Tweet

Communication and Business: Are You Sending Mixed Signals?

Guest post by: Lynda-Ross Vega

Article Overview: Offering resources is how we build community and make friends, while offering transactions is how we make money. If you’re offering one in the guise of the other, watch out: your mixed signals could be hurting your business in a big way.

Communication and Business: Are You Sending Mixed Signals?

There are two different types of interactions involved with marketing a business, resourcing and transacting. Knowing the difference between the two (and understanding when to use them) is key to the success of your business.

In order to show you why, I'll have to explain the essential differences between these two very different interactions.

Consider this scenario: You go into a store and find the item you are looking for, take it to the check-out counter, pay for it and leave. This interaction is an example of a transaction. You have made an overt exchange of perceived equal value. You gave the store money and they gave you the item. This is all very straightforward and unambiguous.

Now consider this one: You are looking for an address in an unfamiliar part of town and are a bit lost. You show the address to a stranger and he or she gives you directions. You follow the directions and arrive at your destination. This interaction is an example of resourcing. The person who provided the resource (directions) did so without expecting you to provide anything in return. Once again, this is all very straightforward and unambiguous.

Now finally, consider a third scenario, where the line between these two types of interactions was blurred.

While I was working on a website project recently a design tool gave me unexpected results, so I went online, found a website that offered answers on the design tool, typed in my problem, and hit 'submit.' The reply I got back was from someone who claimed they could tell me what was wrong and then asked what I would be willing to pay to get the answer. (They even provided me with three amounts to select from.)

This is an example of a mixed transaction/resource interaction. There was no mention of payment until I received the promise of an answer. I expected to be provided with the answer I needed for free, as is often the case when using online forums. The person on the other side expected something in return for the answer, but did not mention it up front. This interaction was not straightforward, and it created a conflict because it was not clear to both sides from the beginning what type of interaction was taking place. My response to this last minute request for payment was irritation, and I abandoned the website.

This example of a mixed transaction/resource interaction is trivial and the consequences small, but that is not always the case. If you market yourself, your products, or your services via the internet, mixed transaction/resource interactions can severely disrupt or irreparably harm your business.

When people interact, the nature of the interaction defines the nature of the relationship. If I am involved in a resourcing interaction, I am sharing what I have, know, or are capable of doing because I care about the person I am sharing with, and I want them to have what I have. In a resourcing interaction, I help you today with the expectation that at sometime in the future, when I need it, you will help me. The essence of resourcing is that an exchange is implied rather than overt, the timeframe in which it is to occur is vague and unspecified, and the value of the resources exchanged may not be equal. Resourcing is the way we build community. Resourcing is about 'you and me together.'

On the other hand, if I am involved in a transaction, I am bartering, selling, or marketing what I have, know, or are capable of doing because it is a way to exchange what I have for what I need. I will exchange my labor, goods, or knowledge for your money, goods, or services. The essence of transactions is that an exchange is overt, the timeframe is specific, and the value of the exchange is judged to be equal by both sides. If any of these conditions is violated within the context of a transaction, we feel cheated. Transactions are the way we engage in commerce. Transactions are about you and me as separate individuals.

I have drawn a hard and fast distinction between the two, but the boundaries often blur. Internet marketers often have to move seamlessly from resourcing to transactions, while remaining clear about which they are engaged in.

A good example is Facebook. Is Facebook about social community or is it about marketing? Well, both really. Virtually everyone engaged in business on the internet uses Facebook as part of their marketing plan, but in order for it to be effective, it must also be used socially. If you do not create a Facebook community based on genuine community building, it does not matter how many "friends" you have-your marketing efforts will fall on deaf ears.

I recently "attended" a webinar where the speakers made the mistake of initiating a mixed transaction/resourcing interaction. The solicitation offered to teach me something for free. The words "teach" and "free" are key resourcing words and I expected to learn something of value.

I have been involved in enough webinars and teleclasses to know that there would be an offer of a transaction at the end where I could choose to learn more for a price. That's good marketing if I have already really been taught something of value for free. In this case, that did not happen. The entire webinar was "high level, conceptual, and vague" until the end. The transaction offer was very clear, but I was not interested because I felt that, contrary to what the solicitation originally offered, I had learned nothing of value in the free webinar. I felt robbed of my time, lied to by the presenters, and resentful of their offer of a transaction. Their product may well be excellent, but I will never know. Any good will is gone, and I delete their follow-up emails without even looking at them.

The moral of the story? Make sure you know the difference between resourcing and transactions and know when to use each!

Related Articles
  Reason Number 11 You Can’t Sell Insurance
  “Ten Tips For Nonverbal Communications From Your Strategic Thinking Business Coach ”
  When Was The Last Time You Measured The Effectiveness Of Your Small Business
  Open Letter to Rally's: Don't Confuse the Message!
  Communications and Safety Culture: I heard it through the grapevine.
  Crazy Talk or Clear Communication?
  What Communication Habit(s) are you Addicted to?
  Communicating for Success!
  I DIDN’T SAY THAT!
  Non-Verbal Communication
  SALES & MARKETING - ARE THEY COMPATIBLE FOR MARKET SUCCESS?
  A Brief History of Data Communications
  Communication is Important
  Small Business Advertising - Direct Mail Candy Promo Gets Sweet Results
  Stay Connected with Free SMS in India
  The Art of Effective Communication in the Small Business World
  Communication Skill Areas
  Video Splitter: Replication of video signals on multiple displays in real time
  German Coach discovers new video analysis
  Develop Your Own Positive Driven Splinter

Article Tags: business, communication, marketing
Referred by: http://www.MichelePW.com



Related Forum Posts
Business Coaching Internship Review - I joined in during the first phase of the internship and at this point we are committed to doing research and development of RSC Business Group operating in Toronto. RSC Business Group already has products and services in Coaching Small businesses in Los Angeles but we didn't want to assume that the same products were wanted and needed in the Toronto market. Our goal at this point is to commit to interviewing 1000 business owners to capture this data. Through the teleconference internship I've been involved in we've been focusing on Communication Skills and on active listening which are practiced when we conduct our interviews and Coach our clients when they come on board. This is a lot harder than it sounds! Part of the internship is also creating the Toronto RSC Business Group's departments, job descriptions, Marketing and Communication plans etc that a business owner would create for their own company. This trains us in the way we would coach a company as well. The internship is phased in two parts and there is compensation plan involved as well for the clients you personally bring in. These clients are coached directly by Robert Chun as you begin but you are given a chance to learn his techniques. I haven't gone through this experience yet though. It's hard to explain Robert Chun's method of Coaching as it happens at a psychological level in his ability to listen and question the person being coached into the next steps they need to take. The Teleconferences are 2 hours long but it's very interactive. If you have a desire to explore this area of Business I'd recommend contacting Vwodek listed above and get invited to a Coaching Conference call. You can decided then if it's for you. Note: it is a commitment but the skills you walk away with whether you plan on working with RSC Business Group or not is invaluable.
My entry - 1. The Best Business Books Ever: The 100 Most Influential Business Books You'll Never Have Time to Read - this is a fascinating book about the history of Business theory, and I'd recommend it to anybody. 2. The Big Book of Small Business: You Don't Have to Run Your Business by the Seat of Your Pants, by Tom Gegax. Ditto. 3. PADI: The Business of Diving Book Okay, so this book won't be of use to anyone who doesn't want to start a scuba store, but I did, and this book was of course invaluable to me in reaching that goal.
Re: Essential Leadership skills - Vision Values Mission Strategic Thinking Decision Making Communication Team Bonding People Development Coaching / Mentoring / Guiding / Grooming Presentation Thanks Robert
Re: Spellcheck? - [quote="TheAnonymousMan":2f894q6j]When discussing the majority of people I would definitely say that most people hit the "Change" or "Ignore" button without thinking too much about the correct spelling of a word. All bosses are concerned about is getting the report to the Directors meeting on time.[/quote:2f894q6j] That probably depends on what the "majority" are trying to accomplish. I have word set to alert me about misspellings and grammatical problems, so I fix most as I go. But I also add names etc to the dictionary because I get tired of seeing the red and green squiggles when I know the info is right. If you're only going to click "Change" or "Ignore" then why bother to take the time to use spell check????? Business people that I work for want the info compiled in a timely manner and they want it right - which is fine because that's the way I strive to do any project. Sending out a memo, letter, report etc with obvious spelling and grammatical mistakes makes the person and the company look bad as far as I'm concerned. Shri
Re: LEADERS - Nice post, i like the Doers and the listeners comments from my handbook 8.5 HOW MUCH DO YOU KNOW ABOUT LEADERSHIP? Planning Problem Solving Vision Innovation Leadership Emotional Intelligence Delegation Communication Self-Development Relationship Building Commercial Financial skills Personal Energy Ethics Transparency Even there I see that we are missing "PASSION"


Share this article with your friends. Fund someone's dream.

Leave a comment below or share on the left and you'll help support entrepreneurs in Africa through our partnership with Kiva. Over $50,000 raised and counting - Please keep sharing! Learn more.

Newsletter

Get advice & tips from famous business
owners, new articles by entrepreneur
experts, my latest website updates, &
special sneak peaks at what's to come!

Name:
Email:

Popular Articles

Are You My Mentor

Ten Reasons to take Notes during Sales Meetings

The Difference Between Management And Leadership

Suggestions

Email us your ideas on how to make our
website more valuable! Thank you Sharon
from Toronto Salsa Lessons / Classes for
your suggestions to make the newsletter
look like the website and profile younger
entrepreneurs like Jennifer Lopez.