I recently heard someone say, in a pejorative way, that all real estate developers think of what they build as “products.” I imagine this is in contrast to thinking in terms of buildings as spaces for people to live, raise a family, do their life’s work, and so on.
When I heard this I immediately thought to myself, yeah, we (or at least I) do think of our spaces as products. But I also didn’t see it as a negative thing.
In my view, there’s no reason that classifying something as a “product” has to make it any less beautiful, functional, and/or filled with design intent. My iPhone is a product. The wine on my shelf that somebody labored over is a product. The chair I’m sitting on right now is a product. All of these items were produced by people and then I consumed them because I liked what those people had made.
When I was completing my first master’s in architecture and real estate, I used to walk back and forth across campus between the design school and the business school. And in these two places, we talked about bricks-and-mortar in very different ways.
In the business school, buildings were the proverbial widget. How much does this widget cost to produce? How much can I sell or rent this widget for in the market? And how do I scale up my business so that I can sell/rent more widgets?
On the other hand, in the design school we weren’t all that concerned with the cost of the widget or even what people would pay for it. Instead we were concerned with making it something so much more than just a plain old widget. These weren’t buildings. This was capital “A”, Architecture.
I don’t think either school was wrong in their thinking. I just think they were missing each other.
Business is business. If you don’t make a profit then you’re not going to be around for very long. And while many companies can survive by making shitty products, those aren’t great businesses. The best businesses also deliver products that people absolutely love.
So whether we call it architecture, a product, or even a widget, the goal should be to delight people. (Am I allowed to say “customer”?) Make people so happy that they have to tell their friends about it. If we’re doing that, then frankly I don’t care what we call it.
I was reading Fred Wilson’s AVC.com blog this morning (as I do every morning), and I thought his post on trust was a really important one. He was talking about it in the context of building successful web applications, but I don’t think it’s only applicable to internet businesses.
As marketer Seth Godin wrote on his blog earlier this year, the most important questions are not:
Is my price low enough?
Is it reliable enough?
Do I offer enough features?
Am I on the right social media channels?
Is the website cool enough?
Am I promising enough?
No, the most important question in marketing something to someone who hasn’t purchased it before is,
“Do they trust me enough to believe my promises?”
Without that, you have nothing.
I thought this was such an awesome, yet simple, post that I actually circulated it to a bunch of people in the office after I read it. Because whether you’re marketing widgets, marketing private cloud storage, marketing to investors, or marketing new condominiums, that question of trust is paramount.
And it’s for that reason that I think social media and mediums such as blogging have become so important. Customers want to feel like they trust you before they buy your product. The best brands know this and forge “relationships” with their customers. And with the tools at our disposal today, it’s become a lot easier for companies to do that.