Champions Magazine



The Ten Thousand Dollar Towel
The Law of Psychological Reciprocity
By Richard Neihart



Ever touched a ten thousand-dollar towel? I have. Dried my hair with it. Here’s how it happened.

While out shopping in Scottsdale, Arizona I got caught in a downpour. Within seconds I was soaked. Slogging into an upscale hair salon, I asked an attractive stylist if I could borrow a towel to dry off. You’d have thought I’d just demanded the keys to her Jag.

Obviously unwelcome, I left.

Back out in the rain I sloshed three blocks to the equally chic Scottsdale Fashion Square. Noticing another hair place, I stepped in and said something like “This may sound a little strange …but could I borrow a towel to dry my hair?”

“Sure.”

I was handed not just a towel but also a brush and a blow drier. While I was re-doing my do, the salon owner, Richard Liebel asked, “Would you like a cup of coffee?”

Coffee? Why thank you. I’m thinking “Hmm…I could get used to this.” Before I left, I’d made my first appointment.

Now I’m not giving away my beauty secrets, but for about 10 years I not only had my hair styled at Icon Hair Architexture, I invested in some pretty pricey hair-care products. Even though I no longer live in Phoenix, the clients that I referred to Richard back then are still satisfied clients. I did the math and you know what? Before it’s over, that one act of courtesy will have proved worth more than 10 thousand bucks!

What happened that rainy afternoon was a universal phenomenon called psychological reciprocity. This law dictates that when we give — we get back — and not only do we get back, the return is exponentially greater than our initial investment. In the same way that one acorn creates a 100-acre oak grove, one smile, one simple courtesy, one moment of genuine interest, a little something extra creates a lifetime of loyalty and residual income from customers and people who actually become part of your organization.

The great challenge of network marketing is to recruit, educate, empower and retain our distributors and consultants; to improve customer contentment and of course increase productivity and profit. Face it, your business depends on enough people liking your products enough to buy them — and keep buying them — over and over again. And interestingly enough, this only happens when we shift our attention away from product and profit toward the real life, flesh and blood needs of our people.

It’s a new reality. Today’s consumer and network marketer is much more sophisticated. Not only is the average person more sales savvy, they have way more choices. The market has reached a point of parity. No one product or compensation plan is that much different or better than the next.

There are only so many ways we can prepare, package and present a new potion or lotion.
There are just too many of the same products and services making the same claims. Today the distinguishing factor is not so much product but people. All else being equal, given a choice, people are going to join companies and buy from people who serve them with dignity, integrity and respect.

So how does a network marketing professional find that distinction? The difference is in the sales professional him or her self. It is the relationship they build with people.

In other words, the network marketer that gives twice as much, works twice as hard and twice as smart as the next person does not make twice the profit – they make 100 times the profit! Does psychological reciprocity always work? Of course not. But since you never know when this phenomenon will happen, it’s best to offer every one you meet a “towel”. Neglecting this universal law is death to any business.

Remember that first salon I slogged in to? Gone. Towels and all.


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Richard Neihart is a speaker and trainer in Corporate and the Direst Selling Industry. Several times each year Richard offers a complimentary keynote to companies. To see if your organization qualifies or to have Richard speak on a conference simply phone 614.475.1692 or contact Richard at richardneihart@aol.com

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