Wednesday, February 27, 2008

Democrats, Employees and Customers Choose Nice

It might be over for Hillary and it's because she is not a nice person. Hillary comes off as a know-it-all who prefers to dominate and control others. She is the type of person no one wants to work for and she provides some lessons for those of us who are trying to build a business. Since I don't know any of her current employees forgive me for jumping to conclusions but I am sure I am right. People may work for her because they believe in her cause or to get paid millions but I don't believe that people are drawn to her.

We have filmed hundreds of interviews with business owners and film doesn't lie. I spend about 100 hours with each owner as I work through the edit process. I can freeze frames and look right into that person's heart and mind. These men and women are wildly successful and I found all of them to have lovely personalities.

The point is, a jerk is not very good at building a business from scratch. The exception is when a jerk gets millions from an investor or already has millions to go out and hire top talent. That top talent can be recruited with stock options or a big check then that top talent puts his nose to the grindstone and helps to build the business.

It takes a nice person to recruit, train and grow talent internally. To grow a business, you must become the person people want to work for. I asked Pamela Rodger and Lupe Fraga if being nice translates to the bottom line and they both said, "Of course."

Monday, February 25, 2008

Treat Suppliers Like Family

Great meals start with fresh ingredients. Joe T. Garcia knows this well so it coddles suppliers to guarantee that if there is only one tomato in all of Forth Worth, Texas, they will get it.

Though the restaurant is not open for breakfast, this place has a crowded breakfast table. Family members and suppliers commingle readily during the breakfast hour. Friendships are developed, and the family grows.

Is there any way to carry the Joe T.'s model over to your own business? Of course. There are many businesses that we have studied that host breakfasts and lunches for their customers, suppliers and employees on a regular basis. At Opici Wine Group, the founders have eaten dinner with a customer every week for sixty years. Opici hosts parties for suppliers to introduce them to the customers. Business is not cut and dried. It is so much about feelings, especially when you are working to build something that will out live you.

Friday, February 22, 2008

Make Your Unique Selling Proposition Clear

I watched the democrat debate last night because politics is my hobby. Yeah I know, I should take up golf. Clinton and Obama are two peas in a pod when it comes to their solutions to problems. When Obama explained his position on illiegal immigration, Clinton said, "I agree with Senator Obama." When Clinton explained her ideas for leaving Iraq, Obama said, "I agree with Senator Clinton." Writing for Slate, John Dickerson said, "For the first 45 minutes of the debate, the two were so close on the issues they could have been running mates."

At the end of the debate a focus group of democrats admitted that they like both candidates. Therefore, it is coming down to personality and Obama is the most lovely of the two so he is going to win.

If your customers have to try to figure out if they want to buy from you or from someone else, you are not making your unique selling proposition clear. As small business owners we have to stand out in the crowd so brightly that it is almost as if we have no competition in our category.

David Milly has figured out how to be the go-to guy for hundreds of customers.

Thursday, February 21, 2008

Sky High Oil Prices Don't Get This Owner Down

Reed Pigman, the owner of Texas Jet, says he is a gas station for airplanes. Fortunately, he doesn't use today's gas station as a model for thinking about his business. I am old enough to remember when my mother would pull the car into a gas station and a person would actually come out to ask her what kind of gas she wanted. That person would proceed to check under the hood and would have a look at the tires to see if he thought he should check the pressure. My mom never had to get out of the car. That was then (1960s) and this is now.

The Professional Pilot magazine named Texas Jet one of the top 10 independent, fixed-based operators (FBO) in the United States and we went to see why these customers love Texas Jet. Owner Reed Pigman is proud that his customers don't focus on the price of fuel, they focus on the service they receive from his team at Texas Jet.

We discovered that Texas Jet is a place the pilots enjoy while they waiting for their customers to return. But more importantly, the pilot's customer is given the red-carpet treatment! There is a very-demanding supply chain within these operations. The pilot is the customer of Texas Jet and the passengers are the customer of the pilot. Though a few pilots own their plane, most pilots are the full-time employees of the company who owns the plane, and often the passengers are their key executives, but passengers could also be people who have a fractional ownership in that plane, people who have chartered it, or people who are just paying for an "empty leg." Everyone is a choice customer and all expect top-quality care and attention to detail.

You can learn more about Texas Jet at Small Business School.

Monday, February 18, 2008

Service Can Keep Cash-Tight Customers Happy

No matter what the economy is doing, the best way to keep sales up is to keep customers happy and coming back. This is what Laurie Snyder has done to build her hat-making company, Flap Happy. Basically Laurie makes it easy for customers to buy from her. The corny-but-beautiful thing about great small companies like Flap Happy is that they are all about serving others. This starts with serving customers and spills over into serving employees.

Laurie says we must accommodate special requests, be easy to reach, and take on some of the customer's work. All strong companies do this and when they do it right they are rewarded with loyalty.

If you want to improve your service, ask yourself these questions: What can you do to stop thinking so much about money and start thinking more about serving? What actions can you take to be a servant to both customers and employees? What would your employees say if we asked them if your organization is profit driven or service driven?

Thursday, February 14, 2008

We Can Learn from Political Pollsters

Since I am a political junkie I have been reading pollster predictions and then after the votes are in I read how they explain why they were wrong in their predictions. Also I am amazed by how finely they slice and dice the electorate. If you're a Christian you could be a Catholic, an Episcopalian or like me, a Baptist, and the pollsters say we are all very different. I know they are right to study voting patterns but it just seems so odd to be thrown into a tiny basket for examination. In an article today at RealClearPolitics.com, Jay Cost explains why he believes quality polling is difficult.

As a business owners we can learn from the pollsters. Think of voters as customers and ask yourself if you know as much about your current customers and prospects as these pollsters know about voters. Of course you don't have millions to spend on research but there are things you can do that take time but not big bucks.

When Paul and Vicki Sharfman, owners of Specialty Cheese, wanted to launch a crispy cheese product for people on the Atkins high-fat diet, they asked what customers thought about the package. It took them time to ask questions but no hard dollars and they ended up with a package that flew off the shelves.

Wednesday, February 13, 2008

The Naked Cowboy Should Fight for His Brand

In a recent visit to New York City a girlfriend of mine took my picture with the Naked Cowboy and I gave him five bucks. Even though I grew up in San Diego and live in California now, I spent twenty years in Texas and I saw a lot of cowboys with some great hats. Robert Burck, the real name of the Naked Cowboy, not only has a great hat, he has developed a unique package that makes him stand out in the busy crowd always found in Times Square.

Today the New York Post reports that Burck is suing the Mars Candy Company because it dressed up an animated M&M to look much like the Naked Cowboy. Burck said in the New York Post, "'All I've got is my underwear. It's the most brilliant thing that's ever been created from a marketing perspective. You can't stop it,' said Burck, 37, who said he filed suit on the advice of lawyers and trademark experts."

The Naked Cowboy is one of 17 million one-person companies in the US and often these very small business owners don't think about protecting their ideas. And, in the digital world this gets even tougher for us little guys. You can learn more about protecting your intellectual property and your brand in this special episode of our show.

Monday, February 11, 2008

Finally Video is Everywhere

No more waiting to find Small Business School in a 30-minute slot on your PBS station. We bring it all here, right now for you to learn and enjoy at a time and place that meets your needs. And, in addition to streaming hundreds of hours of our television show on our own site, many trade associations and business publications now have our Daily Insight and Inspiration on their websites. You can find us at The Business Report, The Arizona Small Business Association, The New York Times, The National Association of Female Executives, The Bloomington Chamber of Commerce, Arkansas Business, The Council of Supply Chain Management, Babson - The #1 school for entrepreneurship, The Los Angeles Business Journal, New Jersey Business, Central Pennsylvania Business Journal, The San Diego Business Journal, The Business Record and more.

Email us if you would like to have our video on your website! Hattie@SmallBusinessSchool.org

Friday, February 1, 2008

Microsoft Wants Yahoo

The Associated Press is saying that Microsoft wants to buy Yahoo and the story reveals that this is not the first time that the big guns have tried to nab the web portal and search engine.

Buying a competitor is a great way to grow your business and increase profits. If the deal goes through, Microsoft believes it can meld the strengths of both companies to create a more powerful Microsoft.

Small companies can learn from this big business strategy. We owners tend to think that we have to start everything from scratch and we're even proud when we succeed to say that we did it all by our little selves. This is silly and small which can be one reason that most small companies stay small.

We have studied more than one company here at Small Business School that grew through the acquisition strategy and we're happy to introduce you to one of those companies, Rowland Roasters in Miami.