How contagious is your business?
First let's address some real world concerns. As of writing this, there is a virus scare across the globe. Regardless of what this turns into, those effected have my utmost respect and concern. This piece is not to make light of the situation, but to use the opportunity of those being educated about R0 values and explain how this way of calculating infections can and should be used in your business. My goal and agenda for all who have worked with me is to get your customers selling for you, this situation allows for a perfect example to explain clearly from a unique perspective. It's what we do here right?
R0 is pronounced “R naught.” It's a mathematical term that indicates how contagious an infectious disease is. It's also referred to as the reproduction number. As an infection spreads to new people, it reproduces itself. R0 tells you the average number of people who will catch a disease from one contagious person. - healthline.com
In the most basic terms. The R0 value means on average, how many people does the average infected person infect themselves.
I want you to start thinking about your business in this regard for now on. Not just today, or tomorrow, but forever. When you sell a service or product. What is your R0 value?
Does your average product or client produce and R0 value of below 1. Let's say .8? If so, you'll always have to advertise to get a sale. And that's fine as long as the ROI makes sense. But what if your service or product produces an R0 value of above 1? What if you intentionally started to think of your business strategy in this way?
Does your business have any infectious attributes at all? Why not?
Let's look at another aspect of disease. Carriers vs Infected. In some instances, entities can carry a disease, but not actually be infected themselves. For example, sometimes, children can carry a disease and spread it like crazy, it's just their nature. However, they may not be effected by this, but they are still affecting other, specifically adults. Example?
Tesla. A few months ago of the writing of this. Elon Musk rolled out his Pick-Up truck concept. While showing the robustness of the glass, they threw a rock at the side window and it cracked. Because of this, memes, news media, and the internet went crazy spreading the word (or virus) of Tesla's new truck. In other words, millions of people who don't own a Tesla, were still carrying the disease to others. While infection rate was low, the mass of carriers no doubt led to some sales. Data on new Tesla sales are obviously a result of some of this creative viral spreading.
How does that work for you, especially if your a smaller business? Well for one, have fun, people love to share fun. Two, have an online presence and NEVER miss an opportunity to share something unique. And three.... have fun.
As for turning your current clients into carriers and raising your R0. This is where two factors come in. Intention and quality.
Quality speaks for itself. In our online and transparent environment of today, the quality of your service or product is often displayed publicly via ratings. Having strong ratings raises your R0 by allowing for a certain percentage of each sale to rate you online, building trust, and bringing in more sales.
An added ingredient to this is intention. This is where many fall short. Intention is genuinely following up with a phone call, or even an automated card or text. Obviously the style of this will depend on your model. Are you selling a coffee cup, or a peace of equipment that cost 6 Million Dollars? Adjust accordingly.
The point is, by simple math, if you intentionally design your business around the strategy of making your sales not just sales, but infected carriers, your business will CHANGE SIGNIFICANTLY. Why? Because your customers are now selling for you, they are infecting others while you sleep. And if there is ever a mantra her at Leadership Industries, it's just that, think further and deeper. How can we turn our business, into something contagious?
Remember, anything over 1.0... and things start to change, big time.