Como Criar uma Marca Forte Para Não Competir por Preço (CEO da Barbearia Corleone)| ROI Hunters #316
The Power of Authenticity in Business
Introduction to the Guest
- The host introduces Bruno, founder of Cor Leone barbershops, highlighting his unique approach to branding in a typically commoditized industry.
Building a Strong Brand
- Bruno discusses how he pivoted his business model within 24 hours, realizing that his barbershop could be more than just a local service.
- He emphasizes the importance of personal connections with clients, noting that remembering names and personal details significantly increased customer loyalty and return visits.
Insights from Experience
Customer Relationship Management
- Bruno shares that treating customers well and engaging personally has been key to generating high returns on investment (ROI). He recalls specific instances where he followed up on personal matters discussed during previous visits.
The Role of the Host
- The hosts express their excitement about discussing Bruno's journey and insights into creating a strong brand in traditional markets. They acknowledge their interactive style of hosting, which includes interruptions for commentary.
Defining Success Beyond Titles
Entrepreneurial Identity
- Bruno identifies himself primarily as a seller rather than just an entrepreneur or businessman, emphasizing the transactional nature of his work: providing services for money.
Debating Industry Norms
- He reflects on past discussions regarding whether barbers should own barbershops, arguing that being behind the scenes allows him to observe and improve operations better than if he were cutting hair all day.
Market Expansion Strategies
Growth and New Ventures
- After 11 years in business, Bruno mentions expanding into new markets with plans for a kids' barbershop unit, indicating growth potential beyond traditional offerings.
Focus on Improvement Over Competition
- He stresses focusing on learning and improving customer service rather than getting caught up in competition or negative discussions within the industry. This mindset has contributed to his success over time.
Key Strategies for ROI
Effective Customer Engagement Techniques
- One major strategy highlighted by Bruno is greeting customers warmly upon arrival and remembering their names after multiple visits—this simple act fosters loyalty and enhances customer experience significantly.
Creating a Unique Brand in a Commoditized Market
The Importance of Personal Connections
- The speaker reflects on the early days of their business, emphasizing the importance of personal connections with clients and how these relationships can foster loyalty.
- Clients became friends and advocates for the brand, creating a micro-community that contributed to customer retention and referrals.
- A key insight from Roy is highlighted: treating customers well and engaging personally can differentiate a small business from larger competitors.
Strategies for Small Business Growth
- The speaker shares advice from Cicupira about maintaining a small company mindset even as growth occurs, which helps manage challenges effectively.
- They emphasize avoiding grandiose titles within their small team to maintain clarity in roles and responsibilities, thus preventing unrealistic expectations.
Building a Brand in Local Markets
- The discussion shifts to the challenge of establishing a recognizable brand in an industry often seen as commoditized, like barbering.
- The speaker notes that many local businesses fail to create distinct brands; they aim to understand what made their approach successful.
Early Influences and Experiences
- Reflecting on past experiences, the speaker mentions working in family businesses since childhood, which shaped their understanding of customer service.
- They recount how initial plans for their business included elements beyond just barbering but evolved based on community needs and personal insights.
Transitioning from Restaurant to Barber Shop
- Initially intended as a bar or restaurant, the concept shifted towards barbering due to market observations and personal preferences regarding clientele behavior.
- The speaker discusses leveraging existing social networks before social media was prevalent, indicating an early understanding of community engagement.
How to Transform a Barbershop Concept into a Successful Business
The Initial Concept and Pivot
- The speaker discusses the initial idea of opening a bar themed around a barbershop, aiming to sell food and beer, specifically 450 bottles of beer.
- The business was inaugurated on July 14, 2014, coinciding with the speaker's birthday on July 15. This marks nearly 11 years since its inception.
- A significant transformation occurred overnight when the speaker realized that the concept needed to pivot from merely being a barbershop to something more substantial.
- The key to their success over the past 11 years has been this ability to adapt quickly and redefine their business model within just one day.
- Initially, there were few competitors in São Paulo; however, they lacked strong organizational structures.
Evolution and Technology Integration
- Over time, the business evolved significantly with technology integration, allowing for better customer data management and enhancing client relationships.
- The journey involved learning rapidly about customer engagement and transforming casual clients into brand enthusiasts through effective communication strategies.
- There was a shift in consumer expectations towards seeking experiences rather than just services like haircuts; prices for haircuts have increased dramatically over time due to this demand for quality experiences.
Market Positioning and Customer Education
- The speaker reflects on how they managed to convince customers to pay higher prices despite cheaper alternatives nearby by creating an appealing experience at their establishment.
- They emphasize that educating customers about what constitutes a quality barbershop experience was crucial in establishing their market position ten years ago when such concepts were less understood.
Understanding Consumer Behavior
- Discusses the complexity of consumer behavior in a large city like São Paulo where diverse options exist; simplistic categorizations (like gourmet vs. basic services) are seen as inadequate.
- Pricing differences based on location (e.g., Itaim Bibi vs. other regions in Brazil) highlight challenges in comparing service costs across different markets effectively.
Historical Context of Barbering Services
- Reflecting on historical trends, there was once a decline in traditional barbershops due to the rise of unisex salons which often catered primarily to women while also serving men inadequately.
- The speaker notes that societal perceptions around masculinity have shifted over time; men now seek environments conducive for grooming without feeling out of place or unwelcome.
This structured summary captures key insights from the transcript while providing timestamps for easy reference back to specific parts of the discussion.
The Evolution of Men's Barbering Culture
Creating a Comfortable Environment
- The speaker reflects on their experience at a barbershop, noting the care taken to create a comfortable environment for clients, including wearing a protective garment to avoid staining clothes.
- Acknowledges that some female clients may feel uncomfortable with male presence in traditionally feminine spaces, highlighting the importance of creating an inclusive atmosphere.
Shifting Perspectives on Grooming
- Discusses how men often lack knowledge about grooming products due to societal norms and expectations; many rely on family members for such purchases.
- Shares an anecdote about a client who finally sought advice on hair products after visiting the barbershop multiple times, indicating a shift in comfort and willingness to engage in personal grooming discussions.
Pricing and Value Perception
- Emphasizes that perceptions of value have changed; what was once considered excessive pricing for haircuts is now accepted as part of the grooming experience.
- Argues that the evolution of barbering has led to increased acceptance among men regarding spending money on grooming services, which were previously undervalued.
Cultural Trends in Barbering
- Notes that modern barbershops are influenced by successful models like Corleone's, which set new standards for men's grooming environments across various locations.
- Highlights aesthetic choices in barbershops (e.g., retro furniture), suggesting these design elements contribute to creating a unique customer experience.
Breaking Paradigms in Business Models
- Discusses how innovative business models can initially face skepticism but eventually gain acceptance; compares this trend to other industries like gourmet ice cream shops.
- Stresses the importance of delivering genuine experiences rather than just replicating products or services, which can lead to market saturation without true differentiation.
Brand Identity and Market Competition
- Explores how established brands like Red Bull dominate their markets due to strong brand identity and consumer loyalty, making it difficult for newcomers to compete effectively.
- Mentions Logan Paul's energy drink brand as an example of leveraging celebrity influence but questions its sustainability without ongoing promotion from its founder.
The Future of Branding Strategies
- Considers how companies are adapting branding strategies by linking their identities closely with founders while still maintaining equity through effective marketing practices.
- Reflects on changing perceptions around personal branding within businesses; emphasizes that having a recognizable figure associated with a brand can enhance its value if managed correctly.
The Role of Leadership and Brand Identity in Business
Understanding Leadership Dynamics
- The speaker emphasizes the importance of not competing with employees, suggesting that a leader should focus on creating a supportive environment rather than taking on roles that could undermine team dynamics.
- The speaker reflects on their decision to avoid learning skills (like hair cutting) that would position them as competitors to their staff, highlighting the significance of established roles within a business.
Building Team Cohesion
- A strong sense of unity is fostered within the team, where each member has defined responsibilities, leading to high-quality service without internal competition.
- The speaker shares an anecdote about testing their brand's identity by visiting another barbershop incognito, illustrating how important it is for leaders to understand customer perceptions and employee morale.
Humanizing the Brand
- Personal engagement with clients helps humanize the brand; this approach builds trust and loyalty among customers who feel they can reach out directly for support.
- There’s a discussion about transitioning leadership during company sales, emphasizing that founders often need to remain involved post-sale to ensure continuity and operational success.
Marketing Strategies and Customer Engagement
- The conversation shifts towards marketing strategies, noting how social media played a crucial role in establishing brand identity before launching the business.
- The speaker highlights the importance of creating an inviting atmosphere where customers feel comfortable discussing products like shampoo, which may not have been on their radar initially.
Capitalism and Consumer Behavior
- An observation is made regarding consumer behavior; people are willing to spend money on services they perceive as valuable or enjoyable, regardless of previous habits or preferences.
- The speaker discusses trends in pricing for services like haircuts, indicating a reluctance to follow fleeting trends while maintaining classic offerings that align with long-term beliefs.
Understanding the Broader Impact of Personal Branding
The Essence of Personal Branding
- Personal branding extends beyond just haircuts and visual aesthetics; it encompasses communication style, visual elements, and personal attire.
- Criticism of others in a competitive market is unproductive; instead, focus on internal metrics like customer lifetime value (LTV) and return on investment (ROI).
Strategies for Business Expansion
- Local businesses often struggle with expansion due to limited customer acquisition strategies; many entrepreneurs face growth ceilings.
- Inquiry into Cor Leone's expansion strategy reveals interest in various channels such as social media, paid traffic, and influencer marketing.
Organic Growth Through Community Engagement
- Cor Leone has relied on organic marketing rather than influencer partnerships to attract clients through genuine community engagement.
- Micro-influencers within specific communities can be more effective than macro-influencers with large followings for niche markets.
Authenticity Over Forced Marketing
- Authenticity is crucial; hiring influencers who do not genuinely connect with the brand may lead to ineffective marketing efforts.
- The speaker emphasizes that true passion and understanding of the business are essential for effective promotion.
Customer Relationship Management (CRM)
- Current strategies include paid traffic and CRM actions aimed at enhancing client retention through personalized approaches.
- Clients are categorized into clusters based on their loyalty levels, allowing tailored communication without pushing unnecessary services.
Understanding Brand Credibility and Marketing Strategies
The Role of Influencers in Brand Trust
- Encountering Bernardo Brito, a popular internet figure, enhances brand credibility. His endorsement can significantly influence consumer trust.
- A smaller group of engaged individuals (100-200) sharing authentic experiences can have more impact than a single influencer with millions of followers, emphasizing the importance of social proof in marketing.
Free Diagnostic Offer for Businesses
- For businesses earning over R$ 100,000 monthly and struggling with marketing effectiveness, a free diagnostic service is available to identify issues and improve strategies.
- The diagnostic includes an analysis of marketing strategies and personalized recommendations aimed at attracting more clients and increasing revenue.
Expansion Strategy Insights
- Discussion on business expansion reveals that the speaker does not operate through franchises but has developed an independent growth plan.
- The complexity of scaling operations is highlighted; owning production means better profit margins compared to franchising models where control over service quality is limited.
Challenges in Franchise Models
- Franchising presents challenges as it requires significant investment to match profits from a single well-managed store.
- The speaker notes that managing multiple franchises could lead to operational headaches without guaranteed success across all locations.
Personal Business Philosophy
- The speaker expresses contentment with their current business size, valuing stability over rapid expansion or excessive ambition.
- Plans for opening new units are based on market demand rather than personal validation or status symbols.
Lessons from Business Ventures
- A failed partnership with Disney illustrates the unpredictability of themed ventures; initial excitement did not translate into expected customer engagement.
- Feedback from customers indicated that the thematic approach was too juvenile for adult clientele, leading to reassessment of branding strategies.
Opening a Barbershop: A Journey of Growth
Transition from Bar to Barbershop
- The speaker shares their experience of opening a barbershop after initially starting with a bar, emphasizing the rapid transition and success of the project.
- Six years ago, they recognized the need for professional organization within their business, which was not reflective of its size at that time.
Business Development and Investment
- The speaker invested R$ 6 million into creating an impressive store, indicating significant financial commitment towards enhancing their business.
- They closed a photography studio to focus entirely on managing their barbershop business, highlighting the importance of prioritizing core operations.
Strategic Partnerships and Sales
- The speaker discusses selling their hair transplant business partnership due to time constraints, allowing them to concentrate fully on Corleone.
- There has been a notable increase in revenue by 25.9% compared to the previous year’s first quarter as they refocus efforts on growth.
Future Goals and Business Philosophy
- The speaker aims for gross revenue exceeding R$ 40 million by 2026 while questioning the value of having numerous low-performing franchises versus fewer high-quality locations.
- They reflect on industry trends regarding franchise sales and profitability, suggesting that quality over quantity is essential for long-term success.
Brand Recognition and Product Expansion
- The speaker mentions producing male grooming products sold nationwide, establishing brand recognition beyond physical locations.
- They clarify that there are no plans for a female line but have considered entering the children's market with adaptable branding strategies.
Market Adaptation Post-Pandemic
- Discussing strategic closures during the pandemic, they explain how relocating units closer to clients helped recover lost customers effectively.
- The impact of location changes post-pandemic is highlighted; moving units closer to where clients now reside has proven beneficial for customer retention.
Business Strategy and CRM Insights
Closing a Unit and Opening New Opportunities
- The speaker discusses the closure of a unit due to structural issues, leading to plans for renovation and relocation of barbers to a new location on Faria Lima.
- Emphasizes the importance of customer relationship management (CRM), specifically targeting existing clients with children under 14 for a new service offering, Corleone Kids.
Understanding Customer Base and Activity
- Highlights the significance of having an effective CRM system, currently managing 345,000 contacts but focusing on about 25,000 active clients who have visited in the last six months.
- Plans to re-engage approximately 30,000 inactive clients from over a year ago as part of future CRM strategies.
Location-Based Consumer Behavior
- Discusses how client behavior varies by location; for instance, different peak times at various units based on residential versus commercial proximity.
- Notes that consumer habits differ significantly between locations; understanding these patterns is crucial for business success.
Predicting Business Performance Challenges
- Stresses that predicting sales performance can be challenging due to external factors like weather affecting foot traffic and sales.
- Points out that knowing peak business hours is essential; Fridays are highlighted as critical days for revenue generation in restaurants.
The Role of Technology in Business Management
- Addresses common frustrations faced by small business owners regarding technology management and project delays.
- Introduces Tecla T as a solution provider specializing in technology projects aimed at improving operational efficiency and ROI.
Business Insights from a Successful Barber Shop
The Unique Approach to Business Management
- The speaker discusses how their barber shop generates significantly higher revenue than average, despite having fewer locations. They emphasize the importance of effective management practices.
- A comparison is made between the speaker's managerial strategies and those of an average barber, highlighting the need for a comprehensive checklist that goes beyond just cutting hair.
- The speaker suggests that local business owners should focus on specific metrics, such as profit margins, to optimize their operations and improve overall performance.
Creating a Memorable Customer Experience
- The concept of "experience" in retail is explored; however, the speaker critiques vague definitions by sharing an anecdote about a clothing brand's failure to articulate its value proposition.
- Key elements contributing to customer experience in their barber shop include cleanliness and security measures, which are essential for creating a welcoming environment.
- The importance of climate control is discussed; maintaining comfortable temperatures with multiple air conditioning units ensures customer satisfaction during hot months.
Attention to Detail in Service Quality
- The speaker emphasizes that many barbers overlook aspects like ambiance and equipment maintenance. Investing in quality service elements can differentiate businesses from competitors.
- An example is given regarding beer quality at bars; regular cleaning of beer taps leads to better customer experiences but requires investment and effort.
Cost vs. Value Perception
- The discussion shifts towards pricing strategies; the speaker questions whether they should justify higher prices based on superior service quality compared to less expensive alternatives.
- They argue that customers may not always recognize the costs associated with providing high-quality experiences, making it challenging for businesses to communicate their value effectively.
Navigating Market Challenges
- The speaker reflects on operating within an informal market where competition often undercuts prices. They highlight the difficulty in explaining their business model's sustainability compared to smaller operations with lower overhead costs.
- Emphasizing transparency, they note that maintaining proper financial records sets them apart from competitors who may operate without formal accounting practices.
Experience as a Key Selling Point
The Importance of Customer Experience
- Most customers quickly understand the value of experience when they engage with a service, indicating that selling an experience is crucial.
- A long-term customer expressed their inability to articulate why they enjoy returning, highlighting the intangible nature of a positive experience.
- Emphasizing the significance of experience, it was noted that it can be costly but is essential for customer satisfaction and loyalty.
Defining Experience
- Experience is described as something competitors cannot replicate and which customers struggle to explain; this uniqueness adds value.
- The speaker stresses the need to create an environment where customers feel comfortable and valued, enhancing their overall experience.
Maintaining Quality in Service
- Attention to detail in maintaining cleanliness and air quality is vital; neglecting these aspects can lead to discomfort for clients.
- Regular maintenance of air conditioning systems is necessary despite its costs, as it directly impacts customer comfort and health.
Creating a Welcoming Atmosphere
- The goal is for customers to feel at ease in the space provided, allowing them to relax and enjoy their time without distractions or discomfort.
Networking Opportunities at Corleone
Building Connections Through Experience
- The speaker invites potential clients to visit Corleone via social media channels, emphasizing personal interaction and feedback on experiences.
- Networking has historically been important; before social media, face-to-face interactions were key for building relationships among clients.
Value Beyond Services Offered
- Clients are encouraged not only to seek haircuts but also opportunities for networking and idea exchange within the community at Corleone.
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