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Volume 5, Issue #5, 27th February 2005

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'Pathway To Success'
Volume 5, Issue #5, 27th February 2005
Publisher Irena Whitfield
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    Today's Feature Article

    Use Networking Skills to Open Doors
    An Edward Lowe Quick-Read Solution Edward Lowe

    Every entrepreneur knows how valuable networking skills are. Are yours up to par? Take some time here to hone your style, and pick up more lasting, effective contacts.

    OVERVIEW

    Like a true entrepreneur, Bill Clinton won the presidency in 1992 by amassing a vast network of contacts. "Friends of Bill" helped him raise money and recruit volunteers for the campaign. A master networker, Clinton found that each friend he made would in turn introduce him to a handful of influential VIPs; this snowball effect exponentially expanded his circle of contacts.

    Follow Clinton's lead and network aggressively. That doesn' t mean you must shake hands with random attendees at trade conferences and befriend them. A smarter approach is to leverage your professional contacts and let them open doors to new opportunities. Networking via referrals from your friends and acquaintances can prove less harrowing and more fruitful than "cold cultivating."

    In this Quick-Read you will learn:

  • How to make a great first impression.

  • Steps to overcome the anxiety of mingling.

  • ow to network efficiently to meet the right people.

  • SOLUTION

    Fast-growth entrepreneurs can usually sum up their business in one simple, compelling sentence. And they're rarely bashful about hyping their companies to anyone who's willing to listen.

    That's where networking comes in. The more people who know about you and what you do, the more allies you'll attract. If you try to forge connections with everyone you meet, you may not hit it off 100% of the time. But engaging a stranger in a stimulating or memorable conversation can launch a relationship that leads to all kinds of benefits.

    It all begins when you make a positive first impression. In face-to-face meetings, stand up straight and balance your weight on both feet. Loosen your facial muscles so that you radiate warmth and enthusiasm when you first greet someone. Don't lean, slouch or grimace when you shake hands. Banish thoughts of self-doubt (Is that stain visible on my shirt? Does my hair look good?) and replace them with pangs of curiosity (What does this person do? What goals do we share?). Make friendly eye contact during the first ten seconds to put the other person at ease.

    Network on the phone by opening with a "referral statement." Examples:

  • Bill Smith urged me to call you because…

  • Mary Jones thought of you when I asked if she knew anyone who…

  • After reading your excellent letter to the editor in today's paper, I wanted to introduce myself…

  • These statements instantly explain why you're calling and how you found that person. This helps the individual respond openly to you.

    Network on the Internet by joining chat rooms and participating in online forums. Make bold, concise points while adopting a deferential tone. Respect your readers by complimenting their insights, asking follow-up questions and seconding their observations.

    If the prospect of networking induces anxiety, use these pointers to relieve the tension:

    1. Ask pleasing questions. You make friends faster if you invite them to discuss their favorite topics. Look for chances to ask, "What did you like about the speaker?", " You've accomplished so much: What are you most proud of?" or "What qualities do you look for in a great leader?"

    2. Emphasize shared concerns. Establish common ground and you're off and running. If you both know someone, explain how you met that person. If you're carrying the same laptop computer model, compare notes. If you've both built businesses, discuss how you've overcome growing pains.

    3. Maintain eye contact. You've heard this before, but it's still an issue for many people. If you're nervous, you may look down or away rather than at the other person. That makes it harder to gain rapport. Transform your anxiety into positive energy by gesturing freely, smiling authentically and leaning slightly toward others to show you want to listen to them.

    To expand your network, follow up when friends and acquaintances refer to others. If they mention some advice they were given, ask, "Who gave you that great advice?" If they tell stories about people they've met, ask for names. Once you gather this information, suggest that they hook you up with these contacts.

    REAL-LIFE EXAMPLE

    For Sean Greene, founder and CEO of Away.com, networking is a means to an end. He's always hunting for new hires for his growing adventure travel Web site, and he makes it his hobby to meet people.

    He stays in touch with friends from his prior jobs, including a stint as a senior consultant with McKinsey & Co., and former classmates from college and business school. He also attends travel-industry conferences and participates in Internet groups in the Washington, D.C. area where his 75-employee company is based.

    Dennis Howitt of Minneapolis, Minn. constantly talks to people sitting next to him on the plane. "I'm the guy who's always asking you about your business as we fly from Chicago to San Francisco…. It's amazing who I meet on those flights." He asks for a business card at the end of the conversation and sends a follow-up note when he gets back to the office, usually attaching a relevant article along with the note.

    DO IT

  • 1. Seek networking opportunities where there is the greatest potential for value. Join the local Chamber of Commerce or another professional organization likely to include people whose business interests intersect yours.

  • 2. Look for ways to praise someone sincerely. Use the 3 A's: attitude, attire or astute observations.

  • 3. Strive to learn. Dig for information by posing clarifying questions, taking notes or asking for examples. This transforms superficial networking into a more productive use of your time.

  • 4. Prepare 20-second "elevator speeches" that summarize what you do. Anticipate the follow-up questions others will ask, and rehearse your answers.

  • 5. Before arriving at a conference, know who will be there. Ask the host for a list of attendees along with background information. Identify in advance the key contacts you want to meet.

  • 6. Plant aides nearby to "free" you from wasted chatter. Ask them to either bring in another person for you to meet or drag you away if you signal that you're stuck in a dead-end conversation.

  • 7. Make every word count, whether you're networking in person, by phone or online. Don't repeat yourself, ramble or change subjects abruptly. Attach a question after making a few statements to encourage a more lively exchange.

  • 8. Position yourself in a room so that you can maneuver easily. Avoid getting boxed in so that you can't see who comes and goes. That said, always focus on the person you're talking to. Don't show disrespect by looking around for other contact opportunities.

  • 9. When mingling in small groups, balance your eye contact so that you visually envelop everyone. If someone asks you a question, start your response by looking at that person. But complete your answer while looking at others.

  • ********************************
    Sources:
    1. Books
    How to Work a Room: The Ultimate Guide to Savvy Socializing in Person and Online, revised edition, by Susan RoAne (Warner, 2000).

    2. Internet Sites
    "Conference-Commando Field Manual," by Scott Kirsner, Fast Company http://www.fastcompany.com/

    "Network Your Peers to Open Doors," Edward Lowe Report http://peerspectives.org/

    "For CEOs Only: How to find a CEO peer group that's worth your time--and money," by Donna Fenn, Inc. http://www.inc.com/

    Today's Motivational Reading

    Over 1,300 six-page letters were mailed out to America’s greatest achievers requesting them to share their wisdom with other dreamers. Over 170 individual responses were returnned back to Jim Bickford over a two year period.
    Jim Bickford Jim Bickford

    Dear Achiever,

    Americans love to hear a great success story...especially yours.

    You live the American Dream and perhaps you might be able to share some of your wisdom with other dreamers. We have two quick questions to ask:

  • What does the American Dream mean to you?

  • What advice would you give to someone chasing after their dreams?

  • If you might be so kind as to jot the answers to these two questions down on your letterhead (along with a photo if possible) and mail them back to us in the enclosed postage paid envelope, it would be greatly appreciated. We will post all responses to our website www.usdreams.com throughout the year. Our new website features 300-plus pages of positive and motivational profiles on America’s top achievers.

    Your wisdom will inspire thousands of dreamers. Thank you in advance for helping us share the American Dream message throughout our great land.

    Continued success,

    Jim Bickford

    Here's one of the responses by Dan Kennedy, Marketing Expert http://www.usdreams.com/AchieversL1Kennedy.html

    You can read all of them below: http://www.usdreams.com/AchieversLetters.html

    Today's Subscriber Article

    The Only 5 Things You Can Sell
    by Palyn Peterson
    Palyn Peterson

    So, you want to start an internet store do you? What is it you are going to sell? This really is the first thing to tackle, because without any products your store will fail, guaranteed. All jokes aside, let me share some insight on this broad topic.

    First, do you have anything to offer that you can make? Crafts, exotic bird houses, jewelry, doll houses? Most people will answer "No" to this one, but that is ok! Lots of options are still available. In fact, most online stores do not create their own products.

    Affiliate programs are another great choice. An affiliate program is when a company gives you commission to sell their products. You direct customers to their website, and that is it. You don't manage inventory, the sale or shipping. Some companies may provide web space and site creation support, but be careful about going that route -- they may want to charge you setup fees and maybe a membership fee. If the affiliate program is worth it, it will most likely be free. Here are other points to pay attention to:

    1. How much commission you will receive with each sale. 5%- 10% is on the low side. Try to stick with companies that will pay you 20%-35%. I've even come across some affiliate programs that pay as much as 50%.

    2. Read the affiliate agreement. Some companies state you can only sell their products on your website, and no one else's. If this works for you, great. If not, be sure to read the agreement and make sure this is not the case.

    3. What the pay out amounts are. Know how much you need to make before a check is cut and mailed to you.

    4. Do you receive support? Many companies offer their affiliates marketing material to help sell products. This could include website content, pictures, banners, cut-and- paste emails, and classified ads.

    Some people pull in many thousands of dollars a month with affiliate programs, they can work, but remember to be careful! There are many wolves in sheep clothing just waiting to take your setup fee and monthly payments just to leave you without support and no sales. If affiliate programs interest you, there are a number of good affiliate program directories. Here are a few:

    1. http://www.affiliatesdirectory.com
    2. http://www.associateprograms.com
    3. http://www.affiliatematch.com

    Next, a very popular and incredibly practical choice is drop shipping. Drop shipping is when a wholesale distributor maintains the product inventory, you create a store selling those products and take customer's orders at retail prices. You then turn around and send the customer's order to the wholesale distributor who ships the products to your customer, often with your company name on the package.

    The customer receives their products not knowing that you are running the business with no inventory and from the comfort of your home. And no inventory means you only spend money when you are making money. In other words, you only spend money buying products at wholesale when you are just going to turn around and charge retail price to a customer. How great is that? This is one of the most popular methods of running a retail business on the internet, and for good reason!

    The great majority of wholesale distributors will ask you for your TAX ID number when creating an account. Your TAX ID number can be found on your sales tax license if you have one, or usually your social security number will suffice if you do not have a license. For free information on getting a sales tax license, visit this page: http://www.futureinternetmarketing.com/

    When searching for wholesale distributors, be careful because there are a lot of companies out there that will drop ship products and claim to be wholesale distributors when they really aren't! They will take your order just to turn around and order from the real wholesaler. This should spell L-O-S-S to you. What's happening is that you are buying the product at a price marked up from the actual wholesale price, and then you'll need to mark it up even further when selling it to your customer. There is a big slice of the profit pie that you aren't getting!

    Most distributors that offer thousands of different products in a number of different categories are usually that type of operation. Also, if the distributor wants to charge you a subscription fee, that should set an alarm off in your head. Occasionally the wholesale distributor will charge a per- drop-ship fee, and maybe have a minimum order requirement (either in quantity or dollar amount). A FEW (and I say few) legit wholesale distributors will charge a setup fee (one wholesale distributor I worked required that the first order be $200 or more), but I have NEVER come across a legit wholesale distributor that charges a subscription fee.

    If you are having trouble deciding what products to sell, try this: go shopping! Don't actually buy anything (if you don't want to, at least), just look around and see what products interest you.

    Do you see a site that you think you could do better? Are you a sports fan? Sell sports equipment or memorabilia! Do you enjoy pool? Sell billiard supplies! Enjoy gardening, or interior decorating? Sell products for those!

    A word of advice though, the computer component market is crammed. You will have more competition there than with most other products.

    Information products are a fabulous option as well. Not only can they easily be created by you, they are even easier to distribute because they can simply be emailed to your customers.

    Can you fix cars? Write a maintenance tips manual. Write an eBook on saving money around the household. Write a manual on how to negotiate with car dealers. Maybe you know how to make the cue ball jump across a pool table over what would have been an obstacle. I sure don't, and I wouldn't mind finding out!

    Basically, the question is "What do you know?" Don't underestimate yourself either! A great way to get started is to use the mind-map technique. This technique allows you to jot down ideas that relate to a core idea and build a skeleton of subjects that are all associated with each other. After only a short time doing this, you should have more than enough subjects to piece together a good eBook. For more information on mind-maps, visit these resources:

    1. http://www.peterussell.com/
    2. http://www.shared-visions.com/
    3. http://www.tsd.jcu.edu.au/

    If you look long enough, or are just plain lucky, you will eventually come across someone selling the complete rights to a product. You can buy it from them and resell it for as much as you want, as often as you want, and retain 100% of the profits. These deals are few and far between, and can usually cost quite a bit. But do keep your eyes open for them, it may be just what you are looking for.

    Hopefully a number of product ideas have sparked as you were reading this article. As you can see, there are a lot of very good options available to you. Review all of them and choose the best one, or ones, for your business situation.

    ****************************
    Palyn Peterson publishes the acclaimed Advanced Internet Marketing News. A professional newsletter with a refreshing perspective and a strong focus on no-cost techniques. FREE Tips, Tricks, Tools, Resources, eBooks, and More!
    http://www.FutureInternetMarketing.com


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