What is the right price to sell your product. There are entire books dedicated to the subject. There are also folks who break it down to nothing more complicated than supply and demand. While I agree that supply and demand is the overwhelming driving force in price determination, I would like to suggest the idea that there is yet another variable to be considered. Before we get there check out this video from Brett Whitlock at Whitlock Motors who talks about margins.
In today’s social media climate I would like to offer the idea that social capital is another variable to be gained through pricing in a competitive way. As Brett points out the more people who have a positive experience with you, the more people you have spreading your message.
Sure you can take this too far. You have to make a profit, but don’t discount the value of an excited customer vs. a satisfied customer. A satisfied customer feels neutral at the end of a transaction. They got a fair price and the next time they are likely to start the process over again with you on a level playing field with your competitors. An excited customer on the other hand is more likely to tell a friend, and during the next purchase is less likely to shop your competition.
Supply. Demand. Social Capital.
How do you build a great tag line for your business. Sometimes they just write themselves. Some basic rules:
They need to be concise.
They should be easy to remember.
They must be relevant.
They should reveal a key part of your business.
They must be true.
They must be timeless.
Brett Whitlock from Whitlock Motors in Cody, WY shares about their tag line, “Where our name means a great deal.”
What is the best marketing you can do? This is a question we get a lot from businesses. Rather than answer the question ourselves we set out to ask a few of our clients. Brett Whitlock has operated a very successful used car lot since the early 80’s in Cody, WY. He shares with us an investment that is a must in your marketing mix.
Today I walked into a local car dealer to have a little service work done on my wife’s vehicle, and the Service Manager remembered my name. Honestly I was a little taken back. I have only spoken with this particular manager on 2 other occasions that I can remember.
I have always preached the importance of remembering our customers names. The one simple act gives the impression that the person you are speaking to is important and you value the relationship.
Being on the other end I can say, it felt nice and gave the service a personal touch that made me want to come back for service in the future.
I can’t help but wonder if he really remembered my name, or if he simply looked to see who had appointments coming up. Either way it had the desired effect.
Whether we have to take the extra step to look up their name, or if we are simply blessed with a memory that retains names, it’s worth it to call our customers by their first name.
They will appreciate it, and it will likely result in more business in the future.
Business Builder Sue Bischoff spoke with Greg Koschital from B-Dazzled in Cody. Greg and Sue have owned B-Dazzled for 35 years, and tell us about buying and pricing merchandise.
Tom Phipps has more than 3 decades of running a successful business in Cody, WY. We asked Tom the one piece of advice that he believes new business owners should hear. We also went for a ride in an EZ Go at the same time. Win-Win.