OLD BUSINESS MODELS
I sat in a meeting this afternoon and listened to an executive committee buy into an old business model that has failed them many times in the past. In discussing this meeting with a friend he introduced me to the term “Growth Hacking” with the following definition: “Growth hacking is a process pioneered by today’s fastest growing companies to drive rapid and sustainable customer and growth revenue.”
“Companies are under enormous pressure to become more agile or they will stop growing and lose market share to more nimble competitors. Agility is no longer a way to get ahead; it’s a necessity for survival.” Quote from Sean Ellis www.growthhackers.com. I bought the book today: Hacking Growth by Sean Ellis. As I read the book I will share the highlights in future blogs and maybe even create an educational opportunity for our members.
After dinner I watched part of a National Geographic series entitled “Year One Million”. The topic was Artificial intelligence (AI), where it is now and what it will look like in the future.
This entire experience made me realize how important it is to differentiate, not by doing the same thing a different way but by applying new concepts to every aspect of our business starting with the updating of the products/services that we offer. Taking that one step further, we have to rethink our marketing, delivery methods, communications, customer acquisition and retention.
Last week I experienced a different model for a car wash. Posted on a busy street was a sign reading “grand opening, free car wash today.” Free is a very compelling word so I got in line with a dozen other cars taking advantage of the free wash. As I approached the entrance to the car wash I was greeted by a very polite, smiling person who welcomed me and shared some innovative car wash membership options. I was a captive audience so I listened to a very brief, no pressure presentation. For $16 per month, on a year contract, I would be entitled to unlimited car washes. My observation was that at least 50% or more of those in line were purchasing a car wash package.
This week, as I drove by the same car wash, the “free car wash sign was still up, and there was a long line of cars waiting for the free wash. I hope that they leave the sign up as long as the city allows. They are building a great membership business, and once the signs come down the word of mouth marketing will take over. Perhaps the next sign will say “download our free app for a free car wash”.
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