The Secret Shopper Secret

August 17th, 2008

A friend of mine in England is occasionally employed as a secret shopper. The company she works for asks her to visit various stores around the region where she lives , to assess all aspects of the way employees interact with customers. Also known as mystery shopping, the aim is to get honest feedback about what’s really going on inside the business.

I’ve heard plenty of stories about her ‘stealth’ observations over the years – like the receptionist who was sound asleep for more than one hour while numerous potential customers came, waited, and then left without being served, or the outburst of abuse given by a store manager to a staff member who was serving a bust checkout line – the employee was then left to carry on serving the customer while still in flood of tears.

My friend used to say that the worrying part of her job was that there was little middle ground. Most of her experiences were either delightful of painful. Which brings me to the key point I want to make to you:

When was the last time YOU secret shopped your own business?

That’s right, I’m suggesting that you need to evaluate your own business, even if you don’t have any employees. I’ll explain. You need to examine every interaction you or someone else has with customers and objectively decide whether it’s being done well, or whether improvements can be made.

For example, a common area that’s left to chance is the answering of the phone. Have your employees been coached on exactly what to say, or is it a random greeting depending on hoe they happen to be feeling on any particular day? With most businesses that’s exactly what happens. To even suggest that there should be a system is a surprise to most business owners. But why would you want to leave it to chance? If you’re the one that answers the phone then you should record the calls for a while, listen to the recordings, and honestly seek to improve based on what you say and how you say it.

Luci and I visited the business of a friend of ours in Chicago recently and we had to tell him that his receptionist was sour and unwelcoming. Let’s face it, she’s probably the lowest paid staff member BUT she’s the person t hat the customer’s have their first interaction wit, both on the phone and when they visit the clinic. The way she dealt with us set the tone for the entire visit. What an enormous mistake!

By the way, our friend had no idea that the receptionist was lousy, because he’s never secret shopped his own business.

The secret shopping should extend to every aspect of customer interaction. For example, have some packages occasionally shipped to another address you have access to so you can see how items looked when they’re delivered. What’s your impression of the package when you receive it? Were all the items in good condition, well packed? If you usually enclose special offer inserts or coupons, were they on the box? Were they easily visible or could they have been thrown away without realizing?

Again, these test are not exclusive to large businesses with many employees. Apply the principle to your business even if it’s just yourself or a small family business. You WILL learn valuable lessons, I guarantee it

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A.L.O Technique — Give Buyers a REASON to Buy

August 14th, 2008

A.L.O. is a term I coined (deliberately similar in style to S.E.O.) which stands for ‘Auction Listing Optimization’. It can be defined as ANYTHING you can do within the eBay environment that increases the number of buyers, or that prompts buyers to go directly to your website. Each month I discuss an A.L.O. technique that you can implement in your eBay business…

Take almost any flight these days and as the plane reaches the gate you’ll hear an announcement along the lines of: “we realize you have a choice in which airline to fly, and we thank you for choosing _______”. This probably sounds a little cliched to many seasoned travelers because it’s so ubiquitous, but it’s done for a reason. The message is true - it acknowledges how competitive the industry is and thanks customers for their choice.

It’s ironic that more eBay sellers don’t realize the very same thing applies to themselves. Buyers have a choice. Even if your product is completely unique, they still have a choice to buy, or not. So let’s talk more about this important aspect that is ignored by most sellers.

Within your main listing description you need to provide numerous reasons why people should buy from you rather than anyone else. Most sellers assume that people will want to buy from them as soon as they come across the listing (and ignore the competition) but that’s not the case. Most buyers will browse and compare before making their final decision.

Interestingly, you may have seen this phenomenon in action on Amazon.com where they now tell you what percentage of people bought a particular item after looking at the listing. In the case of my ‘eBay exposed‘ book, Amazon reveals that 70% of people currently end up buying my book (the remaining 30% is divided up among four other eBay books).

Incidentally, I’m very happy about the 70% figure, as many books have a percentage below 50%, which means that the sellers didn’t do a good job of convincing people to buy their product. So now that you’ve realized that people DO shop and compare, what can you do to persuade them to buy from you, rather than a competitor?


Amazon.com shows what percentage of people buy a particular product

Firstly, aim to establish a rapport with the buyer from the outset, as well as throughout the listing description. You can do that by using a friendly, approachable, and conversational writing style, rather than a stiff, corporate tone like many big entities do. Try and imagine one person in front of their computer rather than trying to ‘speak’ to all Internet users. For example use ‘you’ instead of ‘everyone’. Why? You’re addressing one person at a time, not a crowd of people, which tends to comes across as impersonal. It’s a subtle but important difference.

Convince the buyer that you are honest and trustworthy. Emphasize your great feedback record and include testimonials within the listing. Reassure the buyer that you will ship the item promptly, and that you always provide outstanding customer service. Provide a guarantee without any small print or ‘get out’ clauses (which can destroy the effectiveness of an otherwise good guarantee by the way). Finally, have a trusted friend or family member read through your description to check all these points independently. It’ll make a real difference…

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How To Make Your eBay Listings Stand Out From The Crowd

August 11th, 2008

There’s never been a time in history when we’re more bombarded with advertising than now. Everywhere we turn we’re confronted with a marketing message in some form or another, assaulting our eyes, ears and in some cases our noses (think of the perfume scented pages of many lifestyle magazines).

The downside from an advertiser’s perspective is that with so many messages in the mix, it’s becoming increasingly difficult to get people’s attention. Also, we’re all becoming better at tuning out the bombardment. In some cases we’ve even been given tools to help us, such as the ‘30 second skip’ feature on a TIVO, which has the sole purpose of allowing users to jump through commercials and quickly get back to the program.

Fortunately, within the eBay environment these challenges are lessened because when people use the site they are naturally in buying mode. They WANT to buy. That’s a huge advantage compared to many other forms of advertising which can be classed as interruptive. However, it’s not all plain sailing. More on that in a moment. If you’ve been a reader of this newsletter for some time, hopefully you’re training yourself to look out for examples of how other business owners have managed to stand out from the crowd. Actually it’s a fun exercise, and of course the point is to see how you can adapt these ideas to your online or eBay business.

On these two pages you can see some fantastic marketing messages that do an excellent job of standing out from the crowd.

The clever design and placement of the mouth makes for the ultimate 3D ad. We all know that exhaust fumes are polluted and disgusting, so there’s a perfect fit with the message about giving up smoking.

This ad for Benjamin Moore paints makes use of the colors in the sky to create an ever changing jumbo color ‘swatch’

What’s your favorite? I think mine has to be the smoker spewing out polluted smoke fumes on the back of the bus. The other advantage to placing the ad on the bus is that it’s constantly moving around town, which means the message will be seen by many more people than a simple static ad. Genius. The ad itself is a brilliant match that dramatically reinforces the message in a way that no written ad ever could.

This innovative ad for a ballet school makes great use of both color and style to instantly say ‘ballet’ without even reading the text.

All these examples match up well with the fundamental principle of what a renegade eBay seller is about. To maximize your success (and profits) you MUST be different from everyone else.

It’s obvious that all these examples were the result of some creative thinking, and the same is true with your eBay business. A good starting point is to consider how you might do the opposite of other sellers in the same niche. For example, if everyone’s competing on price, make yours the highest price offering in its class. I guarantee you that you’ll get plenty of buyers as long as the (other) important elements of customer service, testimonials, reassurance of customer service etc are in place. But those elements cost you nothing. They just require some creative thinking and the boldness to be different. From now on, don’t accept anything less than the renegade approach for your business. Stand up and stand out.

HAVE A BRIGHT IDEA?

To comment on this or any other article in this newsletter, or to suggest a topic that you’d like discussed, please email us at: support@renegadeauctionseller.com. We’re always pleased to hear your suggestions and comments.

This clever campaign makes use of the existing rail in a subway car to provide the basis for the weights, and the effect is even better as soon as a passenger grabs the bar.

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How Much Money Are You Losing?

August 8th, 2008

So, I was just looking at my financial statements for this last moth in an eBay business I have. What I saw was a thing a beauty.

First, I’ll say that this particular eBay business has 4 income streams built within it: (1) sales from eBay, (2) backend sales of a high priced info product to current customers. (3) joint venture deals. And (4) affiliate sales through my email list to past customers. It’s the last one that I notice a change on.

The first two income streams make up the bulk of my business. Backend sales to current customers made up over 40% of my income until now.

Affiliate sales to my email list have done something fantastic! I believe it has hit a critical mass. What the heck does that man? Well, it has hit a point that i make more in a week pitching other people’s products then i do selling my front as end products!

Since day one in this internet business world I have heard, “ the money is in the list”. I trusted that wisdom and followed it from the start, but until recently it was still mostly theory! Sure, i get the majority of my backend sales through sending offers though my email list, but now the affiliate aspect of business has caught up.

I now make over 75% of my income, in this one business, solely from my email list! In case it isn’t obvious, here is what that means; If you dont add your eBay customer names and email to an autoresponder system you could be LOSING OVER 75% of your potential income.

To learn what autoresponder are you need to go to this websites: www.ezmailsender.net and learn.

So each week I add several more emails to my autorespoder series. To date I have over 80 emails that go out to my customer that comes int my autoresponder series.

Clickbank.com

when I am looking around for something to pitch in my emails, the first place I go is Clickbank. I then go Promote Products, then Marketplace. I then search of products within the categories that closely match my products. Nearly all the products I find on Clickbank have tools for affiliate like prewritten emails that you can send out to your list All you have to do is add your name and affiliate link, which they simply give you. You add that email to your autoresponder list and away to go.

After I run out of similar products to offer in my autoresponders, i jump to other products and service that my customer could generally use. Think of what more your customers could use from you and go find it in Clckbank. And that is just the start, there are other places you can find affiliate products to sell to your customers, like at www.cj.com.

So don’t be crazy and let 75% of your income be lost to the net or your competitors, get your autoresponder series going or kicked into full gear. If you don’t have an autoresponder service you can go to www.ezmailsender.net.

Article by Jeremy frandsen

www.Internet-Business-Mastery.com

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No Listing Fees For September — What’s the Scoop?

August 5th, 2008

On August 29th, eBay.com announced that there would be no listing (insertion) fees for the entire month of September. Why have they done this and is it a good deal? If you just read the article about data and looked at the ‘number of users’ chart, you’ll have realized that September is on average the quietist month of the year, so an initiative like this to drive more sales is a good thing.

Before you get too excited, as with all offers from big companies, there’s some small print to be aware of. Note that your starting price needs to be $9.99 or less, and you MUST buy at least a gallery upgrade at a cost of 35 cents. There are some exclusions, such as all eBay motors listings (which are popular year round).

So what’s the bottom line with this promotion? Is it a good deal? Well, you’ll probably save some money but it’s not as exciting as eBay want you to believe. The regular listing fee for an auction that starts at 99 cents is just 20 cents. If you don’t normally use the gallery upgrade for 35 cents, you’ll actually be paying 15 cents more than you usually do!

If you normally use the gallery upgrade (you should), then you’ll just be saving the 20 cent insertion cost on each listing. Realistically, it’s a token gesture from eBay to help boost overall sales - for you and I it’s not going to make much difference. It’s a bit like saying the price of gas is going down by 5 cents for a few weeks, you probably wouldn’t notice the difference if no one had told you.

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Rewarding Research

August 2nd, 2008

I’ve never been a fan of number crunching or compiling data, in fact that’s putting it mildly. Truth is it makes me shudder just thinking about it, but I’ve come to realize that whether I like it or not is irrelevant. Research data is valuable, so it needs my attention (and yours too). I’ve also learned that I don’t have to be the one to pore over the excel spreadsheets – there are plenty of other people who get excited at equations and graphs and charts and algebra. I bring this topic up because this stuff is important to any business, including selling on eBay. For example, by taking the trouble to research the data, here’s just a few of the important stats I’ve learned about eBay users:

  • The busiest days for visitors to eBay are Monday and Tuesday evenings.

  • 77% of visitors to the site go to the search box first, the remainder login to their account.

  • The most popular category in terms of number of monthly visitors is ‘Business and Industrial’ followed by ‘clothing, shoes & accessories’ followed by ‘collectibles’ then ‘computers’.

  • The largest demographic of eBay users are in the age range of 25-55.

  • The gender split is 47% female and 53% male.

  • The number one reason that attracts people to use the site is the availability of unique items. Price is near the bottom of the list.

I suspect like me, that some of those statistics surprised you. Some preconceptions I had about eBay proved to be completely untrue. For example, I definitely assumed that the majority of users were female, whereas men in fact have a slight edge in the demographic. I also expected to see a significant teens audience, whereas that’s not the case – the 17-24 group accounts for only 7% of the eBay market.

While most people continue to believe that Sunday evening is the best time to end an auction, hard facts again show that not to be true in most cases.

The fact that more than ¾ of eBay visitors go directly to the search box as their first action is an extremely important thing to understand. It means that above all else, your title is what will attract someone, not the fact that they’re browsing a category – because the facts show that only a very small percentage of people do that.

Another source of data I came across revealed the overall level of buyers on the site throughout the year (See exhibit A). For 2006, you can see that February to April were quiet months, but there were big spikes in May, June and July (times when most sellers believe the site is quiet due to people on vacation etc). Again, the data reveals facts that are contrary to popular belief.

What about after Christmas? We all know that there’s always a buying frenzy before Christmas every year – that’s entirely logical, but look how early it occurs (and stops). It starts in late October and finishes early December. I would have expected it to stop much later than it does, but that’s not the case. This of course means that you should begin planning NOW to take advantage of the enormous increase in traffic you’ll see during October through early December.

Interestingly too, there’s a huge spike for the first week in January, when I guess people are selling all those unwanted gifts! This kind of trend is obviously consistent from year to year.

I hope you get the point. If we didn’t take the trouble to research this kind of data (fortunately you have me to do much of it for you) we’d never know the true picture of who uses eBay, and how and when they interact with the site. You should ideally do this kind of analysis with your customers so that you get data that’s specific to your business as well as the overall picture we discussed here.

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Renegade eBay Strategy- Lessons from The Rainforest Cafe

July 30th, 2008

Luci and I were at Disney World in Florida a couple of months ago and we had a meal at ‘The Rainforest Cafe’ a themed restaurant that’s popular with families. It’s very similar to Planet Hollywood or Hard Rock Café, in that there’s nothing extraordinary about the food, but it’s a bit more fun than going to a regular restaurant chain. They’ve created an interesting environment, even if the animals are animatronic (Disney have a lot to answer for). Anyway, while standing in line I picked up a leaflet promoting their loyalty program called ‘the safari club’.

There’s no question that it was an attractive offer. For a one time fee of $15 some of the benefits include:

  • Jump to the front of the line for reservations

  • Receive a $10 gift certificate for any meal

  • 10% off entrees on any visit for up to 4 people, or a free appetizer for the table.

  • 10% off retail merchandise

  • Discounts at 6 other restaurants


To be honest, it was the first benefit that swung it for me, simply not having to stand in line for 30-45 minutes to wait for a table. I handed over my $15 and our wait time instantly evaporated, a table opened up for us, and we were whisked through to the restaurant.

What I didn’t expect was that in the three months that followed since the Florida trip, we’ve visited Rainforest Cafés in Vegas, Phoenix, Los Angeles, and Orlando. Why? Because we wanted to use our $10 gift certificate and membership perks! There’s obviously a psychology behind this because we’ve never had an outstanding service or food experience at a rainforest café, it’s always been ‘so-so’. Yet having the membership somehow always prompted us to use it. The $15 initial fee is irrelevant as far as I’m concerned, subsequently the fee I’d paid never entered my head as a reason I should dine there on those other occasions.

You can learn an important lesson from this. Many many people are members of loyalty programs such as frequent flyer miles, credit card cashback, cruises, gas stations, hotels, grocery stores, book stores, etc. Why? Because they feel as though they’ll gain benefits and perhaps even be treated as special, a valued customer. Plus, it’s been noted that consumers who are enrolled in these programs tend to spend more than non-members. Certainly my own experience bears that out.

In view of all this, it’s nothing short of astonishing how few eBay sellers grasp this important concept for their eBay or online business. There are even ready-made programs like ‘My Store Rewards’ that any seller can plug themselves into in a matter of minutes, yet you’d have to look long and hard to find the tiny percentage of sellers that have taken advantage of programs like that. ‘My Store Rewards’ (which ties into PayPal) is also inexpensive. For example, if you offered your customers a 1% reward on a $100 purchase, your cost would be $1.12, with $1 going to the buyer and $0.12 cents in fees. This is a no-brainer for any eBay seller, and if you’re in a competitive market this is a MUST – it’s yet another way to separate yourself from the competition. Read more about it and sign up for your 30 day free trial at www.mystorerewards.comI’m not affiliated with this program in any way, but I wholeheartedly recommend it to you as something that will help your eBay business grow. faster.

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Can You Compete With Google?

July 27th, 2008

Sounds crazy, doesn’t it? Who would dare compete with Google, the biggest Internet player of them all, the giant that dominates online search?

A company called ‘Mahalo’ is doing just that. What they’ve done is simply ingenious. Their ultimate aim is to have all their search results powered by humans – in other words, a real person researches which sites provide the best information for a given search term. By comparison, Google is powered by computerized robots that trawl websites and make their best guess as to the nature and relevancy of the content. But computers often get it wrong. That’s a weakness that Mahalo has used to its advantage.

Mahalo is a Hawaiian word for ‘thank you’ and the company’s motto is ‘we’re here to help’. The obvious question is, ‘how are they getting human powered search results for so many terms?’ Actually, they’re not. While they’re going as fast as they can, they’ve been focusing their efforts on the most popular search terms that account for the largest percentage of queries, and ignoring local searches, say for a restaurant in your area.

Now, the really clever part is that Mahalo provides Google search results for queries that haven’t been indexed by one of their ‘guides’ (staff). Can you see what that means? They’ve effectively got the best of both worlds. The end user receives the more accurate human search results where they’re available, and the regular Google results if they’re not. They also get revenue from Google Adsense. From the perspective of the user, it’s a better experience than Google can provide!

There’s more….

Mahalo has about 60 employees, whereas Google has 10,000, but employees are expensive and often a hassle to maintain. So Mahalo started an initiative where they pay $10 for anyone who creates a page of search results for a search term. The payment increases by $1 for submitting more results, so the more you submit, the more you get paid. And they don’t seem to have any trouble finding takers for this deal.

“…there’s probably a chink in the armor of every large company.”

Let me ask you, before you knew this story, would you have thought it was possible to compete with Google? I suspect not, but what you’ve just read indicates that there’s probably a chink in the armor of every large company. Find that chink and you’ve found a goldmine. Can you see where this is heading?

A couple of issues ago I gave you a list of eBay’s top sellers. What did you do with that list? Why not grab it and review it again, and try to find a weakness that you can exploit in some of these sellers. If necessary, buy something from them. Review their entire process. What did they do well, and what did they not do well? Ask yourself, “what can I do better, faster, more cheaply, more friendlier, or more efficiently than them?”

Think about this classic David and Goliath situation of Mahalo vs Google. Don’t be intimidated by a big player in your marketplace. Think big, plan to succeed, and take massive action.

These days a smart, out of the box thinker with great marketing skills can definitely take on the ‘big boys’ and win. You’ve just read the proof, now it’s your turn…

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Name Your Price

July 24th, 2008

It took me awhile to come to terms with the fact that many people are willing to pay what you and I probably consider to be outrageous sums of money for a product or service when they want the premium or very best you can offer. EVERY ONE has things they’ll ‘splurge’ on. Have you overcome that price barrier mentally? Whether or not you are comfortable with this issue, it’s a fact of life, so you can either offer premium versions and make higher profit, or you can dismiss it and do things the way you’ve always done them! Here are some examples of items I recently spotted that prove that demand exists for high priced, premium products:


William Rast Jeans - $220
Small bottle of water at Celine Dion concert $5
Apple iPhone - $600
Vacheron Constantin Swiss Watch - $1.5million
Leather bound Trivial Pursuit, Special Edition-$4400
Kopi Luwak Coffee - $600 / pound or $50 / cup

Obviously when you consider the actual price of manufacturing these products, there’s no relation to the price being charged. Don’t get me wrong, I’m not in support of price gouging in any circumstances, but if you offer something special and the customer is happy to pay the premium, why not give ‘em what they want! It’s really about supply and demand, and the feeling of exclusivity that many customers want. For example, a hotel in a sleepy town might go for $45 a night, whereas a NYC hotel room will commonly cost you $300 a night. The rooms could be identical, but because of other factors the variation in price is huge. It’s understood that you pay for location.

So, is there a premium version of what you sell? If not, can you create one? Approximately 20% of customers are known to opt for the very best you can offer, regardless of price.

______________________________________________
We’re in the final stages of preparing an online community for you. At this time, we have launched an online resource directory for you, which you can access at:
www.andrewlock.com/resources.html. If there’s a specific resource you’d like, let us know.

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Why Your Email Might be Misunderstood

July 21st, 2008

Every so often I’ll receive an email from a customer who misunderstood the comments in my email to them, and took them completely the wrong way. When a customer draws a wrong conclusion it can lead to all kinds of challenges.

According to ‘The Academy of Management Review’, they found that most people view the content of emails as more negative than they were intended to be. What’s more, even emails that are written as a positive message are often interpreted by the recipient as neutral.

As an example of what causes these issues, when someone rushes the process of writing an email, they often shorten sentences and remove greetings that have always been an essential part of letter writing in the past. Also, since most people aren’t very good typists, this often results in poorly prepared emails that don’t fully convey the accurate intended meaning.

With my eBay business, there’s no question that I’ve found this to be true. In fact, my experience gained in this matter led me to implement a policy whereby, if I’ve received a negative feedback (very rare, thankfully), I never contact the person via email – only via telephone. In every case, there’s been a successful resolution because (1) I took the trouble to call, and (2) the person on the other end of the phone could easily tell that I genuinely wanted to help them.

This matter deserves your urgent attention. With our increasing reliance on email it might be time to look at alternatives for certain situations. For example, a phone call is by far the best way to handle customer service challenges, but few do it.

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