Wednesday, October 09, 2024
Bud Heaton
Change is a tough word for some.
For others, it’s just a word.
And for many, change is their driver of behaviors.
What is change? Why do you seek it or avoid it?
And, more importantly, what do your clients and customers feel about it.
Because if you understand that all money is transacted on the basis of “change”
Then you can start to see the implications of how the change-work you do in your marketing becomes a critical hinge-point for your messaging.
Change drives all money making decisions.
From the client changing advisors down to the team members changing internal processes.
All revenue can be driven from a decision to change.
So what is change?
A modification, a replacement, a transformation, and a currency.
Those are the things the dictionary calls change.
The change we are looking at here are the first three; modification, replacement, transformation.
I call these Change Models.
All marketing is what’s called change-work. Getting our clients and customers to change something.
These Change Models will break down Change-Work for you.
Let’s look at The Modification first.
1 - A Modification
We re-model homes, we put add-ons on our trucks, and we style up (or down) or attire.
Modifications happen all the time.
Just a few months ago I spent over $2,000 on wheels and tires for my truck.
This is a simple modification, but it was one I wanted to make.
Another example…
This year is an election year. So there’s some talk of “change” within certain policies and laws.
These modifications are all around you.
When was the last time you adjusted your haircut, shuffled your setup in your house, or tried a new variation of your workout?
Modifications take what’s already there and seek to make it better.
When it comes to modifications…
We don’t need a complete change. We just need a tweak here and there to get what we are looking for.
The major problem of this type of change is that this is what everyone is trying to sell.
We call these improvement offers. Bigger, better, faster.
So the change work we see within the Modification Change Model is that we are adding to what people already have to make a modification to improvement.
This is where we find the largest marketing competition and commodities.
2 - A Replacement
We replace vehicles, clothing, and heck, we even replace people.
Spouses, employees, vendors, etc.
Most recently for me, we had a software platform we used called Marketo.
It was a great platform that integrated well with our salesforce account.
But after nearly 8 years, the price of the software was the cost of 2 full time employees.
I had found other tools that got us 98% of the result of the Marketo software with 2% of the cost.
This led to us replacing the software with an amazing platform called High Level.
Now, since we’ve had some integration challenges because of the complexity of our insurance business.
Nevertheless, the software, long term will be a great asset for us.
We replace things all the time.
Out with the old and in with the new as the saying goes.
So the Replacement Model is all about change-work as a replacement of something that is no longer working.
Creating the argument for Replacement is as simple as showcasing why what your client has is no longer working and needs to be replaced.
This form of marketing is much easier assuming you can showcase the argument effectively.
3 - A Transformation
We transform our beliefs, our bodies, our mindsets, our styles, our businesses, etc.
The process of transformation is one of identity.
We re-invent ourselves to become more attractive.
I’ll get more into this in a moment.
Over the last year, I’ve made significant transformations to my mind and body.
A year ago this time. I begun a total health transformation with a health coach and friend of mine.
Over the course of a year, I went off of an auto-immune medication and cured myself of significant arthritis pain.
This transformation stemmed from a decision I made when I realized I couldn’t keep doing what I was doing.
I had to think and behave different to create this transformation. I also replaced certain foods and supplements.
I also improved or “modified” many of my daily exercises and activities.
Transformation requires change in both forms of modifications and replacements.
Change Models Applied
Now, as I’ve explained, there are 3 types of change models.
No you see them. I am sure you’re already recognizing how each of them drives various industries and businesses.
For example you can expect to see a replacement offer when something goes bad.
Notice, I said “goes bad.”
Meaning, we don’t just replace things. Unless we need to OR we strongly desire something.
A modification makes things better. But that can just be a small tweak or adjustment.
We do that because we are looking for novelty, improvement, and status.
We do full replacements because the trade off of what we have is no longer serving us and we believe the new thing will give us what we want or need.
This is where we can look at a tire repair shop and see their “Replacement Model” to replace your blown out tires.
They can generally draw people in with a flat tire. Which is their bread and butter.
But they also sell upgrades and “Modifications” to their customers as well.
Which in turn, creates a new feeling, confidence or transformation within the person making that buying decision.
They’re proud of their purchase and “Transform” their confidence.
Which brings me to my next point.
The thing that you’ll notice about these models is that the businesses with the most leverage, profit, and moat…
Are the ones that learn to use all three.
I just showed you how a good tire shop might use these models. Let’s look at another example.
Disney Resorts is a great example of this.
What is Disneyland? At the end of the day, it’s an amusement park.
Amusement parks and fairs use the Replacement Model to escape from the routine and enjoy an afternoon playing games, riding rides, and eating comfort foods.
This small escape is a Replacement of reality, which is why we love them. It gives us a break from the routine and creates a new experience.
Disney also does that too, but they take it a step further.
They’re not just an amusement park that “replaces” one activity for another.
But they also have ample opportunity to upgrade, improve, or Modify your style with their clothing, apparel, and accessories.
They replace common foods you find at a fair or state park and Replace them with unique flavors and culinary experiences.
And, most of all they transform a family outing into a lifelong memory with their cast members and what they call Magic Moments.
At the end of the day, the change work you do in your business needs to address all three forms of change.
If you want to be successful long-term, that is…
You must have the ability to replace what they were once doing or using with something new and better.
You should have the ability to upgrade people to premium offers or “Modifications.”
Lastly, your products and services should “Transform” the way people think, feel, and operate.
This is how you create a business that stands the test of time.
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