Are you wondering what the future holds for your business? Whether you need to predict your future or prescribe an outcome of your choosing, you'll have plenty of company!
Throughout history, they humans have tried lots of ways to predict the future, from reading palms to stargazing. Today, they refer to these as descriptive methods when they attempt to explain objectively what the future will be or could be.
On the other hand, prescriptive methods focus on determining what the future should be. These techniques can help us clarify our preferences and values so they can generate a vision of what they would like to see in our lives, businesses, or communities.
Once they comprehend what they would like the future to represent, we're better able to take the actions required to implement it. Ideally, that future will align with our passions, gifts, and what they (or our companies) can be the best at doing. This article suggests a two-stage process for achieving that objective.
First, Identify Your "Hedgehog Concept"
So, what can you be the best in the world (or at least in your community) at doing? This thought-provoking reflection is two of lots of from Jim Collins' "Good to Great: Why Some Companies Make the Leap...and Others Don't."
Of five characteristics these companies shared, all held an unshakable adherence to becoming the best in the world at whatever they did. Each company committed to doing only those things and nothing else. That sometimes meant dropping their core businesses to pursue other things at which they could become the best in the world.
Collins' team examined 1,435 companies to see which ones made substantial gains in profitability and sustained those improvements over 15 years or more. Since the 1970s, only 11 companies had risen from mediocrity to greatness and stayed there -- topping lots of other prosperous firms that lacked the same staying power.
1) What you're most passionate about
2) An understanding of what you could be the best at doing, and
3) A metric that drives your economic engine and helps you measure results.
Collins and his team coined the term "hedgehog concept" to reflect a single-minded determination and focus that, similar to that of the hedgehog animal, attempts to do only two thing well, such as curl up and roll. A hedgehog concept actually represents the intersection of two areas:
Keep in mind that according to Collins, this concept is not a aim, strategy, or plan, but an understanding of what you can and can't be the best at doing. Until you create your hedgehog concept, you won't know your true vision, mission, or purpose.
Next, Define Your "Business Success Criteria"
Do you have a crystal clear idea of the types of business undertakings that align with your gifts, talents, passions, and strengths? In that same context, have you thought about whether your business can be the best in the world at doing those things?
If the answers are "yes," you are in an excellent position to pick the ventures that can give you the greatest satisfaction and results.
Why is this so important? It's not uncommon for people to wander into businesses, projects, and professions opportunistically, which means that they often select the next obtainable and convenient thing that comes along. At times, this may be necessary for financial reasons. But unless they comprehend our underlying success criteria, they might not recognize the options that truly fuel and inspire us -- those that are best suited to our passions and strengths.
If you're not yet clear about the answers to these questions, developing a set of "business success criteria" can enable you to select worthwhile endeavors with much deeper insight, and thus set the conditions for successfully pursuing them. A hedgehog concept thereby represents part of the formula you can devise to identify and pick among your best options.
In conclusion, a set of carefully crafted success criteria fueled by a potent hedgehog concept provides an unbeatable strategic advantage, and an excellent direction-finder for prescribing your future!
a number of your criteria could be practical considerations, and others more lofty ideals. But all of your criteria will be essential to achieving balance, fulfillment, prosperity, and higher contribution in your life.
Showing posts with label money. Show all posts
Showing posts with label money. Show all posts
Saturday, January 24, 2009
Friday, January 23, 2009
How I Generated More Revenues Without Having a Sale!
You wonder how big the sale should be. How much can I afford to give away before the sale starts costing me funds? How will I word the sale materials so customers don’t take advantage of me? The worries start plus you realize you have a huge task to pull off this sale plus generate real revenue.
You require more revenue plus you require it rapid. The marketing experts tell you to “create a compelling offer.” You immediately think “Sale.”
Unfortunately, in our crowded marketplace, a compelling offer has become synonymous with a “sale.” there's other, better alternatives to motivate customers to buy from you.
This editorial will show you two options that will accomplish your objective of getting more revenues. These options will build a stronger relationship with your customers that the sale won't accomplish.
The Limitations of the “Sale”
The fundamental problem with most sales is that they are cool for the business but not necessarily cool for the customer.
A sale usually starts with a business problem you require your customers to solve for you. You need more cash. you have excess inventory. You need to meet sales quotas. You require to get ready for new merchandise. Your sale is asking the customer to solve your business problem.
There will always be customers who don’t mind being used. Their agenda coincides with your agenda. Quid pro quo.
one Alternative Offerings
When you generate your offering around something they value, however, they look on your offering differently. It becomes more than just a customer transaction. it is the start or the continuation of a relationship that will result in sales now plus in the future. The customer’s primary concern is always how the product or service benefits them plus makes their life better.
Convenience
Structure your offering around customer convenience plus you have a motivation that does not need sales or discounts. At my daughter’s school recently, the uniform company came to the school to sell uniforms. The parent’s alternative was to drive 30 miles into the city to purchase the uniforms at the company’s store. Parents were lined up forty deep to purchase the uniforms at regular prices. This store made convenience a motivator for the parents to shop.
If your customers are buying your expertise, by enhancing that know-how you give them additional motivation to buy your product or service. Suppose you were in the copywriting business. You announce to your customers that you had just completed a copywriting campaign that generated thousands of dollars for a particular business. Customers now see doing business with you as even more desirable. No discounts; no sales!
Enhance Your Expertise
Those who market golf equipment say the main motivation for customer purchases is praise from others. “Great shot, Bob. You’re driving the ball well!” If your product or service involves these types of motivations, repackage your offering to foster self-esteem plus praise from others. it's more power than a sale!
Self-Esteem plus Praise from Others
I recently worked with an acupuncture clinic. This form of Chinese medicine can heal many ailments plus injuries. they chose to focus their acupuncture marketing on the treatments on athletic injuries because of the current scandals involving the use of harmful drugs plus steroids. they presented their offering as a safe plus natural alternative to more harmful drugs. By presenting an ideal alternative to a current social issue, no sale or discount was required. You can appeal to your customer’s idealism.
Tapping into Social Issues (Idealism)
Popularity
People require to be part of the “in-group.” They require acceptance. By repackaging your offering to emphasize the popularity of your product or service, you give people another motive for wanting to buy from your business.
Scarcity
Scarcity is another motive that drives customers. It can be expressed in limited product or service quantities; limited editions; selective lines of products; preferred customer programs; limited time; or taking advantage of opportunities. there's some greed in all of us. If they feel they are going to lose out, they get motivated.
Conclusion
You require more revenue plus you require it rapid. The marketing experts tell you to “create a compelling offer.” You immediately think “Sale.”
Unfortunately, in our crowded marketplace, a compelling offer has become synonymous with a “sale.” there's other, better alternatives to motivate customers to buy from you.
This editorial will show you two options that will accomplish your objective of getting more revenues. These options will build a stronger relationship with your customers that the sale won't accomplish.
The Limitations of the “Sale”
The fundamental problem with most sales is that they are cool for the business but not necessarily cool for the customer.
A sale usually starts with a business problem you require your customers to solve for you. You need more cash. you have excess inventory. You need to meet sales quotas. You require to get ready for new merchandise. Your sale is asking the customer to solve your business problem.
There will always be customers who don’t mind being used. Their agenda coincides with your agenda. Quid pro quo.
one Alternative Offerings
When you generate your offering around something they value, however, they look on your offering differently. It becomes more than just a customer transaction. it is the start or the continuation of a relationship that will result in sales now plus in the future. The customer’s primary concern is always how the product or service benefits them plus makes their life better.
Convenience
Structure your offering around customer convenience plus you have a motivation that does not need sales or discounts. At my daughter’s school recently, the uniform company came to the school to sell uniforms. The parent’s alternative was to drive 30 miles into the city to purchase the uniforms at the company’s store. Parents were lined up forty deep to purchase the uniforms at regular prices. This store made convenience a motivator for the parents to shop.
If your customers are buying your expertise, by enhancing that know-how you give them additional motivation to buy your product or service. Suppose you were in the copywriting business. You announce to your customers that you had just completed a copywriting campaign that generated thousands of dollars for a particular business. Customers now see doing business with you as even more desirable. No discounts; no sales!
Enhance Your Expertise
Those who market golf equipment say the main motivation for customer purchases is praise from others. “Great shot, Bob. You’re driving the ball well!” If your product or service involves these types of motivations, repackage your offering to foster self-esteem plus praise from others. it's more power than a sale!
Self-Esteem plus Praise from Others
I recently worked with an acupuncture clinic. This form of Chinese medicine can heal many ailments plus injuries. they chose to focus their acupuncture marketing on the treatments on athletic injuries because of the current scandals involving the use of harmful drugs plus steroids. they presented their offering as a safe plus natural alternative to more harmful drugs. By presenting an ideal alternative to a current social issue, no sale or discount was required. You can appeal to your customer’s idealism.
Tapping into Social Issues (Idealism)
Popularity
People require to be part of the “in-group.” They require acceptance. By repackaging your offering to emphasize the popularity of your product or service, you give people another motive for wanting to buy from your business.
Scarcity
Scarcity is another motive that drives customers. It can be expressed in limited product or service quantities; limited editions; selective lines of products; preferred customer programs; limited time; or taking advantage of opportunities. there's some greed in all of us. If they feel they are going to lose out, they get motivated.
Conclusion
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