Like McDonald’s, Subway is following suit. Till April 22nd, 2010 you can get your Seattle’s Best coffee free at any Subway, this on the heals of the Golden Arches experiment that increased sales in the Month of March. This another low-level example of how the Open & Free Business Model works. In the retail sector they have a name for it, Loss Leaders. They would blow out product that hasn’t moved or strategically bring in a product of low cost and use it to draw in customers. This is not a new concept but strengthens the argument for the Open & Free Business Model to increase revenues.
I can’t help wondering what’s next, this is the kind of thing I teach and recommend to local businesses, how they can increase awareness, brand and revenues by strategically using what they may already have in house. As I’ve mentioned before, the Open & Free Business Model is not a skill set, it’s a paradigm shift, a new way of looking at the world of business, especially online but also win the brick & mortar types. I hold workshops to help business owners make progress on the deemed paradigm shift, so they can go back to the office and help staff make small changes. The world is coming, it’s not here yet, but when it does, you’ll want to be ahead of the wave. Otherwise, you may get wiped out by that wave.
The fear of loss is what most business owners go to bed with at the end of each business day. How will coveer this, how will I….and so on. The fear of losing their business or money of any amount is a problem. The Open & Free Business Model embraces that fear and confronts it, how, by doing something different and taking a small calculated risk. You most likely took that risk when you started your business.
McDonald’s obviously has resources most of us don’t have, Subway isn’t nearly as large but they see the benefit of giving away Seattle’s Best Coffee for the purposes of leveraging a Social Currency called ATTENTION. McDonald’s sales increased when they ran the experiment of giving away coffee for short period of time, the loss if any, was minimal and got them a ton of Attention. These arrangements are called Strategic Alignments or Alliances, Seattle’s Best wants to sell more coffee, offers to provide the coffee by leveraging Subways customer base. Who wins? They both do!
Even if you don’t own a business, your going to remember Subway’s name, and Seattle’s Best Coffee sales will go up. What a simple concept, but yet the fear of loss seems to win over most business owners. If you’re dealing with the fear right now, go to Subway and have a coffee on the house till April 22nd and get creative with how you can overcome that fear. Or, take my workshop and learn how to defeat the fear by learning the Open & Free Business Model Mindset.