July 16, 2010

Business. As taught by a juvenile delinquent

I love this.
I love it because it pushes all the right buttons.
And I love it because it confirms, yet again, that the playing field is evolving.

I told you you didn’t want customers
I encouraged you to listen to your heart and to pursue passion.
And I wrote about business and social responsibility.

Now I’ll let someone else do the talking.

Recently, Entrepreneur.com interviewed Yvon Chouinard a reluctant business owner who describes himself as a juvenile delinquent.
Yvon Chouinard never subscribed to textbook business practices,
He’s done things his own way,
He’s cut against the grain,
He’s been laughed at.
He’s been lectured.
And he’s been warned,
That his business decisions were self-destructive.

Yvon Chouinard ignored his detractors.
And he now sits at the helm of a successful business,
A business with sales of 340 million dollars,
A business  you might have head of,
A business called Patagonia

I’ve been a Patagonia fan since the 1980′s
And I’ve admired Yvon Chouinard ever since reading his book, Let my People go Surfing
His persona and determination have inspired me to keep going—to keep telling everyone,
That there’s a better way to run a business,
A better way to manage a team, to view our careers.
And a better way to live our lives.
A way that I call The Net Present Value of Life

Listen, read the interview,
Read what Yvon Chouinard has to say about customers, and employees, and social responsibility.
Then ask yourself,
If he runs his business this way,
Why don’t I?

Ideas? Suggestions? Questions? Please leave a comment.

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March 25, 2010

5 career facts you gotta know: Fact 4



This is the 4th in a series of facts I’m presenting to business owners and working folk on May 14.

Fact No 4: You want fans



The myth goes… You must constantly develop a customer base, maintain a customer base, leverage a customer base.

The fact is, that kind of mythic thinking is so… uhhh … 1990.

The fact is, you don’t want customers. The fact is, customers are fickle. The fact is, customers want a good deal, a cheap price, an ironclad guarantee, and a cash-back-reward-card.  The fact is, customers buy from you. That’s it. They come in. They buy. They leave. The fact is, there’s no synergy there.

The new reality is, you want relationships, you want connections, you want people on your wavelength. The fact is, you want fans. The other, crucial, fact is, very few businesses get this point. Which means, if you develop a fan-base, you’ll be head-of-the-class, top-of-the pile—numero uno (OK, so that last one, idiomatically, doesn’t really fit. But hey, it was kinda late, when I wrote it).

Now then. You want fans? That’s great! Not sure how to get ‘em? Well, here’s the recipe. Start by paraphrasing the first 3 facts in this series.

Fact 1) It’s what think—not what you do—that gets you fans

Fact 2) Remember that you can do it—you can get fans

Fact 3) To get fans—you must divert your attention from the maximization of income

Next, mix in these two final ingredients;

1) Do what you love: If you’re a foodie, why are you selling real estate? If you’re a writer, why are you working in accounting? If you’re an entrepreneur, why are teaching? If you’re a leader, why are you following?

I read, somewhere, we’re all born with a gift, a purpose—a calling. I think you know what I mean. There are things that come naturally to each of us—a flair for creative design, a knack at a trade, a proficiency in… stuff.  And yet, how many of us turn our collective backs on that natural talent, that inherent genius? Only to pursue other avenues—perhaps because someone advised us there’s more money in that. If that sounds familiar, remember fact 3, and then return to your true love (hmm wasn’t that used in a Dylan song?).

2) Be who you are: Be authentic. Flaunt your passion. Enthuse in your unbridled enthusiasm. Why? Because fervour and passion are contagious. Because what’s contagious is catchy. It’s catching, and it’s catching on. People talk. A buzz builds. And you get fans.

One last thing though. Are you rock or jazz? Country, classical or rap? Remember, people like what they like. Rock bands don’t do classical. And you shouldn’t be what you’re not. If you try, your authenticity evaporates, your music diminishes to noise—just one more phoney, contrived voice in a sea of corporate bafflegab. And people notice—their BS detectors pinging their alerts—and people walk away. Or become, at best, disaffected customers. And you don’t want that.

Case study: Regular readers will know of my affinity for Apple. MacBook, iTunes, iPod, and, soon, iPad. I’m a fan and so are millions of others.

Here are two Steve Jobs quotes that nail the Apple zeitgeist. From a CNN interview; “…It’s not about convincing people that they want something they don’t. We figure out what we want…”

And from cnet; “We’ve seen great success by focusing on certain segments of the market and not trying to be everything to everybody, and you can expect us to stick with that winning strategy.”

Yet, I’m also a fan of other businesses, Scrivener, for example. Or have a look at what makes Yvan Chouinard tick (he’s the brains behind Patagonia). Read his book, Let my People go Surfing. See if you don’t become a fan.

More importantly, if you are a fan of a business (or a product) please tell me. I’d love to hear about it. Please leave a comment.

More on this: This blog has a number of references to fans, here are just two of those posts: You don’t want customers and How to get fans. But maybe my first piece, which I wrote in 2005, is still the best one. You can find it here or here.

Tomorrow: Retirement is a myth

Yesterday: It’s not about the money

Ideas? Suggestions? Comments? Please leave a comment.

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January 31, 2010

Get fans, not customers


It always happens.

Once business owners agree they don’t want customers,

The question always comes up;

“OK, so exactly how do I get fans instead of customers?”

To which I always reply that you get fans by not thinking about them.

In other words, focus on yourself and not on anyone else.

Seems weird?

Let me, then, use the same analogy as in my first post.

Pretend you’re a songwriter.

Would you query folk walking by your front door?

Ask them what kind of song they’d like to hear?

And write it based on the majority response? On the consensus?

I don’t think so.

Music is written from the heart. From passion, and talent, and creativity.

Why should business be different?

Way I see it, businesses need to tap into the same creativity, the same innovation, to get fans.

Put another way, to get fans (rather than customers) you must tap into your purpose, your passion, and your talent.

And then put it out there.

For acceptance.

Or rejection.

Because that’s precisely what will happen.

Some will like your message, desire your services, drool over your products.

They’ll “Get it.”

Those are the fans.

Others won’t relate. They won’t understand. They won’t “Get it.”

They’re the non-fans.

And that should be absolutely fine with you.

Your fans will flock to you.

They’ll identify with who you are, they’ll buy into what you do.

The non-fans, on the other hand, will ignore you.

And you them.

Because, one day, maybe later on, they will “Get it.”

Until then—and no matter what product or service you provide—it’s my belief that you must be true to who you are.

“Yeah but,” Some business owners tell me, “Doodads and gizmos are the hot thing, and I just want to be profitable… Make some money.”

Fine then. Go ahead. Sell doodads and gizmos. Go ahead and offer what everyone else offers.

But be prepared to get swept away when the bottom falls out of the doodad market.

And, if that’s not enough, be prepared to live a monotonous, passionless life.

A life where people who buy your products (or services) are as bored as you are.

Because that’s what so many customers are.

Bored.

If, on the other hand, you want something more.

Excitement, Innovation, Creativity. Passion (not words commonly associated with business, uh?).

Then find the sweet spot where your passion and talent intersect with what people want.

What they understand.

What they “get”.

And you’ll find fans.

How to find fans

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November 20, 2009

You don’t want customers

Thinking of opening a pizza parlour? Right, I never saw one of those before.

A hair salon? Oh, how original.

A social media site? Getting boring here.

A business coach? A wedding photographer? An accountant? Oh, groan…..

If you’re hoping to entice me with any of the above, thanks but no thanks.

No really. I mean it. I’m fine. All stocked up.

I say that because, believe it or not, the last thing the world needs is another small business.

And yes, I know you’ll want to refute my position (it’s happened before. Many times.) Some even come armed with supporting statistical evidence citing population trends and demographics.

OK, fine. if you do challenge me, and if you’re convincing enough… I’ll still be unmoved.

Why?

Because most new businesses are nothing more than a collection of me-too, cookie-cutter look-alikes, each one indistinguishable, unoriginal and notable only in its insignificance.

Look at it from the buyer’s perspective. Do you think that folk are wandering their neighbourhoods grumbling that there aren’t enough grocery stores?

Doubtful.

If people do complain (those, that is, not already worn down to a lifeless storpor) it might be about the sameness of it all.

“Oh look,” they’ll say, “How wonderful. Another coffee shop just like the one across the street.”

Same. Same. Shame. Same.

I mean, where’s the differentiation? Where lies the innovation and creativity in one more, franchised, outlet-ized, carbon-copied business? Hell, where’s the fun?

Look at it from a business perspective. How does a business that’s no different from the one up the road compete? On price. That’s how.

“Buy from us,” They announce, “We’ve got the best prices in town.”

Big deal.

The competition lowers its price and customers make for the exits.

And therein lies the rub. It’s those damn customers.

Ot at least how businesses view customers.

With too many entrepreneurs, there’s a perception that customers are an invariable variable in the buy/sell equation. And that means there exists a clearly-defined commercial relationship that ends the second after customers plop down their money.

Then, once the transaction is closed,  business owners are off  to the next customer, and the one after that.

Oh, of course, let’s not forget the (supposedly) more sophisticated businesses that focus on customer retention, forever wondering how to get the same ones coming back for more.

See what I mean? The focus is on customers.

And that’s backwards.

Way I see it, business shouldn’t be focusing on getting customers. In fact, businesses shouldn’t want customers at all.

I say, forget the customers. Why? Because customers only want good value for money.

And now you’re thinking, Hang on, isn’t that what business is about?

Nope. Sorry, but no.

Look at it this way, picture your business as a band (the kind that plays music). Do you think your audience wants to hear you—and every other band—belt out You Light up my Life every night.

And if you lowered the price of your CDs (or MP3s or shows), would your audience, all of a sudden, be happy about having to listen to You Light up my Life all the time?

So, where am I going with all this?

Easy, think like a band and do what the mega-bands do (and it ain’t playing cover tunes over and over again). Then, try to win what they’re trying to win (and, it ain’t customers either).

Rather, your band—er business—wants fans.

Why?

Fans create a buzz, fans are loyal, fans are viral. And…

Fans buy stuff. Lots of stuff

How does a business get fans?

Through originality, innovation, imagination and creativity. And through purpose. Clear, unfiltered purpose. In essence, you’ll get fans by being true to your purpose and identity.

Just like successful bands that have an identifiable style and a defined voice, your businesses should say, “Here’s what we’re about. Here’s what we believe in. Here’s what we do. Here’s what we offer that no one else does.”

The result is that people who like what you’re about will flock to you. Those that don’t, won’t.

And, that’s another nice thing about having fans. You won’t waste time focusing on people who’ll never buy from you. Instead, you’ll focus on your message and your offerings, and you’ll communicate that to your fan-base, who will then spread the word.

Don’t believe me? Want proof?

Look at Apple. Do you think their distinctive products and innovative spirit have created customers?

Or millions of fans?

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