The Donald Cooper Corporation Newsletter Volume 2, Issue 8 - Aug 2003
Greetings !
If this is your first time receiving our Newsletter, "Welcome"!!
1. Avoid this potentially fatal mistake in your business! (time to read this article is about 90 seconds)
For a printable version of this article, click here.
Never let any one customer get so big and so critical to your business that you can't say "NO" to them. More and more, as every industry consolidates, companies are finding that they have fewer, but bigger, customers...and those bigger customers are using their size and power to extract conditions and squeeze margins to a point of unprofitability.
It used to be that if a customer liked your quality, delivery and price...you got the business and it was none of their business how much profit you made. In the area of business-to-business selling, especially, I'm seeing more and more cases where customers are actually requiring that suppliers show them detailed product cost sheets and then the customer tells the supplier how much profit they'll be allowed to make. This is "goofy" but, more and more, it's how business is being done.
In June 2003, a number of packaged food producers announced price increases to their grocery store customers but Wal-Mart, now America's largest grocer, simply refused to pay the higher prices.
Here's another scary but true story about being vulnerable when you're dependent on one customer. Several years ago a friend of mine started his own advertising agency. One of his first accounts was a large steel company who kept feeding him more business. They even asked him to set up a branch office at their headquarters to serve them better.
This one client became 80% of his business. He added more staff to serve their ever-growing needs. He signed contracts on their behalf for media commitments, trade show space, catalogues and brochures. He got too busy to prospect for new accounts. He felt comfortable when he should have felt vulnerable. He told me later, "It was so easy...so seductive!"
Then his client's employees went on a prolonged strike shutting down the plant, stopping all shipments and revenue. The first thing to be chopped, of course, was the advertising budget. Within one month my friend's agency was in receivership...and he never recovered!
Do you have customers that are so big that you can't say "NO" to them? Or, do you have customers that could put you under with one dreaded phone call? If so, you're sitting on a time bomb! What can you do to broaden your customer base so that you, and not your customers, are in charge of your bottom line or your very existence?
2. Some clarity on "Change"! (time to read this article is about 90 seconds)
For a printable version of this article click here.
When it comes to change, there are only three positions open and available...
1. You can be the architect of change. These are the rare and special individuals who see possibilities...and know what to do with them. These are the Thomas Edisons, the Bill Gates and the Sam Waltons of the world.
Thomas Edison registered 1093 patents in his lifetime, including the light bulb and the phonograph. Bill Gates changed the way the world communicates and does business...and has become the richest person in the world in the process. Sam Walton founded Wal-Mart in the tiny town of Rogers, Arkansas creating what is now the largest and most respected (according to Fortune Magazine) company in the world, by sales dollars.
There are "architects of change" in every industry, including yours. They don't all become world famous but they're there, redefining, innovating and fundamentally changing the way business is being done.
2. You can embrace the change created by others. You can't be the change leader every time. In fact, you may never be "first", but you can embrace and use the change created by others to grow your business.
Are you aware of the new ideas, emerging technologies and social or economic changes that could forever alter what you do...and how and where you do it...and are you using those changes to reinvent your business?
3. You can be the victim of change! You can keep doing everything exactly as you've always done it and simply ignore what's going on around you. Bit by bit you'll fall behind and probably be out of business in five years!
So there they are...the three positions available to you when it comes to the business of change. Will you be an "architect", an "embracer"...or a "victim"? Life is full of choices!
3. Why do most businesses struggle with change? (time to read this article is about 2 minutes)
For a printable version of this article click here.
Most businesses make the mistake of defining themselves by what they sell and how and where they sell it today. Then, every change that comes along is threatening and disruptive, requiring that they somehow redefine themselves, which they assume is a huge and overwhelming task. So, they resist change, they fight change and change becomes their enemy!
The solution is to redefine and reinvent your business in a powerful new way...
Rather than define yourself by what you sell and how and where you sell it today, simply redefine your business by how you HELP people.
My favorite example is "ice boxes". The people who made ice boxes in the 1800's made a lot of money...everybody needed an ice box. But, if they defined themselves as being in "the ice box business", they were put out of business in 1917...by refrigerators.
If, on the other hand, they had defined themselves by how they "helped" people they could still be in business today. All they had to do was to redefine themselves as being in the business of "helping people make food last longer". People did not always need ice boxes but they will always need help in making food last longer!
Don't define yourself by products, locations or ways of doing business that will become obsolete. Define yourself by the HELP that your target customers will always need...and then they'll always need you!
Once you've redefined yourself by how you HELP, reinvent your business by asking these two powerful questions...
1. What kind of HELP do our target customers need in any way related to... a) wisely choosing and effectively using what we sell...and, b) knowing about us, how to find us and about all the value that we offer?
2. How can we actually deliver some of that HELP...better than our competitors? So, don't make the mistake of defining your business by what you sell. Redefine yourself by how you HELP people and change will become your friend. Change will bring you more and more ways to HELP. You will welcome change, embrace change and create change. In fact, it will be your ongoing competitive advantage!
Defining yourself by where you do business in a fast-changing world can be equally deadly. Back in the 1970's at Cooper Sporting Goods, our family business, we defined ourselves as Canadian manufacturers of protective sports equipment even though more and more of our competitors were moving their production to the far east. Because we defined ourselves by where we made our products we fell behind for a few years, especially in baseball gloves, which were extremely complex and labour intensive. There was a real art to making a great baseball glove and that kept most people out of the business.
All of a sudden you didn't need to know how to make baseball gloves to be in the business. All you needed was a plane ticket to Osaka...and we had 27 competitors overnight. Fortunately, we dealt with the problem before it was too late, but we never again enjoyed the market dominance that we once had.
We learned a valuable lesson and redefined ourselves as designers and marketers, but not necessarily Canadian manufacturers, of the best protective equipment. We reinvented ourselves by using a mix of...
a) domestic production for high-end and custom products, b) the best factories in the far east for low-end products...and, c) our own off-shore factory in Barbados.
How can you redefine and reinvent how and where you do business?
4. Are negative assumptions hurting your business? (time to read this article is about 45 seconds)
For a printable version of this article click here.
Negative assumptions about you or what you sell can kill you, whether they're true or not. If people's negative assumptions about you, or what you sell, are true, you're in really big trouble! Don't waste your time and money on "cosmetics" to fix this problem. You need major surgery! You need to fundamentally redefine and reinvent your business and change your corporate culture to eliminate the problem...followed by a powerful communication strategy to eliminate the negative assumptions.
If your target customers or prospects generally make negative assumptions about you or what you sell that are not true, you have a slightly easier task ahead. We call these incorrect assumptions "myths". Examples of myths are..."leasing makes no sense", or "beef is bad for me", "insurance agents are all alike", "Las Vegas is just glitz and gambling" or "all diesel engines lack acceleration".
Here's a great example. For years Toronto's Mount Pleasant Cemetery suffered from a crippling myth. Because it had been around for so long most people assumed that it must now be full and, based on that negative but incorrect assumption, nobody was calling to buy space. Once they discovered the true reason for their sluggish sales, they dispelled the myth with series of simple but effective newspaper ads that said...
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CONTRARY TO POPULAR BELIEF...
Mount Pleasant Cemetery is NOT full!
Phone 485-9129 |
What myths about you, what you sell or about your industry could be hurting your business right now...and what will you do to dispel them?
My presentations on "Human Marketing" and "Owning Customers For Life!" have helped hundreds of companies deal with harmful myths and reinvent their customer relationships.
5. Our new, updated Human Marketing Video CD (or DVD) is almost here! (time to read this article is about one minute)
In the past eight years we've sold thousands of our original Human Marketing Video Seminar tapes around the world. But now we have dozens of powerful new concepts, important insights and do-able ideas that will help you create, deliver and communicate even more customer-owning value.
Our exciting new, completely updated 3 hour Human Marketing Video Seminar and Implementation Guide will be available mid-September 2003.
It will be available as a four CD set, or as a 2 DVD package. Your choice...at the same price of $80.00 ...including the 25 page Implementation Workbook that will guide you and your team to create specific, do-able marketing innovations and service breakthroughs that will increase your market share and profitability.
Here's what people who have attended this three hour session "live" say about it's value...
* "Extremely beneficial for my personal and professional life!" * "Without a doubt, the best seminar I've ever attended!" * "I would recommend this seminar to anyone!" * "Knowledgeable, informative, well presented." * "Passionate, focused and above all, USABLE!!!" * "It will take me quite a while to sort out all the absolutely incredible things I've learned today."
We have a special introductory price of $68.00 if you order before September 6th...and we'll pay the shipping.
To purchase your copy at the early-bird price, visit our online store by clicking here.
6. A sentence worth finishing! (time to read this article is about 20 seconds)
For a printable version of this article click here.
Here's a thought that's probably worth 10 minutes of your time. Take a blank piece of paper and write, then complete, this sentence...
I would regret dying without ever having done the following things...
1. ______________________________________________________________________. 2. ______________________________________________________________________. 3. ______________________________________________________________________. 4. ______________________________________________________________________. 5. ______________________________________________________________________. 6. ______________________________________________________________________. 7. ______________________________________________________________________. 8. ______________________________________________________________________. 9. ______________________________________________________________________. 10. ______________________________________________________________________.
Then, prioritize each item by importance or priority and start planning now for the "top three". Or, if you're older, start making specific plans for all 10. Every time you complete one item on this list, add another. That way, you'll never run out of important and wonderful things that you would regret not doing. I think "Hell on earth" would be dying with an overwhelming feeling of regret for all the things that never got done, the experiences that never got experienced, the lives that never were touched and all the feelings that never got felt.
7. Create an "Idea-Fest" in your business! (time to read this section 45 seconds)
For a printable version of this article click here.
There are great ideas lurking in the minds of employees in every company but there's almost never a process to bring them forward. Here's a simple, effective process to create an ongoing "Idea-Fest" in your business.
Step 1: Gather together six of the brightest and most caring people from various parts of your business. On a flip chart or whiteboard draw two columns; one titled "Ideas to make us money!" and the other titled "Ideas to save us money!"
Step 2: Turn them loose for 30 to 45 minutes. Remind them that you're looking for as many ideas as possible. You want them to be creative...not evaluative. Otherwise, they'll get bogged down analyzing one idea to death and run out of time. Then, leave the room and let them get on with it.
When time is up, return to the group, "thank" them and invite them to email or talk to you personally at any time they have additional ideas.
Step 3: One week later, send each of them a "Thank You" memo in which you report on the ideas you'll be pursuing first.
Step 4: Repeat the process every four to six months starting off each subsequent session with a progress update for the ideas being implemented from previous sessions. If you have a large staff, set up 2 or 3 of these "Idea Task Forces" to collect as many ideas as possible.
If you're "the boss" give this a try. If you're not, suggest it to the boss...it's a smart career move. If your boss would never go for it, get together with five others in your company and do it in secret...then take your ideas to the boss. If he or she still thinks it's "stupid", it may be time to quit and move on, because you're in a dead-end business!
8. MORE opportunities to attend a Donald Cooper Half-Day Human Marketing Seminar! (time to read this section 20 seconds)
Are you looking for a great way to thank, inform and engergize your staff and your valued customers? Send them to our half-day Human Marketing Seminar!
This interactive Seminar will inform you, challenge you, disturb you and inspire you to create and deliver compelling value in your business. At the end of the day, you'll take away...
- A powerful new approach to understanding your target customers that will give you a significant competitive advantage.
- A new way of redefining and reinventing your business to generate more breakthrough marketing and service innovations than you’ll know what to do with.
- A clear understanding of the difference between your Vision and your Mission, why they’re both essential to your success and how create them.
- A four-step process that will create a compelling and consistent experience at every customer “touchpoint”.
Details of the next three Seminars offered are posted on our Public Seminars page on our website...
Victoria, BC - September 5, 2003 Grande Prairie, AB - October 28, 2003 Edmonton, AB - October 30, 2003
If you have a group that you'd like to send to our Seminar, why not contact us to be a Sponsor of the event...it's a great way to "give something back" to your community and network your services. Contact our Director of Marketing, Sharen Skene at 416-252-3704.
9. Chuckles & Hugs! (time to read this section 40 seconds.)
Here's the best "usable" funny bit that I came across this month. It also makes an important point about being calm and creative in the face of adversity. Here's the story...
A wealthy New York widow decided to go on a photo safari in Africa. She took her faithful pet Chihuahua along for company. One afternoon the Chihuahua, bored with inactivity, started chasing butterflies at the edge of the bush camp and before long discovered that he was hopelessly lost.
As he wandered aimlessly about he noticed a leopard heading rapidly in his direction with the obvious intention of having lunch. The Chihuahua realized that he was in deep trouble! Then, using his New York "street smarts", he noticed some bones on the ground close by, and immediately settled down to chew on them with his back to the approaching cat.
Just as the leopard was about to leap, the Chihuahua exclaimed loudly, "Boy, that was one delicious leopard. I wonder if there are any more around here." Hearing this, the leopard stopped in his tracks! A look of terror came over him as he slinked away into the trees. "Whew," said the leopard. "That was close. That Chihuahua nearly had me."
Meanwhile, a monkey who had been watching the Chihuahua's crafty deception from a nearby tree, figured that he could if he could tell the leopard what had really happened, he would have a powerful friend for life. The monkey went to the leopard, struck a deal for himself and spilled the beans. The leopard was furious at being made a fool of and said, "Here monkey, hop on my back and see what's going to happen to that conniving canine."
The crafty Chihuahua saw the leopard returning with the monkey on his back. Instead of running away, he sat down with his back to his attackers, pretending he hadn't seen them. When they got close enough to hear, the Chihuahua said loudly, "Where is that damn monkey? I sent him off half an hour ago to bring me another leopard!"
10. That's it for this month!
"Thanks" for all of your feedback and suggestions! It's always great to hear from you... especially to receive feedback regarding your successes using our "stuff".
Please continue to let us know what you'd like more of, less of, or none of...and be sure to send us and "stuff" you find that our readers will learn from or get a "kick" out of. We'll give you the credit...it could make you famous!
Kindest regards,
 Donald Cooper, MBA Certified Speaking Professional Preview a Video Clip of Donald in action!
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