an urgent need. Cities and towns that aren’t prepared for it shut down altogether. (No chance of that happening here in Chitown!)

But those who are ready with shovels, plows and rock salt can become neighborhood heroes. Some build businesses specifically for times like these.

My shovel saw action for only the second time this winter on Friday. In honor of my poor, neglected tool, I’m going to contort Quote of the Week 65 as follows:

“If a man can make a better snow shovel, the world will make a beaten path to his door.” (On his freshly shoveled sidewalk, no less.)

As you probably noticed, this statement is no truer than Emerson’s quote about mousetraps.

Here are a few things to think about. No matter how good your shovel is

  • People who live on tropical islands aren’t going to buy from you. Inhabitants of desert-like climates will never be your customers
  • Many people will purchase a snow blower instead of your shovel
  • Those who don’t have sidewalks or driveways won’t be very interested in buying from you

… regardless of how strong your marketing is.

Are you concentrating on creating shovel innovations? Or are you focused on helping people handle their snow problems?

Which do you think is the better path to take?

The only thing that compels people to buy snow shovels is snow. The only people that buy snow shovels are people who know they have or will have snow piling up in their yards.

Self-Defense Against Business Hijackers

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Do you own the patent on your product, service or process? If not, you are in danger of being “knocked off” by a competitor at some point. Chances are that they’ll charge less than you for what appears to be a similar offering.

In my January newsletter, I said

“…there’s really no way for products to be truly unique anymore — at least not for more than a few months. Companies that create technological advancements that customers will pay for usually see copycats coming up right behind them.

“So what do you do in an environment where your advantages can be ripped off so quickly?”

Have you seen those SodaStream commercials on the air recently? Seems like a cool product, right? As someone who knows very little about such things, I also thought it was pretty much a one-of-a-kind product.

Well, earlier this month, I saw knock-off Cuisinart version merchandised right next to the “name brand”…on the SodaStream-branded shelf display (complete with SodaStream video playing on a loop) — for $30 less. In a national retail chain.

I wish I could find the picture I snapped.

SodaStream spends $18 million/year in advertising (according to the most recent figure I could find), including buying for premium shelf space and an in-store video player, only to have Cuisinart undercut them on price and hijack customers at the moment of decision.

How do you think customers will react when they see a competitive product, which could be just as good, for nearly a quarter cheaper?

More importantly, can you see how this applies to your own business? Are you facing competitors who charge less than you? Does their mere existence cost you sales?

How can you protect yourself? Here are a few thoughts.

1) Have better, more resonant marketing. When potential customers form an emotional or mental bond with your product, service or more often your brand, they often look for you — not the other guy– when they’re ready to buy.

2) Offer an insane guarantee and/or service after the sale. Think LifeLock. They offer a $1 million guarantee if identity thieves get their hands on your information. (They’re a good example of strong marketing, too. Remember the commercial where the CEO broadcast his social security number?)

Service after the sale can set you apart from all of your peers. It’s a terrific way neutralize the fear that kills so many sales. When customers buy from anyone else, they’ll be all alone, trying to figure out how to set up, maintain and get the most from their purchase. You can make life easy for them by being there for them.

3) Does your product carry prestige, recognition or affiliation with some desirable group? Compare diamonds and moissanite. They look alike; some will even say that moissanite looks better than diamonds. But everyone knows which is a more desirable symbol.

4) Offer a bundle or bonus. The added value can make all the difference when it’s time to buy. Another idea would be to link your offering with a related product that would complement the purchase. Again, you’re making the consumers life better and easier than it would be if they dealt with the competition.

5) Create implicit doubt in the quality of the competitive service. Be sure to do this carefully and with class.

You could say something like this: “Plumbers at Acme are the only ones certified by the Illinois Board of Health for contamination-free work in residential and commercial buildings.” That means anyone else could be leaving dangerous germs all around your house. How much more would homeowners be willing to pay to protect their family’s safety?

Don’t attack anyone when you’re using a tactic like this, and always be 100% honest.

If you need some help crafting and implementing your own uniqueness, USP Made Easy may be exactly what you’re looking for.

 

Joe Sugarman, Drayton Bird and Me

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A couple weeks ago, I had the great pleasure of speaking at length with Joey Bushnell about copywriting, marketing and finding ways to get your business through tough economies like the one we’re facing right now.

There are two reasons this interview was special:

1) You know it’s hard for me to stop talking once I get started. Joey gave me a full hour to speak my mind.

2) This chat follows interviews with some of the greats in our industry: Joe Sugarman, Bob Bly, Drayton Bird, Ted Nicholas, Chris Marlow and others. I was humbled to be named among these legends.

During the call, we cover

  • why unique selling propositions (USP) can be bad for your brand – and what you should replace them with
  • 4 ways many businesses are sabotaging their own marketing
  • the reason most people struggle to persuade others and plenty more.

Check out the interview, Compelling Marketing Messages, over on Joey’s Web Marketing Inner Circle site.

It’s free to listen to. You don’t have to give your email address or anything, and there’s nothing for sale. Just sit back and see how much you can learn.

Enjoy!

Big Ideas that Impacted Me in 2012

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Happy New Year!

I’m pretty sure most of you will not be reading this newsletter in December, but for the record, it’s still 2012 here in Chicago as I’m typing. I really didn’t mean to wait until the last minute to get in touch with you this month, but this month has been crazy busy.

For this final communication of the year, I wanted to talk briefly about 2 ideas that had a major impact on my thinking over the past months. Maybe they’re not new to you, but I think they’re worth rehashing.

Let’s go!

The Necessity of (Servant) Leadership

People generally don’t like to be told what to do. But, people need leadership. They crave it.

Leaders create a vision for the future. They inspire others and give them courage to move forward. They know (or at least seem to know) just a little more than the rest of us and provide lantern-light so we can follow their path.

You have to start thinking about your business in terms of leadership. We’ve talked about becoming an authority in your field and demonstrating your expertise. Leadership goes one step further. Your customers and prospects are looking for someone to help them do what they already want to do. The person or business which can eliminate the risk they’re facing, help them make tough decisions with confidence and show them the best path they can take to get to get what they want in life will gain unconquerable loyalty from those whom they serve.

The kind of leadership I’m talking about is based on just that: serving people. You’re leading them because you care. Leading because you can honestly help them achieve something great. Believe it or not, making their best interests your priority will pay off for you. As the late Zig Ziglar said, “You can get everything in life you want if you will just help enough other people get what they want.”

“Didn’t Come Here to Read”

Rumor has it that during the World Series in 1957, Yogi Berra, catcher for the New York Yankees, was trying to distract Hank Aaron during a crucial at-bat. Well, Tony Evans tells the story better than me. Check out this 1-minute video –> http://www.youtube.com/watch?feature=player_embedded&v=0a3XygWsHEI

You have to know what you’re here for. What’s your purpose? Who is the audience you’re called to lead and serve? That’s really where business success starts.

If there’s any area I’ve struggled with this year, it’s right here. Knowing and being consistent with my “why” has been a challenge I need to tackle better in the new year.

Thanks for spending 2012 with me. I would love to hear from you, and I’d love to connect with you on social media.

Google+
Twitter
LinkedIn

As always, feel free to let me know if there’s anything I can do for you.

30 Minutes to More Trust: An Interview with Charlie Green

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Warren Buffet famously said “It takes 20 years to build a reputation and 5 minutes to ruin it.” But is that really true?

Earlier this week, I had the distinct privilege of speaking with one of the world’s foremost experts on building trust, best-selling author Charles Green. Boy, did I learn a lot!

During our 30-minute interview, Charles talked about

  • why trust is absolutely essential to your success in business
  • specific ways you can create more trust in your relationships
  • specific ways you might be sabotaging your efforts to gain the trust of your prospects and customers
  • popular myths about trust
  • how long it really takes to start building (or rebuilding) trust
  • and more

I was blown away by simple, yet profound truths Charles shared. I think you will be, too.

Don’t forget to visit TrustedAdvisor.com to further develop your ability be the trusted provider in your industry.

What An Alley Mechanic Taught Me About Selling ANYTHING

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In the middle of last  summer, I took my Chevy Astro to Chuck, a mechanic my father-in-law recommended for some long-overdue tuning up. He had done some work for Pops in the past. He was one of those backyard mechanics who worked more for the love of cars than for the money. So he was a lot cheaper than the big name shops, but he did good work and he was fast.

I know very little about fixing cars. But Pops does. If he trusted Chuck, I wouldn’t give the recommendation a second thought.

So we took him the van. He did his thing. He was fast and friendly. When I returned to pick it up, Chuck mentioned that the car wasn’t in perfect condition, but he had gotten the “Check Engine” light to turn off. As long as that light didn’t come back on, he said, I should be in good shape.

The drive home was smooth. I felt good about myself. I saved some money and supported a small business in my community at the same time.

But the next drive was not nearly as pleasant. By the third trip, the van was acting exactly like it had before Chuck worked on it.

I was baffled. What did that mechanic do to the van? Had he really done anything? I didn’t actually see him do anything, and he seemed to be finished faster than he should have…

And what about this Check Engine light? It hadn’t turned back on.

Maybe the only work he did was to remove the fuse for that warning light!

Can You Make Up Someone Else’s Mind?

To be honest, I never confronted Chuck about the work he did. He may or may not have actually done what I paid him to do.

Although it seems as if there’s quite a bit to learn from this story, I wonder if you detected a lesson that can literally transform your ability to sell whatever it is that you have to offer.

Do you see what happened with the Check Engine light? Chuck gave me a very specific and unmistakeable indicator that he had done a good job. The Check Engine light was off, so  he must have fixed the problem I asked him to take care of.

Those of you who have been around for a couple months or longer know about my penchant for education as a selling too. When done properly, I don’t know of a more effective way to get people to take action.

Looking back on the situation, I don’t think Chuck was aware of what he was doing, but he taught me how to appreciate his work. Here’s what happened:

1) I had a problem that I needed to solve,
2) I perceived Chuck to be an expert in his field (mostly based on the recommendation of my trusted father-in-law)
3) Chuck defined the criteria on which I would judge the quality of work done for me.

When you think about it, how much do your customers know about what you do? They should understand the benefits of buying from you, but do they know how you achieve the results you deliver? Do they even want to know?

In other words, most of your prospects and customers are a lot like I am when it comes to fixing cars: I know I need help, but I don’t have a clue how mechanics do their job. I just know that when it’s done, I’m looking for the thing that was wrong to be repaired.

That means, I don’t really know the difference between a good mechanic and a great one. When I’m having car troubles, I can either rely on referrals from people I trust, or I pick whoever’s the cheapest or closest.

From the car shops’ perspective, they’re relying on factors outside of their control (random word of mouth or having the lowest prices) to determine the fate of their business. That’s not a recipe for success. It’s hoping and praying that the dice rolls your way time after time. No wonder over 90% of businesses fail in their early years!

Take Control of Your Sales Process and Marketing

One of the biggest advantages of selling though education is that as an authority figure, you can tell your prospects what they should look for when choosing a product or service.

For example, if you were a mechanic, and your website featured an article or special report about “6 Misconceptions About Car Repairs that Can Cost You Thousands of Dollars,”  how easy would it be to define the process of fixing in a way that highlights your distinctive benefits and subtly disqualifies your competitors who operate differently?

What about a dog groomer who gives presentations on how proper care extends the health and life of pets? Not only can you define the buying criteria for anyone looking for a groomer, but you also position yourself as someone dog lovers can trust to take the best care of Rover.

There is nothing manipulative about this method, as long as you’re telling the truth. So, of course, there is the danger of con men and swindlers using education to misinform people and rip them off, but you’re not that kind of person.

During a presentation I gave last month, I joked that the way you hire the best copywriter is to look for the ones whose first and last names start with “D” and “B” respectively. That’s a joke you can use, as well as an example of what not to do as you educate your market.

Leveraging the power of education is one of the most important ways businesses can maximize their growth in any economy. It takes extra effort, but if you do it correctly, I can’t think of a better way to boost the results your sales people and marketing materials are producing.

Strategies are less fun than tactics, but without a strategy, you’re just hoping and praying. Is that where you want your business to be?

If Your Marketing Stinks…

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Please join the inimitable Andre’ Harrell and me for what promises to be an exciting and insight-packed conversation on sales and marketing at 7pm ET tonight.

The show is called “If your business marketing stinks, so will your sales.”

Check us out at http://www.blogtalkradio.com/aharrell2000/2012/08/28/if-your-business-marketing-stinksso-will-your-sales.

Or stream it below:

No opt ins, no sales pitches. Just marketing, sales and persuasion concepts you can put into practice right away to improve your business results.

Is It a Bad Idea to “Teach a Man to Fish”?

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It’s a business proverb you’ve probably heard thousand times:

“Give a man to fish, and you feed him for a day. Teach a man to fish, and you’ve fed him for a lifetime.” 

But the reality is that almost no one wants to learn to fish!

That has always been the case, but it’s increasingly true in this day and age that people want simple, turnkey solutions. We want our “fish” handed to us (preferably scaled, boned, and cooked). In fact, a lot of people scoff at the idea of doing their own work.

This isn’t a bad thing. In the business world, there’s room for both the worm-packed tackle box and the icebox filled with pre-caught fish. No matter what field you’re in, regardless of whether you specialize in delivering training, services or products, you can find a cozy be successful.

Feed Me Now!

What can we take away from thinking about this old proverb in a new way?

1) The best way to get what you want in business and in life is to help others get what they want. If your customers want smoked salmon, don’t try to sell them fish bait.

If they just want a fish for dinner, don’t try to force them learn the sport, no matter how much sense it makes or how much they’re likely to benefit in the long run. You can make the training available, but don’t press the issue.

2)  People like easy. Do everything in your power to make it easy for customers to buy from you. Remove any obstacle that may keep people from doing business with you. Make your product or training simple to use.

By the way, Karl Marx had a different take on this saying: “Sell a man a fish, he eats for a day. Teach a man to fish, you ruin a wonderful business opportunity.” There’s opportunity in both selling and training; give your customers what they want and you can make money on both.

3) Most people like to think as little as possible, too. Eliminate anything confusing or hard to grasp from your marketing, sales scripts, in-store signage, etc.

Ever had to explain how much  your price is with a 30% discount?

4) Make gratification as close to instant as you can without sacrificing quality.

5) Cures carry more urgency than prevention. Consider whether what you offer is appealing to a pain that your prospects already suffer from or if you’re trying

An ounce of prevention may be worth more than a pound of cure, but the market price on the cure is substantially higher. Even at the higher price, it’s easier to sell.

6) Question everything! Not every proverb is true or universally applicable. Not every piece of advice is accurate.

Listen to voices you trust, but never stop thinking for yourself. It’s not a crime to question the experts. On the contrary, asking tough questions and challenging assumptions will often lead to breakthrough ideas and new solutions.

Why Money Matters Less Than You Think

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What if I told you that marketing is not about money?

You may be tempted to call me a heretic. You might think there was a hole in my bag of marbles. Or you might call me a hypocrite, because the service I provide my clients (and hopefully the information I freely share with people like you) helps people make money through marketing.

But I’m neither crazy nor hypocritical. Maybe I’m a heretic, since I believe some things about business that a lot of people disagree with. If you can stand a few moments of marketing heresy, please read on. I think you’ll learn a few significant lessons.

Money Is Not the Issue

Last summer, I learned something profound from a brilliant business coach who was my client. Well, I was already familiar with the principle she was teaching, but the way she explained it had a big impact on me. She told me that when prospects don’t buy from you, or clients won’t pay the kind of fees you deserve, it’s not because of a lack of money. Money is not the issue. Rather, the issue is one of priority. The client has money, but you don’t get it because he sees more value in spending it on something else.

When it’s decision making time, priorities run the show. People will always find ways to pay for what’s most important to them. If customers aren’t buying or clients are hiring, your product or service is not a major priority for them.

Eugene Schwartz taught us that you don’t create desire in your audience. What you want to do is channel their pre-existing desire toward your product. The same is true for priorities. In general, you cannot establish the priorities of your market. They are self-generated. Marketing can’t change the priorities they’ve already set. At best, you can communicate how your product will help them take care of what matters most deeply to them.

That means that your message will, by default, not appeal to everyone, as not everyone has the same priorities.

For example, Olay products and Proactiv are both designed to help people feel better about the skin on their faces. But they appeal to different groups. Olay is big on anti-aging, something most teenagers aren’t worried about yet. Proactiv helps with acne, a problem that usually becomes less common with age.

Different audiences. Different priorities. Different marketing messages. Also note that people would hate pimples and wrinkles with or without million dollar advertising campaigns.

Price Matters Less Than You Think

When there’s been a bad car accident, no one is thinking about how much the ambulance company will charge. They’re first thoughts aren’t about insurance deductibles. When life is hanging in the balance, they call 911 as fast as they can.

This is an extreme example, but it makes the point very clear. The importance of price is inversely proportional to the strength of the desire or need. The only thing that matters about the ambulance is the speed with which it can bring medical attention to the people in the car accident. This one benefit outweighs every other factor.

When your product or service fills a need that strong, price doesn’t matter much.

If one ambulance can arrive on the scene even a few minutes sooner than the next “competitor,” would you complain that their price is two times higher? Would you ask the 911 operator to send the cheapest ambulance?

If you’re having difficulty selling your product or service, it’s probably because
1) you’re not selling something people want
2) you’re not giving them a good enough reason to buy from you (showing them how your product can fulfill one or more of their priorities), or
3) you haven’t built up trust. People won’t buy from anyone they don’t trust.

Price may not be to blame. And if you are selling what people want, helping them envision their top priorities satisfied by your product, and demonstrated your trustworthiness, price may matter very little.

Marketing Is NOT About Money

Marketing and selling are not essentially about money; they are points of connection.

You have something to give to the world in terms of talents, expertise, products and/or service. Everyone has multiple needs and desires. Marketing and selling are ways you connect people in need with solutions. Everybody comes out a winner.

If you do it right, marketing has profitable results. But money should not be the cause. The difference may seem insignificant, but I assure you that it’s not.

When money is the end goal, you may be tempted to resort to deception, hype, high-pressure techniques. You could fall into desperation. You may even consider selling products that suck in order to drive revenue up.

When your goal is connecting, you focus on showing your audience that you can help them get the things they want and need in life. You can show them how your strengths can be applied to areas where they need assistance. When your customers are what really matters to you, magic happens.

Make no mistake: marketing should make money. If it doesn’t, you’re doing something wrong, and you need to fix it. But when money becomes the driving force behind it, fear and greed have a tendency to creep in.

Remember what Peter Drucker said: “The purpose of a business is to create a customer.” He didn’t say the purpose is to make money. The truth is that if you make happy customers, you’ll be in the best possible position to earn profits.

Another Angle on Storytelling

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As you may already know, storytelling can be a powerful tool in any marketer’s repertoire. Crafting and telling engaging stories is an important skill to develop. A good story can neutralize the automatic resistance that arises when people feel like someone is “selling” something by engaging their minds in a different way than ad-speak and sales pitches do.

Let’s look at this issue from a different angle. Even when you’re telling a great story about your business or personal brand, there is something important you have to deal with. Allow me to introduce the idea with a quote from Perry Marshall.

“Stories run deep. If you want to change the story you’ve been in to the story you want to be in, it’s best to just assume it’s going to take everything you’ve got. If there’s a resource that is capable of improving your story, you should avail yourself of it.”

Everyone is the protagonist of his or her own story. The story is his world and how he sees his place in it. It’s how she thinks about herself. Every day the plot progresses, characters come and go, and so forth.

The story you want to tell as a business owner, service provider, etc., doesn’t matter at all unless it intersects with your customers’ individual stories.

That’s why your selling and marketing has to be about them.

Think about it: no matter how interesting and compelling a story about lipstick may be, most men are never going to buy the product. We may enjoy the dramatic unfolding of the plot or be fascinated by the characters involved, but we’re not buying. It doesn’t impact our story as masculine individuals.

Plot Development

Every story has conflict. The main character is seeking something she wants or needs, or she’s fighting against the bad guy.

Let’s look at an example that most of us are familiar with. In the recent movie Captain America, the hero Steve Rogers starts out as less-than hero material. He’s scrawny, frail and completely unable to do the one thing he desperately wants to do: join the army and serve his country. Watching the first few scenes, you get a good grasp of the story Rogers is living in. Do you know your customers that well?

Enter Dr. Erskine, a brilliant scientist who can change the protagonist’s entire story around. He can get him into the army and give him the physical prowess to become a true force on the battlefield.

In movies and novels, magical or futuristic scientific elements, like Dr. Erskine’s technology, are often used to cause a major change and push the narrative forward. Why can’t your product or service fill that role? If you genuinely solve problems, create opportunities and improve people’s lives, you can enter your customers’ story right at that point of need.

The magic is that you’re helping people get something they’re struggling without, or helping them eliminate issues they can’t handle by themselves.

Eucatastrophe

Eucatastrophe is a term coined by J.R.R. Tolkien. He used the word to describe a “sudden happy turn in a story which pierces you with a joy that brings tears.” It is a fortuitous event which leads to the hero overcoming the conflict in the story, leading to the happy ending he always had in mind.

Your business can be a eucatastrophe in the story of your target audience. You can be the person or team who helps them attain the things they’ve been dreaming of. Those dreams may seem impossible, but you can enter their stories and bring the untouchable within reach.

Here are a few ideas to keep in mind.

1) You are never the hero of the story. You’re the “plot device” that empowers the hero (your customer) to get to “happily ever after.”

2) Yes, I’m going to keep saying this: you have to know your audience. You have to know who needs what you’ve got.

The better acquainted you are with their pains and aspirations, the more equipped you’ll be to enter their story at the appropriate point and provide awesome results when you get there.

3) Don’t be an uninvited guest in the story. In Captain America, Dr. Erskine didn’t kidnap Rogers and perform his experiments. He gave him the option. Of course he’d say “yes” because the offer was exactly what he was already hoping for.

Even if something is good for people, forcing it on people won’t work well. Offer your product or services in a way that enables those who want what you’re selling to come to you.

4) Dr. Erskine also used a weeding-out process to select the right candidate to become his super-soldier. He didn’t want to work with just anyone.

To protect your story (and sanity), be selective about who you target and work with. You may have to turn down deals and reject clients. Set your standards and stick to them.