The Internet vs. Brick-and-Morter (or The Times They Are A Changin’)
I continually hear businesses complain about how Internet companies are stealing their business--that it just isn't cost-effective to do business any more. Boo Hoo!
Here's a story for you. As an amateur photographer, I am constantly in the market for equipment upgrades and accessories to maximize and optimize my photographs and experience. I have window-shopped several of the local establishments here in Denver, both their new and used departments. I like to patronize the local shops for several reasons. First of all being convenience, then because they ARE local and I like to see businesses succeed.
The other day on impulse, I bought a used lens from one of the local Denver shops at a reasonable price. It wasn't a steal, I could've gotten it cheaper elsewhere (keh.com in particular), but they insisted on the price and they were offering a six-month warranty. Cool, I couldn't really quibble over $25 for a $850 purchase! Especially when there's lag-time and shipping costs involved from an Internet company.
The next morning, dork that I am, I got cold feet as I need to sell a few things before I can truly fund a hobby purchase of this nature (fellow photographers understand what I mean) so I attempted to return my recent acquisition not even 24 hours later. That's when things got ugly.
In attempting to make a return to this local establishment, I was presented with a statement on the bottom of my own receipt: store credit only on returned items over $100 in value. Right--who reads their receipt? And at that point it's too late! Besides, what can you buy in a camera store for less-than $100? Then I was presented with a 15% restocking fee (about $120). Unacceptable. I negotiated the fees down to about $40--they had to be compensated for the Visa fees--still feeling that was too much. I ended up getting a check from them, negotiating the fees down to $20.73 to compensate them for one-way Visa charges. It was a MAJOR hassle in my opinion.
Now if I'd bought the lens from one of the reputable photo dealers on the Internet, keh.com, adorama.com, or bhphoto.com, I would have had at the very least a 7-day no-quibble return window. But also would've been out return shipping. However, I wouldn't be hassled over why I was returning it--whether it was a problem with the equipment or not, etc. Neither would I be presented with a restocking fee nor would I have to quibble over Visa fees!
It is interesting to note that ALL of the fore-mentioned companies have a brick-and-mortar presence. I'm sure they still pay Visa fees. And I'm sure people purchase items to shoot an event or stuff around the house then return them.
So I ask you... do you think I'll be returning to patronize that particular local camera store? Do you think I'm being unfair? I think businesses need to catch up with the times and consider that local stores CAN compete when they offer truly great customer service, convenience and friendliness. This business offers very little, if any, of that. Bummer.
As far as I'm concerned, if you want to stay in business now days, you need to pay attention to what's going on, how you fit into that, and what unique benefits you provide--focus on those, providing even more of what you're good at. Or you can be stingy, focused on lack, and go out of business.
The Absurdity of the “Cadillac Pick-Up”
Over thirty years ago (I won't tell you how old I am), my dear old grandfather said to me, "Honey boy, if they ever make a Cadillac Pick'em Up, I'm going to buy me one!" Knowing full well, of course, that "they ain't ever gonna make one, you know?"
Now, my grandpa (may he rest in peace) was a true maverick. Not in the new, political sense where one pretends to be different than an incumbent. But someone who holds an opinion and sticks with it come hell or high water, if you know what I mean. A rebel who smoked like a chimney, swore like a sailor, but loved like a saint. Yesteryear stories encompassed the gamut between being on board ship in the Big War and participating in dancing contests with his betrothed, picking hops and working construction. So I ask you, why did he think it was so absurd to conceive of a Cadillac Pick-Up? We used to chuckle about the concept quite regularly while we harvested wood for the winter stove.
If it's true that the deceased actually roll over in their graves when something outrageous happens, grandpa is doing somersaults presently because of the adjacent picture. Here's your Cadillac Pick-up, Grampa:
The absurd Cadillac Pick'em-Up
I wish like crazy that GM could be like other businesses, and disappear when they make stupid business decisions! Cadillac doesn't mean "pick-up truck." It doesn't mean "luxury." It means "big, comfortable, roomy, luxurious car." Duh and good riddance, GM. I'm ready for an American car company that gets it. Quality, innovation and target marketing.
Positioning, Branding and the Demise of the American Automobile
As I drove to work this morning, I saw a black Pontiac Solstice on the highway. Nice car! The convertible top was up due to the temperature here in Denver this morning. Then directly in front of it, I saw a Lincoln LT pickup truck, which got me to thinking about the demise of the American automobile manufacturers. First of all, I thought, "Duh!" My grandfather said many times that he was waiting for the day when they'd make a Cadillac pickup. Too bad he wasn't around to see it. But my point is that he only said it because it was completely ridiculous. Caddilac and pickup don't mix. Cadillac means "big, luxury car."
So what's the difference between Cadillac, Pontiac, Oldsmobile, Chevrolet, and GMC? What are the differentiating factors in deciding to buy a Lincoln, Mazda, or Jaguar over a Ford? Or for that matter, why would you buy a Passat over an Audi A4 (or visa versa)? And who ever thought Porsche meant "high performance SUV"????! Now we know why Porsche profits have been suffering over the last few years. And if the Cayanne has improved them, it's short lived.
Back to that Solstice... Pontiac's tag line has been in recent years, "We build excitement." Cool. I say go with it! And that Solstice looked pretty exciting. I see that on their website, they've chosen, "Pontiac is car." But they also build SUVs. Hmm... something to think about.
Pretty Exciting Looking... The Pontiac Solstice
The foreign auto makers have done significantly better in branding and positioning, me thinks. While Toyota does build cars, trucks and SUVs (which, IMHO is a mistake to brand them the same), they have somehow managed to hold the position of "dependable," "long lasting" or "quality" vehicles. So, now people are willing to pay a premium price for their foreign-made automobile in hopes of getting more "value" out of it in the long run.
American auto makers wake up! Stop creating the cross-over confusion, utilize our American enginuity and resourcefulness to build a better product, and differentiate your brands! Long live the Solstice!
Improving Business from the “Bottom” Up
OK, I'm chapped. Both literally and figuratively. I'm continuously amused at how businesses refuse to take care of their "bottom" line by skimping on toilet paper quality! Let's face it, most facilities management departments mistake 80 grit to mean "higher quality" or something... I think my current company went "all out" for its employees and ponied up for only 100 grit and I've certainly worked at places were 60 grit was the norm. But c'mon! Do they think if they provide "real" TP that we'll stock up and take some home? Maybe it's to discourage rest room breaks. Or is it just a money decision--buying the cheapest thing that could possibly work?
Hmm... what are the financial ramifications of all employees running around with a constant rash? I wager there would be less distraction, higher satisfaction levels, longer hours worked, and increased loyalty just from a simple toilet paper upgrade.
What do you think?
