In my previous post I wrote about how a Mint helped one my of my client's involved in a royalty dispute. This made me think about all the companies I've audited, advised, and reviewed over the past 25 years as well as the five that I worked for as an employee.
Each company is different. It has a different vibe and spirit to it imbued by the product or service offered and the people surrounding it. The company as a separate entity is a challenging subject and incredibly important on a macro level. Rather than getting into the laws surrounding business entities, I'd like to start with why money changes hands in the first place: to fill a need.
Everything starts from nothing. Someone had an idea that fueled her/him to take action and in that eagerness and desire, a product or service was offered and customers found. It's like magic -- truly. I don't write that lightly, I write that with a knowing awe that that is how it works. And just as easily, the money flow slows down and stops when they stop following basic principles and awareness of cause and effect.
So today I give you my top five stars. These are the top traits I've observed in the best run businesses, households, and individuals I've worked with over 25 years.
Number One: Originality/Creativity
All purposes start with an idea or thinking outside of the box. Cottage industries become huge industries because one person saw a need that wasn't being fulfilled and put themselves out there. Steve Jobs and Bill Gates are good examples. Each offerred a completely different way of looking at computers. Martha Stewart saw a need/niche and quickly built an empire, changing the way "woman's work" had been perceived and causing a marketing upheavel in the domestic product industry. Originatlity and creativity are not reserved for brand new contraptions or ideas, it also comes from knowing your product, niche, and people served (see Number Three). Sustainable originality and creativity is difficult in that once a product or service becomes mainstream, most people and businesses do their best to remain competitive in the market place -- usually leading to a lack of originality and creativity. People and companies who stay original and creative, not for the sake of appearing original and creative, rather because they believe in their product and service and continually evolve or improve maintain and grow their customer base as well.
Number Two: Price
This goes back to the Base Equivalent Value. How much is it worth to you and others? If a a painting by Leonardo da Vinci were discovered today, how much would it be worth? If you needed to buy a new kiln for your pottery business, would you buy from the manufacturer you knew put out the best product with warranty or one from a newer manufacturer that had mixed reviews and was $200 less expensive? This doesn't have anything to do with self-esteem or worth, it just means the price requested is out of whack with the product or service delivered. I put this as number two because it does drive actions and behaviors. Companies and people that deliver what they promise, at a price that others feel is fair and commensurate with the money they've let go, succeed in the long-run. Those that promise the world, take money, and fail to deliver or deliver a product that is deemed a "rip-off" disappear pretty quickly. Those who price their product or service too low, find demand exceeds their capacity, which causes either significant cash outflow and increased debt to quickly grow their infrastructure or customer service suffers (see Number Three). If it's a really good idea, underpriced, then others will step in and fill the need.
Number Three: Customer Service
Critical for all businesses. There is that moment in time where a great product or service is offerred, priced right, and delivered. Inevitably though, something might cause a hiccup. Perhaps it was a shipping address input incorrectly, a missing part from assembly package. Someone calls with a request or complaint. The best companies are those that know the smallest complaints can snowball into bigger problems if not handled quickly and with a positive and understanding attitude. People buy from companies they trust and that they know will resolve any issues or errors fairly and quickly.
Number Four: Consistency
This doesn't mean assembly line type systems or unconscious habits, rather it means continually doing what made the product or service unique and original to begin with. An artist who consistently creates something unique and beautiful is an example of this. They may not consistently produce on a calendar schedule, yet everyday they do something towards their art. It is the same for writers, the same for shoe shiners. The best consistently deliver what they are known for and their customers know, respect, and trust the consistency behind this. So the shoe-shiner may know that they need to consistently show-up everyday at their work as that is what their customers expect. For someone creating a one-of-a-kind piece of sculpture for a park, they and their customers know that daily progress is being made. Consistency comes from the people offering the product or service. Their customers and clients trust they will "show-up" everyday behind that product or service.
Number Five: Genuine
This may be a fairly new term used to describe what has been around since the beginning of humanity. People first choose to buy from businesses and people they feel can be trusted and have their best interest at heart. If two products are absolutely equal/identical in make, model, and price, people will buy from the person or business that they feel provides them the most genuine interaction. No up-selling or cross-selling, just straightforward, "you need this product, we make it, and are happy to sell it to you." That's all. Ironically with social media, so much of it is based on "being genuine" yet is the furthest from what made the product or service to begin with. The people and companies who are more about their product and service and how it serves the world and less about their brand and image do best. This doesn't mean they don't utilize social media, rather, they use social media to further their product or service. It's not all about the brand/image, it's about what can they provide that serves their customers and helps them in a non-intrusive way, genuinely.