Quite a Bit + All the Time = A Whole Bunch

Back in my younger business days – my kids think it was shortly after dirt was invented – I was a sales manager at a communications company. As a 20-something kid I had limitless energy, an oversized ego, great wisdom and visions of reaching the “top” in a few months. Einstein and I were peers and Everest was an anthill. Unfortunately, I was too ignorant to realize that I possessed little business savvy and only a teaspoon of common sense. I like to think I was “open to learning” as opposed to being as gullible as a two-year old. And learning came often in those days...

 For example, I was informed by my ace salesman that we could easily “double” our sales; “double them!” It seems that a “ton” of businesses said they wished we had our phone systems in a color other than black or beige. If we had our stuff in blue – my favorite color, made sense to me – we could unload a “boatload” of equipment. Not wanting to get overexcited, I asked another salesman if he knew of this untapped goldmine. “Oh sure, we hear it ‘all the time’” he nonchalantly replied. “Everybody wants colors.” Now that is confirmation!

 Oh man, this was it! My time to shine! The sure thing! “Tons” of customers, “hear it all the time”, extra sales by the “boatload“ and “everybody” wants it?  Look out opportunity, I’m on the high dive and jumping in with both feet!

 After taking the time to do a reasonable analysis – I felt 15 minutes was sufficient – I nonchalantly ambled at warp speed into my boss’s office. There I presented my discovery, actually it was more like an enlightenment, a revelation. All we had to do was invest an itty bit of money and we would, well…we probably would have to deal with higher tax brackets. I had my information locked and loaded and I was ready for any questions.

 That is any questions except; “Exactly how many customers are a ‘ton’ or a ‘boatload’?”…uuhhh.  “When you say you ‘hear it all the time’ and ‘everybody’ wants it; exactly how many customers are we talking about – what percent?”…errrr.  “Even if you’re right about customers wanting it, how many additional will buy if we offer it?”…splat. Turns out my great opportunity and I were landing in an empty pool.

 So what’s the point of my meanderings here?

1. Never, never – I’ll say it again, never – base your business decisions on insufficient, unmeasured, “feels right” information. I’ve seen far too many companies charge off in the wrong direction, waste countless dollars, and lose sight of their mission; all because one or two customers, or employees, distorted the picture. Remember, the squeaky wheel may get the grease but you shouldn’t let it steer the wagon.  
2. Your market research, regardless of how you conduct it, has to contain a large enough sample of your audience for it to have at least some reliability. Ignore your “gut feeling” and listen to what your market is telling you.
3. In many cases – I said many cases, not all – employees, including the leadership, are not the best resources for new product and services ideas. Why? They are not “typical” customers. They are much more informed than your everyday Jane or Joe Customer and are therefore looking at things from a different buying perspective.

 And one final thought, when someone has a “no brainer” idea make sure brains were used in coming up with it.