The Changing Landscape of Marketing has resulted in the “Confidence Gap”

 

Marketing and sales has changed dramatically since the 1980’s.  In the days of simple selling the seller had the power.  There were fewer competitors, fewer choices, less technology and lower education.   The buyers of products did not have the information available to them to make informed decisions.  Therefore, selling and marketing was easier.

Today, the power is in the hands of the buyer.  The buyers of products and services have more choices, increased information, and increased technology.  This shift has lead to increased resistance, longer buying cycles in most industries, more price competition and products and services being view as commodities rather than unique.   

So what is the result of this dramatic shift in sales and marketing that has taken place in the last 20 years?

This shift has resulted in what I refer to as the Confidence Gap.

 The Confidence Gap represents the buyer’s inability to distinguish whether any of the businesses, any of the products, or any of the services are any BETTER, any DIFFERENT, or any WORSE than any of the others.

In this scenerio, the consumer views all products and services as basically being the same.  All accountants are alike; all plumbers do the same thing.  And what is the end result when a product or service is viewed the same or as a commodity?  Price becomes the overriding reason for choosing one service or product of another.  For any business owner, competing only on price is usually the “kiss of death”.

In my next post, you will learn simple ways to avoid only competing on price and how to elevate your business above your competition so that your business becomes the obvious choice for the product or service you sell.  

      

A formula for making your ideas stick like glue!

Why do some ideas thrive while others die?  How do we improve the chances for worthy ideas? 

Every business owner is on the “look out” for new ideas to propel their business into the stratosphere.  But, how do we come up with ideas that “stick”, ones that resonate with our customers and make them want to do business with us?

Give up?  Well, I recently read a book called Made to Stick, by Chip and Dan Heath where this issue is tackled head on.  The brothers offer what they consider the anatomy of ideas that “stick” and explain sure fire methods for making ideas “stickier”.

By “stick” the authors mean that your ideas are understood and remembered, and have a lasting impact that changes the audience’s opinions or behavior. 

Specifically, the book uses the SUCCESS acronym to illustrate the key elements required to make ideas more likely to “stick”.

S – Simplicity – ideas should be easily understood

U – Unexpected -create mystery

C – Concreteness – help people remember and understand the idea

C – Credibility – the idea needs to be believable

E – Emotions – your idea must provoke an emotion in the reader or listener  

S - Stories – people love a good story that they can relate to.

This book is a worthwhile read for anyone looking to have their ideas “stick like glue”.

Make Your Business Unique

I had the opportunity to attend a business seminar where Barry Tatelman, founder of Jordan’s Furniture, spoke about the marketing strategy and culture that built Jordan’s Furniture.  For those unfamiliar with the company, Jordan’s Furniture is a $750 million dollar furniture retailer that sells more furniture per square foot than any other furniture retailer in the country.  The company was started in 1918, by Barry’s grandfather, who sold furniture out of the back of a truck until 1926.  When Barry and his brother, Elliot, took over the operation there were 5 employees and sales were around $200,000.  Now there are close to 2,000 employees and in 1999, Warren Buffet of Berkshire Hathaway, one of the wealthiest people in the world, was so impressed with the company he bought it. 

So, what was the secret to taking a “mom and pop” family-owned business and parlaying it into the furniture giant that it is today.  According to Barry, the key to their success was being unique and “thinking outside the box” when it came to selling furniture.  ”We wanted to create a fun experience for our shoppers, a place where a family could go together have fun, get something to eat and yes, maybe even find a living room set that they really liked and wanted to buy.”  

 And create a fun experience they did.  All four locations have beautiful showrooms, impeccable customer service and quality-crafted furniture.  But that’s where the similarities with other furniture retailers ends.  For example, in their Avon, Massachusetts store, you can take a ride on M.O.M., a Motion Odyssey Movie, which takes place in a 48-seat theatre with a 4-story movie screen.  When you visit the Natick, Massachusetts store, you walk into Bourbon Street.  Complete with a 9-minute Mardi Gras experience, interactive robots and beautiful 3-story facades.  

Jordan’s Furniture - not just a furniture store, it’s an experience.

The moral of the story . . . find a way to make your business unique and fun, back it up with excellent products, great customer service and your business will not only be remembered but you will become the logical choice for the product or service you sell.