We just finished watching Brad Pits “Money Ball”  A Story based on the book:  Moneyball: The Art of Winning an Unfair Game  by Michael Lewis, published in 2003,  about the Oakland Athletics baseball team and its general manager Billy Beane. Its focus is the team’s analytical, evidence-based,  approach to assembling a competitive baseball team, despite Oakland’s disadvantaged revenue situation.

By re-evaluating the strategies that produce wins on the field, the 2002 Athletics, were able to see positive attributes in players other teams did not see using non-traditional methods and were able to pick up these players for a fraction on the dollar.  with approximately $41 million in salary, they were competitive with larger market teams such as the New York Yankees, who spent over $125 million in payroll that same season. Because of the team’s smaller revenues, Oakland is forced to find players undervalued by the market, and their system for finding value in undervalued players has proven the system works and has been hailed as a Huge success.

This Relates to Small to medium sized business in several ways:

1.  Small businesses do not have the capital needed to participate with larger companies in Print, Media, or Televion advertising so they must think outside the box to attract new clients or customers.  In order for a Small business to survive, it must find inexpensive yet effective ways to advertise and to create a “Buzz” and get people talking about and referring  them.

Some effective ways to create a buzz & loyal customers could be

• An exciting giveaway or contest.  I know one small company giving away a Laptop every so many likes on Facebook
• An Irresistible Referral Bonus program that makes people want to tell their friends about you and benefit from doing so!
• By Offering Something the Larger Companies do not, such as amazing customer service, free trainings or a personal touch.  Try sending each one of your customers a hand written thank you card with a $10.00 Starbucks gift card or two tickets to the movies.
• Give the customer more than they paid for.  A bonus if you will. 50% Off their next order,  Buy one get one free coupon or more on their first order.
• Call your customers and thank them in person for their order and make sure they are happy with their purchase!

2.  Be Different & Be First! Learn to predict the future, not react to it.  If you are in reaction mode, you are to late.  Wayne Gretzky, arguably Hockey’s greatest player was asked in an interview:  “Wayne,  You are not the fastest, strongest or best shot, what makes you the greatest?”  Wayne smiled at the reporter and said “That’s easy, while everyone else is skating towards the puck, I skate to where the puck is going to be”  You see, by predicting and acting upon the future, ie: next clothing fad, market change, food frenzie, workout craze, you will be the first and trust me, nobody remembers the runner up in anything.

3.  Listen to the Numbers:  The numbers do not lie. They say that the best way to make something grow is to track it.  The only way the system worked for the Oakland A’s was if they followed the complete analytics of the stats and keep their emotions out of it.  They must have detailed analysis of every player and to pick using the stats alone  This is the same in business.  You must know how many calls you need to make to create a sale, how effective your script is, what your sales stats are, where you are spending money, what activities make most of your money and where your leads are coming from.  Then spend the majority of your time doing the things that produce the best results.

4.  Dont Quit or Get Discouraged:  Trying new things is painful.  You will fall down many times, you will be laughed at, talked about, criticized, and feel like giving up.  Imagine being the first ones to market indoor plumbing!  Imagine going to someone and trying to sell them on the fact that they do not need to go outside in the freezing cold in the middle of the night to go to the bathroom.  That you had invented a way to have a bathroom right in their house!  20 feet from their kitchen where they ate and prepared food!  If you have ever been in a porta-potty you know how bad they can smell and your job was to install those in peoples houses.  Im sure they got laughed at, made fun of and kicked out of many homes.  Who is laughing now?

Do not be afraid to try new things and know you are going to fail.  What you mus remember is that you only have to succeed once and everyone will know you as a success.   Success is not a straight line!  It is a series of ups, downs, sideways, under, over, BACK, forward and even Start Over.  The one who wins is the one that has lost/failed the most but never quit.

If you have enjoyed this article please share it.

Wishing you Success

Robert M Lockwood II

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