Author: Cameron Lindblom

Answer, you don’t even try. Carry widget for convenience sake, but at a reasonable price. If possible, carry a deluxe version that 'MegaGigaComp' doesn’t carry. You can’t compare apples to oranges! But you’re going to always be fighting an uphill battle if your bread and butter has to be made selling those widgets.

The solution? Do what you can do best and MegaGigaComp does worst or not at all. As a small business owner, you can provide service that runs rings around ‘Big Boys’. You can offer to accept trade-ins, Big Boys aren’t likely to do that. You can offer to sell used computers WITH (optional) one year warranty. You can offer to sell used computer components with thirty day warranty. And you can offer Same Day Service – in by ten, out by four or no service fee! Try THAT, CompuUSA and Best Buy!

Since you make several times markup on services and used goods that you’d make on new stuff, why not leave those slim pickings to Big Boys? After all, they’ve got to eat too.

Sure, you still want to offer new computers. How do you compete against advertised low, low prices of Big Boys? You have two options which can even be combined. Offer custom-built, deluxe, super-fast computers and/or advertise prices with trade-in figured in.

Example - I just checked one of online Big Boys. They’re offering an “Extreme Bundle” of a 3GHz system for $799. Now let’s say that it costs you $740 to build that same system. You could advertise exact same system like this: Extreme Bundle, just $699* or less! (w/trade-in)

* Trade-in must be a complete, computer system of at least Xspeed cpu or better. Trade-in value may even exceed advertised amount and lower your purchase price even more. All trade-ins subject to approval by our technicians. Trade-ins do not necessarily have to be running or working computers.

Now tell me, how do Big Boys compete against THAT?

That used PC you get for $100 or so will bring you $250 or more, and a profit of $210, plus you net two customers, accessory sales, etc.! And I haven’t even started to add in benefit of word-of-mouth advertising you’ll get by offering trade-ins and selling used computers.

As for Same Day Service - Look, it takes an average of from half an hour to two hours to do most computer repairs. All I’m saying is why “age” them on shelf for a day or two? Jump on them when they come in. Yep, its a pain. Yeah, it might add a bit of stress from time to time.

You think you’ll lose money on few that you, for whatever reason, can’t finish by four? OK, you do forfeit service fee. And you’d better be sure to contact your customer to let him know that it won’t be ready on time. But you still make parts profit if it needs parts.

And, more importantly, you still benefit by all impact and free advertising you’ll get out of your “Same Day” guarantee. I’ll bet there’ll be plenty of times customers drive past several of your competitors’ stores just to get their “baby” back out of repair quicker.

Now, what is THAT worth? In other words, “Yes, things are tougher nowadays” – but only for those people who don’t want to do those “extras”; only for people who lack enthusiasm; only for people who aren’t always looking for new ways to make their customers happier and new ways to get word out about their exciting, fantastic business.

But then, things have always been tougher for those people. The trick is to learn not to become one of them!

(Reprinted from www.RS-Kit.com)

- Hank Castello, SmBizHosting.com CompuSolver.com OKVideoGuy.com