5 Key Issues for Effective Logistics

Today I noticed our first compliment on HelloPeter.com (click to view).

Which brings me to one of the most important things if you're contemplating an online business, and that is to ensure you have an effective Logistics Strategy to ensure customer satisfaction. The world is a very small place and if your logistics, delivery and service are excellent this goes a long way to ensuring a favourable perception of your product and branding in the market place. Since I have been wanting to have an online business (maybe several in time), I have been quietly testing the market to see which companies that I order from deliver the kind of excellent service I expect and demand when ordering online. Two of my favourites are Kalahari.com and YuppieChef. Having done that, I researched which company THEY used to handle all their couriers. And one name stood out far above the rest. So I am in negotiations to sign the contract imminently, with preferential rates. It just so happens that over the past month, this local and international courier organisation is running a strategy to favour new startups in e-commerce/online businesses!

There are 5 Key Issues you need to consider for Effective Logistics:

1. Movement of Product. You need to have an effective system in place to ensure rapid delivery of the product to the client whether it be in the case of Beautiful Bracelets, to the individual who orders one Beautiful Bracelet for a 21st Birthday gift to be delivered the next day in another city or to a Gift Shop.
2. Movement of Information. It is important to use "online tracking" so that you know where the product is at all times. And to maintain customer contact if there are any problems.
3. Time/service. Orders must be filled completely, quickly and accurately.
4. Cost. This is a key issue when measuring logistics effectiveness. The highest price does not necessarily mean the best service, nor does the lowest cost necessarily meet your needs. In this business, Beautiful Bracelets, I approached the Company that I felt was delivering the best service and fortunately they are driving to secure e-commerce service which means they have also given a quote for a preferential rate and a phenomenally low price for this service! And that is for both local and international courier charges.
5. Integration: between yourself and your suppliers, your customers and retailers, as well as good internal liaison and integration. Partnership and competitiveness are enhanced by good integration, and meeting your suppliers and clients face-to-face is important to enhance good partnerships and alliances.

Each of the above points is essential to ensure the success of your logistics, its value-add to your business and your competitiveness in the market place.

Radio 702 MoneyShow Challenge Update: Week 5

Although I try to get this Weekly Update on Beautiful Bracelets done first thing each Monday, this one is a bit late on purpose, I didn't want to pre-empt the In-studio Radio 702/Cape Talk interview with Bruce Whitfield on the Money Show. If you missed this, you can listen/download the Podcast here: http://bit.ly/WrdS7z 

With Bruce Witfield in the Radio 702 Studios

There were a few landmark things that happened in Week 5:

1. First international order confirmed via the Beautiful Bracelets website (for 14 Beautiful Bracelets, from London!).
2. Firehouse Gifts, Dunkeld West Shopping Centre, Jan Smuts Ave, Johannesburg requested and took delivery of Beautiful Bracelets and 2 of these bracelets sold to a customer who walked in whilst I was standing there!
3. A Cape Town Publisher, Modjaji Books, agreed to publish the book in April 2013, which will probably be titled "1000 Beautiful Bracelets" (subtitle: "How I made a profit from R1000 in just 6 weeks and how you can too")
4. Employees: Beautiful Bracelets is now the proud employer of  TWO people, creating employment being one of the major aims of this new business. But of course, one has to watch the profits carefully and ensure that expansion of the staff is in line with growth in the business. This is something we will continue to monitor carefully.

Like many people reading this Blog, we are sitting on the edge of our seats and working very hard until the last second, doing our best to beat the other 4 Contestants in the Radio 702/Cape Talk Money Show R1000 Business Challenge.. Since Beautiful Bracelets is a retail item, it all comes down to sales at the end of the day, and we are not sure how all the contestants are doing, so from our side we are doing our best and working as hard as is humanly possible to ensure success. We can do our best. The final decision rests in the hands of the Judge.

The Seed For A Thing is In Itself..

You don't have to look far to find the seed for an idea on something to do that will bring an income and turn a profit. Here is another story I came across, there are so many wonderful examples to gain insight and inspiration from!

Today at the Carwash I started chatting to the Kris Pillay, the Manager about Beautiful Bracelets and he told me an interesting story of how 6 months ago he was retrenched, and he took R200 startup capital made samoosa’s (a delicious curry-filled pastry pocket with 3 corners for anyone who doesn’t know) and sold them on the side of the street across the road from Waterfall Office Park which must have 1000’s of offices and people working there. He added cakes and sweets to his range of stock. The business did well and over the 6 month period he expanded the offerings and started making chicken curries and Breyani (one of my favourite Indian dishes). People loved it, and the Manager of an Office Canteen inside the Waterfall Office Park liked his food so much that when the existing supplier’s contract expired, she offered it to Kris. Kris employed someone to continue with this business under his management (which he is easily able to do being within a very close proximity of the new job he secured in a field he enjoys). Kris said that during the 6 months his food business did so well it assisted him to pay the rent and put food on the table for his wife and family!

I love stories like this...

Resting...

Today I am thinking of all the cyclists training for the the 94.7 Cycle Challenge (18 November), in the Greater Johannesburg area, one of the largest Cycling Races in the world with over 30,000 entrants in 2012. I almost wish I was a cyclist, what an amazing way this must be to relax and unwind. I am a bit envious of one of my competitors in the Radio 702 Money Show R1000 Challenge who has said he will be participating, and I hope he does really well.

I realised yesterday after losing a SIM card for my main cell/mobile phone, and a few hours later I lost the car keys AND the driver's licence(!) that despite the fact I feel under huge pressure to work, I really have to stick to my own rules and take the day off.

It has been a satisfying week: I won't spoil tomorrow's Weekly update by saying any more except to give you this lovely photo of the display of Beautiful Bracelets at Firehouse Gifts, Dunkeld West Shopping Centre Hyde Park/Dunkeld:

Have a Good Work Ethic

Although the word “ethics” when it comes to business might mean the ideals of having integrity, honesty, morally correct or being a person who doesn’t get involved with bribery, corruption, etc in business.. but this is not what I mean by the heading. What I mean is, if you want to have a great business you have to “show up”, be there on time every day, and work consistently for the full day, exercising good self discipline and energy in one’s input. This does not mean, become a workaholic. It is important to maintain a balance of a healthy mix of work, physical health and relaxation and fulfilling relationships.

There are a few things that assist with having a good work ethic.

Self discipline: This is important: keeping focused on the goal and ensuring you complete the daily tasks assigned to reach that goal.

A Sense of Responsibility: Putting in your best effort to complete the tasks at hand.

Integrity: Work on fostering trust and honesty in relationships with customers, employees.

Emphasis on Quality, working with a sense of excellence in everything you do.

Teamwork: A good work ethic would include being prepared to engage in teamwork as the business grows

Sharing: A willingness to share your expertise with others

Thoroughness: Complete the tasks at hand with attention to detail

Tenacity: Stay with it, even when you feel like giving up!

A great sense of humour! Life is too short not to have fun!

Reasons to Innovate

One of the advantages of starting a Micro Business is the ability to innovate quickly if desired or necessary. No need to consult investors or your upline or downline. Just do it! In a micro business this kind of innovation needs to be done without costing much (with minimal start up capital one cannot over-extend in early stages.)

With Beautiful Bracelets, where we have a product that is working and selling well, one might think there isn't any reason to innovate. However, it is wise to listen to both your clients and your “gut” feeling. Since the beginning of this Radio 702 Money Show R1000 Startup Challenge, “Beautiful Bracelets” have been designed as Bracelets with lots of “bling”. And selling really well in this design. However, I have never been a “bling” person until recently: a great way to market the product is to be wearing “Beautiful Bracelets”, a matching one for each outfit, each day! And very often people including my Personal Business Banker and a colleague at a Business Dinner function, have bought the Beautiful Bracelet off my wrist! So this marketing technique has worked really well.

I have been aware that perhaps there are some people out there prefer an “understated elegant” look. So today, we decided to innovate and very soon a few of the new Beautiful Bracelets will appear on our Products List for sale on the website – once we have tested the market by presenting a few of these new designs “For Sale” at a local country market, one of the better markets in South Africa, the Irene Market. The new designs have the “understated elegant” feeling, a more simple design, very classical, and the kind of Bracelet that would actually go very well worn together with gold or platinum jewellery. Perhaps a bit soon to talk about any kind of innovation before it’s even tested in the market place, but I have a very good feeling about the new range!

Other innovations that Beautiful Bracelets will be displaying soon will be a small range of matching accessories, “Beautiful Pendants” and “Beautiful Earrings” both ideas having come up in conversation with clients who purchased Beautiful Bracelets and have actually pre-ordered and requesting matching necklace and earring sets.

Reasons to Innovate:

1. Survival: Companies that don’t innovate don’t survive 
2. Revenue: It’s a tough market out there. If you want customers to open their wallet you need to keep innovating so that you’re giving the customer what they want. Especially in the Fashion Accessories market this means following the trends including whether clients are wanting bright or muted hues.
3. Culture: South Africa is a Melting Pot of different cultures. It is amazing that even within the Cities of Johannesburg and Pretoria, where from one suburb to the next, a certain group of clients when purchasing accessories might prefer the “brights” yet in another suburb, neutral shades sell really well.
4. Creativity: Businesses with competitive growth patterns demonstrate creativity with an appetite for risk.
5. Entrepreneurship: The best entrepreneurs have the ability to transform useful inventions into valuable innovations.

Innovation is the specific instrument of entrepreneurship. The act that endows resources with a new capacity to create wealth.  (Peter Drucker)

You have a Miracle in your Mouth

I really believe we have what we say. For this reason I am careful to watch the words out of my mouth. I believe I define and create my future with my words.

"The Secret of your Future is Hidden in your Daily Routine." Dr Mike Murdock.

Speaking out positive words over your life, each morning, is one way to ensure success. I am not the only one who believes this. Many successful people especially if they are international speakers, touch on this subject at some point. The way to do this practically is to put your vision, dream, goal/s down on paper and formulate them into a simple Affirmation that one could speak out daily, before starting the day. If you don't have the time or inclination for that, there are many Affirmations you could download off the internet, and adapt to suit your own belief system, values, and the scenario you wish to create. (Google "affirmations").

An example of one such affirmation:

I see right through appearances and illusions and know that abundance is all mine.

My abundant thoughts and actions lead in the perfect direction of my desires.
I AM thankful for the limitless, overflowing Source of my abundance.
I AM showered with blessings and my Divine Inheritance.
God provides me with all that I desire, whenever I desire it for as long as I desire it.
God provides me with more than enough substance and supply.
I AM easily, openly and freely accepting abundance, now!
I receive an excellent supply of abundance in my Life daily.
I AM always in the right place at the right time.
I live in the likeness and image of God's Divine Abundance.