Think about the things that stand out to you the most. It’s the restaurants where they not only serve great food but remember your name, the online stores that send a personalized thank-you note, or the companies that go the extra mile to make things right. By going above and beyond, these entities engrave their value in our minds, making us more likely to return and advocate for them. It’s this amplified value that makes all the difference.

Let’s See How it Works!

Let’s consider Ali, who starts a small online bakery. He calculates that for every cake he sells for $20, his actual cost (ingredients, utilities, time) is $10. So, for every cake sold, he earns a profit of $10.

Now, Ali could just sell the cake and make his $10 profit. But he decides to employ the 10x value principle. For every order, he adds a small batch of free cookies (costing him $2) and a handwritten thank-you note. This means his profit per cake is now $8 instead of $10.

Here’s the magic: because of this added touch, word spreads about his bakery. Customers appreciate the extra value they receive and tell their friends about it. Instead of getting 10 orders a week, he starts getting 50 orders.

Initially:

  • 10 orders x $10 profit = $100

With the 10x principle:

  • 50 orders x $8 profit = $400

By providing that additional value costing him just $2, Ali was able to increase his weekly profit from $100 to $400. That’s a 300% increase!

The Underlying Mechanism

You might wonder, how does this actually work? Well, it’s based on three key elements:

  1. Trust: When you consistently offer more value than expected, people trust you. They know you’re not just in it for the money or basic transaction but genuinely care about providing value.
  2. Loyalty: Trust naturally breeds loyalty. When people feel they’re getting more than they’re paying for, they stick around.
  3. Word of Mouth: Arguably the most potent form of advertising, word of mouth can skyrocket your growth. Happy and satisfied customers often become brand ambassadors, telling others about the great value they received.

Conclusion

By consistently aiming to provide 10x the value to others, whether in business or personal relationships, you set the stage for an amplified return. This return might manifest as profit, reputation, trust, or even personal satisfaction. So, the next time you’re making a decision, remember the 10x value principle and watch the benefits unfold!