Force Your Business to Improve - Kaizen with Teeth

How can you turn small steps into big profits?

Let your clients tell you where you're screwing up.

Here's what I mean ...

Jim Collins, author of Good to Great, offers this story worth emulating:

Consider, for example, Granite Rock Company, a small construction-materials outfit that won the Baldrige award in 1992. The company espouses continuous improvement in customer satisfaction.

They tell their customers, "If there’s anything about an order you don’t like, simply don’t pay us for it. Deduct that amount from the invoice and send us a check for the balance."

They call it shortpay; I call it a thorn in the laurel or a mechanism with teeth. While many successful organizations rest on their laurels, Granite Rock does the opposite. They devised a system that makes it difficult if not impossible to become complacent about continuously improving customer satisfaction.

A mechanism with teeth -- what a great visual.

By telling customers NOT TO PAY for anything they don't like, Granite Rock finds out FAST where it's under-performing, so they can fix the problem FAST.

Personally, I'm jealous. Although I work without a safety net, too, by offering an unconditional money-back guarantee on my copywriting, Granite Rock's "shortpay" invoice concept is way sexier.

If you send out invoices (I don't, or I would borrow this idea yesterday), why not test this out on a small scale, and see what kind of results you get?

If you're any good at what you do, a shortpay invoice will pleasantly blow away your clients ... not to mention the referrals you'll get. Because an outstanding product or service is often the best form of marketing.

Bio: Kevin Donlin can help you grow your business and enjoy the breakthrough results your hard work deserves. If you're interested in boosting your revenues and profits, please click here.

The Last 30 Seconds

At a seminar in Minneapolis last year, Seth Godin said: "People judge their entire colonoscopy experience based on what they remember from the last 30 seconds."

If you can envision a colonoscopy, I think you will agree with Seth.

Now, envision your business.

No matter what you do, it's exactly like a colonoscopy.

Let me explain ...

A few years ago, I took my car in for an oil change. The service guys did a great job -- it was fast, friendly, and the price was right.

Below is a picture that represents my experience up to that point ...

They finished and brought my car around. I got in and found a big, fresh stain on the passenger seat.

I motioned the technician over asked him: "Hey, can you tell me what this is about?"

He looked at the stain and said, "Oh, yeah," like he'd just remembered. "You shouldn't put a can of STP in your glove box in the summer. It can overheat and burst open. I guess that's what happened."

I said, "Well, did it levitate out of the glove box and hover over the seat before exploding?"

He had no answer, of course. One of his guys must have been going through my glove box -- why, I don't know -- and spilled the STP can on the seat.

No apology, no attempt to fix it. They thought I would drive away and not notice.

So, based on the last 30 seconds of my experience, here is my lasting mental picture of that company ...

How many people do you think I told about this? EVERYONE.

I made it my hobby for the next 6 weeks to tell any English speaker within 3 feet: "You don't want to go to Hick & Brothers Auto Shop because they'll screw you over!"

Now, think: What are the last 30 seconds of your clients' experience with you?

It it:

• a phone call?
• an email?
• a letter or box in the mail?
• your technician wiping his feet and closing the door on the way out?

Whatever those last 30 seconds are, they pretty much define:

1. what your clients think about you
2. what your clients say about you

Worth obsessing about, no?

You'll find more ideas like these in my Free Report, Guaranteed Marketing. 

The Leap Not Taken

Henry Ford said a lot of smart things.

One of them was this: "You can't build a reputation on what you are going to do."

Now. Take a look at your recent accomplishments.

Are the BIG things you're going to do actually getting done?

If not, you might get more accomplished by thinking small.

Example: One referral given today beats 10 that you're going to give later this week.

Or: One prospect you call today beats 25 prospects who might call you, after your web site gets overhauled next week/month/year.

Or: One thank-you note you write and mail to a client today beats that book you're going to write next month/year/decade.

Many small steps taken will build your business -- and your revenue -- faster than one giant leap not taken.

This is all Kaizen Marketing by another name, by the way.

Small steps taken will build your reputation -- and revenue -- faster than a giant leap not taken.

You'll find more ideas like these in my Free Report, Guaranteed Marketing. 

Temper Tantrum or Learning Opportunity?

Saturday morning my wife called from the school where she teaches, asking me to bring her cell phone, which she had forgotten. It was essential for the lesson she was teaching.

Not being a dummy, I said, "Sure, honey."

Before getting in the car, I had two options:

Option #1: I could have viewed this 25-minute roundtrip drive as a huge inconvenience, wrecking my plans to liesurely read the newspaper over coffee. I probably would have arrived at her school in a foul mood and put my wife in a foul mood, making for a rotten rest of the morning for both of us.

Option #2: I could have viewed the unplanned errand as an opportunity to listen to an old Brian Tracy audio, "Executive Time Management," that I found the other day in the back of my closet. With 25 minutes of drive time, I could listen to half the audio and absorb a few lessons.

I chose Option #2.

And I'm glad.

Not only did I avoid wrecking my morning and my wife's with a temper tantrum, I learned something extremely valuable from Brian's audio -- something I might have never discovered otherwise.

Specifically, Brian's explanation of a PERT chart (see below) gave me a crucial insight that will help me finish a project that's been languishing for 3 weeks.

PERT Chart example

It's no exaggeration to say I may have reclaimed 2-4 weeks of effort and more than $20,000 in revenue, all based on one insight from an audio I would have otherwise not listened to had I not had to make an unplanned drive to school to bring my wife her cell phone.

What made the difference between temper tantrum (Option #1) and learning opportunity (Option #2)?

Attitude.

Instead of seeing the chore that dropped into my lap as an interruption, I saw it as a chance to learn something. And it made my morning infinitely more productive than reading the newspaper.

(Also, it led to this blog post, which is nice.)

You'll find more ideas like these in my Free Report, Guaranteed Marketing. 
 

A Cure for the Common Business Card?

In a world of flat paper business cards, this stands out like a ... big pill bottle full of M&Ms.

Because that's what it is.

It's the un-business card that doubles as a clever keepsake from Sue Guggenberger at The eBill Group. Her company does billing, bookkeeping, and cash flow management for physicians in the Twin Cities and beyond.

No, you can't put this in your wallet or file it with the other 373 business cards in your drawer, but that's the point. This is impossible to ignore or stack anything on. It has to sit on top of your desk or on a shelf by itself.

It literally stands out.

Keep Sue in mind if you're a busy doctor who wants to streamline your practice.

And keep her un-business card in mind if you want an alternative to the typical, dull-as-dishwater business card.

You'll find more ideas like these in my Free Report, Guaranteed Marketing. 

Want More Referrals? Try Giving One. You May Forget to Stop

If you own or manage a business and want more referrals, it pays to do two things:

1. Do your job very well
2. Give referrals

I can't help you with 1.

But I can help you give more referrals to your vendors, non-competitors, friends, community leaders, and of course, clients.

That way, you'll get more referrals in return.

I know what you're thinking: Giving referrals is hard.

It's a hassle. It takes too much time. You have to give 5 or 6 referrals before you get any back. Etc.

But here's a way to give more referrals -- and earn more in return -- simply by giving one referral.

It's based on a passage from the excellent book, One Small Step Can Change Your Life, by Robert Maurer. On pages 96-97, Maurer writes:

Many years ago, I heard a very famous pain expert give a lecture to a large audience. Although pain cannot always by managed with medications and other medical interventions, mental techniques like meditation can significantly reduce the suffering of those who hurt. This pain expert encouraged each of his listeners to go home and meditate for one minute a day. Quite surprised, I went up to him after the talk and asked him why he thought one minute of meditation would possibly do anyone any good. In a patient tone of voice, he asked me how long meditation techniques had been around.

"Two or three thousand years," I said.

"That's right," he told me. "So there's a very good chance that the people in this audience have heard of it before now. Those who like the idea have already found a teacher or a book and are doing it. For the rest of the people in this audience, meditation is the worst idea they ever heard of. I'd rather they go home and meditate for one minute than not meditate for thirty minutes. They might like it. They may forget to stop."

Wise advice, don't you think?

If you've ever struggled to do 20 pushups, try two sets of 10, or 4 sets of 5. Half the battle in finishing is starting. That's why slicing up an unsavory task can work -- any big project is easier, one small step at a time.

Now, here's the deal with referrals: You've already heard that giving them is a great way to get them.

If you like the idea, you're probably doing it already.

If not, why don't you give out just one referral today? It's better than not giving out 30 referrals. You might like it. You may forget to stop.

You'll find more ideas like these in my Free Report, Guaranteed Marketing. 

Marketing Success by the Numbers

A big misconception about successful marketing (in general) and copywriting (in particular) is that it's all about creativity.

Not so.

Marketing -- defined as finding, getting, and keeping customers -- is really a numbers game.

Know your numbers and you can play the game to win. Don't, and you won't.

Here are two examples of numbers to know:

1) What is your lifetime customer value (LCV)? In other words, how much does an average customer spend with you over their entire buying lifetime?

When you know this number, you know how much you can afford to invest in customer acquisition (i.e., how much you can "buy" customers for and still profit).

2) What are your conversion rates? In other words, what percentage of people turn into customers after seeing your ad, visiting your web site, or hearing your networking pitch?

When you know this number, you know what's working, so you can do more of it. You can also fix or stop doing what's not working.

The point to all this? When you know your numbers, you can make intelligent decisions about how to spend your limited time and money.

When you don't know your numbers, you are flying blind. And you will crash, eventually.

Here's another example, which will resonate with you if you market a professional service ...

Three weeks ago, I sent 2 project quotes to prospective clients. One week later, I received 2 checks from those quotes (100% closing rate).

Two weeks ago, I sent one project quote to one prospective client. Last week, I received one check from that quote (100% closing rate).

By the numbers, there are two lessons here:

1) My 100% conversion rate either means I'm a good salesman or my prices are too low. So I'm raising rates on my copywriting services ASAP to see if profits go up, even if my conversion rate takes a hit.

2) You can bet I'm sending out more than two project quotes this week! The numbers are very clear: More project quotes = more paychecks for me. How's that for motivation?

Sidebar: I never call my quotes "quotes," or "bids," or "estimates," and neither should you. Why get lumped in with everyone else? If you do, you're competing on price -- a loser's game.

Instead, when a prospect asks for a price quote, send them an "Outline of Services," a "Project Description," or some other term of your own creation. This helps put your business in a category of one, where there's no competition.

You'll find more ideas like these in my Free Report, Guaranteed Marketing.