This morning at the local Chamber of Commerce meeting, Mike Zislis, owner of Manhattan Beach Brewing Company, Shade Hotel, and Rockin'Fish restaurant spoke about his entrepreneurial experience. Here are my take aways: He always gives away half of the ownership in his companies to his investors who put up all the cash. He never buys out his investors -- he wants them to continue to be owners so they will be rich happy advocates of his business. He sells them on new ideas and they trust him because he makes them rich so they are happy to reinvest with him. He never uses banks, only friends, family, and rich happy investors. He does business plans adn is prepared to do a "dog and pony" show to sell his idea. He is not afraid to get his hands dirty if that's what it takes. Don't lie. Be consistent.

There's more...what do you think?

Underdog Marketing: Could it work for you?

Marketers can use underdog narratives to positively affect consumers' perceptions of and purchase of brands. Underdog narratives are often delivered to consumers through the rhetorical device of a brand biography, an unfolding story that chronicles the brand's origins, life experiences, and evolution over time in a selectively constructed story that highlights the companies' humble beginnings, hopes and dreams, and noble struggles against adversaries.

The common themes that link these brands' underdog biographies are

1.a disadvantaged position in the marketplace versus a "top dog," a well-endowed competitor with superior resources or market dominance, and
2.tremendous passion and determination to succeed despite the odds.
The underdog's external environment is largely negative: Underdogs start from a disadvantaged position and hit obstacles along the way, making it a more difficult struggle for them than for others. In competition with others that have more resources, underdogs feel the odds are against them.

The underdog's internal characteristics are largely positive: Underdogs show perseverance in the face of adversity and are resilient even when they fail, staying focused on their end goal. Their determination forces them to pick themselves up after they lose to try to win again. They defy others' expectations that they will fail. They are more passionate than others about their goals, which serve a central role in defining the meaning of their lives, and they remain hopeful about achieving them, even when faced with obstacles.


Try writing your brand's narrative biography as an underdog. How does that feel? Proud or humble? Inspired or discouraged? Interesting or boring? Please give us feedback!

As I prepare to leave Thailand after an amazing and still largely unprocessed visit to this beautiful country and her less prosperous neighbor, Cambodia, I know I have been inspired in many ways -- artistic and entrepreneurial. Just the thousands of street vendors who are making individual livings under tarps with little tables and wares of all types -- where competitors are family (literally) and prices vary wildly depending on who's buying...There is a lot to ponder, and many learnings. Stay tuned here as we explore the small business owner in Asia and her lessons for us -- The Thai way...

Pricing your entire portfolio, one product/service at a time.
Performance pricers make attractive returns in almost every business, at least over the full business cycle. There are likely to be periods in a major downturn when even the best will have low returns, but these firms know that price cuts are almost always a one-way street, and they do not sacrifice their long-term viability and positioning for short-term volume. The research should also encourage managers to disaggregate their markets and seek out the differences and opportunities often hidden in current pieces of business.

So, look at your portfolio of products or services. Make a list of them, and figure out which need to be discounted to move (slow sellers, strong competition, outdated, short shelf life); which have prices that need to remain stable for long term viability; and which could actually incorporate additional features to promote their premium nature.

Pricing Question #5: What proportion of your volume comes from:

1. Discount necessary products/services
2. Pricing stable products/services
3. Incremental feature premium pricing

There is an unfair assumption in "fair" pricing policies: You do not determine what is fair, the customer does. An average price almost certainly means that some customers are, in effect, subsidizing others. Sooner or later, your competitors will tell them. Especially if you are in a

Performance pricers relentlessly communicate their value: why my prices are worth it, based on what the customer WANTS.

Pricing Question #4: What are three things your customer wants? Think big picture: why do they want a massage? why do they want estate planning services? Why do they want your painting? It's usually not about the "thing" but about how they will feel after they get the "thing" or avoid the "thing." Usually those feelings are priceless, so you have to show how YOUR product or service will definitely help them get there -- which means you can charge alot for that ability.

Many executives seem to think treating all customers the same way is somehow fair. For years UPS prided itself on the fact that "your grandmother paid the same price GM did." When it entered the market, FedEx became the fastest company to reach $1 billion in sales in part because its pricing recognized inherent value differences between customers (residential versus commercial), orders (parcels versus documents), time of delivery (8 a.m. versus afternoon), and other variables.

If you are uncertain how to establish a general fee for your service, you should be. You can determine a "reasonable and customary rate" based on the marketplace and your competition, but, especially if you are providing a service, you need to be flexible, and to use that flexibility as a marketing tool.

Pricing Question # 3: What is the Reasonable and Customary rate for your product or service?

Popular strategic doctrine has many executives sailing off, like Ahab or Sinbad, in search of "blue oceans"—market spaces where allegedly no one else is fishing. Avoiding competition is always nice work if you can get it. But most firms are better off emulating Odysseus—the sailor who sought prosperity closer to home—in the pricing opportunities inherent in their current business mix.

Those of us who are innovators by nature are always looking for new ideas that no one else ever thought of. Well, maybe. But probably not, and if they are that innovative they are probably going to take some explaining -- which costs money and erodes even a premium price's profitability.

Pricing Question #2: Looking at your existing products/services, really digging deeper into their different attributes, where could you raise prices, where do you need to discount to compete, and where can you stay the same? (Hint: the key here is really getting clear on what your different products are.)

Pricing #1: Should I cut my price? Business is tough today.

Pricing builds or destroys value faster than almost any business action, especially in tough and uncertain economic conditions when price is a key and visible strategic choice. Conventional wisdom has firms cutting price in these circumstances. But most industries typically allow few firms to build a sustainable, low-cost business model, and once established, the very success of those low-cost competitors makes it difficult for others to duplicate.

Question of the day: Who is the low-cost producer in your industry? Can you ever charge that little and survive?

For CEOs, creativity is now the most important leadership quality for success in business, outweighing even integrity and global thinking, according to a new study by IBM. The study is the largest known sample of one-on-one CEO interviews, with over 1500 corporate heads and public sector leaders across 60 nations and 33 industries polled on what drives them in managing their companies in today's world. Please go to http://www.creativityunwrapped.com/cu_news.asp to find out more.

We are hosting a party!

Please go to http://www.creativityunwrapped.com/ to get your invitation to the party Alla and I are throwing on June 6 at her beautiful home in the Hollywood Hills. There will be food and fun and games and a beautiful view and a chance to be with your fellow artists and engtrepreneurs. We have been planning this for weeks, and it really a way to experience the Creativity Unwrapped path live and first hand. We will be talking about Creativity Unwrapped summer camp for grown ups, and maybe you will be inspired. No hard sell, of course -- you know us. Just a good time. Please come!

Cantori Domino, the wonderful group I sing with, has a beautiful concert coming up May 30, 2010. We are singing Eric Whitacre's Lux Aurumque, in addition to the Faure Requiem, and A Bach Cantata. Please check out this link to a wonderful YouTube of people all over the world singing Lux Aurumque into their webcam to create a virtual choir. They never sang together. Ansd check out Eric Whitacre -- a brilliant and very popular composer! You will love the concert, and the video. Enjoy!

I have just finished Ken Auleta's wonderful article in the 4/26/2010 issue of the New Yorker about the continuing revolution in the business of getting an author's words into the hands (already a wrong word?) of her audience.


Harvard Magazine has an article in their May/June 2010 issue about the future of libraries. This article on their web site leads to their Open Collections Program and a discussion of the history of reading. I love the idea of a history of reading, to try to comprehend the psychology of the written/read word. Many brilliant business minds are exploring this topic, pondering the impact of reading on all the senses.The introduction of the iPAD and the hefty star-quality competitive display between Steve Jobs at Apple and Jeff Bezos at Amazon does not dig deep into what motivates the human reader -- what does the written word mean? Why did we evolve out of oral tradition (which the Wiki world is related to) and the archival world of words etched in stone or scratched on animal hide (did you know that is what parchment is? I learned that from reading People of the Book, a great novel available at http://www.amazon.com/. )



Did you know, also, that the physical production of books in the early part of the twentieth centure, at least, was done by women. Some of the first factory jobs for females were book-binding because -- guess what -- we could sew. I learned this from following Harvard's links to photographs of women working -- a huge and gorgeous digital archive from Harvard's library collections (Baker Library).


Digital books mean books -- like the front page of the newspaper in Harry Potter stories -- can have movement, urgency, the ability to change. Are books games? Movies? constantly changing news media? or artifacts of moments of time and sectors of an author's psyche that deserve to be Widener-ized (Widener is the name of Harvard's main library) in archival eVaults (the Google Books Project)? A beautiful conversation to have, and the history of reading is essential to the subject. Thank you Harvard for providing this vehicle. And thanks Steve and Jeff for giving it muscle.

It's a Gift...Unwrap it!

Be Inspired!

Celebrate with Virginia Green, PhD and Architect Alla Kasovsky...

Learn three secrets to a successful creative business while you enjoy Alla's beautiful home in the Hollywood hills, art, music, and good food.

Sunday, June 6, 2010
3:30--5:30 PM

Click here for more information

One quick and easy marketing tool you can use next week for your business!!

You might not know that one of the services I provide is conducting focus groups. This is

a really wonderful way to see how others see your business, your art, your prices, the way you promote yourself. And it's a little like a party. We find a comfortable neutral space to conduct the group, preferably without alot of distractions. You invite your customers, prospective customers, audience, and bring a little food and maybe a bottle of wine.

Together, you and I formulate a "moderator's guide" that makes sure to answer the questions you need to find the answers to, and I put it in an order and flow that makes sure you get the information efficiently and thoroughly.

Then, you sit back and listen to all the nice things they are saying about you! I give you a report with my findings a couple of days later, and you can reswt assured that your idea, price or product is absolutely in line with what your audience wants.

Simple? call now to find out more (310)378-2520, or go to www.creativityunwrapped.com to find out more.

Creativity heals. If someone, including yourself, has made you feel bad about your work, the best solution? Create something. Doesn't have to be a masterpiece. In fact, it could be in a medium you have never tried before. If you are a writer, jump some rope. If you are a singer, pump some iron. If you are a golfer, write a poem. Be a novice again, and remember how it feels to be really really not that great at something...before you know enough to get discouraged. When it is still okay to not be okay. Listen to your heart get excited, frustrated, joyful at your new discovery. Re-experience your inner toddler's first step, before you knew that with the first step comes a whole future full of stumbles. You are a beautiful and precious treasure, and so is your art. If the wrong people are not appreciating you, that's okay. YOU appreciate you, don't you? Well, don't you?

And this is my daughter, Charlotte, in her Halloween costume from two years ago. If you come back to my blog you can check her out for real. and you can check out her blog, ablondeinthailand@blogspot.com. She inspires me. After all, she and her brother are the best things our Creator ever made through me.