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Why did Gary Vaynerchuk become successful? We know he is an expert salesman, but there has to be something else. He needed to do something differently, but what was it?
If you ask him directly, “Hey Gary, Why did you become successful?” he is likely to say something like “I hustled my face off” or “personal brand,” but that isn’t the whole story. Gary Vaynerchuk became successful by bringing the mom and pop shop atmosphere to the internet.
Let me explain.
We all like mom and pop shops. It may not be the cheapest place around, but they know exactly what you want and why. They know you and your family. They’re willing to sell girl scout cookies for your daughter and take night calls to fix a leak. Gary Vaynerchuk took “Mom and Pop” best practices to the internet and in the remaining part of this article, I will talk about some of his tactics.
Every Single E-Mail
How great does it feel when a business appreciates you as a customer? I’m not talking about silly corporate speak that says “We appreciate our customers,” but instead, I’m talking about the kind of corporations that send you a gift basket for Christmas (my hosting service, Choopa, did this).
Mom and Pop shops are known for this kind of treatment. They give you personal phone calls and care about what happens in your life. They’re willing to answer your questions and provide that extra level of support that most corporations cut due to the cost. Most importantly, these mom and pop shops remember your name.
Well, Gary Vaynerchuk appreciates his customers and he shows it by answering every single e-mail. Even if he needs to answer “What wine goes with chicken?” one thousand times, he says he responds to every e-mail.
Become a Social Business
In Predictably Irrational, Dan Ariely talks about the difference between a money relationship and a social relationship. The money relationship is when people trade their money or time for a paycheck or goods, whereas a social relationship is where people feel they are part of the team and the community. As Dan Ariely pointed out, when people feel like they are on the same social team, they are more likely to go out of their way for each other.
Now we know Mom and Pop shops aren’t the cheapest, but they build a social relationship with their customers. They know what’s going on and they talk about it. They know who lost their job, or who bought a house. They participate in local town halls and help lobby for community improvement projects. Overall, these mom and pops create social responsibility and the community supports them.
Gary Vaynerchuk did something similar with his online business. Even though he runs a $50 million business, he’s willing to treat you like a human being. He uses a Twitter account, runs a personal blog, and uses various other social media tools such as Facebook. He’s not impossible to reach and he isn’t faceless. He talks about the same things we talk about (sports, business, etc…) and he gave his customers someone to trust. So, not only did he build a loyal fan base, but he made sure each of his fans felt socially responsibile to support him and his business.
Personalized Service
We have all been there. We know where we need to go to buy what we want but we don’t know what to buy. In a big-box store, you can’t find someone to help you and if you do, they can’t help you because they don’t know. The other day when I was in a big box store, I asked the customer service representative, “Where can I find the video cameras?” He said, “I have no idea. Talk to sales.”
That would never happen in a Mom and Pop shop. The workers will show you where to go and offer to carry it to your car. If you don’t know what you want, they will make suggestions for you based on your personal interests.
Now as I said before, when you e-mail Gary Vaynerchuk and ask him “What wine goes with my meal?” He will respond and your dinner party in a few weeks will be a huge success. Gary knew that great service was the key to word of mouth marketing, so he made it his priority.
Now What Do You Think?
What else did Gary Vaynerchuk do that made him a great “mom and pop” internet business? Share it in the comments.
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Hi Derek, thanks for sharing Gary Vaynerchuck and mom and pop stories.
I absolutely agree with your idea. I think it is not the customer satisfaction anymore, but the customer delight.
I mean customer satisfaction is when we can fulfill the customer needs and customer delight is when we can give more than the customer needs.
@Arswino You are absolutely right. People are tired of just being treated “okay.” Instead, they prefer AMAZING treatment.
While it is usually true that mom and pop or boutique shops have somewhat higher prices, and people are willing to pay because the owner is always around, or they get personal service and their name remembered, Gary has an added bonus. He has created such a loyal following of customers that his buying power is tremendous. When you have serious buying power, you can compete on price. Gary also understands the power of a loyal customer. I guarantee you that on some wines, he makes little to nothing, but that customer who buys the $20 wine that should be $29 buys enough wine to make up for it.
I can tell you as a winelibrary customer with great connections in my hometown for wholesale wine, I have never once seen a wine from Gary that was not the same price or cheaper.
@brian While Buying power contributed to his success, it was his “mom and pop” roots that helped him build those fiercely loyal customers.
Hi Derek,
This is a great article – and a great reminder of what it is that attracts us to the mom and pop shops – and how that can be applied in whatever endeavors we tackle. It’s all about being personal and being real – that can really take you to great heights in life!
@Lance Well said.
Not only did you bring a new perspective to the table, but you followed it up with great analysis. Good post.
Derek – He has figured it out – for sure. Being sort of new to discover Gary Vaynerchuk and Wine Library – he has given me hope. Not hope of achieving success, but hope of achieving it in a manner that “pays it forward”. Thanks for the insight. Cheers! ~ Heather
@Nathan So many people go to ecommerce sites and often leave frustrated. They think its just another faceless corporation. Gary Vaynerchuk changed this by giving his company a public face. The people have someone to like or someone to hate. Just like Mom and Pop shops…
@Heather Not only does he have it figured out, but if at any point he doesn’t… he’s willing to learn how to figure it out. That is what is most important.
Derek much has been written about GaryV but your post adds a unique twist by comparing his formula for success with off-line biz. It’s a thoughtful reminder that no matter the forum, making your customers have a wow experience every time is the key. The anonymity of the web can make that challenging and it’s inspiring and informative to learn how people like GaryV made it work.
@Diane Thank you for the kind comments. I started blogging about business because I knew I had a unique viewpoint on much of the things being talked about. If at any point I feel like I’m rehashing what other people have said I would quit doing this in a second.
But… gary is so popular that he has become impossible to reach.
Great post!! Too many people focus on getting big and seeing numbers, and that is what keeps some great people w/big vision small. Relationships are everything. I am learning more and more about Gary and I absolutely love his character, values, genuine authenticity. That’s how someone like him becomes so successful…not short term that will crash like many business we’ve seen. Success that endures through tough times. Business/personality built on Integrity an character is what will out stand all the rest!
Sorry, last post from @DuongSheahan
@Rick That is to be expected, but he still makes his valuable time available to his fans. If you’re looking to contact him, e-mail may not be the best way. You might have to follow him on Twitter or watch one of his live ustream webcasts.
U think Rick? just email me @ garyv (at) winelibrary dot com
I totally agree with what you’ve put forth on Gary, Derek. He has brought some of the principles of the mom & pop shop to the internet. I assume (don’t want to put words into Gary’s mouth) that this is some of what he puts under the “giving a crap about your users” which he’s described in multiple talks like his Web 2.0 Expo keynote, the Arizona Entrepreneur’s Conference and many other speaking opportunities. After sitting with him for 20 minutes like I had a chance to last November it’s apparent that this isn’t some marketing schtick, he really does care about his customers and people in general.
One of the things that your post doesn’t touch on which I think is also a major part of his success is that he made it cool and fun to get into the wine world. He successfully transported the entire idea of simply “playing” (a la Bert Monroy) to wine. Gary’s says regularly “trust your own pal[ette]“, “don’t care about the scores” and “try everything”. These phrases removes the perceived differential between experienced wine drinkers and those just learning about wines. When you combine that with his tag line “You with a little bit of me, we’re changing the wine world….whether they like it or not” he begins to make the viewers part of the community and more importantly that the movement is bigger than just Gary. He just happens to be the guy with the rallying cry.
Expanding the market, being a friendly guy you want to drink a bottle of wine with and actually caring about the people who have helped build this movement around him make him an absolutely fascinating businessman to watch.
@Kade that is very well said. Gary Vaynerchuk perfectly executed what Seth Godin talks about in Tribes. He found an existing market of amateur wine lovers who didn’t buy into the snub nose experts… and started to lead them. That might have to be a follow-up blog post. We’ll See!
Another examples of Mom and Pop companies on the internet is Tucson Tamale Company. The other best practice that Gary has is his enthusiasm. It is contagious
@Marion I’ll have to check out the Tucson Tamale Company.
This is so true! I love to go to the same small restaurant cause they know me. Small things like knowing what you are going to drink or what small changes you like for you food make you feel special.
Great article Derek!
Gary certainly has brought that mom and pop factor to the Internet. it’s such a shame that more people don’t. Nothing annoys me more than emailing someone, especially customer service, and getting no reply.
Keep up the good work!
Great article. Getting in touch with an actual person is so rare these days, and I think it’s remarkable that Gary manages to keep up on it by himself. Very ambitious, but it has certainly paid off. Mom & pop customer service is one of the things that makes people fall in love with readMedia. More often than not if you call in you’ll be talking to “Chels”
LOL, Gary!
‘Mom and Pop’ is a great metaphor. I think the key there, is customers know they are doing business with a real person first, and a company second.
Social media fits as a tool perfectly.
“Mom ‘n’ Pop” shops really do have it going on. It’s great to walk in to a place where “everyone knows your name” and even if they don’t, they know your face, your favorites and ask “how’ve you been?” or say “It’s been a while!”. With great sadness, in the past few years my fiance and I have seen some of our favorite MnP’s close. They were such great places that we feel that we’ve lost dear friends. Any business that can garner that kind of loyalty with a solid business plan, has a bright future.
Hi Derek!
Found you via Lance’s site! Nice to meet you!
Your post caught my eye because of Gary’s name! While I don’t know Gary on a personal level (yet), he truly is the “mom and pop” essence out there! I’ve been following him and I personally take his advice, run with it and put it into play! Not only is he a wealth of information, he has the energy level that would put an electric storm to shame! Oh, and he does respond on an individual basis.
Thank you for a great post and for sharing your insights about Gary so we can all continue to learn from it!
Best Always,
Henie