Show and Tell

There may not be a more prophetic insight from Apple founder Steve Jobs than his statement, "Some people say, 'give the customers what they want.' But that's not my approach. Our job is to figure out what they're going to want before they do... People don't know what they want until you show it to them." 

 

Think about coffee before Starbucks. Did anyone know they wanted a triple shot, skinny vanilla latte with no foam? Did you know that before 1932, diamond jewelry was a rarity? Then DeBeers came along and convinced people that diamonds are romantic and you should put one into a ring as part of asking for a life-long commitment. By 2013, the diamond market generated more than $70 billion in sales. 

 

The U.S. has now become the largest wine producer in the world, generating $60 billion in annual sales last year, double that from the sale of wine in 2002. What do diamonds, smartphones, coffee and wine teach us? Similar to homeowners looking to build a dream bath or kitchen, the key to a consumer's heart and wallet is not to ask what they want, because most of the time, they don't really know. Instead, look to influence their decision making by focusing on educating them and making emotional connections. 

 

The dominant educators in the wine industry are wine critics who publish reviews based on point systems such as the Wine Spectator, Wine Advocate and Wine & Spirits, among others. These critics, similar to some restaurant and theater critics, can have tremendous influence not only on demand but also on the pricing. When Wine Advocate founder Robert Parker gave the 1982 Chateau Petrus a perfect 100 score, the price of the case went from $300 to $3,000 almost overnight. 

 

Expert reviews drive the wine industry, and this is not dissimilar to the impact that both positive and negative reviews can have on a showroom's operations. The lesson for decorative plumbing and hardware showrooms:

• Most consumers don't know what they really want until you show them what is possible.

• Use your showroom, website and social media to highlight expert reviews of products that you sell and service that you provide.

• As products become more complex, (e.g., smart refrigerator and Bluetooth enabled shower systems) and your customers are more pressed for time, your success will come from focusing on education and emotional connections instead of product features and benefits. 

• Use social influence, positive reviews, and education tools and approaches to gain competitive advantages.