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In 5th grade, at just 11 years old, global SAP CEO Bill McDermott decided to earn his own money. The job he chose? Delivering newspapers right to people's doorsteps.
Bill McDermott
It's astonishing that a 5th-grade student, a mere 11-year-old, understood the essence of business and making money. He learned lessons about sales, customer service, customer satisfaction—topics that many business people and salespersons need to study.
Bill's journey to becoming SAP's CEO and elevating SAP from 39 billion USD to 156 billion USD was no overnight success.
To balance his school studies, Bill opted to deliver newspapers along the route from home to school. With school starting at 8:30 AM, Bill had to rise early at 6:00 AM. He stacked papers in a large basket at the front and two baskets on either side of his green Schwinn bike. The remaining papers went into the backpack slung over his shoulder.
UNDERSTANDING CUSTOMER NEEDS
Bill's first task was to visit each house, inviting them to receive newspapers at home. Unlike other paperboys, Bill didn't throw papers on lawns because he knew morning dew or drizzle would dampen them. Instead, he placed papers in doorways, mailboxes, or nylon bags, often including discount coupons from supermarkets. Bill understood the specific preferences of each homeowner—whether they preferred papers in the mailbox, between the screen door and front door, or in a nylon bag. Consequently, Bill often received generous tips.
Some deliver newspapers directly, some use envelopes; Bill marked very thoroughly, offering a slightly more special service by folding discount coupons on the newspaper and attaching a note.
CUSTOMER SATISFACTION AND LOVE MATTER MOST
Bill quickly discovered a crucial rule: the amount he earned was closely tied to customer satisfaction. If Bill gave them what they wanted in the way they wanted, they would pay and tip him more.
Beyond money, Bill believed that being loved by people was a form of success. He felt joy when a stern man uttered a kind word, received gratitude, or was invited for a drink.
EXPANDING THE BUSINESS
Later on, Bill diversified his business. In addition to newspapers, he sold greeting cards for various occasions, especially during Christmas, and added cookies to his offerings. Bill realized that introducing another product was a way to maximize the opportunities at hand.
THE NATURE OF MONEY
Bill confessed: He found the process of earning money more fascinating than counting it, even more than spending it. While peers were saving pocket money for baseball cards, Bill knew how to make his parents smile by gifting his mom a small piece of jewelry or footing the dinner bill instead.
Posted by: Thịnh Nguyễn
Keywords: Business Lessons from the Newspaper Selling Kid, Bill McDermott
