Posts Tagged : Becoming a Destination

The Power of a Historic Building

Note from Jon Schallert: If you received my email newsletter, there is an obvious grammatical error in the 3rd paragraph.  Read down to the bottom of this blog and you’ll learn why it’s there.

Most of you know that our company is located in Colorado, but did you know our company has its offices in a 143-year old historic building in downtown Longmont, Colorado?  In fact, this same historic building is also the location where we conduct our 2½ day Destination BootCamps.

It hasn’t always been this way. When I started teaching the Destination BootCamp class in September, 2002, and for the next 13 years after that, we conducted every BootCamp in a hotel conference room, just like every other company that puts on classes.

But that changed 2 years ago. That was when we decided that a historic building in a progressive downtown was also the best place to hold our Destination BootCamps.

You might wonder what prompted us to give up the simplicity of renting a hotel conference room for our BootCamp, and instead, purchase a former bank building built in 1875 that was filled with surprises like asbestos, faulty plumbing, and sagging ceiling trusses.

It was the power of a historic building!

Let me explain:

When I left Hallmark Cards and started my consulting firm, it was downtown Main Street organizations who were the first groups that decided my message could benefit their downtown business owners. And with every downtown workshop I did, I started to appreciate the uniqueness of the buildings, the history these downtowns, and the stories that radiated from every downtown location. I also started to love the gutsiness of the business owners who built their businesses in these downtowns, when they could have located their businesses into a strip center or a mall much more easily.

So, when Peg and I had the chance to purchase a historic building at 321 Main Street in downtown Longmont, we decided it was worth the risks:

One risk was this building wasn’t directly adjacent to the hotels where our BootCamp attendees liked to stay.

Another risk was the building itself didn’t look historic at all, but as we did a little research, we realized that this 4,650 square-foot two-story was the oldest brick building in Longmont and that it was originally was the home of the Emerson Buckingham Bank, the first bank in Longmont.

Once we realized the historic importance of the building, we then took steps to bring back its historic look. That meant we had to tear out the drop ceiling, the glaring floodlights, the nasty carpet, and scrub off the asbestos black tar that covered the floor. And as we worked, we discovered the brick walls, the wood beams, the original wood floor, and the original marble of the bank lobby’s floor.

But the story just kept getting better: We learned that just 2 doors down from this 321 Main building, was another historic building where a young entrepreneur named James Cash Penney opened his first business. If that name sounds familiar, James Cash Penney came to be known as JC Penney, but when he first started out in business at the age of 23, he owned a meat market. You probably didn’t know this fact because within a year of opening it, the meat market closed, and James had to walk down Longmont’s Main Street and get a job with Longmont retailer Tom Callahan, who taught him about the dry goods business. Eventually, James Penney bought out Tom Callahan and changed the name of all of Tom’s stores and launched the JC Penney’s chain of stores.

It took us 21 months, but when we conducted the first Destination BootCamp in the building on April, 2016, we knew it was right. We also learned that despite not being directly next to Longmont’s “hotel row”, attendees of our BootCamp like that they’re right downtown, in the midst of Longmont’s own downtown revitalization, with shops and award-winning restaurants within walking distance. They tell us they love the history of the building and the vibrancy of our downtown, and I think business owners now sit in my class and look around and say: “I think I could do this in my downtown.”

We now conduct seven (7) Destination BootCamps a year at 321 Main Street. We host independent business owners, community leaders, downtown directors, and economic development professionals from all over the world in our BootCamps, and I think our historic building provides a setting that would be hard to replicate in any traditional hotel conference room.

And that’s the power of a historic building.

Now, on that grammatical error. I’m sure all of you who subscribe to my e-newsletter read it and spotted it. Please don’t send me emails pointing out my mistake. I don’t know how I didn’t spot it, and then, my proofreader didn’t spot it. Guess I shouldn’t write blogs at 11:15 at night and think they’re perfect.  But it’s still gonna bug me because it’s still going to be there, in that 3rd paragraph of that e-newsletter that I sent to thousands of you. Just like most of you, I’m a bit of a perfectionist. I should have caught it, but I didn’t. OK, now I feel better, confessing my inability to be perfect.
Thanks!
Jon Schallert

Creating Consumer Preference: The First Step in Becoming a Destination

Creating Consumer InsistenceFor those of you who just had a 3-day, July 4th weekend, you might have experienced what I did this past weekend, an overwhelming number of choices on where to spend my 3 days off.

All of these were on my “Possible Go-To” list:  There were several 4th of July parades in our area.  There were firework shows on Saturday, Sunday, and Monday nights.  Two of my favorite breweries had bands playing at them (Left Hand Brewing and Wibby Brewing).  Plus, there’s always a fun concert in our city’s park where they fire off a cannon that makes all the dogs pull out of their collars.

Then there’s the new Independence Day movie.  In this one, Will Smith’s character is dead.  I heard the movie’s not that great, but I’m still wondering how are we going to beat the aliens without Will Smith?

I’m guessing you experienced much the same this last weekend:  Where do you go when there’s too much to see, too much to do, and too little time to do it in?

You did what I did. You made decisions and judgments.  Quick ones.  You heard about all the things you could do, on television, radio, and from your friends.  You read about what was going on, in the newspaper, on Facebook, via Twitter, in emails, and online.  You probably discussed all the choices with your family, your spouse, or your friends.  Then, you decided.  You processed all the choices and said: “This is what I’m doing this weekend.”

Here’s why I’m focusing on this:  When a business is working to become a Destination, there’s one primary outcome that they must accomplish.  How do we get a consumer to say:  “I’m going to that place!”  That’s really the #1 Goal. Get the potential customer to come to your business.  Do this well and it leads to Outcomes 2, 3, and 4:

#2:  Customers connect with your business, and they spend money with you.  A little money’s OK, but spending a lot is preferable.

#3:  They leave as ecstatically happy customers, and they go out and talk positively about your business, spreading word-of-mouth.

#4:  The next big step: Getting them to come back again and again, each time, giving you and your business money.

To summarize:  That’s the place I’m going, followed by, that’s the place where I’m spending my money, followed by, that’s the only place I’m going from now on.

It seems easy, but it’s not easy. There’s a definite step-by-step process that must be followed.  Now, I’m not saying that the process is hard.  It’s not hard.  Any business owner can do it if you follow the correct steps to create Consumer Preference, and you know strategically how to push the motivational “buttons” of consumers.

Intrigued?  Well, if you’d like to learn how to push those buttons so that customers come to your business again and again, read on.

2016 Destination BootCamps

Most of you know that I spent years discovering what makes one business a Destination that becomes extremely profitable and successful, while another business in the same community doesn’t have that success.  To learn this, I interviewed over 10,000 business owners and traveled to over 500 cities and towns.  I also kept really, really good notes, processed what I learned from all the brilliant business owners I’d interviewed, and then, (and this took a little luck), realized that what each of these super-successful business owners was doing was actually a repeatable process that I could teach. And for the last 19 years, I’ve taught this.

The good news is that it doesn’t have to take you years of your life to learn this.  You can learn how to make your business a Destination in 2½ days, at my Destination BootCamp, held in Longmont, Colorado.  (Here’s a photo of our most recent class)

DSCF3886

If you want me to teach this Destination strategy to you, you have two (2) Destination BootCamps in 2016 where we still have seats available:

Our next BootCamp, on July 26-28, has approximately 12 seats left, and I expect when it’s all said and done, that the class size will probably have about 25 attendees, based on our current projections.  (By the way, with this class, we will pass one thousand (1,000) business owners who have taken our BootCamp.

We’re not giving anything away to the thousandth owner/attendee, but I still think it’s kind of cool.

Then, our following Destination BootCamp on September 13-15 has approximately 8-10 seats remaining.  We are estimating this class will fill up.

Miss these 2 dates and you’ll have to wait until March, 2017 (8 months from now), to attend my next Destination BootCamp.

Interested in learning more?  Are you interested in learning why hundreds of business owners and entrepreneurs have attended over the last 14 years and you still haven’t?  If so, go and read “What You’ll Learn” at the Destination BootCamp by clicking here.

Or, if you’re still skeptical, you might want to read what other previously skeptical business owners (just like you), said AFTER they took the class.  Read that by clicking here.

And finally, if you have any questions about how my BootCamp can help your business, feel free to call me directly at 303-774-6522, extension 104. I’m happy to talk to you.

Thanks!  Hope to see you in Longmont soon!

Jon

Quit Killing Your Business: Preserve Your Profit Margin

Your Money Up In SmokeI’m not very good sitting in an audience. Sitting’s not my thing. But I’m especially bad at sitting still when there’s a business consultant on stage telling independent business owners that their best shot at bringing customers in their doors is to discount their products and services.

You see, I was speaking at a conference, had some time between my sessions, and wanted to hear this consultant’s take on small business success, but I wasn’t in my seat 3 minutes and he starts telling the owners in the audience that a great way to bring people into their businesses was to give a “tax-free” day to customers, and discount their prices by the percentage of their tax rate.

Now, I’m not saying this technique won’t work.  It will.  But so will discounting your product 20%, 30%, or even 50%.  But why stop there?  If you really want to attract thousands of customers in a single day, just give all your products away for free!

Nobody wants that, do we?  Yes, we want customers to come in our doors, but we want them to pay a fair price so at the end of the day, we’ve made a profit and we’re making a living doing what we do.

But that starts with understanding the downside to price discounting.

Business owners are mistakenly giving up critical dollars that their businesses need to survive. I meet owners every day that have gone down the road of constantly offering discounts, but who also complain to me at the end of the year that they’re not generating a profit.

Folks:  Heavy discount marketing = a profit poor performance.

Plus, the more businesses discount their prices, the more their customers are trained to wait for the discount. (Think Kohl’s, Bed Bath & Beyond, and Sports Authority).

Oh, wait:  Sports Authority just filed for Chapter 11 bankruptcy.

Coincidence?

There are smart ways to market a business with price discounting, creative methods that don’t hit your bottom line so hard, and in many cases, give the customer a feel that they’re getting a great deal, while really not giving up very much profit margin at all.  I have webinars in DestinationUniversity.com, our business owner training network, on this topic.  But for now, remember these basic tenants on discounting:

  • Every customer wants good value these days, but not all customers need a discount to purchase.
  • Discount marketing attracts the least loyal consumers who are most likely to desert your business when another business discounts more.
  • These same discount-oriented customers generally spend less money and demand more attention than more profitable customers.
  • Bottom-line reality: The more you discount, the more bottom-feeders you’re going to attract.

Want to minimize your price discounting?  It starts with focusing on making your business distinctive, specialized, and one-of-a-kind, focusing on unique products and specialized services that people haven’t seen before.

Or as I like to say: Creating customer insistence by becoming a Destination.

Only 4 Seats Left

We have only four (4) seats left for my April 19-21 Destination BootCamp, where you can learn to implement my entire 14-step strategy that turns your business into a Consumer Destination, equipped to entice customers from hours away.

If you’re not familiar with Destination BootCamp, click on www.DestinationBootCamp.com and take time to read the nearly 200 testimonials from business owners just like you, who write about how Destination BootCamp has accelerated the sales and profitability of their stores, sometimes by hundreds of thousands of dollars!

This is the fourteenth year I’ve been doing the BootCamp. We’ve nearly run 1,000 business owners through my process.

I know you’ve thought about attending. Why haven’t you?

Don’t miss this chance to transform your business. Make the commitment to come to Colorado and attend one of my 5 Destination BootCamps in 2016.

Until next week,

Jon

What’s Your Business Potential?

Is_Your_Business_Living_Up_to_its_PotentialIf you recently watched the Super Bowl, you heard a word used repeatedly during the game, and during the pre and post-game interviews. That word was Potential.

The dictionary defines Potential as: “latent qualities or abilities that may be developed which lead to future success…”

That sounds very positive, but in the world of sports, when Potential is used, it’s rarely used in a positive context. I’ve never heard an announcer say: “We are watching a world-class athlete right now performing at their peak potential.”
Why is that? It’s because with athletes, we just don’t know how good someone can become. We can tell when they’re at the top of their field, like Usain Bolt, the Jamaican sprinter who is the fastest person ever timed in track and field. But what we don’t know is: Has he really reached his potential? Or is there still another new 100 meter record just waiting to be set by him?

Consequently, when we hear the word Potential in sports, it’s used negatively:

“Once Joe moved to Colorado and started hitting the marijuana dispensaries, he never reached his potential as a football player.”

But in this blog post, I’m going to challenge you to think of the word Potential in a new and positive way. Let me ask you:

Have you maximized the Potential of your Business?

Why am I asking you this? Because as I travel the country speaking at conferences and in communities, it’s troubling when I hear business owners say:

“I still haven’t paid myself a salary since I started my business and I made more money at my previous job.”
“We opened our business 5 years ago, and we still haven’t hit our initial projections.”
“If our location was different, we’d do so much better.”
“I don’t want to do this forever, and I’d like to retire and sell this business someday.”

All of these owners are talking about their businesses not having reached their Potential.

Here’s something I’d like you to consider:  If you’ve tried everything you can think of, and you’re still not happy with the revenue your business is generating, isn’t it time to try something new to realize the Potential of your business?

Stick with me on this: I’ve consulted with entrepreneurs for nearly 30 years. I’ve interviewed over 10,000 business owners in over 500 towns and cities.

I know a little bit about business success.

Businesses that become Consumer Destinations MAXIMIZE their Potential.  They EXCEED the sales and customer traffic numbers of businesses around them.  They do so well, they defy the demographics of the area in which they are located.

I know this is true because owners who have created Destination Businesses make comments like this to me:

“Our business pulls customers from hours away.”
“I didn’t know it would be this easy to get free publicity.”
“I had no idea our sales could be this good.”
“I never dreamed our business would be this successful.”

The Potential of your business: You haven’t maximized it, but you can.

Let me leave you with a final thought from Bo Bennett:

Every day, people settle for less than they deserve.
They are only partially living or at best living a partial life.
Every human being has the potential for greatness.

And so does your business.

Registration Now Open

We have five (5) Destination BootCamps scheduled for 2016, with our first one coming up in 8 weeks.

If you’d like to learn the Destination strategy that I’ve taught nearly 1,000 independent business owners, attending our Destination BootCamp is the only way you can do it.

Go to Destination BootCamp.com to see our 2016 dates, and read about what other owners have said after they’ve completed our class.  (Seriously, you should go read what they said; just click here to do it.)

If after looking it our information, you still have questions, call me directly at 303-774-6522. I’ll take some time to talk to you about what kind of Potential your business can achieve!

Thanks, everyone! Until next time, let me hear of your successes.

Jon

What We Absolutely Know Will Happen to You and Your Business in 2016

Happy New Year 2016I don’t generally make business predictions, but here’s one thing that’s going to happen to every one of you, if you’re an entrepreneur or a business owner, in 2016.

Seriously, I can read the future.  I know you’re skeptical, and you might not believe me right now, but keep reading, and you will!

But before I get into that, let’s talk about 2015: For many of you, last year was a year to remember. All around the country, many of you told me that your business was never better. You had higher sales, better profits, and most importantly, more peace of mind than you’ve had in years.

As my accountant says: “Sales cure most things.”

But unfortunately, some of you told me that 2015 was the year you’d most like to forget. If your business is especially prosperous right now, it’s probably surprising to you that there are parts of the country that aren’t reaping the full benefits of our growing economy. If you travel and interview entrepreneurs like I do, you’ll soon learn that there are entire industries that are floundering and stagnating.

But thank goodness for January 1st. I know it’s really just another day, but I have to admit that when it rolls around, I do love checking off the date on my calendar, symbolically hitting the reset button, and looking forward to the year ahead.

Now, back to what I know is going to happen to you:

I’m writing this blog post on January 15. 351 days from now, on December 31, 2016, every one of you will take a moment to reflect on your successes or failures of 2016. You might be at a New Year’s Eve celebration, or you might still be working at your business, or you might be exhausted with your feet up on the couch. Wherever you’ll be, it’ll happen, and you’ll think back at the year it’s been and the achievements you’ve had, and the disappointments in your business that never came to fruition.

As writer Gregory Maguire so eloquently put it:

“I hate New Year’s Eve.
One more chance to remember that you haven’t yet done what you wanted.
And to pretend it doesn’t matter.”

Well, it does matter. There’s nothing worse than the feeling of regret when an opportunity has been missed. There’s nothing worse than having a vision of where you want to go, a dream of where you want to be, and falling short of the goal.

Here’s the good news about independent businesses: Nothing is written in stone! An independent business owner has the power to change and redirect their future any day they decide to change course.

Do not wait to exercise your ability to change the trajectory of your business. If you want it to be different, make it so. If you want it to improve, it can be done. Thousands of owners do it every year.

Will 2016 be as good for you as you hope it will be?

Don’t hope. Decide this will be your year.

More importantly, start taking the steps right now that will lead you to say (351 days from now), on New Year’s Eve, 2016: “This was my best year ever!”

Now, for those of you who like to save money:

By popular demand, we are extending our 1-time Destination BootCamp discount for an extra week: Register for ANY of our six (6) Destination BootCamps scheduled for 2016, and save $300 off the regular tuition price. This discount is extended through next Friday, January 22 until 11:59 p.m.   Sorry: This does NOT apply to Community Reinvention Program participants.

Check out the dates for our 6 BootCamps and save $300 in tuition costs. You can look at our upcoming dates at our Destination BootCamp website, and then, click over to the Register page.

Thanks, everyone!

Jon Schallert

The 2014 Holiday Season: The Strongest in 10 Years!
2014_Is_Going_to_End_Great

You can write this down and take it to the bank.

Yes, I can see the future.  Your 2014 year is going to end surprisingly strong and on December 31, you will be screaming with excitement!

If you’d like to learn how I know this, jump down to the end of this newsletter and you can learn why 2014 will finish so amazingly strong and why you’re about to have the best Christmas selling season in a decade.  But first…

Registration is Now Open for our 2015 Destination BootCamps, with an Early-Bird Discount

I’m going to keep this short: If you’re thinking about attending one of my Destination BootCamps in 2015, we’ve now have the dates posted and registration is now open for all 4 of our 2015 classes.  Best of all, IF you register by December 31, 2014, you will save $300 on the BootCamp tuition price.

This discount will NOT be repeated in 2015. This is the only time we will be offering this.

Sorry, this does not apply to our Community Reinvention Program participants. This offer is good for independent business owners who are registering on their own.

If you aren’t sure about attending our Destination BootCamp, take 2 minutes and click here to read about the 81 different business lessons you’ll learn when you attend my class.  Then, jump over to the registration page to take advantage of our $300 Early-Bird pricing.

Why 2014 will be the Best Holiday Selling Season in 10 Years

If you are a business, you are going to have a great holiday season. There are two reasons why:

Here’s #1: Right now, there are 34 days to Christmas, counting today. You might not have thought that far ahead, but I have. This is important to your business, your business district, your shopping center, and ultimately, to your town or city.

Christmas falls on a Thursday this year. Honestly, that fact, by itself, isn’t significant at all, EXCEPT that most businesses will allow their employees to not come into work on that Friday, December 26.

Why is that important? It means that post-Christmas sales will experience a 3-day weekend. That hasn’t happened since 2008, when the economy was going down the toilet. That will mean that the smart businesses that moderately reduce their prices after Christmas will have an extra day of crazed shoppers in their stores.

Then, look ahead to the following week after Christmas. There are 3 work days, the 29th, 30th, and 31st. Most people slack off on that Wednesday, the 31st. Most employees won’t be working on Thursday, January 1. Then, there’s another Friday. Want to bet that a lot of people don’t work on that Friday, January 2?

I bet they won’t.

What all this means is that the last two weeks of 2014 will have two unofficial 3-day weekends where consumers will have more time to spend. This pattern of shopping days hasn’t occurred like this since 2008 when money was tight, and then, it happened before that in 2003. If you were in business in 2003, go back and look at your sales numbers for those last two weeks.

I’ll wait while you do it…

See? I told you.  That was a really great holiday season, wasn’t it!  Well, the opportunity is here again, over a decade later.

This is the Second Reason Your Sales will be Better in 2014

I have a free webinar that’s going to help you have the best ending to 2014.   I’ve posted it online and it’s called “4th Quarter Marketing Strategies to Implement Now”.  In it, I explain 18 different tools, techniques, and tips that you can use to make your sales better than ever. It’s free, and you can watch it by clicking here. Do it now, while you still have the time to put some of my ideas into play.

Thanks to all of you

That’s it for this newsletter, except for one thing:

Thanksgiving is the perfect time to reflect on all the blessings we have in our lives. And with that, I want to thank all of you for being readers of this newsletter. I left my safe corporate job 18 years ago to start my consulting firm and to try to start a career teaching business owners how to make their businesses stronger by becoming Destinations.  I hoped to one day teach what I knew in front of audiences as a public speaker.  At first, no one knew what I was talking about. But because of readers and supporters like you, lots of people now know what I’m talking about when I say you can reinvent your business and community into a Destination.  But without you reading this newsletter, spreading my advice and putting it into practice, I’d just be talking to myself.

Thank you all for being part of my adventure!

Have a great Thanksgiving, everyone!

Jon Schallert

Frank Sinatra was wrong about New York, New York

 

My Dad loved Frank Sinatra.

Let me restate that:  My Dad loved Frank Sinatra’s singing and the words to his songs.

Here’s a thought I had while driving through Kansas last month, as Frank Sinatra’s song, “New York, New York” came on the radio.  I listened to Sinatra sing these lines during the song:

These little town blues
Are melting away
I’ll make a brand new start of it
In old New York
If I can make it there
I’ll make it anywhere
It’s up to you, New York, New York.

Driving through Kansas, all of a sudden, I realized: “This song’s baloney!  Sinatra should have been singing about Kansas, because if you can make it in Kansas, you can make it anywhere.”  When I got back to my office, a little research confirmed my gut feel:

There are 2,893,957 residents in Kansas, which computes to just over 35 residents per square mile (obviously not counting tourists, like me).

But in New York City, there are estimated to be 8,405,837 people, in roughly a 305 square mile area. That means that the population density of residents in New York City equals 27,560 people per square mile.

Do the math, folks, and old New York, New York is 787 times more densely populated than the state of Kansas!  If I’m opening up a business, my odds of success are so much greater in New York City than in Kansas, given that I have so many more potential customers immediately outside my door, with much more disposable income.

Sure, there’s more competition in New York City, but it doesn’t compare to the challenge of having 7,870% less customers.

So, Mr. Sinatra, your song’s wrong.

The most innovative, creative entrepreneurs I’ve met are those who’ve created Destination Businesses in places where demographics say their businesses shouldn’t exist.

And that goes for Kansas, or South Dakota, or Mississippi, or anywhere else that is less populated.

But not New York City.

Until next week,

Jon Schallert

The True Foundation of Your Business

It’s so easy to get busy running your business that you forget that every customer who enters your doors has a need, and they are hoping your business will fulfill it.

Here’s a true story that a retailer in New England told me. This retailer owned a quaint floral and gift store in a busy, historic downtown. It was a store with attractively-themed merchandise filling each of its small rooms, and one could easily shop each of the rooms, as they were connected in a large loop.  Throughout the day, business workers hustled by during lunch hour, students walked by after school, and nurses and doctors from the nearby hospital walked in during their breaks.

It was during one of these busy days that the owner greeted a female shopper walking into her store. She related to me how this female shopper slowly moved through each of the smaller rooms, spending time in each one. After several minutes in the store, the owner walked over to see if there was anything she could help the customer find. The customer thanked her, said she was just looking, and that she loved her store. The owner thanked her, and left her alone. The owner remembered the customer moving slowly from room to room, like she was inspecting each piece of merchandise, eventually making her way through all the rooms, taking the full-circle route through the store without buying anything, and saying goodbye before walking out the door.

The owner then told me how the next day, this same female entered the store shortly after lunch and moved slowly through each room, carefully looking at all the products, walking the entire loop and again not purchasing anything.  It happened again, the following day, and again, the next day. This female would appear like clockwork, and take the route through the store, each day as intently looking at the merchandise as the previous days.

By the end of the week, the owner was convinced that this shopper was being sent by a competitor to snoop through her store.  She waited patiently to see if she would appear again, and decided that on this day, she would confront her about her strange behavior.

Sure enough, just after lunch, the woman entered the store again.  But this time, the owner stopped her and said, “May I ask you a question? Every day this week, you’ve come in and spent time looking at all the merchandise in every room, and you seem to really like my store, but you never purchase anything. Is there something in particular you are looking for, or something that I could help you find?”

The woman stopped and said, “Oh, I do love your store. I love what you do with flowers and all the plants and products you have are so unusual. I love how your store looks, and I love how it smells, and the music you have playing is so soothing.  But no, there really isn’t anything specific I’m looking to buy.” She paused, as if knowing that her answer wasn’t enough to explain her behavior, and then said to the owner, “You see, I’m an out-patient at the hospital around the corner, and I’m undergoing cancer treatments right now. They’re going to continue for a number of weeks more. In between the treatments, I like getting out of the hospital for a break, and your store helps me forget my troubles. I can just walk inside your doors, and I’m somewhere else.”

I don’t think I’ve ever heard a business receive a higher compliment!  For this customer, the store was an oasis from the problems and pains she was experiencing.

I think owners work so hard focusing on their product selection, their services, and their day-to-day operations that they forget that emotion is the foundation of every business, and if it’s lacking, you’re giving up the prime advantage every independent business has over all of its competitors.

The emotion of your business is where it all begins. It’s the first thing a customer feels coming in your doors.  It’s the final piece a customer feels when they leave. And its memory is what they’ll remember long after they forget everything else.

Until next week,

Jon Schallert

The World’s Tallest, Best-Kept Secret Boot

A few years ago I spoke in the little city of Red Wing, Minnesota.  If you’ve never been there, it’s located southeast of Minneapolis, right across from Wisconsin, separated by the Mississippi River.

Before I went to Red Wing to speak, I did research on the city, and learned that Red Wing shoes and boots are still made in factories there in town, and that they had a corporate Red Wing Shoes store in their downtown. That point was reinforced as I was driving in, as I spotted several signs about Red Wing Shoe’s “Corporate Flagship Store”.

But imagine my surprise when I walked into their corporate store and found looming above me the world’s tallest boot, size 877, stretching from the first floor to the second. And this giant boot wasn’t even mentioned on the billboard.

 

As all of you know, I look for oddities like this boot, and in fact, encourage business owners to think about creating something so one-of-a-kind that customers will come to see it.  Sure, customers come inside and stare at it, but then, they go around the store and buy. Plus, they end up talking about it, which spreads your message via word-of-mouth marketing. We also know that in addition to being a huge customer-traffic generator, it can also be a media magnet for reporters who want to write about the unusual.

Clearly, the Red Wing Shoe company took a lot of time, effort, and expense to create a leather 2,300 pound, two-story boot. So when I was in the store, I asked one of the Red Wing employees why the world’s largest boot wasn’t on the billboard that advertised their flagship store, and why it wasn’t right up front on their corporate website. His answer: “Everybody already knows that The Boot’s in the store.”

I’m sorry, but I had to tell him: Most of the world, including many newcomers walking into the Red Wing Corporate store, did NOT know that this store had the world’s largest boot.

Here’s the lesson for all of you: Businesses have the mistaken belief that their marketing message has already been absorbed by the majority of their customers. This is one of the most damaging misjudgments any business can make, large or small.

I’ve said this before to some of you: There will always be more potential customers who know nothing about your business than those who have spent money with you.  And of those that have heard about your business before, most won’t understand it completely, most will have forgotten some aspect of it, and most will have not internalized your marketing message, even if they’ve heard it before.

There is someone new, every day, walking in your business, experiencing it for the first time.  Every day, you have the opportunity to amaze someone who has never heard of your business before, and bond them to your business for life.

Remember: Your very best customer of all-time might be the next person through your door. Don’t make the mistake of assuming they know what’s unique about your business.

Until next week,

Jon

The Power of Mom and Pop Businesses

The other day, a friend asked me: “Don’t you worry about the future of Mom and Pop businesses?’

My answer was: “Nope, not at all. The future’s bright for small businesses.”

Here’s how I know this to be true:

3 times a year, I get to witness something amazing that confirms to me that Mom and Pop businesses can overcome any challenge that’s put in their way.

Let me share with you what I get to see:

Most of you know that I conduct a workshop in Colorado called our Destination BootCamp, where for 2½ days, I teach owners and community leaders how to make their businesses and communities irresistible to consumers.

At each BootCamp, owners of retail stores, restaurants, service businesses, professional practices, and even online businesses attend. To paraphrase Forrest Gump’s life’s like a box of chocolates quote, with every BootCamp, “We never know what we’re gonna get”.

Unlike typical association conferences where everyone is from the same industry, our BootCamp mixes business owners from different industries and different parts of the world and puts them together in one room for 2½ days. Most aren’t competition to each other and most have never met before. It surprises me, but I’ve also learned that even business owners from the same city or town who attend together often don’t know each other very well. But it makes sense: Who has time for friendship when you have your business to run?

But here’s what happens when you put this diverse group together and show them new ways to grow their businesses, everyone (regardless of their type of business, their sales volume, the physical locations, or the number of businesses they own), starts percolating together.

It’s not enough to say that there’s an energy that spreads between the participants or a synergy that occurs when you mix these owners together. It’s more than that. When one entrepreneur meets another one, and they start discussing their challenges, I’ve found there is a natural inclination for owners to reach out when someone needs it.

“You’re an owner, just like me. You have a problem?”

“Here’s an idea that’ll help.”

Sometimes I just stand at the front of the room watching as one owner voices a concern she’s having, while another owner chimes in on how he overcame that same problem in a different industry. I watch as owners grow in confidence as they realize that regardless of their business-type or business sales volume, they have information that can help someone else in that room. And in just a matter of hours, I can watch owners who previously didn’t know each other start freely sharing their expertise with the person sitting next to them.

There are moments during every BootCamp where I just stop teaching and as I look out over the room, and I’m amazed at how such different businesses come together, learn together, and honestly share their success stories and business setbacks with each other.

Here’s one of the best stories from our March BootCamp: On the last day of class, Sarah, a retailer from Kansas who owns two retail stores, told me that she had met with Christi, a retailer from Texas who owns a chain of women’s clothing stores, and they had sat up talking until 11:30 at night, as they shared ideas, buying tips, and product sources with each other.

Here’s my challenge for you if you’re a business owner or an entrepreneur reading this blog:  Starting today, look around and be aware of that owner down the street who might need some help or advice, who probably doesn’t know how to ask for it.  Be aware that one single suggestion from you to a fellow business owner might be the breakthrough that an owner is looking for.  From this day forward, instead of just saying hello and walking by a fellow business owner, take some time to engage. To share. To show you’re around, if help’s needed. And when you’re in need of assistance and you’re at wits end, the law of reciprocity will work for you, too, bringing help back your way.

The future of Mom and Pop businesses is extremely bright, especially when independent business owners take time to lend each other a hand, an ear to listen, and have each other’s backs.

Until next week,

Jon

The Power and Popularity of Being Small

I love small, locally-owned businesses. I like their uniqueness and their personalities. Plus, I like discovering products from small companies that are hard-to-find and locally-made.

These are the original reasons that I first loved Colorado Native Beer, a beer that is exclusively made here in Colorado, one that can only be purchased right here in Colorado, and one that only uses Colorado ingredients. When I read the description of the beer for the first time on the ColoradoNativeLager.com website, I knew this beer was for me:

“Colorado Native is the only beer in the world brewed with Rocky Mountain water, Colorado-grown barley from the San Luis valley, the oldest strain of brewer’s yeast in Colorado and finished with hand-picked Colorado-grown hops.”

So imagine my surprise when I wanted to take a brewery tour of the AC Golden Brewery in nearby Golden, Colorado, only to learn that there were no tours. This seemed strange, since most of the other small craft breweries I knew welcomed the public to tour their facilities.

After I did a little more searching on the company website, here’s what I learned:

The AC Golden Brewery doesn’t have its own facility and is instead located in a corner of the Coors Brewery, likewise located in Golden.  Hmmm, I wondered: “Why didn’t they just say that this beer was brewed at Coors? Why all the mystery of where it’s brewed and the different brewery name?”

Well, here are some other facts I learned that weren’t shared, nor even printed on the label or the carton of the beer:

  • The AC Golden Brewing Company is a subsidiary of the MillerCoors company, created according to President Glenn Knippenberg, to “serve as a specialty brewing arm of MillerCoors.”

As I did a little more digging, I learned:

  • The MillerCoors Company (the parent company that owns the brewery that makes the Colorado Native beer), is itself a joint venture between the SABMiller Company and the Molson Coors Brewing Company, created in 2007.
  • That the MillerCoors Company joint venture has the responsibility of selling brands such as Miller Lite, Miller High Life, Miller Genuine Draft, Coors, Coors Light, Molson Canadian, and Blue Moon beer in the United States.  The company also coordinates all the brewing for the brands of beer owned by the Pabst Brewing Company.

OK, wait, I thought. Now you’re telling me that the guys who brew Colorado Native also brew all these other beers?  But wait, there’s more:

  • The SABMiller Company (the one that owns MillerCoors, which owns AC Golden, that makes Colorado Native beer) is a British multinational brewing and beverage company headquartered in London, and is the second-largest brewing company in the world. It also sells and brews brands that include Grolsch, Peroni, Urquell, and a bunch of others.
  • Finally, I learned the SABMiller Company operates in 75 countries, sells around 21 billion liters of beer per year (which is the equivalent of 59,174,539,550 cans of beer – I had to use a calculator for that), and had sales of over $31 billion dollars (that’s billion with a B), last year.

So why wasn’t this information shared on the Colorado Native beer website, on the can, or on its packaging?

I can guess that it is not as good of a story to say that a multi-billion dollar conglomerate that owns another multi-million dollar conglomerate that makes a “small craft brew” is in fact, a well-funded, minimally-at-risk venture of securely-employed brew makers, hanging out in a corner of the mother company, trying to act little.

The truth is that being an offshoot of a huge firm has none of the romance, charm, or entrepreneurial start-up feeling of an independent brewery. Consequently, without actually lying about it, large companies work very hard to keep their trendy brands separate from their mass brands. They work hard to build up the unique personalities of the brands and create original folksy stories and show non-slick videos that make them look considerably smaller than they are.

Which brings me back to the independent businesses that I love to support:  Why is it that so many Mom and Pop independent businesses don’t capitalize on their own uniqueness, their one-of-a-kind history, their distinctive personalities, and their own special quirkiness, and milk it for all it’s worth, when big companies are working extremely hard to create this mystique every day?

First, many owners don’t know it’s OK to do it. I think many believe that any eccentric uniqueness that pops up looks unprofessional, and I think that many independents believe that uniqueness doesn’t really matter.

Well, as you’ve seen with Colorado Native Beer, being small does matter. It caused me to originally bond to a beer that felt small and unique, only to later realize I was deceived by a multi-billion dollar conglomerate.

The lesson here: Uniqueness works. Branding yourself as small works. There is a power in being small, and showing it in everything you do.

But most of all, it’s important for independent business owners to tell their own stories, and it’s best you do it right now, before some big company decides to take your story for themselves.

Jon Schallert

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Something to Smile About: There’s Retail Opportunity Here

Several years back, I did the keynote speech for an economic development conference on my Destination Business principles.

When I was done, the next presenter got up and it was obvious he wanted to show that he was a well-traveled expert.  To illustrate this, he began by flashing up on the screen photographs he’d taken of small businesses that he found particularly amusing.

Most of the photographs were similar to what I have posted on this page, a small business that combined two or more products or services under one roof that you’d never expect to be together.  Now, to be fair, he didn’t flash the photo I have here of the quilt shop/liquor store, but he did show similar examples of unexpected combinations of products in the same business.

With each photo, the audience laughed, as he poked fun at the businesses being shown on the screen.

And all I could do was sit there thinking: “This guy’s totally missed the point!”

I’ve spoken in hundreds of cities and small towns, and I’ve never been to, nor seen the quilt shop/liquor store shown here. Someone sent me this picture.  And just to be clear, I’m not making fun of this business.  Actually, there’s brilliance in this business.

You see, in the world of retail development, this quilt shop/liquor store is called a “multi-focus business”, meaning that it has two or more unique business models operating under one roof.

So when I find a business like this that has an unusual combination of products in it, I know it’s often because it takes multiple product lines (often diverse ones), combined together, to generate enough revenue for a business in a small town to actually make money.  I also know that smart business owners try to meet the needs of local customers, while also trying to grow their revenue, while identifying consumer demand, hopefully discovering and capitalizing on unsatisfied niche categories to produce a greater return-on-investment.  (Basically, I’ve just described the fundamental rules of the most successful businesses.)

Plus, most independently-owned businesses in a smaller marketplace can’t operate like a retail store on Rodeo Drive in Beverly Hills.  They don’t have millionaire customers walking in everyday and they aren’t located in a retail district that pulls customers from around the world.

Finally, when I talk to community leaders who complain that recruiting retail businesses is difficult, I point out that a multi-focused business is the first thing to look for.  This is because it’s always easier to grow an existing retailer in a community who’s already there, who already understands the marketplace and who’s already committed to the area.  Yet you’d be surprised how many retail development professionals look first to import a new business or poach one from a nearby community.

Personally, when I see multi-focused business, I start thinking: “How can we maximize this business into a stronger Destination, or even two separate Destinations?”

So remember: If you’re ever at an economic development conference and someone gets up and starts showing photos like this one, it’s OK to chuckle.

Just realize that inside that business, a creative, risk-taking entrepreneur came up with something that no one has ever seen.

And that looks like untapped opportunity to me.

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