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(Almost) Everything I Know About Marketing, I Learned in My
Father's Drug Store
A collection of universal marketing
truisms that we all too often forget
I went to work in my father's drug store when I was nine years
old, as a stockboy, progressing to cashier, clerk and
pharmacist's assistant. He owned many drugstores. One was the
highest volume store in Brooklyn, another one of the highest
volume independent drugstores in Manhattan. Retailing is a
high-feedback environment in which you can see the effects of
what you are doing quickly. You count the money at the end of
each day, count the prescriptions, and see the faces of
customers. I later became a psychologist and a marketing
consultant, but realized that what I had learned back in my
father's drug store applies to every business and every product.
Not exactly in the form I learned it, but translated into a form
appropriate to the particular circumstances. Treat this article
as allegorical. If there is a lesson that follows that you think
is irrelevant to your product, your business or your job, I urge
you to pay particular attention to it: It is likely to be one you
are neglecting at your peril. I like to think my father would
have been proud that the lessons he taught were put to good use.
Rule one: The customer is always right. Rule two: In the
rare cases where you know the customer is really wrong,
refer to rule one.
Don't approach the customer with the intention of selling
something. Instead, politely ask the customer, "How
can I help you?"
Always tell the truth, and tell the whole truth. Never
withhold the disadvantages about a product, even one you
are enthusiastic about.
There's always a way to tell the truth, even if the Board
of Pharmacy or the FDA won't let you. There was a law
against advertising lower prescription prices, and my
father was discounting prescriptions. He was frustrated
that he couldn't put a sign on his window telling
customers that his prices were lower. I suggested that he
put up a sign with the text of the relevant law, together
with a statement of his disapproval of the law, figuring
that the customers would get the message. He did
something better: he put up a simple sign that said,
"Let us price your present prescription." The
board of pharmacy made it clear informally that they
didn't like it, but they couldn't do anything.
Always surprise the customer by giving him a little more
than he expected.
Give him a reason to buy, or many reasons to buy, not
only in your place of business, but from you
personally. Make them come back and refuse to be
waited on by anyone other than you.
Make eye contact. Say it with a smile, but make sure it's
a real smile.
Find a lot of little ways to make doing business with you
a little better: give him a warmer greeting, a nicer
floor, better lighting, a better bag, extra matches,
faster service, free delivery, lower prices, more
selection. There are always scores of ways to increase
value. Write them on little scraps of paper. Your pockets
should be bulging from them [his were].
Never be annoyed when a customer asks you to change a
large bill, or gives you pennies, even if he doesn't buy
anything. Someday he will. Always check to make sure that
you give the correct change.
The customer is not an annoyance taking you away from
your real work. He/she is your reason for being.
Get a mental picture of the customer walking past your
competitor to come to you. Never take him for granted,
never rely on habit, because one day he will go in to try
the competitor and never come back. Always ask,
"What have I done for him lately?"
Always dust off a dusty bottle or box, but never let the
customer see you do it.
Never, ever, in any way embarrass a customer, especially
by making him feel ignorant. Never answer a question
coming from a desire to show how smart you are. Answer
the question, but come from a desire to help him make the
best decision. Make him feel smart for asking the
question.
Never shout across the store the following words, or
their equivalent: "How much are these condoms?"
When you don't know, say so. Never make things up and
don't speculate about what the answer might be. Find out
the answer on the spot, or promise to find out. Do
whatever you have to do to find out, no matter who you
have to ask, who you have to call. Call the president of
the company if you have to, and don't let him off the
hook either.
Every customer is special. Get to know them. They're
fascinating. Call every customer by name. If you don't
know the name, ask for it again and again if necessary,
with a self deprecating joke. They may think you have a
bad memory, but will never think you don't think they are
special.
Never let a customer walk, for any reason. Meet any
price, even if you don't believe the customer. So what if
you have to fill their prescription at cost. Maybe that's
the price you have to pay to sell them their cosmetics.
On the other hand, don't let known shoplifters into the
store. Shoplifters want stores in which the clerks
neglect them. So, don't neglect customers.
Act as though every moment a customer is waiting, he is
thinking bad thoughts about you. Don't ever let two
clerks or pharmacists talk when a customer is waiting.
The worst thing you can do is count your money while you
keep a customer waiting. Nobody has so much money that
they can't afford to lose count and start counting over
again.
Remember that no matter how much they like you, they buy
the product because they want it or need it. They pay you
money because what they are getting is worth more to them
than the cash they give you. If you can suggest something
better, without pressuring them, they will probably be
grateful. Giving them a sample may cost you a present
sale, but it's worth it. Sometimes a simple question,
like "We've been selling a lot of X lately, and
people have been coming back for more. I'm curious, have you
tried it, and what do you think?" Always respect
the fact that it's their choice.
Never pressure anyone into anything. The best that you
can do under those circumstances is make the sale and
lose the customer.
Never knowingly give bad advice. In fact, generally stay
away from giving any kind of advice. Just help people
come to the right decision.
Personally visit any store a customer compliments,
particularly competitors' stores who are beating your
prices, even if it's an hour's subway ride into another
part of the city. That store owner is probably doing a
whole bunch of things that you can do even better. If the
competitor knows you, send in other people to report back
to you. (I didn't know this was called marketing
research. These were my first marketing research
assignments).
Hire a shopping service to prepare periodic reports on
the pricing and inventory of your competitors.
If you hear of a store where the management is insulting
customers, buy it. You'll buy it for a song, since they
will be in trouble. Just putting up a sign "Under
New Management" will increase sales dramatically.
Then, if you don't want it, sell it based on the
increased sales. (My father bought and sold dozens of
stores.)
Look where the leverage is. One physician or office nurse
who is convinced you are better brings hundreds of
customers and their friends.
Always look for ways to build the business. Start with
finding ways to "make a stranger a customer."
There is an old adage that the three most important
things in determining the worth of a store is location,
location and location. On the other hand, don't forget
that most people, even wealthy people, will walk several
blocks to save a dime, or see a smile, or be treated
right.
Always run a sale or a promotion. Make them keep coming
back, even if for nothing else than to see what you are
up to next.
Use the best sign-maker you can find and pay him more
than anybody else. Plaster your windows with his signs,
but not before you check his spelling.
If someone is mad at you, they will tell everyone who
will listen for as long as they are angry, maybe even
longer. If they are satisfied, they have better things to
talk about, such as who else they are mad at. So,
correct any dissatisfaction, no matter how small and ask
customers to send their friends. Nothing beats word of
mouth.
Treat your employees, and salespeople who sell to you,
the same way you treat your customers.
When filling a prescription, or doing anything else which
could have terrible consequences if a mistake is made,
don't make mistakes. Ever. Figure out a way to make it
foolproof. With a prescription, the person filling it is
never the one to put it away. The bottle is left on top
of the prescription. Someone else checks to see that they
match before putting the bottle back on the shelf and
putting the prescription in the file. Occasionally, you
put the wrong bottle on the script to make sure it is
caught.
Always measure your performance. In a drug store, make a
chart of the number of prescriptions filled per day and
gross volume of the store per day. Keep a running
average. No matter how good a job you think you are
doing, if these two measures are not going up
significantly, you are doing a lousy job.
Always ask the customer to "Come back soon."
If they say they are moving away, offer to fill their
prescriptions by mail.
Make jokes. Lots of them. Only a serious person can make
good jokes. (As Zero Mostel said, "Humor is just a
funny way of being serious."
Non bastardi carborundum. Don't let bastards wear
you down.