Experiences of an evening out as well as a couple of groups that I worked with recently provide my thoughts for your business this month.

A service ticket; prescription; a glass of wine. They came from an auto care/repair center, a pharmacy and a local business called, "Try Wine". The experience with all three was that these businesses have your personal information when you do business with them. The Try Wine business sells you a prepaid card that you use to try samples of wine with the expectation you continue to try various wines and perhaps buy a bottle or two.

The experience with the auto care/repair center is a simple oil, lube, filter change and an inspection for possible problems. Like other businesses, they put a sticker in the window with numbers that indicate when you should return for additional service.

The pharmacy fills a prescription that needs to be refilled monthly; at best, the pharmacy will offer an automatic refill.

With the wine shop if you start with $50 on the card and only use $20, you leave with their having $30 of yours.

The problem with each is there has been no re-connection from the business. The auto center uses the same window sticker that all their competition does; the pharmacy offers the same refill service that others offer; the wine shop does nothing to get the customer to return.

All three do what most other businesses do; that, my friends, is why they are just common. What does your business do differently?

The bottom line is that all three businesses could do something that would help them keep their existing customers in a closer relationship. Otherwise, they can settle for competing with other businesses based on price.

 

The job is always easier with the right tools. This is true with everything from the tools to make a repair in your home as well as the software for your business. It is also true in your business with regard to the tools necessary so that your employees are engaged and so that everyone is on the "same page."

We offer these tools; job descriptions, policies and procedures. From personal experience, when we create these tools with our staff's participation, the staff takes ownership of the performance of each other.

We suggest you read this month's article to learn how you can use these tools; they make your job easier.

Just as I was explaining to an audience in Iowa this weekend, inventory in a business is an amazing tool. Not only can it make a big difference with your sales sales, when you consider the margin and the number of times you turn the inventory, your investment can greatly increase the returns when you pay attention to all of these factors.

Take a look at this calculation on the financial ratios page of our website to learn how the GMROI is calculated. Once you understand how it is calculated, you can find ways to improve your business.

In addition to the individual you hire, indirectly their family becomes a part of your business. Surely, each of your employees shares with their family various aspects about their work and your business.

How about an incentive that takes the business to the family? What if you were to learn the dates for the anniversary and the birthdays of the family members? Sending a birthday card to each of them; perhaps including a small gift card for a local coffee shop.

While it may take a bit of an effort to get this started, think about the conversation at home when a family member gets a card from you. How about the conversation between a new employee and one that has been with your business for a while? We think the new employee is going to hear about a tradition you have of connecting with family members.

We think this is a unique way of engaging employees and their families.

We want to recognize A Carrot A Day by Adrian Gostick and Chester Elton, whose book provides the basis for each month's incentive idea.