The Tycoon Report

How a $2,500 investment gets you a $73,000 profit

Wednesday, June 20, 2007 | Dylan Jovine

HERE AT TYCOON, WE REFER TO HIM AS "R-2".

No, it's not because he walks, talks and acts like the robot from Star Wars.

Nor is it because, as CEO of the company, I'm ever referred to as Darth Vader.

(Nobody who works here would ever make fun of me behind my back.)

Nope, we call him R-2 for one reason and one reason only: he's the second Richard we have working here, and my friend Jenn has a wonderful sense of humor.

After serving our country faithfully in the military for several years (in some of the hottest hot-spots around,) R-2's first job back in the private sector was here with our dysfunctional family at Tycoon.

We hired him to handle customer service for us.  And he's proven to be good at it.  Darn good, so far.

So, what does R-2 have to do with turning $2,500 into profits of $73,000?

Let me explain:

When R-2 first started three weeks ago, one of the first things I said to him was to consider "Customer Service" the same as "Customer Advocate".

The way I see it, I explained to him, was that there are two ways to do customer service.

The first way to do customer service is what I refer to as "Reactive Customer Service":  a customer calls in and complains, and you solve the problem.  All you are doing is reacting to problems, and you never truly get into the mind of the customer.  (As you are probably aware, 99% of all firms in America do it this way.)

The second way to do customer service, however, is what I refer to as "Proactive Customer Service".  This is more than simply reacting to customer service issues.  This involves getting inside the heads of your customers by understanding their problems as if you're a customer yourself.

By understanding what our customers are really saying, we are then able to take their feedback and improve our products and services based directly on their input.

But to do that, you need to get inside their heads.

"Sign up for all of our services," I said.  Read The Tycoon Report, Fallen Angel Stocks, The Trend Rider, ETF Master Trader and Point & Profit as if you've paid for them."

"This way, when they contact you with an issue, you'll understand exactly where they're coming from.  But more importantly, you'll be able to take their feedback and help us use it to actually improve our products and services.  The name of the game, R-2, is to use the feedback we get from our customers to make our products better."

Only when you get inside the heads of our customers will you truly understand how to make them happier. And that's when you become a customer advocate.

(I don't blame you if you think that sounds like corporate-speak bull-s--t.  Most of the time it is. But I've been through enough business mishaps in life to know that if you don't take rules like that seriously you are doomed to failure.  So call it survival.  It is what it is.)

It was in this context that I was surprised yesterday when R-2 told me that a customer of Point & Profit didn't want to renew his annual membership to the service.

What was most surprising is that the customer said he was unhappy with the "performance" and the "lack of action."

Frankly, that was the very first time I have ever heard a customer say that about Point & Profit. If anything, one or two people cancel Fallen Angel Stocks each month out of boredom, but Point & Profit?

So I decided to investigate the matter for myself.  I told R-2 to give me the day to research it and that I would get back to him by tomorrow (today.)

What I realized next was stunning.

1. Since launching Point & Profit a little over a year ago, Teeka has recommended 56 trades.  That's about one trade each week which is "active" by any definition you want to use.

2. Of the 56 trades he recommended, only 13 of them were losers.  That means that 77% of his trades were profitable.

3. Had you invested $5,000 into each trade, you would have made $73,093.00 in total profits.

4. Teeka's AVERAGE PROFIT was a stunning 40.5%.

One trade each week on average.  77% of all trades were profitable with an AVERAGE profit of 40.5%.

And this customer complained about "performance" and "lack of action"?  Sounds crazy to me, personally, but what can I say?

So, what's my point in this entire story?  Here we go:

The first is that when R-2 comes into the office tomorrow, I'm first going to show him how to do this kind of research on his own.  This way, when a customer ever lodges this kind of complaint again, he'll know exactly how to handle it.

The second thing I'm going to say is if somebody ever wants to cancel a service that costs $2,495 per year and generated over $73,000 in profits, then let them.

Don't even argue.  It's not worth it.

All the fancy customer service terminology aside, there's a simple truth I've learned in all my years on Wall Street: THE STOCK MARKET IS A PLACE WHERE IRRATIONAL PEOPLE GIVE MONEY TO RATIONAL PEOPLE.

And if you know that simple truth, ladies and gentlemen, it will be like owning a goose that lays golden eggs.

But why even look for the golden goose in the fairy tale when you can sign up for a membership to Point & Profit?

This "goose" is as real as it gets.

His name is Teeka Tiwari.  His service is Point & Profit.

Act as rationally as you can right now by signing up HERE.




Dylan Jovine
Contributing Editor
The Tycoon Report