We can tell whether a business is going to be successful based on their language. Here’s why.
What’s In This Episode?
- We can tell whether a business is going to be successful based on their language (1:10)
- Two Kinds of People (2:30)
- “People” Not “Profit” (5:32)
- It’s 7x More Expensive To Acquire Than Retain (7:10)
- Sell Yourself Before Your Product (9:44)
- Customer-Centric Communitcation (11:30)
- Humanise Yourself With Live Chat (13:40)
- Leverage Knowledge Bases & FAQs (16:30)
- How To Change Your Mindset (17:37)
- Treat Customers Like Valued Partners (19:05)
Josh: Today we are exploring some of the psychological, subconscious things that we have noticed that really determine the success of your business.
Welcome to Creative Juices, the show where we help you feel personally confident about your online presence.
I’m your host and today I’m looking across the table at Julz.
Julz: Yeah! G’day Josh.
Josh: How you doing?
Julz: Good mate, I’m good!
Josh: So today we are talking about something a little bit different. And all that we’ve got is a few statistics in front of us, so we’re just going to be bouncing off each other and exploring this idea. And the idea is something that Julz, you’ve picked up on through your years and years of experience in web design and really business consulting. And so, what is that idea?
Julz: Yeah. I mean just dealing with people like day in day out, and you know, we have lots of conversations, with lots of different people, and lots of different industries, and I guess it’s the language.
Josh: The language?
Julz: …that comes across. Yeah.
Josh: Like, we were just chatting the other day and you were mentioning that you can really tell now whether we would be able to work with someone, and whether a business owner will actually be successful just based on their language.
Julz: Yeah, absolutely! I mean straight off their first point of contact, often we can read between the lines on what people are saying. Sometimes we don’t get it, but more like I’d say 90% of the time we can tell what it’s going to be like working with the person.
Josh: Absolutely! And so, it’s a pretty big claim to say that we can tell whether someone’s going to be successful based on their language, but how about… let’s explore?
Julz: I should say…
Josh: What do you mean?
Julz: Yeah. I mean, I should precursor that. Like obviously working in web design and things like that, like I have high intuition as well. So it’s a personality thing.
Josh: You have to know exactly what a client wants.
Julz: Well you do in a way. It’s connecting a lot of dots very quickly, being able to see and understand what they want very quickly. It takes a high level of intuition, and that’s not to sound like a… you know, I’m so great, but it’s just the way that my brain operates for some reason. But…
Josh: Okay. So let’s explore this language a bit. When you say you can tell, like what are the differences? Let’s split them up into two groups, one group who we listen to and we go oh, these guys are going to struggle or they’re not really… And then the other group, you know, these people speak the language you’re thinking about and are generally successful.
Julz: Yeah, I guess I mean the most obvious one always comes down to budget and that kind of language. Like whenever somebody approaches us that has heavy emphasis on the bottom line, or we don’t have a lot of funding, or you know, there’s budget restraints, they might mention that even two or three times within you know the space of a couple of sentences. So you can tell straight off the bat that they’re going to be like, this could be a hard thing to… not upsell, but for them to be able to see the value because they’re struggling, or they’ve come into this conversation with a preconceived thought that this is going to be a really expensive process.
Josh: Yeah. And generally, the people who are coming in talking about budget, like what’s the budget of this website, what’s the budget of this thing, it also reflects itself in other areas of their business that we’ve noticed, that…
Josh: …it’s all about that bottom line. It’s all about the profit. It’s all about… It’s not really about the customer. It’s more about how many numbers can I get on my book.
Julz: And it creates actually an unhealthy pressure… an unhealthy pressure on them, but also an unhealthy pressure on the people that they’re dealing with. And we’ve seen this in a couple of instances particularly when it comes to paid advertising and things like that. I see the pressure that some people will put on you and how that’s not a great thing. You know, it creates anxiety and things like that, whereas the other people, they understand.
It’s like a flip of the coin. They’re coming in with it going I know that I need to invest in this, that’s not the issue. What I want here is for it to work really well, and for my money to go as far as it will go, as much as possible of course, but they understand. Like they… that’s not their emphasis. They’re wanting something that’s going to work.
And so what happens in that space is that the person who’s heavy on budget, they’re actually often quite guarded. And so it’s harder to actually pinpoint and get down into the nitty-gritty of why they’ve approached us in the first place.
Julz: And so for the other person, they’re very vulnerable, which is great. They’re very open and honest and this, what I find too is that we get halfway through the project we know exactly what we’re dealing with, and what they want!
Julz: And so in terms of… it creates a lot of clarity, whereas the other person has gone oh I forgot to mention that, and now we’re halfway through the project and it’s like well… if that makes sense?
Josh: And so we’ve got two people, I’ll quickly recap that conversation, so you’ve got one person who is majoring on the bottom line, majoring on profits, always wanting more numbers on their books. And then you’ve got the other person who is… who understands that hey, yeah maybe it’ll take a little bit more time but also it’s different hearts. One’s all about like, let’s be honest, one’s all about money, one’s all about providing service to their customers. That’s really… that really comes down to caring for their customers first, and then thinking about profit later.
Julz: Yeah, and it actually creates a culture!
Julz: So, a culture within their company. Those ones that are so focused on bottom line and profit, often they’ve got high staff turnover, they’ve got you know, they’re really not focused on their customers. They don’t have a great lifetime value and things like that. So I know that we’re going to…
Josh: Yeah, and for clinic owners in particular.
Josh: Like Clinic Mastery majors on this a lot! Like Clinic Mastery always teaches on customer experience and client experience, because they know that retaining customers is more beneficial. And here’s the thing. As a customer of a clinic, like I go to a physiotherapist and the best thing to know is that they actually care about me personally. And I can tell that because they actually ask questions about more than just my injury!
Josh: Like hey, how’s your week been? And then they actually listen to me sharing about my week.
Julz: Yeah. That’s great!
Josh: Like every… here’s a little statistic that you need to know. Every customer relationship lost, either whether that’s to a competitor or otherwise, it costs an average business, and this is across all industries, it costs an average business $402 each year. But this is the thing that will blow my mind. So let’s say you’ve lost a customer, it then costs six to seven times more to acquire a new customer than it does to retain an existing one. So here’s what you’ve got. You’ve got one person who’s majoring on the bottom line, on profit, on I need to get more numbers on my books and then let’s say that customer doesn’t feel valued so they leave, but and then maybe your temptation as a business owner is to go, oh we’ll just get another one. But that’s not beneficial for you because it costs seven times more…
Julz: Yeah, yeah!
Josh: …to acquire a new customer!
Julz: And that’s in part why we have our business model, is that we’re not about quantity, it’s more about, you know, quality. And so we do refuse people, and we’re okay with that, to work with, but mostly because we just want to have a connection with our clients. We do see them as not just customers or clients but as people you know that we are going to have a very real impact on them directly through what we’re doing. I mean that sounds crazy to put those two and two together web design or marketing with you know, how it’s going to actually impact them as a human.
Julz: I think about this stuff a lot, so you know that’s why we really do value the people that we work with, and vice versa! And so, yeah.
Josh: And this is, this is the same as like if you’re in the service industry. Like maybe you’re listening to this and you’re like well how do I translate this to my own business?
Josh: But just listen to that stat. Like the more you care about your customers, the more money you’ll actually make from them, because you’re retaining them as a lifelong client.
Josh: And another statistic that I read somewhere, I’m not going to get this 100% correct, but it was like 77% of customers who feel valued will refer. So that’s like a snowballing effect! The more you care about your customers, the more you focus on client experience, then it will snowball into greater profit, which even though that’s not the focus, it’s an outcome of it!
Julz: Yeah, for sure!
Josh: Another thing I want to point out is that you have to sell yourself, before you can sell your product or your service. And this is so true today! Like Millennials and the new generation, Gen Z or whatever you want to call them, they are so against big companies now. Like there’s no trust there, but they connect with people. And so if you focus your strategy around being real and authentic, that’s what people now connect with.
And so, once you sell yourself, people begin to talk and then you begin to create this great relationship. And a customer that you acquire from word of mouth, on average has a 16 to 25% higher lifetime value than those that you acquire from other sources.
Julz: Yeah. Wow, that’s epic!
Josh: Which is crazy! And so you could be tempted to go I want to sink all of this money into online advertising, but if you don’t have your client experience nailed, like nailed tight first then you’re not going to make as much money as you could.
Julz: Yeah, for sure. Absolutely!
Josh: And here’s another one. An increase in customer retention of nearly 5% can equate to an increase in profit of 25%.
Julz: Wow! Fivefold!
Josh: And so it’s about priorities, right?
Julz: Yeah, for sure!
Josh: It’s not profit first, it’s customer first, and then profit comes because of that.
Julz: Yeah! That’s certainly been our experience.
Julz: Yeah. I love that!
Josh: And it’s the experience that we see with many clinic owners in particular who have that language.
Julz: Yeah, that language. It’s coming back to that.
Josh: Who speak that language.
Julz: It’s just that value! It’s just to love some people, you know? Love people, just in general! (Laughter)
Josh: So let’s turn a corner a little bit.
Josh: Julian practically, how do we do this? Like what would this look like practically for let’s say a clinic owner, who owns a physio clinic and provides physio services?
Julz: Yeah. Well I guess practically, when you get down to like the nitty-gritty of the marketing side of things, and your points of contact with your people, I mean we call them your tribe. You know, it’s like these are people that have come your way. They’re in your circle. They’re in your space. They’re in your sphere, whatever you want to call it. How do you interact with them? So it is every post or I know that there’s those rules around you know, post something nice every three times and then you know the left, left, right hook kind of marketing. Love ‘em, love’em, love ‘em, then hit ‘em with an offer!
Julz: Like I don’t mind that kind of stuff, but at the same time you know, I understand that you’ve got to make the monies, uh but there is a balance. So there is a balance between too ‘salesy’. Like is every EDM that you’re sending out, does it include an offer? Like is it just a hard sell? Is it just because you want to get people to…. I received an email actually from a client of ours the other day, nothing but an update. It was just a really nice email to receive and it was personable, it was relatable, it injected that human factor into the relationship in the business. And I was like I feel like I know this person so much better now!
Josh: Yeah. And you were mentioning that the other day you got an email from Gymshark. Gymshark just sent this email and there was no sell.
Julz: No sell.
Josh: It was just hey have we realized that you may not know about our history as a company.
Josh: Here’s some history!
Julz: Yeah! I mean I did because obviously I’d Googled it and dude is legit who started Gymshark. Some serious envy going on there, but um it was just a great email. Like it was just a history on what they do, about their services, and you know, like we’ve got this many staff, we’re in this many countries and that was basically it.
Josh: Yeah. So practically, we see this all the time. Avoid writing about yourself.
Josh: And rather write about how you can help clients, like the client focus, consumer centric copy.
Another one that I want to point out is that 75% of customers believe that it takes too long to reach a live agent.
Julz: Oh this one’s huge!
Josh: So whether that’s through email, whether that’s finally getting through hold music on a phone or whether that’s only seeing the… like a physio or someone like in the appointment after booking it. And so one solution for this is live chat.
Now one thing that we see customers want to do all the time is leverage like bots. Now chat bots are good and they’re useful, but you need to understand that people would prefer to speak with a live agent. So a little tip here is if you are using chat bots, leverage them for FAQs, leverage them for welcome messages and then get the bot to say hey I’m a bot, but if you want to transfer to a live agent let me know.
Julz: Yeah, click this button or something like that.
Josh: Absolutely! Because people want to speak to real people. Here’s a cool quote that I came across.
“In an era where companies see online support as a way to shield themselves from costly interactions with their customers, it’s time to consider an entirely different approach, building human centric customer service through great people and clever technology.”
So get to know your customers. Humanize them, humanize yourself. It’s worth it! And that’s by Kristen Smabby.
Julz: That’s so cool! You know I’ve personally you know, I’m always on our live chat and things like that so and I’ve had some great conversations with people, like even other developers and stuff that have jumped on and I was just being like, you know, it’s not about wasting my time, but I’ve actually ended up getting valuable insight out of them about products that we are launching and putting out there. So it does. It just helps. And they were super grateful and really appreciative of it as well. So it really does work, that human contact on the live chat.
Josh: Yeah. And the temptation is to go, as a business owner you want to automate as much as possible of course.
Julz: Yeah, yeah.
Josh: …to free up your time. But the things that you should be automating are not the touch points with your customers.
Josh: The touch point with your customers are the things that… are the people, are the other things that drive your business. So focus on that, and automate everything else. Automate your admin, automate those things so that you can humanize yourself.
Julz: Yeah, and I mean like nine times out of ten those questions that they’re asking over live chat are like FAQs and things that you could have on your knowledge base.
Josh: Yeah. So that actually gets to our next thing. So the first one was customer centric content.
Josh: The second one was live chat. The third one is frequently asked questions.
Julz: Yeah. So I mean you can utilize that. Obviously you need to collect that data first and know what people are actually asking you. You can chuck them into a live bot, I mean a chat bot for sure to automatically answer that or push off to a knowledge-based article if that’s how your site operates or things like that. But they are some of the most visited pages on… Hot tip! If you don’t have a FAQs page, get on it because yeah, Google is definitely working on serving them up more often.
Josh: Well Forrester did a massive survey and they said
“Of all self-service channels, customers make the most frequent use of knowledge bases.”
And so, we are going to be doing an episode on what goes into a great FAQ section soon.
But those are three really simple, practical tips for your online presence. But I guess the question is for people or business owners, who have been in that mindset of profit, profit, profit, bottom line, bottom line, bottom line, like what do we do? And I guess a really simple solution is this.
A few years ago I went to my annual psychology check-up where I just sit down and see if I’m on track, if I’m doing well, and one of the things that my psychologist said was to break out of a certain mind… like thought pattern, you do things, which kind of makes no sense because it’s like well I do things because of my thought patterns. But the way that she explained it was if you become disciplined enough to do something over and over and over and over it will become second nature. It will begin to change your thought patterns. And initially it will be hard, initially it’s just undoing this because it’s a discipline but then it will become second nature. And so I guess our solution or our suggestion is focus on customer experience for a time. How about hop off your admin, hop off your marketing for a time or maybe outsource it to someone and focus on your customer experience, and focus on those touch points with the people who are actually driving your business.
Julz: Yeah. So good!
Josh: And I guess one way that we say it and how we treat it in our um… with NCC is, what’s that Julz?
Julz: Treat customers like a valued partner.
Julz: Yeah, for sure! I mean, and they are! They are a part of your business.
Julz: And so we do. They’re more than a number. Absolutely! And we partner with them on both ends, so…
Josh: Absolutely! 82% of consumers report that they’ve left a company entirely due to a bad customer experience. And so, if your language and your thought pattern is, oh these are just the people who give me money, rather than I’m partnering with this person that they benefit from me, I benefit from them, we’re pretty much equals. And we’re not saying that the customer is always right, because sometimes the customer is wrong.
Julz: No. That’s true.
Josh: But treat it like… treat that relationship like a partnership rather than anything else.
Julz: Yeah, and there’s a level of respect in that. So yeah, it’s a good thing!
Josh: Absolutely! And so just to recap, we can tell whether their business is going to be successful based on their language. How can you change that language, and how can you change that thought pattern? Maybe by starting to focus on that customer experience. And online, that means customer centric content, live chat and FAQs, just a few tips.
Julz: Yeah, for sure!
Josh: Is there anything else that you’d add?
Julz: No I think that’s about it. Just don’t forget to love people. (Laughter)
Josh: Great! Well, we will see you next time, where we are going to be talking about what goes into a great FAQ.