Showing posts with label magazine. Show all posts
Showing posts with label magazine. Show all posts

Friday, January 20, 2012

Want to be Rich? Sell People What They Want to Buy, Not What You Want to Sell Them

It's so painfully simple. Sell clients what they want to buy and you will be rich. 


You can tell by looking at this guy that he doesn't care about you or even what you want 


Ah! But easier said than done. Most salesmen do not get rich because they keep trying to sell people what the salesman has to sell, not what the people want to buy. How can the salesman sell people what they want to buy? How can the salesman know what people want to buy?


Simple. Ask them.


I meet salesmen all the time and constantly have to repeat myself when it comes to this point. No matter how many times I repeat it, it still bears repeating as sales people don't seem to get it: Sell people what they want to buy and you - and what you have to sell - will always be in demand.


It doesn't matter if it is a product or service, or even you, learn what the customer wants and sell that to them. 


I must be poor at explaining this concept to people. Why? Because, yesterday, with my own staff, I had to explain it again, and I've worked with that person for several months! I had to explain it again! Folks, this was at least the 5th or 6th time I've had to go through it.


"Have I got a great deal for you!"


Here it is again: Sell customers what they want to buy, and not what you want to sell them, and you will be rich. Does this sound like some sort of word game or Za Zen Buddhism? It isn't. 


Like I said, my explanation must be bad. Let me try again, this time let me put you into the head of the customer. Imagine that you are the customer in this next scene.


Here goes two examples. One is the example of a bad salesman. The other is a good salesman. Which, as a customer, do you prefer?:


Example A: 


You are the customer. You go into a clothes store because you want to buy a new coat. The salesperson approaches you. The sales person holds up a pair of bright red and white striped slacks and says to you, "Hello! Please buy these pants!" 


Do you buy the pants? Probably not. You probably run out of the store and think this sales clerk is nuts. You certainly don't like being approached this way. And you probably won't go to that store again.


Unfortunately, this is how most salespeople are approaching their sales job today. The honest sales manager and sales person will admit it.


Example B: 


You are the customer. You go into a clothes store because you want to buy a new coat. The salesperson approaches you. The sales person says, "Hello! May I help you find something today?" Do you answer? Do you say, "I'm looking for a coat"?


Yes, you do. Why? Because the salesperson has offered to help you find what you are looking for. The sales person knows where most of the merchandise is located so, if you are really serious, you will respond positively as it saves your time and is convenient.


This salesperson has asked what you want and you answer because you really do want something and you have walked into their shop to look for it.


It is so simple. Find out what the customer wants and see if you can fill their need. 


Aha! But it's different if I am a salesman and I go to the customers home or place of business. This is true. In the example above, the customer has walked into the clothes store for a reason. How does the salesman create communication and trust with a customer - when visiting that customer at home or work - so that they can explore what the customer wants to buy? Simple again. Ask. Create communication. Do not say, "Buy these pants!" Ask how the salesman can help the customer achieve what they want. 


"You don't need a new refrigerator! Buy this car!"


I work with a lot of mass media; broadcasting stations, both TV and radio, and magazines. They all have a problem. Under their traditional way of doing things, they are selling what they want to sell. They are like the sales person in Example A. All of these salespeople make appointments with clients and then go to see them and ask them to buy time slots in programs that have already been decided on. I can't name one broadcasting salesman - and I know several at many different TV and radio stations - who is out asking the clients what they want to buy and making the effort to fill customer needs. (Recently, though, I know a magazine who has been doing that and has begun to do very well doing so).


The broadcasting station salesmen are like used car salesmen in the United States; they are still selling their services they way they were sold 40 years ago: One way sales. Instead of creating open communication and having the ability to answer customer needs - and offer a flexible, wide array of services and choices, the broadcasting stations are still selling time slots on TV and radio. The great salesman will be creative and offer solutions to customers. 














Are you still selling yourself or your services and products the way you were doing it ten or twenty years ago? If you are, then it should be obvious why your sales are bad. Is there any successful company in the world selling things they way they did twenty years ago? Not is the west and not in Japan there aren't.


Become a needs and solutions provider for your customers. Do some research on them. Go to their web page and see what they are doing for in-house promotions. See how you can support. Get information and knowledge. Talk to the customers and ask them what they want.


Find out what they want to buy and help them to get it. Brainstorm and offer creative solutions... Once you do and trust is made, perhaps then and only then, you'll be able to sell them what you want to sell them.


But first you have to find out what they need and help them get it.




This article was inspired by Kimitoshi, Youichi and Tom

Thursday, October 6, 2011

The Smartest (and Most Profitable) Business in Japan?

Today, you won't read about the company I am going to tell you about in magazines about business or the economy... You won't see news reports about them on TV shows about profitable businesses...Why? Well, as I've written many times before, the mass media is not interested in the truth. The mass media are only interested in filling the spaces between advertisements. That's all. 


Besides that, as a more than 30 year veteran of the mass media, I will tell you that the business of most in the mass media is: kissing businessmen's a*ses in the hopes of getting paid advertising for their media...


While the Internet and Social Media are all the rage today (Hint: when things are "popular", they are already out of fashion) there's still a few "traditional" business models that blow the rest away.


You won't read too much about this company in the mass media... Yet... But you will someday soon (the mass media are always a day late and a dollar short.) But this company blows the socks off of Groupon, Twitter and these other flash in the pan "Social Media" darlings of today. 


I'm talking about a publishing company. That's right, a publishing company. You know, printing press and all. Ink and paper....


Gutenberg would be blown away that a company, so many centuries later after his invention, could use his idea and still make a massively successful and profitable business in the age of the "Internet", in the age of "digital media."


Remember that it wasn't that long ago when people were saying that the Internet was going to destroy books and magazines? Ha! Laughable. Remember that it wasn't that long ago when they said that children today needed to know about the digital age in order to survive? Ha! Laughable. 


As it was 2,000 years ago and as it will be 2,000 years from now, the wealthy, the intelligentsia, the church and the movers, shakers and leaders of society will be people who read books. It has always been that way, it always will be. 


To think otherwise is just plain stupid.   


You know, I'm talking about one of the most profitable companies in Japan today...a publishing company that puts out old fashioned things like books and magazines... And, no, you can't get their products on Kindle.


I'm talking about Deagostini. Specifically Deagostini Japan...(If that link doesn't work, see here: http://deagostini.jp/)


Look out Internet businesses! Your business models are far too often a scam (or full of scams or SPAMS!) I think so because if your online business doesn't translate into something tangible or real-world, then you are headed for a fall.


Move over Groupon. I've railed on you over and over. But your business model is a joke. Who could possibly think that there would be a potential for a business that survives on SPAM? And you want a 60% sales commission!? Any good business model has to be good for all parties concerned... I don't see where you are getting any repeat customers in Japan... Maybe that's why your advertising here has disappeared. Gee! Does Groupon save me time from having to clip coupons? I never really had a problem with that before. Did you?


Twitter? You kidding me? I get more messages from Twitter that are SPAM than anything that I would ever want to read... And who needs to read idiotic nonsense on Twitter like, "How to get more followers on Twitter for only $5?"


Jeez! Who wants a bunch of "followers" who are people who know absolutely nothing about you nor do they care about you excepting that you are another digit in their masturbatory dreams of having a large "Twitter following"?


What a joke!


But old fashioned publisher Deagostini is no joke.


Deagostini sells a product that you can hold in your hand. Deagostini sells a product that kids can look forward to like Christmas or a birthday. Deagostini sells an "event" and a "limited edition" item... Once they are sold out, they are gone forever...


People in a consumer society have a history of going crazy over stuff like that.


X-RAY SPECS - ART-I-FICIAL
I know I'm artificial
But don't put the blame on me
I was reared with appliances 
In a consumer society 
When I put on my make-up 
The pretty little mask not me
That's the way a girl should be 
In a consumer society 
Deagostini Japan was founded in 1997. Because of the Internet, 1997, was called the beginning of the end for the traditional publishers and old school mass media. 


Deagostini's late entry into Japan was considered by many a joke. All the traditional big Japanese publishers laughed at this upstart foreign company and their ridiculous ideas for penetrating the already overly-saturated Japanese market... A market that was the most profitable with the highest literacy rate in the entire world...


They all said that Deagostini's products were cheap and poor quality. Then, Deagostini were the laughing stock of the Japanese publishing world. It was thought that there was no way a foreign company could come here and survive... 


That was then.


They aren't laughing anymore...Last year, of the top 15 publishing products sold in Japan, 13 of them were Deagostini products. I got the sales figures for Deagostini Japan yesterday. These figures are not public yet, but I have quite dependable inside information. 


Deagostini sales in Japan for 2010 (still not public information) were....are you sitting down? ¥28,400,000,000! That's ¥284 BILLION YEN! (about $370 Million USD!) Not only is that just incredible, but of those sales about 30% is pure profit of ¥842,000,000 (about $110 million dollars!)


Deagostini Japan's newest model... Think kids go crazy
for this stuff? Yes. They do! I know even adults who buy
these items... Heck! I've even bought them before!


How does Deagostini do it? It's so simple that when I first heard this idea, I slapped my head and thought, "Of course! Everyone knows this idea!"


How do they do it? Deagostini releases their products in a limited edition series. Like the Gundam advertisement above, they will release a quality model of a toy product (anime, war plane, car, ship, etc.) in a series of editions to be released once a month or so. There could be anywhere from 12 to 50 or 60 items in a series.


The first editions are really cheap. They get more expensive as the series progresses.


I bought a Zero Fighter for my son last Christmas at the book store because I couldn't believe how cheap it was and the quality was awesome for the price.


This model was high quality metal cast. It had moving parts.
It came with a huge book, and other great things that boys love... 
I think it was about $4.00.... 

Then, regularly, Deagostini releases the rest of the series in succession. As the issue go along, after a certain point, the items grow slightly in price.


If you are a real collector, you will buy each item until the series is over. Trust that there are tons of collectors with the disposable income to buy this stuff in Japan... Not just Japan! All over the western world. 


In, say, a twenty series set, by the sixth issue, Deagostini has broken even on the cost of production and logistics of the entire series and each item sale after the sixth issue is pure profit.


Get that? In the series, after the sixth issue or so, every item they sell is 100% pure profit.


It's an incredible success story and an incredible business model.


So much so that Deagostini is a model for future businesses in Japan and the world over... How many other businesses can claim that 30+ some percent of their sales is pure profit?


Certainly not Facebook or Twitter, which have no sales; nor Groupon who keeps doing the switcheroo on accounting methods.


Kids want something to hold in their hand and play with. The child's imagination is a powerful thing. Social Media offers no real tangible items....


Deagostini not only offers a product to hold and play with, they sell a dream and something to look forward to every month.


With Deagostini products, kids get Christmas not once a year, but 12 times a year... Adults too.


What's having something to look forward to everyday worth to the average person? Well, judging from Deagostini's Japan sales, it's worth well over $370 million US dollars and growing. 


Nah. No big deal, right? Let's talk about Social Media.... Yawn!


UPDATE: My friend Brenda chimes in:


Mike,



Not only that, they re-issue same series years down the line - all profit! I did some marketing for them in UK years ago.

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