The Secret of
how to deliver the best quality and service at the
lowest prices:
You
can't.
Yet,
so many business owners try. I've
tried, you've tried or maybe you are still trying.
As
an example, I've stayed in a lot of hotels. You probably
have, too. They've ranged from
discount national chains to luxurious and pricey
Ritz-Carltons. And,
I've never gotten Ritz-Carlton accommodations and
service at a budget hotel. But, I didn't expect to
get it either. In the hotel industry
and other industries, consumers have reasonable expectations
for quality and service in consideration of the price
charged.
That's
not always the case in the horse industry. Sometimes,
the customer is not educated in the ranges of quality
and service offered and makes no evaluation of
the fairness of price because she has no experience
to judge by.
As
a person in business, you want to deliver the best boarding
care, the best lesson
program or the best training
program at a price that is affordable to everyone. After
all, you consider many of your customers as your friends
and want to give them a break.
But
you want the impossible. It
defies logic to try to deliver
top quality product (think boarding,
lessons, training) and outstanding
customer service at discount
rates.
Because
the relationship between the three
factors: quality, service and
price is established as a law
of business. You
can have two out of the three,
but not all three.
You
can provide the best quality and
the best service but not at
the "best" or lowest price. When
you offer low price, it is delivered
only with either okay service or
okay quality; there simply isn't
enough margin in the sale to deliver
any more than that. For example:
The discount
boarding barn might have
to skimp on bedding or hay quality
to stay in business,
The $20.00
a session riding instructor starts
her riding lessons 40 minutes
late because her disrespecting
students value her time as if
she is a twenty dollar riding
instructor or,
The
owner of a "one
month training miracle" horse finds
her horse canters on command, but
seldom on the correct lead.
If
your business profits are skinny,
consider if you are attempting
to deliver the highest level
services at the lowest prices.
If
that is the case and you want
to bring about change, your two
options are:
1. Reduce your
level of service to match value
and price.
2. Increase your
fees to a
level appropriate
for the service
you offer.
Looks
simple in writing,
doesn't it? So
do something
about it!
But
wait, I forgot! There
is a third
choice. That
is to do
nothing and
struggle with
the finances
of your business
in a battle
you cannot
win.
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