The Hidden Step
www.necouncil.org/the
hidden
step
NOTE
:
Value always supersedes price
I visit Starbucks frequently. You may too. I was in line waiting to order
a few days ago and marveled at how many people are willing to pay $4
for a cup of coffee. Every Starbucks I go to, there seems to be a line. I
am amazed the fact that millions of people all across the world are lining
up every day to pay $4 dollars for a cup of coffee. There is also a donut
shop down the street from one of these Starbucks locations. Although
the coffee at this donut shop is also great, it costs only 0.89 cents and is
sized twice as large as that of Starbucks (equivalent to a Big Gulp), yet
I never see a line. You get far more coffee at this donut shop and pay far
less, but people are not lining up.
Do people pay more for perceived quality? During the economic chal-
lenges of 2011, Starbucks showed record profts. Similarly, there is
a great Japanese buffet bar in Orange, California called Todai. They
charge $26 per person, yet their location is always packed. In fact dur-
ing lunch hour, you have to wait up to 45 minutes to be seated. There is
another Japanese buffet bar in an adjacent city charging only $4.99 per
person. It is always empty. Sometimes I wonder how they stay in busi-
ness.
What does this tell you? That price is not why people buy and the major-
ity is willing to pay more for value. Hiring managers hire based on value
too. They pay top dollars for the person they perceive as the right one.
Are you that person? If you are, during the interview, do not focus on
price by speaking about compensation. Instead, focus on your value to
the company.