East Eats West

How to encourage smoking

Picture: Smoke signals from Switzerland (behind a Thai monastery in Switzerland). 

Like other countries before Switzerland will introduce graphic pictures of side-effect of smoking on cigarette packages. According to the Neuroscientist Martin Lindstrom this is the best way of actually encouraging smoking. This might run against common sense but results in the US, where smoking among young adults has increased, seems to support Mr. Lindstrom’s theory. Everyone knows that smoking is bad for your health. But every young adult knows that smoking is cool as well. So if the government tells you “smoking is bad” it actually re-enforces the coolness of smoking. So maybe Switzerland should not introduces graphic pictures and grave warnings on cigarette packages. Read more about Martin Lindstrom here: http://easteatswest.typepad.com/east_eats_west/2009/05/what-comes-after-the-brand-as-religion.html

I accept what I think

Have you ever tried to convince your boss about a new idea you had? Have you ever tried to persuade your parents to understand your unusual choice of job? And did you fail? If yes, do not despair, there is a psychological explanation for it. According to studies dating back to the 1960s psychologists have found that people are more accepting of ideas close to their own views and resistant to those that differ. This has also further implications for sales people. A successful sales person therefore can present a product in a way that is close to the client’s perception. Or put the other way around, the most persuasive sales person is that one who knows what his clients thinks and wants. 

Selling is communication

Picture: If you smile and talk to me, I buy your car!

I recently went to a client-event of a medium sized Swiss bank. There were about 150 invited guests and at least 20 staff from the bank. And there it was again, a Swiss phenomenon: during the cocktail not a single sales person who talked to me nor was there any mingling of the guests. Not that I complain, I met some interesting people nevertheless. As I wrote before the Swiss are bad at small talk and prefer to stand around instead of talking to people (not only potential clients). So why bother doing such an expensive event if you do not want to talk to potential clients? One thing is for sure: without shaking-hands, saying hello and talking, there are no sales. I know a consultant who works with private bankers and he experienced the same phenomena: the Swiss bankers are reluctant to meet new people. They prefer to wait behind their desks for new clients. Well, this is good for those who do talk to people (aka me). And yes, it is a Swiss ‘problem’ as I took a German colleague and she had no problem talking to guests at the reception. A friend of mine is aware of this problem and he offers coaching for ‘shy’ sales-guys. Maybe he will unlock the sales-potential of Swiss bankers!

PS: It can be argued that Switzerland is a prime banking hub but not because of the world-class sales-skills of its bankers!

Blue Jeans from Japan

I buy jeans every blue moon or less often. So you can tell that I am completely ignorant about the newest trends and brands in jeans. I still like the basic look: blue, straight-cut with no features. Plain and simple. As it was time to buy a new pair of jeans (I bought the last jeans about ten years ago) I went to my favourite jeans shop and inquired for jeans. I found a classic looking pair that fit me and when I looked at the label, I was surprised big time. The label read “Made in Japan”! Blue jeans made in Japan? The sales person told me then that Japanese producers bought decades ago old American machinery for making jeans. This was when American brands like Levis took advantage of industrialization and got ride of their old machinery. The Americans thought the Japanese funny and laughed at them. Well, they stopped laughing as the Japanese jeans made on “old” machines became very popular. Edwin started producing jeans in 1961 and kept on innovating with new washing-methods and new garments. And it was the first company to introduce the stone-washed look; mind you, a Japanese company, not an American one!

http://www.edwin-europe.com/

Sticking messages

Picture: A simple and sticking message delivered on the 1st of May in Zurich.

According to an US study about medical doctors, doctors who listen to their patients get sued less; regardless of the success of the treatment. According to an article in the German weekly Die Zeit about the “placebo-effect”, certain doctors “heal” patients just by lending them an ear. The “placebo-effect” works particularly well for mental disorders like back-pain and sleeping-disorder (it does not work on broken legs). Crucial for the success of the placebo-treatment is how strong the suggestion by the doctor is: the more competent and convincing the doctor, the higher the chance of “healing” for the patient. Medical treatments are a good example of services that are based on trust as the results are hard to compare. And trust is apparently generated by how strong the suggestion aka the message is. If patients believe that they are receiving a beneficial treatment, they would likely respond to the said treatment (and less often to sue their doctor).

If delivering the all important message is so important, I wonder why I regularly have to attend poor presentations by managers, politicians, professors and other professionals. Not only are the presentations, aided by PowerPoint, poorly researched; often presenters invest 95% of their time building a case and gathering facts with only 5% of their time devoted to thinking about how to get the message across. More often than not the message they desperately try to convey does not get across or stay in people’s head.

Our brain constantly looks for familiar clues and draws conclusions from the setting, e.g. a stethoscope indicates a doctor. If a doctor does not look or behave like a doctor, we would not trust him (just watch Dr. House on TV). But obviously we cannot wear stethoscopes as managers. So how do you present in a “memorable” way? According to Chip Heath, a communication trainer, a message has to be simple, it has to contain surprising elements, it has to be concrete and credible and it has to be emotional and tell a story. In my eyes especially the last element, the story-telling, is crucial for crafting a message that sticks. Think about any message that successfully stuck around for a long time, the Bible or the Koran, fairy tales, movies etc., and you realize that the message is always encapsulated in a story. So before actually start preparing for a presentation, ask yourself what story you would want to tell and how to make it simple and emotional. And use PowerPoint only sparingly for the most important messages, pictures or charts. Think about how to create a “placebo-effect” in your audience. And be emotional (it also prevents the audience from falling asleep). Just watch any television evangelist and learn how to make a very old story stick.

Learn on how to make a message stick here: http://www.mckinseyquarterly.com/article_abstract.aspx?ar=2062&l2=18&l3=27&srid=17 

Premium Vodka from Switzerland

Everyone knows that Vodka comes from Russia. Or does it come from Sweden (Absolut Vodka belongs to the Swedish government)? Most Vodka brands nowadays belong to big multinationals like Diageo but did you know that there is one Swiss Vodka distiller? A small Swiss company owned by the Affentranger family produces in the heart of Switzerland (Willisau near Lucerne) a Swiss premium, rye-based Vodka called Xellent that is a big hit especially in the USA. And the Vodka in a red bottle with the Swiss cross on it is only three years old. It is produced and bottled in Switzerland and has won many prices around the world for its quality. So not only big multinational companies can come up with successful new products.

PS: Jägermeister, the herb-based spirit from Germany, has in recent years acquired cult status through clever marketing. It is also family-owned.

Forget about recipes for success in business!

Lots of management books and MBA business cases give the false impression that there is always a simple recipe for success in business. Well, rather late even management consultants have woken up to the fact that it all boils down to good marketing. This is at least what the reputable consultancy McKinsey realized when they studied companies as Cisco or ABB and found no permanent secret for success in business. This success stories that lend a “halo effect” to CEOs and companies are based on incomplete information and therefore misleading. According to McKinsey there is only one truth: there is no recipe for lasting success and performance, as there is none in real life! Sorry for bursting your cosy little management bubble. 

Read more in this enlightening article by McKinsey: http://www.mckinseyquarterly.com/article_page.aspx?ar=1928&L2=21&L3=37&srid=17&gp=0

Amazing customer service by Eaglecreek

Picture: My trusted Eaglecreek Tarmac suitcase on wheels.

In a world where marketing can sell everything and quality equals branding, it is hard to find products and companies that still offer good customer service. But they still exist!

After traveling for almost a year with my sturdy Eaglecreek Tarmac suitcase on wheels the airlines managed to break three times the handle of the suitcase. Back in Zurich I brought my suitcase to the outdoor outfitter Transa where I bought it and to my utter surprise after three weeks they told me that I get a completely new suitcase for free (the suitcase cost 300$). Thank you very much for this generous replacement, Eaglecreek! Because of you I still believe that there is good customer service out there, somewhere!

http://www.eaglecreek.com/

http://www.transa.ch/deutsch/traveloutdoor/index.html

Where product quality meets customer service: Brogues & More in Zurich

We live in a branded world and this is particularly true in fashion: from branded handbags to luxury watches only brands matter as they are status beacons. Who cares if a Louis Vuitton bag is real or fake as long as it bears a big logo? If you venture into a Gucci or Louis Vuitton store only few customers care about the product quality and their inquiries are limited to sizes and prices. But what do you do if you have a special request and need good and honest advice?

As I do not only have problems with buying off-the-rack suits but I also have extravagantly shaped feet and therefore most off-the-rack shoes do not fit my feet. I recently was shopping around for shoes but no one could offer me good advice or service: no Bally, no Cheaney and no Church sales persons; not until I found Brogues & More shoes and accessories in Zurich, a little shop not far from Paradeplatz. The owner, Mrs. Schuler, is a commanding lady beaming with passion for her products. She has been operating for over ten years and is specialized in high quality foot-wear and accessories. I related to her my shoe-problem and she brought me two pairs of shoes to try. The second pair from Handmacher was a perfect match and I could not believe to have found so quickly shoes that fit me! The shoes are handmade in Austria and I just love them: not only do they look great but they are also comfortable and built to last. And last but not least one can have them made from different models, sizes and leathers to order.

In the end she sells something really rare: not shoes but customer service. If one buys a shoe from her shop, one not only gets a shoe but her full attention and knowledge. Customer service in her case is honest advice and the aim to satisfy the customer, not selling over-marketed brands. http://www.brogues.ch/

Recycled bags by the container

Picture: The mighty Freitag Bag Shop in Zurich.

Zurich might not come top of your mind when asked about modern life-style icons. But one is closely connected with the most urban city of Switzerland: Zurich. Two brothers, while looking down on the heavy transit traffic, came up in 1993 with the idea of building sturdy bags made out of truck-tarpaulin. The Freitag brothers started to produce their now legendary Freitag-bicycle bags in Zurich and quickly developed a loyal following. But how do you continue to market a product that is already cult and super-cool?

Again the Freitag brothers came up with an ingenious idea: near the main railway station in the trendy Zurich West neighborhood they piled nine used truck-containers upon each other and created a new landmark. The containers now house a Freitag shop and feature a viewing platform on the top. From the top one gets a good view of Zurich West and the massive main railway station. A truly cost-effective and clever way of increasing the brand-awareness. Spot on, bravo!

Picture: Inside the towering shop.