Social networking is the buzz word for 2008. Yes, we know all about the old fashioned networking events we have subjected ourselves to in the past. The ones where we show up with our pile of business cards and hope to find new leads. While those types of networking events are still good, if you know the right way to work a networking event, there are others ways to network with others outside of the small confines of a room.
Myspace and Facebook are two of the big ones, but there are so many other social networks out there. There are ones specific to gender or age, ones specific to hobbies, musical tastes, careers, and so on. I am a part of LinkedIn and Plaxo. Once you join these networks, take the time to add contacts, post thoughts on a subject, comment on someone else's posts, or even drop notes of encouragement or just to say "Hi".
With the internet allowing us to move our boundaries outside of our city limits, networking with others online allows us new opportunities to meet new clients or build relationships with vendors or even to visit new places and do new things.
Take the time to jump on the social networking bandwagon as you never know what opportunities may pass you by if you don't. If you don't at least give it a try, you will be like that little kid who always watches the other kids outside having fun from their bedroom window because they are afraid to join in.
Tuesday, January 29, 2008
Does pricing scare you?
No one likes to talk about money. Whether it is how much money you earn each year or what you charge per hour. For many people they are uncomfortable or fearful when asked information about their pricing. In turn, the people asking can sense your fear and uncomfortableness with the situation. Some will take advantage of you while there are others who won't, but they also may not give you a chance either.
So what are some of these fears that you may have? Do you feel you lack the experience to match your asking price? Do you think you are charging too much? Do you think that if you charge the price that you do that your prospective clients will move on to someone else who is cheaper? Are you unsure how to overcome objections?
I have people tell me all of the time how pricing is one issue that they have when it comes to running their business. They are unsure how much to charge or what to tell people who inquire about their prices. If they tell someone a price and that person objects to the price, they don't know how to tell them that they are worth it. When I started my business, I didn't want to price myself out of the market, yet at the same time I wanted clients. I was not very confident with my pricing and it showed in the type of clients I had at the beginning.
There are several things you can do to help you overcome your fear or uncomfortableness when it comes to discussing pricing.
1. Post your pricing. This is a topic for debate with many on one side saying that they post their prices on their website and in their materials, while others only reveal their pricing during their conversations with a prospective client. There are pros and cons to both sides. If you reveal your pricing you scare away those that can't afford you in the first place, but at the same time if you reveal your prices, you might miss out on an opportunity to share with a prospective client how you can take care of their particular needs. Also, once pricing is revealed, that is what a prospective client will focus on. Your other words will go in one ear and out the other.
2. Act confident. I have a take it or leave it stance when it comes to my pricing. When you make excuses for your pricing or discount your pricing immediately, your prospective client then can use this to their advantage to negotiate with you. I have had people state their price and then in the next breath lower it when they hear hesitation. I was guilty of it when I began my business. Be proud of your pricing structure. If you are on the phone or communication via email, be firm with your pricing in the tone of your voice. When talking face to face with someone, look the person in the eye when you state your price.
3. Get training. If you are unsure what pricing is like for the industry, get information from those in the industry who are considered experts or who have years of experience. They will know what it is like to have not been confident with their pricing at some point when they started and they can share with you some tips and hints about what you can do with your pricing.
Once you have decided on your pricing structure, practice over and over out loud talking about your pricing so that you can overcome your fears and have a new found confidence when speaking with prospective customers or even your current customers. Remember, if you don't have confidence in yourself, how do you expect others to?
So what are some of these fears that you may have? Do you feel you lack the experience to match your asking price? Do you think you are charging too much? Do you think that if you charge the price that you do that your prospective clients will move on to someone else who is cheaper? Are you unsure how to overcome objections?
I have people tell me all of the time how pricing is one issue that they have when it comes to running their business. They are unsure how much to charge or what to tell people who inquire about their prices. If they tell someone a price and that person objects to the price, they don't know how to tell them that they are worth it. When I started my business, I didn't want to price myself out of the market, yet at the same time I wanted clients. I was not very confident with my pricing and it showed in the type of clients I had at the beginning.
There are several things you can do to help you overcome your fear or uncomfortableness when it comes to discussing pricing.
1. Post your pricing. This is a topic for debate with many on one side saying that they post their prices on their website and in their materials, while others only reveal their pricing during their conversations with a prospective client. There are pros and cons to both sides. If you reveal your pricing you scare away those that can't afford you in the first place, but at the same time if you reveal your prices, you might miss out on an opportunity to share with a prospective client how you can take care of their particular needs. Also, once pricing is revealed, that is what a prospective client will focus on. Your other words will go in one ear and out the other.
2. Act confident. I have a take it or leave it stance when it comes to my pricing. When you make excuses for your pricing or discount your pricing immediately, your prospective client then can use this to their advantage to negotiate with you. I have had people state their price and then in the next breath lower it when they hear hesitation. I was guilty of it when I began my business. Be proud of your pricing structure. If you are on the phone or communication via email, be firm with your pricing in the tone of your voice. When talking face to face with someone, look the person in the eye when you state your price.
3. Get training. If you are unsure what pricing is like for the industry, get information from those in the industry who are considered experts or who have years of experience. They will know what it is like to have not been confident with their pricing at some point when they started and they can share with you some tips and hints about what you can do with your pricing.
Once you have decided on your pricing structure, practice over and over out loud talking about your pricing so that you can overcome your fears and have a new found confidence when speaking with prospective customers or even your current customers. Remember, if you don't have confidence in yourself, how do you expect others to?
Why are you in business?
There are many reasons that people give for going into business. They want to be their own boss, they want more time with the family, they want to earn some money to help with the family, they want to create their own schedule, and the list goes on and on.
These are all wonderful reasons, but I also find many are in business sort of as a hobby. They want to experiment with it like some people do marriages. They have the mindset, "If it doesn't work out, I will just walk away." They don't take it as seriously as others who want this to be their career or they want to put as little effort and money into it as possible, but still expect great results.
When the results they want don't happen, they get frustrated. I had a person ask me if they would be able to make what they did in their old job within the first year of their opening up their business. By the way they were earning $250,000 per year. I tried not to laugh out loud, but some of the misconceptions people out there have only hinders them.
I hate to be the bearer of bad news, but it takes work, determination, patience, as well as money to turn your business from a hobby into a successful running company. You have probably heard this saying at least once in your life, "You get out if it what you put into it." This saying goes for a lot of things in life, personal or business.
If, for example, you want to be a tennis player, it will never work if you don't put out the money to buy the right equipment or put in the time to practice your serve or your swing. Going to the courts a couple of times a week isn't going to do it. You have to be willing to put in several hours a day, every day. There are parents who would rather drive around an older car then buy a new one just so they can purchase a top of the line racket or tennis lessons for their child. The passion and willingness to sacrifice has to be there.
I know someone in the concierge industry who had a great job making money, but left it to start her own business. She isn't rolling in the dough, but she is working hard to make her business a success. From some of the stories she has told me, I don't think some of her clients could function without her help.
I get emails and phone calls from new mothers on an almost daily basis who want a job where they can make money, yet be there for their new baby. Deep down, their main focus is that new baby and the business will not work if that is where their focus is. A baby takes a lot of your time. After all of the feedings and diaper changings and caring for their other needs, how much time is really left for a business?
If you are ready to jump into entrepreneurship, don't stand at the shoreline dipping your toes in the water. You'll never get far. You need to dive right in and see how far the tide takes you.
These are all wonderful reasons, but I also find many are in business sort of as a hobby. They want to experiment with it like some people do marriages. They have the mindset, "If it doesn't work out, I will just walk away." They don't take it as seriously as others who want this to be their career or they want to put as little effort and money into it as possible, but still expect great results.
When the results they want don't happen, they get frustrated. I had a person ask me if they would be able to make what they did in their old job within the first year of their opening up their business. By the way they were earning $250,000 per year. I tried not to laugh out loud, but some of the misconceptions people out there have only hinders them.
I hate to be the bearer of bad news, but it takes work, determination, patience, as well as money to turn your business from a hobby into a successful running company. You have probably heard this saying at least once in your life, "You get out if it what you put into it." This saying goes for a lot of things in life, personal or business.
If, for example, you want to be a tennis player, it will never work if you don't put out the money to buy the right equipment or put in the time to practice your serve or your swing. Going to the courts a couple of times a week isn't going to do it. You have to be willing to put in several hours a day, every day. There are parents who would rather drive around an older car then buy a new one just so they can purchase a top of the line racket or tennis lessons for their child. The passion and willingness to sacrifice has to be there.
I know someone in the concierge industry who had a great job making money, but left it to start her own business. She isn't rolling in the dough, but she is working hard to make her business a success. From some of the stories she has told me, I don't think some of her clients could function without her help.
I get emails and phone calls from new mothers on an almost daily basis who want a job where they can make money, yet be there for their new baby. Deep down, their main focus is that new baby and the business will not work if that is where their focus is. A baby takes a lot of your time. After all of the feedings and diaper changings and caring for their other needs, how much time is really left for a business?
If you are ready to jump into entrepreneurship, don't stand at the shoreline dipping your toes in the water. You'll never get far. You need to dive right in and see how far the tide takes you.
Where have all the names gone?
I have a HUGE pet peeve. Maybe I shouldn't care about these people, but I do. I am part of an industry association. I check in on a weekly basis to see who is still a member and who isn't. One trend I am noticing, is that many of the members do not put their name and/or their location in their profile. Some of them don't even list their phone number.
I try to look at their listing from the viewpoint of a potential client or media person. If I have to struggle through your profile to find out who you are, I will walk away and move on to someone else. If as a media person I am doing a story on several companies in the Dallas area, but I can't find anywhere on your profile or even your website where you are located, I won't contact you. There are so many missed opportunities because someone does not want to reveal who they are in some fashion. I can't understand why they would hide, unless they are in the witness protection program.
If I have a referral for Florida, for example, and I plug Florida in the search box and your name does not come up because you either left out your location or abbreviated your state name, then I will turn the referral over to someone who I can find during my search. If I do a search for California to pass on a referral, but I have no way of contacting you, outside of filling in some page where I have to hit the submit button, I will move on and hand that referral to someone else. I may even find someone who is not a member to pass that referral off to.
I have also noticed when I visit websites that many are vague on their About Us pages. I don't care to know how ABC Errand Service will use their experience to help me with my life. I want to know how Jane Doe or John Smith, who have a background as a hotel concierge or who used to manage 200 people, will be able to handle my needs. I want to know if you won an award or volunteer your time. I want to know why you have the ability you do to help me. This helps establish credibility. Whether the target is individual clients, corporate clients, or a combination of both, the About Us page does not have to be so sterile. Loosen up and share something about you.
Share who you are with the world, or at least your potential clients. You never know what opportunities may come your way.
I try to look at their listing from the viewpoint of a potential client or media person. If I have to struggle through your profile to find out who you are, I will walk away and move on to someone else. If as a media person I am doing a story on several companies in the Dallas area, but I can't find anywhere on your profile or even your website where you are located, I won't contact you. There are so many missed opportunities because someone does not want to reveal who they are in some fashion. I can't understand why they would hide, unless they are in the witness protection program.
If I have a referral for Florida, for example, and I plug Florida in the search box and your name does not come up because you either left out your location or abbreviated your state name, then I will turn the referral over to someone who I can find during my search. If I do a search for California to pass on a referral, but I have no way of contacting you, outside of filling in some page where I have to hit the submit button, I will move on and hand that referral to someone else. I may even find someone who is not a member to pass that referral off to.
I have also noticed when I visit websites that many are vague on their About Us pages. I don't care to know how ABC Errand Service will use their experience to help me with my life. I want to know how Jane Doe or John Smith, who have a background as a hotel concierge or who used to manage 200 people, will be able to handle my needs. I want to know if you won an award or volunteer your time. I want to know why you have the ability you do to help me. This helps establish credibility. Whether the target is individual clients, corporate clients, or a combination of both, the About Us page does not have to be so sterile. Loosen up and share something about you.
Share who you are with the world, or at least your potential clients. You never know what opportunities may come your way.
What are your instincts telling you?
Good instincts usually tell you what to do long before your head has figured it out.
— Michael Burke
Animals are great creatures. They can sense when things are going to happen and act on them. For us humans, we don't always get it right. I have had times that I have been around a client or talked with them on the phone or have communicated with them via email, and the red flags were flying high all around me. Something told me that the situation wasn't right or that something in the future may happen. I have had other times where the flags were showing, but I didn't pay attention to them. About eight times out of ten I am right about my instincts.
For example, Thanksgiving week I had a woman call me from out of state for a last minute errand that needed to be completed that day. When I asked for certain pieces of information, she had an excuse why she couldn't send the information to me. Her scanner was not working. When she asked that the information be faxed over, I told her I refused to send it unless I had her credit card authorization on file. It was amazing how fast she got her scanner working.
I had a gut feeling that she would file a chargeback or something in the future, as I had issues getting the money from her in the first place, so I created her own file and included all of the information she faxed me and her invoice, as well as all of the correspondence we had. Almost two weeks ago I received an inquiry regarding this transaction from the credit card company. She was stating that the charge was unauthorized. Fortunately for me, I was able to fax over almost 20 pages worth of information I had to support my decision not to refund her, which was because she owed me the money.
Regardless of what the situation is, when your instincts rear their head, it is usually a good time to listen to them because you never know how they will help you.
— Michael Burke
Animals are great creatures. They can sense when things are going to happen and act on them. For us humans, we don't always get it right. I have had times that I have been around a client or talked with them on the phone or have communicated with them via email, and the red flags were flying high all around me. Something told me that the situation wasn't right or that something in the future may happen. I have had other times where the flags were showing, but I didn't pay attention to them. About eight times out of ten I am right about my instincts.
For example, Thanksgiving week I had a woman call me from out of state for a last minute errand that needed to be completed that day. When I asked for certain pieces of information, she had an excuse why she couldn't send the information to me. Her scanner was not working. When she asked that the information be faxed over, I told her I refused to send it unless I had her credit card authorization on file. It was amazing how fast she got her scanner working.
I had a gut feeling that she would file a chargeback or something in the future, as I had issues getting the money from her in the first place, so I created her own file and included all of the information she faxed me and her invoice, as well as all of the correspondence we had. Almost two weeks ago I received an inquiry regarding this transaction from the credit card company. She was stating that the charge was unauthorized. Fortunately for me, I was able to fax over almost 20 pages worth of information I had to support my decision not to refund her, which was because she owed me the money.
Regardless of what the situation is, when your instincts rear their head, it is usually a good time to listen to them because you never know how they will help you.
Tuesday, January 01, 2008
Happy New Year!
I hope all of you had a wonderful 2007 and that 2008 treats you right. I have enjoyed sharing my words of wisdom with you and look forward to sharing more with you this next year and many more after that. Even though today is the start of a new year and the slate has been wiped clean, I have not created my list of goals for the new year yet. Why? Because I am off to watch the Rose Parade and then watch the USC Trojans kick butt in the Rose Bowl. Look for more words of wisdom later this week.
Angel
Angel
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