Buying a customer a competitors product?

[Tigris]

Hi there,

i've been reading the 4 hour work week book by Timothy Ferris. In the book he mentions about offering to buy a customer a competitors product if they aren't happy with your companies product.

One concern is obviously customers not being honest and wanting a FREE competitors product. He does mention this happens on a very small scale, however it happens on a much bigger scale when offering free 30 day returns for example.

Has anyone had any experience with this method?

Thanks in advance

 

[Fagin2021]

I can't see the reasoning behind this at all. Perhaps you could explain further?

 

[Tigris]

I can't see the reasoning behind this at all. Perhaps you could explain further?

To stand out from the crowd and increase sales. In the book it says free returns upto 12 months etc just don't have the same ring as they used to. It's creating that positivity between the brand and the customer that the product is great and they have nothing to lose, only gain from the purchase.

 

[Fagin2021]

Nope - still don't get it. I buy a product from you and I'm not happy. So instead of returning it for a refund, you buy me the equivalent competitor product. Is that how it works?

 

[Tigris]

Nope - still don't get it. I buy a product from you and I'm not happy. So instead of returning it for a refund, you buy me the equivalent competitor product. Is that how it works?

Basically yes. The customer would need to return there product first

 

[MBE2017]

All that tells myself as a customer is who to buy off in the future, ie not you.

I do not see the logic.

I used to offer a lifetime guarantee, only ever replaced around ten items out of tens of thousands.

 

[JEREMY HAWKE]

Its started to ring a worry when you said a four hour week

 

[Tigris]

Its started to ring a worry when you said a four hour week

I'm quite away into the book now and when it refers to a 4 hour work week from what I gather it's basically outsourcing everything and setting up automated systems.

 

[Fagin2021]

Basically yes. The customer would need to return there product first

So what happens if they don't like the product you send them in replacement? Or it's cheaper than the one they returned? Or more expensive? Or different?

Does Timothy cover all the practical bases? I somehow doubt it.

 

[Fagin2021]

I used to offer a lifetime guarantee, only ever replaced around ten items out of tens of thousands.

It's like lifetime guarantees on fitness equipment. The manufacturers know it'll get stored in the garage after a couple of months and never see daylight again.

On a positive note - my wife broke her Leatherman after 21 years use and abuse and they replace it without a murmur.

 

[japancool]

So you're basically saying your competitor's product is better than yours.

 

[Tigris]

So you're basically saying your competitor's product is better than yours.

No, the opposite lol. My competitors products are out there and known, mine aren't (yet)

Once they receive mine they won't. Frustrating in the bike niche as all bikes parts come from the same 3 or 4 factories in China. It's all marketing.

Do you guys recommend any business / marketing books?

 

[AllUpHere]

The whole principle is fundamentally flawed from a psychological perspective. Don't forget Tim writes whatever be needs to in order to sell books. If he only wrote about tried and tested methods that work, we wouldn't even be discussing it.

 

[SEODEV#338055]

Hi there,

i've been reading the 4 hour work week book by Timothy Ferris.

It's a great book

Not sure about this particular suggestion though

You could buy your competitor's product in order to improve your product

That would make sense

 

[Tigris]

It's a great book

Not sure about this particular suggestion though

You could buy your competitor's product in order to improve your product

That would make sense

Just finished the audio book tonight. The thing is mine is made in the same factory as the other competitors. The manufacturer actually quoted some companies, lol

 

[DontAsk]

Don't forget Tim writes whatever be needs to in order to sell books.

Exactly. It's the same with all diet, fitness, self help books. The only person who gains is the author, just like the people who sold shovels during the gold rush.

If even just one of these sort of books really worked we would have double blind trial results and we would all be following the the same advice living longer, healthier, happier lives.

 

[Financial-Modeller]

Hi there,

i've been reading the 4 hour work week book by Timothy Ferris. In the book he mentions about offering to buy a customer a competitors product if they aren't happy with your companies product.

One concern is obviously customers not being honest and wanting a FREE competitors product. He does mention this happens on a very small scale, however it happens on a much bigger scale when offering free 30 day returns for example.

Has anyone had any experience with this method?

Thanks in advance

Sounds like a fine idea if you want to fund and run a charity!

 

[Fagin2021]

Exactly. It's the same with all diet, fitness, self help books. The only person who gains is the author, just like the people who sold shovels during the gold rush.

If even just one of these sort of books really worked we would have double blind trial results and we would all be following the the same advice living longer, healthier, happier lives.

Somewhere in corporate HQ..

"Hey guys, it's Easter coming up. Why don't you get the Pope to endorse your products?"

" Great idea Tim ! Err - how do we do that?"

"I'm the ideas man. You grunts do the implementation".

 

[Solve My Problem]

Just offer a 5 year guarantee on the product or however long you expect it to last.

Grow the brand by trust, money back guarantee etc...

Get the product out there by giving it away to bike clubs etc.. use the money you would spend on advertising to be shred, make sure the packaging is on point and make sure you include a catalogue etc.. something physical, it always improves perception

Don't be buying competitors products, if you have faith in the product use that faith to sell it

 

[IanSuth]

I guess he is basically saying you go to market with a message of "Our TigrisBike is at least a s good as a Giant/Trek/Cannondale (other brands are available) but cheaper and more configurable/customisable/personalisable, don't believe us ? Well buy one and if after a month you don't agree just return in original condition and we will provide you with the Giant/Trek/Cannondale equivalent"

Seems a like quite a bold marketing strategy but I would say the issue will be if someone gets a social media thing going around the cycling to basically buy one of your bikes and return it as a way of getting the BigBrand at a discount - wouldnt take much momentum in that to bankrupt you

 

[NickGrogan]

I guess he is basically saying you go to market with a message of "Our TigrisBike is at least a s good as a Giant/Trek/Cannondale (other brands are available) but cheaper and more configurable/customisable/personalisable, don't believe us ? Well buy one and if after a month you don't agree just return in original condition and we will provide you with the Giant/Trek/Cannondale equivalent"

Seems a like quite a bold marketing strategy but I would say the issue will be if someone gets a social media thing going around the cycling to basically buy one of your bikes and return it as a way of getting the BigBrand at a discount - wouldnt take much momentum in that to bankrupt you

What is the margin on bikes? Assuming you can buy Giant/Trek etc wholesale, could you still make a profit?

 

[SEODEV#338055]

Don't be buying competitors products, if you have faith in the product use that faith to sell it

Why not buy your competitors products?

How can you understand the market if you do not understand your competitors?

Faith is a benign concept

 

[japancool]

Just finished the audio book tonight. The thing is mine is made in the same factory as the other competitors. The manufacturer actually quoted some companies, lol

Send your book back to Tim. Tell him you're not satisfied with it, and tell him you want one written by someone else.