Yesterday, I found myself in an interesting conversation that confirmed my suspicions on the laziness of how people conduct their business practices.
Here’s the conversation:
Me: ‘The reason why I didn’t enjoy working for my previous company is because they ran their business on kickbacks and commissions, it didn’t make any sense to me.’
Her: ‘Kickbacks and commissions are normal on the commercial world. It’s normal that entertainment expenses go up to 6 thousand a night.’
Me: ‘Well, I disagree. There are ways to go about it that don’t require kickbacks or commissions.’
Her: ‘You’d better sticking to being a psychologist them (I had just finished a class on psychology), and not go into the commercial world.’
I wanted to bring up Jack Ma’s example of how choose he fired two of his biggest account managers who received kickbacks, despite bringing in the majority of the company’s revenue.
Jack Ma on How he Fire Two Employees:
The Real Reason Why You’re Giving Kickback: Laziness
Here’s what I really thought:
She never bothered to craft out a unique selling proposition for her company and products. She never bothered to look into different marketing strategies such as SEO, Facebook marketing or other strategies.
There’s no narrative behind her products and services. She probably didn’t know the concept of positioning and assumed that every sale is made on commission and kickbacks.
Through my days as a freelance SEO consultant in Singapore, I have never once offered kickbacks or took in clients that used my competitor’s prices as a manner of negotiating the price of my services.
Secondly, if you’re constantly giving out kick backs, your profit margin goes down. If you’re constantly blowing your credit card bill on entertainment expenses, your profit margin goes down.
You’re not really a competitive business. You’re only getting sales because you’re giving your clients cashback benefits.
There are so many ways to compete and differentiate
The opposite of laziness is excellence. They are so many ways you can differentiate, increase market reach for your business. If you’re not putting in the time to figure this out, you’re merely being lazy.
When was the last time you invested in your own education in business?
I’m pretty sure that lady haven’t read a single blog article or attended any business class in the last 6 months.
‘I want to make a million dollars, but I won’t read a book to know how to get there’. It’s an extremely common mindset.
Here are a couple of articles you can steal to differentiate yourself:
- Do your customer research upfront: identifying their hopes, dreams and fear
- Sell on benefits not features
- Understand the psychology of your audience
- Learn how to stand out in a crowded niche
Hopefully, with these, you’ll have honor in how you conduct your business practices, and not rely on kickbacks or commissions for sales.
I teach all of this in my SEO course.