Sunday, May 31, 2009

The Price Is The Price

If you're in business for yourself or you're in sales, you will probably want to ensure that your expectations are laid out right up front to avoid any misunderstandings about how much your product or service costs later.

After the work has been done? That's not the time to negotiate the fees.

This video points out how many businesses believe that they can negotiate fees after the work has been done. What if we all did life this way? Would anything ever get done?

Stuart Crawford tweeted me on this one today.

Here's your ATTITUDE ADJUSTMENT on being a good client and being a better vendor.

Friday, May 29, 2009

The Recession: What’s In It For You?

General Motors, Chrysler, Air Canada and Canwest Global are “on the ropes.” They, of course, are all blaming the recession for their current situation. They won’t admit that they have been building sub-standard quality products or offering sub-standard service, sub-standard programming, over-extending and over-leveraging themselves when times were easy or possessing a “take as much out of the market while you can” attitude. No, it’s the fault of the recession. It’s much easier to point the finger squarely at something out of your control and not be accountable for your performance.

This time in our economy has been nothing more than someone pushing the “reset” button to weed out the weak, the lazy and the greedy. It’s easy to make money when everyone is flush with cash and many did. The challenge is in listening to what the market wants, what the market demands and what the market expects and give people what they want – not what business thinks they need. The companies who will survive this time in our economy will be the ones who deserve to – not the ones that have an entitlement attitude because of their tenure in history.

Last week, the Federal Office of the Superintendent of Bankruptcy reported that personal bankruptcies increased over 50% in March 2009 compared to March 2008. That’s “personal” bankruptcies. But what about business bankruptcies during the same period? Business bankruptcies have actually declined by 10% over the same period which means that when times were good in March 2008 there were more bankruptcies than there were when we are supposed to be in a recession. Business is actually doing better during this time in our economy because they are changing, adapting and responding to their customers in a positive way. For those businesses that are in trouble, natural selection and market cycles have a wonderful way of weeding them out.

Let’s not ever forget that you, as a consumer, vote with your dollars. You get to vote who stays in business and who doesn’t. You don’t vote for mediocre service and market complacency. No business is entitled to your money. Every single business should earn it. You get to vote for those businesses you want to succeed. In other words, if there’s nothing in it for you, why would you give your money freely to a business that is doing little for you?

As a consumer, you also get to choose whether or not you participate in this recession. Oh yes, you have a choice. You always have a choice. My friend Marty Park (www.martypark.com) said something so profound recently that I have been finding myself repeating it at every opportunity. He said, “The recession? I’m not participating.”

Here’s why you should make the choice right now as to whether or not you participate in the recession: what’s in it for you? No really, ask yourself what’s in it for you?

ATTITUDE ADJUSTMENT: If there is nothing in it for you, do you participate in something anyway? Of course not. So why do you think that you NEED to participate in the recession? You don’t. Plain and simple, you don’t have to if you don’t want to. The economy is resetting itself. You have no control over that. Let it go and stop worrying. It doesn’t really affect most people. It’s your “personal economy” that’s most important right now. Spend a little less and save a little more. Make business work for your money. You’re in charge. Even during the boom times, people got laid off, got downsized and got squeezed by mergers. They just dusted themselves off and went and found a new job or went back to school to upgrade their skills. You can do that now too.

You’re still buying groceries, the lights are still on and the doors to work are still open for 92% of Canadians. What really has changed? Not much. In fact, in the last year, small businesses with fewer than 20 employees created 36,800 new jobs across Canada. Why can small business create so many new jobs? Because they respond to what customers want. Small business knows that consumers vote with their dollars.

Before you spend a dime today, think about whether or not the business you’re considering spending your money with is actually earning it or not. Don’t give business “pity money” because you feel sorry for them. Make them earn it. Most businesses, fortunately, are starting to figure that out. Those who don’t ever figure it out though, will join the list at the top of this article. But that’s not your problem is it?

Tuesday, May 26, 2009

Love The Work – Hate The Job

How is it that people can love their work but hate their job? I’m going to hazard a guess that it’s not the job that they hate. It’s likely the work environment. In other words, they love their work and responsibilities but hate the commute, despise their little cubicles, simply tolerate their fellow employees, agonize through the dress-code, get annoyed by meaningless interruptions during the day, hate getting sidetracked by office chatter and overall, simply wonder in deep silence “what is his problem?” when it comes to hearing the office whiner in the next cubicle doing the exact same work.

People who love their work but hate the work environment will usually be the first to seek another job. The average cost of replacing a good worker is about 1.5 times the annual salary of the worker. Simply put, if you’re paying a good worker $50K per year, it will cost the organization about $75K to replace a worker once he or she leaves.

It’s likely that only four hours out of an eight hour work day are productive anyway (perhaps even lower depending on the number of memos flying or how crappy the photocopier is). Idle chatter, noise all around, pointless meetings, quick conversations standing in the doorways of a cubicle, gathering in the coffee room to celebrate Mary’s birthday, figuring out a place for everyone to go for lunch, fifteen minute coffee breaks that last 20-25 minutes. You get the point here. There’s a lot of clutter to struggle through before people actually get to work. And the more people you gather in one place the more distractions there will be.

As an employer, the question you have to ask yourself is: are you paying your workers for their productivity or their presence? Sometimes though, they are one in the same. For example, a house framer has to be on the job in order for the work to get done, but someone who is researching marketing trends doesn’t actually need to be in the office for that to happen. If a worker has a high-speed Internet connection, a computer, email and a phone, they can pretty much work from anywhere.

The key to productivity is to remove distractions. If a worker can work from home (spouse and kids are gone for the day), why not see what kind of productivity you can get from your workers? Offer them an opportunity to occasionally work from home while they are plugged into the office network. Remove the distractions, remove the agonizing commutes of lost productivity time, remove the reasons and excuses for not being able to concentrate on a specific task and, most of all, remove the office whiner (please, please remove the office whiner before someone staples a “Stop Whining” sign to his forehead).

People who are allowed to remove the distractions from their work are more productive. Productive workers find greater reward in their work. People who find great reward in their work rarely seek greener pastures. In other words, get rid of the distractions and productivity will rise. It has to. There’s nothing else left for people to do but work.

ATTITUDE ADJUSTMENT: Leadership Attitude means having a mindset that inspires your people to want to be better. Treat your people like the potential leaders that they can be and they will rise to the occasion. Treat them as rats in a maze (think of what cubicles look like from overhead), and they will simply be looking for a way out. Think about creative ways to get more out of your people while allowing them a little freedom to do it themselves. Force them punch a clock and they’ll be thinking up creative ways of punching you. Let people do the work they love but don’t force them to do it in a place they hate. Creativity is a key component of a Leadership Attitude.

Monday, May 25, 2009

Hanging Out With Negative People

Let’s say for a second, you were standing in line at your favourite Canadian coffee shop, or in the grocery store or awaiting your turn to pay for your gas fill-up and you saw a newspaper headline on the front page which read: “Canada’s Recession is Over” or “Canada Likely Among First To Recover From Recession.” Would you purchase a copy of that paper to bring home with you?

A headline like that would seem like good news wouldn’t it? You would perhaps want to know more wouldn’t you? At the very least, you would be a little curious. I mean, you’ve been bombarded with sky-is-falling headlines for some months now. Aren’t you in the mood for a little good news?

Well, a headline that appeared in the newspaper this past weekend was the following: “Canada Likely Among First To Recover From Recession.” But that headline was not featured on the front page. It was buried as a three-paragraph story in the bottom left-hand corner of page 2 in the third section of the newspaper.

Here’s why I say that this story was buried. Pages with even numbers (2, 4, 6, etc.) are less-read than odd-numbered pages. Because of how we turn the pages, our eyes focus on the right page first and left page second. That’s why book chapters always start on the right-hand pages. Right-hand pages in the newspaper are prime real-estate: that is to say these are the pages where advertisers would love to be. Right-hand pages get read more than left-hand pages. The chances of readers seeing your ad, if you’re an advertiser, are better on the right page. Left page placement gets a smaller return. But here was the news story, in the bottom-left corner of page 2 in the third section – buried.

I’ll summarize the story: Canada, along with Australia and the UK are expected to be among the first of the advanced economies to emerge from recession and return to normal economic growth. According to Goldman Sachs Global Economics, Canada, Australia and the UK should return to the historical average numbers within the next year. Europe and the USA won’t likely get there for another year after that.

This story would have made a wonderful front-page story. People who have been awaiting a little good news about the economy would have embraced their newspapers. The advertisers who advertised in this edition of the paper would have been advertising to people with a positive mindset. But sadly, that didn’t happen. The newspaper decided that a good news story about the economy wasn’t enough to sell the newspaper that day so they lead with a story of how Calgary’s ring road (a route around the city) may hit $1.5B for a small portion for the road to be built.

Oh, so you know, I got the paper for free at a store that was giving them away. There’s a sign of the economic times huh? They have to give the papers away to get people to read them. Well, I guess sometimes you do get what you pay for.

ATTITUDE ADJUSTMENT: Be careful who you allow your informational influences to be. Remember that the media is hurting right now. Traditional newspapers are going out of business as more people get their news on-line. Newspapers and television stations are having tough times. The traditional media are desperately clinging to models that clearly aren’t working anymore. And they are still doing their news the old way: “if it bleeds it leads” headlines.

The great thing is that, because you have access to so many news outlets these days, you’re smarter than that. Don’t allow yourself to get sucked into the pandemonium vortex of over-the-top headlines and scaremongering. If you want to see good news and some glimmers of hope, you’ll probably have to find another place to get that from - but they are out there.

The truth is, you wouldn’t surround yourself with a very vocal group of whiners, moaners and complainers on a daily basis would you? So why would you allow the same sort of negative influences into your life by what you read? You have the choice of who your friends are. You have the choice of who you listen to too. Make that choice wisely. You have the choice of whether you develop a strong Leadership Attitude or whether you resign yourself to simply being "sheeple" (people who follow like sheep).

Thursday, May 21, 2009

How To Do A "Courtesy Call" With Courtesy

It's been about six months or so since I received a "courtesy call" from my bank. The last time they called, they told me that according to the kinds of transactions I do, that perhaps I was on the wrong service plan. They assured me that day that if I were to change my banking package, I would save a few dollars per month. So I did. And they were right - I saved a few bucks each month.

That call, although it was an interruption in my day, was a courtesy. I was paying too much. They noticed it. They told me. They fixed it. Simple courtesy.

But how often do you get a phone call from organizations who preface their sales pitches with, "this is just a courtesy call." Then they go on, under the guise of offering you courtesy, to try to sell you something, offer you something free in exchange for an appointment or simply try to extract information from you? What's the courtesy there?

A courtesy call is not courteous if all you're wanting to know is if I want to buy another product or service from you. Giving money back to me is a courtesy. Me giving you more money is not courtesy - it's a sale. And just because I may have done business with you in the past does not give you the right to abuse that privilege and attempt to line your own pockets with my money again. That's not courtesy. That's greed.

If you want to make a real "courtesy" call, then don't call and interrupt me when I'm sitting down to dinner. Be courteous and book an appointment to speak with me. Send me something in the mail and offer me the choice of whether I want to speak with you more. Give me the opportunity to extend you some courtesy. What you're giving me right now is not a courtesy call - its an intrusiveness call.

Don't pick through my past purchase information, send it to some overseas call-center, interrupt my dinner, assume I'll welcome your intrusion and expect me to buy from some anonymous person on a telephone and insult me by calling it a courtesy call.

If you want to make a real courtesy call, stop making it all about you and start making it about me, the customer. To make a courtesy call requires my permission for you to call otherwise its not courteous. Sharing my purchase history with some telemarketing call center is not courteous. Asking for a credit card number on the phone is not courteous. Asking me to drop everything I'm doing to discuss with a stranger how I can part with more of my money is not courteous.

ATTITUDE ADJUSTMENT: Look, if you want to make your intrusive phone call more courteous, develop a Service-Leadership Attitude. How? At the time of my first purchase, set up your courtesy call then. Tell me when you're going to call. Tell me what you will want to discuss. Tell me how long you will take and finally, tell me what's in it for me. That's courteous. Make the time specific, send me a reminder by mail and then keep your word of five minutes to follow up. That's courteous.

But stop interrupting me as a "courtesy." Its not courteous. It's rude.

Wednesday, May 20, 2009

9 Office-Relocation Transition Strategies To Boost Morale

Question: My team and I have just learned that our office will close within 10 months or so and relocate to another city on the other side of the country. Some will make the move and some won't. For those who will stay on and make the move with us, how can I boost the low morale prevalent in our office right now?

Most people don’t like change. Perhaps let me rephrase that: we, as humans, are not necessarily resistant to change – just sudden change. The news of moving the office to another city and the short turnaround period are what I consider to be sudden change. Given the opportunity to adapt to the announcement, many will. Some will not. Some have resilience – others simply choose to feel victimized. There’s nothing you can do now to lessen the impact of the announcement. But you must now demonstrate real leadership.

First, understand that there are two targets your people can be looking toward: 1) the day the office closes and many are out of work, or 2) the days after the office closes – when people are getting settled into their new jobs, new location, new environments, new offices, new friends, new people and new perspective. It’s an exciting time and this is where I challenge you to take the focus of your people – not to the day of the office closing but to the days after the office closes.

You can not be heard uttering the words, “yeah I know it’s tough but what are you going to do?” That simply makes people wallow in their pain and not look for the positive opportunities that could follow, regardless of whether or not they are choosing to move or find something else when the office closes. And it keeps your people focused on the day the office closes.

Next, you need to have a plan for the day after the office closes. Be proactive. Show your people that you’re not wallowing in misery but you, as their leader, are getting right to the next chapter of your work life. This will likely inspire your people to quit their wallowing and get on with it.

Here are 9 Transition Strategies that need to go into your plan:
  1. Get a firm decision from each staff member right now: are they coming or are they leaving? For those who are choosing to move, get a plan in place to look after housing needs at the other end, arranging movers, arranging flights to visit the new city as early as possible so that those people can get excited about the prospect of moving.
  2. If there are a few on-the-fence about moving, make sure they get a chance to visit the new city to help them make a decision. Provided it’s a pretty city, those who are sitting on the fence may be swayed by its beauty and come home with a positive attitude about the move. In other words, get as many of your staff onside as soon as possible so that you are not shouldering the burden of overcoming the negative attitudes alone.
  3. If you are not in a position to help them travel financially, then at least develop a strategy to offer your people some time off so that they may travel on their own. Bend over backwards in consideration for your people. Moving is a big step for some.
  4. Create a “Relocation Transition Team” in your office. Task your people to work with each other to find Realtors, research good neighborhoods, recreation facilities, schools, contact numbers for City departments, garbage schedules, residential Internet hookups, utilities, public transportation, gyms, park systems, bicycle rentals, organized sports for kids, anything that they currently do now. They will need this information anyway when they get to the new city. The transition becomes easier when they’ve planned in advance. Creating this team keeps everyone pointed in a forward direction focused on the day after the office closes.
  5. For those who are choosing not to move, bring a little hope. Bring in an HR consultant to help them define their skill set, aid in developing an updated resume and help them feel powerful as they get ready to hit the streets job searching.
  6. Offer those who will remain behind a liberal schedule to attend interviews, respond to want ads, and help them post their resumes to Monster and other job sites. Offer letters of reference with heartfelt words; offer to call interviewers on their behalf and to use the full resources of the company to help them land softly.
  7. If your people end up finding good positions early (before the office relocates), let them go. Knowing that you are behind them is an unselfish act and keeps a positive mindset in the office. Let them know that you understand that when they get a great offer, you won’t hold them back. Ensuring that your peoples’ individual welfare is ahead of the company short-term welfare is real Service Leadership Attitude in action.
  8. If, however, your generosity is still met with negative attitude in the office, address it immediately. Have face-to-face discussions with the guilty parties about their behavior. Make sure they understand that this corporate decision does not give anyone free license to act out in rebellion. The company is moving forward regardless of any whining. They have an opportunity to move forward with the company or to be job-seeking early. It is imperative that you remove the negative forces that influence the rest of the group and also remove those who annoy the others with their negativity. It is still a workplace and it is business as usual.
  9. Most of all don’t dwell on the upsetting of the apple cart. The more you dwell on the downside of “change” the more you encourage your people to grumble and feel sorry for themselves. The decision has been made – let’s get back to work.
ATTITUDE ADJUSTMENT: In tough times, people look to leaders who are capable of leading. Are you one? If not, isn't it time you got busy developing your Leadership Attitude?

Wednesday, May 13, 2009

A Punch Line – Not A Punch

Standing in line at the checkout recently, I overheard this conversation:

Customer: “Whoa, wait a sec. How much was that?”

Clerk: (puzzled) “A dollar?”

Customer: “OK but what about this?” (pointing to another checked item)

Clerk: “That was a dollar too.”

Customer: (holding up another item) “So how much is this then?”

Clerk: (heavy sigh) “A dollar.” (Short pause for courage I guess) “Ma’am, this is a dollar store. Everything here is a dollar.”

Now once upon a time, during an episode like this in which the customer holds up an entire line of people who are waiting to check their items, I would roll my eyes in my head and say loud enough for others to hear, “You have got to be kidding.”

But for the past thirteen years, I have come to the conclusion that sometimes, people are placed on my path simply for my amusement. Kind of like today. (Oh sure, I still have my “you have got to be kidding” moments but they are short-lived.)

ATTITUDE ADJUSTMENT: You need to adopt a Resilience Attitude when the time is right. A Resilience Attitude will get you through the tough days with a smile, a chuckle and sometimes a deep-down belly-laugh. The Resilience Attitude will help you weather tough days, tough situations and tough economic times.

The Resilience Attitude has no place for whining, moaning, complaining or blaming. The resilience Attitude simply says, “OK, it happened. Now what?”

It is amazing how many people can fall off of a bicycle and get back up to ride it again. And yet, there are so many others who, when something devastating happen in their lives, they refuse to get back up. Instead they wallow in their circumstances, complain about how they have been hard-done by, share their “victim” story with anyone who will listen and continue to re-live it over and over again.

In fact, people who seek revenge, play guilt games, re-live their regrets and are remorseful for their lives are, in effect, choosing to stay down after falling down. The Resilience Attitude doesn’t allow those who possess it to stay down. People with Resilience Attitude refuse to stay down. The Resilience Attitude helps you bounce back.

Every decision you have ever made in your life has put you exactly where you are today. By being victimized by that, you are not accepting accountability. It means that you do not possess the Resilience Attitude. But if you can accept that where you are in your life today has been a result of every decision you have ever made, then you have the ability to bounce back and succeed despite the “temporary” circumstances. Everything is temporary – nothing is permanent – unless you decide it is permanent.

Now please don’t think that I’m going all “motivational speaker” on you. That’s not it. This is simply an Attitude Adjustment on ‘perspective versus results.’ If you think people want to be entertained by your victim story, then you’re choosing to stay down. People love to laugh. Make other people laugh with your stories. Don’t make them feel your pain. That’s not funny and it’s incredibly rude to force others to sit through your awful story. Make your story have a punch line – not a punch.

So today, when you’re in the line at the grocery store, the coffee shop, stuck in traffic or waiting for your meeting to show up, have a look around for the one thing that has been placed into your life at this moment simply to amuse you. You’ll have an amusing story to tell at the end of your day. It will change your outcome. You’ll have taken the first step into achieving a Resilience Attitude.

So what’s the punch line to your story today?

Monday, May 11, 2009

Your Compelling Offer

As I passed the roadside sign in front of the pet store, I read its message: “10% Off Fish Supplies.” This sign struck me as a little strange and I felt compelled to keep reading it again to attempt to better understand its meaning. But as much as I looked at it, it still read “10% Off Fish Supplies.”

The reason that I found the sign strange is because of the question I asked myself as I passed by: is ten percent enough of a discount to bring in traffic off of the highway? In a world where retailers are yelling at us to notice their deep-cut discounts of fifty, eighty and ninety percent, is 10% a compelling offer? Not knowing the regular prices of the store in question, I was flummoxed to make a determination on that.

To a small mom-and-pop operation, a ten percent discount may seem like a big deal to the owners, but to the consumers, ten percent may not be much of a compelling offer. Twenty nine cents off of the regular price of an aquarium cleaning brush would certainly not offset the cost of fuel to get to the store to purchase the item. In fact, in most provinces in Canada, a ten percent discount doesn’t even offset the sales tax.

The assumption had to be made that the owners of the pet store have chosen to compete in the market on price and not on service as the sign made no indication that their service was superior. Nor did the sign give any indication that an additional ten percent saving would bring pricing far below its competitors. A compelling offer needs to be relative. Ten percent off of the price of a new car is a big deal. Ten percent off of a $2.99 item is not.

Purchase a new aquarium for $200 and get a free fish net, cleaning brush, gravel, some plants and filtration pump would be the equivalent of a ten percent discount. That might seem like a more compelling offer than a few pennies off the regular price of a fish net.

ATTITUDE ADJUSTMENT: What is your compelling offer? Your offer has to mean something to the potential consumer if you are going to sway the decision. You don’t have to be in sales to have a compelling offer. What was your compelling offer when you were hired? What is your compelling offer now to be considered for a promotion?

Are you bringing something to the table that no one else possesses or are you simply filling a space? Are you the leading candidate for promotion or do you feel that because of your tenure, you deserve to move up? Have you read the books on leadership in an effort to position yourself to be the natural choice for a leadership position or will you not bother learning about leadership until there is a need to know how to be a leader?

Does hiring you for the job benefit just you or will it benefit the organization as a whole? How is the organization different as a result of choosing you for the job? If you can make that case, then you have a compelling offer.

If you won’t grow yourself first, then it could be argued that the organization as a whole wouldn’t grow much if you were in a leadership position. Leadership, after all, is an Attitude. If you don’t have the Leadership Attitude, then you aren’t reading the books, you aren’t listening to the audio recordings, you aren’t attending the seminars and you aren’t prepared to invest in yourself. It’s pretty much going to be a case of “same-old same-old” for you. If you won’t invest in yourself first, then why should any organization invest in you and expect much of a return.

If you don’t invest in you, then you’re likely to continue being a small fish in a big aquarium and it could be argued that a ten percent discount in your value wouldn’t much affect the organization. Now if your organization would change by fifty percent as a result of your not being there, then that’s a compelling offer to keep you and pay you more.

Leadership is an Attitude. If you want to attract investors (customers, bosses, promotions), then you have to show a history of increased value and outstanding performance. Compare yourself to the stock market. Are you a blue-chip stock that continues to increase in value consistently? Or are you a penny-stock that investors overlook or dump to get to the blue-chips? It’s your call. What's your compelling offer?

Friday, May 08, 2009

The Illusion Of Being In Business

Do you earn your money or do you simply give your employer the illusion of earning your money? What I mean by that is are you actually giving your best effort to get the job done in every moment of your day or are you simply doing just enough to not get fired? Are you actually busy or just giving the illusion of being busy so people don’t end up tasking you with new work and projects?

The guy who walks around the office all day with a phone glued to his head or constantly on his Blackberry can make you think that he is busy but may, in fact, be just trying his best to look busy so no one questions his work ethic. Appearing busy is not necessarily being busy. Why is it that some people get their work done during the day and others, doing the same job, end up taking their work home with them at the end of the day? I believe it is because one is productive and one gives the illusion of being busy.

So let’s say that you are the person who is actually productive during the day. You manage to get your work done on time. You even have time to help others out by taking some of their workload when you have a little extra time in your day. At the end of the day, you managed to help a co-worker out of a jam by helping them with their project. Should you be compensated more than the person who simply gives the illusion of being busy? Of course you should. Do you get compensated that way? Not likely because when it comes right down to it, you seem as busy as the guy who gives the illusion of being busy even though being productive and being busy are two different things entirely. Most workplaces don’t bother to check the difference because why would you question someone who seems like he’s always doing something?

Being productive is the right and honorable thing to do. Giving the illusion of being busy is stealing. Some businesses give great service. Others give the illusion of service.

So, let’s say you actually earn your money – fair work for fair pay. If you’ve worked to earn your money, why would you then give up that hard-earned money to another business who doesn’t earn it? I’m speaking of businesses who don’t give you the same service you give your customers and co-workers. I’m speaking of businesses who give the illusion of being in business but fail in the “service” area. Given the option of buying the exact same item from a business who gives great service and one who simply takes your money with no real “gratitude attitude,” why would you freely give up your “earned” money to an organization that doesn’t earn it?

ATTITUDE ADJUSTMENT: You need to set a standard in your life – a line that says “I will not accept service less than this.” Lay out your expectations to yourself. Prepare yourself to walk away if they fail in service that is not up to your standard. You can fire a business just like a company can fire an employee.

You vote with your dollars. A company that does not earn your business shouldn’t get your business because of convenience – because they were easier to get to.

Some grocery stores will bag your groceries for you and then walk your groceries out to your car Yet others will make you pay for the bags to put your groceries in and you will have to bag your own groceries. If the groceries are virtually the same price, wouldn’t you prefer buying from the store that gives you the bags for free, bags them for you and then loads the groceries in your car for free as well? That’s service and you deserve to be served well. It’s your money. You earned it. Or is it that you just give the illusion of earning your money and are unable to tell the difference between service and the illusion of service?

Thursday, May 07, 2009

Five Serious Problems In The Retail World

I happen to be a big fan of Seth Godin – author of such books as All Marketers Are Liars and nine other bestsellers in the area of Marketing. I read Seth’s Blog religiously as it gives quite a great take on how we are exposed to marketing messages daily and how marketers are finding new and unique ways to cut through the marketing clutter to reach us and convince us to buy their products and services. It helps me to better understand why we are, as consumers becoming increasingly frustrated when it comes time to make a purchase and how the marketers seem to be becoming complacent with product selection and how most seem to be competing in the same price arena.

Because of the tweaking of my marketing mindset, I notice and pay attention to businesses more and how they conduct business. I have come to notice five things that are becoming quite disturbing.
  1. For the most part, you will find the same products in virtually every store - all relatively close in price. That means that the selection of brand names is fairly limited in an effort to not keep a competitive edge in the market but instead be only as good as the competition. Business seems to be spending more time focusing on their competitors (and keeping the same stock and price) and not focusing on the customer and offering something superior.
  2. By keeping price-point as a key component of being in business, the cheapest price usually wins. Unfortunately, cheapest price almost always means cheapest quality. You’ll be back looking for a replacement before long.
  3. Although you may find the item you’re looking for a store by visiting their web site, there is no guarantee that the item is in stock. Don’t trust the “Check Store Stock” option on a web site. Inventory tracking isn’t working the way it is supposed to. You may think there’s one in stock, but when you get there it isn’t, so most people end up buying something else in its place. (Always make the phone call first, get them to physically check to see if it’s there, offer a credit card number to hold the item and then go get it right away.)
  4. High-priced quality products don’t sell well in a Wal-Mart priced world. If it’s quality you want, you’ll need to find it on-line from specialty stores and have it shipped to you. Otherwise, it’s a frustrating experience.
  5. Businesses only seem to stock what they think you should buy, not what you want to buy. You only get to choose from a series of inferior products.
Try Googling “reviews on breadmakers” and you’ll find Zojirushi makes the best one. You can’t buy them in stores. You have to order them from one of only two on-line stores in Canada. But almost every department store carries Black & Decker or Sunbeam bread makers – terrible quality items that reviewers warn people to stay away from. There’s a reason why they are one quarter of the price of a Zojirushi.

Air-O-Swiss are the world’s best humidifiers. Again, you can’t buy them in stores. They’re expensive and the highest quality and people apparently don’t want quality. Go online and get Air-O-Swiss shipped from California.

ATTITUDE ADJUSTMENT: Are you in business or are you just giving us the illusion of being in business? We, as consumers have more access to more information, and we are educating on-line before we go shopping in-store. By the time we get to your location, we need a cashier – not a salesperson.

Are you offering your customers the exact same product or service as your competitors? Are you willing to stand out, be different, offer service over and above and offer a superior product? Do you make a customer for life or for just a few minutes? Is your product or service just good enough or is it head-and-shoulders above everyone else?

Service is an Attitude. Customer Service is a department. You should be tired of accepting sub-par service and products. Give your business to those who offer quality and who demonstrably show the “Service Attitude.” You can spot these marketers a mile away. They are the one’s who carry what you WANT to buy – not what they TELL you you’re going to buy.

Wednesday, May 06, 2009

Worldwide State Of Chasing Balloons

The recession is over … or it has caught the swine flu?

A month ago, virtually every page in the front section of the newspaper had a story on the “recession.” The first ten minutes of a national TV news broadcast featured stories on the “recession.” Recession. Recession. Recession. The sky is falling. Hold onto your money. Doom and gloom warnings.

Now, if you pick up a newspaper today, you will have to search for the stories on the recession. It seems our financial future is not important as the few hundred people in Canada and USA who have contracted swine flu. In fact, most cases of swine flu are relatively mild. Only a few people ever develop the dangerous symptoms. And they will number a few dozen at the most.

But where is the media? They’re sitting in briefings from Medical Officers because covering some new “tragedy” that will end up seriously affecting a few dozen people is sexier than reading financial reports and talking with economists.

In fact, listening to one Medical Officer describe swine flu symptoms, he described them as relatively mild and that the “pandemic” that the media keeps eluding to, is well under control by the qualified medical organizations whose job it is to contain infectious outbreaks like this.

“Wash your hands and prevent catching the flu.” That’s the advice to containing the spreading of swine flu. It’s a very simple solution. No drugs. No hoarding of Tamiflu. No locking yourselves in bomb shelters to wait out the deadly disease. Just wash your hands regularly and you’ll be doing plenty to protect yourself.

So why all the fuss? Because apparently the media spent a little too long in front of the TV watching Will Smith in I Am Legend. The bigger the media attempts to make this story, the more they are saying that our medical leaders are inept – all in an effort to boost ratings and readership. They are reporting a story that they can’t possibly understand without the medical officers “dumbing it down” for them (you can’t fully comprehend the complexities of the virus without some sort of medical or scientific training). Then, the media simply takes the sexy pieces from the briefings and report only that.

I was a member of the media for eighteen years. I worked with reporters whose job it is to get an angle on a story that no one else has – no matter how marginal it may be. They spend more time preening in front of the mirror making sure not a single strand of hair is out of place and that they look fabulous before the cameras roll than they do getting themselves up to speed on what they’re reporting on. If a medical briefing takes place at 7:00 pm, a newspaper reporter will have to return to the office, pour through her notes, find an angle to the story, write it and submit it to an editor before 10:00 pm. In the two hours or so that the reporter has to write the story, there is little time to research, understand the complexities and face the editor.

ATTITUDE ADJUSTMENT: I don’t think that media understands just how intelligent we are about what's going on. If the media can be distracted from their work uncovering a drastic so-called “economic disaster” by a disease that can be prevented by washing your hands, then are they like little kids chasing balloons?

Let’s not panic just yet. Let’s keep our heads and our wits about us. Let’s develop our own individual personal leadership qualities and keep relaxed. We can handle these events of our lives. We have up to now. Let's instead let the media go mad. They seem to be worrying plenty for all of us anyway.