Brother, Can You Spare a Dime?

September 21, 2009

McNall

I remember a day last month when I sat in my truck at a stoplight and thought, “I could do what that guy over there is doing and beg for change – and I wouldn’t have to deal with all of the cheapskates and horse patooties of the world anymore.” But then I snapped out of it (before people started honking horns at me) and realized that there would be a whole new set of headaches … not to mention the thought of not showering.

Besides, I already know how to deal with the cheapskates and horse patooties in my industry. Why dodge traffic for new ones?

Look, what is the deal with all of the cheapskates lately? I can understand people who just don’t have the money – the kind of people who shop for Hummers but can only afford a Focus payment. They’re the same ones that want granite and marble, but really should be looking at carpet and Corian®. Those I can deal with.

Then we have the customers, with plenty of money and the need to look good, who want to cut costs by either choosing a cheaper service or negotiating endlessly, thinking we’re all desperate enough to work for free (Shame on them).

First point: When your customer needs to look good, whether they’re a multi-billion-dollar, multinational corporation or local society well-to-dos – they can’t afford to look cheap. So why let them? Why do soooo many vendors give up when the customer says, “Times are tough, we have to cut costs”?

I’ll tell you why – you’re offering sympathy when you should show empathy.

When you sympathize with someone, you feel compassion, and you commiserate. If you see a person on a boat who is seasick, you’ll go over and say that you know how they’re feeling and wouldn’t wish it on your mother-in-law.

When you empathize with someone, you identify with and understand another’s situation, feelings and motives. Going back to the boat – rather than just hang over the rail with your sick compadre and remind him/her of how poor the situation is, you take action to make that person feel better. You get some motion-sickness tabs and a damp towel for cleaning up, because you understand what they need. You take action based on that understanding.

Now how does this illustration of a barf-belching boater help you sell more stone and stone-related services?

Believe me, our customers already know about the bad economy. If we whine and complain with them and tell them our problems, it won’t motivate them into a purchase; it’ll deepen their depression and scare them out of spending money with you.

On the other hand, acknowledge their plight. Then show how looking cheap won’t bring them out of this funk. Show how you can take genuine steps to make them look better; instead of a damp rag to wipe their mouth, polish their foyer instead.

You’ll end up gaining (or retaining) a customer, and one who appreciates that you look out for their interests. And when the money tap loosens up a bit, they’ll trust you – even when every person in business starts jumping on the stone train again, they’ll know you have their best interests at heart.

How many of our customers – and let me be perfectly clear about this, our customers aren’t living in rental homes – aren’t driving around in $20,000 cars. Our customers aren’t buying on the cheap. Our customers want and need to look good.

Second point: You can get your price with cheapskates who try to use the economy to get something for nothing. You know the type. The one’s who will negotiate and negotiate and use any excuse possible for getting something for next to nothing (or, indeed, nothing). They’ll tell you how another restoration company down the street will do it for half your price.

My mind set is to first try to actually figure out if they just don’t have an understanding of comparing apples-to-apples or not. If they do, and they keep on wanting our services for half-price, I usually tell them to choose the other company.

Half of the misers then reply, “But I want it done right!” Checkmate. I look at them gently and say, “So do I. That’s why we have to charge what we do”

If, after that point, they still try to negotiate, I come to the realization that they either want something for nothing or they can’t afford my company’s services.

By the way, this is another reason why we charge for estimates. It tells the customer up-front that we don’t give ourselves away for free.

If being in the stone business was easy, it wouldn’t be called work. I’d rather make sure my company is compensated for what we do than to take on jobs just to be busy. For years I’ve let my competition take those jobs and, for years, I have seen them come and go.

Yes, this year has been tough for me, but my team keeps hustling to make other people look and feel better. As a result, we’ve pulled in one of the largest commercial stone-restoration contracts available in Canada, which started last month.

Nothing comes to those who sit and wax negatively. “Fortune favors the bold,” and the bold are strong enough to tell the customer what they need, and when they need it, without giving it away.

Until next month, keep your stick on the ice.

Tom McNall is founder and owner of Great Northern Stone Care, a Huron Park, Ontario-based stone-cleaning and -restoration company servicing all of southern Ontario. Tom offers corporate and private consultations, serves as a trainer for the Marble Institute of America, and is also on the organization’s board of directors. He can be reached at stone_rx@earthlink.net.