Is low price the only reason a customer buys?

Tuesday, September 11, 2007  by Susan Julien-Willson
Category: sales, selling, guarantee, risk, buying

When it comes to selling, I use to think people bought strictly on price - whether it was low enough or more importantly, whether a prospect thought it was low enough. A sweater for $39.99 rather than $59.99 has to be a better deal, right? Not always.

I mean, if the sweater at the lower price is not preshrunk, or is not returnable, or is not guaranteed to keep its color wash after wash-but the $59.99 sweater is guaranteed not to shrink or face and is returnable, then maybe lower price isn't what the customer wants at all. Maybe what they want is less risk. What do I mean by less risk? Well, consider this: what's the potential cost if the customer makes a purchase mistake? If the sweater shrinks or fades and cannot be returned, well, they wasted $39.99. If the sweater doesn't fit, then they have a sweater they can't wear. (I suppose they could re-gift it!) If the sweater is indeed a gift and the person they give it to doesn't like it or already has one, they cannot return it. (not very impressive!) Seems there is some risk involved in purchasing the lower-cost sweater. Think about it. If you had a choice, which sweater would  you buy? The non-returnable cheapie or the returnable, guaranteed-to-keep its-color, -shape and -size sweater for slightly more? What's the better value? What's the lower risk?

A sweater isn't as critical of a purchase, so the risk isn't quite as much as if you make a decision about a  house or a car or a major appliance ... so it's probably safe to assume that different decisions carry different degrees of importance and risk ... to you and to your prospects and customers.

 So, if you're selling products that seem to be priced high and you think the price will immediately prevent you from making a sale ... consider worrying less about the price and focus on easing the risk. So how can you lower risk and encourage someone to purchase a product you're selling? I have a few ideas, but I hope a few readers will comment with some of their own.

To sell more, build relationships with prospective customers and current customers. The greater the relationship you have, the more chance you'll have of selling products to a person . .. they'll trust you and the perceived risk will be next to none. I know when I sold clothing, my regular customers trusted me to find and sell them quality clothing that would fit and flatter ... and last through frequent wear. Perhaps, you've had similar experiences with your loyal customers.

Use testimonials, spokespeople, and research/competitive comparisons in your sales conversation. Think about it. If lots of people use a product or service, there must be some merit to the product or service. (I love reading IBO success stories at Quixtar.com--you can find 'em in most every category, but the ones that come to mind are those about Ribbon ... you'll find them in Step 8 of the Steps to Success as a PDF Other testimonials online are for clear.now, Time Defiance, and Tolsom. Check 'em out.  I love reading testimonials and tips in fashion and beauty mags, too. In many cases, it has motivated me to try a product. Have you had this happen too?

Let prospects try out a product. If I can touch, feel, see, or try on something, I get more interested ... I ask questions. I experience what a product is like and what it can do for me. Bet that others may feel this way, too. For clothing in a store, it's easy. You can have them see it, touch it and try it on. For products you sell from catalogs and a website, you need samples. It can be as simple as a food bar or energy drink. If I visit a grocery store when they're giving out food samples, I inevitably end up buying something that I hadn't planned on or was definitely not on my list. Can you relate?

Here's something else you  might forget to mention that definitely lowers risk ... it's the 180-day satisfaction guarantee at Quixtar. Do you tell customers about that? It might be worth mentioning if they seem to wince at the price or the quantity.

So, what else could we do to lower risk when it comes to buying? Hmmmmm. I can't seem to come up with any more ideas right now. How bout you? Got some ideas to share? Please do!

Comments

# Colton said on September 11, 2007 1:05 PM:

I have found that most of the consumable items are between 9-12 items in a box at a cost of $20.00-$40.00 and customers say that is a lot.  But is it?  What we sell is made to appeal to those that are looking for convenience and quality.  An example are the fruji bars (about $4.25 at retail or $36.00 for a box of 9 bars).  To reach the nutritional content inside this bar of 3-5 servings of frutis and vegetables you would have to eat 3 whole apples 3/4 cups of sdpinach (you get the idea- and this is for one day and the cost of buying each food item individually costs mega bucks).  Then in a faced-paced society we have to find the time to eat all of these items.  

 Good point! I spend quite a few $$ in the produce section at the grocery store or at the farmer's market in effort to reach/eat the minimal amount of fruit and veggie servings daily.

# A Kline said on September 11, 2007 2:04 PM:

As long as you @ Q can give us actual reason for a bar being 40% higher priced than you can get in the store than it's all good. If you can't that's when we'd have a problem.

Price isn't the issue as much as reason for the price.

# kjteam said on September 11, 2007 2:13 PM:

Susan Julien-Willson:  What is your income level?  As a goverment employee, my income level is posted every two years in the local newpaper in my area.  I still doubt you will share that information with us, even in general.  But, it does tell me how out of touch with people you really are.  I still look at the right side of a menu in a resturant, I still shop at Wal-mart, dollar stores, (and still did a consistant 150 to 300 pv everymonth for the last 5 years), I still go to ebay to look for bargains.  What do you think 95% of american are doing?????

You are out of touch.

You used to have a partner store on "q" that autioned off items.  

Jewlry, watches....etc....

Why did that partner store leave in such a hurry?  

Was it the price of that autioned jewlrey was sooooo! resoanble that "q" jewlry could not compete.

So, you got rid of that partner store quick.

No matter now, it's too late.  I feel bad for the labor force their at Altacor, they are the ones who are going to feel the effect of this the most.

Resignation letter coming soon, to a "q" rep near you!!!!!!!

# peter said on September 11, 2007 3:48 PM:

kjteam,

The jewelry on the auctions is krap! I bought some of the "14 carrot diamond earings" off of the auctions and when they arrived in the mail they weren't diamonds at all!

They weren't even cubic zurconium! It was sparkling plastic. The pictures were totally misleading.

Before that, I bought a watch in an auction that was said to retail for $1,500. I got it for $50. What a deal huh? NOT!

I took it to Pawn America because it didn't fit my wrist, and they gave me my money back for it, even though I tried to tell them that it retailed at $1,500. They thought I was crazy!

# Aron Gannon said on September 11, 2007 6:31 PM:

kjteam,

Susan Julien-Willson specifically asked for ideas and tips that would help people sell Quixtar products!  Thanks for your help!  Whether you're a part of TEAM or not, your opinion doesn't really matter if you're not interested in building a Quixtar business for yourself or enjoying the products.  The first thing that IBOs need to decide on is whether or not the Quixtar business is going to be the vehicle to get them where they want to go.  I'm talking about their dreams and goals.  If the Quixtar business is the vehicle then we have to use and promote the products.  I was a Honda car salesman for seven months.  (I didn't last very long because it was boring waiting for people to show up in the show room.  I didn't learn how to prospect back then.  Also, the management at the dealership where I worked encouraged us to hide certain information from the customer: for example, if a used car had been in an accident.)  I never went to my sales manager and complained about how Kia had a much better warranty than our Hondas.  I told the customer Hondas were such a reliable vehicle that you didn't need such an extensive factory warranty.  Whether it was true or not, I believed that Hondas were the best vehicle available in the non-luxury market.  I had to believe it or I wasn't going to make it in Honda auto sales.  I believe that Quixtar has the best products in the health, beauty, and home care catagories.  It seems like many IBOs are not motivated to equip themselves with sales skills.  It all goes back to what they want to get out of the business.  By the way, I like deals too.  I buy all of my clothing when a new Store For More catalog comes out and there's lots of stuff on clearance from the old catalog.  

Thank you for your great example about selling Hondas. You make some great points.  I happen to believe Honda's are excellent cars and I will pay more to drive a Honda, given my experience with less expensive car makes and models and their performance over time and miles.

Please keep commenting. We can all learn from each other on this blog.

# Ben said on September 11, 2007 10:07 PM:

kjteam, if you're going to resign, please do so without trying to kill the dreams of others! If you're going to stay, please work positively to make your own dream work!

# Matt said on September 11, 2007 11:11 PM:

A sweater as an example?

The criteria I use to buy a sweater is COMPLETELY different than the criteria I use to buy AND continue to buy a CONSUMABLE item.

Beth uses car analogies on her blog to justify the high prices of products from Quixtar, and you are using sweaters.

Until we discuss issues on their own terms—and not through some hackneyed allegory—then it is a complete waste of time to try to have a reasonably intelligent conversation about whether or not price matters.

I have had my fill of theoreticians who have never been on the frontlines of selling our edibles product lines, or any of our product lines, for that matter. While I respect your expertise in your realm of work, and your obvious intellect, I find it telling that you, like so many other Quixtar-employed folks, must resort to diversionary smoke-screen metaphors and analogies to strain your way to a point. What next—haiku?

Please, I urge you—go out and try to sell these products to your sphere of influence yourself. And then try to sell them that product on a RECURRING basis.

See what kind of risk alleviation and trust that it creates. And see what kind of volume you create. Until we get in the sweater business, please keep your sweater allusions in your metaphorical closet.

# Jeffrey said on September 12, 2007 1:26 AM:

The consumables from A/Q need to be shown, demonstrated, and explained. I make extensive use of the product fliers. I also give out a large amount of samples. On products that I can compare apples-to-apples, I use cost comparisons, either cost per use or cost per ounce. I also make sure that I document all the information such as date and location of getting the Brand-X prices, so I can abide by the rules, and the customer can verify it if they doubt me.  

Many of our products are difficult to sell because the cost is extremely high. The Antioxidant Complex comes to mind. Even though I have had a very good experience with it, I cannot legally say it has cured me. I do tell my experience with it, but always say that I cannot legally say it will cure any disease. Even with my testimonial, I could not, in good conscience, sell it at full retail. Besides, they might faint and I am not that good at CPR.

The other challenge I have alluded to in the other blogs has been mentioned here. The quantities that A/Q forces us to buy on some products is extremely difficult and/or inconvenient for some people. Maybe someone is really into fitness and they want to buy the energy drinks, meal replacement shakes, and protein shakes, but they live in a trailer or a 700 square foot apartment. Where are they going to put the cases? The case quantities make no sense. Besides, if they need $100 worth of other consumables, they are most likely not going to also order a case of each of the above, but they might order a 4-pack of each to get them through the week.

So besides price, there's the quality factor that can be explained, but most of the time, the inconvenience of being forced to purchase products in case lots cannot, so we lose the sale. I still cannot understand why the marketing department is so adamant about not changing this.

Thank you for  your feedbackand for your candor. I will pass your lower quantity suggestions along to Marketing. I know that many of the marketers are reading the blogs to get input on what IBOs are thinking and experiencing in the field. I am not out there selling Quixtar products person to person but I am asking what IBOs are learning and thinking because it helps me to create communications that will support them in their selling efforts. I can only speak to selling apparel such as a sweater on a retail level because that's my experience one-to-one in selling at a store. I have sold food as a waitress and hostess ... but it's different than selling packaged convenience food or health supplements and foods like you sell. That's why I am asking questions and requesting input ... so as I said when I started this reply, thank you for your feedback. It's appreciated.

# Josh said on September 12, 2007 11:58 AM:

Matt,

Your attitude stinks.  In reality Susan's and Beth's analogies are right on par with reference to many of our products (consumables in particular).

Double X (ie 59.99 sweater), costs a few bucks more than Brand X cheapie multi-vitamins.  Thing is, they work and work well.  Ask Asafa.

Pre-Treat Spray-- Costs a few bucks more than Brand X.  You know, the one where you YELL real loud.  Thing is, it works far better at getting out real stains (and even after an item was washed and dried several times prior).

XS Energy Drink--Is actually price competitive with other Brand X "energy drinks".  Thing is, its REAL energy.  Not a sugar filled, kidney killing, crashing, ill flavored soda beverage.

I could go on an on with direct products, but the point is this.  The ideas Susan and the others are talking about can and are applied to selling in our market as well.  You can be part of the problem or part of the solution. Either way, don't come on here and bash the authors for trying to lend a hand, especially when they are usually talking from personal experience.  It is not Susan's job to go and sell (although it could not hurt).  That is what we do, for good or bad.  So suck it up or quit.  I have zero problem selling products to customers and it is far more than the minimum 50pv.  With all the new items they are coming out with it will make it even easier, and more profitable.

If you want a tough selling job, go sell those expensive vacuums.  That is a tough sell!!

Susan, I for one appreciate you taking your time to inform us on your experience and talents where selling is concerned.  Keep it up.

Thank you, Josh. Sounds like you do your competitive research and know where our products stand compared to other leading brands. I have considered becoming an IBO so I can learn more about how to sell our products and be better at what I do for the corporation which is writing/editing advertising on products for IBOs and their customers ... and, of course, writing a blog on selling. I am not an authority on selling, and that's why I ask for ideas and thoughts from IBOs. I am learning new things every day and loving it. You and others like you are out there selling and can share your stories so I can learn ... and we all can learn from each other.  Again, thanks for the feedback. sjw

# Don Osborne said on September 12, 2007 2:13 PM:

Susan,

I appreciate your tranparency. You've started a great discussion about one successful business ownership skill - selling. Many IBOs come from a dream and a desire, but bring no business basics background to their new "business" venture. The topics you raise are valid and necessary.

Not every IBO as a consumer fits the target market niche they're learning how to sell to. Yes, it's helpful to "buy" from own store to create product knowledge and empathy, but its not always possible. If you're selling "high end sports cars", you may still have to drive an VW but that doesn't make the target market niche you're selling to invalid. This may be an extreme example but it makes the point.

Successful business owners in the traditional world select their target market niche and sell accordingly. An IBO has the same option. In fact, that's who we're competing with - other traditional business owners and their skill set. Selling requires competitive knowledge and application. If you want to compete with Walmart obtain the contractual rights to the products designed to compete with them.

In any case, knowing your target market niche and successfully selling to it is a business basic skill called "selling". Thanks for introducing the topic.

Thanks for your feedback! You make some valid points and I appreciate you sharing them with all of us. As I said in my very first post ... we're all the voice behind Sales Speak. Please keep sharing your thoughts, ideas, and suggestions. We can and will learn from each other. sjw

# Bridgett said on September 12, 2007 4:55 PM:

Josh said, “In reality Susan's and Beth's analogies are right on par with reference to many of our products (consumables in particular).

Response: With all due respect Josh, I disagree with you. My response to Beth when she used the auto analogy was this on August 19th: http://insidequixtar.opportunityzone.com/2007/08/14/Got-questions--Come-to-the-Opportunity-Zone-for-answers.aspx#comments

“Beth, the auto metaphor doesn’t work for day-to-day consumable products, particularly food and food supplements.

(And since food is the highest consumption product line out there, it would be really swell for the Corp. to focus on that category.)

When people make major acquisition choices, such as homes or cars or any big-ticket items, they are operating out of a set of considerations that simply DO NOT EXIST when it comes to food/grocery budgeting.

When someone is faced, day-by-day, with the economic reality of their decisions, then they need to be won over, time and again, that they are getting the best bang for their buck. In my personal experience, well-off people (six-figure incomes, some very strong six-figures) may make a purchase or two of the products I offer, but in relatively short order they turn to other like-products (same quality) on the market that are typically 25%-50% less in price than what we have to offer.

The metaphors (like the Volvo/VW one) come across as smoke and mirrors. Please show us the numbers."

# Bridgett said on September 12, 2007 4:56 PM:

Josh (and Susan),

If you want to go to guns regarding price comparisons, let’s do it. :) You’ve seen my posts on other threads, particularly the Edibles line (which Matt specifically referenced), so you know that I’ve done my research.

I bought for quality YEARS before I became an IBO. I know quality. I know Quixtar products. I know the competitors. And I know math.

People continue to point to the same handful of product pricing to justify the rest of the product pricing:

-Double X—no comparison

-Pre-Wash—superior product, yes. Profitable? No. Why? Takes two YEARS to get through one can/bottle.

-XS Energy Drink—competitive, yes. Why? Because it DOESN’T follow Quxitar’s pricing structure.

It is THE FIRST (and I think only) independantly-manufactured product with full PV/BV. Wow, you’d think that Quixtar’s own products would be even MORE cost-competitive since they have fewer middle-men.

It is THE FIRST product to have the BV/IBO Cost ratio be 1:1. And open the Corp’s mind to sctruturing all future products this way. Why is this signifant? Because when you load a product with BV, the Corp increases the price of the product in order to cover the bonuses they pay out based on the inflated BV.

XS Energy Drink sells not because it’s the most fabulous product out there. There are other like-products on the market (no sugar, no carbs, and with 41,000%--yes, forty-one thousand percent—of vitamin B12). www.zipfizz.com

XS sells because of the PRICING. It was specifically designed as something to RETAIL, not something to be consumed soley by IBOs.

Why can you RETAIL Double X for $50 through the Ribbon Album? Because the BV has been lowered, and so has the retail markup.

[continued…]

# Bridgett said on September 12, 2007 4:59 PM:

[continued…]

Speaking of retail markup, look at the new Simply Nutrilite line. 40% mark-up? On food and drink? This is a scary development.

People criticize XS because it’s only a 17% mark-up. Great. Sell it with a 40% mark-up at $2.38 a can and tell me how much you move.

Oh wait, why don’t you market the new Simply Nutrilite juices for $2.50. Sell it for FULL retail. Tell me how many 12-packs you sell and how many REPEAT customers you get.

I speak from experience. I can sell ANYTHING once. It’s the REPEAT business and EXPANDING a customer into other product lines that will make this First Circle Initiative work.

They will buy once, twice, maybe even three times. But once they see that I’m ripping them off, they will stop buying what I’ve been selling them AND the door for future products and product lines will be shut because the trust is gone.

You know why I know all that I know? Because two YEARS ago I started doing what was totally and completely against everything I learned from my LOA (and against my desire, but I did it anyway). Our upline Triple gave us marching orders and said that we were going to be the ones to show the rest of our LOA and the rest of Quixtar how successful we are at marketing and selling a product AT FULL RETAIL to non-IBOs.

Because I, unlike the Quixtar employees and most Quixtar IBOs, have been out in the field for TWO YEARS retailing, I know what I am talking about.

I don’t need an 81-minute video (reference to Quixtar University) in order to sell! If I carry a product around, people notice it, try it, like it AND like the price, that’s it!

Let’s stop trying to put lipstick on a pig’s lips and calling it “beautiful”.

Respectfully and passionately submitted.

# Bridgett said on September 12, 2007 5:01 PM:

By the way, for those not knowing me, I shop at Whole Foods Market aka Whole Paycheck.

I am not a Wal-Mart shopper and am not attempting to compare our products to Wal-Mart.

# Aron Gannon said on September 12, 2007 5:44 PM:

Matt,

I agree with Josh.  In addition, if you expect that it's going to be difficult to sell these products then you're going to get what you expect.  The prospect will sense that you haven't sold yourself on the value of the product.  Selling requires a large numbers approach.  Every good salesperson knows that she'll have to get many, many "No's" for every one "Yes".  Matt, if you're struggling with selling it's probably the result of two factors: you haven't talked to enough people and you don't love your product--in Josh's words, "Your attitude stinks."

# Aron Gannon said on September 12, 2007 6:10 PM:

Jeffrey,

I sell a lot of single cans of XS (or any number the customer wants), and I have no problem selling someone one or more food bars a time.  Double X also is available in packaging that makes it possible to sell any number of dosages--the Double X promotional cards work great for this because they have all the nutritional information printed on the card.  It makes record keeping a bit more of a challenge because you can't break cases when you create receipts on the Quixtar web site.  Also, if you don't typically keep certain items in stock, obviously you can't sell single items out of the case.  I always keep lots of XS on hand because if I don't sell it, I'll just drink it.  I drink it every day.

# Sivaram Rajagopalan said on September 12, 2007 11:17 PM:

Susan,

Thanks for the candid topic. I well favor Quixtar pricing Model and feel strongly that the company should NOT have to defend its pricing structure. The reasons are very simple.

(1) NOT A WHOLESALE CLUB MODEL

   We are not a wholesale club and vastly differ from the Costco

   or Sam's Club Model, where it is perceived as a savings club.

   Costco, based in Issaquah, Wash., charges its patrons annual

   membership fees of $50 to $100 for access to warehouses

   loaded with bulk goods priced at no more than 15% above its

   wholesale costs. For pizzazz, Costco uses the "treasure hunt"

   approach,peppering its stores with unexpected, limited

   availability items -- ranging from designer jeans to $80,000

   diamond rings -- that keep shoppers coming back. Plus the

   bulk purchasing Model does not appeal to everyone. Costco is

   rewarded more by their customers of impulse nature. Therefore

   mostly it is only perceived savings !! Money spent on un-

   necesssary, un-planned items is an expense. Period.

   (Supporting Reference: WSJ.com, Aug.27, 2007)

(2) IBO BUSINESS PRICING ISSUES

   Majority of the new IBOs do not have a business background

   until registered. So they lack the concept of pricing. The

   book "THE QUIXTAR PRICE IS RIGHT by Dr.Bill Quain ISBN 1-

   891279-12-2" is excellent in explaining the relationship

   between prices and profits-and what it means to an IBO's

   business. This should be a MUST read for new IBOs.

   In addition here is an illustration on savings Vs IBO business

   mindset:

   (A) Lets say a 20 year non-IBO old shops for $250/month

       groceries with 20% savings thru coupons, store-hopping

       etc. If the life expectancy is 80 years, then the

       MAX.SAVINGS=$36,000 over his/her Lifetime.(60 yrs x 12

       mts x $50). The assumption here is that savings are REAL

       and tangible.

   (B) If the same 20 year old becomes an IBO and reaches

       Platinum in 10 years (a worst case scenario) with

       $3000/month income, MIN.INCOME=$ 1.8 Million !!!!!!

       (50 yrs x 12 mts x $3000). Do we need to prove any other

       point ? In fact I will be excited even if Quixtar doubles

       their price, as my income will double ! That is business

       mindset.

(3) BUSINESS OWNERSHIP 101

   If Quixtar can put together some materials on Quixtar

   University on what it takes to run a conventional business

   and compare that with an IBO business, it will make so much

   sense !!. Then IBOs will have a new sense of appreciation,

   by realizing their low overhead and high business expertise.

We admire all you do for the IBOs. Keep up the great work.

Thanks for your ideas and suggestions ... and your praise and gratitude to Quixtar for what we do. I appreciate ALL the comments that come in through the Sales Speak blog and encourage ALL of you to comment whether you agree/disagree with what's being discussed. The passion and knowledge and experience shared by all of you is valuable. I have learned so much and have so much yet to learn! So, Bridgett, Sivaram, Josh, Don, Aaron, Matt, and everyone ... please keep commenting. sjw

# Bridgett said on September 13, 2007 11:50 AM:

Sivaram,

1) I am not comparing our prices to a wholesale club. I am comparing our prices to full-price grocery stores and to Whole Foods Market in an affluent suburb of a major metropolitan city without using coupons or sales for price comparisons.

2) I’ve read “The Quixtar Price is Right” and though Mr. Quain makes some good points in the book, the overall point he makes regarding Quixtar pricing is that we are paying for “opportunity”. His point being that is it okay that the prices are so high because we get rich and free in the business opportunity, and that’s priceless.

What you are saying in your 2B point (it being okay if the product prices double, hey let’s go for tripling!), is that price of products is completely irrelevant because the product we REALLY sell is a business opportunity

That being said, then what’s the point of the First Circle Initiative that Quixtar has been touting?

The Corp has found that the majority of IBOs are quitting before that can reach the levels you are talking about, when price won’t matter.For the new IBO, low on the Performance Bonus Schedule, price DOES matter and factors in to his/her ability to RETAIL the product (ya know, sell the product to non-IBOs for the full-retail price) on a CONSISTANT basis.

Watch Rob Davidson's clip from Connections (log in to Quxitar>Quixtar & the Opportunity>QBI>Business Conferences>Connections) After Rob, Randy Alexander talks(at -7:09). He says: “Over the years, we’ve been focused on IBOs buying products for their own personal use, and finding others and sponsoring them to do the same. But there is a piece missing in that: It’s difficult for new IBOs to make money early and feel good about this business without selling product.”

He then goes on to say:(-6:16 )

“We are focused on offering products that consumers want to buy. And by that, I mean they want to buy it because they need it and it’s a good value. Not just because it has PV on it.”

But Sivaram, if you are telling me that the product we sell really IS a business opportunity, then I have been enlightened. That explains why the brand new Simply Nutrilite line, a line the Corp is supposedly positioning as one that can be retailed, is 75%-100% higher in price than other similar (in quality and taste) lines of products available online and in stores. To outprice Whole Foods...I mean WOW…not THAT is an accomplishment that we can all be proud of.

Sorry. I thought the Corp was interested in IBO retention and growth. My bad. Thanks for the clarification. Note to self: Do not believe what the Corp says, even if you see them saying it with your own eyes and hear it with your own ears.

Whew! What would I do without all of you setting me straight? Thank you sooooo much. xoxo    ;-)

 

# Josh said on September 13, 2007 4:24 PM:

Bridgett,

A couple quick things my dear.  I truly appreciate all of your insights and passion with regards to this business.  Many of which have challenged my thoughts at times.

With regards to this topic, my point to Matt wasn't to compare prices of products or discuss the "markup" of Quixtar...more on that later.  The point was to keep Matt in check for bashing Susan, who is obviously trying hard to help us, from a selling standpoint (regardless of the price of products). Remember she is not in charge of setting the prices, keep that in mind!!

Also, as I am busy, much like yourself, I don't have the time to read through extensively long posts, especially when it seems to nearly identical to previous posts elsewhere on OZ.

Now to address comparisons.  The truth of the matter is that it comes down to education and willingness to service customers.  Remember three things you can compete on with reference to selling.

1) Price

2) Quality

3) Convenience

You can only pick two.  Quixtar's niche is 2 and 3.  WholeFoods niche is 2 and 1. In your examples it is the convenience factor you pay for with Quixtar.  Getting back to my original statement...education.

Show a customer the value of DITTO delivery, avoid impulsive buying (if they wish--some people love that--weird), traffic, lines, loss of time, etc.  All of this, I know you are aware of Bridgett, you are a smart girl.

Lastly, remember that the markup also includes paying us IBOs as well as those at the corp.  I don't just mean the owners, but all of the employees!  In some examples you say 40% higher and others you say 75-100% higher.  Well I don't often see the 100% higher aspect (I also don't look very hard either), but the 40% seems fair.  Now the corp says we (IBOs) receive 30% or so in bonus money. Now that would leave 10% profit for the corporation.  Modest by any company standards.  In my traditional business, I need to see, on average, a 33% markup to cover all expenses and turn a small profit.  Seems fair to me, but that is my opinion.

Regards

If you made this far--thanks for reading my long post!! :)

# Josh said on September 13, 2007 4:30 PM:

Susan,

I would HIGHLY recommend you becoming an IBO!  If for anything, market research.  Remember it is a money back guarantee for 6 months!  Work it for 6 months, and find out what is good and bad from the field aspect!!

I am taking your advice! I am not going to pretend I know what it's like to be an IBO on my blog (as some say I do), I'm going to find out what it's like-and I set an appointment with someone I know who is an IBO to get registered, etc.  I've been, as you put it, "bashed" by some of the people commenting here, and although I take very litte personally, I do read every comment and assess what's constructive and valid in relation to me and my role at Quixtar. You have it 100% right when you say  I am trying to help you ... but I also want to add that I am asking you guys to help me and to help us at the corp. transform this company into an even more powerful, positive force in the business world.

So, please consider this, as I become a new IBO ... what is it I need to know about selling? (I'm sticking to just the selling part of the full equation of sponsoring, experiencing product and retailing because this blog is about selling.). What advice would you offer me as I go out and sell? Where do I start after Quixtar University?

# Dan said on September 13, 2007 7:07 PM:

I have to throw in my 2 cents. Am an IBO and I have worked at a Walmart Supercenter for 15 years. I have access to low prices and a 10% employee discount. I buy all my consumables from my Quixtar business. My downline and customers see my committment to my business, and I know the few bucks I would save a work are much less than the money I will get in the long haul. It's not about the price,Its about comitment and the long term goal. People will see that.

# Aron Gannon said on September 13, 2007 11:32 PM:

I don't want to be serial blogger.  I should follow my advice in my previous post on this thread and talk to lots more people.  I do have customers who order on their own from my personal Quixtar web site, and I also service many customers in person.  I know that I can find many more by increasing my activity.  Here's one more tip: If you're concerned about price, find ways to add value.  Provide great customer service, something that is rare in retail stores.  If the customer likes you, she'll want to buy from you and help you in return.  Don't neglect the customers that you can count on to consistently purchase their consumables from your web site.  Tell them how much you appreciate them.  On this note, I appreciate all the people who work at Quixtar.  Whenever I call customer service I almost always get a live person after the first ring.  The only exception has been the evening of the last day of March when lots of IBOs are working to achieve a new pin level.  Even then I wasn't on hold for very long.  In my experience this level of real live customer service is extremely rare for a large corporation.  The Quixtar staff is always friendly, very knowledgeable and helpful.  I hope that we don't take you granted.  Thank you, Susan.

A, I am so pleased to hear your praise of Customer Support. They work so hard and are so dedicated to assisting IBOs. Sometimes they are forgotten because they're busy on the phones or answering emails. However, a representative from Customer Support attends many of my project meetings ... and they let us know what they're hearing from IBOs. It's very helpful as we create Communications for IBOs and their customers. I plan to let them know about  your comments. I am sure their biggest reward is hearing they're appreciated by IBOs like you. I know it is for me. Thanks! Please keep your suggestions, advice, and ideas coming! sjw

# ben said on September 14, 2007 2:06 AM:

So, Bridgett -

Given your (IMO accurate) understanding of our products, the competition and the current corp pricing mind set - and with your two years experience retailing - how do new IBOs move forward in selling retail?  If you could get the corporation to do three things to improve IBOs ability to sell at retail what would they be?  

# Nick Kobelja said on September 14, 2007 11:14 AM:

Josh,

You listed three things and we fill niches 2,3:

1) Price

2) Quality

3) Convenience

Bridget is talking 75-100% higher for retail than other "high-priced" sources.  Is convenience really worth 50-100% higher prices?  Per item?  What about 10 items with the same percentage?

It's a trade-off between volume (at lower price/margin) and price.  

1. Would it be better to sell 10 items at 20% higher price or one item at 75% higher price?

2. Would it be better to have 3 customers at 75% higher price or 10 customers at 20% higher price (remembering that I'm talking price comparison not markup).

3. Would it be better to have 50% of your new customer turn into repeat customers or 20% of your new customers turn into repeat customers (given that the percentage is related to price as well as value-to-price)?

4. Should food/drinks have a different pricing strategy than vitamins/beauty (XS might be a guide there)?

5. What is corp's end-goal?  Do they want lots of repeat retail customers or only a few (given the same increase in sales)?  

Pricing has many competing factors and is therefore complex so there is no one right answer.  Even though these posts are meant for Susan and others at corp, they, and following comments, have been very helpful for me as a new IBO because comparing/contrasting different experiences/ideas help me focus things I need to learn to be successful.

# Josh said on September 14, 2007 11:21 AM:

Susan,

As much as Bridgett is being sarcastic in her last response here, She is a terrific go to person on this front.  If she can see past the pricing issues to simply offer her advice I bet you will find it very helpful.  I know I have in recent months!!

My advice after Q*U is to get the products in hand and sample them, try them.  Understanding the product (much like the sweater analogy) will prove the most beneficial.  That way you can take the knowledge you have of the products and back it with belief!

I will tip my hat to Bridgett with regards to personal preferences, especially where customers are concerned.  If there is an issue with a product (price, taste, quality, etc.) be honest with your customers about that.  If you don't like the taste or performance of a product let them know and why.  Do not be all cheery and happy about every product.  That image reminds me of a bad used car salesman, where you ask "how does this car look?"..he responds, "Looks great on you!"

I also applaud you for jumping into becoming an IBO. Now, if you can nudge, Beth and Kia to do the same...that would be awesome!!

Well, Beth and Kia are supporting my desire to become an IBO which says a lot, I think. 

Josh, I value and respect every IBO's (person's) opinion and ideas - we all have a right to express what we think and feel, but we, including myself, need to remember to be respectful of others. That's important when we're out there selling products to prospects and customers. Right? I am glad Bridgett and you and others take the time to comment on Opportunity Zone. It means you care and want to help us and other IBOs be successful. Thanks for all your feedback and support, sjw

# Bridgett said on September 14, 2007 3:07 PM:

(Susan, please keep my dots in if you can. It helps break up the paragraphs, and it is easier on the eyes for those reading. Thanks.)

.

Josh said, “If she can see past the pricing issues…”

Translation: “If Bridgett would just get over it.”

LOL

Perfect.

=)

.

.

Nick K. “gets it”.

.

.

Susan regarding “tips”,

My one piece of advice is to be careful from whom you take advice. Since most IBOs do not retail, at all, let alone at full retail price--not because they are inept, but because they’ve never been taught and have never done it--watch out for theory, and “stage talk”. We IBOs are highly opinionated people and some have a tendency to talk on subjects that we know nothing or little about.

.

I think experience will be, by far, your best teacher. And maybe YOUR experience will be heard (and valued) more than IBOs like myself.

.

I THANK YOU for taking on an additional “activity” in your life and selling the products AT FULL RETAIL (since that IS the point of the First Circle Initiative, isn’t it). I urge you to continue your “experiment” long enough to evaluate the products/product lines that have good REPEAT sales.

.

I hope you inspire other employees to follow your lead. Please look at Rdknyvr’s comment on August 3, 2007 10:06 PM (the third one) as well as the next several comments from others, elaborating on Rdknyvr’s http://adatudes.opportunityzone.com/2007/08/03/New-Quixtar-Leadership.aspx#comments

I think it would it would help you understand where some of us IBOs are coming from.

.

Thanks again.

# Josh said on September 14, 2007 10:21 PM:

Nick,

Very interesting and thought provoking questions.  Let me try and tackle them from a couple view points (IBO's, and a company).

But real quick before I jump into your numbered questions.  Convenience for me is worth paying more.  Have you figured out what you are worth per hour in a day?  Are you being productive in that time to account for what you are worth?  I would submit to you that what I am worth per hour permits me to afford, nay necessitate that convenience. The time spent driving, walking up and down the aisles, lines at checkout, loading then unloading my groceries (or other items), driving home is a waste of my time and ultimately my bottom line.  In that period of time I could be out building either my Quixtar business or my traditional business.  Having that convenience far outweighs even a 200% markup in the products.  So give that some thought and let me know if you agree or disagree.  Ok on to your questions.

1)IBO--better for 10 customers at 20% Corp--Financially it doesn't matter, roughly the same profit.  That is why Dell "was" always bought online.  Not so much the price markup but rather the huge profit selling direct to customers (ppssst they sold out to Wal-Mart recently).

2 and 3 are basically the same answer, in my opinion.  However, I believe if you can products people buy at a given price, chances are their are more people that will also buy at the same given price.  The question to you is this; Are you willing to go through some no's to find those other people.  Furthermore, invest the time needed to help them become repeat customers?

4) I am not sure what you mean by "pricing strategy".  From a business point of view, if it were my product, I would tend to start at a lower profit margin, allow my product or service to become known in the market place, and then raise the price as the demand rises.  Remember that is only if I have a product that people want at a price I sell it at.  That could be any product or service (except those that may be seen on the cutting edge--ie Double X vitamins, plasma TVs when they came out, etc).

5) I can't speak for the corp. but hopefully they will share.

My opinion is an increase throughout the board, not just customers, but IBOs as well.  Hence the balanced business approach.

You are correct that pricing is often a hard target to hit.  Many businesses and/or products can become very cyclical to a multitude of factors (seasons, popular opinion, fads, etc).  It is a good business who can forecast and adjust before these factors change!!

Appreciate the thoughts and permission to respond!

---Go Big or Go Home (a favorite quote of mine)

# Bridgett said on September 15, 2007 3:17 AM:

Susan,

This is kind of obvious, but use the products yourself. Experience is the best teacher, as I've said. And if you don't necessarily use a product, get someone else to. I don't have allergies, so I had a couple of people who do, use the Clear Guard for a few days and then tell me their experience.

.

.

As a side note, and I also posted this over at Ada-Tudes Moving Product thread--

.

It's the bars and the juices for Simply Nutrilite that I have issues with.

.

The Twist Tubes ROCK. I WILL be selling a TON of those--at FULL retail.

.

I've already sold some right out of my purse!

.

People want the effect of supplements, but they don't necessarily like pill-popping, for a variety of reasons.

.

The next "flavor" I'd like to see added to the line is Rhodiola branded "ENERGY". This may be a little rough 'cause this herb is horrible-tasting. But I bet the Corp is up to the challenge!

# Bridgett said on September 17, 2007 4:08 AM:

Hey Ben,

I'm not ignoring your question; I just don't know where to begin without writing a novel. Not a novel of suggestions, but a novel explaining how I've already given suggestions (based on my EXPERIENCES), via my upline Diamonds, Quixtar Sales Rep, Product Support, Customer Support, Brand Managers, other employees. Modes of communication have been in person--one-on-one and in focus groups, email, phone, and these blogs.

.

I thought there was hope with these blogs, 'cause at least you have someone answering you back. But, as Josh pointed out, these employees blogging don't have any authority.

.

So what's the point? I guess I have to go back to the home page of OZ and see that this really isn’t a place for change and improvement to occur. It’s a place to promote Quixtar:

.

“This is the place to talk and learn about the Quixtar business opportunity and the people, products, and plan that support it.”

.

*sigh*

# Josh said on September 17, 2007 12:59 PM:

Bridgett,

Hi!  Just a quick thought with regards to this blog.  The people here do not have "authority" per se, but do have influencing power.

One example that comes to mind, is the "What's New" section on the site.  Our suggestion made the new format happen.

Authority? No.  Suggestive power? yes!

Don't get discouraged, and please don't take my words out of context to mean something they are not intended to.

With much appreciation.

# Gary said on September 18, 2007 10:15 AM:

Susan - it is great that you are considering becoming an IBO, but have not seen that you have registered yet. Perhaps it would give you some perspective. It would be helpful for you to blog what you are finding - however there would be no accountability to know if your observations are accurate. Also it would be interesting to know your approach to the product question.  I do find it troublesome that with your limited sales experience (waitress and hostess are in the hospitality business, not in sales, sorry Susan) that you are postioned as host for a Sales Speak blog. Susan, you really need to earn your chops out in the market before you can be an authority.

I am sorry you feel I am not qualified, but to clarify, waitressing and hostessing were only some of the work I did in the past.  I sold apparel for years as a salesperson in a retail store and set records on $$ and units sold -- full time for a year, part time for years while working full-time in advertising as a writer.  Women's apparel, men's apparel ... department store and specialty store. I sell product through writing advertising and catalog copy--I've been in this career full time for thirty years. Maybe you mean in-person selling other than store or communications? I also worked in a gift shop at a non-profit organization as a salesperson on a volunteer basis. I didn't get paid to do it, but it was definitely selling.  I come from a family who owned a small business that was hugely successful--and that was largely due to my parents' sales skills. I think I learned something from them in terms of selling. At least I believe I did.  As a child, I sold lemonade and koolaid--organized carnivals to make money. Designed posters. I feel like I've been selling for most of my life. Not as an IBO. That's true. But I think you can learn to sell product even if you aren't an IBO. Earlier today, I remarked that my meeting to get registered as an IBO is on October 1. I am still planning on it. Again, I am sorry you feel I am not qualified to host this blog. I think you could learn and share a lot here ... and I hope you do. Thank you for your honesty. sjw

# Nick Kobelja said on September 18, 2007 12:09 PM:

Josh, I would suggest that given the same sales increase, it's in everybody's best interest to a) have more repeat retail customers and b) have bigger tickets per retail sale.  I would also suggest that pricing on ALL 1000+ items that we sell should be with 10% of grocery store prices unless there is clear, convincing reasons otherwise.  This would lead to a) more repeat retail customers given the same sales increase and b) bigger tickets per retail customer given the same sales increase.

Bridget, I'm concerned from your *sigh* on 9/17@4:08 AM(??!!?) that you will give up the fight.  Please don't!  You are earning your leadership bonus in spades, IMO.  If I'm earning 100PV using other people's money then I'm happy because I'm making a profit (even if it's small) and my upline (you?) are happy because I'm not likely to quit as my participation is not dependent on how much money I personally have to order products).  If you were to run for dictator, I'd vote for you (well...it sounds good anyway).

It is a month of firsts for me:

1.  First time I broke 200PV (no downline).

2.  First time I've had 2 unique retail customers (a 100% increase!).

3.  First time I've had a repeat retail customer (an infinite% increase!).

These are what I consider easy sales but I can't help thinking about my kids' first baby steps -- how proud they were!

I want to sincerely thank everyone here and OZ for all the open, candid, informative discussions.  Ya'll have turned "thissbizzniss" into 'this business' for me.  Susan, I love the blogs (and comments).  Please keep them coming!

I'm out of my "evaluation" phase (again thanks to all the blogs) and I will be spending a lot more time in my "doing" phase.  Besides, marketing discussions are a little above my pin level :)  As long as Quixtar's transformation initiative actually is transforming Quixtar, I will proud to be an IBO.

Again, thanks EVERYONE.

Thank you - and congrats on your achievements. I have to say it's been one of those days where I've begun to wonder if anything I do makes a difference, so your timing of letting me know that OZ is helpful for you as an IBO was perfect. Best wishes to you. Please check back and let us know how things are going ... what you're experiencing and learning. sjw

# Bridgett said on September 18, 2007 5:26 PM:

To Josh,

.

“What’s New” is a communications type of thing. And that’s what all these bloggers are about—communicating with us IBOs.

But actual Corporate policy being changed as a result of these blogs?

.

I can’t even get the Corp to stop charging sales tax on the Retail Price versus the IBO cost on personal use orders. How about adding a little radial when ordering, stating that’s it’s for Personal Use? “No,” I’m told. “The lawyers won’t let us do it.”

.

How about this: Why are two of the new SN Twist Tubes taxed and two aren’t? Because two are considered “dietary supplements” and two are considered “drink mixes”. One that is taxed is the “Antioxidants”. Looking at the ingredients, there should be no reason why the Antioxidants Twist Tubes should be taxed. I can understand the Sport Twist Tube, but not the Antioxidants.

.

The Corp. blames it on the States. I’ve offered to talk to “The States”—all 50 of them—myself, and explain LOGICALLY why this should be taxed like a dietary supplement. All I get is a patronizing chuckle.

.

What do they care? They get paid the same salary regardless of how much product I do or don’t sell. I’m not surprised. Most of America has this mindset.

.

Where’s Rich? Can I talk to Rich DeVos? He gets it. :)

# Bridgett said on September 18, 2007 5:27 PM:

To Gary,

.

Please do not discourage Susan. She's decided to become an IBO so she can help us. She's decided to NOT be "all talk and no action". I sooooo thank her for that.

.

And, she set you straight regarding her sales background. And did it in a much kinder way than I would have. :-)

 

Thanks, Bridgett. Your support means a lot. I honestly don't think Gary was aware of my background, or at least it appeared that way. I want to understand what it's like to be an IBO and I'll be honest, I really don't know at this point. That's why I am going to get registered and get going soon--right after my creative writing retreat up north at the end of the month. Gotta recharge my creative juices and get inspired ...  much of my energy is going to be devoted to learning how to become an IBO once I get registered so I won't have as much time for poetry and writing groups. But it's important to keep balance, so I will still keep the writing up.  I am going to follow some of our training ideas, some of the things I suggest in Ribbon Sales Materials and promotions and newsletters, and see what happens. I am going to take the advice I offer in sales scripts for Learning Lab. I mean, really, how credible can I be if  I don't get out there and experience the IBO world for myself. Granted, because I am an employee, it will never be EXACTLY how you guys see it, because I start out knowing so much about the corp. and the products. True? I'll keep that in mind when I test some of my sales tips and ideas. : ) Thanks again, B. Please keep on commenting. I am here to listen, learn, and understand. I need IBOs like you to help me! sjw

# Bridgett said on September 18, 2007 5:30 PM:

To Nick,

I'm not giving up the fight as an IBO. Heck no. I'm pulling back on "the fight" of giving input to the Corp. I still haven't heard from Todd and John (the brand managers of Simply Nutrilite) and it's been a week (since Monday the 10th) when they received my letter. They may not have a full reply for me, but an acknowledgement of my letter would be good, don't you think?

.

Nick, you said, "marketing discussions are a little above my pin level" THAT IS SO NOT TRUE!!!!! The whole point of the First Circle is FOR YOU. For the brand new IBO. For those without downline. For those, unlike me, who are NOT in the 25% bracket.

.

If we cannot get the First Circle profitable (as a stand-alone--translation: without needing to sponsor anybody) ALL of us are #$%^ed. I'm not saying that we need to make mega-dollars in our First Circle. But if I, as a Diamond (which I'm not a Diamond, but I'm just saying) can't help you make $500 consistently, WITHOUT dipping in to your pockets to pay for tools (which I am not against Systems. I belong to one and I prosper from it greatly), and without needing to sponsor someone, then do I have any right to make $500,000?

# peter said on September 19, 2007 3:43 AM:

Matt,

Let's compare apples to apples shall we?

First of all, many of the high quality products that Amstar makes can not be compared to something that you would buy at Walmart.

High quality products are not sold to just anyone. They are sold to those who DEMAND quality products. Plain and simple. Cost is secondary.

You must do some digging to find products of equal comparision.

Have you ever heard of NONI juice(pronounced no knee)? NONI juice is made up of grapefruit and blueberry concentrate. It comes in a 32oz. bottle, It retails for $140 for a case of four. That comes to $35 per bottle-more than $1 per ounce.

NONI juice can only be bought from a catalog or now ,recently, online. NONI juice has been around for almost a century, and it is said to sell one bottle every 1.8 seconds.

Amstar makes, or use to make I should say, a drink that is similar to NONI juice. Nutrilite's Harvest 12 Vegetable Drink

had many more healthy ingredients than NONI, and was a much more reasonable price.

Ingredients as follows:

TOMATO JUICE FROM CONCENTRATE (WATER, TOMATO

CONCENTRATE), RECONSTITUTED VEGETABLE JUICE BLEND (WATER AND

CONCENTRATED JUICES OF CARROTS, CELERY, BEETS, PARSLEY, LETTUCE, SPINACH, WATERCRESS, CABBAGE, GREEN BELL PEPPERS, CUCUMBERS, MUSHROOMS), SALT, CITRIC ACID, ACEROLA CONCENTRATE, MALTODEXTRIN, NATURAL CAROTENE CONCENTRATE, ASCORBIC ACID, BETA CAROTENE, VITAMIN E ACETATE, SPICE.

Harvest 12 retailed at $41.85 for a 27 pack of 8 ounce containers. Making the cost $1.55 per 8 ounces. Which is less than 20 cents per ounce for a product with more quality ingredients.

Next, I'm sure you have heard of 5-hour energy haven't you? Well if you haven't, it is sold in a 4 ounce bottle that contains 10 calories, 3 grams of carbs, 0 grams of sugar, and 8333% of vitamin B12.

It retails for $3 per bottle, and comes in lemon lime and berry flavors.

A similar Amstar product of course would be XS energy drink. Which has 8 calories, 0 grams of carbs, 0 grams of sugar, and 4900% of vitamin B12. XS retails for $2 per 8 ounces, and even though it has less B12, 4900% is more than enough.

The selling point for XS, besides the obvious cost difference, is taste. There are a dozen flavors of XS and they actually taste good.

I tried a berry flavored 5-hour energy drink yesterday and it tasted like strawberry Lysol cleaner if I were to ever drink it! It's only a 4 ounce bottle and I couldn't even finish it.

Lastly, I used to work at a fast food restaurant that would wash our aprons every night with a commercial grade laundry detergent.

The name slips my mind, however it came in a 40lb. bucket that cost $140 and it did 320 loads. That's 44 cents per load.

SA8 concentrated detergent comes in a 9.9lb. box that retails for $34.10 and it does 150 loads. You would need 4 boxes to equal 40lbs. A long comparision made short, SA8 would cost 23 cents per load.

Well, I hope that this information has been helpful to everyone who has been looking for competitive product quality, and I wish you good luck in using these comparisions with your future customers!

Susan,

I do agree with Matt. Things need to be as coherent as possible, and I don't know to many IBOs that retail the partner store's sweaters over our exclusive products.

peace and love,

Peter (IBO)

Thank you for your competitve product comparisons. I am sure others will find them interesting and enlightening as well. Please keep commenting and sharing your insights. sjw

# rdknyvr said on September 19, 2007 9:40 AM:

Hi Susan, when i said you might not like everything I write, I meant that the Company might not agree as I sometimes "critique" what they are doing (hopefully in a constructive way)... but I'm not criticising you!!! :)

By the way, you also have to know who to ignore... there really are some "un-clued-in"people out there... the guy who was putting you down as a poor person to be "designated" to talk about sales, when in fact it's your own blog, even if it is a corporate site. There are others who forget to be polite like the guy who took a shot at Jeffrey a couple weeks ago, and when reminded that Jeffrey is one of the good guys, came back with a heart-felt apology, showing his good character.

People think that because they can write relatively anonymously on a blog that they can ignore common rules of human decency... and they reveal who they truly are... don't let that get you down.

I'm out of town traveling most of the rest of the month so won't be able to post much. But don't feel you have to defend yourself when someone short sighted comes along. The most devastating reply to an ignorant comment is to thank the person for their views (as you do so well), without being openly snarky as they are over at the Alticor Bog, and move on to someone who has more positive things to contribute.

Blessings for a great day,

 

Thank you for your thoughtful perceptions and insights. You make some valid points. Sometimes, people are so passionate about what they think or feel, and they're writing rapidly to another person who made a comment or the person who wrote the blog ... and they forget they're talking to a person who has feelings ... and is passionate about what they think or feel.  (I know I've been grateful I edited a few of my emails before hitting send at times I was worked up about something and wasn't thinking clearly!) We all need to simple kindness and common courtesy no matter if we're speaking in person or on the phone ... emailing or commenting on a blog. Everyone deserves respect, no matter who they are and how much you disagree with their viewpoint or how limited you think their experience is in business or selling or communicating. I am grateful that most people commenting on my blog are respectful, even when they disagree with me or question my abilities. As always, thank you for commenting and thank you for your support. sjw

# rdknyvr said on September 19, 2007 12:12 PM:

I know, and I admit that sometimes I'm guilty of not living up to my own standards... well, at least there is forgiveness, and most bloggers seem to be fairly accommodating... the best one I've come across is "Ros" who sometimes posts at O'Zone but also a lot over at IBOFightback... she/he is pretty much the gold standard so far in communication skills... outside of the O'Zone bloggers, of course!! http://www.thetruthaboutamway.com/index.php/component/option,com_fireboard/Itemid,91/lang,en/

Scroll down to "recent posts" at the bottom and watch for Ros' posts. :)

# rdknyvr said on September 19, 2007 12:44 PM:

PS to above comment re Alticor Bloggers... that was an overgeneralization... sorry about that. Some of the Alticor bloggers or at least moderators are actually very professional in their tone and comments, and it's really appreciated!!!

# Nick Kobelja said on September 21, 2007 12:51 PM:

Bridget, Actually I was urging you to not give up the fight on talking to corp about pricing concerns.  There seems to a serious gap in this transformation initiative.

If Quixtar wants a balanced business model -- retailing ONLY is a self-sufficient, profit-generating endeavor -- why do they not have a blog page similar to salesspeak?  It seems like this would make sense.  They would be able to guage pricing concerns from IBOs whose only income is from retail sales.

Here's my concern.  Marketing needs to adjust PV/BV/IBOcost/RetailPrice.  If it's necessary to make a product retailable by lowering RetailPrice, then the other stats probably should be lowered as well.  If the IBOcost is lowered, then BV needs to be lowered to equal things out.  Those of us at the bottom of the PV chart don't much care about BV as it would result in a small part of our income compared to Retail markup.  So who is this BV for (in our case)?  It's for the folks at the apex of the tetrahedron projected onto the plane -- i.e. the 25%ers.  Now how many people >= PD want to have a pay cut?  Now, who rubs elbows with the folks in Ada?  The very same people whose income comes primarily from high BV.  This is a concern.  It is also why you, Bridget, are so golden to us grunts at the bottom of the org chart.

Susan, it's not fair that folks with price concerns hijack your blogs.  The sales blogs should focus on sales GIVEN THE CURRENT PRICE.  Because there is no other place for folks, whose income would come primarily from retail markup, to go to talk about prices you are forced to deal with marketing issues.  You are doing the marketing dept's dirty work.  It's not fair to you.  I believe it would help everyone if you were to convince the marketing dept that there should be a marketing blog.

The salesspeak blog should be for focusing on selling.  The 'marketing blog' should be for questions/concerns/discussion on pricing.

# Todd Herring said on September 24, 2007 6:15 PM:

Bridget and all,

Thank you for your candid discourse. I'm sure this group would have a really lively dinner party if given the chance!  Bridget, I apologize for not responding to your letter sooner.  Based on your letter, and all of your blog postings, I knew you were looking for open discussion not a response letter.  I promise you will get your chance shortly.  

As for everyone else that would like to give a Quixtar marketer a piece of your mind, keep commenting throughout the opportunity zone.  We do read your comments, they do have impact and they certainly shape this business.  I can’t say that enough, please keep it up.  

We in marketing know that we cannot please all the people all the time.  When a marketer attempts that, they will most likely fail or at best create something that is forgettable to everyone.  Our goal is to please most of the people that fit the demographics of a specific target market. (oohhh ambiguous marketing speak…;)  

With the Simply Nutrilite product launch we knew there would be folks that would question some aspect of the products, ad campaign, event strategy, online learning, media placement, spokesperson, packaging, launch kit, podcasts, web presence, pricing, shipping, literature support, customer support etc. (whew! It’s been a busy summer)  In fact, if we launched and heard only cheering, that would have been a sign that we weren’t targeted enough.  Don’t get me wrong… we’re hearing tons of cheering on the Simply Nutrilite launch (THANKS!!)  but without a few boos, some constructive criticism, the squeak of a few wheels mixed with the spice of a few insults it can become easy to neglect progress and improvements.  We also cannot write off criticism as misdirected anger coming from folks who “don’t get it.”  We will always listen and carefully consider all feedback.  Thank you for keeping us humble, and keeping our eyes on the prize of more, profitable new IBOs.  

Still working to make it better than ever,

Todd Herring

Simply Nutrilite Brand Manager

 

Thanks, Todd. Good to hear from  you and SO PLEASED you chose to comment via the blog so ALL the IBOs commenting on this blog could hear from you. Please encourage your colleagues to do the same. All are welcome to comment in the OppZone. sjw

# Bridgett said on September 25, 2007 11:43 AM:

Hi Todd,

.

You say: “Based on your letter, and all of your blog postings, I knew you were looking for open discussion not a response letter.”

.

Not really, but open discussion is fine. What I’m looking for is ANY discussion. As I also stated in my letter, I desperately care. My questions are not to make your life miserable. My questions are to improve this business, your business, my business.

.

I look forward to your answers to my SPECIFIC questions regarding how you conducted the research when determining the price of the Simply Nutrilite products.

.

I go in to more detail of those specific questions on September 20th over at AdaTudes, the “Moving Product” thread. http://adatudes.opportunityzone.com/2007/09/04/Moving-Product.aspx#10853

.

If you do not know these answers Todd, that’s fine. Just say, “Bridgett, I do not know.” And then I’d say, “Todd, thanks for your honesty. Please direct me to the person/people who does/do know.”

.

It…is…maddening…that…I…cannot…get…answers…to…simple…direct…questions.

.

This is a bigger and far more disturbing issue than the pricing issue, IMHO.

 

 

# rdknyvr said on September 25, 2007 2:00 PM:

Hi Todd, I'm in agreement with Bridgett... there are a bunch of us out here with R&D experience, marketing management, brand management, and business management experience outside this business, and we want the gritty details... and you'll get more specific and helpful feedback if you can provide it. Do have another look at Bridgett's detailed questions and provide more detail back to us... :)

With appreciation,

# Todd Herring said on September 26, 2007 6:18 PM:

Bridgett and all,

I would be happy to discuss the nitty gritty details of our market research, but a public blog is not the place to present intilectual property in detail.  The moment any research is publicly released, it immediately becomes a “claim” and represents legal liabilities. I’m sure those of you in R&D and marketing already understand how technical and regulatory constraints make our lives difficult. (It’s not just spicy blogs and rocket monkeys:) That said, it’s clear that we need to develop some marketing materials that will address these issues and do a better job in assiting IBOs like yourself in a price/value sales strategy.  I assure you that we are, and will continue to.  Suggestions are certainly welcome.

Here is what I can say in this forum about the MR we conducted prior to the Simply Nutrilite launch.  I humbly ask you all to realize that there is no way I will change your mind no matter the reasearch I present you.  I will not attempt to change your mind, I believe that would be a futile endevor. I say that because if you happened to be one of the consumers who responded to our research, you obviously would not have been one of the respondants that said $19.99 was a reasonable price to pay for 9 food bars.  That said, there was a statisticaly significant group that said anything less than $25 was reasonable.  Our researched showed that all of the Simply Nutrilite product pricing fell well within what a statisticaly significant group said was reasonable.  Next, we did extensive price comparisons to see if our research matched the industry price ranges, and they did.  Based on that corelation, its reasonable to say that we’re not the only company that had simlar results based on similar studies.  Of course, we don’t know for sure because market research is an expensive and confidential asset for any company.

Bridgett, your points are valid, your concerns are valid, and your logic is sound.  We know there are people who will not buy Simply Nutrilite, we know there are people who will only buy it once, and we also know there are people that will buy it over and over and over again.  And there are Super Moms like you in each of those categories.  The Super Moms that buy it over and over will buy it because they love the flavor, it caught their attention, it keeps them from losing 20 minutes of their life at the food bar isle of the whole foods, and/or they respect the trusted advisor they’ve found in the IBO that they purchase the products from.

Marketing is not an exact science, and those that find themselves ignored by it have reason to be upset.  I deeply respect your commitment to this business, with that I ask that you respect that perhaps there are inteligent, price aware consumers out there that will pay the prices we are asking, even after reading your blog postings or visiting a whole foods.  Further, that those people represent a statisticaly significant segment of the marketplace (On that point, we’ll probably have to agree to disagree).  Our bars, juices, twist tubes and supplements are not the cheapest, nor are they the most expensive in the marketplace.  We made educated pricing decisions upon sound consumer research performed by a third party and competitive product research at multiple retail stores and interntet sites.

I’m on the road much of this fall, and starting a sieries of events in early 2008, that we’ll be sharing with you from our podcasts.  I may not be that accessible, I promised my wife she’d be first in line to register complaints, but I won’t shy away from an honest answer to a tough question, you may just have to be patient.

… you know what, maybe it’s time I get a blog too… Susan, I’ll let your rocking forum continue to rock.  A note to all: In these postings and comments I see the future of a healthy business.  Keep up the excellent discussion!!  

Thankyou, Todd. While you're so busy, feel free to comment on my blog ... but maybe after the holidays, we can get your blog up and running. By the way, I tried the Simply Nutrilite Cherry Almond Food Bar yesterday. Deelish. sjw

# Bridgett said on September 29, 2007 1:56 AM:

Well Susan, we now know why the pricing is what it is. I wish someone had been honest with me months and months ago (when I started emailing and posting comments) that "price/value sales strategy” wasn’t Quixtar’s strategy.

.

Todd said: "… it’s clear that we need to develop some marketing materials that will address these issues and do a better job in assisting IBOs like yourself in a price/value sales strategy."

.

Response: All you have to do is TELL THE TRUTH and STOP saying that we are cost-competitive with the Simply Nutrilite line (or any of the edibles for that matter).

.

Stop the spin like--

.

Todd says: "...there was a statistically significant group that said anything less than $25 was reasonable."

.

That “statistically significant” phrase is a marketer's best friend! I’m sure I could find a “statistically significant” group that would even pay $50 a box—like Sivaram who wants all the prices to double. That “ss” phrase is meaningless.

.

This is all the marketing material you need for those IBOs “in a price/value sales strategy" —A cute, colorful, postcard that says:

.

Dear IBO,

Please let us spare you any frustration, embarrassment, wasted time and energy, and take our advice. You will fail miserably if you use a "price/value sales strategy". You must develop a different strategy.

Sincerely,

Your Quixtar Brand Managers

.

Because as you say (or don’t say) price/value is NOT why someone will buy over and over again:

.

"The Super Moms who buy it over and over will buy it because:

.

-- they love the flavor,

--it caught their attention,

--it keeps them from losing 20 minutes of their life at the food bar aisle of the whole foods, and/or

--they respect the trusted advisor they’ve found in the IBO that they purchase the products from."

.

I don’t see “because they think it’s a good value” in your reasons.

.

I think you are wrong about your demographics. Moms know and care about prices—Stay-At-Home Moms AND Work-Outside-The-Home Moms. And I think it’s a cryin’ shame that you are not catering to that *very* large and *very* influential group.

.

Sad, sad, sad.

.

But that’s a WHOLE other discussion…

.

Thanks for your post Todd. I “get it” now, and will put the pricing “issue” to rest.

.

Enjoy your road trip this fall.

# rdknyvr said on October 1, 2007 1:54 AM:

Todd, I hear what you're saying, but per Bridgett's reply elsewhere, when you say as I think you did on your podcast that the target market is 79 million moms (did I get that right), we question that stat, and the demographic. You talk about a statistically significant group within the overall target demographic... what are the income, ethnic, socio-economic characteristics of that slice of the population? What piece of the 79 million is found in that slice? Do you hear what we're saying? It's what Bridgett aptly calls POOTA stats -- plucked out of thin air... maybe we all had a grampa who was from Missouri, and we just need to know a bit more.

With appreciation,

# Nick Kobelja said on October 1, 2007 10:31 AM:

Bridgett and rdknyvr,

Let's be fair.  He did say that there is a statistically significant portion of the target demographic that feels the price is fair.  He also said that he did a careful price comparison with other products in the market place.  Just like believing the government about the presence of WMD in Iraq, we have no choice but to take his word for it seeing the proof is a matter of "state security".  

Even though we don't know how large the statistically signficant group is (it could, mathematically speaking, be small) and even though I find it hard to believe that the super moms that I know in the middle income bracket would purchase it month after month in quantities suitable for their 2.6 kids, he does have his analysis in front of him showing it to be likely that they will.

The bars really are good.  Even though the slogan is taken, the bars really satisfy.  Many people may not know or care about health food stores or finding equivalent products online.  As long as the bars are competitve with the "normal" outlets supermoms use, that's probably sufficient.

I will be handing out samples to people and if there is interest, I will work the interest.  Until I know what portion of the 79 million supermoms is statistically signficant and I know what products were used to compare against (maybe that information is already available), I won't be selling these too hard.  I will conduct myself as if all is ok.  After all, my misgivings might be wrong and the bars could sell like hotcakes.  

I sure hope that Quixtar has a way of actually tracking the actual sales results of sales to non-IBOs and especially with the actual price paid.  It looks like the online receipt thingy would be invaluable in that regard.  I would hate for Quixtar to claim success if indeed the bars are only being sold to IBOs.

I believe we will be tracking who is buying ... IBOs or customers. However, I will let the Brand Managers confirm this. Our success will be measured by sales from both customers and IBOs, not just IBOs.

# Nick Kobelja said on October 2, 2007 8:00 AM:

Susan (and Todd, and Brand Managers, and corner-office-executives, and founding family members),

Please allow me to comment on the statement "Our success will be measured by sales from both customers and IBOs, not just IBOs".

1.  We have a personal circle initiative.

2.  We have an opportunity brochure that says there are TWO ways to make money.

3.  We have historically not made many retail sales.

4.  "Directly Speaking" says loud and clear - "The goal is to retail!"

5.  We have a CSV rule (don't get me started on that :)

Now, how would you measure success?  IBO personal use sales are irrelavant to the stated goals of Quixtar.  IBO personal use sales are irrelavant to the original intent of the business (as I understand it).  IBO personal use sales measures "product sales as business opportunities".

Measuring IBO personal use sales means that when retail sales aren't what you expect, you can rightly say "we've met some of our goals.  We must be doing OK.  Our sales are up.  We'll just continue our business in this way regardless of that small, little, insiginicant lack-of-retail-sale-problem."

Measuring retail sales measures the progress towards the stated goals of Quixtar.  Measuring retail sales measures how well we are following through with the original intent of the business.  Measuring retail sales helps Quixtar to ensure that the CSV rule is being followed.

One more thing that measuring retail sales gives you.  It gives you a measurement of IBO personal use sales.  Retail sales go up?  I would wager that IBO personal use sales went up, too.

Here's my thesis (and I'm sure people are tired of hearing it from me):  Retail sales means health, growth, honor, bright future.  No retail sales means sickness, flat sales, shady ethics, and dark future.

So, Susan (and Todd, and Brand Managers, and corner-office-executives, and founding family members),  if you were to mandate just ONE chart around which your business decisions are made and you would hang up behind your desk, which chart would that be?

Thanks for sharing your thoughts. I probably shouldn't answer this question as I am not privy to all the top-level discussions/decisions at the corp ... obviously, we are changing and currently transitioning the business to focus more on retail sales--check out Simply Nutrilite and look for Artistry Essentials in November--but we cannot ignore sponsoring and IBOs using products. Why do you want us to choose one--do you disagree there are three components to success in this business?

# rdknyvr said on October 2, 2007 11:01 AM:

Susan, I'm not sure you understood Nicks's point... he makes the case very effectively... same case the IBOAI Board has been making to the Corp for the past couple or more years. Some executives have expressed the faulty view that we are largely an internal sales organization, ie. sales to IBOs, but supposedly that changed this past spring when Doug, Steve and others announced that IBOs will no longer be treated as the primary customer, and the focus will be on growing the real customer base, and thus, now, new sponsoring eligibility requirements that new IBOs must get three authentic customers registered before being eligible to start sponsoring. What we're seeing at Quixtar are some encouraging trends and indicators, including bringing Steve Lieberman on board. But we're also seeing that some departments didn't get the message, or at least it's not clear that they understand. Nick's point that "retail sales" should be the #1 health indicator is pretty much on target... it's not ignoring sponsoring and IBO purchases, but ultimately it is the "lead indicator" that you have to watch.

# Nick Kobelja said on October 2, 2007 3:51 PM:

Susan,

Please bear with me.  I'm still pretty much using you as a stand-in-proxy-voodoo-doll-sort-of-thing for the same list of folks as last time.  Hey, let's also add Diamonds, PDs, and anybody with a downline.

Think back to early 1950s.  One product.  CSV rule.  Pretty easy to figure out the original intent.  Out of 11 boxes of SA8 sold, 10 of them were to be sold to non-IBOs (please, someone correct me if I'm wrong).  One product means that rule says that out of 11PV in an IBOs personal circle, 10PV were products sold to non-IBOs.

Fast forward to now [Zzzzziiipppp].  The CSV rule is very much dumbed down (why?).  It's possible to sell 1 can of XS to each of 10 customers and stay "legal" (huh?).  Wow, what a difference.  Now let's think about measuring success using the original CSV rule as a measuring stick.

Hey, Brand Managers of Meadowbrook, Seismic, Nutrilite, Artistry, NAO, Glister, etc:  Is over 90% of each and every one of your products going to non-IBOs?  Why not?  Are you measuring the success of your products based on IBO personal use sales?  Do you feel that your product isn't a product that falls under the "retail emphasis" initiatives?  Do you feel that 10% sales to non-IBOs is successful (based on original intent of CSV rule)?

Of course I don't think that a company should run on just one chart.  It was pure, unadulterated soap-box style rhetoric.  So let's be real here.  Is Quixtar serious about retailing?  Or not?  Is First Circle just smoke being blown til the internet critics go away?  Until sales aren't flat anymore?

Here's my fear:  Sales will start going up without totally accomplishing the initiatives.  Surely in 1983 there was some form of "First Circle Initiative".  We see where that went.

rdknyver,

I very much appreciate your 'much appreciation' signoffs.  And I very much appreciate yourdialogue.  Keep me straight, willya?  I'm still a Noob.

Note to Brand Managers and Sales Consultants/Advisors: Please feel free to make comments on the blog in reply to rdknyver and NK and all the IBOs who read and comment on Sales Speak. They're asking tough, thought-provoking questions. Help me out ...  please!  None of us have all the answers, but let's have an open discussion about First Circle, non-IBO customers, products, and retailing. sjw

# Nick Kobelja said on October 2, 2007 4:28 PM:

Susan,

Although it would be great to hear from Brand Managers, I was asking those questions as food for thought.  I totally see that we are in mid-transformation.  Ships take time to change course.  I just totally feel the need to sound off.  I'm trusting that folks are listening.

I also totally see that this is a rockin' opportunity with many great products to retail.  Please don't take my (I hope) constructive criticism to be destructive criticism.

Thanks for clarifying. You can sound off here and I like that you and everyone commenting here raises good, thought-provoking questions. You're respectful and considerate whether we agree or not ... I appreciate that! Thank you for being part of this blog and this business. sjw

Again, thanks for putting up with opinionated-me.

# Doug Burton said on October 3, 2007 6:49 PM:

My son (also an IBO) and I attended a sales seminar in Dallas held by Jeffrey Gitomer, author of the "Little Red Book of Sales."  Gitomer, www.gitomer.com is a recognized name in sales, is very blunt and very good.  For example, sales are made on relationships, trust and service.  Price is seldom the issue.  If you are negotiating on price, "you suck a as a salesperson!"  His answer to the price issue to anyone in sales is standard,"Our price is firm and fair for our product line."

This is my first on any blog and I do not intend to be a regular but this info from an expert outside the Quixtar business impacted.  Our products are valued by me, easy for me to sell, and I'll never discuss the price issue again with anyone.

I recommend to our team to read and go to seminars by sales professionals such as Gitomer.

Thanks for commenting and recommending Gitomer. I have read three of his books and also attended a presentation by him last fall here, as did many from the corp. No doubt about it, he says it like it is! His books are available through our Partner Store, Barnes & Noble at Quixtar.com! sjw

# Nick Kobelja said on October 4, 2007 7:41 AM:

Doug, thanks for jumping in.  It's too bad you don't want to continue dialog, though, as it looks like you have a lot to offer.  One comment on your quote "Our price is firm and fair for our product line."  This is a good point.  It starts out with the assumption that the price is fair to start with.  Hence Bridgitt's comments.  She wasn't dickering with a customer, she was trying to point out with corp marketing dept that the price may not be "fair" so that when does visit the customer, she can have the "firm" attitude.  If we sold toothpaste for $1000/tube (an example I stole from someone else on OZ), would you be saying what you say?  I think that is a point worth considering.

Sorry, Bridgitt, if I put words in your mouth.

# Doug Burton said on October 4, 2007 8:36 PM:

I hope I didn't mislead.  My discussion concerns talking about pricing with a customer.  I'm not going to argue or negotiate  pricing with a customer.  I think we all have the right to express our opinions on pricing to Alticor.  If we know the basis, it builds confidence in our own mind.

I concentrate on products such as the XS line, Nutrilite, and the Ribbon program.  My wife does the same and adds Artistry.  I view most of the other items as convenience items that keep me from having to drive to a store.  So what if they cost a little more, look what I save in driving costs and inconvenience.  We do our best to maintain product loyalty but if I think it's too expensive, or just don't like the product, I don't order it for myself and I don't try to sell it.

I appreciate this blog and if I get more time I'll try and comment more.  Not near as much of the negativity I've seen on other blogs.  I'm retired from a Plan A job and work this full time.  This afternnon I had to Show the Plan at 1:00, counsel with downline at 2:15, and 4:00 and make a presentation at 8:00.  I had few minutes before the 8:00 but I can't spend a lot of time on-line.

You are busy! Any time  you can spare a minute and share with others, please do. We can all learn from each other. I know I am learning a great deal from all of you. Thanks! sjw

# Bridgett said on October 5, 2007 9:28 PM:

Nick,

No words put in my mouth. You are doing a fine job at clarifying my POV. :)

.

Doug,

I agree with you 100% about not apologizing or trying to negotiate price with customers.

.

Today, when I saw an aquaintance of mine, I remembered that she's got a gluten issue. And I also remembered that two of our new Simply Nutrilite bars are gluten-free. So I mentioned this to her.

.

Her FIRST question was, "How much is a bar." I took a breath and confidently said, "$2.22."

.

To which she replied, "That's pretty good. Usually they are $3 or 2 for $5." Now, I have no idea what bars she was talking about, how big they were, etc. But the point is that even though *I* might not pay $2.22 for one of our bars, I didn't let that stop me from confidently promoting the bars--price and all (though I must admit that I held my breath after I told her the price, as I kept a poker face).

.

I'll let y'all know the "end of the story" when it happens. :)

# Nick Kobelja said on October 8, 2007 9:31 AM:

Bridgit,

Do you tend to sell what you have on your person or do you tend to talk about products without having it on hand.  Do you use brochures, etc when you don't have the product on hand?

.

All,

Same question :)

# Bridgett said on October 8, 2007 11:06 AM:

Nick,

Great question! I NEED to be more organized. I took my kids out to the park on the day I saw that woman. And like many times, I was in a hurry and neglected to "pack up". So I had zilch in terms of product samples on me. I didn't even have anything that I could be casually munching or sipping on, in order to be a walking billboard for my stuff.

But, I didn't let that stop me from mentioning the gluten-free bars to this woman when I saw her. I will follow up with a sample later.

I DO think having SOMETHING on hand is always good--even if it is just a brochure. Something visual.

The next day, I packed some Twist Tubes, and did my "product demo" in front of a friend. I didn't get all technical. Just said it was yummy and filled with antioxidants. When I saw some interest, I gave him one. About 20 minutes later, he bought a bottled water. It was his idea to use the sample in it. He loved it. So I'll be following up with him to get an order.

.

I seem to not use brochures very much...maybe it's 'cause my sphere of influence are bigtime email people, and so I tend to send "brochures" that way.

But I’m re-evaluating this thought process. I think we are very tactile—we like to touch and feel. Maybe since I focus on food-type products as intro products, I feel that the actual product (a sample) that they can taste is better than words and pictures on a page. So I guess it depends on the product.

I would probably use the leave-behind Simply Nutrilite cards IF they were available for purchases outside the Launch Kit.

I have asked Todd Herring if these cards will be available for purchase separately, but haven’t heard back yet. He’s a busy dude. :)

# Nick Kobelja said on October 8, 2007 12:52 PM:

Bridgett (don't you love the way I spell your name so many different ways?),

Thanks for the answer.  The reason I'm asking is that my wife feels that samples is nothing but expense.  I'm thinking that with SN (or any other food item), the quality and taste would be super important to help the customer find value.

.

Follow up question: When you did the twist tube demo, how did you capture his interest?  Did you just say, "watch this.  I'm gonna twist this tube right into my bottle?"  How did you get from casual conversation to letting him know you "sell stuff"?

 

Thanks for asking questions, Nick. I had the same one on the twist tubes. sjw

# Bridgett said on October 8, 2007 5:52 PM:

Hi Nick,

.

I am very used to my name being butchered. :)

.

Yes, samples are an expense. And yes, you will hand out samples that will not result in a sale--now or later. That's business. However, you can minimize your expenses by not giving someone a sample unless you've "qualified" them. Sort of how I did with the Twist Tubes. It wasn't until my friend showed interest that I gave him one.

The lady with the gluten intolerance, she showed real interest and real initiative (by bringing up the conversation again), before I offered her a bar.

.

You have to look at sampling over the long haul. Not just a one-time sale. I’m looking to build long loyal relationships with people. And it’s not a tit-for-tat sort of thing. You may give a sample over here to Person A and they don’t buy anything. Then, all the way over here, you don’t even give Person B a sample and they are ready to buy.

.

I sample more of the food items. With everything else, after I give them info (as much as they want, not as much as I can offer them), I encourage them to buy it and emphasize the fantastic hassle-free 180-day 100% satisfaction guarantee and free shipping to return it. THAT’S great.

.

As far as my most recent Twist Tube experience goes: I was totally hokey in my Twist Tube "demo". Enthusiastic and quite entertaining. :) I think I said something like, "Hey, isn't this so cool? It's a bunch of antioxidants in this thing! And it's tastes so good!" And then I opened it up, and squeezed it in my water.

Now, if he looked at me like I was an idiot, I wouldn't have pursued the conversation. But he didn't. Instead, he thought that that was kind of a cool way to get your antioxidants. That's when I gave him the sample.

.

This is an art. Not a science. My “approach” is different every time because the person and the situation is different every time. I’ve tried to script things out. And they are a nice guideline, but in the end, I wing it. I just have fun and try to say as little as possible. I’ve done the “information overload” thing too many times. I wait for them to ask me questions, rather than going in to a long monologue (which I’m doing right now. Sorry!).

:)

Bridgett, Thanks so much. What great advice on sampling and selling. sjw

# Bridgett said on October 8, 2007 6:12 PM:

Nick,

To clarify, the person I did the Twist Tube thing is someone I already know. He wasn't a complete stranger. But, I have told strangers I "sell stuff". Like if I get in to a conversation with someone and the question will come up, "What do you do?" I have literally said, "I sell stuff."

What I’ve found out about them in our conversation and what their response is to my “I sell stuff” statement, determines the direction of the conversation. I try to have fun and not be so serious. Try to liven things up.

People are so serious these days. Just tryin’ to bring a little light and levity to the craziness of people’s lives. Some people are attracted to my goofiness and others, well, aren’t.

There are FAR too many people out there for me to be all concerned about the opinions of a few. Susan has said how important self-talk is. And I second that. Big time.

:)

I love what Rich says in this video: http://www.youtu