Do you spend money on advertising to create awareness about your product? You don’t need to do that any longer. The new rule is: invest in making your product so good that it does its own marketing.
New Age companies, Amazon and Flipkart, Uber and Ola, and Netflix, among others, are dismantling the old rules of business and installing new rules in their place.
The book “New Rules of Business” unfolds the mysteries of these new ways of doing business which most companies try to keep under wraps. Compellingly written with several anecdotes, this is a gripping book full of incredible insights.
Preeti Chaturvedi in conversation with Rajesh Srivastava about his new book -’ New Rules of Business’
The book unfolds the mysteries of new ways of doing business adopted by the new-age companies. What are some of the ‘new’ rules in complete contrast to the ‘old’ ones?
Treating your customers well is no longer enough. The new rule is: Employees, too, have to be treated, as well, if not better than customers. Happy employees make customers happy; happy customers tend to be loyal.
Do you believe that the job of a salesperson is to sell & sell more? No longer. The new rule is: They have to transform into a sales consultant & in this new role they have to inform, educate, & assist customers in making a decision which is in their best interest.
The lockdown has served as a good startup incubator for several homemakers who’ve convened the time and the courage to monetize their ideas during quarantine. What are the things they should make a note of for their imminent or already running business?
· The start-up should solve a customer problem.
· Do not wait for the product to be 100% perfect. Instead, launch a Minimum Viable Product (MVP) and let ‘real’ customers use it. Make sure to collect feedback from them and incorporate them into your product. In this way, your product will progressively become better and better.
· Invest money in making the product so good that it does its own marketing.
· Make a promise to the customer which you can deliver. Let the customers decide if she has ‘experienced’ your promise. If not, then self-penalize yourself.
· Build a team and empower them to make decisions.
Running a business for a mother comes with more hindrances than usual. One is bound to struggle with time management and prioritization. What are the steps that they can follow to balance it out?
· Harness technology by automating as many activities (and jobs) as possible.
· Convert your customers into your full-time / part employees. They will do jobs themselves which you or your team were doing.
· Focus on doing the core of your business. Out-source all other non-core activities. This will free up your time to focus on critical activities.
· Consciously build ‘redundancy’ into your business model so that delays or misses on your part do not inconvenience your customers.
The process of brainstorming ideas for the business ends with many possibilities. How can we narrow it down to one, and what should be the parameters for the same?
· The business idea should address a customer problem.
· If the chosen business idea addresses a problem that is also faced by you then the chances of it succeeding improves.
· If this business idea also happens to be your passion or hobby then the chances of it succeeding improve even more.
Each industry is influenced by a specific classification of brand or people. According to you, what are the current best Industries and domains to explore for a homemaker turned entrepreneur?
· Health & wellbeing
· Food & nutrition
· Content creation
· Online education
· Daycare services
· Sweating ‘own’ asset’.
Finally, competition. What triggered the collapse of Nokia?
Not a competitor from the handset industry. It was an iPhone introduced by Apple, which was from a different industry. New age competitors are indirect, invisible & from cross-industry.
In almost every facet of business ‘old’ rules are being challenged and dismantled and ‘new’ ones are being installed. If you are not familiar with them, then a Nokia-like fate awaits you.