Employee to Entrepreneur- Make the Transition

Still Talking Product - It's Critical To Get This Right

2011-04-03T13:51:00.000-07:00

Hello Energetic Entrepreneurs,

Wow, I bet you're chomping at the bit to get going, to hang out your shingle and open the doors. I understand fully and that energy must be harnessed right now and redirected.

How are you coming with the product solution statements? I suspect it's easier to think about than to actually put pen to paper or fingers to keyboard. Don't fret, it's difficult by design and must be overcome in order for success to follow. This is where your energy should be focused now.

Quickly, let's review. Product is the first P of the 5 "P's" of Marketing. It's #1 for a reason - if you're not selling what the target customer needs to buy, there will be no sales. Simple as that. When last we communicated, I gave examples of communications that exhibit what the seller wants to say versus what the customer needs to hear. Very common practice, and very dangerous.

You've seen this advertisement: GOOD FOOD GREAT PRICES. What does that do for ya?

Your passion for starting a restaurant is at a boiling point. What will you sell - what's the product? The obvious answer is food, right? Ah, yes, too obvious and wrong. Think about your favorite dining establishments for a moment, do not consider price.

Yes, the food is a reason, but it's more about the experiences. The experiences begin when you think about going, right???? The second experience is when you arrive and are greeted, (hopefully by name), seated and presented the menu. Experiences now follow quite quickly as you scan the menu, ponder a range of choices and make the final decision - anticipation!

When the food arrives, the next set of experiences are sensory, sight and smell. The food looks good and smells good, anticipation again. When you finally eat, it's almost a release, that first fork-full is DIVINE! The experiences continue long past the meal, think about the drive home and the notion that you will return. Ah, it's not the food, the food is the delivery vehicle. You're selling the experience.

So, great food great prices........I suspect it does nothing for you now and it shouldn't.

Here are two versions of a long held marketing and public relations theory:

It's not the steak, it's the sizzle
Sell the sizzle not the steak

Continue crafting the product statements, the communications. It is from these statements all marketing communications, advertisements, web presence, public relations, catalogs, labels, stationary and anything else that speaks for you and your company will be born. Here's a secret, it's also your brand.

Write, it's worth it,

Roneida

Employee to Entrepreneur - Let's Talk Product

2011-03-21T13:53:00.000-07:00

Hello economic engines, how are you doing with defining what you offer the market? Remember, it's a product whether it's a widget or a service. You should be finished, or almost finished with the solution statements. What problems does your product solve? If you came up with 4-5 statements, you're well on your way to defining the product.

Two quick theory statements for small business entrepreneurs: (1) it's not what you want to sell, but what the target customer needs to buy and (2) it's not what you want to say, but what the target customer needs to buy. Sound strange? It's not, think about it carefully.

Often, we entrepreneurs are so eager to begin the business and sell our wares, we overlook the target customer. We may think our product is the greatest thing since the paper napkin, (wish I knew who said that first), but if we aren't designing, selling and supporting that product in a manner comfortable and accessible for the target customer, guess what - they won't buy it. What you want to sell and what the target customer needs to buy probably aren't 2 different things as long as the customer's problems and questions are incorporated fully. That's an answer to quick theory #1, on to #2.

In sales, I've often heard the term, "throwing up on the customer", sounds nasty but think how it feels for the customer. We as entrepreneurs must censor ourselves to make sure we are saying what the target customer needs to hear in order to choose us. Those readers who were in grammar school in the 60's & 70"s will understand this reference - we do not want to leave sawdust on the customer.

Always, think in terms of the customer's problems and questions. Craft your statements to address them. Target customers need to feel a connection, to know you "get them". Here's an example:

Company: Pampered Pooches (just made that up)
Communication: 20 years dog grooming experience - dog owners how does that statement make you feel?

Here's another approach, see if you can feel the difference:

Company: Pampered Pooches
Communication: We'll love and care for your dog just like you - now how does that feel?

There is a difference, pet owners will feel it immediately. The communication acknowledges the love between dog and parent and that you want your pet loved while being groomed.

Create 3 to 5 communication statements. Think carefully about what a target customer needs to hear, feel, sense and know about the solutions and answers provided by your company. If you need inspiration, review marketing materials from merchants you frequent and use. Thumb through a magazine and see what ads elicit a positive response from you.

Starting a business isn't easy, nothing worth it ever is. The time spent creating the solid foundation will make for smooth sailing later.

Enjoy,

Roneida

Employee to Entrepreneur - You've Started Now What?

2011-02-20T15:22:00.000-08:00

Hello Entrepreneurs,

My last post questioned as to whether your mind allowed you to accept you are an entrepreneur by asking a few questions and referring to a definition. We are all entrepreneurs.

Assuming you've accepted the entrepreneur possibility, now what? Now is the time to begin defining the opportunity, shaping it, giving it form and function. The process is the same whether you're planning to sell a "widget" or a service, they are both products. Let's talk product.

Product, there are many definitions and variations. I like: solutions and answers delivered to the target market, a bundle of satisfaction, value in a word. What you offer the market place must be needed, it must solve a problem, (solutions - haven't we heard that a lot?) and answer questions.

Trust me it's true. Products enter the market to solve a problem, products stay in the market because they continuously answer questions. Don't believe me, consider this example. Your physician suggested adding more fiber to your diet and gave suggestions as to how. One suggestion was through the consumption of high fiber cereals. At this point you have a problem right - you must eat high fiber cereal. Unless you're a farmer and can process grains - off into the market place you must go. Where do you go - the grocery store. The prospect of finding a simple solution brings you to the store and more specifically the cereal aisle. Unscientific research via the Internet revealed cereal can help.

What draws you to a particular product - the box fronts. The box fronts are answering your questions - how much fiber, does it taste good, are there any other benefits, how many calories,etc. The notion that a product can solve a problem draws buyers into the market place. Answering their questions, now that's what gets them to buy.

Small businesses must first and foremost think about the customer, we do not have the luxury or the "Benjamins" to create demand. With that in mind, what problems are solved by your product? For success, I recommend a minimum of five (5) solutions and they must be concrete. Here's a tip - solutions beginning with "I", are not solutions. For example:

I love dogs
I like to cook
I make beautiful jewelry

The "I" phrases are about you, not the customer ~ there is no I in customer!

Better solutions are framed:

Experience in training over 100 animals and more than 20 breeds
Meals are homemade and contain 100% of recommended dietary fiber
Jewelry is custom and reflects the individual

See the difference? Good luck defining and listing the solutions. This phase of the process isn't easy and should take some time. Be patient, thoughtful and painfully honest. The result of this exercise will yield the platform upon which your business will be sustained.

If you have questions, comments, concerns or get stuck in this process, feel free to send an email.

Success and warm regards,
Roneida

P.S. Follow my Tweets at RMMarketingMind. We're discussing financials, Profit & Loss Statement currently.

Employee to Entrepreneur - Let's Get Started

2011-02-04T16:25:00.000-08:00

Have you been downsized, rightsized, reduced, eliminated, adjusted or layed off? Many have, me too. We are professionals with decades of experience, expertise and energy, are we entrepreneurs too?

Perhaps you're toying with the notion of starting your own business but you have questions, concerns and more honestly- doubts. Relax that's normal, it's healthy and exactly what you should feel. The key is identifying those doubts, addressing them honestly and putting a plan in place to manage them.

In this blog you will find tips on managing your mind and then managing the start up of a new enterprise. Step by step we'll walk through the process. From the business idea to developing the financial plan, marketing, operations and ultimately a business plan than gets results, we can do it.

If you were an employee, you were also an entrepreneur. Don't believe me...answer these quick questions:

Did you takes risks?
Did you make decisions?
Did you doubt yourself?
Did you make mistakes and correct them?

If you answered yes to any question, you have been an entrepreneur - you just didn't work for yourself. Check out Webster's definition.

Here's some food for thought - every business was once a small business -- think about it.

Regards,
RM