company | Dr. Ivan Misner®

It’s no secret that the economy goes through cycles. Each time it takes a downturn, unfortunately, salespeople, business owners and professional service providers feel the fallout.

Data released by various sources, including the SBA and American Entrepreneurs Association, reveal that more than 50 percent of all businesses close their doors within their first seven years. During a recession, the rate of business failure rises more dramatically. Not included in the statistic cited above are the departments, plants or whole divisions closed by large corporations when times are tough. In today’s ever-changing business environment, if you want to be successful, you need to have an edge over your competition.

Most businesses rely on advertising in one or more ways to try to get an edge. However, if you offer the same products or services through the same means to the same targets as your competitors, it’s difficult to achieve an edge. This means you need to be very creative in order to be competitive in today’s marketplace. Creativity in marketing your business has become a basic tenet for today’s successful company or professional practice. Here’s a great story of how one business exemplified creativity at its finest in order to gain an edge:

Three store owners shared adjacent storefronts in the same building. Times were tough. In hopes of picking up sales, the store owner at one end of the building put a sign over his front entrance that said, “YEAR-END CLEARANCE!!!” At the other end of the building, a second owner responded with his own sign: “ANNUAL CLOSE-OUT.”

The store owner in the middle knew that he had to act fast or he’d lose a lot of business. After careful consideration, he hung a larger sign over his front door that read, “MAIN ENTRANCE.”

The moral of this story: You can’t control the economy. You can’t control your competition. But you can control your response to the economy. And you can control your response to your competition.

If you have a great example of how you’ve used creativity to get an edge over your competition, I invite you to share it in the comment section. Your story could be just the encouragement other business owners need to get their imaginations in gear!

I had a conversation with a franchisee a few weeks ago and I’ve been thinking about it for some time since. We were talking about a marketing strategy that has proven to be very successful for many franchises within his company for many years.

When I asked the franchisee why he wasn’t participating in the program he said, “I don’t want to do that. I don’t think it works.” I said, “Really? The top three franchisees around the country use it– just what about the technique is it that you don’t think works?” He said, “I think the technique reduces client retention.” I pointed out that the retention of the top three franchisees mentioned above was HIGHER than the client retention of his franchise. He said “Yeah, but I just don’t think it would work in my area.”

I still can’t believe he really said that. This is an intelligent individual who gave me one of the lamest answers I’ve ever heard for not doing something that works.

The bottom line is that the marketing strategy in question is in fact, hard work. I believe that he just didn’t want to do all the hard work necessary to implement the strategy and he rationalized his position with half-baked excuses.

When a strategy works in many places and yields big results then all the excuses in the world for not implementing the strategy are just that–excuses!

Have you ever had a conversaton with someone like this? If so, I’d love to hear about it and find out out how you handled it.