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Tony Rubleski's Mind Capture - Lessons From the $2.75 Cupcake

Friday, May 27, 2011
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Mind Capture

By Tony Rubleski
President & Author,
Mind Capture Group
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Sometimes a marketing lesson pops up when we least expect it, and recently this is exactly what happened to me a few weeks ago while traveling out west. Yes, ask those closest to me and they will tell you that I have a very hard time shutting off the 'marketing bug' in my life as the line between work and passion are often blurred in my day-to-day activities.

I had the pleasure to take in an antique show and spend a few hours on a Sunday afternoon slowly perusing items from the past to see if I could find an item or two of interest. However, as I prepared to leave after some serious browsing and a small purchase, I made my way to one of the tables where two smiling ladies were handing out samples for cupcakes. These weren't your average run of the mill cupcakes, but truly a work of art sold by two consummate pros.

Yes, the free sample is the oldest trick in the marketing book, but here's why it's still done: it works! After tasting a few samples, I selected a single cupcake for an astonishing $2.75! It tasted amazing, and I was shocked they could charge that much. However, the next day as I un-wrapped the special bow tied package and slowly savored each bite and the insanely delicious frosting, I realized it wasn't just a cupcake that I was paying $2.75 for, but rather a unique and tasty experience.

Let's dig behind this true story and share three sweet marketing lessons that everyone reading this article might benefit from.

#1. People will still pay for value. I often go on a tangent in my live programs that there is no shortage of money. This often gets a very odd reaction at first, until I use a few examples to help support my premise. My favorite choice is to use the bottled water industry as a case study to help prove my point. Think about it for a minute. This is a billion-dollar industry that barely existed 20 years ago. Water in most developed countries is easily accessible, clean and can be found straight out of the tap or a drinking fountain. However, via strong marketing, perception shifts and changing lifestyles, millions of people per day still purchase a plastic bottle containing what's essentially free and readily available.

Now, let's go back to the $2.75 cupcake for a minute. I witnessed several people forking over cash to spend money on their own cupcakes. Now, logic would tell us that it's ridiculous to drop that kind of money for something that should cost maybe 75 cents to $1, but often times logic goes out the window if a person believes they are getting a superior or unique product. What I'm driving at here is that a certain segment of any market, when a product or service is positioned properly, can and will stay pay for value, even if on the surface it defies traditional logic.

#2. Uniqueness is a great marketing strategy. Last summer we interviewed legendary marketing mind Seth Godin  to talk about why you need to become a linchpin within your job, career and/or industry. One of the key things he mentioned in our phone interview is that many industries risk becoming commodities if they continue to put out average products and services. I couldn't agree with his assessment more. The economy of the last few years is severely punishing mediocrity and rewarding the linchpins.

In marketing circles becoming or being perceived as a commodity is often the kiss of death. The leader in any industry often charges and receives a premium for the strength of their quality, messaging and unique ability to deliver on their customer experience.
Yes, you can buy a whole package of "average" cupcakes in the store for $2-$3, but the cupcake we gladly paid $2.75 for was far from average. Yes, it tasted great, but the story, the free samples and the people making it available created the aura that this individual treat was a true work of art and was worth the price.

#3. The presentation is often just as important as the product. The two ladies working the cup cake booth were the owners and their enthusiasm and belief in the product flowed through as soon as we made eye contact. I was immediately offered a free sample, and told about why they were growing. Yes, enthusiasm is important and they were packed with it. In addition, their display table was neatly organized and looked sharp. It gave off an extremely important first impression that they were organized and professional.

The plastic containers to put the delicate treat (a.k.a.: cupcake) into had a sharp looking logo attached and were neatly wrapped in a bow tie to show significance and artistry. The cupcake was not on full display and commanded attention based on the unique packaging alone. Imagine if they had shoved the cupcake in a brown paper bag or white Styrofoam container? The entire buying experience would have gone south in a hurry and been completely incongruent with the experience they worked so hard to build.

I know this may seem trivial to some, but here's an important point to ponder: people do judge the look and feel of your product, service, staff and buying experience. Many people, especially retailers miss this and wonder why sales are flat or non-existent. Again, remember that people buy the "experience" and ambiance when purchasing high end products and services. The quality may be similar, but the presentation is often vastly different.

 

 

 

 

 

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Columnist Bio

Tony Rubleski
President
Mind Capture Group
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Tony Rubleski is currently the president of Mind Capture Group, based in Spring Lake, Michigan. He focuses on referral, retention and repeat marketing strategies for a wide range of industries including real estate, insurance, telecom, casinos, retail, direct sales, banking to a wide range of entrepreneurs and sales teams. A highly sought after speaker and agent of change, his live seminars and keynote talks continue to receive rave reviews from meeting planners coast to coast.

His core expertise, teaching and work focuses on the topic of ‘Capturing’ customers minds. He’s been called “real-world”, street smart, edgy, controversial, clever, funny, direct, but never boring. His work has been featured in various Radio, TV, Magazines, web based and newspaper outlets ranging from Bottom Line Magazine, The Detroit Free Press, the FOX TV network, Entrepreneur Magazine Radio, PR Web.com, the Inside Success Show to various interviews with some of the highest paid direct marketing and sales minds in the world including Jack Canfield, John Assaraf, Dan Kennedy and Larry Winget.

He’s a 1994 graduate of Western Michigan University with a degree in marketing. In addition, he writes regularly for several national magazines on sales and marketing related topics and he’s also a faculty member at the US Chamber of Commerce Institute program (IOM) where he teaches association and chamber executives on marketing and technology related topics.

He’s presented to hundreds of audiences including some of the biggest chambers of commerce in North America, and associations in the U.S. and at private boot camps with a price tag of $2500.00+ per attendee. His first MIND CAPTURE book (2006 Morgan James) gained rave reviews from many top sales and marketing minds including Dan Kennedy, Brian Tracy, Ivan Misner, to Joe Vitale and many others. In July, he’ll be releasing his second book titled, MIND CAPTURE: How You Can Stand Out In The Age of Advertising Deficit Disorder.

In addition, he was invited to be a part of the 2005 bestselling book release, Walking With The Wise Entrepreneur” in which he was selected to be a contributing author along with Donald Trump, Bill Gates, Dr. Laura, Brian Tracy, Chuck Norris, Dr. Wayne Dyer and many other well known business personalities.

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