Guy Kawasaki-Creating Enchantment [Entire Talk]

it is my extreme pleasure to welcome our final speaker for a week this week it is Guy Kawasaki who for many of you needs no introduction guys original claim to fame was when he was the original Apple evangelist I remember reading his columns years and years and go and I am certainly a Mac enthusiast myself he Dez was a founding partner of Garage Technology Ventures he's been involved with writing he's written 10 books rules for revolutionaries the art of the start and his new book engagement I had a chance to read in Hama in Chelsea I think that's gonna be your next book Knesset your next book engagements and shant meant sorry but I did get your leap ok close social friend I do think I do think I actually got a plug in the book and I did read an advanced copy of this and it is truly remarkable so guy without further ado here you go thank you thank you very much let me do one more fact correction here I was actually the second software evangelist the first software evangelist was a guy named Mike boy and so should he ever see this or his son see this I don't want him to think that I took credit where it was not due although I have done that a few times in my career huh not in this instance so thank you very much I am you know terrifically flattered to be here and to have standing-room-only I mean in a Jesus like Condoleezza Rice kind of so I am going to give you a presentation about how to be enchanting this is my latest book it will be out in six days and we try to make it so we could have it here but it just was not possible so I use a top ten format for my speech and I'll tell you why as you go through your lives you will probably see many high tech CEOs speak and one thing you will figure out about high tech CEOs really see XO level any anything that begins with a C and ends with an O you will notice that there are two salient points about their speaking ability the first is that they pretty much all suck and the second is that they go long and if you think about that that is a very powerfully unfortunate combination because if you're good and you go long it's okay and if you suck and you go short it's okay but if you suck and you go long it's like being stupid and arrogant it is a very bad combination so what I have done is I've embraced the top 10 format for all my speeches so that in case you think I suck you know approximately how much longer I'll suck I truly hope you don't think I suck but in case you do that's why I use the top 10 format and this is a speech that I've given only a few times not to such a packed house like this so I hope that it works for you and it was no further well maybe I should give a little bit more about my background so I worked for Apple from 1983 to 1987 I work for Steve Jobs which was a very interesting experience using we're interesting loosely and euphemistically as Heidi could also to attest this was the Macintosh division which was arguably the largest collection of egomaniacs in the history of California we held that record for about 30 years until Google broke it recently uh uh the the groove was on a mission from God to make people more creative and more productive and I think we accomplished that because we work for Steve we had very special rules unlike any other part of Apple back then the company was divided into the Apple 2 division peripherals division and the Macintosh division and the Apple 2 division was shipping boatloads of altitudes making hundreds of millions of dollars the Macintosh division was not yet chipping so we were costing hundreds of hundreds of millions of dollars if you looked at the Apple P&L back then the P was Apple to the L was Macintosh but because we were for Steve we had very special rules unlimited supplies of fresh orange juice at $2 a bottle we could fly first-class for any flight over two hours and my interpretation of that rule is that it began at the moment you left your apartment so I would fly first class from San Francisco to Monterey and you know the the one of the bad things we did just to show you what bad people we were is that we would not let Apple two people into our building and so if you think about that you know if you ever when you run your large companies you should never permit that one division does not let another division into their building especially when that division is paying for that building so so the Apple 2 division quite rightfully so came up with a great joke about the Macintosh division which is how many Macintosh division employees does it does it take to screw in a light bulb the answer is one the Macintosh division employee holds up the light bulb and expects the universe to revolve around him how many of you use Mac's in this room oh yeah be still my heart then I'll tell you the Microsoft version of this joke which is how many Microsoft employees is to take the screw in a light bulb the answer to that is none because Bill Gates has declared darkness the new standard I'm going to go through this presentation then we're going to do Q&A right do some Q&A and so if we could do all the questions at the end because our 56 years old I'm getting like on in my ears like I need to be able to focus and just rip through the slides and then I can be asynchronous okay so we're going first it's going to be a serial process today so the art of Enchantment uh arguably since about 1979 I've been in business of enchanting people first in the jewelry business believe it or not I went to Stanford and after Stanford I I went to law school I went to law school for two weeks and quipped which was a BFD right back then because and as an asian-american and I'm sure even today some Asian Americans going to test this basically an Asian American parents want their kids to be a doctor a lawyer or a dentist okay so I decided I did not want to stick my hand into people's mouths so that eliminated dentistry as a career I decided I did not want to stick my hand in any part of a human body really so that eliminated medicine so what was left was sticking your hands in people affairs which is legal so I went to law school for two weeks and I quit which is one of the hardest things I ever did but arguably is one of the smartest things I ever did so then but I have to tell you I love Stanford it's easy for me to say now and you know one of the things I figured out is that at your age you don't trust anybody over 40 and frankly you are right to do that so I'm not going to cop this i-told-you-so attitude but you're in the happiest times of your life man I mean like right now you think you know big tragedies I don't know midterms or something man geez wait till you get out I you know the mark of a good speakers you never go off track but the mark of a great speaker is you just go all over the place and come back and I'm going to show you that so so I'll tell you my Stanford story so back when I was at Stanford this is right after the invented your city and I the Stafford they have this family day thing right and all the parents would fly in and drive in and all that parents would visit the kids and you know if you were lucky and you knew some rich family they would take you to means right and so a very soft spot in my heart for me and so when I was at Stanford as an undergrad during family day all these people would drive their Maseratis and Ferraris and Porsches and Mercedes on campus and I used to be at the basketball field where there's now a big parking lot and and we used to be at playing basketball out there and I'd look at these people driving their Porsches and Ferraris and Mercedes and Maseratis and I say someday someday I'm going to be rich like that and I'm going to buy a car like that ok now just to show you how perverse the world is a few Lila 10 years or so ago I had a 911 Porsche this is before kids really and before the dot-com implosion so I had this brief period of wealth and she's a whole nother lesson I'll tell you about sometime so anyway so now I have this Porsche and I Drive to the Stanford campus and I play basketball and I know these undergrads are looking at me saying someday I'm going to be rich like that guy and buy a Porsche and the irony is big lesson for you my first lesson I want to pass to you is that at that moment when I'm driving the Porsche and they're looking at me saying ah something I'm going to be rich enough to buy a Porsche I'm looking at them saying I wish I was back at Stanford so that's lesson number one you and the happiest frickin times of your life my advice to you and one of my son's classmates from high school is here in the front row I ask you not to tell this to my son second piece of advice for you is stay in school as long as you can as this good diligent oriental that I was you know I took really heavy course load I came in with AP credits I took summer session because I was in a rush to go work in the real world right and then little did I know you should not rush that if I were you I'd go to Stanford in Florence Stanford in you know Germany Stanford in the UK Stanford in Chile Argentina Guatemala go to every Stanford take at least six years to graduate because if you think about it your parents have worked in some cases decades perhaps even generations of your family have worked to get you to this place okay you sir you should not deprive them of the satisfaction of you staying here as long as possible so now we'll get on to some more practical things so the things that I want to discuss today about Enchantment of the basics of enchantment and enchantment is necessary I would argue the more innovative you have a more innovative product morning of service the more you need enchantment in a perfect world don't get me wrong if you had something innovative the world should be the path to your door it just doesn't work like that I definitely learned this with Macintosh Macintosh so the basics the three pillars of enchanting and enchantment is first likability if you think about it have you ever been enchanted by someone you didn't like the answer is probably not you need to be likable I don't care how great your product is you need to be likable so I'm gonna give you the key points of starting down the path of likability first key point is you have to improve your smile this is what's called a Pan Am smile unfortunately this audience you probably never heard of Pan Am right Pan Am was this airline long time ago and the Pan Am stewardess and really most flight attendants they have what's called the Pan Am smile where you only use your jaw muscles you kind of fake a smile and no flight attendant is truly happy to see okay let's just let's just come to grips with that all right so that's the Pan Am smile where you use the zygomatic major muscle if you want to have a great smile you need to use the orbicularis oculi muscle which is in other words the eyes but I'm trying to tell you here is crow's feet is good crow's feet is in forget the plastic surgery forget the Botox you want crow's feet because when you have crow's feet and you have your jaw working you have a truly great smile this is a woman named Marie Smith Marie Smith I have to take the cursor off her either just disturbs me Marie Smith is an expert in social media you may have heard of her and the great story about this particular slide is I went up to Marie and I said you know I have good news for you and bad news for you the good news is you will be in every one of my speeches from now on the bad news is you're in the speech because you have really pronounced crow's feet luckily she took that in a good way that's why she's in every slide so that's second thing the next thing is how to dress no pun intended but you should dress for a tie there are several theories about how to dress you could dress underneath your audience where you know your audience is a business audience there in a coat and tie but you're going to freaking walk in there with t-shirt and jeans and you know running shoes you don't care right because you are more powerful than them they cannot do anything to you you're going to wear a t-shirt you don't care you're disrespecting the audience you can also over dress this is where you're trying to communicate that I have more money than you I have better taste in you I can put you to shame that also makes you not likeable so what you really want to do oops but you really want to do is dress equal to the audience not high not low equal dress for a tie the third component of likeability is to have a great handshake of all audiences in the world you should appreciate this is a mathematical formula for the perfect handshake the citizens of the United Kingdom funded this study for you from the University of Manchester and it tells you that you need to be a certain distance certain firmness your hand needs to be smooth and dry you need to maintain eye contact for a second or two this is the perfect handshake the point here is that you know first impressions are important the smile the Duchene smile not the Pan Am smile the Duchenne smile and also that you shake hands well and also that you dress for a tie the three starting points of likability now you can like people but not trust them you could like for example Hollywood stars but hopefully you would not trust them to give you advice so we need to go from just like ability to trustworthiness transfer meanness occurs when you first of all trust others this is not a chicken or egg problem the sequence of events is that you trust people and they will trust you the onus is upon you to trust first three great examples amazon.com trusts you you can buy a Kindle book and return it five days later right most of you could read the book in five days they're trusting you Zappos if Tony Hsieh had told me guy you know our business model is we're going to enable women to buy shoes without trying it on online I would have told him he is crazy but he has pulled it off and the reason he's pulled it off is good people women trust him they trusts apples primarily because they will pay shipping expenses both ways no questions asked that's a trustworthy quality of Zappos and the old school analog brick-and-mortar example of trustworthiness is Nordstrom all examples where the organization trusted people and then people trusted them that's the order the second thing is there are two kinds of people in the world the world can roughly be Weiden two guys be Stanford grads and non Stanford guys all right people who didn't go to SC and people who did so there are bakers and eaters when an eater sees a pie and eater is thinking zero-sum game I need to get as much of the pie as possible my gain of the pie is your loss of the pot I need to get as much of the pie as possible a baker by contrast sees the world as an opportunity to make more pies and bigger pies trustworthy people are Baker's not eaters they see the world as a non zero sum game the third quality of trustworthiness is you need to default to yes defaulting tes means that when you meet people you are always thinking how can I help that person which is very different than when you meet people you're always thinking how can that person help me default to yes if you want to be a great networker and a great schmoozer always be thinking when you're meeting people how can I help the person now you may wonder this could get me into a lot of trouble caused me a lot of aggravation because if I'm always defaulting to yes people will be unreasonable it's been my experience over about 30 years that it very seldom happens most people are completely reasonable reasonable about what they ask and for the rare occurrence where they are not reasonable that's probably someone you should not bother trying to enchant three key points of trustworthiness the next thing is to get ready first step is you need to create something what I call dicey dicey is an acronym the d stands for depth great products great services great ideas great causes are deep lots of features lots of functionality they have anticipated what people will need as they come up the power curve great products are deep they are also intelligent when you look at them you say ah somebody was thinking somebody has even perhaps understood my pain better than I have has articulated my pain better than I have I'll give you a great example I want to buy a Ford Mustang specifically I want to buy a Ford Mustang that's called a gt500 Shelby Mustang this Mustang has 450 horsepower it goes zero to 60 in 4.4 seconds okay so I have an issue however I know that if I bought such a Ford Mustang your classmate my son will inevitably end up driving it it is not clear to me that I should put into the hands of my son it shall be gt500 Mustang Ford however has a very intelligent product they've created something called my key and what you can do with my key is program the top speed of the car so I could give my son the keys to the Mustang and he could not go faster than 55 miles per hour you could tell him that part now it is true that my key does not control how long it takes you to get to 55 but it does limit you to 55 I think that is a very intelligent product the C stands for completeness you know when all you guys and girls start software companies do not consider your product the download the digital installation the totality of your product is the product the documentation the online support the string of enhancements it's the totality of the product not simply the executable code right great products great services are complete they are also empowering they make people feel more creative more productive they make people have a peace of mind they bring joy to them powerful products do that and the last thing is elegant great products have a great user interface somebody cared about the user interface so as you get ready ask yourself are we creating something that's deep intelligent complete empowering and elegant are we rolling the dice e the next thing is as you mentally conceive of your product and you position it and you tell the world about it just remember this very simple thing your product your statement your positioning your branding has to be short sweet and swallowable meaning you do not use any acronyms meaning that you should be able to explain your product in two or three words think mantra not mission statement okay mantra is two or three words the mantra for Nike is authentic athletic performance the mantra for target is democratize design the mantra for eBay is democratized commerce my personal mantra is empower people when you get out into the business world you will find that most companies create a mission statement and let me tell you how mission statements are created it is a two-day off-site it's typically at a hotel with the world-class golf course it's very high correlation between golf course and mission statement if you're doing it in in this local area it'll probably be at the ritz-carlton Half Moon Bay okay so you take your top 50 employees or so you have this two day off site the first day is led by a meeting facilitator the reason why you have a meeting facilitator is because no one on your executive staff can lead if you had someone who could lead arguably you would not need the off-site so you go to this off-site and you have this meeting facilitator her name is Moonbeam it's usually a woman it's usually a woman not to be sexist a statement of fact it's usually a woman this woman has a dual-track career she is a meeting facilitator and she is a Lamaze instructor because the process of pushing on a mission statement is very similar to pushing out a baby so this Lamaze instructor executive briefing coach thing drives a Prius vegetarian Birkenstocks all the good stuff okay so the first day is spent in outdoor exercises you climb ropes together you form cross-functional teams with the people you can't stand you fall into each others arms and at the end of the day kumbaya hallelujah you're friends with all these people you can't stand the second day you're in a room like this is pad of paper you're going to create this magical mission statement that's good for the shareholders the customers the employees and if you're still in caliph the whales and the Dolphins okay that stuff doesn't work short sweet swallowable this is a sign that was made right after 9/11 by an ad agency in New York he wanted to increase the awareness for terrorist activities he's saying if you see something say something loose lips sink ships same kind of thing next thing you should conduct a pre-mortem as opposed to a post-mortem a post-mortem is something you do obviously after death it's done to increase the peace of mind of the loved ones of the deceased the problem with post-mortems is though it's too late there's another problem with post mortems post mortems in business is really too late because by the time a company implodes most of the people have scattered to the winds they're not going to stick around to the bitter end okay and and and even if they stuck around a post mortem is very contentious you know you bozos wrote a piece of crap as opposed to you bozos couldn't market this brilliant piece of software that I created a lot of finger-pointing a lot of angst and anger I suggest you do a pre-mortem and the way a pre-mortem works is before you ship you ask the team let us pretend that our product our company failed we failed now what are all the possible reasons we could have failed lack of distribution unsophisticated sales force buggy software unreliable cloud services whatever it is so you come up with all these reasons and then in unemotional ways you talk about how you can eliminate each of those reasons this is very different than pointing the finger saying engineering is crap okay what you're saying is this is a list of reasons let's conduct a pre-mortem so that we never conduct a post-mortem conduct the pre-mortem the next step is to actually launch this sucker of yours first thing here you need to tell a story most people particularly in technology are horrible at telling stories you need to tell a story why did you start eBay why did you start Google why did you start Apple you can even make up the story after the fact okay the one of the great legends of Silicon Valley is that eBay was because pyramid yars girlfriend wanted to sell Pez dispensers okay the truth is that he really wanted to create a perfect market where demand and supply cross each other the perfect market and to have a perfect market you need to eliminate geography the story of the PEZ dispenser is after the fact now I'm not encouraging you to lie but I am telling you a story is much more powerful when you launch yu2 in a garage knew there was a better way to search or you wanted to bring personal computers to more people or you wanted a place where people could upload video of people dropping Mentos into diet cokes you know whatever it is tell a story the next thing is you need to plant many seeds this is completely contrary to classic marketing classic marketing is you plant a few seeds because you know exactly who's going to embrace your product and you water and fertilize just those seeds you focus I think that it's completely wrong in the old days you would focus on the a-listers and the top-tier journalists ie Wall Street Journal New York Times Businessweek fortune Forbes what you did is you sucked up to them because you hoped that these great Oracle's of wisdom and knowledge would embrace your product until the hoi polloi and the great unwashed masses to embrace your product okay so you sucked up to them if you didn't have time to suck up to them you hired a PR firm and paid them 10,000 bucks to suck up for you then the PR firm would hire an oriental art history from Wellesley to do the sucking up for you okay this doesn't work anymore because the world has been inverted the world has been inverted and now for you to reach critical mass with it's not because the Wall Street Journal of the New York Times blessed your product it's because lonely boy 15 embraced your product and lonely boy 15 told his 20 friends who told their 20 friends who eventually told Tiffany 517 and lonely girl to also embrace your product and what happens and this is how Twitter and this is our Facebook happened it's not because the New York Times saw Twitter or Facebook on the first day they launches it ah ha we have seen the future we know a total certainly someday Facebook will have more members than every other country except China and India show me a New York Times Businessweek fortune Forbes article that predicted the success of Twitter or Facebook or Apple or Yahoo pick any of the success stories none of them so what you need to do is plant many seeds put your prototype out there cover the earth with it because you do not know who your lonely boy 15 will be this is some loser of a person who has no life who's a database administrator in the bowels of HP right and this person may be the person that makes your product a success you cannot reach those people by focusing and using PR firms who have hired oriental art art history majors from Wellesley you need to plant many seeds the next thing is to use salient points first column is how we like to talk about stuff if you're into technology but really the second column is what really counts miles per gallon not so much yearly costs much better degrees or heating costs what should you set your thermostat for or a very easy example do you talk in terms of gigabytes or a number of songs the salient point is number of songs not how many gigabytes I doubt that most normal people wake up in the morning say god if I only had a 64 gigabyte iPod I would be happy you talk about songs how many movies can it hold use salient points the fifth step is to overcome resistance to enchant people you will have to overcome resistance you will encounter resistance this is a classic example the mid-70s in the mid 70s believe it or not gaming electronic gaming was in a bad way it was tarnished Atari and all the lousy stuff that Atari came out it just just sort of polluted the whole world people were very pessimistic about gaming so Nintendo was coming out with a new product and they were very hesitant to call it a game because retailers didn't want to stock games anymore so what it did is it added a cheap little peripheral peripheral as a robot and so it positioned its family computer system not as a game but as a toy because retailers still would stock toys but not games and furthermore by having a robot it positioned it as an educational toy so now kids could ask their parents for educational toys as opposed to electronic games that's how they overcame resistance to electronic games in the 70s so some ways to overcome resistance first social proof social proof means that you see other people doing it it must be okay now this can work both ways but the way I mean it is as a positive now you know back when I happily introduced an iPod you saw lots of people carrying this white thing around with white earbuds you figured out that that's an iPod you saw lots of people with white earbuds you bought an iPod you became one of those white earbuds more people saw more white earbuds more people bought iPods more people saw white earbuds more people bought iPods I don't think that Apple purposely used the white for social proof but I think it definitely worked for social proof another great examples from Arizona there there's a park in Arizona where they sell little cell where they let you see petrified wood it's a petrified wood force and they were having problem with tourists stealing petrified wood so Robert sealed Eenie a social psychology professor from Arizona who's probably the father of influence and persuasion he conducted an experiment with his grad students they had a certain part of the park they measured it off and they controlled how much Petrified Wood was in the area then they tried this experiment they put no sign and they saw how many people stole petrified wood then they put the picture firewood back they put a sign that showed one person stealing petrified wood with a warning sign that says no don't steal petrified wood they put another sign showing lots of people stealing petrified wood no don't steal petrified wood guess what the results were right so the sign that was the most effective was one person stealing petrified wood ie very few people steal petrified wood you will be an outlier of society if you steal petrified wood the second best condition was no sign the third and worst condition was ah the sign this is not the steel petrified wood has lots of people on it it must be okay social proof is telling you it's okay social proof is a very powerful factor second thing you need to find a bright spot when you introduce a product or service and you find out that there is resistance to it don't make yourself crazy trying to fix it for the naysayers instead find the bright spot what is working and use that this is a picture from Vietnam because this is an example cited that this person went to Vietnam to fight malnutrition he found you know just horrible malnutrition in all these villages but in every village there was always a few families that have kids who are not malnutrition we're not malnourished and he investigated me found out the difference between the mountain malnourished families and the non malnourished families was not income level it was not political standing in the village it was a very simple thing those mothers were taking crabs and shrimps from the rice paddies and putting it into the meals so they had more protein very simple thing that was the only thing that was working he focused on that and trained other parents to do the same thing more high-tech example you know in nineteen eighty four five six and seven we thought we had it all figured out with Macintosh Macintosh would be a spreadsheet database and word processing machine if you're familiar with Macintosh from Bowie back then you would know where zero four three there right the bright spot the bright spot was desktop publishing desktop publishing was the only bright spot in the Macintosh software world at that time and you know what I wish I could tell you that Apple knew and predicted and caused that bright spot not at all this was an example of planting many seeds one seed was Aldus PageMaker all this page maker created desktop publishing desktop publishing saved apple if it wasn't for all this page maker there would be no Apple today we would all have cell phones and real keyboards the batteries would last longer or we wouldn't be stuck with AT&T it would be a different world it would be a different world okay so Aldus PageMaker was a gift from God to Apple Computer it saved Apple computer I believe in God and one of the reasons why I believe in God is there is no other explanation for Apple's continued survival than the existence of God by the process of elimination not exactly CS Lewis level reasoning but it is a reason I believe in God the point here find the bright spot yes you're getting you're getting your clock cleaned spreadsheet word processor and database ah but there's this bright spot called desktop publishing let's just go with what's flowing desktop publishing next thing you need to enchant all the influencers lots of young entrepreneurs think that the way to get your product or service into a family or corporation is to go from the top cio CEO CTO CMO see excel see something oh okay and I'll tell you something you will come to learn that in most organizations the higher you go the thinner the air and the theater the air the more difficult it is to support intelligent life so as an entrepreneur if you're trying to sell your product into an organization and you focus on the cxo level people you will be dealing with the dumbest people okay because the air is so thin up there where the air is thick and people are smart is middle and bottoms of organizations you need to look past the fact that it's CXO who's really the influencer in a family situation it's the same thing many people assume that the true decision-maker in a family is the father right that's a big mistake not at all it could be the mother the spouse very likely in an Asian family it could be the sister-in-law it could also be the grandfather but I will tell you personally my experience in my family it is the daughter I have a nine-year-old daughter and I will do anything to make her happy so if you truly wanted to influence me you would make my daughter happy that's the way it works I'm not saying you should all go after people's daughters but but do not assume it's the father do not even assume it's the mother just just enchant all the influencers the next step is to make something endure a great example of a band that's endured is the Grateful Dead right there on their third and fourth generation fan one of the things that the Grateful Dead does to ensure that it is enduring is it has a completely contrary policy towards ripping off its music the Grateful Dead supports what's called tapers although nobody use tape anymore tapers have a special section at every Grateful Dead concert the Grateful Dead create a special area with great acoustics for amateurs to tape the concert and as long as you don't use that music for commercial purposes it lets you spread it as far and as wide as possible have you ever heard of any other group that would encourage you to tape the music and a concert and spread it around this is one of the reasons why the Grateful Dead is enduring let me give you more tips about enduring first of all don't necessarily default to using money money introduces a whole level of complexity truly if you enchanted people I would make the case you would not have to resort to money that people truly believe in your computer or your website or your software or your gizmo or whatever you're trying to sell that's true enchantment if you have to pay them something could be wrong when you have to pay somebody it introduces a whole level of complexity you know if you're the person being paid you ask yourself am i making this recommendation because I truly believe or because I'm being paid off to believe if you're the person receiving the enchantment you have to ask is this person enchanting me about this product because he or she truly believes or because he or she is making Commission there's an experiment done very interesting at the University of Minnesota they the circumstance was you know of course you shouldn't extract from undergraduate people as representative of the whole world but very interesting study so there were there was a room and the subject was brought into the room and told you know we're going to analyze how you interact with another person that other person is interior it but would you set up these two chairs for this interaction you're going to sit across from each other just set up the chair so when the next person comes in it'll be ready to do okay there was a computer in the room that computer either had a screen saver with dollar bills a screen saver with fish or off three conditions and this experimenter found out that when the screen saver with money was running the people setup the chair is the greatest distance away now I'm not saying that you know you should necessarily take this and you know change all your screen savers and things but just take it as a piece of advice that introducing money into the equation is not necessarily the right thing to do you know we get pitched at garage like you know we've created this YouTube killer and we say well why is your product it will be successful against YouTube and they say well because we have an affiliate program like YouTube this is before they did this but YouTube you put up your video and YouTube sells advertising and they make a bunch of money but you don't make anything so the way there are our key strengths our key selling point against YouTube is you put your video up on our site and we will Rev share with the advertising that runs on your piece-of-crap video that got 50 views right and you know what I mean let's face it the reason why people put stuff on YouTube is not because of the affiliate fee or the rev-share it's because they want glory right because they want to share stuff and they want to say that 10,000 people watch my skateboard video it's not a mob rev share don't use money second thing is invoke reciprocation this is a carpet that depicts the battle between Italy and Ethiopia because Italy invaded Ethiopia in the 1930s when that invasion occurred the people of Mexico donated money and sent it to the people of Ethiopia something like 80 years later Mexico had this horrendous series of earthquakes lots of dead people lots of injury lots of suffering the people of Ethiopia even though they were in a famine collected money and sent money to Mexico because they felt the necessary obligation to reciprocate fast forward a few years about right after the Civil War the people of Charleston South Carolina were using bucket brigades to fight fires the people of New York including Union soldiers heard about this and they donated money to buy the city of Charleston a fire truck that first fire truck was on a boat that sank so they had to raise money again and send another truck to Charleston excuse me fire truck to Charleston fast forward to right after 9/11 the people of Charleston raised over half a million dollars to buy a fire truck for the people of New York because the people of Charleston pledged that if New York ever needed its help it would come through 135 years later reciprocation is a very powerful force to make your enchantment endure it means that you have to pay it forward though and I will give you a couple power tips about reciprocation when you pay it forward when you do something for somebody if they have any social skills they will thank you right they will express gratitude when that occurs the optimal thing for you to say is not you are welcome this is a lesson from Robert seal Dini the optimal thing for you to say when someone thanks you for doing something is I know you would do the same for me because when you say that you are doing two things one is you are saying to the person you have class I did something for you you're thanking me and I know you would do the same for me because you have a classy guy you believe in reciprocation that's one thing you're saying the second thing you're saying is let me tell you something you owe me I'm telling you right now you owe me let's just make it clear you freakin owe me another power tip you might think that when someone owes you something you should hesitate on letting them pay you back you know I know you would do the same for me but you don't really have to it's okay it's okay god bless you go on with your life the better thing for you to do is enable him to pay me back because you don't want them carrying around this guilt and hesitation his whole life right so what you want to do is relieve the guilt okay you can shine my shoes you know you can defragment my hard disk you can delete the spam from my you know whatever you want you can make my Windows 7 laptop print whatever right so so by doing that by doing that you alleviate the guilt that he's carrying upon his shoulders what you're doing is you are clearing the deck you're clearing the deck now we're equal I can do more favors for you you can even do favors for me you're you're relieving the pressure so let people pay you back it's good for them it's good for you too power tips about reciprocation the third thing is to build an ecosystem the totality of your product it's not just your product the ecosystem has developers app developers in the iTunes Store right your developers you have conferences you have online forums you have volunteers you have supporters it's the totality of the ecosystem everybody there is trying to make you successful as opposed justyou you want to endure you think that the you know 100,000 iPhone app developers are helping Apple endure absolutely build an ecosystem the 7 thing to be a great enchanter is you need to learn to present you need to be able to speak I'm going to give you three tips about speaking first customize the introduction customize the introduction it can be orally talking about your days at Stanford when you play basketball and you n read the Portia's right you can also do it pictorially when I travel it's particularly to a foreign country I try to go to the country early and travel and take my take pictures of me in certain circumstances that you know if you're in if you're in Scotland you take a picture eating haggis I mean you know you like really get down into the culture and that shows the audience that you're not this ugly American zooming in using shock and all the time right this is a real-world example I was in Brazil to speak to LG after I landed in LG excuse me in Brazil after I landed in Brazil said you know senility is a bad thing after I landed in Brazil I figured out you know guy you're speaking to LG you have LG appliances in your house you use an LG washer and dryer I bought an LG washer because it has a steam cycle I've never used that steam cycle but I thought it was so cool I bought this LG washer so I'm in Brazil and I send a text message to my two oldest sons both a Sacred Heart now and I tell them take a picture of the washer and dryer you know those iPhones that I bought for you now's the time to use them right I got iPhone 4s for you so you have high-res pictures go downstairs get off your butt go downstairs take a picture of the LG washer and dryer and send it to me I sent two text messages one to each son because I need a back-up plan so a few hours go by I don't get any pictures I'm running out of patience all right so I send my son Nick the older one a message I send him a message listen did you get my text messages he sends back a response Noah his other brother said he took the pictures can you get us some LG TVs because God forbid god forbid he's playing Cod in low res and he wants a high-definition TV to play call of duty needless to say because of the principles of reciprocation since he did not send me the picture I did not get him a TV because there's also negative reciprocation yeah the point here is that not so much this text message but the previous slide which is when I spoke when I stood up and to these people from Latin America all LG representatives and I said guess what guys I am an LG customer here's proof here is my washer and dryer that just totally enchants the audience okay customize your introduction why are you laughing what you think you think is not true okay guess a great answer the second point is when you speak you need to sell your dream you sell your dream of productivity creativity peace of mind whatever it is Steve Jobs does not stand up in front of an audience and say I have an iPhone for you today it is 188 dollars worth of parts those parts are put together by a large company in China where lots of people kill themselves okay and and until a month or so ago you're going to get a two-year contract with the worst freaking carrier in America you can either have cool or you can talk on the phone pick one all right that's not how Steve Jobs positions and iPhone he talks about creativity productivity coolness communication 330,000 apps of which 329 thousand you don't care about he is selling a dream with that phone it's not parts it's not Foxconn labor right it sure as hell not AT&T service cell your dream and the famous Guy Kawasaki 10-20-30 rule of presentations the optimal number of slides in a PowerPoint presentation is 10/10 not the 60 that most people use for a one-hour meeting very few people are so eloquent they can rip through 60 slides in 60 minutes 10 slides you should be able to give those 10 slides in 20 minutes god bless you you have a one-hour meeting okay still be able to do it in 20 minutes because outside of this room 95% of the world uses Windows laptops they need 40 minutes to make it work with the projector and then the optimal font size is 30 points not eight ten or twelve only bozos use eight ten or twelve bozos use eight ten or twelve because they need to put a lot of text on the slide they need to put a lot of text on a slide because they don't know their slides and what happens is they put a lot of text and then they read the text the problem is reading the text is that one slide into the presentation your audience has figured out this bozo is reading the slides verbatim I can read silently to myself honestly faster than this bozo can read verbatim to me and you lose your audience now if you find this too dogmatic this thirty point rule I'll give you a rule of thumb the rule of thumb is figure out who the oldest person will be in the audience divide his or her age by too many times in venture capital community you'll be pitching to sixty year old people thirty points thirty four that's how I figured it out that's hard for you to know granted granted venture capitalists are getting younger someday you may pitch to a 16 year old venture campus at that point god bless you use the eight point font but until that day ten slides twenty minutes thirty point font the a thing is to use technology let's talk about technology for enchanting people first you need to remove the speed bumps from your technology this is what you call CAPTCHA it is done to eliminate robots and spammers right you're making it hard to sign up what word is this you know is it Farsi is it katakana hiragana is it Yiddish is that what is that is it a Cyrillic language what language is that why don't you just tell me you don't want me to register think of the speed bumps that you say you can have a free account just give me 35 fields of personal information oh yeah give us your Visa card number we're never going to charge it but just in case we need to verify your existence just tell people you don't want them to use the service just be honest okay remove the speed bumps second thing is you need to do one of these three things in most social media circumstances you either provide information information like Amazon just shipped an iPhone app or you can be in a store take a picture of a barcode the barcode will go up in the cloud talk to Amazon Amazon will come back and send you an immediate message how much that thing would cost at Amazon its information to know that Amazon has released such a cool app that's useful the second kind of thing you could do is provide insights what does it mean that Amazon has done this app does this mean the end of shopping in an analogue sense what does it mean to have such a great app on an iPhone and the third way is assistance how can I get this app where do I get this app how do I use this app optimally those three things are the key to social media next thing is some benchmarks for you you want to use technology well you need to engage fast fast means within 24 hours every app message every direct message every email within 24 hours this is a goal believe me I am as guilty as anybody of not being able to do things in 24 hours but this is the ideal goal 24 hours you should engage many people again plant many seeds lonely boy 15 writes to you answer bar doesn't just have to be the a-lister from the New York Times answer back and then you should consider the use of technology something you have to use all the time it's not something that you do after everything is else is done maybe I'll answer my email maybe I'll get on Twitter maybe I'll update my Facebook fan page its core to your existence as an enchanter you have to do it all the time its core not context to use Geoffrey more terminology now we're going to talk about enchanting up ie your boss how do you enchant a boss someone who works above you I hate to tell you but the way to do it is when your boss asks you to do something you drop everything and do what he or she asks it is that simple most important lesson I could tell you right now as you enter the job market your boss asks you to do something do it it might be stupid it might be suboptimal you may think well I'm working on the manual and if I don't finish the manual we can't ship the product arguably working on the manual is much more important than making you a PowerPoint presentation you know that's from your point of view that might not be his or her point of view drop everything just do it second thing is oops second thing is prototype fast your boss gives you a project says I need this in a week the next day come back with a prototype you want to come back with a prototype for two reasons one to show that you're really on top of things you really did drop everything second thing is a prototype significantly increases the probability you will do the right thing this is the prototype for what became this presentation so I I had this is the level of specificity that I had I had the text I even had some sample pictures and I sent it to a designer I said this is the prototype now you make it beautiful they create a prototype and the third thing is you should always deliver bad news early you should tell people bad news particularly the people you work for something is going wrong if you want to be a world-class enchanter you not only tell people something is going wrong early you also tell it with some suggested ways to fix the problem and that will enchant your boss the next step is to enchant people who work for you because as you grew up to go up the corporate chain you will have people working for you this is how to make them very happy first of all you provide map map stands for mastery and autonomy and purpose let me explain mastery means if you work for me if you work for this organization you will acquire new skills you will master social media you will master video editing you will master programming you'll master writing whatever master selling whatever it is okay so we offer you an opportunity to improve yourself you will be improving yourself autonomously we are not going to micromanage you and you're going to be doing these tasks you'll be mastering things you'll be working autonomously and at a higher purpose this organization has a higher purpose productivity creativity peace of mind whatever it is ending pollution whatever it is we have a high purpose of this organization if you do these three things you will enchant people who work for you the next thing empower action basically you're saying to people I trust you I trust your judgment I empower you to take action part of autonomous empower people to do things and the third thing is you need to be willing to suck it up meaning that you never ask people who work for you to do something that you yourself would not do right so if you're asking someone to fly to Mumbai coach you better be willing to fly to Mumbai coach - this is a picture of Mike Rowe of Dirty Jobs enchanting person what makes him in chanting is if you watch Dirty Jobs he is willing to get into the sewer he's willing to get into the muck and the dirt and the crap and do whatever that crew also does that's what make Mike makes Mike Rowe and chanting he sucks it up the last few slides I want to tell you a story about the cover of this book this is the cover I ran a crowdsource contest and this is the entry that I picked it is a Blue Morpho with somewhat dubious fault but I love this design I showed this design to my publisher and my publisher said to feminine to self-help - woowoo - Boulder Colorado sit under the crystals - all that kind of stuff no man would be caught reading a cover a book with a cover of a blue butterfly and after some bludgeoning I came to agree with that so I I figured out that you know guess what I'm Japanese and Japanese have this art called origami so I should make an origami butterfly I don't know anything about origami so I go to Google and I type in origami butterfly and lo and behold I find this world master of origami and I contact him and I ask him I need a really cool butterfly a butterfly that doesn't say self-help whoo crystals vegetarian I need like a macho butterfly and so he came up with this great butterfly and this butterfly is a combination of butterfly and b-1 bomber you know this is this is the badass butterfly so that's how I got to this cover and I think that is this is my very last slide this slide gives you two pieces of information first the person who created this presentation which I believe is an art to create a presentation like this it wasn't me so one of the things you learn about enchantment is if you can't do it find somebody who can do it I can't do it and the next thing is if you want copies of this presentation be happy to send it to Eugenia garage comm and that in however long I've been one hour is the art of enchantment thank you very much you

Channel: Entrepreneurship.org

Views: 49,294

Rating: 4.8251367 out of 5

Keywords: brightcove, STVP

Id: NRitd2RXrdM

Length: 62min 20sec (3740 seconds)

Published: Wed Aug 28 2013