It is not enough

from the book "NO EXCUSE! in business"

- Here is one of the basic rule my friend. If you are sure that your prospective client has no funds to afford your solution or product then you should not waste your time with him.
- But maybe later, maybe next year. - John said.

Oh, gosh. It was something that I did not expect from John. It was so naive, almost a rookie entrepreneur mistake.

- When you are planning your product development you are analyzing the past and present and you are making plans for the future. However when you are thinking only about your own business survival then you have no time for the future. If you are going this year only to clients who can not buy your product now, you are risking to go bankrupt even before they will have funds to sign anything with you.
- So what is your opinion?
- My opinion for what? - I looked at John with surprise.
- How can you select people who have real money?
- This is where you can utilize your marketing team.
- But it is sales. - John said.
- Not really. Many people make the mistake that they use the same person for marketing, sales and PR however those are three very different fields with completely different needs. The PR has the responsibility to spread the message about your company and its results. The marketing has the responsibility to find out where the prospective clients are and it is also a marketing task to bring them to the door of your company. The marketing ensures all the basic information to the prospective clients and your marketing team should have to decide whether the client is prospective or not.
- So what does the sales do? - John asked.
- The sales creates the personal contact and they are the ones who close the deal. The sales is working from a well selected list, therefore they can focus on the sales closing and income.
- Got it. - John acknowledged it.

The one thing that I was sure about tonight was that John will have a very hard next week. I knew that he will think about all the issues he heard and he will manage some changes in his company.

- But you know John to achieve good sales closings and to handle the excuses effectively you have to know many other things, such as the industry of your target group, the requested data for the decision, the client type, etc... Not to mention that there are no magic pills.
- Magic pills? - John asked with a surprise.
- Yeah, magic pills. You know there are big differences between expensive and effective marketing. - I started to expand my thoughts - Many companies are spending incredible amounts for various marketing campaigns, advertisements and they spend money without any limits on these. They are using the "pure power rule", which philosophy means that if you see everywhere their advertisement then probably you will be hypnotized to buy their product sooner or later. However many of these campaigns are unable to reach the planned results since standard marketing does not work anymore.
- I know these type of people. - John winked.
- With an effective and well developed marketing strategy you can reach impressive results without spending a fortune on advertisements, which are targeting the big mass. A good marketing campaign is able to reach your well defined target group and is able to make them react. However unlike many great “marketing courses” or “ready made packages” there is no magic pill. There is a lot of hard work, which can produce results based on best practices, that are moved by real experiences.
- Always the hard work...


- And the experience, life experience, which gives us more choices and possibilities to challenge situations. However you should not forget that there are different business sectors and some of them have very special rules.
- Not in my field.
- Then there are the different type of decision makers, therefore different type of clients.
- What do you mean?
- For example the individual woman, the family man, the professional buyers and the weak ones. There are many personal types and you can not handle all of them in the same way. You have to understand the differences and the physical reactions.
- I believe that we will have no time to talk them over, right? - John asked.
- Not tonight my friend, not tonight.

As I said this to John I saw that he became a little bit sad and disappointed. He was so keen to get to know these client types but we had no time for this. However I decided to give him some extra information.

- Look let’s see some basic issues that you really need to know before you send out a sales guy.
- Really? That’s great. Thank you Zsolt.
- The very basic topics, which will give you a basic understanding regarding the needs of the client are:
          - What does he want?
          - What could the best solution be for him?
          - What are his aims and goals with it?
          - What are the things which worry him?
          - Do you have references in a similar industry, or with
similar products?
- Got it.
- These are the very basic things that you should know beforehand. But to achieve real positive decisions you need to know much more. My companies always put high priority on the personal data, such as:
          - client name
          - contact (address, telephone, fax, email, website, facebook, twitter, linkedIn, etc...)
          - family status, kids
          - birthdays and anniversaries
          - known friends - which is very important because they are able to influence him
          - hobbies vs. things he does not like
- Yes, but to know information like these you need to meet with him.
- Indeed. This is why you are starting with the needs, goals and worries because it gives you a basic insight, all the additional information will develop with time. If you categorize him as a prospective client then you need to start to collect many information about him. It will be very useful in the future as well.
- Do you collect company information as well?
- Of course! - I replied promptly.
- Such as?
- Let’s see...
          - company
          - contact (address, telephone, fax, email, website, facebook page, twitter, etc...)
          - ownership structure
          - decision makers
          - year of foundation
          - activities
          - products, distributors and suppliers
          - plans and objectives
          - difficulties
          - number of employees
          - income vs. profit before tax
          - trends (employees, income, clients)
- So you are the FBI. - John laughed.


- Not really, but it is always good to take some notes about your partners. This can help you in the future. For example you make a note of “Company A” which will not buy from you at the end. However a few months later you will meet with “Company B” and you will realize that the owner’s best friend is the owner of “Company A”. Therefore you can prepare a strategy because you learnt from the first one and you already know his opinion and reactions. You can use it as a tool or as a weapon.
- Go it. - John acknowledged everything I told him during the past two hours.
- It is very important to know what you are dealing with when you are entering the door. When I started my business I had many bad experiences with big companies. Of course it was my mistake because I did not understand the rules.
- What rules?
- The rule of fear.
- What? - John looked at me extremely surprised.
-Yes. You know big corporations usually like small companies. Small companies usually have owners with an excellent mind. Probably they had a great and innovative idea and this is why they were motivated to start their own company. Therefore they are innovators and probably they know something, which can make difference in the field of their business. This is what makes them very valuable in the eyes of the big corporates.
- So where is the problem?
- The problem is that the big ones will never buy from them.
- Why?
- Let me tell you just a few reasons:
- They can do it from their own resources.
- They can present the idea as their own to the
existing suppliers.
- They can contract with another big company.
- I do not understand this? Why would they contract with another company instead of the source.


- Because it is another game, which leads to another excuse. The excuse of fear. Let me explain it to you in depth. Decision makers are usually scared to make a bad decision, which can risk their position. Therefore they are also afraid to explain to their management board why they chose a young company instead of a well established old one. As you know the saying: “Nobody was ever fired by choosing IBM.”
- What a bullshit.
- No, it is a safe game. But they still need the innovative ideas.
- So they are just playing with the idea makers?
- Usually yes. They give them the carrot that their product is very interesting and they are forcing the small ones to ensure as much information as it is possible. So at the end of the day they do not really need the idea owner anymore.
- But somebody has to develop it.
- The big corporation has many resources for this. The key is not this but how you handle this.
- Can you handle this?
- Of course. See this as a big excuse.
- I can not see it, sorry.
- But you have to. Okay. Where is the excuse? Why are they not ready to contract with the small innovator?
- Because of the fear of small? - John answered.
- Exactly! - I applaud for him. - So you have to handle this. For example you can involve a bigger contractor who gives his name for the final contract.
- Does this work?
- When I started my IT company very long time ago we lost many of the prospective big clients. However I realized its source and I became an IBM Business Partner. After this we went to the big companies in IBM colours, under IBM hats. IBM always sent one or two guys to support us and we always arrived as a working team to the clients. The client was extremely satisfied to sign a contract with a trusted corporate giant and we were satisfied too because finally we got the orders.
- But IBM took a big portion right?
- Yes. But having a share from the pie is always better than having nothing. And this was very relative because do not forget that what originally cost hundred thousand we sold now for two hundred because price did not really matter at this point. Bigger contractor bigger respect. Therefore we did not have to lose money on the deals.
- Smart. - John liked it.

This was the point when our dessert finally arrived. I was so happy for it because I had no more place on my tea-cloth and I really wanted to enjoy the rest of the dinner. Luckily John was in the same opinion as well, or maybe he just recognized that I am not here to consult him. However I was really happy to give him some new directions and ideas. He was always a good audience because he not just listen to me but made some notes too. I knew that he is an experimenting type of guy so I was sure that he will implement many thoughts I gave him into his business, and this felt good.

We also agreed that we will meet next week for two-three days and we will talk over these issues more in detail, and I will create him a business strategy as well as a training course for his sales team regarding handling excuses.

John was on the track to renew and improve his business. He was on the road of profit growing. He just needed an outside view.

After the dessert we finally reached the cigar time, which was always the highlight of the day for me. I asked for another Chivas Regal and we moved out to the terrace to light our big fat Cuban ambassadors. It was a very delightful feeling to blow that little smoke cloud into the dark sky.

Paperback:  229 pages
Publisher:   Lulu
ISBN:  978-1-300-52746-6
Language:  English

Get one NOW: http://amzn.com/1300527463

Excuses

from the book "NO EXCUSE! in business"

- When you have a prospective client, which means that you know that he needs your product and possibly he has the funds for it as well, then everything depends on how you are able to handle the upcoming excuses.
- Is there always an excuse?
- What is your experience? - I could not stand not to laugh.
- Forget my question. - John laughed as well.
- Using an excuse is the natural game of the prospective client, which usually scares the sales guys. It has become a natural reaction that when we hear an excuse we immediately panic, start to give discounts or we believe that it is the end. Then a few months later we will hear that our prospective clients bought almost the same product from one of our competitors.
- I know this by heart. - John said.
- Then please start to handle them. Do not be scared, because it is all about practicing.
- And the result?
- The result of handling the excuses?
- Yes.
- Look, many prospective clients have a very clear intention to buy, however they are afraid of the commitment. Once they sign a contract the game has finished. Therefore they give excuses to gain more time, information or confidence before their final decision. If you are able to provide them the confidence they can still ask for more time. Therefore you need to control the process.
- Would you practice with me again? - John asked.
- Yes, sure. Drop me some excuses.

John seemed to be very excited and happy and I was sure that he has a much longer excuse list than before, however I was also sure that I am able to handle them.



- Let’s get started - he smiled at me.
- Go on.
- I do not need this! - started John.
- If you would not need this we would not be sitting here - I replied him quickly.
- Nice. - said John - What if I repeat it? I really do not need this.
- I am pretty sure that your current system is working well John. I am also sure that it gives you the feeling of survival, but the only question is when would you like to start to develop and to grow. Because based on my own experience you can not survive for long on budget cuts and on solutions that do not support your activity. No business should live from its reserves. What I am offering here is a product and a tool to develop your business, to increase the number of your clients and to gain business and financial stability.

When I finished my sentence I watched John’s reaction who was under shock.

- Wow. No words. - he started. - You turned that back on me nicely.
- Yes. Handling a prospective client is all about handling his excuses. You should never let a prospective client go away or think, because then you will have a great chance that he will buy from someone else.
- But you can not force him.
- No, but you can guide him.
- I should make some notes... - John said.
- It’s not necessary because every case is different, such as every person you will meet and talk to. You have to feel this and also its limits.
- Limits? - he asked back.


- Yes, because sometimes you need to answer back in a very hard way and sometimes you need to handle the prospective client in a very gentle way. There are limitations.
- I understand. Shall we continue? - John asked.

I just gave him a sign with my hand that I am ready for the next round.

- How much is it?
- Much less than the result it brings you back in a very short time period.
- Hey-hey-hey. - John shouted. - You did not answer the question.
- Because I do not want to talk about the price. When you start to negotiate over the price you immediately go into the game of the prospective client. I never give them the chance to negotiate about the price. However I always answer in a different way.
- How many answers do you have?
- Endless. - I smiled at John.
- Okay. How much is it?
- I am giving you the tool, which you have been looking for since a long time. Something, which will improve your business. What do you think how much is it worth?
- How much is it?
- It is not important how much it is, what is important is that it brings you new clients.
- How much is it?
- It is not important how much it is, the importance is that it will close out your competitors.
- How much is it?
- It is not important how much it is, what is important is the reactions that it creates within the clients. You can spend less, but you can not be sure that you will deliver your brand message to the prospective clients.
- Okay, wait. - John said. - You are throwing back the same scheme.
- Yes, because you are repeating the same question. - I laughed at John.
- So you do not have any other idea? - he asked.

I started to feel that he is trying to challenge me in this but I really enjoyed it. I was ready for this challenge.

- So what is your next question? - I asked John.
- How much is it? - he smiled.
- Before I would say anything I have to tell you that it is a very expensive solution because this really works in real life. So should I stay or go?
- Could you tell me how much it is? - John challenged me further.
- Ten thousand. - I smiled at John.
- It is expensive!
- Yes it is. - I agreed with John - Not everyone can afford it, just as not every business survives.
- I do not need it!
- In order to develop your business, in order to gain more income you need this. Without this you will be continuously looking for another solution, which is waste of time. This solution is here and it helps you to gain results.
- But it is still expensive!
- Expensive are all those things that do not bring you result. In the past years I have had plenty dinners where the food was bad. Also I have been to movies that were boring. These things were very expensive, because I did not receive the expected result even if their cost were only a few hundred. However when something brings you the expected result then it can not be considered expensive.


- Yeah, but ten thousand? It is a fortune. - John smiled at me.
- If you buy something for one million, which brings you back twenty million in a very short time then was the one million expensive?
- No, but there are other cheaper solutions.
- Indeed. There are many cheaper solutions. And you can spend a real fortune trying all of them, however perhaps they will not bring you back the same result as this service I offer to you.
- Expensive...
- It is! - I replied quickly. - Because it is a premium product. It is not for everyone.

John started to be very exhausted, but he continued.

- It is still expensive.
- Look, my business is running well. I have made many new clients in the last few years, my company is running with profit. I do not need this deal with you. I am here to help you to grow and develop.
- Is it really working?
- If it would not be working I would never do this...
- But is it really working?
- I only promise something if I am hundred percent sure that it is working.
- So do you have any experience with this product?
- Yes. Look I have to tell you that in the beginning I had my doubts too. When I started to use this product I started to gain new clients and they started to spread the word regarding how good I am. Therefore I have gained additional new clients. This is why I trust this product.
- What is your guarantee? - John asked.



And here it is, this is my favorite question. People are always looking for guarantees. However in many cases you can not predict a future, which is specially true with business planning or consultations, which is my field of area. Of course you can work based on your life experiences and business knowledge or know-how but when you go into details they are always looking for the black spots to find a good reason not to buy. So I always drop this question back as hard as I can.

- My guarantee? - I asked back.
- Yes. - said John and I felt he is extremely satisfied because he thought he caught me. But he was far far away from the truth.
- People believe that sales and marketing is a logical process. If this would be true then we would not need anymore marketing and sales experts. It would be enough to put out a form into our website, and the prospective clients would spontaneously and immediately recognize it and they would just flow into our business. However it is not the way it works. This is why you need new points of view which is why I am here. Right?

John knew that he would be finished with this guarantees round if he would agree with my thoughts. Instead he immediately deflected the question and moved into another direction.

- We did not calculate with this amount in our budget. - John said.
- I am asking you to think about when do you want to start to really improve. When do you want new clients?
- Now, but it still does not fit the planned budget.
- If you want to make a deal next year it is perfectly fine for me, however I am not sure that this product will be available next year because of the serious amount of interest and its proven track record.


- Not in the budget. - John forced me further.
- No problem. Just a last remark, I am not able to book or hold this product for you and part of my obligation is to let you know that probably we will sell this product to another company in your field of business.
- Wow, that is harsh. - John replied.
- Which part?
- Selling it to my competitors? It sounds very rude.
- No, I never said that directly. - I smiled at John - I just pointed out that the product is good enough, so it will be sold.
- Let’s go back! - John said - I am not sure that we can pay this amount this year.
- Look, the only way to work together if we can sign the contract this year and you are able to fulfill the payment.
- Nice try. - John said.
- Look, you just mentioned to me the key words.
- What key words? - John asked surprised.
- When people start to negotiate on the payment deadline you can be hundred percent sure that they desperately need your product. It is sure because their focus is not on the product anymore but on the “How can we pay this” issue.

I knew that John understood this. I was really curious how many times he has met with this situation without knowing that he was already in the finish line. Probably it was a lot but I did not want to ask him because I wanted to protect him from another negative impact, from some bad recognition. So I let him ask further questions.

- I have to talk this over with the headquarter of our branch.
- I know that you have multiple branches and of course a headquarter in New York. However we are in London now and we are looking to increase the performance indicators of the London office. As far as I know you are the responsible for these indicators and you need to show up the improvement. What would the New York headquarter say if you would not be able to grab the opportunity to improve?
- Yes, but I still have to talk this over with the headquarter.
- Of course. Just a last question what does the New York office want? Improvements and new clients, right? So do you think they would refuse an offer, which ensures all these?

John scratched the top of his head and then he looked into my eyes.

- You know Zsolt, if I would knew these answers before I would be much more relaxed now. - then he lifted his glass. - Cheers.
- Cheers - I replied back and we both enjoyed a bit of our tasty whisky.
- So, let’s say I need to think about this.
- Okay, just try to feel the excuses and handle them easily.
- No, no - said John. - This is my next excuse. I need to think about this.
- Okay. So... - I tried to collect my thoughts. - If you would not need this we would not be sitting here.
- Ha-ha. I got you! You already said this.
- But this is good here as well, right? It is a universal one. - I smiled back.
- No other ideas?
- I am sorry but as I see you are looking for business improvements since many years. I am sure if you say yes to my offer you will not regret it.
- Not bad, but I have to compare it with other possible solutions.


- Of course, you are entitled to do it. However let me ask, since when are you looking for a solution like this? There are two things that are usually missing in a company: time and money. If you choose to look further you will loose time, which will result in an unnecessary delay concerning your improvement. I know from my experience that it can cause increased stress level. If we would sign a contract today then you could start to improve immediately, to gain more profit and not to mention that you could decrease your stress level.
- Probably you are right - John said, but I continued my thoughts immediately, giving no chance to John.
- Look, I am sure that you receive various business offers in a daily base specially in the field of your expertise. However as we both know it is the result that counts not the offer.
- Maybe it is true, but I have to think about this.
- John, I am in this business since sixteen years. Everyone who told me that they will think about my offer, could not come back to me with a better solution no matter how much time has passed by. As I mentioned to you money and time are always missing in a company. The only question is when is one ready to change all this.

Since I realized that John is giving me the same excuses over and over again, I decided to tell him some basic thoughts again. I was sure that he already forgot the main reason why we started this whole excuse topic.

- I see you enjoy this. - I said to John.
- Yes of course. Do you need a break?
- No, I just want to highlight something for you.
- I am listening.
- The thing is that we are only handling excuses in this way when we are sure that the prospective client has a serious interest in our product, therefore he needs it and he is also able to afford it.


- I know. - John said.
- Yes, and another very important thing is that no one has money to throw out of the window. So if you are sure about the intent but the prospective client has no money, you can still force him to change or reorganize his budget.
- Go it.
- So in real life probably you will never receive the same excuses over and over again.
- Okay, I understand your point. - John acknowledged me.
- Please do not misunderstand me, it is great if you are able to create a list of excuses. I suggest this to all my business partners. If you have a list of possible excuses attached with ways to handle them then you will be able to react faster. Many of my partners have weekly trainings as well for their sales people to practice this.
- Cool. I will have a list of excuses too. - John said in a very happy tone.
- I am glad.
- Zsolt, please one more topic.
- I am listening.
- What about the lawyers? - John asked.
- You mean by...? - I asked back.
- For example, the excuse of I have to check this with my lawyer.
- You just throw this back too.
- Okay, but how?
- Let’s see... - I started - I completely agree with you because lawyers are the guardians of our businesses. But let’s start with a letter of intent because this way we can start the improvement process immediately without loosing any delay.
- Another one? The last one I promise. - John said to me with a kind of prayer in his eyes.

- I have many clients in various business sectors. I have worked for IBM, SWAROVSKI, Carrefour, Alstom Power and many other big corporate giants, and I never experienced any problem with our contracts. Of course we can let the lawyers double-check it, however in the meantime let’s start with a letter of intent.
- So do you allow the lawyer?
- Look, the one thing that is important is that you can not attack your prospective client. However you can give him more information. Lawyer issue is always a tricky part of the business because a legal advisor is always busy, therefore it takes much more time and you will have no chance to influence him and let the lawyer know why your product is ideal for his client.
- Exactly.
- So you can ensure them the possibility to check everything with the lawyer but before you should get a letter of intent.
- Why? - John asked curiously.
- Because if you have a letter of intent then you have a deal. My experience is that without a letter of intent you can lose your business when it gets to the lawyer because he can always find a small thing, which can destroy your chances. However if you have an intent then the lawyers will be in a position where they need to correct only the mistakes in the following contract instead of refusing the whole co- operation. When they acknowledge that their client needs you then they will help the process. This is why you have to have a letter of intent before the lawyer receives anything.
- Last question. - John said.
- Go on, I am listening.
- What if they really do not have money?

This was the point where we both knew that this is a completely new story.

Paperback:  229 pages
Publisher:   Lulu
ISBN:  978-1-300-52746-6
Language:  English

Get one NOW: http://amzn.com/1300527463

Loan is a chain

from the book "NO EXCUSE! in business"

- What about loans - asked John from out of the blue.
- What loans? - I asked back with surprise, because I had no idea how the question of loan is related to our previous conversation.
- Let’s say you have developed a new service or product, you have created a smart campaign, but you do not have enough money to start it in big. Would you take up a loan?

I knew where this conversation would go and since I had good and bad experiences with loans it was still very hard to answer John. I have a very biased opinion about loans, but it is only my point of view and I did not wanted to force it on to John. So I tried to give him the middle, diplomatic way.

- If you are hundred percent sure about your product, if you have created tons of surveys regarding its marketability, if you get back enough feed-backs whereby the prospective clients really need your product and if you trust your strategy without any hesitation, then you can take up a loan.
- There are a lot of “if”s... - laughed John.
- Yes, because loan is a kind of chain on your hands.
- Yes, you have to pay it back.
- Pay it back with an interest and you sign it in a situation where you have no basic funds, not even extra funds for the interest.
- But it will come later.
- Yes, if you have created a savvy strategy with a lot of surveys and analysis supporting it.
- Indeed.

I could not stand not to draw him again something. So I started to draw how I envision the issue of loan.


- Look, here is a scale - I said to John. - The left side is your costs and debt.
- Okay. But do not draw too much there. - John smiled.
- Just a little. - I winked him back. - And the right side is your income.
- Got it.
- We both know that when the scale is equal then we are in the level of survival.
- Yep. - agreed John.
- We also know that when the positive side is heavier in the scale then we have profit.
- Crystal clear. - John agreed with me again.
- So what happens when your left side is the heavier side?
- You need that loan. - John started to laugh.
- Which is a temporary help right?
- Yes, of course but a huge and life saving help. - John tried to agree.
- Or a temporary help with a much higher obligation? - I challenged John’s mind.
- Why? - he asked back. - Loan is a tool for survival.
- Loan is a tool if you have a rock hard strategy for a marketable product. - I started - However loan is a poison if you need it for survival.
- I did no understand it. - said John. - Draw please! - he smiled at me.

I smiled back and I started to draw him again.


- When your company is in debt and you need money it means that you are not able to sell your products or services.
- Obviously. But maybe because of some other factor.
- It does not matter why. If you are not able to sell and you are not able to discover its reasons then you will not be able to find a solution for it. Therefore even if you receive a nice big amount of loan you still have no guarantee that you will be able to sell again, since you have not discovered the source of your non-performance.
- Please let me disagree. Loan supports you to survive difficult times.
- No, it is new incomes and profit that makes you survive difficult times.
- Those as well. - John laughed.
- Yes, but without them you are just digging your grave. You have to sell. Because when you get two bags of money, which at the end is actually three bags with the obligations, then you need to earn much more to pay back all the obligations. If you were not able to earn your costs and debt before the loan, then how could you earn your loan, its interest rate as well as your costs and debt?

I saw that John has no answer to this so I continued my line of thinking.

- A loan can be considered as a solution only in case you understand the way how you can sell. If you are unable to sell then it does not matter how much loan you take up, your performance indicators will go down at the end of the day. However if you can go back to the track by challenging the market and to sell again, then you do not need a loan. The problem is that banks are offering loans on golden plates as easy solutions, but it is far away from being an easy way.
- So no loan, right.
- Depends on... - I smiled back.
- On what?
- Wether you are able to sell or not. You can develop any kind of product if it stays on your stock. What will change? You have to learn to sell them. You have to learn to improve your income and to earn profit no matter what the economic climate is.
- By handling excuses, right?

Paperback:  229 pages
Publisher:   Lulu
ISBN:  978-1-300-52746-6
Language:  English

Get one NOW: http://amzn.com/1300527463

The richness of our roots

from the book "NO EXCUSE! in business"

Finally we were on track and John started to understand that price does not really matter if you are able to educate your target group. He was clearly aware that until this point he went into a price fight just because he missed this key factor. John realized that he followed the wrong type of marketing approach.

The real marketing approach is a process, which builds up a value for a product. This converts a potentially valuable product into a really valuable one. We both knew that if a client really wants something then price does not really matter anymore. However I continued our little conversation because I wanted to clarify this in John.

- People accept the price for sure. Because price is easy, everybody knows that 149 is less than 219.
- Yes. This is how they purchase things.
- If you allow them to compare your product based simply on price, then you can start to dig the grave for your company. - I said to John, who looked really sad.
- Yes, but... - and he did not finish his sentence, so I broke the silence.
- Look, remember why you bought your car? Was it the cheapest? And your suit?

And at this point I started to see again that sparkle in John’s eyes. His mind came back to our reality and he started to remember all that we talked about a few minutes ago. Human brain usually focuses on the negative effects so we always need to remind our brain of the positive things and thoughts as well.

- If you are a smart leader then you can educate your target group. Everybody can see the price, but we have to show them our values as well. Look...

I tried to find some more space on our tea-cloth and I started to draw for John again. I drew him two trees. Both trees had the similar size of crown, but their trunks were different in size. And because of the difference of the trunk they had different types of roots as well. I also drew our little figure standing between the two trees.



- In a calm economic situation and without being educated this is how clients see the companies. - I started.
- As a tree? - joked John.
- Yes, as a tree. A tree where everybody is looking at the tree crown, which is the biggest visible surface. Let’s say it is the packaging of the tree, therefore all marketing experts are aiming to present it in the most delicate and fancy way.
- Got it. This is what makes the difference.
- If you are in the price fight, then yes. - I agreed with John. - When a prospective client sees two similar companies with two similar price tags then he will decide based on the “packaging”. This is where the marketing usually focuses on.
- The amateur marketing? - John asked back curiously.
- Let’s say the marketing which focuses on the brand message instead of the intense growth of new clients.
- Yes, but making beautiful advertisements and presenting them everywhere is a good result.
- Specially if you can measure it.
- I can.
- How? - I asked back immediately.
- Number of appearances per countries.
- A question my friend: Can you really measure how many new clients are actually coming because of the magazine appearances?
- Not really.
- So are you measuring your marketing activity based on weight?
- What? - asked John with some confusion in his voice.
- Yes, based on kilogram. Because when you spend 1 million for media appearances and you receive 100 magazines but not measurable results, then you are paying for the weight of the media appearances instead of the number of the new clients.
- But...
- Look, the situation is that unmeasurable marketing tools are always a waste of money.
- Media appearance is a waste of money?
- No. Media appearance is good if you can measure their results. Measuring is critical because it gives you back feed-back and feed-backs help your business to react in a proper way to the market needs. Marketing is all about achieving reaction in order to attract the attention of your prospective clients.
- This is true. - acknowledged it John.

I started to draw again, because I did not want to go deeply into this media advertisement issue, I could talk about its benefits or its negative effects for hours. Instead of this I changed the focus of our little figure from the tree crown to the roots of the tree.



- The values are usually hidden, just as you can not see the roots of the trees. As I mentioned to you before in difficult economic situations people are looking for stability.
- Yes, targeting the competitors’ clients who feel unstable. Got it. - John winked.
- Yes. - I smiled back to John. - Because when people are looking for stability their focuses are changing. They are not looking anymore at the fancy tree-bush, not even at the tree trunk, but at the roots. Prospective clients will try to make their decision based on the roots of the tree.
- But it is hidden.
- Yes, if you are not presenting it to them.
- Under the ground?
- Is your company under the ground? - I asked back.
- No, hell no - shouted John. - We are alive!
- Then please see the tree as a symbolic drawing.
- Okay-okay. - smiled John.
- So, if you are able to present the roots, then you are able to educate your prospective clients to the added values and to the extra stability that they can reach. But at this point you have to understand one thing.
- What?
- That marketing is not about the product or the service itself.
- I am starting to be confused.
- Marketing is all about people. The thing is that in an economic climate where the supplies are much higher than the demand is, advertisement is only good for the magazines but not for the businesses itself. Marketing is all about people. - I repeated it to John.

I pointed again to the drawing, which I made a few minutes ago and I showed the focus of the figure to John.

- As you can see the roots are what really count because people are looking for values, which gives them security and stability. This is how you can make a bold difference in your market and this is how you can control it without being effected by any kind of negative economic situation. However do not forget that the market is always changing, therefore you continuously need to follow and challenge it.
- Got it.
- Then here is more. - I continued. - Every leader knows that if your company is not able to generate profit then it will not survive for a long time. But fewer leader understands that if you can not create value for your clients then you have no future.

After this sentence John became very quiet. It looked like that he is focusing only on his meal but I knew that his cogwheels are ticking deep inside his head. I also knew that I need to give him some time again to digest all he heard. These were a lot of information for him and most of them from a different point of view which he was used to. So I started to enjoy my meal as well and I was ready to answer his upcoming questions. I was sure there will be some soon, but we had time to wait because we have not finished our dinner  yet, not to mention our cigar time at the end. It was our routine to enjoy them after our dinner.

Paperback:  229 pages
Publisher:   Lulu
ISBN:  978-1-300-52746-6
Language:  English

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