value

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Your Value Creates Your Business Size

Posted on by Jason Kanigan

Your value: where does it come from?

I'm speaking entirely in a business-rational point of view here: as a human being, you have infinite value independent of anything or anyone. In the marketplace, however, you do have a quantifiable value. So let us explore that.

Your Business Size As A Function Of Your Value

Your value is a direct function of the size of problem you choose to solve.

A couple of ways of approaching this are available to us. One, you could pick a high-priced offer. An example is a lawyer who keeps you away from a conviction and out of jail. You're going to be able to charge a high dollar figure for solving those problems...and you're also likely to be capped on the number of said projects you can handle at any time.

Two, you could pick a low-priced offer. The rub here is this offer is badly needed by masses of people, and you get to fulfill it over and over and over again. An example is a fast food lunch hamburger. Sure, the thing is only a dollar or two—but with your many locations you deliver the burger again and again over the noontime period.

Both can get you to big rational dollar totals, our indicator of marketplace value. One is not "better" than another; however, I will point out that a factor exists that makes one of these approaches better for you.

Money Tolerance. We've looked at this key "thermometer reading" before. And here it is again, this time secretly dictating the value you bring to the marketplace.

Money Tolerance and Business Growth

Say you're OK with the "let's feed 'em lunch" plan. Your money tolerance is low, eg. you believe $200 is "a lot of money".

This might be all right—if you can get yourself past the notion that a mountain of those $2 burgers delivered to hungry customers adds up to a mountain of cash.

But what if you can't?

The defense attorney is by default locked into a pretty decent money tolerance. Try as they might, $1500 or so is a kind of dumb minimum for taking on a straightforward case where the lawyer holds all the cards and the defendant has no idea what's going on. The lawyer has a better chance of creating more value in the marketplace and bringing home more for themselves, simply because of their money tolerance and the chunks of revenue per case.

burger fast food lunch your value low money tolerance low value

Photo by Foodie Factor from Pexels

The burger seller has to pump out a ton more orders to get to the same totals as the attorney can reach with just a few sales.

Again, with the right vision the burger seller can make up for and even well exceed the revenue totals of the lawyer. But they're starting with a handicap.

Your Unconscious Value Cap

The reason why I talk about these concepts is that most people—almost everyone—walk around in an unconscious daze. They have zero clue they're being pushed around, that their lives are being walled in and their daily experience manipulated, by limiting beliefs they don't know they have.

Pull these limiting beliefs out into the sunlight, and you can change your world.

I encourage you to explore the idea that your money tolerance is severely limiting the value you're bringing to and receiving from the marketplace, and thereby your business size...and that you could change all that. If you're happy with where you're at, leave it alone. But if you're not, be aware that you can deliberately shift those money tolerance goalposts. Choose a different size of problem to solve, or a higher frequency of solving it. And then watch the value rise and your business size increase.

>> Jason Kanigan is a business strategist. To book a consultation with Jason to discuss your marketplace value, business size and money tolerance, click here <<

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Added Value: Potatoes vs Potato Chips

Posted on by Jason Kanigan

Added Value: let's talk about this concept.

Have you ever noticed the price of potatoes versus the price of potato chips?

Potatoes are one of the cheapest things under the sun. You can get an eight pound bag for a handful of dollars.

But potato CHIPS? Oh no, now they're worth their weight in gold: that same eight pounds could easily cost you SIX TIMES as much. For eight or nine bags puffed up with air.

potato vs potato chip added value

Insane, isn't it?

For a little slicing, oiling, spicing up, baking, and packaging?

Added Value and Transformation

What are we paying for, really? The chips surely don't have six times as much nutritional value applied to them in the manufacturing process.

So what is it that sets the tone and makes the difference in our perception of value between raw potatoes and finished potato chips? And how do we gauge the sense of value between a $4 and $7 bag of chips?

Productization,

Branding,

Transformation,

and

Convenience.

How could you apply factors like these to your own sales funnel? In product development?

Added Value and Perception

To the extreme side, a friend shared an example with me after I first spoke about this concept. In the Paqui Carolina Reaper Chip "One Chip Challenge" each individual chip was valued at $10 or more.

Note that in this instance, it is not the chip alone that determines the value: the activity around it creates more drama and thereby drives up the money the buyer is willing to part with. It isn't just about the chip: it's about the experience.

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Six Essential Sales Skills Not Only Salespeople Should Master

Posted on by Jason Kanigan

Six Essential Sales Skills is a guest post by Michelle Arios of bizdb.co.nz

Salespeople need certain skills in order to be masters of their professions. As it turns out, these same skills can help in many other areas of business. Some of them are even helpful for building stronger friendships. If you want to be a more dynamic person in both your personal and professional life, take a few hints from a great salesperson – they know how to succeed.

Six Essential Sales Skills New Zealand Business Database New Zealand Company Search

1. Negotiation

The first of six essential sales skills is that you need to be able to negotiate from both sides. Sometimes, others will try to talk you down. You might need to talk someone else down. A mastery of negotiation comes from knowing the way that both angles work together. When you know where the person you’re negotiating with is coming from, it’s easier to meet in the middle. This skill can help you get a better deal on your dream house, or even help you land that huge promotion.

2. Listening and Understanding

When you already know what you’re trying to get out of an interaction, it’s a little harder to listen. Some people spend a little too much time waiting for their turn to talk, and not nearly enough time listening to the important points. You could be undermining your own ideas when you aren’t properly listening. Maybe you have something better to bring to the table, or a new perspective you can offer someone. Wait until someone else is done speaking before you formulate what you’re going to say – things can go better than how you imagined.

3. Selling Your Personality

People buy you before they buy anything else – even if what you want them to buy is a pitch to become an investor in your new business, or information about why you’d be a great candidate for a job. If everything you have to offer is wonderful, people might not be as perceptive if you don’t strike a strong first impression. Open up a little bit before you get down to brass tacks.

4. Determining Value

Salespeople make deals because they’re willing to go the extra mile to demonstrate the value of what they’re selling. They can see clearly how something would fix a problem or fill a need for their customer or client. Learning to see that value is the origin of that skill. Use this skill to look at yourself. What value do you provide? What’s your strongest foot to put forwards? How do you enhance the lives of people around you? It could make you a star employee.

5. Knowing What Others Need (Even When They Don’t)

You could have the perfect solution, but you’re applying it to the wrong problem. A tailor doesn’t need a suit, and a baker doesn’t need a cake. It’s obvious enough that you shouldn’t provide someone with something that won’t be useful to them. But what about when they want something useful, and they’re not sure exactly what they’re looking for?
Always look from the outside in. If someone is looking for an answer to a symptom, they may miss the larger problem. By listening to everything they have to say, you’ll be able to ask more questions based on the information you’ve been given. That’s how you become a great problem solver.

6. Following Up

Check in! Following up is the final of six essential sales skills everyone should learn. After a salesperson successfully closes a deal, they call the person in a few days to see how things are going, and ask whether or not they need additional products or services. The follow up is what builds important relationships out of a deal or arrangement that may have been temporary. Follow up after interviews and networking opportunities, or even business meetings that seemed to go well.

Every interaction you have involves some kind of sale, even if it’s merely the sale of ideas. All sales involve some kind of exchange. By approaching things as a sale and using these six essential sales skills not just salespeople should master, you’re making sure you’re benefiting just as much as you’re being helpful.

Michelle Arios works as Marketing Assistant for BizDb.co.nz, writing for several online magazines and gaining experience in marketing. Whenever not working, she likes to catch up with the industry blogs or her favorite TV shows.