Bob Poole's Water Cooler Hangout

Switching

Yesterday, I wrote a post about a drug store that is trying to get customers to switch to them from the store right next door by offering free groceries to the switchers while ignoring their current customers.

Then this morning I noticed Seth Godin wrote about how hard it is to get customers to switch. The timing seemed perfect to share it with you.

I'll be back to you later on today.

Nose Thumbing

I got a direct mail piece from my "Neighborhood Drugstore at Giant" today. It was addressed to resident. I've been a customer of this particular drugstore for as long as Giant has had a pharmacy in their supermarket.

I stopped and read the postcard because the front of the card said I could get up to $60 in free groceries. That sounded good to me especially since I'm a customer.

However, I need to give you a little back story. Within the last year a huge CVS drug store opened about 50 yards away from the Giant store. CVS is known for good prices, a frequent buyer club, and more importantly for me - a drive through.

If I need something from my Giant pharmacy I have to park and then go into the store. It's a hassle compared to drive through - especially when you're not feeling well. But, I didn't really think about moving my prescriptions and my wife's from Giant. I like the people at the pharmacy and they have given us good service.

Now someone in Giant marketing is offering me $60 in groceries for being a pharmacy customer. How great is that! Then I turn the card over and I read the sub-head after the $60 headline. It says, "for new or transferred prescriptions!"

I'm not so happy now. Giant is willing to pay out $60 to get new customers but nothing to keep the customers they have. Which do you think costs more - keeping customers or finding new ones? You know the answer. Everyone intuitively knows the answer. Everyone except the marketers at Giant.

I'm sure they have already lost plenty of customers to CVS. It wasn't like they didn't know they were coming. It took months to build the big store. Why didn't they launch a proactive plan to thrill their customers so they'd never want to leave? Why would they spend a lot of money on a resident mailing to try and lure people away from CVS?

And, why would any business reward new customers while thumbing their nose at the people who have supported them for years?

Follow, Learn, Live It

I just got finished reading Chris Brogan's newsletter. If you don't subscribe, it's well worth it. He writes about community and social media but I think he also writes about leadership. By the way, if you haven't read his book, "Trust Agents" I also recommend taking a look at it. There's a link under my recommended books.

I was also thinking this morning about how blogging, social media and all the technology tools we have to use today to communicate and build relationships are just that - tools. It still takes lots or hard work. I don't know many people who have reached the pinnacle of their chosen work without working really hard.

Chris Brogan is a good example. He blogs every day - sometimes more - or so it seems. Plus, he writes a weekly newsletter, runs a couple of companies, consults for others, puts on workshops, participates in conventions, speaks all over and more. I get exhausted thinking about all that he does. Seth Godin is similar in work ethic and activity.

When I talk to people about their goals, I often hear them stated in monetary terms. However, very few people can sustain the level of work and passion required if your goals are primarily based on money. There has to be some love in there too. Actually, a lot of it.

If you read or get a chance to hear Seth or Chris (or even a Bob), you'll see and hear the passion and love for what they do very quickly. I used to listen to a lot of professional speakers and although I learned something from all of them, the number one thing that has stuck with me is you've got to love what you're doing and have a fire that can't be quenched by people throwing cold water on you and your ideas.

Find people who are and then follow them. Learn from them. And, then use what you've learned.

I know you've heard this before. But, are you living it?

Domain Name Game Has Happy Ending

A few minutes ago I was really ticked off. Now, I'm laughing like crazy and for kind of the same reason.

You might not know this but the domain name game is a mess. There are some very unscrupulous types who monitor the searches being done by people like you and me for new domain names. And, if they happen to see that you've found a good one that isn't yet taken, they will try and pounce on it before you. Hesitate and they will buy it right out from under you.

Legal? You betcha.

Unethical, underhanded and the domain of slime balls? You betcha. I hesitated a couple of years ago on a name for this blog that is similar to what it is called now. Sure enough, I got pounced by thinking about it for a couple of hours.

Sandy wrote to me about a recent blog post and mentioned an idea for a website and perhaps a little business. I didn't know if she was serious or not but I checked out the domain for her. It was taken. But, I got creative and came up with a name that is just as good and maybe better for her purposes.

So, I wrote to her and told her I thought it was a good idea and that she should register the name right away. And, I told her why. But, after I sent the email and took a phone call, I started worrying that one of these pouncers would see my search and grab it. Since I was still logged into GoDaddy, I went ahead and bought it and was in the process of writing an email to Sandy telling her I'd transfer it to her and that I didn't want her to lose it.

Then, a few minutes later I got an email from GoDaddy saying that the sale didn't go through as someone had bought it out from under me. My first hope was that it was Sandy. I checked WHOIS but no such luck. It was bought by a website designer which meant this person knew what they were doing and stole it away from me and my friend. I really felt like I had let her down by not buying it the moment I saw it was available.

And, then my anger turned to laughter. I got an email from Sandy and she was all excited. She had gotten my earlier email and decided to go for it. So, she contacted her friend Patricia who owns the website design company and told her to buy it and is already starting her site.

This story has a happy ending and I'm looking forward to this site. You're going to love it. Lots and lots of people are going to love it. I can't say anymore about it but we'll be hearing from Sandy sometime soon.

Meantime, please let this be a cautionary tale. If you find a domain you think you want - buy it. Don't hesitate if your gut is saying do it. If you wait to think about it that gut feeling may turn into nausea.

Sub and Con and Me (Which is not the same as Marley and me)

What is it about our brains? Well, at least my brain. I'll let your brain speak for itself. Every night when I settle down to sleep and the room is dark and everything is quiet - part of my brain decides it's time to go to work. Suddenly my sub-conscious (sub) says something like, "Yeah, finally some peace and quiet. Let's get going now." Or sometimes it says, "Hey wouldn't this be the perfect time to run all those tapes from ages 30-40!" I feel like I'm in the movie Defending Your Life!

Then my consciousness (con) kicks in and it has a little talk with sub. It usually goes something like "Hey, it's late. Why don't you go to sleep too." But, sub seems to have a mind of its own. And, I mean that with all seriousness.

But, here is where I get really weird. Instead of letting sub do its thing and con going to sleep - along with rest of my body - con wants to watch the movies and see sub work on solving things like global poverty and how big is the typical stag beetle.

I think this is what some people call insomnia. 

I admit it can be annoying at times. But, it is amazing to watch sub in action. It's so much more efficient than con. (Please don't tell him I said that.) However, I've come up with a plan where I can have the best of both worlds. I'm setting an alarm for con. I'm willing to give con an hour to observe the workings of sub and then I'm shutting him down.

I haven't yet told my wife, Joann about this plan. I probably should explain it to her before the alarm goes off an hour after "we" go to sleep. She does go to sleep - in seconds. Her sub and con work in tandem. They've been known to trigger a snore or two from her as I'm in the middle of a sentence talking.

Hey, no smart mouth now! I suppose I've triggered a few snores in my time. But, you know what. Sub doesn't care. He just takes it all in and makes it all part of me. That's a good thing to remember next time you're beating yourself up about - well anything. Sub remembers all those things. So, right after I turn off that alarm and before I shut con down, I'm going to say something nice to myself.

And, I will also say something nice about you. It can't hurt. You never can tell for sure what sub might do with it.

Your Money - Your Life

I’m feeling sad today. Last night, I was so angry after watching the national news I wanted to immediately write this and share my anger with you. But, today, I don't know if you really care. And, that has me feeling sad. Maybe you can read the rest of this and drop me a comment or a note and let me know how you feel. Here is the story.

Did you happen to catch the news that the House voted to move up the date upon which banks have new rules regarding raising credit card interest rates? They want to do it right away instead of waiting until February. And, there they were on television last night taking credit for putting a stop to an industry that has been raising interest rates and fees at a furious pace since the rules were passed in May.

That’s right. They passed the law in May and then gave the banks nine months to screw us all over. And, the banks did exactly that by raising rates to as high as 36%. They also canceled cards, dropped limits and, by raising the rates on balances, they effectively increased the amount you owe on what you've already borrowed.

Of course, the Senate says they don’t want to move the date up. But, they probably will and then Congress and the president will all join hands and take credit for pushing back at the banks.

But, here is the joke. If they voted today to put it into effect it would only be 3 months early. Guess what? It’s already too late. And, they aren’t going to pass it today. And, if they really wanted to do something about it they would pass a law that rolls back the rates and require the banks to refund interest. That isn’t going to happen.

A study last week by Pew Charitable Trusts' Safe Credit Cards Project compared interest rates being charged last December with rates in July and found that the lowest interest rates offered on most bank cards jumped by more than 20 percent in that six month period.

Has the interest paid to you on savings gone up 20 percent in the last six months? How’s that money market fund or CD doing at your bank? Whether you have a credit card or credit card debt, we will all pay the cost of these usurious rates.

And yet, I don’t hear enough people complaining. I don’t think it is because they don’t care. I hope they care very much about what has happened to them. They’ve seen their standard of living drop drastically while the top 1% controls 47% of the nation’s wealth. We just don’t understand the entire money system. Watch this series of videos and you’ll learn more than 99% of the population about what banking is really about. It might just scare the hell out of you.

There is a lot of fear out there and there is a lot of outrage simmering under the surface from the bottom to the top of the economic ladder. I personally know wealthy people who are arming themselves in order to protect their stuff. And, the gun store a few miles from my home has a packed parking lot every day they are open – for the past year. The media line that it is because the gun people are afraid of Obama changing gun laws is a crock and they know it. It's because average people are afraid of what's happened to our economy and our way of life. And, that's not a story you'll hear on any of the major networks.

I think there is a better way. We need to arm ourselves with knowledge. We need to take responsibility and learn what the economic system is all about. I don’t know if we can control it or stop it. But, we need to do something about it and building bunkers and stockpiling arms isn’t how I want to live.

And, that is why I am feeling sad today. How are you feeling?

Cooler Than Fools

I made myself a promise years ago to stop reading blogs or books whose authors claim to know how to invest in the stock market. Buy an indexed mutual fund and your investing life will be simpler and just as good as the experts. I've never regretted my decision.

But, today I found myself on such a site. I was doing some research and Google took me to an article on The Motley Fool. They were all lathered up over Proctor & Gamble's move to establish a national car wash chain. "They should focus on their knitting." is what I interpreted the brothers Gardner to say about the move. I don't happen to agree with them.

P&G has a new-business incubator called FutureWorks. I find the description of the incubator to be ground-breaking for a company founded in 1837 as a soap and candle company. Their stated goal is to "create, develop and discover ideas and partnerships that create thriving new P&G business units and expand them into new segments." Your company might even be a potential partner.

FutureWorks has come up with the idea of a national chain of Mr. Clean Car Washes. I mean who doesn't know Mr. Clean. The guy is cool not to mention he is also bald. I think maybe the Fools are jealous of the cool bald guy with the earring. (Note to self - get ear pierced.)

His car washes sound like they are also very cool. They have giant water guns that shoot soap that you and the kids can fire as the cars go through the wash. You can also have a coffee, enjoy Wi-Fi, and television in their lounge. Other services are oil changes and even car maintenance.

I love that a mega-company like P&G is willing to invest in new ideas like this. And, they are building one of their brands at the same time. We spend about $8 Billion a year on car washes in this country and I'm betting P&G will get their share.

Oh, by the way, P&G does not reduce advertising/marketing budgets during recessions. They didn't make any such reduction during the Great Depression. And, guess what, they have grown and made progress during every major recessionary period.

What is your company doing? Are you maintaining your marketing budget? Are you taking some new risks and trying new ideas?

Or, are you listening to a fool who says wait for things to get better?

PS - Besides writing books and this blog, I also counsel, coach, and consult with companies like yours in the area of sales and marketing.

Marley and Me and You

Joann and I were having one of our bi-monthly conversations about why the heck do we pay money to Verizon every month for premium television when we never watch it. You've probably had one of those kinds of conversations at some point. We take the trial offer which is cheap or free and then we never cancel. It's what we used to call the "Puppy Dog Sale" back in the day.

The idea is if you want to sell someone a puppy dog, you let them take the dog home for a few days. You know what happens. The kids fall in love with the puppy and it is now yours. Car dealers used to do this. I once had a brand new 240Z for the weekend. What's a person to do but buy it then.

Speaking of puppies, Joann and I decided to watch some of the premium channels so we put Marley and Me on last night. I should have checked it out a little more before watching it.

Let me see if I can describe my experience. About 15 minutes into the movie it occurred to me that this was a movie about a dog and its life through the eyes of its family. All of a sudden I said, "Oh hell!" or something like that and Joann jumped and asked me, "What is wrong?" "The dog is going to die." I said. We both knew I was right and I didn't know how I'd handle it. I'm a real sucker for pets. We have two dogs and three cats and, if we had more room, we'd add at least one more dog to even things up.

So, moving forward, we both spent the last 30 minutes of the movie sobbing our eyes out. I can't even imagine watching this movie in public. Maybe that's why it didn't do as well at the box office. Nobody could watch it in public. But, hey, if you want to clean out the ol' tear ducts then Marley and Me is the movie for you.

I don't grok people who don't like dogs. I get it that there are both dog and cat lovers. I'm both. Does that make me a polypetlover? Anyway, when someone tells me they don't like dogs, I either figure they have had a bad experience with one, grew up in a home without pets, or they are quite possibly deranged whack jobs to avoid.

I mean we're talking about a dog. It's an animal that will give anyone 100 times more love than you can ever give it - if you let it. It will protect you, comfort you, entertain you, and stay by your side until it takes its last breath. The only terrible thing about dogs is they just don't live long enough.

Life is so much more enjoyable with a dog in your home. If you have the love and the time to give to one, why not take a look at your local shelter.

You don't have to adopt one.

Just take it home for the weekend.

Not So Avid About Their Service

Why would a company have a customer support policy that states they will answer your questions in 48 business hours? The company is Avid and particularly their Pinnacle product group. By the way, I'm pretty sure that Avid has a great reputation in the industry. I don't know if Pinnacle enjoys that rep but let's assume they do.

I bought some new video editing software last week after calling the company's sales department and asking some questions about their products. I wanted to make sure I got exactly what I needed because I didn't want to end up going down the road of software and hardware compatibility hell. Well, I ended up there anyway and I've wasted hours trying to make something work that probably isn't going to work because it needs another device to work.

Which brings me to their support. I could have opted for a chat but having already had a chat with their sales group and finding out they sold me the wrong thing, I was in no mood for a chat. I wanted an answer in writing with a solution. And, I wanted it yesterday. Well, actually two days ago but since I bought the software on Friday, I was out of luck since the weekend isn't considered business days.

But, that's not true. I checked. Avid is still are willing to sell you anything on the weekend. No waiting. Which kind of sounds like their business is all about them. Not you and me.

That doesn't make them a bad company. It just means they aren't any different from lots of other companies. They aren't extraordinary. And, that's too bad because I've read some good things about their products. Well, at least their high-end products used by Emmy and Oscar winning people.

Taking good care of the guy who spent less than $100 on a home video software package probably isn't considered good business when it comes to dollars and cents. I mean how much more am I likely to spend with them?

That's the beauty of the web. They have no idea.

I could be an 18 year old kid who will grow up to be the next Spielberg.

I might be married to the decision maker who is about to make a major editing suite product decision. 

I might be a major investor checking them out by going in the customer door.

Whoever I am -  I'll remember how I was treated when I did business with them.

And, I bet you'll remember this story too.

What kind of stories are your customers telling people?

How To Stop From Getting Screwed In Your Small Business

A couple of days ago I wrote a post entitled - Insurance Companies Tell Small Business "You're Too Old and Expensive."

This is really serious and it is happening right now. After reading my post, one of my clients called to tell me his insurance company wants to raise his rates 34%. He is outraged and he should be. Of course, he is looking for a solution that isn't going to suck the profit from his small business so he can pay the insurance companies who are adding on rates like a loan shark charges interest. In fact, the comparison between our venerable banks, insurance companies and loan sharking is becoming more accurate every day.

At least the loan shark tells you he's going to screw you. The immoral and unethical managers who lead our financial services companies just raise your health care and interest rates and say take it or leave it - knowing that too often you have no other choice.

Well, there is another choice but that would require our elected representatives from the Oval Office on down to state and local government to grow some balls and do what they say they were going to do when they got elected and that's represent "we the people." Sadly most of them are so tied to the billions of dollars they receive from banking, insurance, legal, health care and pharmaceutical lobbyists that "we the people" don't stand a chance. 

But, there is one thing we can do. Besides increasing their personal wealth and power there is one other thing that politicians need and want even more. They want to be re-elected. One term is never enough. And, two terms is like being on crack to a bureaucrat. They've got to have more and more!

So here's the only chance you have. Small business makes up over 50% of the Gross Domestic Product. Over 70% of all the businesses in the US are classified as small business. Organized you have an opportunity to say enough is enough to your elected representatives. Organized you represent enough votes to keep them out of office.

There are over 25 Million small businesses in the country. And yet, an organization that calls itself the oldest small business advocacy association only has 150K members. That's not even one percent of the potential. What if an organization formed that really represented small business and was able to get 5% of the potential small businesses to join? That would be 1,250,000. And, what if the members paid $25 a month in dues? You'd have $375,000,000 to run what should be a small organization and to make your views known to the politicians.

You can do the math and see what would happen with modest growth of this organization. And, these 25 Million small businesses represent approximately 60 Million potential votes. In 2008, approximately 122 Million people voted.

That means that small business represents a potential of almost half the voters who voted in one of the most turned-out elections in our history. Do you think that might get someone's attention who wants to get elected and re-elected?

Are you an entrepreneur that knows something about non-profit organizations? Here's an opportunity to lead one of the greatest groups of people in the country. We're ready for someone to lead us. Are you the one?