Why The Money Will Come Once You Create Value
"All Money Earned Ethically Is A Byproduct Of Value Creation"
In any business, whether online or so-called ‘bricks and mortar', there is an exchange of value that takes place whenever we do a deal, make a sale or execute a transaction.
That exchange may be monetary or it might be quid pro quo, but essentially you offer a product or service and in return you receive something back commensurate to the customers perceived valuation of your offering, and in that statement is the crux of it all… the difference between success and struggle and failure. Did you get it?
Correct, the ‘perceived' valuation.
With any product or service, there is a 'cost' value , and there's 'perceived' value. And the important point about this is the following: To the consumer, whatever their perception of value is, that is their reality.
When I was growing up, I remember my dad using an expression which summed it up perfectly.
“Nowadays people know the price of everything and the value of nothing.”
Oscar Wilde via Dad
Whenever we bought anything new, there would always be someone who would ask ‘How much was that?'. I'm not sure if it's a fundamentally British thing, but personally I find it a bit unseemly discussing money anyway, so when I bought a sportscar some years ago and was asked ‘oh yeah, I bet that cost a few quid, how much was that?', I'd often frustrate my inquisitor and say, ‘Can you really put a price of happiness?'… but, flippancy aside there was also a lot of truth in this response, because we never really pay for something based on the basic cost of its nuts and bolts, we pay for the result or how something makes us feel – whether that be affluent, empowered, reassured or so on.
Digital Entrepreneur Tim Erway explained it to me like this, when people buy a drill, its not because they want a drill, its because they want a hole. When selling then, focus on the result that the customer will get, rather than the product.
One of the biggest mistakes people in service make is that they think they're valuable, but don't then communicate that value to the marketplace.
If you don't communicate that value through the use of effective and compelling marketing however, you'll think that what you have is valuable, but your prospects, customers and clients won't know it, understand it or interpret the value that you're offering them.
Here's the point:
Money will only come to you once you create value – not just in the creation of your products or services – but also in the creation of powerful and effective communications.
In summary, there are three things you need in order to sell something...
1. You need a product or service, and that product or service needs to deliver everything you say it will. You can't have a long-term relationship by selling crappy products and services.
2. The second thing you need is a marketing message where you really communicate the value of not just your offering but the results it can produce for your customer.
Remember the adage – Features tell, benefits sell!
3. The third thing you need is a delivery system for your message. Think of all the different ways you can achieve this, whether that be through Social media, offline advertising, blogging, pay-per-click, tv, radio... get creative and spread the word.
Now that you know the three things you need in order to sell something, ask yourself this:
1. How can I re-engineer my product or service so that it OVER delivers on what I promise?
2. How can I craft a marketing message that enters the conversation already existing in the prospects mind? Understanding your prospects' motivations is one of the first steps to creating compelling communications that cause people to want to buy your products and services.
3. What delivery systems should I use to reach my prospects and customers most effectively? The more media you can use to reach your prospects and customers, the better. Some people get concerned about the cost of using more delivery systems. But remember: If you make more money on the backend, you can afford to spend more to acquire a customer than your competitors can. PLUS, you can use these same delivery systems to deliver more value – and thus get more sales – from EXISTING customers. So don't just think of a delivery system as something used for new customers and prospects. They can, and should, be used to deliver value to your current clients as well.
So, in order to have money flow to you, you need to create value. If you spend enough time focusing on not only delivering great products and services, but more importantly, communicating the value of those products or services, and you start getting them in the hands of other people... then something kicks in where people start referring you and telling other people about you. Money will come once you create value.
Money comes when you create value. And the more value you create in the world, the more money you can make. Be a value creator.
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