How an Eight Year Old Kid Can Outsell Grownups

I'll give you $5 for the kid!

Image by SMN via Flickr

When I was a kid, my mom was active in the League of Women Voters (a non-partisan organization devoted to increasing voter registration and lobbying on selected issues).

One day she dragged me along to help hand out voter information leaflets in the local shopping mall.

Plenty of traffic, tough crowd

We set up a table in one of the corridors in the mall.  We had big stacks of leaflets with voting information, background on the candidates running that year, and information on the important issues. Behind us, there were signs “Help Hire a President.”

The mall had lots of traffic, but it was hard to attract attention. There were plenty of people, yes, but it wasn’t really the right audience. People were focused on bargains and shopping, not voting. If we sat there – nothing. If we stood and held out the pamphlets – nothing.

Talk to them, not at them

On the other hand, if we asked a question, such as “Are you planning to vote?”, they’d stop for a second and listen.  I later found out that this was also likely to get them to actually go out and vote on election day.  Robert Caldini (author of Influence) tried this exact same test about ten years later and tracked the results.  It turned out that once someone has publicly (or mentally) committed to do something, they are more likely to do it.

Engage your audience

We got even better results with an open-ended question, or one asking for their opinion, “What do you think about the landfill proposal?” (the county wanted to build one near the water supply – such bright bulbs they were). That required that they stop and think, give us a reply, and think about what the consequences of that landfill would be.

Don’t assume – test

I noticed which questions got the best response, and started asking only those. Mom did too.  I didn’t know it at the time, but it was my first split test.

Because I stopped, listened, and noticed what was happening my mom and I (and the others) gave out a lot  of pamphlets and registration information.  Success!

What the New York Times Could Learn from a Lingerie Blog About Tribe Building

Bridal Trousseaux; Some Dainty Lingerie

Image via Wikipedia

The New York Times recently announced that they would start charging for access to their online paper.

Beginning March 28, if you want to read more than 10 articles monthly, you have to pay at least $15 for the privilege.

I like reading The Times, but not enough to subscribe to the paper version (the delivery is terrible and then I have to worry about getting rid of the old papers).

Online marketing and paywalls

Charging for something that used to be free is always tricky.  The best way to approach it is to offer additional goodies or some sort of extras for subscribing, such as a free book, or no ads or special access to extra features.

Sadly, for all their smarts, the paper isn’t doing any of those things. They’re not adding any value either.  You pay and still get ads.  There’s no extra goodies (insider access or points or recognition of any kind).

Is there added value?

Unfortunately for The Times, internet users have been “trained” that online is free.  That you pay when  you get something extra, or special (ad-free viewing, or badges, or priority service).  The few news paywalls that have worked are for specialized information, or instances where a company is paying for the subscription and the consumer doesn’t “feel” it.

The story about the fees got over 2,000 comments (before they closed it!).  2,000 comments.  That’s one heck of a tribe – if they only wanted to embrace it.

I’ve been reading The Times for years, but I think I’ll start reading CNN, NPR, and the BBC instead. They’re not giving me anything special or unique.  I can get news elsewhere.

Young lingerie addict v. “the old gray lady”

On the other hand, I know a woman in her twenties who runs a growing lingerie blog.  She’s young, but she’s figured out something the “old gray lady” has completely missed.

She’s got a facebook fan page/wall.  She posts pictures and videos.  She interacts, she guest posts.  She responds to comments, she tweets, and has a tumblr.  She’s building a brand and a crowd of loyal fans.  Do they like her?  Yes they do.  Her blog is free, but she offers other services that aren’t.  General information is free.  Personal attention or merchandise costs money.

Would they miss her if she disappeared?  They would. Unlike the Times, she’s giving them something they can’t get elsewhere.

If you wanted to build your tribe (loyal buyers), what would you do?  Start a recognition program (client of the month)?  Offer badges to top commenters on your blog?  Welcome new readers? Extra access/higher priority service for those who pay more?

What do you think the Times should have done?

Revealed: What’s This Object Worth? How to Value Your Freelance Work

 Picasso Guitar at MOMA

Image by Nika via Flickr

Reading the comments on Friday’s post was very interesting. It’s amazing what happens when you take things out of context!

For the record, the object in question is a sculpture by Pablo Picasso. It hangs in the Museum of Modern Art in New York.

Because society (and art lovers) have decided that Picasso works are rare, remarkable, and valuable, the object is worth millions.  If I recreated the artwork, it would be worth much less.

How to charge for your freelance work?

I asked this question not to make a point about art, but to make one about value.  There was a discussion in a forum I belong to about what to charge.  Someone was hired to fix a problem, estimated at three days worth of work.  He solved it in half an hour.  The question was what was that worth.

Now, obviously, payment terms should have been decided in advance, but the responses were interesting.

“If you work half an hour, charge for half an hour”

“Contract work is hourly”

“Maybe if you charge less, they will like you and hire you again.”

My argument?  If you’re charging by the hour, you’re short-changing yourself.

Knowledge for money, not time

Here’s another example.  Picasso took “a shovel, a piece of twisted wicker, two forks, a gas spigot, screw nuts and a spike.” He put the pieces together and then cast them in bronze to make a bird. Maybe a few hours work? It sold at Sotheby’s for $19,193,000!! Imagine if he’d charged $50 an hour for that bird sculpture. Or the guitar.

Time isn’t the point.  Expertise, knowledge, and value of the work is. You’ve got to charge for value – what they’ve saved by getting you to fix the problem, or what they’ve earned by getting you to change something.

Picasso’s own take on time and talent

Am I right?  Do you agree?  Anyone want to join me at the museum to see for yourself?

Five Books I Can’t Live Without

Forget those newfangled e-books.  These are real, honest paper books (with spines – have you noticed ebooks are spineless?).  Anyway, I find myself referring to them over and over.  The first few make sense, the last one may surprise you.

Roget’s International Thesaurus

I write (a lot), and have been known to spend half an hour searching for just the right word.  I like this version because it has a quick reference in the back (with a few synonyms for each word), and then a page reference to more extensive suggestions.  Arranging the words by meaning (rather than alphabetically) saves a lot of time.  You can see all the meanings for “delight” in one place, instead of having to page back and forth – and you can find just the right kind of delight (charm, thrill, gladden). It’s, well, delightful.

The Copywriter’s Handbook

Write copy that sells. Period. Bob Bly’s book is old (no reference to blogs or twitter), but the advice is still solid. People haven’t really changed (the tools have). My copy is adorned with about a hundred yellow sticky notes.

Confessions of an Advertising Man

Bet you didn’t know David Ogilvy was a spy. He was. He was also the original “Mad Man.” Full of tips on how to write powerful copy, finding the hidden benefits in your client’s products, how to illustrate ads (and design them). It’s even fun to read.

Tested Advertising Methods

Don’t just guess, test! See if headline A is really better than headline B. That’s the beauty (in my opinion) of direct marketing (or internet marketing – same thing – just faster) – you can tell exactly why something worked. Compare the results, see which got more responses, more clicks, or more sales. Yes, it was written a while ago, but the principles are still valid.

Mac OS X Snow Leopard: The Missing Manual

My new best friend. After the new year’s eve computer meltdown, I jumped ahead two operating systems (from Tiger to Snow Leopard). Things are moved around, there are new functions (oooh… garage band guitar… pretty….), new applications (time machine – gotta have time machine!) and a whole new learning curve. Thank goodness David Pogue’s writing is easy to understand, without a lot of techno mumbo-jumbo.

These are mine. What are yours? *

*Buy one, and I get a milkshake.

Get the Prices You Deserve

MoneyThere’s an old technique that can help you charge more money, and still get more sales. It’s called framing your prices.  The idea is to take advantage of a bit of psychology.

You see, we think we make rational decisions, but we really don’t.

The concept behind price framing is to change the perception of how much something is worth.  A $500 mixer looks expensive until you compare it to a $1500 product. Sometimes, changing the way the price is presented can make a difference too.  A $50/month membership seems a lot cheaper than one for $600p per year (even though the total cost is the same).

Another way to reframe your prices is to bundle products together.  Here’s an example of how it works (I read this story on a site recently, can’t remember where, if anyone recognizes it, please holler and I’ll link to it).

Someone started a virtual cooking school. He started with an ebook for $37. It didn’t sell very well. So, instead of cutting the price, he did something a bit different. He developed a series of videos to go along with the book. The combination cost $77. Sales of the book took off.

Why higher prices got more sales

The $37 ebook looked expensive by itself. But compared against the video/book package, it looked like a bargain. Here’s another example. If you tell a potential customer, “Rewriting your marketing email will cost $300, or we can review your existing email for only $150,” the $150 looks cheap.

Apple does it too

Remember when Steve Jobs introduced the first iPad?  He said that the experts thought the price ought to be $999… then he announced it was “only” $499.  You hear that and think you just saved $500, even though it never cost $999 and that number was pulled out of the air.  Or, think of “list prices.”  If the list price for a cordless telephone  on Amazon is $49.00, but they’re selling it for $29.00, you feel you just saved money.  Never mind that nobody anywhere is selling it for $49.

Try Olympic pricing

Try what Michel Fortin calls “olympic pricing.”  That means  three price levels (bronze, silver, and gold – or budget, standard, and deluxe).  Most people will pick the middle one.  A few will take the budget, and some will want the deluxe. If you only offered the cheapest option, you’d miss out on all those other sales.