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3 Critical Business Lessons From Go-Karting

I belong to a business development group called “The Collective”. As part of their development program is time to do something different. Recently it was Go-Karting.

I’ve never been go-karting before and so my level of expertise in go-karting is almost zilch. So if you know nothing about go-karting then don’t feel like you won’t understand my lessons. 

Lesson 1: Loop, loop, loop

Go-karting, like many motor racing events, is about doing the same thing over and over again. As a bunch of beginners, what quickly became obvious is that it is the person who could successfully complete the circuit without stuffing up is the most likely person to win. 

Business is the same. While we like to think that business success is about big decisions, and deals, and glamour, the reality is that our business success relies on being able to do the routine stuff day in, day out.

It starts with getting a good product or service out reliably, day in, day out. Do we have the procedures in place that ensure that things happen smoothly? Do we have good staff in place that ensure that we are in for the long haul.

Personally I know one of the hardest things I have to do is create posts. We have a number of sites where I am meant to regularly create content. I need to be disciplined in ensuring it happens. It’s not easy. 

Loop, loop, loop.

Lesson 2: Look for opportunities

The only way you can overtake is when an opportunity presents itself, and you make the most of it.

Business is the same. We don’t want to be so fixated on the day to day routine, that we fail to take an opportunity when it comes our way. We need to be continually looking for new opportunities, and be prepared to act when it presents itself.

Lesson 3: Don’t get comfortable

OK, this one you had to be there to understand. I was in second place. I thought I was in first place because the person winning was not in sight.

I knew the competition was behind me and so I fell back into rule number 1. I didn’t have to risk looking for opportunities. I had a couple of glory laps where I was sure I was first.

Until the finish, and I was second.

In business, we can’t afford to be comfortable. We can’t see where the competition is at. There may be another competitor who will appear unexpectedly. Look at the taxi industry who would have been watching each other. Or what happens when technology takes away your business, as Kodak are the classic example.

 

But there is one huge difference between go-kart racing and business. That, however, is my next post.

What is covered with our shipping insurance?

Our normal terms and conditions (like most businesses) is that you take possession the moment an order ships. If the order is lost or damaged in transit then, in theory, it’s your problem. In reality we will have a conversation and try to work out a good way to resolve the issue where we are both happy (or not too upset).

Shipping insurance is there to remove the drama. If an order is lost or damaged in transit, we will simply send out a replacement, and we will then deal with the courier directly to resolve the original problem.

Our shipping insurance also means that if an order is delayed beyond what is normal and reasonable then we will send you another shipment (stock levels permitting). Then you should receive one of them sooner, and when the second one arrives you simply Return To Sender.

How much is shipping insurance?

Shipping insurance is 5% of the cost of the goods.

Is it worth it? Practically we have had far less than 5% of shipments have problems. It is, however, what Australia Post and other couriers charge. Ultimately insurance is about peace of mind and less hassle when something does go wrong.

Shipping insurance as an option

Shipping insurance is offered as an option on all our web sites. You can select it at the checkout.

For large orders our staff may also ask if you would like shipping insurance.

If you would like shipping insurance on an order you are placing with us, just ask.

Mandatory shipping insurance

Unfortunately we have had a couple of large orders not make it and then the customer refused to pay. A friend suggested that the easy way to avoid the dispute is to insure any shipments where we have a significant risk.

If you would like an immediate line of credit (30 days to pay) and have the goods ship immediately (no credit check delays) and are purchasing over $500 then we will add shipping insurance to your order.

The shipping insurance can be waived if the order is between $500 and $2,000 and you provide us with a formal confirmation that you accept responsibility of the goods once they ship.

Alternatively you can prepay by direct deposit or credit card.

What is not covered?

If there is a clear proof of delivery to the shipping address provided then we class that as delivered. Unfortunately there are cases where it is lost somewhere between the loading dock or receptionist and ending up in your hands. But we also know that a photo of the bag against a generic grey background is not proof of delivery, it is just proof of existence! It needs to be a reasonable proof of delivery.

It also doesn’t cover the expectation of overnight delivery. For example, if we were to ship to Melbourne (we are in Sydney) then we would expect it to be delivered within about 3 days. Most of the time it is overnight, but there are enough floods and other issues that regularly cause minor delays. Sending a second order the next day tends to not fix the problem. If it is super urgent, talk to us about how we can minimise the risk.

For damage claims we ask that you contact us immediately and we will probably ask for photos or some proof. The shipping insurance doesn’t cover claims weeks later. We do have warranty covering our items, but it excludes physical damage (e.g. being dropped). If the goods are damaged in transit then please let us know ASAP so we can cover it under the shipping insurance.