The Better Business Model
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Desktop Education for Parks And Recreation Welcome and Sign-In • Have you downloaded and printed a copy of your handouts? (Sent as attachments and links in emails.) • Please sign in with: – Your Agency Name and the number of people watching/attending the webinar from your agency today – Re: CEUs • Use IPRA sign-in sheet • Emailed from IPRA Staff – The name of the person who will be inputting answers into the webinar application – This session my go a few minutes beyond the one hour mark as we get accustomed to the webinar format. Thanks
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Jeff Price [email protected]
Transcript of The Better Business Model
Desktop Education for Parks And Recreation
Welcome and Sign-In• Have you downloaded and printed a copy of
your handouts? (Sent as attachments and links in emails.)
• Please sign in with:– Your Agency Name and the number of people
watching/attending the webinar from your agency today
– Re: CEUs• Use IPRA sign-in sheet• Emailed from IPRA Staff
– The name of the person who will be inputting answers into the webinar application
– This session my go a few minutes beyond the one hour mark as we get accustomed to the webinar format. Thanks for your patience.
Let’s Quickly Review the Webinar ApplicationRaise your hand here…
This is the Feedback Box
This is the chatbox… Type here, hit enter to send
Thumbs up or Thumbs down…
Thumbs up if your agency has changed some of its “business practices” in the past few years.
Thumbs down if you are pretty much running “business as usual.”
How strongly do you agree with this statement?
I wish my agency was run more like my favorite “businesses” (Starbucks, Costco, Apple, restaurants you love, etc.)
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The Better Business ModelPresented by Jeff Price, Business Manager, City of Everett [email protected]
Questions, comments or feedback to your webinar host at: 760.809.3231
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IPRA
Parks & _________
Parks & REVENUE!
The Better Business Model
“In the business world, the rearview mirror is always clearer than the windshield.”
--Warren Buffett
The Better Business Model
“The system or manner in which an entity delivers value to the customer, drives revenue where possible, and provides accountability both internally and to its’ constituents.”
During this session we will:1. Provide some strategies and tactics to drive revenue based on sound business principals, university research and experience.
2. Strategies that require little or no funds to start.
The Better Business Model
"You can't do today's job with yesterday's methods and be in business tomorrow.“ Zig Ziglar
The Better Business ModelDuring this session we will cover:
– Effective use of pricing– Donations ($$)– Incentives– Business plans (overview of why and benefits)– How well do you know your customer? (matter?)– Managing our messaging to drive revenue– Staff driven ideas– Upsell/cross sell– Questions/Closing thoughts
The Better Business Model
Effective use of Pricing:1. Differentiation Photo of bench here
“Where you have twoor more similarproducts but priceddifferently basedupon some unique setof attributes.”
Bench view from Forest Park trail
Bench view from Forest Park trail
This location $2,500
Howarth Park bench view
Howarth Park bench view
This location $3,500
The Better Business Model
Pricing:1. Differentiated (discriminatory)
2. Packaging and peak (seasonal) ratesa. cleaning package on rentalsb. higher summer rates for rentals and picnic shelters. Discuss and Share in your chat box… (30 seconds)
Where could you apply the concept of “differentiation” to your agency’s “products?”
The Better Business Model
Manage our messaging effectively to increase revenue:1. Donation messaging – any low hanging fruit?
2005-2012 Everett Park Donations
2005 2006 2007 2008 2009 2010 2011 2012 $-
$5,000
$10,000
$15,000
$20,000
$25,000
$1,900 $1,600
$12,322
$16,758
$21,380 $21,718 $21,024
$22,237
The Better Business Model
To improve donations:A. Clearly articulate the need
“It costs us $X to operate _____________. Your donation will help us off-set the cost of operating this program.”
The Better Business Model
To improve donations:B. Recommend a specific amount where and
when possible.
“Donations of $X per adult and $X per child help offset maintenance and other expenses. We greatly appreciate your help.”
The Better Business Model
To improve donations:C. Set goals with your team/staff
The Better Business Model
To improve donations:D. Set goals with your staff
E. Cast a vision
“If you want someone to bleed for your cause, then you must be willing to hemorrhage for it.” attributed to Napoleon
The Better Business Model
Manage your messaging to increase revenue:1. Donation messaging2. Asking better questions
What & HOW We Say it Matters …
Hi, how are you? What brings you here today?
Anything I can help you with? What can I help you find today?
Is this all you need today? What else are you looking for today?
Are you doing okay? What other types of __ are you interested in?
Thanks… Thank you for visiting (your location/dept name)!
Harvard research/Office Depot Corp.
INSTEAD OF ASKING CONSIDER ASKING….
“Your organization can be 10,000 strong, but for the customer, the
person handling the transaction is the organization.” Derek Stockley
YOU are your department’s….
Want to improve your brand or image?
If you want to change your reputation, then change your
repetition.
LATHER, RINSE, REPEAT!
Social norm marketing
Social norms marketing is based on the central concept of social norms theory – that much of people’s behavior is influenced by their perceptions of what is “normal” or “typical.”In other words people want to be like others, especially if the person wants to be part of that group.
The university based research into this is overwhelming. See Robert Cialdini’s book “Influence”
Social Norming…..elevator
Social Norms Marketing
Northern Illinois University- reduced on-campus drinking by 44% by educating student about how little other students actually did drink at parties.
Social Norms Marketing –Parks applications
Blurb in our guide next to our wellness and fitness classes: “Surveys nationally show an overwhelming desire by people to get healthy and fit.”
Social Norms Marketing –Parks applications
Social Norms Marketing –Parks applications
Parvo illness & dog parks: Below our basic language we have the following information
Social Norms Marketing –Parks applications
Parvo illness & dog parks: Below our basic language we have the following information
“Responsible dog owners like you make sure their dogs have up to date vaccinations. Contact a veterinarian for questions about vaccinations for your pet.”
Social Norm Marketing
The research indicates that Including survey data and testimonials whenever possible is very impactful to moving people. For example…
Social Norm Marketing
The research indicates that Including survey data and testimonials whenever possible is very impactful to moving people. For example…
Listed on our facility rental marketing material we share that: “95% rated our customer service as very good or excellent” & “50% of our renters are repeat customers”
Social Norm Marketing
The research indicates that Including survey data and testimonials whenever possible is very impactful to moving people. For example…
On our swim lesson marketing material we list testimonials like this, “We have had and continue to have extremely satisfying experiences at the Forest Park Pool.” Greg & Kathy Lawson and family.
Social Norm MarketingA few important elements:
1. Have fun with it and experiment!2. Be truthful in your messaging3. It may require to go out and get testimonials,
take surveys to publish findings, and listen more to your customers.
4. Test but don’t survey for awareness (occurs at subconscious level.)
How might you apply the idea of “social norm marketing to your agency’s business model?
Leverage staff knowledge and experiences.
Leverage staff knowledge and experiences:
1. Top 10 customer complaints front desk staff hear.
Leverage staff knowledge and experiences:
Renter’s don’t want to clean up after themselves.
1. Top 10 customer complaints front desk staff hear.
Leverage staff knowledge and experiences:
1. Top 10 customer complaints front desk staff hear.
Discuss and Share in your chat box… (30 seconds)What are some of the top complaints you or your staff hear at YOUR front desk?
The Better Business Model
Leverage staff knowledge and experiences:2. Example: Selling firewood
The Better Business Model
• Business Plans to drive your business
“In my own work, I’ve tried to anticipate what’s coming over the horizon, to hasten its arrival, and to apply it to people’s lives in a meaningful way.”
Paul Allen
The Better Business Model
• Why Plan?• Communicate direction• Alignment up and down• Accountability• Confidence at all levels
Things we’ve learned and benefits
Data is your friendBusiness MindedHelps evaluate objectivelyImprove revenueEducate staff at all levels &
the public (increases trust)
The Better Business Model
• Incentives
• Recreation programs
The Better Business ModelExample: Incentive Based Compensation
Per class flat fee (first 5 students) $25
Incentive based compensation6 - 10 students 20%
11 - 15 students 25%16 - 20 students 30%21 - 25 students 35%26 – 30 students 40%31 – 35 students 45%
The Better Business Model• Upselling, Cross selling, Bundling
The Better Business ModelUnderstanding your customers1. Best customer/survey work
It now costs 5 time more to obtain a new customer than it does to keep a current customer. MIT/UCLA
The Better Business Model
Info on “best” customers($500+) based on Class data, Census data, and best customer survey.
The Better Business Model
Class data shows us that 6% of
our customers bring in 31% of our total revenue!
The Better Business Model
Class data shows us that 6% of our customers bring in 31% of our total revenue!
SURVEY RESULTS: We have a better idea why they sign up for our programs; what marketing methods they best respond to; how we compare to the competition; the kinds of things they may be interested in doing that we’re not currently offering. We know their level of interest in and how we can engage them in social media; and that they love our e-newsletter but our ‘awareness’ rate for it could be a lot higher.
The Better Business Model
GIS/Census/Class/Survey Tool
The Better Business Model What business step do you and your team
need to make with respect to improving your business model? • Understanding your customers better?
• Developing pricing strategies?• Asking better questions?• Messaging?• Business plans?• Brainstorming with staff on the front
lines?
Please discuss and type into the text box some things your group WILL do as a result of being here today.
Better Business Model
Contact information Jeff Price 425-367-2231
Jeff Price has authored 2 books currently on Amazon. Upselling & 6 Proven Marketing StrategiesCheck them out for more great information.
Thanks for your participation and hard work!
Next Month’s Webinar - Wednesday April 9 or Thursday, April 17
Speaker: Teresa Penbrooke CEO and Founder - GreenPlay, LLC
Topic: Keys to Relevance in Parks and Recreation• Our roles in parks and recreation have changed. We are faced with economic challenges, changing
demographics, differing opinions, and ever evolving philosophies. This session will provide an overview of the need for our evolution in overall community relevance, some driving concepts, and then provide summaries of the key positioning ideas and methods for making necessary and pro-active changes as they are needed to ensure our agencies abilities to survive and thrive in the future.
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