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Last Update: Thursday July 29, 2021

Key Idea: Do What You Promise to Do

John Wargo says that  publicity can win new customers but service is what brings them back.

Key Question:

A: 

Keep your promises to customers.

John Wargo talks about a chocolate company in Denver started by two children who are now teenagers. They had so much publicity when they launched the business because they were so young and so cute every body wanted to tell their story. 

Q:
Why has this little company been able to create 45 jobs in Denver?

A:
Not because of publicity but because of service. Chocolate is hard to ship but customers consistently get the product in the condition it was sent and they come back for more.

Think about it

What promises do you make to customers now? What promised could you make? Should you make?

Clip from: Job Creation In New Mexico

Meet Linda Brewer of Blue Dome Gallery in Silver City.

Southwestern, New Mexico: In this episode of the show, we go into New Mexico as guests of the Chamber of Commerce of Las Cruces and Silver City. When we asked them, "What is your biggest business problem?" both said "Job creation." Yet, when we asked, "Are there businesses that are creating jobs?" over 100 businesses were recommended!

So, we asked practically every business advocate in the State of New Mexico,  "Would you take a look at this list and tell us who would you'd like to represent your state on national television?" It quickly became apparent that any  businesses from that list of 100 would have been fine.

In this episode we visit with five businesses and try to learn why they are being so successful in creating work for others. 

We learned a lot.  

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John Wargo & Company

John Wargo, founder

Business Classification:
Marketing

Year Founded:

Do What You Promise to Do

HATTIE: Growing a business and creating jobs requires marketing. For some advice, here's our marketing adviser John Wargo.

HATTIE: John, why do you think some companies grow quickly and others struggle?

JOHN WARGO (Marketing Adviser): Well, there's a lot of reasons, but one of the big reasons that small businesses struggle is they have a tough time getting recognized. They have a tough time getting their name and their product in front of their potential customers. On the other hand, there are some small companies who really know how to get publicity, and when they get the publicity, they get the recognition, they know how to seize upon it with a good product and a good service.

HATTIE: Can you give me some examples of some companies you might know about that had some good PR?


JOHN: Well, you know, there's one that's very unique. There's a couple of young children out in the Denver area who participated in a one-day event at a bank in Denver, and they went in and they started producing some chocolates that they were going to sell. Well, they did so great at that, Ernst & Young gave them an award for being a young entrepreneur, Oprah Winfrey put them on her show. Bam, bam, bam, all of sudden, here were two kids selling chocolate, which is essentially a commodity, getting this phenomenal publicity. Not only that, they were creating jobs within the Denver area for people.

HATTIE: How is it that they're doing so well at meeting the expectations of their customers?

JOHN: Well, they understand customer service, and in doing so, they understand how to fulfill the order. They get the right packaging. This is their basic product. As you can see, the chocolate is properly covered. It's got plastic on it, it's sealed.

HATTIE: It's also fun.

JOHN: Yes.

HATTIE: Look at the cow. It's a happy cow.

JOHN : It's a very exciting package. Then in summer, when they're sending chocolates, they're concerned about the chocolate arriving in the condition it was sent so they use an insulated package.

HATTIE: So it starts with exposure, but you've got to follow up. The customer expects you to do what you say you're going to do.

JOHN : What they were able to do was to get the chocolate, wrap it properly, box it properly, and when they were sending it, they were able to insulate it properly. Then by picking the right service, they were able to get the chocolates to the customer within two or three days in the condition in which it was sent, and that was unbelievable customer service. And what was very, very unique was understanding how to fulfill the order and understanding the customer service part after having gotten all that publicity. They didn't live on their publicity. They lived on their service.

HATTIE: If every small business in your community were to add just one job this year, there would not be enough people to fill the jobs. These business owners in today's show are proof that good ideas with good execution create good work and many jobs. We small business owners are the artists, the innovators, the problem solvers, the creators of wealth and work.
 
 

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