Entrepreneurial Passion, Problems, & Desires
March 8, 2010
Here’s a really short video I did for you today, just before starting 3 1/2 days with Ali Brown, James Roche, and my fellow Millionaire Protegee Club members in Marina Del Ray. Think about this for YOUR biz!
Can You Really Describe Your Ultimate Target Market?
February 7, 2010
One of the real “rookie” mistakes made by new entrepreneurs is to completely fail to know her target market. This is something that is very easy to spot. A few of the signs are:
- Her business is not thriving, meaning she needs more customers and she is not financially successful.
- When asked who she works with, she replies “Oh, I work with just about anyone.”
- If asked to thoroughly and completely describe her target market, she is flustered and can’t give more than a sentence.
The “Oh, I work with just about anyone” response is one I’ve heard from both new and not-so-new entrepreneurs many times. So many times, in fact, that it now drives me a little nuts. When someone says that, they are setting no boundaries for who they work with, which is a deadly thing. Let me ask the “just about anyone” entrepreneurs these questions:
1. Does it matter to you if a customer stiffs you?
2. Are you open 24/7?
3. If you were, for instance, a seller of curtains and blinds, would you drive 400 miles to sell a set of blinds to someone?
Of course, the answer to each of these is almost always NO! And that’s a good, thing, because that entrepreneur has just started on a path of better describing her target market. Her target market are people who have the money to pay for her products or services, she works with those who contact her during specific days and hours of business, and she has a limited geographical area in which to sell her blinds. This isn’t a complete description of her target market, but it is a start.
You can picture the creation of your target market as setting fences and gates around a specific group of people with whom you really want to work. You might not be as blatantly obvious about it as the gatekeepers are at hot night clubs, where one must stand outside on the sidewalk and get personally picked to go inside, but that is one very good example of a business who is very picky about who they want to serve.
I’ve learned about finding your niche and describing your target market from 3 or 4 of my coaches and mentors, but the one who made me work the hardest to describe my market, hands down, was Suzanne Falter-Barnes. She has a very long list of questions that one must answer to get through one of her platform building classes. The first time I saw that fat list of questions I just about fainted. In fact, the document she proposed I fill out to describe my market was 17 pages long! Still, Suzanne knows her stuff and I was there to learn, so I plowed into the questions. At the end, I felt like I’d invented something akin to a kid’s secret playmate. I started getting actual pictures of how my target market person looked, how she dressed, what she spent her money on, and more. I got so familiar with her in that 17 pages of ruthless questioning that I decided I knew her well enough to name her, for Pete’s sake! And that is what I strongly suggest you do, too.
My suggestion is to sit down with your computer or a piece of paper and describe a “sample” person from your target market as if she (or he) is a character in a book you are writing, and it’s up to you to fill your reader’s head with a detailed, specific, colorful image of the character you are writing about. Describe age, education, the kind of work she does, where she lives, her likes and dislikes – anything you can think of that will add to the picture in your head. This may lead you to dig around on the web for demographic or other information.
Spend quality time here, for it pays off in the end. Ask yourself (with pen and paper or keyboard nearby) “who is the most perfect customer for me?” If you have a hard time doing that, prime the pump by listing the characteristics of your most favorite or best customer so far. From there, dream on. Who would be delightful to work with? Who would you dread working with? What characteristics drive you crazy? Who have you worked with who bugs you so much you hope she never calls you again? You get the picture – and that’s whole point. For here is a secret about financially successful entrepreneurs:
Those who describe and visualize their target market well have started the process of manifesting exactly that type of customer for themselves. You now have a vision of who you want to attract, in detail. Put that right on your business vision board and keep it in your mind’s eye, for who you focus on tends to come your way.
Having this vision and description on hand also makes it easier to walk away from business that isn’t right for you, doesn’t truly interest you, and has a downside to it. (The downside being that while you are spending time with uninteresting client A, you cannot very well be also working with or running into very interesting and exciting client B. This is called “opportunity cost.”) Realize that it actually COSTS YOU to work with the wrong customer, for you are giving up the opportunity to work with who is just right for you.
Taking the time to dream up your ideal target market person makes finding that type of person much easier. You now know where to focus your efforts. If you are spending a lot of time and money networking in a group of direct marketers, and these are not your target market, it’s time to make a change. Pull your time and money from the wrong group, and go find the right group. You’ll find more and better business in the new group and waste less of your precious time.
When you are creating marketing plans, writing sales copy, or pulling together a presentation you’ll be able to keep your secret target market person right with you, writing to them. There will be less agony over creating these things.
And finally, when you have the opportunity to build a relationship with a potential customer, you will be much more at ease because, after all, you will pretty much feel as if you know that person in a way. You’ll be confident that you’ve spent time with someone who has a much higher chance of needing what you offer. This will shorten your sales cycle and make you more money faster. I don’t know of any entrepreneur who doesn’t want that!
So, get that blank paper or computer screen and get going. Breath some life into your target market, and you’ll breath new life into your business, as well. It’s a win-win for every entrepreneur.
(c) Sue Painter
Who Is In Your Entrepreneurial Community?
February 6, 2010
For the past few years now I’ve experimented with just about every method of coaching and mentoring that is available to solo professional and entrepreneurs. All of them have their pros and cons. But one thing that I’ve come to know for sure is that if you are in your own business, you need a great community of like-minded entrepreneurs around you. Why?
- Running your own business is a solitary endeavor. Decisions are up to you and you alone. You need the perspective of other business owners to round out your own thoughts. The perspective of your employees (if you have any) isn’t the same thing.
- Your own energy waxes and wanes. I’m not talking about the moon or hormones, either. The best business owners know that their own energy has to attract others to them – good staff, great customers, good deals for rents or whatever else. And it is very hard to keep your own energy up where it needs to be without sometimes drawing from the good energy of others.
- Time inevitably puts you in the box. What do I mean by this? When you created your business you did it to put forward a new, not previously done type of business. You felt what you had to offer was unique and special. In other words, you were out of the box. But as time rocks on, your own thinking gets boxed in by the very dailiness of what you do, by your own fatigue, and by the fact that others will emulate you. To keep on re-creating a business that continually pleases and serves your customers, you need to keep yourself out of the box.
- Your ideas, although they are great, can be sharpened and improved by your entrepreneurial community. Simply put, multiple heads are better than one. Here’s a quick example of this. In one of my own communities, a woman had a deal with a book publisher for her very first book. But she was balking about what the publisher wanted to title the book, taking issue with both the main title and the tagline. She brought it up in our next get together, only to find that her adamant opinion was not shared by a single one of us! We all though the title was good and that, furthermore, the publisher knew what would sell much more than the author did. As I pointed out, the author is the subject matter expert but her publisher is the marketing and sales expert for her book. All but one of the entire community basically told her to suck it up. And after she listened to us, she did! She ended up coming all the way back around to what the publisher had suggested, with only a very minor one-word change. Which leads me to my next point about the benefit of being in an entrepreneurial community….
- It helps you get your own ego out of the way, and think about what you offer from your customer’s point of view. Believe you me, you will ONLY be successful if you offer what your customers want and need, not what you in all your wisdom think they need.
I could probably come up with a few more good reasons, but I think you, smart as you are, get the point. It may take a village to raise a child, but it takes a community to foster a solo business. I cannot even begin to list for you all that I have learned from constantly participating in my own communities. I’ve gotten both wonderful, gentle, loving support and a sharp kick in the pants….and both have been beneficial to me. It will be the same for you.
I’m excited to tell you that I’m forming a new community for solo business owners that will offer these benefits ( and more) in just about a month. I’m calling it Private Matters because I’m creating a group to which you can bring your most private thoughts and worries. These deeply affect your business, they matter. So….in a nutshell….Private Matters. It will be small, full of sharp thinkers and dedicated solo business owners, and it will change you and your business in ways that you can only dream of. If you feel you are a good match for Private Matters, you can e-mail me and I’ll make sure you get the application and information.
Meanwhile, keep your business focused on who you serve, what those people need, and how you can best offer products and services that meet those needs. And remember to reach out for community regularly. Both you and your customers will benefit.
(c) Sue Painter
Does Your Business Suffer From Perfection Syndrome?
January 28, 2010
Perfectionism will kill your business. The goal that you have as a solo professional is to provide a service that solves the problem your customer has. If you do that, you’ll succeed. Notice that I don’t say you have to PERFECTLY solve your customer’s problem. In fact, if you push for a perfect solution you run the risk of putting your customer off, because you will begin to nit pick at tiny little things you are offering, and you’ll lose focus on the big picture.
This thing about perfectionism is controversial to talk about. We are taught to find the “perfect solution” to our customers’ problems. But here’s the thing, and it’s important to remember. Life changes for that customer almost daily. The customer herself can’t really articulate a “perfect” solution. She may think she can, but once her “perfect solution” is in place, things will change and she’ll find that she needs to tweak it a little bit over time.
The big truth is that there IS no ongoing, perfect solution for your own business or for your customer’s business, either. You plan a resolution to an issue and execute it, and after that you see what worked and what didn’t work. You change it around the edges a little bit and go again. Finding what works for yourself or for a customer is not a straight line. It’s a curving line, sometimes curling back on itself, sometimes meandering where you never dreamed it will go. To hold that as true and faithfully watch when changes are needed is the best practice for a solo professional. It’s the best practice for larger businesses, too, but they often become too inflexible and stodgy to execute in that way.
Here are two big problems I see with solo professionals who are trying to establish a business that makes enough money to be viable.
1. Fear of making mistakes, which manifests as failure to take timely action.
2. Trying to decide everything by logic rather than feeling into what might be best for their business or their customer’s business.
I’d much rather see a solo professional try something and fail, and then learn from what went wrong, than to be paralyzed from the fear of failure. Almost all successful business owners have made mistakes, and there’s no sin it in. The sin is in burying the mistake and failing to look at it closely so that one learns. I literally have to re-train a good portion of the clients I work with to actually tell me when something goes wrong! We get into this practice of trying to hide our mistakes, which doesn’t help us in the end.
Additionally, there is a great benefit to using your feeling sense to help make decisions for yourself and your customers. You might also think of this as using your intuitive sense of things rather than depending solely on logic. You can ask yourself a question, close your eyes, and get a gut feel or sense of the best answer. The more you practice this, the better you will get. It is a great addition (and sometimes a replacement) for deciding only by logic alone. In fact, most of the millionaire entrepreneurs I’ve interviewed over the past years tell me that when the chips are down and it’s decision-making time, they trust their gut. Not the figures, but the gut. That’s a great confirmation of using your feeling sense to help you made decisions. Sometimes things will not seem logical at all, but you have a strong sense it is the right path to take.
The truth is that there IS no perfection in this life, so trying to run our businesses from that place will never work. That is the wisdom that successful solo professionals have come to know. the next time you feel yourself fearful over making a business decision, take a breath, check your gut, and move forward. You’ll find that you will do better in the end than waiting for perfection to come.
Add Fun To Your Entrepreneurial Endeavors
January 24, 2010
Lately I’ve run across more than one budding entrepreneur who makes building a business out to be nothing but serious and a lot of 
hard work. I’ve been pondering this a lot. Our energy follows our thoughts. When we hold only serious energy toward anything, it BECOMES hard to us. We fulfill our own expectations. We start believing that there is too much to do, too much to learn, and that we are overwhelmed. Here are just a few examples I’ve run across in the past months:
- It’s no fun to pay attention to weekly income and expenses.
- It’s no fun to carve out the time needed to work on my business, not in it.
The truth is, your business will flourish the more you weave fun into it. When we look forward to learning something new rather than thinking it will be overwhelmingly difficult, we create energy toward our own success. When we hold our work lightly, it feels much less burdensome and hard. We end up with a more positive energy toward the things we have to do. We all know this, but when it comes to our work we sometimes tend to forget it. We think we have to labor at our work, or keep it separate from our fun.
Dread has no place in your life as an entrepreneur. You didn’t set yourself up to be the boss of you just to feel dread toward your work, did you? 
One way to handle feeling too burdened or overwhelmed is to make sure you inject some fun and things you truly enjoy into your business. Tiny pleasures or large ones, they all help you succeed in your work.
Here’s just a small example. I’ve always loved the color turquoise, so to inject a little bit of fun into the work of updating one of my websites, I used it and asked Facebook friends what color to pair it with. I ended up with a dynamic combo of my fav turquoise paired with peach. I love it, and I had fun I had pulling it together. (You can check out the result at suepainter.com.) How fun it was to read the other day that turquoise has been named “color of the year.”
Often I encourage my clients to plan personal retreats to work out their stuck places and to work on their business planning. These are fun despite being productive. Go where you’ve been wanting to go, or return to a place you enjoy. Not only does the prospect of a trip create a welcoming energy, you are so easily able to work on your business rather than in it, getting away from the day-to-day routine. Go by yourself, or pair up with another entrepreneur who also wants to hammer out some work. You can weave breaks into your day, walk on the beach, get a nice dinner, shop. But for the most part, you are giving yourself uninterrupted time to invest in your business. Don’t sabotage yourself by making this a family vacation, either. It’s not – it’s for YOU.
You can also form a small Mastermind group with people you truly enjoy, and meet by phone or in person to help each other with business issues. Make it fun – meet over a good bottle of wine, take a walk, whatever you enjoy. For a while last year, I did this with another entrepreneur by meeting her to water walk and swim together. We’d do that, then get into the warm therapy pool and stretch both our bodies and our views of our businesses.
Do you have staff or employees in your business? In nice weather, try meeting outdoors with a picnic lunch. Just think about ways to bring joy and pleasure into your endeavor. You’ll benefit both in your spirit and your bottom line. Think easy-peasy, not hard. Think mastery, not failure. Think simple steps, not big overwhelming project. You didn’t put yourself in business to feel fearful, down or out. You put yourself in business to serve others and create a world of work that meets your income and lifestyle wishes. Fun will help you get there, even in small doses!
(c) Sue Painter
Could Your Business Withstand A Disaster?
January 18, 2010
The plight of the Haitian people and their country is on everyone’s mind. The images we see on the news are horrific, pulling at my heart. Literally, Haiti will have to rise from the ashes like a Phoenix. Even with massive aid from many countries, getting the country set up and the people well will take much time.
Disaster visits without warning and quickly. On a personal level, it could be unexpected illness or the death of someone dear. For your business, it might be flood, fire, or an employee who causes harm. Think about the small business owners in Haiti right now. If their business is in rubble they have no way to make money even if they could offer what their customers need most. If their business was left standing there is no security to protect it. Already, many shops have been looted for their goods. Some shop owners have simply opened their doors and emptied out their shop, giving away everything they have.
Your business will withstand disaster only to the extent that you have systems in place that you can lean on when something goes wrong without warning. While this isn’t a comprehensive list, here are your main concerns.
- Are your business’s assets insured? What would happen if a disaster caused you to lose your office or the equipment you need to carry out your business? You can either buy insurance or self insure, meaning that you have set aside money that could immediately be used to replace your lost equipment and get your doors open again.
- Do you have back-up systems in place, and do you use them regularly? Could you recreate your financial records easily? Are your customer records secure and backed up either physically or electronically?
- Have you thought about how to handle the sudden loss of a key employee? Do you have a comprehensive list of what that person does and how she does it? Do you have a way to get additional help quickly if you lose someone to illness or accident? The more you have your work systems documented in an operations manual, the quicker you can get up and running, back to making income.
- Have you planned how to handle your business if you become unable to work for a while? Is there someone who knows enough about what you do to step up and fill in until you can work again?
If you are a business owner who truly depends on the money you make, it is vital to have answers to these questions. What I see for many solo business owners is that even the slightest disaster shuts them down completely. These owners ARE their business. When they can’t work, there is no income at all. Even an illness like the flu effectively shuts them down. They’ve never thought about alternatives. Often, the loss of momentum creates a negative spiral that the solo business owner never recovers from. Their business just slowly winnows away.
One of my own businesses suffered a mini-disaster over the past few months, in fact. In early December I had major surgery that I knew would keep me away from the massage clinic I own. Plans were fully in place for my staff to take over my own work with clients. My practice manager was prepped and ready to take care of management and administrative work that I normally handle. My start date to come back to the clinic was set. My clients were all informed and taken care of. Well, while I was still in the hospital, the practice manager’s father was found to be terminally ill. She left town and even now has not returned to work. Four weeks after my surgery, I unexpectedly had to have a second surgery due to complications from the first, making it impossible for me to meet my return to work date. One staff member left unexpectedly. Suddenly, I was down to one hard-working staff member and what I could administratively handle by phone. The systems I’ve put in place for that business saved my bacon, and allowed us to continue to serve clients, make money, and handle at least the bare minimum of administrative work. While I used to chaff over the time it took to put operations manuals and back up plans in place, now I am very grateful that I had them.
Disaster don’t have to be as large as the Haitian earthquake to effectively shut your business down. If you want to recover quickly and continue to make money, get your plans and systems in place and review them at least once a year. Your bank account will show the results and your business will suffer far less than those with no planning at all.
(c) Sue Painter
Ten Basics of Consumer Behavior That Will Help You Make Money, Part Two
December 28, 2009
In Part One of this article, we covered five of the basic tenets of consumer behavior. Understanding how and why people buy helps business owners craft their sales offers in more successful ways. Part Two talks about the second set of five tenets.
Tenet Six: Buyers are loss adverse. They want to shield themselves against loss as much as possible. So, you want to make offers that take into account the buyer’s fear that they will lose. It’s a fact of how humans think that we fear loss more than we are happy by gain. You can offer money-back guarantees as one way to make buyers feel safe against loss. The fact is, few buyers will actually ask for their money back, but buyers like to know they can if they really want to. They like the reassurance even if they rarely act on it.
Another way to combat fear of loss is to offer a small trail period. Cable companies often do this by offering a few free months of a premium channel. The strategy works because when the trail months are over, a buyer will continue the channels because – guess what? – she doesn’t want to experience the loss of the channel! Maximizing potential gains and minimizing potential losses will always help you to sell more, because buyers constantly worry about this.
If you are going to give something away for free, be sure to value it by listing it as a part of the purchase agreement and stating its worth. Otherwise, you are giving it away and gaining no perceived value with your buyer.
Tenet Seven: In your sales copy, write to the product or service’s benefits , not the features. This is so basic, yet I see people miss the mark on this all the time. Tell a buyer what problem will be solved if she uses your service, not how the service works. What will a buyer have or get rid of after they purchase from you?
Tenet Eight: The frame you use to make your offer has a big role in success. By frame, I mean how you say something. If I say to you, “You can make more money by coaching with me” it doesn’t paint a very succinct picture. The phrase “more money” is relative, isn’t it? But if I say “You can take your business past the six figure mark this year” the frame is specific and much more powerful. Research shows that if a bank says “you’ll make 5% on your savings” the reaction is favorable. If a bank says “you’ll make 5% on your account” the reaction is much less favorable. “Account” is less tangible and less emotion-laden than the word “savings.”
A subset of framing is something called priming. Priming is a fancy way to say that the environment you make your offer in will affect the results of the offer. Here are some examples:
- Back of the room sales at a big event are primed by the upbeat, motivational conversation and the excitement generated by the speakers.
- A wine shop will sell more French wine if it plays French music in the store, or more German wine by playing German music.
- At a live event, making an offer for a high-level coaching program that costs five figures will go better if it’s made in a Ritz-Carlton than in a Motel Six.
- Brokers and insurance agents usually have very nice offices, their environment helps to reassure you that they are successful and their products are successful, too.
Tenet Nine: Know your connectors. Connectors are people who have a great deal of social influence. You can get a great education about connectors and how important they are to businesses in Malcolm Gladwell’s book The Tipping Point. Connectors are influential not just because they know a lot of people, but they also naturally link people together. They connect people, ideas, and things across broad lines.
A sub-tenet of knowing your connectors is understanding peer pressure and how it influences buying decisions. Buyers will conform to what others purchase so as not to stand out. We also believe that if we purchase what others buy we are reducing our risk. If your product or service becomes the “in” thing, your sales will come to you more easily over time. If buyers see several people rush to your booth to purchase a product, chances are they will also come by to have a look. Have you ever peered into the door of a restaurant that is new to you, to see how many people are in there eating? If it’s not reasonably crowded, you probably walked away. This is an example of peer pressure buying.
Tenet Ten: Social exchange breeds more loyalty and a stronger bond than economic exchange. How does this translate into your business? Offering a service to buyers without regard to getting paid for it will help to build a bond, which in turn will eventually lead to sales. For instance, you might offer to make an introduction to someone. You might offer a morning coffee meeting for 3 or 4 business owners who are potential buyers and would benefit from knowing each other, too. You might offer to come by and water the plants for someone who is on vacation.
Companies use social exchange to build loyalty. Saturn had big reunions for all Saturn owners back in time. Hyundai’s Assurance program will pay your car payment for six months if you lose your income. These social exchanges built strong bonds to both brands. Years ago, McDonald’s would fill your coffee cup for free if you bought one of their special ceramic McDonald’s cups. At the time, I worked in an office next door to a McDonald’s. We all walked over there twice a day for coffee for years, never thinking to go anywhere else. And, of course, we bought other food to go along with the coffee more often than not.
Tracking consumer behavior is fascinating, but more to the point it helps you know how to make your offers and become more profitable in your business. Sit down with all the products and services you offer in a list, and see how many of these ten tenets you can put to use to sharpen your offers. It will impact your bottom line in a good way!
(c) Sue Painter
Ten Basics of Consumer Behavior That Will Help You Make Money, Part One
December 28, 2009
A good way to start the business year is to remind ourselves of how unpredictable consumer behavior is. The more we understand about why people purchase what they do, the better we can design our marketing messages. There are 10 basics of buying behavior that can help you make money, in today’s post I’ll cover five of them, and in Part Two I’ll talk about the second set of five.
Understanding why people purchase when they do is no easy task, however. The field of behavioral economics indulges in marketing research and can give us some insight. Here are ten things we know about consumer behavior, and how you can put them to use as a small biz owner.
Tenet One: The need to express one’s individuality is a critical factor influencing the choice of brand that someone will buy. What does this mean? Well, if you’ve got this type of consumer on your hands, you want to offer a product or service that seems unique and very individualized to the person. If you are selling braided leather bracelets, for instance, this person is going to want a leather bracelet that isn’t braided, or a colored leather, or a braided bracelet with a customized charm at the end. If you are selling your cleaning services, offering a menu of tasks you do and asking this person to personalize it to their own home will make them feel they are getting a unique “brand.”
Tenet Two: Keep it simple. Too many choices confuse a buyer, and as I’ve preached for years now, a confused mind does not buy. If you offer 17 different products and services, simplify it down to no more than three. Group your products and services by broad category and let the buyer choose what she most needs. A few weeks ago, I met a concierge service owner and asked about her business. To my horror, she enthusiastically told me “we can do anything you need.” That doesn’t help most buyers, who will quickly glaze over and not be able to think about what they need at that particular moment in time. A better answer would be, “We handle shopping for gifts, office organization, and party planning.” The buyer’s mind will then sort and land on something she recently needed that falls into one of these large categories. Give a buyer a place to land and you’ll do a better job of selling.
Tenet Three: Use decoys when you package your options. Let’s say you are offering three different options for house cleaning. Make the middle option the package that you really most want to sell. Most people will select the middle option, not wanting to go with the absolute lowest cost option but then not being willing to spring for the very highest, either. So make the middle option the one you really want to sell, the one that is the most profitable for you. The others are, in essence, decoys.
Another way to use a decoy is to actually use a competitor’s product or service up against your own. Point out the added value or benefit that you have, and that your competitor doesn’t have. For instance, you may sell a face care product not that different from another product – but yours may offer 20% more product for the money. Or, it may have an added benefit that the “decoy” competition doesn’t have.
Tenet Four: You set the anchor for your price. In retail operations, the suggested retail price is the anchor, the price at which you want a buyer to compare your goods with others they may buy. In nonprofit organizations, you set an anchor by suggesting levels of giving in a campaign. It’s also possible to re-anchor prices and change a buyer’s expectation. One of the most familiar and successful examples of re-anchoring is when Starbucks began. Starbucks re-anchored the price of a cup of coffee much higher than it was in any other coffee establishment by convincing buyers that the coffee and the experience was of much higher value than in a McDonald’s or a Dunkin’ Donuts.
Tenet Five: How you package what you offer makes a big difference. In marketing research, this phenomena is called sensation transference. It means that buyers will transfer the sensations they have about the packaging of a product or service to the actual item itself. For instance, people will report that the food served on a paper plate doesn’t taste as good as the very same food served on a china plate. The “packaging” of the china plate transfers a better sensation. Brandy and perfume manufacturers heavily depend on sensation transference. You’ve probably heard before that the design of a bottle of perfume is often more expensive than the actual design of the perfume itself. The packaging makes all the difference in the success or failure of that particular scent.
There are many ways you can use packaging to help your sales. If you are a residential developer, packaging may include a fancy entrance to your neighborhood. If you are a coach, packaging might mean the extra little bonuses you offer people to work with you – things like a personalized planner, a private forum, a special event offered at no charge as part of the “package” of the coaching offer.
Think about how you can put these basic tenets to work for you, and in Part Two you’ll discover the last five tenets.
(c) Sue Painter
How To Build Your Business By Interviewing Like A Pro, Part Three
November 17, 2009
Step Two – Pick Gigs Based on Your Goal
Now that you have your goal(s) clearly in mind, you can pick the interviews you most want to do based on whether the interview will meet your goal. One of the things to find out from the person who wants to interview you is information about their target audience. What types of people usually listen in to the program? What age group? As an example, if you are a solo professional whose target audience is professional woman who make more than $200,000 a year, interviewing for a host whose audience is stay-at-home moms under 25 probably won’t be worth your time. While it might be difficult to match your target audience exactly, at least take a look at who the audience typically is, and try to match your target audience as closely as you can.
Ask your host about the size of the audience, as well. She may have a very small number of listeners but yet they match your target audience very well. You need to get an idea as to how many people might be listening (or watching) the interview for several reasons. For instance, if you are crafting a special offer for this interview, you might not want to offer a complimentary copy of your book if there are 5,000 people who typically listen in!
The more you know about the profile of the host’s audience and the typical number of listeners, the better you can pull together interesting topics for the host, and that is important. You want to let the host know that you are interested and curious because you want to be interesting and helpful to their listeners. Asking about the host’s target market, audience size, and maybe an example of who she has interviewed in the past can give you a good sense of the type of guest she wants. Ask, too, if there are audio files (MP3) of a few recent calls. If so, listen to a part of each one just to get a sense of the host’s style and the type of questions she gets from her listeners.
If you want to offer the audience a product or service as a part of the interview, consider a collaboration with the host. Does the host also market product or services to the audience as part of the program? Is there something that the two of you could offer together that makes sense, is an attractive and unique offer to the audience, and would be profitable for both of you? This isn’t always possible, but it is a good idea to see if this might work. After all, the audience is quite familiar with the host, whom they already know, like, and trust. If you can combine your offer with hers, you will instantly gain credibility from the host’s know, like, and trust factor, thus establishing your own.
Get an agreement with the show’s host up front that you will receive a copy of the audio or MP3 file after the show. Most of the time, this is no problem. After all, you are providing free programming for the host, and in return it is common practice to give you full use of the audio. Even if you don’t want to make a product out of your interview, the audio can be useful to you. You might cut out a few sentences to use on your website, or in a blog post, or in other copy. You might re-work the interview and present it to another audience. Personally, I get each interview I do transcribed. I then have the audio file and the verbiage, which can be easily manipulated and cut into blog postings and article submissions. My personal stance is that if I can’t get use of the audio there has to be a very good reason why! Unless the program is very high profile and an obvious benefit, I probably would think twice about accepting a gig where I was refused access to the material. In the world of Internet marketing, it is common to agree that both the host and the interviewer have full access to the audio file and both can use it in any way they wish.
Finally, speak on a topic that relates to your business in some way. You are doing this to help build your business, right? The best gigs for you will be those that are related (even in a far-fetched way) to your business. You want to do interviews that meet at least one of the goals we talked about in Chapter Three. The interview topic should either relate to your current business or to somewhere you plan to take your business in the future. These gigs are the ones that will serve you the best. The exception is if you feel that you are so inexperienced that any interview on any topic would help you out, by giving you some practice in front of an audience of listeners. Usually, these “throw away” gigs are not truly necessary for you, and they offer no return on your investment of time. Be thoughtful and strategic about doing interviews that are off your topic.
Stay tuned for Part Four of this article, coming your way soon!
(c) Sue Painter
Why Discounting Your Prices Doesn’t Build Your Business
November 8, 2009
One of the things I hear from solo professionals pretty often is that the way to make more money is to discount their prices. I’ve railed against this for years, and told stories about talented entrepreneurs who discounted themselves right out of business. If you are one to think that discounting does your biz good, think again and take these points to heart.
- Highly successful businesses don’t compete on price alone. They are smart enough to know that being the cheapest isn’t a strong USP (unique selling proposition). Instead, they want you to spend money with them because their service is better, their designers more creative, their merchandise higher quality, they are more convenient, or their knowledge and expertise gives you a value far and above what you pay.
- You don’t want your customers buying from you only because you are the cheapest deal around. Here is one big reason why – cheap customers are not loyal customers. They buy only on price, so as soon as Sally down the street offers a floral arrangement for even one dollar cheaper, off they go. You need repeat, loyal customers. Constantly having to find new customers AND having to find them only because you are the cheapest deal around will flat wear you out. You will “churn” customers rather than create a willing customer base for your business. You will work much harder for every dollar you earn, and you will earn less dollars (because your prices are cheaper).
- When you discount constantly, you get customers trained to never pay full price. I wrote a blog post about this some time back that illustrates this. Lately, Talbot’s has gotten into the bad habit of constantly offering sales. I never pay full price there and I never will – I know that I can always wait it out and get a nice discount and maybe even free shipping. Too bad for Talbot’s that they have trained me and a dozen other people I know to never pay full price. That also gets me to thinking that if they can discount THAT much, their prices might be highly inflated to begin with – not something Talbot’s needs me to be thinking!
- It is a strange phenomena but it’s true that people will hunt down the cheapest price, gleefully pay it, and then not much value what they bought. Now what you’ve got on your hands is a customer you discounted to, and the thanks you get in return is that they really don’t even value what they got from you. That doesn’t make them want to come back to you, does it?
- If you have set your prices fairly (that means, you are making a good profit but you’re not gouging, either) then discounting may mean you don’t cover your costs. Service business are especially bad about getting themselves into this trap, because they are not purchasing product to resale. Instead, they are selling their time and expertise. I’ve seen hair dressers and massage therapists deep discount 30% only to find they are working like dogs and can’t pay their rent and utilities at the end of the month. Have they gotten clients? Yep. Are they going to stay in business? Nope. They have, in essence, worked themselves right out of business.
If you want to offer a special deal in order to grow your business don’t do it by discounting. Instead, ADD a small product or service without charge. This does TWO things – it ADDS value rather than lessens values. And, it shows your customers a new product or service that they might not have known you have – something they may decide they can’t live without the next time they are in.
Bottom line – in most cases, discounting doesn’t serve you in building your business. Solo professionals and small business owners are not the same as super-big-box stores who can spend millions advertising and churn new customers constantly. You want to cherish your customers, treat them well, offer fair value, and give true benefits in your products and services. This will build a solid business with loyal, repeat customers who value you and what you offer.
(c) Sue Painter