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With over 25 years of frontline experience Tom Shay is America's leading small business management expert. He's a "Must Have" for your next event.

  e-ret@iler newsletter
February 2010
Volume 11 Issue 3

 

Profits_Plus Solutions
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Article of the Month

Promoting bicycle helmets
by
Tom Shay

OK. So many of you do not sell bicycle helmets; not the point. The idea of the article is the concept of doing something in your community to make a difference. While the story happened several years ago, the concept is now referred to as 'cause marketing'.

It has worked for us and can work for you. You may want to listen to one of your free audio classes entitled, "CVS Marketing". That's Cause, Viral and Social Marketing.

Click on Article of the Month to read this article.

Book of the Month

What customers want
by Anthony W. Ulwick

This is a deep thinking book. It gets way past the tradition of waiting on a customer or calling on a customer at their office or home. The author refers to it as 'outcome driven'.

The key is going to be having enough customers in the pipeline to make it work for you. Anyone that has said they don't have time to cultivate customers because they are currently busy has undoubtedly put themselves in a tough place.

When sales slow down, it takes them much longer to get something new into the sales pipeline. This book makes for good reading when the discipline of always cultivating customers is applied.

We have more books to suggest for your reading. Click on Book Referral to visit this page on our site.

Contact Us


Profits Plus
P.O. Box 128
Dardanelle, AR
72834 USA
(727) 823-7205 Voice
(727) 898-3179 Fax


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Business Advisory

"I'm sorry"

This is a phrase I am getting very tired of hearing. Simply because because people use it and then do nothing. I was prompted to comment on this as I read a blog in which the writer, who had previously flown with Northwest Airlines, was impressed by something they experienced now that Northwest is a part of Delta.

It seems Delta did something to irritate a lot of customers on a flight. (I've had this experience more than once) Delta sent these passengers a form letter along with a credit of 25,000 miles to their frequent flyer account. The writer of the blog was impressed. I am not.

Several years ago there was a report about a similar situation. It was an airline, the now defunct TWA that learned there was a better way to impress a customer - listen to them.

TWA used to allow their staff to hand out 'checks' that were for amounts of $50 to $150 on the purchase of a future TWA ticket. If a person was mad, the TWA person simply handed these out.

Then someone at TWA had an idea. What if they were to listen to customers when they complained? They did so and then asked the customer how they would like the issue resolved. The found that customers asked for far less than what the TWA employee was willing to surrender. Many just wanted to voice their displeasure.

The cost of what the customer asked for was far less than all the 'checks' they had been handing out.

As a reminder, here are the seven steps to solving a customer complaint.

1. Thank the customer for taking the time to tell you about the problem. Most customers will not; they will just tell their friends and family how lousy your business is.

2. Ask the customer to tell you about the problem. The average customer will take less than one minute to explain.

3. Ask questions. This shows you are really interested as well as helps to calm down an angry customer.

4. Take notes. This also calms an angry customer. As you take notes the customer is likely to ask why. Your explanation is that you may need the notes as you call the manufacturer or someone else to help you solve the customer's problem.

5. Ask the customer what they think will be fair. I know this could be scary; reread the TWA story above.

6. Take the appropriate action and resolve the complaint.

7. Follow up with a phone call or note to ask if the solution has been to the customer's satisfaction.

The idea of saying, "I'm sorry" and then explaining to the customer why you have irritated them just makes them madder.

$$$$$$

Thursday, February 25 is our next conference call. As with all previous calls it will start at 8:00 pm eastern time. The topic for the evening is going to be 'learning a new management style'.

In the past month I have visited with many of you who have told me you want to participate in the call as you read the e-retailer but then forget it.

Here's a reminder to mark it on a calendar or planner. You will get a reminder about a week before the call as well as a last minute reminder on the day of the call.

We continue to record the calls as well as now making them available in a mp3 format for those that enjoy their IPod or similar player.

For those of you that are new, participating in the calls is free.

$$$$$$

Internet Tip of The Month

Sales per employee

In the tough economy businesses are watching their payroll closely. Unfortunately, many just decide to cut payroll so that the expense will go down. What they are not doing is checking to see what their sales per employee are.

This is a calculation that compares your payroll to sales. It is calculated by totaling the number of hours worked in your business during a week and dividing that number by 40. The answer gives you the number of full time employees you have. Then divide your gross sales for the year by the number of full time employees. The answer is the 'sales per employee'.

What if you look at your number and find that you are above your industry standard? Would you still get rid of someone because of the economy? Or should you think about adding someone to see if you can drive sales even higher? This free calculator can help you determine your sales per employee.

Sales per employee

The Power Promoting Idea of the Month
Evening preview sale

Spring is coming. Really, it is. And as your spring selections are arriving you can help your customers to think about what they are going to need as we turn the corner or seasons. How about a preview sale for your customers? Have some refreshments, add some entertainment, and send an invitation to your customers.

The evening preview sales does not need to be a long evening; a couple of hours should do.Make sure the specials you offer are really special; none of this 20% off stuff - it won't work in today's economy. Don't forget some door prizes. And how about offering something special to customers that bring a friend with them? After all, their bringing you a customer is cheaper than you having to advertise for one.

 

 

 

 

 

MAY 2024
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Small Business

AdvisorieS

The May Small Business Advisory is titled "Planning for a successful accountant" and is appropriate for many with the April 15 tax deadline having passed.

 

Did you work with your accountant? Or, did you just give them a bunch of papers and wait to receive a completed tax return?

 

Successfully working with an accountant requires a partnership. This month's Small Business Advisory gives suggestions of how to make this happen in 2024.

Small Business

News

Top Story

We see that many small business owners have too much of a focus on the "top line" of their income statement.

 

Increasing revenue is great, but it is not a cure all for any challenges your business is facing. And sometimes, incresing revenue can create a challenge.

Article of the Month

Who is your customer? Some small businesses have no focus. Their customer is whoever calls or walks in the door.

 

And some small businesses have determined which customers, in sufficient numbers, they should spend their efforts to attract.

 

The article of the month shares an old Southern rhyming couplet about business; "The bertter you niche, the more you get rich."


Book of the Month

Lean Startup by Eric Reis is our suggested book for May.

 

As the title suggests, the reader of the book would be someone that is starting their business. However, we see more value than just that.

 

Perhaps you have been in business for many years. We think this book could give insight to items, and methods, that a small business owner should think about with their business today.

BOOK US

With over 25 years of frontline experience Tom Shay is America's leading Small Business Management Expert. He's a "Must Have" for your next event.

Small Business

Advisories

The May Small Business Advisory is titled "Planning for a successful accountant" and is appropriate for many with the April 15 tax deadline having passed.

 

Did you work with your accountant? Or, did you just give them a bunch of papers and wait to receive a completed tax return?

 

Successfully working with an accountant requires a partnership. This month's Small Business Advisory gives suggestions of how to make this happen in 2024.

Small Business

News

 

Top Story

We see that many small business owners have too much of a focus on the "top line" of their income statement.

 

Increasing revenue is great, but it is not a cure all for any challenges your business is facing. And sometimes, incresing revenue can create a challenge.


Article of the Month

Who is your customer? Some small businesses have no focus. Their customer is whoever calls or walks in the door.

 

And some small businesses have determined which customers, in sufficient numbers, they should spend their efforts to attract.

 

The article of the month shares an old Southern rhyming couplet about business; "The bertter you niche, the more you get rich."


Book of the Month

Lean Startup by Eric Reis is our suggested book for May.

 

As the title suggests, the reader of the book would be someone that is starting their business. However, we see more value than just that.

 

Perhaps you have been in business for many years. We think this book could give insight to items, and methods, that a small business owner should think about with their business today.