I’m reading a GREAT book called, “Start with Why”. I’m only a few chapters in but I’ve already gleaned tons of insights.
The author, Simon Sinek takes a look at why some businesses develop strong loyalty while others don’t. He takes a look at companies like Apple and Harley Davidson. These companies have an extremely loyal following. Their customers are willing to pay more for their products and will fanatically defend their choice to any naysayers.
So what is it about these companies? Sinek makes the point that these companies are focused on the “WHY” not the “WHAT” or “HOW”. If a company can focus on inspiring people to become customers instead of manipulating them, those new customers will be much more loyal.
Here’s a quote from his book, “..and so the downward spiral of price addition sets in. In the drug world, these addicts are called junkies. In the business world, we call them commodities. Insurance. Home computers. Mobile phone service.” Sinek is making the point that insurance has become a commodity and those who sell insurance do so by focusing on price. This is a game you cannot win. Maybe you’ll get the customer, but another insurance company or agent will always have a better price (or be better at fooling your customer they do). Once this carrot is dangled in front of your customer, they’re gone.
The solution, according to the book is to “Start with Why”. People buy WHY you do things not WHAT you do. You must clearly articulate your WHY. It’s your purpose, cause or belief. By starting with WHY you’ll create greater customer loyalty because the WHAT will be secondary and you won’t have to use the manipulation techniques to get that new customers, you’ll INSPIRE them.