Whose fault is it that the UK is in such a terrible financial and economic mess? Is it the bankers, the politicians, businesses, world affairs or some other force we do not understand?
Who should we blame for this mess? After all unless we can blame someone - we won’t feel any better about it! It can’t be our fault, because we have no say and no control over what happens – can it?
Perhaps we should just ignore what is happening and then it will go away! After all we elect politicians to solve all these sorts of problems.
Sadly today, many of these individuals are professional politicians, i.e. they have been educated to work and live inside politics and have never had any real experience at running a successful business. Indeed, it now appears that many of the top people in business (the bankers come to mind) are also experiencing the same sort of problems having being educated to do the jobs they aspire to but not necessarily any good at doing.
But the truth is that times are always changing, things are not the same as they were in the seventies, eighties or nineties! The country’s (and the world’s) problems have changed; things are different now from back then. Is that not true?
The difference between a country (as a business) and a genuine business is that every business has one or more owners who expect the business to perform against a predetermined set of rules. That may be achieving some financial targets, profits, growth or market share etc. All businesses are run by people who are appointed because they are accessed by qualified people who understand what is required of them and what skills are needed to achieve them. These professionals remain in their positions until such a time as they either leave or fail to achieve the agreed targets.
Government is different. We, the people, who do not own the country (business), elect essentially unknown people to run that business. In most cases we do not understand what qualities are required and if the candidates have any of them. We have little or no influence at all on what the government of the day does. Worse still, are system here in the UK encourages us not to vote for a person, but for a political party. As a result, in most cases, we only ever see our MP or their representative, on the doorstep when they are canvassing for the job. Is this not a recipe for disaster – especially as we can’t even sack them for doing a bad job?
These MP’s are essentially directed by the agenda of the party they belong to. If their leaders tell them to vote yes, they vote yes. Of course MP’s often get to vote freely on the less important matters, making it look as if they do have freedom to vote as they feel, or perhaps even in line with the feelings of their constituents (who elected them) – well perhaps not, as no MP has ever asked me for my opinion! What about you?
Of course, running a country, with its infinite areas of operation, and their complexity is not easy. Indeed it is harder than any other job. The variables are numerous, the outcomes are unpredictable, and the affect of any action can cause a huge re-action in many other areas. To make it even worse, we are subjected by the action of other countries - which we have no control over whatsoever.
So how do we run a country under these conditions?
Well perhaps we should take a lesson from nature. It is made up of billions of independent plants, animals, elements, events, conditions - all affected by time, weather and a host of other variables. Yet nature survives and has done for millions of years. Whatever is thrown at it, it appears to deal with. Yes it might lose a few species, flood some deserts or turn a beauty spot into a wasteland or wilderness – but it deals with it! And it does it slowly and automatically without the rest knowing much about it.
It achieves this by allowing every element to look after itself, to manage their own interests, and if any fail, then they fail, but at just that level. It may influence other elements of nature, it may be disastrous for some, but it may help others to thrive. The point is that Mother Nature allows everything to happen at the smallest or lowest level. She did not interfere when the mighty Elm Tree succumbed to Dutch Elm Tree disease, the weak ones just died and the stronger trees survived – a common outcome in nature.
So perhaps the leaders of the UK should take a lesson from Mother Nature and step back and allow the people to resolve the problems that we face, at the lowest level. Decisions about our futures have been taken out of our hands and passed up to some autocratic body who have little or no understanding of the situation - or worse still, no desire to even understand and do what is best to resolve it.
As a result of us relinquishing our responsibilities we no longer are prepared to take responsibility for anything outside of our own lives.
Who cares about water fluoridisation, as long as it not in our area?
Of course we should have wind farms, but according to the nimby’s, not in my back yard! How quickly would we change our attitude and start taking action if our electricity was turned off for good and we had to come up with a plan to generate it locally?
I don’t think this is because people want to be difficult, I believe it is because they have not been allowed to become really involved with what goes on in their lives. We have become conditioned to having everything done for us, and the record of politicians in recent years seems to back this argument up.
We have local councillors, both at village, town, city, district, county and regional levels, all adding to the tiers of bureaucracy. The problem is the higher you go, the more power they have! What good is a local village councillor if he or she has no power to do anything? The time is coming to strip out all this bureaucracy and change the system so that it puts responsibility for change and the necessary action back into the hands of the people which the current system tries to control.
Power to the People!
Sadly, making a large change of this nature has to come from the top as we are powerless down here at the bottom. After all we are just the tiny elements that make up this once great nation.
How much longer will we focus on just ourselves, ignoring the huge issues that the whole country faces, content to just be a member of the largest political party in the UK, the Nimby’s, but having no power and little say!
Tuesday, October 13, 2009
Saturday, August 22, 2009
Are the UK politicians mad or something?
I just can't believe that the politicians in the UK can be so stupid in some of the things that they do or say. Without being specific, which would need a huge volume of books, it seems to me that they do and say things without realising that most of us 'ordinary' people can see right through what they are saying. Do they really believe we are so naive about life that we will just accept what they say as being right or even sensible?
Alan Duncan, a senior conservative recently made comments about MP's having to 'live on rations' and being 'treated like shit' whilst being filmed secretly. He later apologies and said he was only joking. I watched the secret film and believe me, he was not joking, whatever he might have said later. OK so he has apologised and we have all moved on, but I'd like to wager that those words he spoke, and actually exactly what he felt and meant! I was horrified when David Cameron rushed to his support.
I was beginning to believe that the conservatives might be about ready to govern this country, but it now appears that they are little better than the current labour party. I for one do not believe anything I hear any more.
What about you?
Alan Duncan, a senior conservative recently made comments about MP's having to 'live on rations' and being 'treated like shit' whilst being filmed secretly. He later apologies and said he was only joking. I watched the secret film and believe me, he was not joking, whatever he might have said later. OK so he has apologised and we have all moved on, but I'd like to wager that those words he spoke, and actually exactly what he felt and meant! I was horrified when David Cameron rushed to his support.
I was beginning to believe that the conservatives might be about ready to govern this country, but it now appears that they are little better than the current labour party. I for one do not believe anything I hear any more.
What about you?
Monday, October 13, 2008
It is time to be POSITIVE about the future
So much has been written and spoken in the press, radio and TV about the current situation with the banks and stock markets. Even the talk in the offices I visit is all about this gloomy subject. I for one am sick and tired of hearing about what is happening to our world and our lives.
Of course all these things do impinge on on us, and no doubt we will be feeling that backlash for weeks, months and years to come. It does seem that the talk just makes the situation worse. It appears that the more the crisis is discussed the more gloom there is … all just making the situation even worse.
Now some of us will predict that this is just a blip and all will be well again soon – after all this sort of thing has happened before (hasn’t it?) and some of us will believe that the situation will get just worse and worse and the world will come tumbling down around our ears, never to be the same again!
The fact is that we can do very little about the situation. It is here, it is happening and it is mostly out of our control. Yes, some people will be poorer for what has happened, some will find that their pensions are dramatically reduced, other that their homes have dropped in value, many are likely to loose their jobs … all these things are unfortunate … but they are beyond our control.
The truth is that the outcome is not really known. Yes, governments have taken action, but is it the right action? We, in our own way have stopped buying shares and property, we have put off getting that new car, we are thinking twice about how much to spend on our next holiday. All this has an ongoing affect on most of us who work in these or similar industries. Sadly thousands of small businesses around the world will disappear as a result.
Perhaps what we need to do is get on with our lives. Have confidence that by doing so, the markets will recover, recession will be pushed back and that we, each and every one of us, can get on with our new lives. There are many lessons to be learned from the events of the past month – let them be learnt but in the meanwhile let us all be positive and upbeat and make the very best of all that we are fortunate to have.
Of course all these things do impinge on on us, and no doubt we will be feeling that backlash for weeks, months and years to come. It does seem that the talk just makes the situation worse. It appears that the more the crisis is discussed the more gloom there is … all just making the situation even worse.
Now some of us will predict that this is just a blip and all will be well again soon – after all this sort of thing has happened before (hasn’t it?) and some of us will believe that the situation will get just worse and worse and the world will come tumbling down around our ears, never to be the same again!
The fact is that we can do very little about the situation. It is here, it is happening and it is mostly out of our control. Yes, some people will be poorer for what has happened, some will find that their pensions are dramatically reduced, other that their homes have dropped in value, many are likely to loose their jobs … all these things are unfortunate … but they are beyond our control.
The truth is that the outcome is not really known. Yes, governments have taken action, but is it the right action? We, in our own way have stopped buying shares and property, we have put off getting that new car, we are thinking twice about how much to spend on our next holiday. All this has an ongoing affect on most of us who work in these or similar industries. Sadly thousands of small businesses around the world will disappear as a result.
Perhaps what we need to do is get on with our lives. Have confidence that by doing so, the markets will recover, recession will be pushed back and that we, each and every one of us, can get on with our new lives. There are many lessons to be learned from the events of the past month – let them be learnt but in the meanwhile let us all be positive and upbeat and make the very best of all that we are fortunate to have.
Tuesday, August 19, 2008
Getting Small Businesses the Help they NEED!
In my previous blog I spoke about the need for people who operate one or two man businesses to find the resources they need to develop their businesses without having to incur huge costs that they can ill afford.
Talking about cost, I guess we need to quantify what we mean. Let suppose that you are operating a one man business where YOU do everything, from making the product, to delivering it, invoicing it, collecting the money, buying the stock, advertising, marketing, planning not to mention keeping the accounts or cleaning the loo’s!
It is no wonder that nothing ever gets done very well. It is no wonder that your product is not perhaps quite as good as that of your bigger competition! It is no wonder that you sometimes deliver late, after all you have to have a holiday, or your wife or child is sick, or the car breaks down, or the VAT inspector calls! These are all valid reasons, but what does your customer or clients really think?
If you use a book keeper to do your weekly invoices then you will probably be paying around £10 to £15 per hours for a reasonably competent person. If you are using an accountant for your quarterly accounts (you do produce them don’t you?) then you’re probably talking about £20 to £30 per hour depending upon the quality of service being offered. If you use a marketing consultant, then you’ll be paying many hundreds of pounds each month, and graphic designers don’t come cheap either.
Now it has been said that in the UK if a ‘small’ business is to succeed then it needs to make at least £3,000 per month profit after costs and before the owners take their share. That’s not a lot by any means. But whatever it is you need to ensure you have enough funds to grow and improve your business month on month.
How many people do you know who started out a new business when they left their previous employment and were reasonably successful for the first year or two? Perhaps they picked up their main client from their previous employer? Then things start to get tough and eventually the business falters and may be even fails.
Every business needs to grow. It costs money to grow a business. Many small business owners today rely on networking to achieve that growth. They spend time each week attending local networking events and meeting people, always hopeful that they will find a new customer or client. As many of you know, when that happens that person disappears for weeks or even months as they work with their new client. Eventually they return, looking for work again.
Of course, as most of us know, nearly everyone attending those meetings is looking for work because times are thin for them. They are not out to buy anything, rather they are focussed on finding more business. Sadly the truth is even worse than that. A large number of these people are networking because they believe that is a cheap way to market their services. They have little hope of finding any business but keep kidding themselves they are investing in marketing.
We have all heard about the success of the local golf club. That is where lots of business is conducted. But that is just another networking meeting you might argue.
No it is not!
You see the local golf club is the place that successful business owners go to relax and enjoy themselves with a relaxing game of golf. They can afford to do that because their businesses are not reliant on them and they are making a reasonable profit. Put a couple of dozen successful business owners together and they will enjoy their golf and also do business together. They need outside resources and they can afford them.
For the rest of those small businesses, the owners do not have time for golf and probably could not afford the fees anyway. Sadly that is true of the vast majority of small business owners.
So what could they do to improve their situation? Is there something that they are missing? How can they find the resources they need? How can they fund them? And how can they find new clients and business?
Well there are ways … and there are new ways becoming available soon.
Talking about cost, I guess we need to quantify what we mean. Let suppose that you are operating a one man business where YOU do everything, from making the product, to delivering it, invoicing it, collecting the money, buying the stock, advertising, marketing, planning not to mention keeping the accounts or cleaning the loo’s!
It is no wonder that nothing ever gets done very well. It is no wonder that your product is not perhaps quite as good as that of your bigger competition! It is no wonder that you sometimes deliver late, after all you have to have a holiday, or your wife or child is sick, or the car breaks down, or the VAT inspector calls! These are all valid reasons, but what does your customer or clients really think?
If you use a book keeper to do your weekly invoices then you will probably be paying around £10 to £15 per hours for a reasonably competent person. If you are using an accountant for your quarterly accounts (you do produce them don’t you?) then you’re probably talking about £20 to £30 per hour depending upon the quality of service being offered. If you use a marketing consultant, then you’ll be paying many hundreds of pounds each month, and graphic designers don’t come cheap either.
Now it has been said that in the UK if a ‘small’ business is to succeed then it needs to make at least £3,000 per month profit after costs and before the owners take their share. That’s not a lot by any means. But whatever it is you need to ensure you have enough funds to grow and improve your business month on month.
How many people do you know who started out a new business when they left their previous employment and were reasonably successful for the first year or two? Perhaps they picked up their main client from their previous employer? Then things start to get tough and eventually the business falters and may be even fails.
Every business needs to grow. It costs money to grow a business. Many small business owners today rely on networking to achieve that growth. They spend time each week attending local networking events and meeting people, always hopeful that they will find a new customer or client. As many of you know, when that happens that person disappears for weeks or even months as they work with their new client. Eventually they return, looking for work again.
Of course, as most of us know, nearly everyone attending those meetings is looking for work because times are thin for them. They are not out to buy anything, rather they are focussed on finding more business. Sadly the truth is even worse than that. A large number of these people are networking because they believe that is a cheap way to market their services. They have little hope of finding any business but keep kidding themselves they are investing in marketing.
We have all heard about the success of the local golf club. That is where lots of business is conducted. But that is just another networking meeting you might argue.
No it is not!
You see the local golf club is the place that successful business owners go to relax and enjoy themselves with a relaxing game of golf. They can afford to do that because their businesses are not reliant on them and they are making a reasonable profit. Put a couple of dozen successful business owners together and they will enjoy their golf and also do business together. They need outside resources and they can afford them.
For the rest of those small businesses, the owners do not have time for golf and probably could not afford the fees anyway. Sadly that is true of the vast majority of small business owners.
So what could they do to improve their situation? Is there something that they are missing? How can they find the resources they need? How can they fund them? And how can they find new clients and business?
Well there are ways … and there are new ways becoming available soon.
Wednesday, August 13, 2008
What DO Small Businesses Really Need?
There is a good chance that if you are reading this that you own or run a small business employing just yourself, maybe your life partner and perhaps one or two other people. That is a typical profile of the vast majority of businesses in the UK. Even more so in many other countries.
In my experience, as I have networked around hundreds of business meetings and groups over the last five years or so, most small businesses suffer from one major problem. And that is being small! They do not have the resources to maximise what they do.
If we look at a larger business, say one employing 500 members of staff. The business will be run by the CEO, supported by a team of directors and under them a team of managers. They will also spend a proportion of their income in bring in outside resources to provide them with the knowledge and skills that they do not have.
Few companies will have their own lawyer or specialist management consultants. Most will bring in the expertise they require for Health & Safety, Employment Law, Legal activities, IP protection, Insurance requirements etc. If a large company cannot justify employing the expertise it requires it will outsource that requirement. Of course all this has a cost, often quite high but absolutely essential for the business.
At no stage does the CEO know everything! He or she will have a good understanding of most business principles but then rely on a specialist to interpret those principles for the benefit of the business. If that was not so, why ever have a board of directors? Why ever have a management team?
When we look at a small business all the expertise will usually come from the business owner. Because investing in specialist help is so expensive they will probably not venture down that route, perhaps instead taking free advice, reading articles or books on the subject or even worse, pretending they have the answer and blindly going forward.
The logical conclusion is that the smaller the business, the more the owner needs to know or the more they need to spend on getting their answers.
As the majority of ‘small’ businesses only employ one or two people, the cost of bringing in that outside expertise is proportionally very high. Many of these companies barely earn enough to pay the salary bill let alone spend out thousands on specialist help.
Of course the irony of this situation is that those ‘small’ businesses will remain small and have little or no chance of ever growing very much. The large competition is so great today that the proverbial ‘rat race’ ensures that the big boys remain in the lead and the rest follow behind.
Michael E. Gerber in his book “The E-Myth Revisited” tells us that one of the main reasons why small businesses fail is that the owner who is normally an expert in their own field, fails to understand that running a business requires all the other expertises as well. You may be a talented engineer, software developer, graphic artist, chemist or chef but that does not mean that you can ignore finance, marketing, sales, HR, health & safety or indeed ignore such things as business insurance, taxation, accounts or product delivery. Indeed the smaller business carries a higher level of risk. If the owner of a one or two man business is ill, who looks after the shop? Who cooks the pies? Who delivers the goods?
Now over the years, governments have realised these problem and have created many centrally backed organisations such as Business Link and other development agencies who offer help and assistance in these areas. Sadly, in many cases the level of expertise is limited, and the willingness of such organisations to help is restricted because their skills and time are spread across such a large number of businesses.
So the conclusion must be that nearly all small businesses need to find the expertise they require if they are to grow successful into large and more mature companies. The predicament is simply how to find that expertise at a cost that can be afforded.
Well there is an answer … but can it be made to work?
More about Mentor Power (http://www.mentor-power.org) in my next posting!
In my experience, as I have networked around hundreds of business meetings and groups over the last five years or so, most small businesses suffer from one major problem. And that is being small! They do not have the resources to maximise what they do.
If we look at a larger business, say one employing 500 members of staff. The business will be run by the CEO, supported by a team of directors and under them a team of managers. They will also spend a proportion of their income in bring in outside resources to provide them with the knowledge and skills that they do not have.
Few companies will have their own lawyer or specialist management consultants. Most will bring in the expertise they require for Health & Safety, Employment Law, Legal activities, IP protection, Insurance requirements etc. If a large company cannot justify employing the expertise it requires it will outsource that requirement. Of course all this has a cost, often quite high but absolutely essential for the business.
At no stage does the CEO know everything! He or she will have a good understanding of most business principles but then rely on a specialist to interpret those principles for the benefit of the business. If that was not so, why ever have a board of directors? Why ever have a management team?
When we look at a small business all the expertise will usually come from the business owner. Because investing in specialist help is so expensive they will probably not venture down that route, perhaps instead taking free advice, reading articles or books on the subject or even worse, pretending they have the answer and blindly going forward.
The logical conclusion is that the smaller the business, the more the owner needs to know or the more they need to spend on getting their answers.
As the majority of ‘small’ businesses only employ one or two people, the cost of bringing in that outside expertise is proportionally very high. Many of these companies barely earn enough to pay the salary bill let alone spend out thousands on specialist help.
Of course the irony of this situation is that those ‘small’ businesses will remain small and have little or no chance of ever growing very much. The large competition is so great today that the proverbial ‘rat race’ ensures that the big boys remain in the lead and the rest follow behind.
Michael E. Gerber in his book “The E-Myth Revisited” tells us that one of the main reasons why small businesses fail is that the owner who is normally an expert in their own field, fails to understand that running a business requires all the other expertises as well. You may be a talented engineer, software developer, graphic artist, chemist or chef but that does not mean that you can ignore finance, marketing, sales, HR, health & safety or indeed ignore such things as business insurance, taxation, accounts or product delivery. Indeed the smaller business carries a higher level of risk. If the owner of a one or two man business is ill, who looks after the shop? Who cooks the pies? Who delivers the goods?
Now over the years, governments have realised these problem and have created many centrally backed organisations such as Business Link and other development agencies who offer help and assistance in these areas. Sadly, in many cases the level of expertise is limited, and the willingness of such organisations to help is restricted because their skills and time are spread across such a large number of businesses.
So the conclusion must be that nearly all small businesses need to find the expertise they require if they are to grow successful into large and more mature companies. The predicament is simply how to find that expertise at a cost that can be afforded.
Well there is an answer … but can it be made to work?
More about Mentor Power (http://www.mentor-power.org) in my next posting!
Monday, August 11, 2008
The Past has Gone - Roll on the FUTURE
The last few months have seen me go from being a confident business person, struggling with a new project to a bankrupt - losing everything that I had. Fortunately, that was not a lot more than a huge pile of bank debt! No one can take away my spirit, passion, motivation desire or my experiences.
If I'm honest the only real thing that has gone - is the debt! OK so my credit rating has taken a bashing, but already I have been offered a credit card and a new bank account. Yes the interest rate is a little higher ... who cares ... I'm not in the market for credit or a bank account at this time anyway.
One of the huge benefits is that the stress and worry of having a growing debt around ones neck, suddenly disappears. Yes, I had to go to court, but the judge did not even see me - he just signed the application. Yes, I had to speak with the Official Receiver, but we did that on the phone, and the person I spoke with was most understanding and made me feel as relaxed as he could under the circumstances.
As a result of the bankruptcy I have relinquished all my directorships, closed both of my companies down, had a huge clear out of stuff accumulated over the last twenty years or so, shredded all those bank and credit card statements and now my office at home looks much tidier than before and I feel a lot more content and relaxed. The house is getting decorated. The garden is getting some attention. Even the environment is better off as I am not burning tankfuls of petrol each month!
Of course the important thing is to learn from the whole episode. What did I do wrong? How had I got myself into that mess? What must I do to avoid such a thing again? What shall I do next?
I have pondered over this for the last few months. Well my first problem was how to tell other people that I was a failure! What would they think of me? Would anyone listen to me ever again? Even one of my daughters suggested that I get a job and be thankful for the little house I live in (it has a low rent) and be grateful that I am in good health ... and STOP dreaming about being rich and successful again! Is she right?
Well all these things transverse through my head. I decided to look for a new job and found one quite quickly. More by luck than anything else. But I discovered that my new employer did not have an office for me - I would have to share with him. They had no computer for me to use, or a telephone, mobile or even a decent chair. Then I discovered that they had no money to invest in the project. To top it all, they were not willing to listen to me when I tried to highlight the issues that were standing in our way.
For the first time in my life, I politely (well that's my explanation) told them where they could stick their job ... and went home, never to return. Hey! I'd learnt something from going bankrupt ... how to identify when things are not right!
Since then I sat down and decided (whilst my mind was confused) that I just wanted a really simple job that I could leave behind at 5pm when I went home. Driving a delivery van, stacking shelves, even sweeping roads or cutting grass! That is what I wanted to do! After all, I'm 58 and in just seven years I will retire and someone else can look after me!
Then something happened! I logged onto my computer today to check my emails. I found an invitation to connect on Plaxo to an old friend Reg Athwal (http://www.regathwal.com/) who I had known for a number of years but had not spoken too for some time. I accepted his invitation and as an after though visited his website to see what he was up to these days. I clicked on a couple of links and eventually watched a long video recording of Reg presenting at the India Retail Forum 2007 in Mumbai.
His words immediately touched me. I started to get excited about what he was saying. My mind went back to the past and all the things I had heard, said and believed in! Suddenly I realised that I was not being fair to myself. I had been pushed into a corner and was accepting my lot as if I was a two year old. This was not me. I'm Jim Tuffin, I'm passionate about a whole host of things ... that passion has not gone away however much I'm trying to convince myself it has.
So here I am. Bankrupt! No money! Feeling bad about myself! Getting older by the day! Hopeless! Helpless!
BUT ... I'm alive and I have passions and dreams!
I contacted Reg Athwal to thank him for inspiring me again. He responded and gave me some great advice…
“Keep sharing your dream with people and your dream team will come together, but put the past in the past and let it go now, the present is all that matters!”
Sometimes it has to be spelt out to you. Sometimes you need to be taken and given a good shaking. Sometimes you’ll even get the message.
I’ve got the message Reg! The past is in the past. The lessons have been learnt and recorded. The present is what matters now … and that is what I am focusing on from this moment forward.
If you would like to work with me ... if you want to share your passion with me ... then why not contact me.
Regards
Jim Tuffin
If I'm honest the only real thing that has gone - is the debt! OK so my credit rating has taken a bashing, but already I have been offered a credit card and a new bank account. Yes the interest rate is a little higher ... who cares ... I'm not in the market for credit or a bank account at this time anyway.
One of the huge benefits is that the stress and worry of having a growing debt around ones neck, suddenly disappears. Yes, I had to go to court, but the judge did not even see me - he just signed the application. Yes, I had to speak with the Official Receiver, but we did that on the phone, and the person I spoke with was most understanding and made me feel as relaxed as he could under the circumstances.
As a result of the bankruptcy I have relinquished all my directorships, closed both of my companies down, had a huge clear out of stuff accumulated over the last twenty years or so, shredded all those bank and credit card statements and now my office at home looks much tidier than before and I feel a lot more content and relaxed. The house is getting decorated. The garden is getting some attention. Even the environment is better off as I am not burning tankfuls of petrol each month!
Of course the important thing is to learn from the whole episode. What did I do wrong? How had I got myself into that mess? What must I do to avoid such a thing again? What shall I do next?
I have pondered over this for the last few months. Well my first problem was how to tell other people that I was a failure! What would they think of me? Would anyone listen to me ever again? Even one of my daughters suggested that I get a job and be thankful for the little house I live in (it has a low rent) and be grateful that I am in good health ... and STOP dreaming about being rich and successful again! Is she right?
Well all these things transverse through my head. I decided to look for a new job and found one quite quickly. More by luck than anything else. But I discovered that my new employer did not have an office for me - I would have to share with him. They had no computer for me to use, or a telephone, mobile or even a decent chair. Then I discovered that they had no money to invest in the project. To top it all, they were not willing to listen to me when I tried to highlight the issues that were standing in our way.
For the first time in my life, I politely (well that's my explanation) told them where they could stick their job ... and went home, never to return. Hey! I'd learnt something from going bankrupt ... how to identify when things are not right!
Since then I sat down and decided (whilst my mind was confused) that I just wanted a really simple job that I could leave behind at 5pm when I went home. Driving a delivery van, stacking shelves, even sweeping roads or cutting grass! That is what I wanted to do! After all, I'm 58 and in just seven years I will retire and someone else can look after me!
Then something happened! I logged onto my computer today to check my emails. I found an invitation to connect on Plaxo to an old friend Reg Athwal (http://www.regathwal.com/) who I had known for a number of years but had not spoken too for some time. I accepted his invitation and as an after though visited his website to see what he was up to these days. I clicked on a couple of links and eventually watched a long video recording of Reg presenting at the India Retail Forum 2007 in Mumbai.
His words immediately touched me. I started to get excited about what he was saying. My mind went back to the past and all the things I had heard, said and believed in! Suddenly I realised that I was not being fair to myself. I had been pushed into a corner and was accepting my lot as if I was a two year old. This was not me. I'm Jim Tuffin, I'm passionate about a whole host of things ... that passion has not gone away however much I'm trying to convince myself it has.
So here I am. Bankrupt! No money! Feeling bad about myself! Getting older by the day! Hopeless! Helpless!
BUT ... I'm alive and I have passions and dreams!
I contacted Reg Athwal to thank him for inspiring me again. He responded and gave me some great advice…
“Keep sharing your dream with people and your dream team will come together, but put the past in the past and let it go now, the present is all that matters!”
Sometimes it has to be spelt out to you. Sometimes you need to be taken and given a good shaking. Sometimes you’ll even get the message.
I’ve got the message Reg! The past is in the past. The lessons have been learnt and recorded. The present is what matters now … and that is what I am focusing on from this moment forward.
If you would like to work with me ... if you want to share your passion with me ... then why not contact me.
Regards
Jim Tuffin
Wednesday, February 06, 2008
Is networking as we know it really working?
We have been led to believe that if we network online we will meet lots of people who we should offer to help in any way we can. In return we will be blessed with lots of great introductions and business.
The truth really is that it does not really matter how much you network online or how much you help other people, the chance of you being rewarded is little better than zilch!
Why do I say that? Well because I asked hundreds of people who have been networking for at least two years! Yes some did get introductions but few admitted it turned into paid work. Of course the real truth is that the majority give up long before then and stop networking.
If you visit the off line clubs and events in your area you find the same people attending them all. They stay for a few months and then disappear because they are not getting any results. Why do they leave? Again I asked dozens of people and got the same answer – it takes too much time and produces no results!
Perhaps they give up to quickly? That may be so, but who is going to help them and guide them. Who is going to tell them how to be successful? The issue is that networking at the local level really does not work very well. Perhaps that explains why getting people to attend a networking event appears to be getting harder!
Well that might be a rather strong message, but if you ask anyone if it really does pay you’ll likely get a negative answer. It does beg the question as to why we still promote networking as the best way of finding business!
But is there a solution?
Is there a better way?
Are we missing something?
I wonder?
The truth really is that it does not really matter how much you network online or how much you help other people, the chance of you being rewarded is little better than zilch!
Why do I say that? Well because I asked hundreds of people who have been networking for at least two years! Yes some did get introductions but few admitted it turned into paid work. Of course the real truth is that the majority give up long before then and stop networking.
If you visit the off line clubs and events in your area you find the same people attending them all. They stay for a few months and then disappear because they are not getting any results. Why do they leave? Again I asked dozens of people and got the same answer – it takes too much time and produces no results!
Perhaps they give up to quickly? That may be so, but who is going to help them and guide them. Who is going to tell them how to be successful? The issue is that networking at the local level really does not work very well. Perhaps that explains why getting people to attend a networking event appears to be getting harder!
Well that might be a rather strong message, but if you ask anyone if it really does pay you’ll likely get a negative answer. It does beg the question as to why we still promote networking as the best way of finding business!
But is there a solution?
Is there a better way?
Are we missing something?
I wonder?
Wednesday, July 18, 2007
Facebook introduces New Technology
Facebook introduces New Technology
The social networking site Facebook recently announced that they were providing support for external developers to create and add functionality to the Facebook website.
This appears to be a technological advance, because now Facebook will be able to organically change as new functionality is added, without Facebook really being involved. This sounds like a very interesting advance and something to look forward to. As the demand for certain functionality arises, then developers will see the opportunity and jump in.
However, as usually there might be some real downsides!
During some recent research, we spoke to over 100 people about social and business networking and asked them what they thought of the platforms that they had visited. I have also spoken with a number of people who joined Ecademy, stayed for a week or so then never came back.
One of the main responses I received was that these platforms are not easy to use or understand. Ecademy for example, was said to be confusing and complex! To us, who use Ecademy every day, it is not difficult, but to others who could become potential paid members are they being put off and leaving?
Does the innovations at Facebook, no doubt followed by all the others social networking platforms as well, not lead to more and more complex and ‘geeky’ functionality? Will this not put people off even more?
Of course you cannot always make everything easy for everyone, and perhaps those who can’t be bothered to explore and learn how a site works should leave and not come back! But maybe that is a short sighted answer!
Do you think that in general these platforms are difficult to use?
Which ones are better than others?
What do you think?
Meet Jim on Ecademy (http://www.join-ecademy.com)
The social networking site Facebook recently announced that they were providing support for external developers to create and add functionality to the Facebook website.
This appears to be a technological advance, because now Facebook will be able to organically change as new functionality is added, without Facebook really being involved. This sounds like a very interesting advance and something to look forward to. As the demand for certain functionality arises, then developers will see the opportunity and jump in.
However, as usually there might be some real downsides!
During some recent research, we spoke to over 100 people about social and business networking and asked them what they thought of the platforms that they had visited. I have also spoken with a number of people who joined Ecademy, stayed for a week or so then never came back.
One of the main responses I received was that these platforms are not easy to use or understand. Ecademy for example, was said to be confusing and complex! To us, who use Ecademy every day, it is not difficult, but to others who could become potential paid members are they being put off and leaving?
Does the innovations at Facebook, no doubt followed by all the others social networking platforms as well, not lead to more and more complex and ‘geeky’ functionality? Will this not put people off even more?
Of course you cannot always make everything easy for everyone, and perhaps those who can’t be bothered to explore and learn how a site works should leave and not come back! But maybe that is a short sighted answer!
Do you think that in general these platforms are difficult to use?
Which ones are better than others?
What do you think?
Meet Jim on Ecademy (http://www.join-ecademy.com)
Tuesday, July 17, 2007
Is it right to have someone else network online for you?
Recently it has been suggested that is quite acceptable to have someone network online on behalf of another person.
Now whilst I think it is one thing to have someone else make introductions, or even to use a automatic messaging system, to get some initial response I’m not sure about the ethical issue of answering someone in the name of somebody else.
I know that politicians have press officers and private secretaries etc that carry out a similar task, which is one reason why the political system in this country is so bad …. those elected are not in touch with the those who elected them, maybe that is why voter turnout is dropping! ;)
If you visit a members profile and decide to message that person to ask for their advice on something that they are apparently knowledgeable about, how would you feel if your message was being answered by someone completely different!
Perhaps even someone that you did not like! What about the issues of confidentiality between two people? We will need to think twice before saying anything to someone we trust, just in case they have someone acting on their behalf.
OK so politicians do that, but that is what we expect.
Personal online networking is about building a trusted relationship between two people! How can you do that if they are not involved in the process?
If this become an acceptable practise, then online networking will become dead overnight.
I have a friend in Russia who speaks amazing English, I’m sure she would love to earn $8 per hour to answer my messages.
What do you think?
Now whilst I think it is one thing to have someone else make introductions, or even to use a automatic messaging system, to get some initial response I’m not sure about the ethical issue of answering someone in the name of somebody else.
I know that politicians have press officers and private secretaries etc that carry out a similar task, which is one reason why the political system in this country is so bad …. those elected are not in touch with the those who elected them, maybe that is why voter turnout is dropping! ;)
If you visit a members profile and decide to message that person to ask for their advice on something that they are apparently knowledgeable about, how would you feel if your message was being answered by someone completely different!
Perhaps even someone that you did not like! What about the issues of confidentiality between two people? We will need to think twice before saying anything to someone we trust, just in case they have someone acting on their behalf.
OK so politicians do that, but that is what we expect.
Personal online networking is about building a trusted relationship between two people! How can you do that if they are not involved in the process?
If this become an acceptable practise, then online networking will become dead overnight.
I have a friend in Russia who speaks amazing English, I’m sure she would love to earn $8 per hour to answer my messages.
What do you think?
Monday, July 16, 2007
Is ‘Paid for’ Social networking coming?
As many of you will already know, advertisers are finding it harder and harder to get sales via internet based social network advertising. This is mainly due to the generality of what is being sold, coupled with the ‘purple cow’ effect. This effect blinds us to advertising, because we see too much of it, and we are not really interested anyway!
For these social networks to survive how are they going to fund themselves? Will they rely on borrowing huge sums of money from investors? Will they borrow knowing hopefully that Google, Yahoo or Murdoch’s News Corporation will come along and put ‘big bucks’ in their pockets?
Well if they believe that then we are on our way to another dot.com bubble! These piranha type organisations only buy for a reason. It may be so they can market to the membership, it may be to boost their share price … or it may be because they …. don’t actually know why yet!
There seems little doubt that social networks is here to stay, at least for a while. If we consider the real reasons why people like to talk online then we can start to see ways to cater for them.
Is it because they believe it is ‘cool’ to be on these sites? Well may be, but what is ‘cool’ about being like everyone else!
Are they searching for something, like a partner for example? Well if my experience is anything to go by, the best thing about these types of sites is that you can pretend to be something that you are not!
Perhaps they are looking for long lost friends? But just how long does that take?
No, I think the real reason that social networks will flourish is simply because they enable people to communicate. If we called them “Interest Networks” instead it starts to make more sense! People communicate with people who share their interests.
Social Networks have to become more ’niche’ or ‘interest’ focused if they are to survive! But that in itself causes a problem. Most small ‘niche’ groups do not have the resources to create social network platforms! Well not until someone comes along and provides them with that resource.
What do you think?
Meet Jim on Ecademy (http://www.join-ecademy.com)
For these social networks to survive how are they going to fund themselves? Will they rely on borrowing huge sums of money from investors? Will they borrow knowing hopefully that Google, Yahoo or Murdoch’s News Corporation will come along and put ‘big bucks’ in their pockets?
Well if they believe that then we are on our way to another dot.com bubble! These piranha type organisations only buy for a reason. It may be so they can market to the membership, it may be to boost their share price … or it may be because they …. don’t actually know why yet!
There seems little doubt that social networks is here to stay, at least for a while. If we consider the real reasons why people like to talk online then we can start to see ways to cater for them.
Is it because they believe it is ‘cool’ to be on these sites? Well may be, but what is ‘cool’ about being like everyone else!
Are they searching for something, like a partner for example? Well if my experience is anything to go by, the best thing about these types of sites is that you can pretend to be something that you are not!
Perhaps they are looking for long lost friends? But just how long does that take?
No, I think the real reason that social networks will flourish is simply because they enable people to communicate. If we called them “Interest Networks” instead it starts to make more sense! People communicate with people who share their interests.
Social Networks have to become more ’niche’ or ‘interest’ focused if they are to survive! But that in itself causes a problem. Most small ‘niche’ groups do not have the resources to create social network platforms! Well not until someone comes along and provides them with that resource.
What do you think?
Meet Jim on Ecademy (http://www.join-ecademy.com)
Is Social Networking about to change?
Over the last few weeks there have been a number of discussions and reports about the problem advertisers are having in getting a reasonable return from their advertising on the larger social networking platforms.
It appears that these huge sites with their millions of members are perhaps not as they might seem to be. Members are not clicking on the advertisements! Why might this be? Is it perhaps because they are not interested in what they are being offered?But will this affect these sites?
After all they have to earn an income from somewhere if they are to survive. Can they actually capture enough information about each of their members so that they can target advertising? Even then how many members go back to these sites on a regular basis? Some reports suggest that over 97% of people, who sign up, never return!
As a result, will social networking move towards the 'paid for' platforms? Will they become much more 'niche' interest focused? Will this open up opportunities for the smaller niche advertiser?
... but more importantly what is your opinion on this subject?
It appears that these huge sites with their millions of members are perhaps not as they might seem to be. Members are not clicking on the advertisements! Why might this be? Is it perhaps because they are not interested in what they are being offered?But will this affect these sites?
After all they have to earn an income from somewhere if they are to survive. Can they actually capture enough information about each of their members so that they can target advertising? Even then how many members go back to these sites on a regular basis? Some reports suggest that over 97% of people, who sign up, never return!
As a result, will social networking move towards the 'paid for' platforms? Will they become much more 'niche' interest focused? Will this open up opportunities for the smaller niche advertiser?
... but more importantly what is your opinion on this subject?
Sunday, March 11, 2007
Is Network Marketing ALL Bad?
For some reason many people in the UK believe that being in a network marketing business is a bad thing! I have often wondered why we believe this especially as the whole pyramid selling thing was made illegal in 1973! Yes 34 years ago! Yet the stigma still hangs on.
I guess, that like me, you will have joined or been invited to join one or more network marketing companies over the years.
So how did you do?
Well like me, you probably said no or did not do very well at all. And to be honest with you I understand why. We all love the idea of earning lots of money, but when we are introduced to a network marketing company that little person inside jumps up and screams at us:-
But is it right?
Well, in most cases it is! And the reason it is, is because that is exactly how we feel. Our self talk knows best! Since we were toddlers we have been conditioned to the negative, told not to trust strangers (or speak to them), the only way to be rich is to work hard and nothing in this life is free! Oh how wrong are parents were!
So what happens when you meet someone who is in Network Marketing and who is really successful? How do we feel then? What does that little person whisper in our ear?
So actually it does seem that it is our interpretation of network marketing that dictates if we should look at it as a real way of earning an income for ourselves.
Perhaps we make judgements without actually looking at the facts and trying to find out about these businesses and if they really work.
As you can guess, I am in network marketing, along with nearly every other business in the world, except they don't choose to let you and me ( the general public) in on a slice of the action like the network marketing companies have. My company is very switched on to the market, its products and most importantly those who represent the company in the market place. I'm one of those lucky people, who's little person has let me down so many times that this time I told him where he could stick his thoughts! Mind you, he nearly won the first time I heard about it!
So what is all this about?
Why network marketing?
How does it differ from normal marketing?
Let's have a look and see if we can answer a few of those questions.
You see in the world we know, we believe that a manufacturer sells his product as follows:-
Now some manufacturers recognise that there is a demand for high quality products. The problem they face, is that their products have to compete with the lower quality, low prices products located on the shelves in the retail outlets.
It is sadly a fact that a consumable product that sells for say £10, located next to five other products that sell for £1 will not be that successful.
Why?
Because we as a buying public do not consider the quality of consumable products.
For example - You feel that you need to take extra vitamins! A months supply of vitamins can be purchased in your local supermarket for around £3. If you were faced by six different products, five at £3 and one at £15 would you buy the £15 product?
Probably not!
But in actual fact the £3 product will only contain the very basic vitamin needs (RDA) which when created nearly 70 years ago reflected a level of need much lower than we actually require, indeed the report HERE will enlighten you as to how little value RDA really is.
In truth, you wanted to buy vitamins because you felt you needed them, but you were sucked into buying tablets that are almost ineffective, rather than purchase real products that will do you the good you need, all because they are perceived as expensive!
Choosing the cheaper alternatives actually costs you more, because you are paying for vitamins that do you little good and give you almost no value, so you would be better to save your money and not buy any at all.
So how do these manufacturers market and sell their products against the cheaper look-a-likes?
Well they know that they need to present the products value to the potential customer and once they have done that, the price is no longer so important. They know that their products are much more superior as they have purposely gone out of their way to develop quality products.
The cost of producing them is many times that of the cheap end varieties. Because they know that selling off the shelves is really hard, they take the decision to cut out all the middle men and use the saved money, often around 50% to 60% to market directly using individuals.
This works really well as we have seen with Avon, Kleeneze and Tupperware to name just a few.
This same principle is often used in the franchise world, where quality is very high and buying resistance is felt because of the higher end user price, needed because of higher development and production costs! The strong brands of the franchise overcome the higher prices that need to be charged.
So, when a manufacturer cuts out the distribution costs and develop their own sales team, selling directly to the end user, this is often in the form that we call Direct Selling. The above examples demonstrate this, and to many will be familiar with the person who knocks on our door to sell us something, posts a catalogue to collect a few days later, or calls for a monthly order.
However the manufacturers still face the issue of how they reach their potential audience! The idea of selling directly to the end user is great in itself, but how do you get to them! We all know how popular the door to door sales person was! No doubt you will have also been to a party plan presentation in the home of one of your friends. These methods did work, but as our lifestyles have changed so have our buying habits! This has been increasingly more difficult as our lives appear to be getting ever busier.
Well this is where network marketing really comes into its own.
The manufacturer focuses on developing a superior product, then it identified a number of people who it can promote the product to, and approaches them and tell them that for every tube, tin, packet, box they sell, they will receive a commission. We all understand that and are happy with that concept.
Now it get a bit more difficult!
The manufacturer also asks those people to see if they can find others to do the same and sign them up to sell the product as well!
So what's in it for them if they do that as well?
Hmmm... well what about a little bit of commission on everything they sell as well.
Sounds good to me!
Ah Yes! But you will have to train those people as well so it does involve some work, but you will be rewarded for all your effort.
OK that sounds good, and I like the idea of being paid for my effort very much. But even more for getting paid for the effort of others!
But hang on! If I introduce lots of people for you, won't they be stealing all the sales that I would be making?
That could be true, but they will know people that you don't know! And those people are their friends and trust them!
Hmmmm! O.K. So I help train these people I introduce to do the same as I have been doing?
Correct! Because, growing the number of people who sell the product is very important, the manufacturer also agrees to pay a small percentage of their sales to you as well!.. Can't be bad.
Let me summarize.
This is how network marketing works.
It is word of mouth selling by people to their friends and work mates, in exchange for a commission. They can earn reasonable amounts depending on how much effort they put in. If theyjust want enough to pay for the products they purchase that is fine. If they want to earn a income rather than go to work, even better. If they want to be 'big' in the business and become a 'star' earning amount they would only perhaps dream of, then they can!
The real benefits come when they take it to the next level and start introducing other people so that they earn an income off of what they do as well. This is called leverage. Now, contrary to what many believe, this is quite acceptable.
It is no different from an employer who has people working for him making widgets.
How many people would you employ to make widgets if there was the demand?
Today modern network marketing companies have designed quality products that they know will remain in demand irrespective of the price. If the demand dries up, the business would soon be closing its doors.
Then using modern computer systems, these companies have developed payment plans that are so well balanced that they ensure that the members not only sell product but also recruit new members. They do work very well and reward those who work as well.
Indeed recently they have become so sophisticated that members are encouraged to buy the product for themselves and recruit others to do the same. This means that selling the product is no longer the main focus, but recruiting people is. Those who don't want to recruit can of course just purchase the quality products being offered.
The more people in your down-line, means the more you earn.
In a two leg payment system, it is common to recruit and add people to each of your two legs. You are usually paid on the lesser leg, i.e. the one producing the least volume. Technically if you are lucky enough to recruit two people, one in each leg, that grab the opportunity and recruit lots of other people, you will benefit from their activity.
However, in practise that does not normally happen in the early days, and experience has shown that those who do really well in this business and make huge earnings are those who have inherited or developed a recruitment system that ensures an ongoing recruitment effort.
Top performers have for a long time recognised that success is all about duplication. From years of experience they have developed simple to follow processes that are easy to carry out and easy to duplicate. They work, and often the biggest issues is getting people to follow these well tried and tested methods.
I know of individuals who have recruited just a few people and earn a useful monthly income, which is passive in nature, i.e. needs little or none of their time. On the other hand there are those who just love the whole idea, have thrown every moment of their time into getting it going, and love every second of it. They are rewarded with amazing leveraged incomes that have made them totally independent for the rest of their lives.
Most of these people are just ordinary individuals like you and I, who have worked hard all their lives and suddenly saw the opportunity that was in front of them. They grabbed it, put all their time and effort into it, followed the advice they were given by other successful people up-line to them, and within just a few years are earning incomes that only pop stars and footballers seem to get!
Some of those people I have had the privilege of meeting and seeing first ahnd their amazing energy and their ability to enjoy their lives as if each and every day was an exotic holiday!
Would you like to do that?
Well before dismissing what I've just said, simply ask yourself the following question....
"If this is right, how would I feel if I worked for myself, had no boss, and took home twice what I already earn?".
I don't know how much you earn but I do know that most people would be delighted to double their monthly income. Network Marketing with one of the leading companies in this area, can move you up the income scale quicker then any job ever will. I know of lots of people who have doubled their income every three months, year in year out! What does that mean? Look at this:-
OK! I know that many will not do this, but it is NOT because of the network marketing business that they are in, it is because THEY have chosen not to do it!
Being successful in any business is down to what you put into it! Network Marketing is no different. If you work at it, you will be successful, if you don't you won't, simple as that!
Is it a quick way to get rich? Well if you call two or three years quick, then I guess it is!
Good Luck!
Jim Tuffin
jim.tuffin@agel57.co.uk
http://www.agel57.co.uk
I guess, that like me, you will have joined or been invited to join one or more network marketing companies over the years.
So how did you do?
Well like me, you probably said no or did not do very well at all. And to be honest with you I understand why. We all love the idea of earning lots of money, but when we are introduced to a network marketing company that little person inside jumps up and screams at us:-
- This is pyramid selling!
- Earning £5,000 or £10,000 (or more) per month is just not possible!
- This is just American hype!
- These things don't last!
- Everyone is doing this - there no space for you!
- You can't speak to your friends about this - they'll never speak to you again!
- You don't want to be associated with MLM do you?
- You know others who have tried it, and it did not work for them!
- You've tried it before and it did not work for you!
- To earn an honest living you know you need to do a hard days work!
- If it's so great why isn't everyone doing it?
- It's too complicated for you to understand!
- This is just not you!
But is it right?
Well, in most cases it is! And the reason it is, is because that is exactly how we feel. Our self talk knows best! Since we were toddlers we have been conditioned to the negative, told not to trust strangers (or speak to them), the only way to be rich is to work hard and nothing in this life is free! Oh how wrong are parents were!
So what happens when you meet someone who is in Network Marketing and who is really successful? How do we feel then? What does that little person whisper in our ear?
- Ah, but they got in early, now is too late!
- They have hundreds of friends, you've only got two!
- You don't have their presentation skills to do that!
- You can't speak in public, you're frightened to pick up the phone!
- You don't have they money like they have!
- You couldn't ring up your friends and tell them about it, they would think you were stupid!
- Don't kid yourself, their successful because they are the successful type!
- They are ruthless, that's how they got where they have, your just a pussy cat!
- They're rich, cus they cheat!
So actually it does seem that it is our interpretation of network marketing that dictates if we should look at it as a real way of earning an income for ourselves.
Perhaps we make judgements without actually looking at the facts and trying to find out about these businesses and if they really work.
As you can guess, I am in network marketing, along with nearly every other business in the world, except they don't choose to let you and me ( the general public) in on a slice of the action like the network marketing companies have. My company is very switched on to the market, its products and most importantly those who represent the company in the market place. I'm one of those lucky people, who's little person has let me down so many times that this time I told him where he could stick his thoughts! Mind you, he nearly won the first time I heard about it!
So what is all this about?
Why network marketing?
How does it differ from normal marketing?
Let's have a look and see if we can answer a few of those questions.
You see in the world we know, we believe that a manufacturer sells his product as follows:-
- He sells to a number of large national distributors for a profit.
- Those large distributor sell or export to smaller distributors, also for a profit.
- Those distributors sell the products to lots of wholesaler also for a profit.
- The wholesalers in turn sells it to the many retailers, again for a profit
- Finally the retailer sells the product to us the consumer for a price which is many times that which the manufacture originally sold the product.
Now some manufacturers recognise that there is a demand for high quality products. The problem they face, is that their products have to compete with the lower quality, low prices products located on the shelves in the retail outlets.
It is sadly a fact that a consumable product that sells for say £10, located next to five other products that sell for £1 will not be that successful.
Why?
Because we as a buying public do not consider the quality of consumable products.
For example - You feel that you need to take extra vitamins! A months supply of vitamins can be purchased in your local supermarket for around £3. If you were faced by six different products, five at £3 and one at £15 would you buy the £15 product?
Probably not!
But in actual fact the £3 product will only contain the very basic vitamin needs (RDA) which when created nearly 70 years ago reflected a level of need much lower than we actually require, indeed the report HERE will enlighten you as to how little value RDA really is.
In truth, you wanted to buy vitamins because you felt you needed them, but you were sucked into buying tablets that are almost ineffective, rather than purchase real products that will do you the good you need, all because they are perceived as expensive!
Choosing the cheaper alternatives actually costs you more, because you are paying for vitamins that do you little good and give you almost no value, so you would be better to save your money and not buy any at all.
So how do these manufacturers market and sell their products against the cheaper look-a-likes?
Well they know that they need to present the products value to the potential customer and once they have done that, the price is no longer so important. They know that their products are much more superior as they have purposely gone out of their way to develop quality products.
The cost of producing them is many times that of the cheap end varieties. Because they know that selling off the shelves is really hard, they take the decision to cut out all the middle men and use the saved money, often around 50% to 60% to market directly using individuals.
This works really well as we have seen with Avon, Kleeneze and Tupperware to name just a few.
This same principle is often used in the franchise world, where quality is very high and buying resistance is felt because of the higher end user price, needed because of higher development and production costs! The strong brands of the franchise overcome the higher prices that need to be charged.
So, when a manufacturer cuts out the distribution costs and develop their own sales team, selling directly to the end user, this is often in the form that we call Direct Selling. The above examples demonstrate this, and to many will be familiar with the person who knocks on our door to sell us something, posts a catalogue to collect a few days later, or calls for a monthly order.
However the manufacturers still face the issue of how they reach their potential audience! The idea of selling directly to the end user is great in itself, but how do you get to them! We all know how popular the door to door sales person was! No doubt you will have also been to a party plan presentation in the home of one of your friends. These methods did work, but as our lifestyles have changed so have our buying habits! This has been increasingly more difficult as our lives appear to be getting ever busier.
Well this is where network marketing really comes into its own.
The manufacturer focuses on developing a superior product, then it identified a number of people who it can promote the product to, and approaches them and tell them that for every tube, tin, packet, box they sell, they will receive a commission. We all understand that and are happy with that concept.
Now it get a bit more difficult!
The manufacturer also asks those people to see if they can find others to do the same and sign them up to sell the product as well!
So what's in it for them if they do that as well?
Hmmm... well what about a little bit of commission on everything they sell as well.
Sounds good to me!
Ah Yes! But you will have to train those people as well so it does involve some work, but you will be rewarded for all your effort.
OK that sounds good, and I like the idea of being paid for my effort very much. But even more for getting paid for the effort of others!
But hang on! If I introduce lots of people for you, won't they be stealing all the sales that I would be making?
That could be true, but they will know people that you don't know! And those people are their friends and trust them!
Hmmmm! O.K. So I help train these people I introduce to do the same as I have been doing?
Correct! Because, growing the number of people who sell the product is very important, the manufacturer also agrees to pay a small percentage of their sales to you as well!.. Can't be bad.
Let me summarize.
- A manufacturer produces a quality product for me to sell.
- I don't need to handle or deliver the product.
- In return for selling it I get paid an ongoing commission.
- I also seek out others who would like to do the same.
- I help them to do so and in return I get paid some commission on what they sell as well!
- As I am effectively building a sales team and motivating and training them I receive a further small commission on the activity of those down-line to me to specified level.
This is how network marketing works.
It is word of mouth selling by people to their friends and work mates, in exchange for a commission. They can earn reasonable amounts depending on how much effort they put in. If theyjust want enough to pay for the products they purchase that is fine. If they want to earn a income rather than go to work, even better. If they want to be 'big' in the business and become a 'star' earning amount they would only perhaps dream of, then they can!
The real benefits come when they take it to the next level and start introducing other people so that they earn an income off of what they do as well. This is called leverage. Now, contrary to what many believe, this is quite acceptable.
It is no different from an employer who has people working for him making widgets.
- Each employee makes a widget that the employer sells for £5.
- The employee gets £1 for making it!
- The materials cost £1.
- The overheads are £1.
- Marketing costs are £1.
- The profit to the employer is £1.
How many people would you employ to make widgets if there was the demand?
Today modern network marketing companies have designed quality products that they know will remain in demand irrespective of the price. If the demand dries up, the business would soon be closing its doors.
Then using modern computer systems, these companies have developed payment plans that are so well balanced that they ensure that the members not only sell product but also recruit new members. They do work very well and reward those who work as well.
Indeed recently they have become so sophisticated that members are encouraged to buy the product for themselves and recruit others to do the same. This means that selling the product is no longer the main focus, but recruiting people is. Those who don't want to recruit can of course just purchase the quality products being offered.
The more people in your down-line, means the more you earn.
In a two leg payment system, it is common to recruit and add people to each of your two legs. You are usually paid on the lesser leg, i.e. the one producing the least volume. Technically if you are lucky enough to recruit two people, one in each leg, that grab the opportunity and recruit lots of other people, you will benefit from their activity.
However, in practise that does not normally happen in the early days, and experience has shown that those who do really well in this business and make huge earnings are those who have inherited or developed a recruitment system that ensures an ongoing recruitment effort.
Top performers have for a long time recognised that success is all about duplication. From years of experience they have developed simple to follow processes that are easy to carry out and easy to duplicate. They work, and often the biggest issues is getting people to follow these well tried and tested methods.
I know of individuals who have recruited just a few people and earn a useful monthly income, which is passive in nature, i.e. needs little or none of their time. On the other hand there are those who just love the whole idea, have thrown every moment of their time into getting it going, and love every second of it. They are rewarded with amazing leveraged incomes that have made them totally independent for the rest of their lives.
Most of these people are just ordinary individuals like you and I, who have worked hard all their lives and suddenly saw the opportunity that was in front of them. They grabbed it, put all their time and effort into it, followed the advice they were given by other successful people up-line to them, and within just a few years are earning incomes that only pop stars and footballers seem to get!
Some of those people I have had the privilege of meeting and seeing first ahnd their amazing energy and their ability to enjoy their lives as if each and every day was an exotic holiday!
Would you like to do that?
Well before dismissing what I've just said, simply ask yourself the following question....
"If this is right, how would I feel if I worked for myself, had no boss, and took home twice what I already earn?".
I don't know how much you earn but I do know that most people would be delighted to double their monthly income. Network Marketing with one of the leading companies in this area, can move you up the income scale quicker then any job ever will. I know of lots of people who have doubled their income every three months, year in year out! What does that mean? Look at this:-
- At Start Monthly Income £ZERO
- After 3 months Income £250
- After 6 months Income £500
- After 9 months Income £1,000
- After 12 months Income £2,000
- After 15 months Income £4,000
- After 18 months Income £8,000
- After 21 months Income £16,000
- After 24 months Income £32,000
OK! I know that many will not do this, but it is NOT because of the network marketing business that they are in, it is because THEY have chosen not to do it!
Being successful in any business is down to what you put into it! Network Marketing is no different. If you work at it, you will be successful, if you don't you won't, simple as that!
Is it a quick way to get rich? Well if you call two or three years quick, then I guess it is!
Good Luck!
Jim Tuffin
jim.tuffin@agel57.co.uk
http://www.agel57.co.uk
Wednesday, November 08, 2006
Networking, Networking, Networking!
"That's what I do .... networking, networking, networking. Each and every day I'm out there looking for new people to talk to, people who I can sell my products to, but it's just hard work and it does not work!", said a friend of mine.
Well that is quite likely and we have all heard a similiar story at some time or another. But why does it work for some people and not for others?
Well there is a secret that those who make networking work know and the rest don't.
I wonder what it is?
Look HERE for networking in the South of England or HERE for online networking
Well that is quite likely and we have all heard a similiar story at some time or another. But why does it work for some people and not for others?
Well there is a secret that those who make networking work know and the rest don't.
I wonder what it is?
Look HERE for networking in the South of England or HERE for online networking
Saturday, June 24, 2006
Going on 40 … or 50 …. Or even 60?
When I was 49 I suddenly found myself unemployed and broke after a business failure! Once I had sorted out the issues that caused it, I moved from my lovely home in the country to a small end of terrace house, courtesy of a local housing association. It was very compact but my family and I were very grateful to have a roof over our heads.
I then started the task of finding myself a job of work, to enable me to start building what I had just lost. I was an experienced manager and had been a director of a number of companies, some successful and other not quite so.
I had a good knowledge of IT and software development, and real skills in working with people and developing new business concepts. I saw myself as very innovative and bright with a great future ahead.My first task was to create a new CV, one that showed me off in the best light. I had never needed a CV before because I had never needed to apply for a job. Jobs had always come to me! I co-opted the help of a friend who was well experienced in the recruitment industry and with the help of a book all about CV writing, we put together what we thought, was a great CV. We then made a number of versions of it for the various areas that we thought I could gain employment. This was the easy bit!
Next we drafted a letter to be sent to each of the local recruitment agencies that would each have dozens of jobs that might be of interest to me. This was relatively simple and in due course the letters, all fifty four were dispatched along with a photo and a copy of my CV.
This was quite easy as well!
Then I began the task off scanning the local and national newspapers, job and agency websites, looking for potential jobs that I could apply for. This seemed easy enough, and I selected those jobs that I though I could do well and paid enough money. Requests for applications forms were despatched and after a few days the letters came pouring in. That all seemed reasonably easy as well!
Then came the task of reading each of the job and person specifications and completing the application forms. "Minimum five years experience required", "a degree in Bionics", "5 A levels" etc. Now this was starting to get harder. So far I had only found two jobs that I could even apply for. Why didn't they say in the job ad that they needed 5 years experience? It didn't matter that the job was for a trainee? Office Manager? Why do they need a degree in Bionics? I thought it was the office and the people that they needed managing, or did they employ robots?Anyway I persevered and sent off application after application. I kept a copy of every job I applied for and as the answers came back I would file them away.
About 1 in 7 responded in anyway to my application, always saying that they were sorry but there were other candidates more qualified than me, but they would keep my name on file just in case another job became available that I might be more suited to.
Why do they bother, I never heard from a single one of them again. I even had one company who sent me a very rude letter saying that I had applied for a job with them, when their advertisement has clearly stated that previous applicants need not apply. What even for a totally different job? Even when it was 7 months later?
Over the next few months, I continued undeterred, to apply for jobs, complete application forms, talk to recruitment agencies and generally do what had to be done. Even the local job centre was unable to help past making me give up two hours every other week, spend money on petrol to drive the 30 miles round trip to sign on to get my £50, which didn't even cover the expenses I incurred looking for a new job. During all those months they never did anything to increase my chances of getting employment! Typical government agency! Don't get me wrong, the staff were very sympathetic to my plight, but the system was not designed to help us find work, but to make sure that the correct benefit were doled out, and unemployment statistics were massaged correctly!
Sorry if I'm a cynic, but you're starting to understand why!As the time went by I began applying for lesser positions with a lot less money. At least, I reasoned, I would stand a better chance of getting a junior position as I would not have an issue with experience or qualifications! How wrong I was! Now I was being told that I was too experienced in business and would quickly get fed up or bored with the job they were offering!! One company even suggested that I would find working with young female clerks uncomfortable! Yes I might have, but sometimes in life you have to do things out of necessity rather than because you just like doing them.
Anyway, surely they were employing me to do a job, rather than worry about me working with an office full of young people. I'd probably enjoyed it anyway! Then about six months into my search, now 50 years old, I suddenly get invited to an interview at a local warehouse for the position of Office Manager. Hooray!! So when the day arrived, I donned my best suit and brushed my hair (what little I have) and gave myself a good talking too. Off I went to my interview and after being kept waiting for 30 minutes past my time, I was ushered into a very untidy office of the manager.
He was very kind, and told me all about what they did and at the end of his dissertation he asked me if I thought I could do the job. I don't think he asked me one single question other than that. YES! I responded, knowing I could do this standing on my head. My dog could have done the job as well as me! "OK" he said, "you are the best candidate we have had so far, and I can tell you that, you will probably get offered the position, but I do have one more candidate to interview. He is waiting outside at this moment. I'll call you with my decision one way or another tomorrow."
I was dismissed and as I left the office I saw a young spotty, long haired youth sat where I had been sat, in his un-ironed shirt, a black tie (probably his only tie, the one he had for a family funeral) and jeans. "Ah" I thought "this looks very promising!" Indeed it did, here was a job that was literally just 5 minutes walk from my home, a job I could do easily, and although the pay was poor, maybe I would be able to get a substantial increase (as I had often done before) once they saw how effective I was as a manager.
The next day, I waited for his phone call, but as the day neared its end my heart began to drop as I realised that he was not going to call. "Not to worry" I thought, he is probably very busy and just didn't get around to it. The days past and I did not get that call, not even a letter saying sorry.
About three weeks later I was walking my dog past the warehouse when I bumped into the lady who had looked after me when I went for my interview. I asked her who got the job. "You did" she said, "but you never turned up!" she continued. You can image how amazed I was that I had been given a job but no one had thought of telling me. Anyway to cut a long story short, it turned out that the company had decided to close that warehouse down, and therefore did not offer me the job, and as they did not want to tell the staff at that stage, they even lied to them!
On hindsight is was a blessing is disguise.Eventually after I had applied for 743 different jobs I was offered another interview, and again off I went only to be told that I was over qualified for the position. I did however get offered a position as the manager of the person whose job I had applied for, and started there after 17 months of unemployment now aged 51. I stayed there for three years, working my way up until sadly I had to resign because of ill health.
So why have I told you this story?
Well it is to highlight the plight of those of us who are in our fifties or later (or earlier in many cases) who, through little fault of our own were unable to go to University, have few qualifications from school, perhaps worked in vocational jobs until they disappeared, served in the armed forces as I did, or graduated from a menial task into junior management, then progressed onto senior management perhaps with one company for a long period of time. Then later in life, after various politicians had forced in legislation and change to the workplace we become a burden on our employer and got no further. Once we leave, that is about it!
Whether you are 30, 40, 50, 60 or even older you have lots of value to give. Today employers are short sighted, following the crowd, employing graduates because they have a bit of paper, ignoring experienced people who have skills that the young just cannot have until they are 'time served'!So my question is …. At what time in life do we move into that group of older people who have little value in today's modern workplace? In my case it was 49, but could it be 45 or even 40? Has this happened to you?
Sadly, with fewer children being born, in future years there will be a shortage of people to fill the jobs (that is if they still exist, but that's another story completely) and then I suppose someone will suddenly realise that we do have value. I just wish that the politicians and decision makers of today would consider the longer term effects of the decisions that they make, and then perhaps this world would be a better place to live in.
Just because we are getting older, it does not mean that we are not valuable members of society with a wealth of knowledge and experience to give and share. Later this year will see the arrival of The Chronos Club, (www.the-chronos-club.com) a new concept in helping those who are 'neo-retired' get a voice, start contributing again, and allowing them to raise their heads and show the rest of the world, that just because we are getting older, does not mean that we do not have lots to give!I
f you are interested in this subject then please let me know by emailing me at jim@the-chronos-club.com
Jim Tuffin
http://www.businessmatchmakers.co.uk/
I then started the task of finding myself a job of work, to enable me to start building what I had just lost. I was an experienced manager and had been a director of a number of companies, some successful and other not quite so.
I had a good knowledge of IT and software development, and real skills in working with people and developing new business concepts. I saw myself as very innovative and bright with a great future ahead.My first task was to create a new CV, one that showed me off in the best light. I had never needed a CV before because I had never needed to apply for a job. Jobs had always come to me! I co-opted the help of a friend who was well experienced in the recruitment industry and with the help of a book all about CV writing, we put together what we thought, was a great CV. We then made a number of versions of it for the various areas that we thought I could gain employment. This was the easy bit!
Next we drafted a letter to be sent to each of the local recruitment agencies that would each have dozens of jobs that might be of interest to me. This was relatively simple and in due course the letters, all fifty four were dispatched along with a photo and a copy of my CV.
This was quite easy as well!
Then I began the task off scanning the local and national newspapers, job and agency websites, looking for potential jobs that I could apply for. This seemed easy enough, and I selected those jobs that I though I could do well and paid enough money. Requests for applications forms were despatched and after a few days the letters came pouring in. That all seemed reasonably easy as well!
Then came the task of reading each of the job and person specifications and completing the application forms. "Minimum five years experience required", "a degree in Bionics", "5 A levels" etc. Now this was starting to get harder. So far I had only found two jobs that I could even apply for. Why didn't they say in the job ad that they needed 5 years experience? It didn't matter that the job was for a trainee? Office Manager? Why do they need a degree in Bionics? I thought it was the office and the people that they needed managing, or did they employ robots?Anyway I persevered and sent off application after application. I kept a copy of every job I applied for and as the answers came back I would file them away.
About 1 in 7 responded in anyway to my application, always saying that they were sorry but there were other candidates more qualified than me, but they would keep my name on file just in case another job became available that I might be more suited to.
Why do they bother, I never heard from a single one of them again. I even had one company who sent me a very rude letter saying that I had applied for a job with them, when their advertisement has clearly stated that previous applicants need not apply. What even for a totally different job? Even when it was 7 months later?
Over the next few months, I continued undeterred, to apply for jobs, complete application forms, talk to recruitment agencies and generally do what had to be done. Even the local job centre was unable to help past making me give up two hours every other week, spend money on petrol to drive the 30 miles round trip to sign on to get my £50, which didn't even cover the expenses I incurred looking for a new job. During all those months they never did anything to increase my chances of getting employment! Typical government agency! Don't get me wrong, the staff were very sympathetic to my plight, but the system was not designed to help us find work, but to make sure that the correct benefit were doled out, and unemployment statistics were massaged correctly!
Sorry if I'm a cynic, but you're starting to understand why!As the time went by I began applying for lesser positions with a lot less money. At least, I reasoned, I would stand a better chance of getting a junior position as I would not have an issue with experience or qualifications! How wrong I was! Now I was being told that I was too experienced in business and would quickly get fed up or bored with the job they were offering!! One company even suggested that I would find working with young female clerks uncomfortable! Yes I might have, but sometimes in life you have to do things out of necessity rather than because you just like doing them.
Anyway, surely they were employing me to do a job, rather than worry about me working with an office full of young people. I'd probably enjoyed it anyway! Then about six months into my search, now 50 years old, I suddenly get invited to an interview at a local warehouse for the position of Office Manager. Hooray!! So when the day arrived, I donned my best suit and brushed my hair (what little I have) and gave myself a good talking too. Off I went to my interview and after being kept waiting for 30 minutes past my time, I was ushered into a very untidy office of the manager.
He was very kind, and told me all about what they did and at the end of his dissertation he asked me if I thought I could do the job. I don't think he asked me one single question other than that. YES! I responded, knowing I could do this standing on my head. My dog could have done the job as well as me! "OK" he said, "you are the best candidate we have had so far, and I can tell you that, you will probably get offered the position, but I do have one more candidate to interview. He is waiting outside at this moment. I'll call you with my decision one way or another tomorrow."
I was dismissed and as I left the office I saw a young spotty, long haired youth sat where I had been sat, in his un-ironed shirt, a black tie (probably his only tie, the one he had for a family funeral) and jeans. "Ah" I thought "this looks very promising!" Indeed it did, here was a job that was literally just 5 minutes walk from my home, a job I could do easily, and although the pay was poor, maybe I would be able to get a substantial increase (as I had often done before) once they saw how effective I was as a manager.
The next day, I waited for his phone call, but as the day neared its end my heart began to drop as I realised that he was not going to call. "Not to worry" I thought, he is probably very busy and just didn't get around to it. The days past and I did not get that call, not even a letter saying sorry.
About three weeks later I was walking my dog past the warehouse when I bumped into the lady who had looked after me when I went for my interview. I asked her who got the job. "You did" she said, "but you never turned up!" she continued. You can image how amazed I was that I had been given a job but no one had thought of telling me. Anyway to cut a long story short, it turned out that the company had decided to close that warehouse down, and therefore did not offer me the job, and as they did not want to tell the staff at that stage, they even lied to them!
On hindsight is was a blessing is disguise.Eventually after I had applied for 743 different jobs I was offered another interview, and again off I went only to be told that I was over qualified for the position. I did however get offered a position as the manager of the person whose job I had applied for, and started there after 17 months of unemployment now aged 51. I stayed there for three years, working my way up until sadly I had to resign because of ill health.
So why have I told you this story?
Well it is to highlight the plight of those of us who are in our fifties or later (or earlier in many cases) who, through little fault of our own were unable to go to University, have few qualifications from school, perhaps worked in vocational jobs until they disappeared, served in the armed forces as I did, or graduated from a menial task into junior management, then progressed onto senior management perhaps with one company for a long period of time. Then later in life, after various politicians had forced in legislation and change to the workplace we become a burden on our employer and got no further. Once we leave, that is about it!
Whether you are 30, 40, 50, 60 or even older you have lots of value to give. Today employers are short sighted, following the crowd, employing graduates because they have a bit of paper, ignoring experienced people who have skills that the young just cannot have until they are 'time served'!So my question is …. At what time in life do we move into that group of older people who have little value in today's modern workplace? In my case it was 49, but could it be 45 or even 40? Has this happened to you?
Sadly, with fewer children being born, in future years there will be a shortage of people to fill the jobs (that is if they still exist, but that's another story completely) and then I suppose someone will suddenly realise that we do have value. I just wish that the politicians and decision makers of today would consider the longer term effects of the decisions that they make, and then perhaps this world would be a better place to live in.
Just because we are getting older, it does not mean that we are not valuable members of society with a wealth of knowledge and experience to give and share. Later this year will see the arrival of The Chronos Club, (www.the-chronos-club.com) a new concept in helping those who are 'neo-retired' get a voice, start contributing again, and allowing them to raise their heads and show the rest of the world, that just because we are getting older, does not mean that we do not have lots to give!I
f you are interested in this subject then please let me know by emailing me at jim@the-chronos-club.com
Jim Tuffin
http://www.businessmatchmakers.co.uk/
Monday, April 24, 2006
Does Politics really have the answer?
It occurred to me the other day that the problem with most politicians is that they are actually afraid to do anything very much. Take a normal Member of Parliament in the UK. Does he or she feel absolutely free to make what comments or suggestions they feel are correct? Of course not, they have to tow the party line or take the consequences.
If a political party has a strong leader, that person will not tolerate anyone stepping out of line. Oh they will of course, but they will be penalised when it comes to appointments and positions that are up for grabs! Tow the line, and you will be considered for a position, or at least you will believe that you might have a chance!
What would happen if the 'people' voted individuals into each of the cabinet positions? Would we find suddenly a lot of out spoken people who having said their bit to get elected, now are able to carry through by voicing their opinions in parliament? Or I we going to always have this existing system that is actually not a lot more than a committee with it's hands bound together?
Oh I know that many will say that unless you keep the existing system you will have anarchy, and you can't have people just doing their own thing! Can you?
Jim Tuffin
http://www.businessmatchmakers.co.uk
If a political party has a strong leader, that person will not tolerate anyone stepping out of line. Oh they will of course, but they will be penalised when it comes to appointments and positions that are up for grabs! Tow the line, and you will be considered for a position, or at least you will believe that you might have a chance!
What would happen if the 'people' voted individuals into each of the cabinet positions? Would we find suddenly a lot of out spoken people who having said their bit to get elected, now are able to carry through by voicing their opinions in parliament? Or I we going to always have this existing system that is actually not a lot more than a committee with it's hands bound together?
Oh I know that many will say that unless you keep the existing system you will have anarchy, and you can't have people just doing their own thing! Can you?
Jim Tuffin
http://www.businessmatchmakers.co.uk
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