"the internet is killing our business"

[NewbiesDiary]

I'm contacting local business owners, using John Spangler's approach, and a business owner just said to me " nah not interested cause the internet is killing our business!"

WOW! I wasn't seeing that one coming LOL!

He reckons cause of the specials on the internet, people ring him expecting really low prices cause that's what's on the internet and he'll only make $20 profit on a $300 item.

I'd prob could've answered him if I was a bit more confident in this approach, I mentioned the number of people searching online for his service and he said the internet can have em!

Floggin a dead horse there LOL

[freudianslip27]

Some people just don't want to adapt. My aunt is friends with someone who use to own a travel agency. Past tense. She refused to purchase a computer years ago and was simply driven out of business by all those "wacky online services".

Adapt or suffer the consequences!

Matt

[WinsonYeung]

well, there will still be a portion of people not accepting the changes that is happening around them. Soon, they will be taken away by the waves

[ExRat]

Hi Stef,

I don't understand.

I'm contacting local business owners, using John Spangler's approach, and a business owner just said to me " nah not interested cause the internet is killing our business!"

Surely your next questions were -

'So are you going to just allow your business to die, or do you want to tap my brain and see if it's possible for you to get online and compete with these people, by either transferring your business onto the internet, or by setting up a seperate arm that purely sells online?

Perhaps we should look at how they are managing to undercut you and see if there is a way that we can reverse engineer their process, using the internet tools at our disposal?

We could look at ways that we can change your offline business so that it has a unique selling point/identify your existing unique selling points so that these online price-cutters can't compete with you? They are new to the game, you are established offline - surely you have advantages that can be leveraged? You can't let your business die purely over a price challenge?

Repeat - or are you just going to allow these people to take your customers and destroy your business?' Surely you haven't survived this long and built such a great business by quitting at the first price challenge?

Two golden rules for selling, particularly if you find yourself being given an opportunity to pitch to a decision maker -

1) never give up because of one objection (actually, never give up until you are physically ejected/phone slammed down or he tells you that he is happy to watch his business die)

2) objections are buying signals and opportunities to close, by overcoming the objection

Floggin a dead horse there

Those are the opportunities - lesser salespeople will think like that and walk away, allowing you to step in and point out the reasons why the horse isn't actually dead.

HTH

[Jared Alberghini]

Stef,

This sounds like one of my most valuable stubborn customers that I eventually turned around...

Thought you would enjoy this true story;

Offline Gold / Cash Cow Tip #297: Show THEM The Money!

Jared

[MichaelHiles]

Once upon a time, there were these things called buggy whips...

[ss61288]

As hard as it may seem to understand, some business people will just simply not accept change. All that is really saying to me is 'I know there is an external force my competitors are using, but im not bothered'. Very short-term thinking.

[artwebster]

I'm contacting local business owners, using John Spangler's approach, and a business owner just said to me " nah not interested cause the internet is killing our business!"

WOW! I wasn't seeing that one coming LOL!

I have had this response a couple of times and on enquiring further what I found was - it was the inflated costs of internet service providers that was the killer!

Read through all the OLCC forums and what is the one, the major, element that is promoted above all others?

GREED!

I haven't seen anybody talk about what the business owner wants - only how much this chicken can be plucked for! I have seen posts saying that the business owner expects to pay highly for internet services so why not satisfy his expectations?

Some of the major savings I have made for local businesses have been in the area of SEO using keyword tactics (although this is a freebie, life saver as far as I am concerned). Once I point out that they are only appearing at Nº1 or Nº2 in Google because the service provider did his demonstration using sleight of hand, a little 'Ahahhhh!' moment happens.

For example, do a Google search for - red and yellow spotted paint - and then do a Google search for - "red and yellow spotted paint"

Guess who is Nº1 for both terms and then tell me how much this wonderful, Nº1 on Google is going to earn me.

Ah, yes, you say, but we will optimise for the local town name searches. Of course you will, but try that in my town and you will have to resort to doing your Google search using quotation marks. Just the name, Coin, produces millions of results.

Once internet marketers realise that their prospects want only two things:-
to cut down on expenses and
to find more customers (NOT visitiors)
and provide them with a solution, they will realise that, having saved the client money, there is a good chance that additional services might be paid for out of those savings.

[rosetrees]

Sounds to me as if you are up against the same thing I see in some of my students. Fear.

They don't understand computers/internet and this is a defence mechanism. "I'm afraid I won't be able to "do it" so I don't want to."

You need to overcome his fear. Don't be too pushy - but show him the simplest website you have, show him how simple it is for him or you to update and take it from there.

Find out if he has an interest - golf, vintage bottle collecting, rugby, steam trains, whatever. Show him some good sites and the information he can find there. It's a question of engaging his interest. Also, if there are any introductory computer classes in his area, encourage him to attend (or sell him one of my computer courses and teach him yourself.)

[jasdon]

Originally Posted by NewbiesDiary

I'm contacting local business owners, using John Spangler's approach, and a business owner just said to me " nah not interested cause the internet is killing our business!"

WOW! I wasn't seeing that one coming LOL!

He reckons cause of the specials on the internet, people ring him expecting really low prices cause that's what's on the internet and he'll only make $20 profit on a $300 item.

I'd prob could've answered him if I was a bit more confident in this approach, I mentioned the number of people searching online for his service and he said the internet can have em!

Floggin a dead horse there LOL

Wow! You throw him a lifeline and he rejects it - see if he's still in business in 12 months...

[Scott Lundergan]

What a great opportunity to turn him into a lifetime customer

I couldn't imagine having turned down some of my offline customers where the profit margin was $20 because within three months, they have gladly given me $3,000 in exchange for the value I have provided them.

Just some food for thought....

[NewbiesDiary]

Originally Posted by ExRat

Hi Stef,

I don't understand.

Surely your next questions were -

'So are you going to just allow your business to die, or do you want to tap my brain and see if it's possible for you to get online and compete with these people, by either transferring your business onto the internet, or by setting up a seperate arm that purely sells online?

Perhaps we should look at how they are managing to undercut you and see if there is a way that we can reverse engineer their process, using the internet tools at our disposal?

We could look at ways that we can change your offline business so that it has a unique selling point/identify your existing unique selling points so that these online price-cutters can't compete with you? They are new to the game, you are established offline - surely you have advantages that can be leveraged? You can't let your business die purely over a price challenge?

Repeat - or are you just going to allow these people to take your customers and destroy your business?' Surely you haven't survived this long and built such a great business by quitting at the first price challenge?

Two golden rules for selling, particularly if you find yourself being given an opportunity to pitch to a decision maker -

1) never give up because of one objection (actually, never give up until you are physically ejected/phone slammed down or he tells you that he is happy to watch his business die)

2) objections are buying signals and opportunities to close, by overcoming the objection

Those are the opportunities - lesser salespeople will think like that and walk away, allowing you to step in and point out the reasons why the horse isn't actually dead.

HTH

hehe - all the best speeches are made on the way home!

I thought of lots to say AFTER I got off the phone LOL

[grumpyb]

This is not an uncommon attitude at all.
I sell physical products ( i have a huge warehouse full of items) and you would be amazed at how many potential suppliers refuse to do business,they say that if their products become available on the Internet it will kill their traditional Bricks and Mortar type store trade.
What they dont seem to understand is that its going to happen anyway sooner or later and that it would be better to embrace it now than to resist.
By refusing supply to Internet selling companies they are breding opposition as the answer for us is to have a similar product made to compete with them.

I see this frequently and I liken it to King Canute No matter what they do the Tide will still come in

[artwebster]

What they dont seem to understand is that its going to happen anyway sooner or later and that it would be better to embrace it now than to resist.

What an interesting premise. Does that apply to the fact that we are all going to die one day?

[rlnorthcutt]

Heya Stef,

This is great! I appreciate new "rejections" that I hadn't thought of before... because once I figure it out it makes me that much more skilled.

In the martial arts, a common theme is to redirect the energy of an attack and thus defeat your opponent. Now - I don't like to suggest that a client is an opponent to me... but often they are their own biggest opponent! My job is to help them see how to help themselves.

Here is a basic formula for being able to respond quickly BEFORE the drive home

STEP 1: SET THE STANCE
Its always best to clarify what their "issue" is by restating it AND getting them to affirm it:
"So, your issue is that clients from online sources will expect a price that you can't give them?"
Even if this takes awhile to pin down - PIN IT DOWN... get to the root of their issue, and get them to commit to the stance.

STEP 2: SET THEM TO FALL
This is a bit negative in description, but the concept is sound. You need to find out if this is the ONLY issue, or is they have others.:
"Is that the only REAL issue you have with internet marketing? I just want to be sure I understand... no one knows your business as well as you do"
Let them list EVERY issue they can think of, but usually if you put them on the spot, they will only be able to come up with one or two. Just be sure to reaffirm each one and pin it down.

STEP 3: KNOCK OUT THE SUPPORTS
Their argument is based on the fallacious "reasons"... so now you know what these reasons are AND you have gotten them to commit to them. So, they are leaning their whole argument on the issues. Just knock them down one by one, and their whole argument falls apart:

"I understand that you are not interested in wasting time with online customers who are only looking for the cheapest prices... but what about those online customers that want what YOU have to offer? Service, expertise, a local business and the ability to come talk to a REAL person... those are the people you WANT to find, and believe me, they WANT to find you too! My job is not just to generate leads... its to help you generate the RIGHT leads for your business. I guarantee you that those customers that are looking for you WILL go to your competition if they can't find you... so lets help them find you!

Tell them up front what you do and what your prices are... we can get rid of the time wasters and just focus on the people you WANT to work with. We can also help you use technology to keep in touch with your existing customers (if thats what they want) to make it EASY for them to come back and work with you again. People sometimes need a gentle reminder that you are here, and thats what I do.

Look - you can probably get by without even doing any Internet Marketing, but how long do you think that will last? Instead of seeing that the Internet is killing your business - fight back! Take control of your own corner of cyberspace where YOU set the rules. Your perfect customer is out there waiting for you...

So help me again - what IS your perfect customer? Who are we looking for to bring into your store...."

The whole time you are tying them to their arguments, you are also buying time to formulate a response. No need to get too much into it... given enough time, your brain will naturally begin to give you the reasons you need (like by the time you are driving home!).

Now - the most stubborn person will still refuse to change their mind... but thats ok. Just give them your card, tell them to let you know if they change their mind, and schedule to contact them again in 2-3 months.

You have planted a seed of hope, and sometimes it takes awhile to sprout. But at the least, you have sharpened your tools and improved your "kung fu"

Ron