Bill Hebden’s latest ‘e-Wealth Daily’ article is titled “The Two Out of Three Rule”. [‘e-Wealth Daily’ Article]


Bill Hebden’s latest ‘e-Wealth Daily’ article:

The Two Out of Three Rule

No matter what kind of business you’re starting, running, expanding…it pays to know and apply the Two Out of Three Rule.

It’s a fair rule for you and your customers. But, unless you know this rule, you’re likely to burn out of money and energy fast, and not even know what hit you.

The Two Out of Three Rule says: offer special customers (aren’t they all!) a choice of two of the following three promises:

(1) Fast service;
(2) Top quality;
(3) Great price.

All successful companies apply this rule. Take a look at McDonald’s. The global restaurant chain that boasts “Billions and billions served” delivers on only two of three: service and price. Quality is left out of their equation.

Now look at Tiffany’s. The high-end jewelry retailer, like the hamburger seller, delivers on only two of three. But Tiffany’s two are service and quality. Price is not a prime consideration.

What two should you build your business on? Here’s how your choices break down:

Focusing on fast service at a good price means quality might suffer. Focusing on quality and fast service means you’ll need to charge top dollar. Focusing on quality at a low price means your customers should not expect the fast delivery of your product or service.

This Two Out of Three Rule should not be ignored — for the sake of your success. Any two will do, but my least favorite combination is (2) and (3). This combo has you offering top quality at a low price and allows you to slack off on speedy delivery. This stinks. You’re working extra hard to produce top quality, you’re getting paid less…and you wait longer between paydays.

My personal favorite combo is (1) and (2), the Tiffany’s model. This combo has you providing your customers with top quality, fast. And it also allows you to charge top dollar.

Or you could succeed by providing exceptional service and a low price, if you can afford to give way on quality. It’s the McDonald’s model. And it’s a model that has made many richer than you or I could ever hope to be.

e-Wealth Daily

About e-Wealth Daily

The e-Wealth Daily Bulletin brings you daily tips, advice and breaking news related to home businesses, small businesses and internet marketing. Our team of experts gives you the information you need to take your business pursuits to the most profitable level. Founded by Adrian Newman in 2003, the e-Wealth Daily Bulletin and www.ewealthdaily.com are a division of Lombardi Publishing with online newsletters reaching over 100,000 subscribers each month.

* IMNewsWatch would like to thank e-Wealth Daily for granting permission to reprint this article.

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