To kill low cost competition; TELL POTENTIAL CUSTOMERS:
Warranty means nothing from a fly by night manufacturer
Have you ever had a new product fail? If it's cheap and inconsequential you blow it off. It doesn't matter. Have you ever been in a vehicle that fails in the middle of nowhere? Your perspective changes when quality matters.
When products fail, people don't buy them again. They don't care about warranty. Some of the worst products in the world have great warranties. Do you enjoy the time it takes returning a product for warranty service?
People pay more for products that don't fail...and they should. The trick is telling customers your products won't fail. HOW do you do that?
To kill low cost competition; TELL POTENTIAL CUSTOMERS:
We make our product work for you at all costs
QUALITY in service during warranty is everything
Make it right for your customer's customers. Repair all damages. Turn disaster into a sales and advertising blessing.
In our silly little idyllic analogy, let's imagine we bought our boat from "Better Boat Company" instead, and their boat also fails in the middle of the ocean.
"Better Boat Company" delivers a new boat to us in the middle of the ocean and trades it for the old. Although we are only one day behind in our scheduled week trip, they pay our customers, the passengers, for half the cost of their cruise.
Customers stand amazed at this level of service. They hardly realize there was a failure at all. The passengers have been enjoying fishing and swimming in the tropical water, then they transferred over to the new boat, and off they went. In fact the event adds excitement to the journey.
How can "Better Company" afford to do this? How can they not? If they did not retract that product it would have sunk on the next outing. "Better Boat Company" took the product back to test and found the drive shaft had a defective link in it. They recalled other boats with defective links and saved many boats from potentially sinking.
OUR COMPANY survives, not only do we survive but we prosper and buy ten more boats from "Better Boat Company." Who else would we buy from? We did not lose our profits by having to refund our customers, pay for travel, unused supplies and a big towing bill.
Everybody is saved...our customers receive a perfect product with all damages repaired. We suffer no loses and in fact prosper from positive publicity for expertly handling the potential problem.
"Better Company" gets rave publicity that raises their image as a quality manufacturer. They get an order for ten more boats and save their company's good name by preventing subsequent failures.
"Good Deal Companies" can't afford this level of service. They have too many failures. It would cost too much.
On the other hand "Better Companies" have hard earned quality controlled systems that take time and money to establish but will produce product that will hardly ever fail.
Failure for "Better Companies" is a one in a million opportunity
that only makes sense they turn around into positive publicity
the STRONGEST advertising investment possibly made
In this series of presentations:
I have exemplified how quality systems and service are used to compete against low cost competitors offering fast delivery
I have demonstrated unique analytical skills that enable me to produce powerful advertisement and sales presentations for technical manufacturers or sales firms
