2/20/2021 Tip: Lock ‘Em Up!

Today’s Quote

“Associate yourself with men of good quality if you esteem your own reputation; for it is better to be alone than in bad company.”
~ George Washington

 

Today’s Tip

If there’s one thing successful companies often do, it’s to lock up their customers.

Customers are a great organizational asset that can result in sales and profits for years to come.

A great example is what mobile phone companies like Verizon Wireless and AT&T used to do. They used to sell mobile phones at a discount with 2-year service contracts (customers would face penalties if they left before the two years were up).

This essentially “locked up” customers making it harder for new entrants (or existing entrants) to come in the market and take their customers from them. 

Customer agreements and contracts are one of the most powerful organizational assets you can build. Can you get such contracts with your customers, or otherwise get them to keep coming back to your business?

 

Today’s Resource

How to Build a $10 Million+ Company

What’s the difference between successful multi-millionaire entrepreneurs and the typical small business owner just struggling to get by?

Well, there are a LOT of differences, actually…

But I’ve summarized the main differences on this page:

How to Build a $10 Million+ Company <—- 

The really interesting part is that you don’t have to work yourself to death to grow a wildly successful, eight-figure business…

In fact, when you follow this formula, you can make much more by working less…

How to Build a $10 Million+ Company <—-

 

Trivia 

Today’s Question: Candy company Mars, Inc. declined an offer to have which of their products featured in the 1980’s hit film E.T.?

Previous Question: What breakfast staple was actually the result of a laboratory accident?

Answer: Cereal flakes

Brothers William and John Kellogg began making whole grain cereals for sanitarium patients in 1894 by running boiled wheat through a press to produce thin sheets of wheat.

An interruption in their lab activities left a batch of cooked wheat exposed to the air for over a day, but the brothers decided to try and put it through the rollers anyway. To their surprise, instead of a single sheet of wheat, the rollers produced the flakes that are still a popular cereal today.

Here’s the key to this story: customers (in this case sanitarium patients) tried the flakes and liked them. This is yet another example of an idea that wouldn’t have passed traditional market research tests (e.g., if customers were asked, “would you buy these cereal flakes?” they would most likely have said “no.”). Sometimes you have to fully believe in what you are doing and have customers test your finished or prototype product.

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