I would estimate that there are about 90% of Wedding vendors who might want to consider shifting their thought process on this one item:
What they consider an Expense and what they consider an investment.
I could simply end this article right now with this simple explanation:
An expense is something that costs you money, an investment is something that makes you money.
I am afraid that too many people who are set in their thinking would start the conversation based on a defensive posture. Many vendors feel that the gear and technique is the most important aspect of their business. After all, you can’t do what you do without the gear, or knowing how to do it.
I fully agree….to a point. Here is the other side of the story though…
Imagine you invest in the gear and the technique. How much will that gear and technique make you if you don’t have customers.
On the other hand, if you have customers, you typically have some down payment. Many times you won’t go forward without the down payment. That being the case, you can complete the transaction in his scenario.
Items like advertising, marketing and the assorted items that go along with this (especially the non-tangible items that you don’t see and many times cannot point to a certain result) become less important to the average Wedding Vendor because they can’t put their hands on it, it is hard to point to it and say “I need that in my business”.
Standard businesses have certain expenses (referred to as the GET GIRL MISTER- Gas Electric Telephone, Garbage Insurance Rent Loss, Maintenance Inventory Sewer Taxes Employees Receivables) and there is no discussion about these costs. Based on having these costs for a brick and mortar type of business is expected. Because many Wedding businesses are home based and they don’t have these standard expenses, the line gets blurred on what is truly an expense and what is not.
Most times, people will talk themselves out of a good investment because they work so hard to get that money that the cost of the investment takes away from them at the beginning stage and they do not want to take away that money. They want to keep it. Sounds rather simple, but many times when I go to a conference or an association to speak, there are inevitably people who want to “think about it” and in so doing, they talk themselves out of something that costs little but could potentially have a huge return on their results.
We are all in business to make money. If we do not make money, we won’t be doing what we do (full time at least). If we don’t make money, we will have to go and do something that does. I will leave you with this one last thought- Marketing and Sales are the only things that make you money (investment) Fulfillment is total expense.
If you want to argue this point, I am happy to chat with you, but I have seen too many people who have done both models and the clear winner is the people who focus on truly investing in their businesses are those who are successful (and they invest in Marketing and sales)
BTW- I am not telling you don’t be cutting edge, or have excellent equipment. I am speaking to priority- Prioritize on getting customers before you work on fulfilling them
Until Next week- Keep Playing like a Champion!