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Closing the Sale with Assumptive Selling

Our realtor turned to us and said, “Now, where would you put your couch in this room?”

Immediately we started mentally arranging the furniture in the house she was showing. By the time we had visualized the family room, kitchen, and office we were ready to write the offer.

Visualization is the key to getting a shopper to move from gathering information to making the purchase. Realtors know this technique. You should, too.

I have just posted a new FREE eBook on the Free Resources page of my website titled Close the Sale with Assumptive Selling based on the presentation I did for the Independent Garden Center Show a couple weeks ago. The eBook shows you how to get customers into Visualization Mode and also shows you other smart things you need to do at the close of each sale to help your customer solve the problem that brought her into your store.

Today’s post talks about how to teach these concepts and techniques to your front line and sales staff.

(Hint: you should read the eBook Close the Sale with Assumptive Selling before reading the rest of this blog. Go ahead. I’ll wait.)

FINDING THE BENEFITS

If you have ever been involved in sales training you have heard about Features and Benefits. You have to show the customer the Features and Benefits to make the sale. While I agree wholeheartedly with that approach, the real problem is that most sales people spend all their time on the Features without showing the true Benefits. Why? Because Features are easy to explain. The packaging often tells you everything a product does. Benefits are a lot harder to determine, especially because the Benefit for one person might be completely different than the Benefit for someone else.

DUTCH AUCTION

The best game I ever played with my staff to get them to think about Benefits was a “Dutch Auction.” I broke the staff into teams and asked each person to pick three items off the shelf. Each team ended up with a dozen items. Then I would call out a Benefit. The team had to bring me one item from their collection and explain to me how that item offered the prescribed Benefit. If they were successful with their explanation, they got a point.

Some Benefits you can use are:

Show me an item that …

  • Saves a customer time
  • Makes a customer healthier
  • Keeps a customer from having to bend over
  • Helps a customer feel smarter
  • Helps a customer feel stronger
  • Will make all of her friends jealous

This game gets your staff into a different mindset away from just what an item does, but how that will help a customer.

A Feature is what an item does. The Benefit is why that is important.

Another quick way to get your team up to speed on the Benefits is to bring your top ten new items to the next meeting and have the staff brainstorm all the possible Benefits of each item. Write up the list after the meeting and give a copy to everyone.

COMPLETING THE SALE

Have a contest at your next meeting. Have each person pick one item off the shelf. When they bring that item back to the group, explain the importance of Completing the Sale. Then send them out to collect every possible item related to the original item that a customer might need. Once they return, tally up the prices and reward the person who had the highest total. (Note: if no one has Completed the Sale to your satisfaction, send them back out with a total amount they have to reach. This will stir their creative juices.)

Follow up: Have each person create a checklist for their item of the complimentary items you’ll want to ask the customer to see if she has. Do that with your top ten items in your store. Those checklists will bring you gold.

TIPS AND HACKS

There are certain items you sell that people often misuse. There are certain items you sell that have a downside to them that sometimes kills the sale. There are certain items you sell that get the most negative feedback post-sale. Identify these items and bring them all to the next meeting.

Assign a different product to each person and have them research how and why each item is misused, mistrusted, or complained about. At the next meeting have them do a quick presentation with two points:

  • Here is the issue
  • Here is the tip you can give to make the customer enjoy the product and get the best use out of it

Nipping objections and complaints in the bud before they even happen makes happier, smarter customers who will return more often and bring their friends with them.

Now you know how to get your team to Close the Sale with Assumptive Selling.

-Phil Wrzesinski
www.PhilsForum.com

PS One Assumption I am making is that you have read and followed the steps in The Meet and Greet eBook I published yesterday. If you Meet and Greet properly at the beginning it is far easier to Close the Sale at the end.

PPS Yes, you can hire me to do these presentations for your organization. You can even hire me to do a workshop with your sales staff using some of the activities I have shown above and in yesterday’s post. A training workshop like the latter takes about 1.5 to 2 hours and will transform the way your staff works with your customers. When you’re ready to make your customers happier to buy more, contact me.

Winning the Millennial Vote

While doing research for a presentation I am making next week on selling to Millennials I came across an interesting statistic …

Only 51% of eligible Millennial voters voted in the 2016 presidential election compared to 63% for Generation X, 69% for Boomers, and 70% of everyone older.

Image may contain: Phil Wrzesinski, smiling, closeupOf course, the young adult vote has always been hard to come by, but even by comparison, Millennials are behind the other generations at this stage of their development. When Gen X was this age, they were voting at 57%. When Boomers were at this age, they were voting at 60%.

Some of my other research has led me to a possible conclusion why they vote at such low numbers and it can be summed up in one word—Lies.

Millennials were born into the world of hype. They grew up with marketers lying to them. Their BS Meter is more fully attuned to what they read, see, hear, than any other generation before them. They don’t like being lied to. They don’t like being misled. They can spot the BS faster than the FBI. They’ll forsake you at the first hint of falsehood.

They don’t like politicians in general because of how they constantly twist and mangle the truth.

I believe this is what keeps them away from the polls. If you were to give them a “None of the Above” box to check, not only would more of them would vote, but our candidates would become a lot better.

(Note: I have yet to prove this theory. If you know anyone who already has, let me know.)

As for an election, appealing to the young adult voters is not always the best strategy because they typically are the smallest voting block.

As a retailer, however, this group is the current customers of today and the bulk of your customers tomorrow. How well you reach them now could go a long way toward how well you are doing in the future.

The recipe is simple. Avoid the lies. Avoid the hype. Avoid the misleading statements, half-truths, and generalizations. Be honest, especially about the downside of the product. This group of consumers is savvy. If they don’t figure out the misdirection on their own, their online community will spell it out clear as day.

It might not win you an election, but it will win you a whole lot of long-term customers.

I’ll tell you more of what I’ve learned after next week’s presentation.

-Phil Wrzesinski
www.PhilsForum.com

PS Although many generalizations are being made about Millennials, (including the one I made in this blog), I caution you to avoid the stereotypes, especially the negative ones about Millennials being lazy, self-absorbed, and entitled snowflakes. You’ll find an ample supply of those people in every generational group, and plenty of amazing kick-ass-motivated, hard-working Millennials making a difference in this world.

Having Fun, Helping Others, Eating Lunch

For the past three weeks I have been making several drives from my home in Jackson to the Oakland County area for lunch. For those of you not in Michigan, Oakland County is one of the three counties (including Wayne and Macomb) that makes up the Greater Detroit Metropolitan area. Oakland County is the northernmost of the three and includes several cities, villages, townships, and lakes.

Oakland County is home to twenty-one Main Street programs in the various cities, villages, and townships, and also home to one of the largest county-wide Main Street support programs. It was Main Street Oakland County (MSOC) that hired me to make these drives each week to do a “Lunch-and-Learn” series of workshops. The workshops are four-week-long tracks on one of three topics: Selling & Customer Service, Marketing & Advertising, or Retail Math.

We rolled this out to three different communities. Two of the communities chose Marketing & Advertising, one chose Selling & Customer Service. All three are reporting back with incredibly positive feedback. Other communities are already bugging MSOC to be included in the next round.

The fun part for me is that I like driving and I love doing these presentations, mostly because I know the difference one or two good tips or techniques can make for a small business.

The fun part for the attendees is that they get a free lunch (or breakfast) and four 45-minute presentations jammed with eye-opening ideas, out-of-the-box thinking, and surprisingly simple techniques to improve their businesses.

The fun part for you is that there is still time to plan a Lunch-and-Learn in your neck of the woods (as long as you are within two hours driving time from Jackson which would include Grand Rapids, Kalamazoo, Fort Wayne, Toledo, Detroit, Flint, and Lansing areas).

Here are the three tracks with class titles and descriptions.

Option A: Marketing & Advertising

  • Week #1 Boosting Your Brand to Attract the Right Business – A quick lesson in branding to show you how a well-crafted brand makes a huge difference in attracting the right types of customers and business. You’ll learn how to uncover the true value in your brand and make your brand stand out in the crowd
  • Week #2 Marketing Your Business on a Shoestring Budget – Seven different ways you can get the word out about your business and draw traffic in without spending a fortune. You’ll learn how to leverage your talents and time to attract more customers to your business right away.
  • Week #3 Making Your Ads More Effective – We hate ads, not because there are too many, but because most ads suck. This presentation will show you the six principles that make the difference between your ad being remembered and acted upon or being simply ignored. You’ll learn techniques even the most highly paid professionals sometimes get wrong, and how you can apply them to your own advertising efforts
  • Week #4 Generating Word-of-Mouth Advertising – We all know Word-of-Mouth advertising is far more effective than traditional advertising, but do you know what it takes to actually get your customers to talk about you? This presentation shows you four proven ways you can generate word-of-mouth advertising. You’ll walk away with tips and techniques that get people talking the very next day.

Option B: Selling and Customer Service

  • Week #1 Selling in a Showrooming World – Online shopping is here to stay. So is the concept of Showrooming, where a customer uses your store to touch and feel the product before ordering it online cheaper. This presentation shows you the two types of customers, how to recognize them, and the very different ways you sell to them. Learn this and you’ll close far more sales than ever before.
  • Week #2 Raising the Bar on Customer Service – Every store thinks they offer Great Customer Service, but every customer can regale several stories where the customer service fell far short. This presentation gives you a different perspective on customer service and shows you how to up your game so that Great Customer Service is only the minimum. You’ll learn how to surprise and delight customers at every turn.
  • Week #3 Building the Perfect Salesperson – Finding the right salesperson is the key for any organization. But how do you identify the perfect fit? This presentation will change the way you look at interviewing and hiring and even training. When you’re done you’ll have a better understanding of how the best companies find the best employees time and time again.
  • Week #4 Training and Motivating Your Team to Perform Their Best – The carrot and stick might be good for a donkey, but it won’t get the best out of your team. This presentation will show you what really motivates people to do their best work and how to get the kind of creativity from your team that sets you apart. You’ll also learn how to turn staff meetings and training times into something your staff looks forward to attending.

Option C: Retail Math

  • Week #1 Reading Your Financial Statements – Your accountant will be glad you attended. This presentation will show you in layman’s terms how to read the two most common financial statements – the Profit & Loss and the Balance Sheet. You’ll learn how they are calculated, what they show, and an intuitive way to use them to check the financial health of your company. It isn’t as scary as it sounds.
  • Week #2 Inventory Management – Cash is King. In retail, the biggest use of your cash is your inventory. This presentation will show you simple and smart ways to manage your inventory levels better including how Open-to-Buy programs work and easy ways to increase cash flow. You’ll learn how to turn slow moving merchandise into cash and make your inventory work for you.
  • Week #3 Pricing for Profit – Most businesses leave thousands of dollars on the table because they don’t understand the principles behind how to properly price their products or services. This presentation shows you how you can raise prices and increase unit sales by harnessing the power of perception. Learn these techniques and you’ll start making more money the very first day.
  • Week #4 Unlocking the Hidden Cash in Your Business – There is more to retail than just buying and selling product. This presentation will show you some different ways to measure your business and some simple ways to make a little extra cash that might just be the difference you need to pay yourself a bonus this year.

If you just read those and said, “Dang, I could use this!” pass this post along to your DDA Director, your Chamber of Commerce, your Main Street Director, your Economic Development Director, your Shop Local director, and tell them, “Dang, we could use this!”

(Heck, you don’t even need one of those organizations. Just get a few other small businesses together and give me a call.)

Then contact me. We’ll go over what it would cost, creative ways to finance it, how to get the food and venues, and what dates to schedule this fall to have some fun helping small businesses grow and thrive, all while having lunch.

Sound yummy to you?

-Phil Wrzesinski
www.PhilsForum.com

PS Not within that two-hour drive? No worries. Instead of four lunches, we’ll do one big brunch and put all four lessons into a three-hour workshop. Call me.

PPS The beauty of what you’ll learn in these tracks is that the dividends are immediate. With many of the lessons you’ll see results right away. Having this information fresh in your mind leading into the busy holiday season will make a huge impact on your bottom line this year. Lets get some dates locked in now.

PPPS If you’re in Oakland County, MSOC is already working on the budget for 2019. Contact John Bry at MSOC and let him know you want in. If you want something this fall, however, check with the other organizations in your community to see if they will help you organize this.

Ask Your Customers What They Want

The one “service” my biggest competitor had that I didn’t was a Birthday Club. I wanted one for my customers. I already knew one thing I would do differently. That was the big Birthday Bell you got to ring when you came in to celebrate your birthday. What you probably don’t know was that I actually wanted a bigger bell than the 32-pound brass bell we ended up getting.

Phil holding the Birthday Bell

I wanted to run a hole through the ceiling and put a little steeple on top of the store with bronze church bell inside. That way, when you rang the bell, not only would everyone in the store know you were celebrating your birthday, so would everyone outside the store.

Unfortunately that would be a potential violation of the noise ordinance, so we went with the indoor bell.

The two parts of the Birthday Club I wasn’t sure about were the offer and the age limit. So I asked my fans on Facebook.

I first asked what people got from other birthday clubs for kids. Most birthday clubs offered a small coupon good on a larger purchase with a limited time frame to redeem. The general sentiment was that $2 and $3 coupons, especially when they came with strings attached such as a limited window to redeem and a minimum purchase, were of little interest to the child and often not enough to even garner a visit to the store. That was useful information. I knew I had to go big or go home.

With this knowledge, I sent out a postcard that was a $10 gift certificate—no strings attached. Well, okay, we had one string attached. It could only be used by the birthday person. Period. How that person used it was up to the individual. The postcard never expired. The postcard didn’t have to be used with anything else. There was no minimum purchase (although you didn’t get change back if the purchase was less than $10).

A lot of people gave us the postcard and 59 cents for their birthday purchase ($9.99 plus 60 cents for MI sales tax).

A lot of people spent way more.

Our average ticket for the birthday postcard was just under $30, which meant we made a profit (albeit a small one) on those transactions. More importantly, the postcards drove traffic. Over the last couple years we averaged over 300 postcards a month. That’s over 10 per day. Imagine ten happy customers ringing a bell and having fun spending their free money. Not only did it create excitement in the store and drive traffic, it drove word-of-mouth advertising. Everyone took pictures and video of their kids ringing the birthday bell that they posted on social media. On top of that, it created lifelong memories. I have had several customers come up to me since we closed saying that was the one thing they miss the most!

I had one more question to ask … “How long should the Birthday Club last?” Some stores aged you out at 10 years old, some at 12 years old. I wondered what my customers thought.

When I asked that question of my fans on Facebook one mom answered, “40?”

I didn’t need any more answers (although I got several that echoed her sentiment). I knew right then and there our Birthday Club would have no age limit. Sure, some of the parents and grandparents used their postcards to buy gifts for the little ones. Some, however, bought stuff for themselves. One young lady celebrated her 96th birthday by ringing the bell and buying two new decks of cards.

Without asking my customers, I might have structured the Birthday Club quite differently and it wouldn’t have been the successful program it was.

Toy House Birthday Bell

Find out what your customers want. Give them that and a little more.

We only had the Birthday Club and the Birthday Bell in the last decade of our operations, but it quickly became the highlight and focal point of a visit to Toy House. The bell was engraved and now rests in the capable hands of Ella Sharp Museum where they pull it out for special displays of Jackson’s history.

-Phil Wrzesinski
www.PhilsForum.com

PS The Birthday Club worked on a variety of different levels. The ringing of the larger-than-life, 32-pound brass bell was about creating memories and spreading the word through social media posts. Rarely a day went by that we weren’t tagged in a photo or video somewhere. The $10 gift certificate was an act of generosity that outshone our competitors and positioned us as being more customer-centric than they were with all the strings attached. The no expiration on the postcard allowed customers flexibility for using it whenever it worked best for them. One family saved them all up and made a family trip in for everyone to spend their cards on one special day. One family was always traveling around their daughter’s birthday so they appreciated not having to “use-it-or-lose-it.” Another family held it for their son to celebrate his December birthday in July. Any time you can delight your customers, you should.

PPS If Goodyear had asked its dealers (its customers), I’m sure they could have helped create an even better system that would surprise and delight the end-users more than the frustrations they caused yesterday.

Good Idea, Poor Execution

I need new tires for my vehicle. I’ve been through this process before. It used to be easy. I had a downtown Goodyear Tire place. I went there. Supported my fellow downtown business. They always took care of me. Knew me on a first-name basis. It was only two blocks from Toy House. No worries.

They’re closed now.

Image result for goodyear assurance tripletred all-seasonSo I did what a lot of people do these days. I went online.

Let’s face it. Tires are scary. There are so many different makes and models. Each vehicle has its own requirements. Without trust between buyer and seller, it is easy to feel afraid of being ripped off. I wanted to know more about tires before I set foot in a store. I wanted to research different models, check prices (last time I got tires there was a $250 difference between the tires I got and a couple other places offering the same tire), and be prepared.

I’ve always been a fan of Goodyear, probably because of the Goodyear store downtown, probably because there used to be a Goodyear plant in Jackson that spent a lot of money at Toy House both as a company and the individuals that worked there. I found myself on the Goodyear website comparing different models the right size and style for my vehicle.

The website was good. It had side-by-side comparisons, reviews and ratings, plus all the specs like warranty, fuel-efficiency, season, comfort, etc. I narrowed it down to a couple choices and felt a whole lot smarter.

GOOD IDEA

Then the website took it a step farther. I had the ability right then and there to purchase the tires online and have them installed locally. Before I clicked, however, I went to a few local tire place websites to compare prices. No one had the tire I wanted as an offering, but their pricing on the other Goodyear tires was similar to the Goodyear site. I felt a little more confident that I was getting a fair deal.

The good idea at Goodyear was to get the purchase right away. Don’t let me go to a local shop and have them sell me on some other brand. When I clicked on the purchase button, it then gave me a choice of shops in the area where I could get those tires installed. Even better! I knew most of them, but didn’t have a relationship with any of them, so I chose the place closest to my home.

Then the Goodyear site let me choose an appointment time. It had to be two days or more later. That made sense to me, since the shop might not have the tires in stock. I chose two days later at 10am, paid for my tires, and got my confirmation email.

I will be willing to bet this website drives a lot of traffic to these tire shops because of people like me shopping online.

POOR EXECUTION

This morning I arrived for my appointment. No tires. The delivery truck doesn’t arrive until the afternoon. Plus, even if the tires were there, the shop had already booked all their bays for the morning. The shop had only received the email from Goodyear about the shipment and appointment this morning.

The guy at the shop was quite apologetic. He said he has this problem with Goodyear all the time, even though he has called them several times trying to get minor changes to their program like scheduling out three days instead of two so that he was sure he would have the tires on time and be able schedule installers. They tell him, “Sorry, that’s the way we do it.”

Fortunately for this shop, and for me, I have a wide open schedule this afternoon. So does the shop. As soon as the tires land I’ll be back and they’ll be able to get me right in. But just imagine the person who had to work their whole schedule around this appointment.

Maybe you had to drop off the car before work and find someone to take you to work, then pick you up after. Maybe you had to get a babysitter because you didn’t want to take your two-year old to sit in the waiting room of a tire shop. Maybe you had a business meeting out of town in the afternoon and really wanted those new tires before making a two-hour drive. Maybe you were leaving on vacation and were waiting on another paycheck to afford the tires, scheduled the purchase as soon as possible, but now had to delay your entire vacation a day because of this fiasco?

Can you imagine any of those people being completely upset and irate? Can you imagine any of those people taking their frustrations out on a tire shop manager for something that was totally out of his control? Can you imagine any of those people writing bad reviews of the tire shop on Yelp?

VENDORS ARE PARTNERS

As a retailer, I understand the flow of products. If I had called this shop directly, placed the order, and made the appointment, only to find that morning that they didn’t have my tires, that would have been one thing. But these guys were at the mercy of Goodyear (and, by my guess, the mercy of Goodyear’s web guys not knowing how to add holidays into their calendar).

I applaud Goodyear for taking the steps to offer this service online. That’s what a good partner does—drives traffic into your stores.

I chide Goodyear, though, for not understanding the levels of frustration and complaint they also cause their retailers because they don’t listen and adjust the system to fit the retailers. I hope the tire shop makes their full margin on these tires, if nothing else but for the hassle of having to work around Goodyear’s “system.”

In fact, I’m going to ask if that’s the case so that next time I need tires, I can find a way to make sure my local stores get what they deserve.

If you have a vendor who is truly your partner, driving traffic into your store, thank them and support them!

If you have a vendor who is causing your customers to hate you because of things out of your control, send them this blog post. 

If you are a vendor, recognize that you can do just as much damage as good, especially when you don’t listen to your retailers.

-Phil Wrzesinski
www.PhilsForum.com

PS Just a cautionary tale for vendors … I have known several vendors over the years who have offered programs to try to drive traffic into stores, but either didn’t consult the retailers first, or ignored their suggestions. The programs always fell flat and often turned the retailers off from buying their products. Many of those vendors are now out of business.

PPS This goes for retailers, too. You are a partner with your customer. Before you start offering something you think is good for the customer, you might want to first ask your customer exactly what she wants. I’ll tell you a tale tomorrow about what I learned when I asked my customers questions.

The Internet Isn’t Winning

You’re losing.

Case Study #1

Image result for a5 scooterMy son wanted to buy a scooter for getting around campus. Not an electric scooter, mind you, but a simple two-wheeled scooter similar to the one he had as a child but with higher handlebars and a larger weight limit. He is a college student with Amazon Prime. He researched it online as do most kids his age. He could have bought it and had it in two days. Instead, since the website said Walmart had it, he asked if I would take him to Walmart.

Two stores later, no scooter, no sign of that scooter having ever been in either store. Guess where he’s going?

Case Study #2

A friend needed a specific type of blood sugar test strips for the machine she got. The store where she used to get them had an empty slot on the shelf for over a week. Two other stores she tried didn’t have that style. Another store had them but for over double the price.

Guess where she went?

Case Study #3

I went shopping with my other son. He has particular tastes when it comes to pants. The last style that he liked has been discontinued. After trying several stores and pants we finally found another style he liked at REI. They had one pair—in one color—in stock in his size.

“You can get more colors and sizes online,” said the clerk.

Case Study #4

Another friend was in Dick’s Sporting Goods. She found a pair of shorts she liked but not her size. The clerk, after telling her they didn’t have her size, didn’t even offer for her to go online where she not only found her size, but also found they were on clearance, even though no one had bothered to mark them as such in the store.

Case Study #5

Another friend told me she stopped shopping at Younkers because the prices at the register never matched the prices on the shelves. Sometimes the prices were higher, which meant she had to get someone to go look at the shelf tags while customers lined up at the register behind her, and then fight for the right price. Sometimes the prices were lower, which, had she known, she would have bought more than one. Either way, each trip to the checkout was fraught with anxiety and stress.

I could go on and on about several times the customer service was so poor, the selection so lacking, or the experience so frustrating, that the best solution is to avoid going shopping in brick & mortar stores at all.

When I moved back to Jackson in 1993 the Jackson YMCA was transforming one of its squash courts into a rock climbing gym. Because I had led rock climbing trips before, they hired me to supervise it. When I met with my new staff for their first day of training I explained to them that there were NO regulations guiding how rock climbing gyms should be run, mainly because these gyms were relatively new and there hadn’t been enough injuries or accidents or insurance claims to force those regulations.

I told the staff that we would NOT be the cause of any such regulations. Our gym would be run at the highest standards of safety. We only had two incident reports in eight years and no major injuries.

Today you need to have the same conversation with your staff.

Your store will not be the cause of driving anyone to the Internet to do their shopping.

  • Your store will have the must-haves in stock.
  • Your store will have the merchandise properly displayed, priced, sorted, and available.
  • Your store will have a staff that knows the products inside and out including not only what you sell, but the most popular products you don’t sell (and why you don’t sell them).
  • Your store will be the store that offers solutions to problems.
  • Your store will be the store that makes checkout a breeze.

That’s what keeps people in the store and off the Internet. That’s what winning in the store looks like.

-Phil Wrzesinski
www.PhilsForum.com

PS My son is living proof that even today’s youth still want to shop in a store. The stores just aren’t doing their job of making it worthwhile. Worse yet, each poor brick & mortar experience reflects poorly on all brick & mortar stores, especially when it happens at an indie store that is supposed to be the pinnacle for customer service.
Don’t be that store that brings everyone else down.

Roll With the Punches

I picked up my son from summer camp today. He was in the Counselor-in-Training (CIT) program out at YMCA Storer Camps. As I have always done with my boys after a session at camp, Ian and I sat down to talk about the experience right away while it was still fresh in his mind.

After regaling all the experiences, I asked my son what was the one thing he felt he really learned at camp these past two weeks?

“How to roll with the punches.”

Image result for roll with the punchesRolling with the punches is a boxing technique. As a punch is about to land on you, you turn or roll your body away from the blow to lessen the impact. At freedictionary.com they also define it as, “to adapt to setbacks, difficulties, or adversity so as to better manage or cope with their impact on one’s life.”

I’m pretty sure Ian meant the latter definition. His first cabin of kids had a few setbacks, difficulties, and adversity for him and his lead counselor to handle.

For business sake (this is a business blog after all) let’s break that definition down further …

We know what setbacks, difficulties, and adversities are. In business we all have them. Local economic woes, street construction, your favorite line of products suddenly discounted online, a bad review on Yelp, a 20% jump in insurance costs, the landlord wanting to raise rent, a new competitor in town.

You’re never without setbacks, difficulties, or adversity.

The successful boxer rolls with the punches. The successful business “adapts … so as to better manage …” Just like the boxer, you have to anticipate the blows that are coming so that you can adapt to them and lessen the impact.

Street closures? Are you following the news, attending city council and planning meetings, or subscribing to government emails? Are you going to public hearings to not only hear what is being done, but have your voice be heard to find ways to lessen the impact these closures might have on your business?

Insurance costs? Are you working with a good business insurance agent and agency that can shop your account around to find you a better deal or work with you when rates go up to help you be aware more quickly? Are staying on top of all your expenses before they blindside you with a punch to the gut?

Landlord raising rent? Do you see your landlord as an adversary or partner? How would that change the relationship? How much sooner and with better intent would a partner inform you of a rent increase than an adversary?

Local economic woes? Are you measuring your market potential for your community by tracking national sales for your industry combined with local household income and population growth (or decline)?

Got a bad review? Are you actively monitoring social media and sites like Yelp and Google for mentions of your business? Do you have a plan in place for how you respond? Do you know the right questions to ask before you respond?

The successful business owner is rarely blindsided with a gut punch. He sees most hits coming and can roll with those punches. The key is to know that there will always be blows. You know which punches hurt the worst, too. Put a system in place to help you see those punches coming before they land directly on your business, and you’ll know how, “to adapt … to better manage or cope with their impact.”

-Phil Wrzesinski
www.PhilsForum.com

PS Two of the most profitable years in the Toy House’s 68 years of business were in 2009 during the Great Recession, and 2014 as our local economy and market was dying out. Although we took a gut punch in the fourth quarter of 2008, we saw the punches coming in 2009 and 2014 and were prepared for them. I know you already wear a few dozen hats. Being involved in city politics and tracking other numbers that affect your business might not be in your wheelhouse, but they do make a difference in how well you roll with the punches. Only you can decide how many direct hits you can absorb before you’re knocked out.

PPS Every boxer also knows the better you learn to anticipate the blows, the better you can counter-punch, too. That’s how you get ahead in boxing, in business, as a CIT at YMCA Storer Camps, and in life—by anticipating the blows, rolling with the punches, and throwing counter moves.

Five Proven Recipes

I saw the recipe online. It was from the legendary Paul Harvey so it had to be true, right? A simple concoction for eliminating mosquitoes in your backyard. Heck, I could even hear Paul’s distinctive voice in my head reading off the formula …

“You take blue mouthwash, the minty kind. Pour it into a bucket. Mix in three cups of Epsom Salt. Be sure to stir it well. You want all that salt to dissolve. Then … pour in three stale beers. Stale, mind you. Don’t waste the good stuff on those pests. Put that into your spray bottle and you’ll enjoy a whole summer mosquito-free … I know … I’ve been doing it for twenty years. And now you know … the rest of the story.”

Image result for blue mouthwash(Note: that is not an actual quote, just how I heard it in my own mind.)

As I walked into the grocery store, scratching the mosquito bite on my elbow, on my way to buy blue minty mouthwash, Epsom Salt, and cheap beer, I quickly Googled it. Sure enough, it was legit.

I sprayed my yard three days ago. My backyard smells minty fresh and I haven’t seen a mosquito yet. As soon as I post this, I’m going to The Poison Frog and spraying their backyard by the campfire circle where I’ll be performing this Thursday night.

I’m seeing a resurgence in old home remedies like this. I’ve been using a vinegar, salt, and dish soap remedy for the weeds in my yard. Much, much cheaper and safer than the chemical solutions on the market. And nearly as effective.

Here are the recipes:

Weed Killer

  • One Gallon White Vinegar
  • 3 Tablespoons Salt
  • 1 Tablespoon Dish Soap

Mosquito Killer

  • One Large Bottle Blue Minty Mouthwash
  • 3 Cups Epsom Salt
  • 3 Cheap, Stale Beers

Yes, there are more costly solutions. I used to spend a lot of money on Roundup and Ground Clear to keep the weeds at bay. I used to spend a lot of money on Cutter’s yard spray to be able to enjoy the backyard. The old recipes seem to be working just as well as the newer, more costly solutions.

I’m telling you this because you are being bombarded with a bunch of new-fangled (often costly) solutions to your business problems. There are some less-costly yet incredibly effective old recipes for success you should try cooking up. Here are three of my favorites.

Customer Service

  • Find out exactly what the customer expects.
  • Give her that and a little more.

Advertising

  • Don’t let your ads look or sound like an ad.
  • Tell a story.
  • Make it about your customer, not you.
  • Speak to the heart of your customer.
  • Speak to your tribe, the people who share your Values.
  • Make only one point.

Hiring & Training

  • Identify all the traits and skills of the perfect candidate for that particular job.
  • Hire the traits and skills you can’t teach.
  • Train the traits and skills you can teach.

Five recipes that are proven to work, don’t cost a bunch, and have stood the test of time. You’re welcome to try any of them.

Cheers!

-Phil Wrzesinski
www.PhilsForum.com

PS Yes, you can hire me to teach you how to use those last three recipes in your store, either one-on-one or in a group setting.

Convenience Versus Experience (Revisited)

It was seven years ago today that I returned to work after recovering from major throat surgery. I was looking at some posts I wrote during that time and came across one I wrote while lying in bed titled Convenience Versus Experience.

The new buzzword in retail today is “experience.” Just Google “Customer Experience” and you’ll see what I mean. Heck, I’ve been saying it, too.

Here is what I said on May 26, 2011

 

Convenience Store is always located on the easiest side of the road to pull in or pull out, no-hassle driving.

An Experience Store has you drooling with anticipation as you wait at the light to pull in.

Convenience Store carries all the same merchandise you would expect to find anywhere, the most popular items, the most requested items.

An Experience Store is full of unique and wonderful treasures, amazing merchandise you haven’t seen.

Image result for convenience store signConvenience Store is open early and late, enough hours to be there exactly when you need it.

An Experience Store is open long enough for you to be able to take the time to explore all those treasures leisurely and when it fits in your schedule.

Convenience Store has a staff that knows where everything is, and can get you through checkout in a hurry.

An Experience Store has a staff that also knows what everything is and how each product fits or doesn’t fit in your lifestyle, and can also get you through checkout in a hurry (because when the shopping is done, there’s no time to waste).

Convenience Store wants your trips to be quick, painless, anonymous.

An Experience Store wants your trips to be comfortable, engaging, and relational.

Convenience Store treats the customers as transactions, maximizing speed in the process.

An Experience Store treats the customers as people, maximizing comfort in the process.

Convenience Store is measured by how little time you want to spend there.

An Experience Store is measured by how much time you want to spend there.

Convenience Store is on the way to or from a Destination Store.

An Experience Store is a Destination Store.

 

Let me clean that up for you.

An Experience Store

  • Has you drooling with anticipation as you wait at the light to pull in.
  • Is full of unique and wonderful treasures, amazing merchandise you haven’t seen.
  • Is open long enough for you to be able to take the time to explore all those treasures leisurely and when it fits in your schedule.
  • Has a staff that also knows what everything is and how each product fits or doesn’t fit in your lifestyle, and can also get you through checkout in a hurry (because when the shopping is done, there’s no time to waste).
  • Wants your trips to be comfortable, engaging, and relational.
  • Treats the customers as people, maximizing comfort in the process.
  • Is measured by how much time you want to spend there.
  • Is a Destination Store.

Notice how none of that says you have to offer some crazy, wild, event-based, theme-park-styled type of experience? Seven years ago, this was cutting edge stuff. Today it is pretty much what everyone is talking about. Now you have a list to which you can compare your store.

Are you full of unique and wonderful treasures people haven’t seen? Do you have a staff that knows what you carry, why it fits into someone’s lifestyle, and how they should best use it? Is your store comfortable? Do people want to spend time there?

Experience Stores aren’t accidental. Nor are they easy. You build them by design, staff them by design, and run them with purpose. Which store do you want to be?

-Phil Wrzesinski
www.PhilsForum.com

PS If I were to add anything to the May 26, 2011 post it would be …

A Convenience Store has everything you expect.

An Experience Store has pleasant surprises and unexpected wonders of delight.

“Everything Cheaper Somewhere Else”

I used to hate anonymous commenting on news articles and blog posts. It is so easy to hide behind a pseudonym and take unsubstantiated potshots at people and businesses, spread rumors, and even spread downright lies.

As a retailer, I took every negative comment and review of my business personally. Some of them hurt, especially when they weren’t true. The misunderstandings were one thing but the outright lies were the worst. They cut to the bone.

I remember one day in the infancy of online news when a fellow downtown business owner alerted me to comments posted on an online news story that attacked both my store and me personally. He warned me not to read them. I didn’t heed his warnings.

One person had taken it upon him or herself to just rip the business up one side and down the other, calling us, among other things, price-gougers who were just out to destroy the little people in town. This person claimed that he or she could find everything we sold in our store cheaper online.

I took offense to the first part. The person posting the comment had no idea what I paid myself or my staff or our profit margin or what we gave to charity or what causes we supported. I am a forgiving person, though. I will forgive them their ignorance.

The second part, however, was pretty much true. Not only could that person show you the items cheaper, I probably could, too. After all, I had Internet access. I could also show you sites and stores where just about everything we sold was more expensive than our prices. That exists, too.

In fact, if prices weren’t fluid across different channels, Retail would look a whole lot different and be a lot less fun. Everyone would pretty much do the same thing and charge the same for it. Yawn.

Image result for valueRetail is a game, and the game can be boiled down to this … Find the Value you can give the customer that will make it worthwhile for them to pay the price you wish to charge.

At the ballpark they charge you more for a single beer than you would pay for a twelve-pack at the store. You buy it because you want to drink a beer during the game. There is enough Value in enjoying that beer while watching the game that makes you pay the price. (Don’t want to pay their outrageous prices? You can eat before you go to the ballpark. Most people can handle 3-4 hours between eating. You can also drink water for free. They have to provide it to you.)

People call them price-gougers all the time. It doesn’t stop them from raising their prices and making money. They offer you the Value of being at the game and watching the action in person.

The real question you need to ask yourself as a retailer is … What Value are you adding to the equation and will that Value be enough to get people to pay your prices?

You can add Value in several ways. You can:

  • Offer services other stores don’t have (i.e. layaway, free gift-wrapping, assembly, delivery)
  • Curate the selection to help customers get only the best solutions
  • Align your business with a social cause
  • Offer follow-up services (such as the free 30-day riding tuneup that we used to offer with every bike we sold)
  • Build relationships to the point that the customer feels as much ownership in your store as you do.

Any one of those is a way to “play” the Retail Game. Play more than a few of them and you’ll never worry about how someone can find “everything cheaper somewhere else.”

Were we the lowest priced game in town? Nope. Never tried to win that race to the bottom. But in a 2007 survey of Jackson County residents about stores that sell toys in Jackson, we were rated as having the highest “Value” ahead of Walmart, Target, Toys R Us, Kmart, and Meijer (all whom love to advertise their “lowest prices”.)

What Value are you adding to the equation?

-Phil Wrzesinski
www.PhilsForum.com

PS I have a good friend also named Phil who also ran a toy and baby store in the other Jackson (MS) who never liked MAP (Minimum Advertised Pricing) because it made everyone price their goods at the same price. He said true merchants have no problem with the undercutting of prices on the Internet because they know how to offer Value and make sales at higher margins. As much as you hate to admit it, he’s right. MAP only protects you at the margin the vendor thinks you should make, not the margin you deserve for all the value you offer.

PPS As for anonymous negative comments online, if they are an attack on your character or the character of your business, ignore them completely. Your actions speak louder than your words. Use your actions to prove that person wrong. If the comments are simply something misunderstood, you can respond for clarification, but only if you can substantiate your claims without putting down the person who made the comment. More often than not, however, it is best to ignore anonymous comments, period. I’ll talk about how to respond to Reviews in a future post.

PPPS A few of those ways to play involve the skills and training you give to your front line staff. As I pointed out before, that is probably the easiest way to add the kind of Value your competitors are not adding to their equations.