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Thread: How to create a Customer

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    Diamond Member Blurock's Avatar
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    How to create a Customer

    I believe in this statement by marketing guru Peter Drucker;
    " Because the purpose of a business is to create a CUSTOMER, the business enterprise has only two basic functions;

    MARKETING and INNOVATION.

    Marketing and innovation produce results: all the rest are costs.
    Marketing is the distinguishing, unique function of the business."

    So now consider these 2 scenarios:
    1. I recently placed a relatively small) order (200) to one of my suppliers. Their answer was that they will not start their machines for such a small order. This is a product that is in constant demand that they require for their own product assembly as well. (Thursday) No alternatives given.
    I then sent out enquiries and early Saturday morning I received a WhatsApp message apologizing for not replying yesterday as they were out of stock, but "the guys worked a night shift and we will be ready to ship on Monday." So did this guy who was innovative in getting products made, create a customer? Most certainly yes.

    2. I was verbally quoted for a job, but when the written quote arrived, it was R1.5k more. I accepted it without a query as I believe in paying for work done. However, the contractor outsourced his work as he had a more lucrative contract and the substitute stuffed it up. No innovation as he did not know how to overcome a problem. I had to show him alternatives and he still messed it up. The original contractor was called to site and all he did was make excuses. He still had the audacity to charge me for labour on re-work.
    Did he create a customer? No, definitely not!

    The customer is the reason for the existence of a business. Treating the customer with distain or disrespect is the worst thing you can do and easiest way to sink your business. Go to Hello Peter and see the type of complaints submitted. If you have a difficult customer, put everything in writing so that it is clear as to who said what so that you can cover yourself. In my experience the most difficult customers have often become ambassadors for businesses that attended to their queries and misconceptions.
    Excellence is not a skill; its an attitude...

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    The thing I find most interesting about customer / possible customer / supplier relationships is that one never knows who your customer / supplier might be. We've been trading for many years and we ship a lot of stuff back n fro to Namibia. With the whole Covid thing we decided to stop handling the cross border stuff ourselves. The problem is that customs keep changing the rules, one week its this form and the next its that form. Then of course there is all the nonsense with the import / export code (which we have). The Namibia border got hung up last week because they decided to test the drivers for Covid. This week they seem to be happy to accept Covid tests done by third parties. My wife gets back from the UK on the 9th of January. We decided to ship 90% of the stuff she is bringing back via DHL because she gets blocked by customs. She wasted hours in Dubai the last time having to explain to customs that the thing in her bag isn't a knife.....but rather a model ship. (She will bring all the nice toys with her though)

    Anyhow, to cut a long roundabout story short - although people banter there are always opportunities if one keeps ones eyes open.

    As an aside - I got involved with a company that plans to manufacture electronic Kiosks (like those machines at Clicks and the airport - similar to ATMs) I met with the 2 guys and started doing some CAD for them. We had a subsequent meeting at my place to discuss modifications to the design of the machine. The two of them got into a massive argument over whether the machines should be repaired onsite or offsite. They went round and round and I eventually told them that they must go away and get their business principles figured out before designing the machine because part accessibility is largely determined by this issue. If the machines are to be maintained onsite (which is a terrible idea) then the technician needs access to everything via panels and if the machine is to be maintained offsite then the technician only needs to be able to take modules away. Anyway, the one guy was very uppity about wanting to have answers there and then. I said that I refuse to get into a debate about the matter considering that it is their business and I have no vested interest whatsoever. They eventually left. I thought about the whole thing and although there is good money to be made I am not touching it with a barge pole. This customer (...the one partner) is totally unreasonable and I can already see where it is heading - I don't want to deal with a customer that doesn't know the basics of his own industry. I got paid for the work I did, handed the plans over and sent them on their way. Sometimes the customer is a TOTAL TWAT that must just go away.

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    I could write a book on experiences with customers ... I have had them all.

    What I will share ... you must play nicely with the other kids (customers) to a point.

    No matter the size of the bussiness or the wealth of the customer ... you treat me with the same respect I treat you ... we do bussiness ... you step over the line go find another sucker to put up with your crap.

    Bussiness is about a working relationship ... get the working relationship right it goes both ways.

    I am past that stage of being bullied by Aholes who feel because he/she is a company owner ... buyer for a company ... drive a better car or have a bigger bank balance ... it gives them a right to treat you like they generally treat their staff.

    Just because you are the customer ... doesnt give you special powers or rights.
    Comments are based on opinion...not always facts....that's why people use an alias.

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    Diamond Member Blurock's Avatar
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    Agreed, sometimes the customer, or the supplier in my case, is a complete twat.
    However, by treating everyone with respect, sticking to the facts and not getting personal, people may eventually distinguish right from wrong.

    In this terrible year, I have had two previous adversaries approach me to do business together. Both have created new opportunities for me and I am chuffed with their innovative products and the support extended to me.

    I have learnt that people do not really remember what you have said, but they do remember how you have treated them and how you have made them feel.
    Excellence is not a skill; its an attitude...

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    Quote Originally Posted by Blurock View Post
    I have learnt that people do not really remember what you have said, but they do remember how you have treated them and how you have made them feel.
    This is so true. I had a bit of a disagreement with a company that serviced my daughter's car last week. I posted about the incident on their Facebook page. I got a call from the company MD about 20 minutes later and we had a decent discussion about the issue. He was very apologetic and offered to remedy the situation there and ten. I said that I would remove my comment and support his business because he took the trouble to phone me and discuss the matter.

    People do business with people - I will happily walk away from a deal if I don't feel comfortable with the people (be it suppliers or customers)

    My daughter and I went to a local shop on Saturday - We've been going there for years. The owner got it in his head to try and sell me an electrical inverter while we were paying for our goods (their mainstream business has nothing to do with inverters and we didn't go there to buy an inverter) he kept on and on about how my generator sucks and how an inverter is better than a UPS. I kept brushing him off but he got kinda p!ssy when I told him that I am not giving his flyer to my friends or neighbors. His sucky attitude has forced me to think twice about going back there - there is only one similar opposition company in Cape Town and my daughter and I will go there next time. Having the bossman try to hardsell me on something I don't need (whilst making out as if I am stupid) while I am spending a couple of grand in his shop on his main offering gets on my nerves. I could see the look on the employees faces were "awwww f....k....here we go again" but of course they can't say anything.

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    Diamond Member Blurock's Avatar
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    So how do you attract a customer?
    By marketing (that is not the same as advertising) and innovation. Many entrepreneurs shy away because they perceive it as difficult. Well, then how do you overcome a difficult issue? By breaking it down into smaller bits. Most entrepreneurs are good at innovation; if one thing does not work, they try another. They improve products, they develop new products or new ways of servicing a customer or client.

    Marketing (promoting and selling yourself and selling your business) requires study and practice. If you want to become a body builder, you spend time in the gym. If you want to become a doctor, you study at a university. The same with marketing. If you do not want to do formal training (time or financial restraints) at least READ. There are so many books by successful people. What did they do right or what did they do wrong? Learn from them. See what works in your business. Try another approach, ask the experts.

    Practice makes perfect. We all know that. So start studying and practicing your marketing skills now and get a head start on your competitors.
    Excellence is not a skill; its an attitude...

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    It depends on what you are doing ... each type of bussiness requires a differenet approuch ... there is no one marketing plan that works for everyone.

    One of the biggest mistakes I see in the trade industry ... being a master craftsman doesnt make you successful in bussiness no matter how great your marketing strategy ... and being really good at what you do ... might work for a small handful of customers ... but it certainly makes very little difference once the bussiness grows ... if you stay a one man band ... you will grow to a point then just run out of hours ... which results in either customers being prepared to wait ... if you are that good at what you do ... or crash and burn.

    Understand what it is you are trying to achieve ... what your goals are for the future then build you marketing stratergy around that ... if you want to grow into a multi million rand enterprise ... your approach to marketing will be very differnet to a person/s who just wants to stay small and service a few clients.
    Comments are based on opinion...not always facts....that's why people use an alias.

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    Diamond Member Blurock's Avatar
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    It depends on what you are doing ... each type of bussiness requires a differenet approuch ... there is no one marketing plan that works for everyone.
    Exactly Ian. That is why you have to study and practice at what you do or want to do. They say it takes 10 years to become a master at your profession, whether you play the guitar, sell, repair or manufacture.
    If you are a one-man show, you have to sell and promote yourself. No use being the best if nobody knows about it. Word of mouth is obviously the best advertising, but you still need to create an awareness about your service or product. There are some free or inexpensive channels available such as social media, industry groups etc. Getting listed in e.g. community forums or associations may also generate some referrals.
    Excellence is not a skill; its an attitude...

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    Quote Originally Posted by Blurock View Post
    Exactly Ian. That is why you have to study and practice at what you do or want to do. They say it takes 10 years to become a master at your profession, whether you play the guitar, sell, repair or manufacture.
    If you are a one-man show, you have to sell and promote yourself. No use being the best if nobody knows about it. Word of mouth is obviously the best advertising, but you still need to create an awareness about your service or product. There are some free or inexpensive channels available such as social media, industry groups etc. Getting listed in e.g. community forums or associations may also generate some referrals.
    I must be a senior grand master ... 30 years in the game.

    I was chatting to a guy who is 82 ... still on the tools ... had his bussissness for almost 50 years ... I thought he was around 60 ... has enough money to retire ... but chooses to work.

    I was saddened to hear that a chap who I always greeted and told him that he made my day ... the fact that he was 87 and still building steel gates installing them ... he passed away this year
    Comments are based on opinion...not always facts....that's why people use an alias.

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    Blurock - We will chat next year when I start my new venture in March ... let me achieve my 30 year goal ... then we will try new things.

    I was thinking about it this week ... if I set another 30 year goal ... I am ganna be 85 ... eeeeeiiish ... maybe I will set shroter 10 year goals
    Comments are based on opinion...not always facts....that's why people use an alias.

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