Sales and Sales Management Blog

October 1, 2008

Guest Article: “Un-spin Your Competitor’s Propaganda,” by Dave Stein

Filed under: branding,business,Communication,marketing,sales — Paul McCord @ 7:38 am
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Un-spin Your Competitor’s Propaganda
By Dave Stein

Did you ever feel that you are living in a world of spin and hype? With damage control consultants, corporate spin doctors and whole companies out there whose job it is to reconstruct a corporate image, it’s hard to tell “where the truth lies.”

Here are some considerations for getting to the bottom of a competitor’s press release or interview:

1.Why are they announcing now? Press releases and conferences don’t happen by chance. In order to start to get at the truth, you’ll need to question the timing and ask, why now? Perhaps the company is attempting to preempt their opponent. Or are they were caught off guard and are trying to make up for lost ground.

2.Do you hear (or read) new words, concepts or phrases? That’s generally a sign that someone is jockeying for a leadership, first-out-of-the-gate position. The use of generally accepted terms signifies a me-too position, often by someone who is behind the curve and attempting to justify why.

3.If there is a problem, whom are they blaming for it? If it’s your company, you have just been declared the enemy. What is the real reason for the problemﾗthe one they aren’t discussing? There may lay a source of competitive advantage for you.

4.Who might be offended or threatened by any statements made? You always want to imagine who might be threatened or offended by a statement, whether it is written or verbal. Is the person or company taking “a shot” at someone? If so, that is at least part of their agenda. The person or company who is the target of the statement may not be clear at first. Listen and read between the lines.

5.Does the person name names? If so, they may be the enemy. A proven way to spin an attack is to praise your opponent, then diminish what they are doing in the eyes of the audience. “I think ABC Corporation really has done a terrific job building market share. We believe that the quality of our products will have an impact of the success of our customers, which will enable us to achieve our growth objectives during the coming year.” Translation: Take a serious look at the quality of their products.

6.In an interview, do they answer questions directly or avoid the answer? Here’s an example: A chemical company executive is asked, “Have there been any other toxic chemical spills that have not been reported to the authorities?” The answer, “Our company has the best record in the industry regarding compliance with government regulations and has been recognized by the Green Fund fifteen times.” What they say is often their message. What they don’t say often indicates where their exposure lies.

7.What does the person say when they are interrupted? Will they allow themselves to be driven off course? Or do they persist and continue to drive forward, even overpowering the interrupter. If that’s the case, what they are saying at that moment is likely the real message.

8.Is their body language incongruent with what they are saying? Learn how to read body language. As experienced and coached as President Clinton was, he still managed to touch his nose an inordinate number of times during his televised testimony about Monica Lewinsky.

9.Are questions planted or is the interviewer free to ask what they please? Whether you like him or not, part of the success of Bill O’Reilly’s TV show is his assertion that he will accept no guests who require adherence to pre-determined interviewing questions or subjects that the interviewer must stay away from. That is opposite from prime-time news and interview shows on network television.

Before founding his sales consultancy, The Stein Advantage, Inc., in 1997, Dave Stein served for more than 20 years in various corporate executive sales and marketing roles. Now, through his coaching, speaking, and training, Dave provides companies with substantial diagnostic and remedial expertise enabling them, among other capabilities, to readily overcome tough competitors, refocus their selling efforts resulting in new levels of credibility and differentiation with high-level executive buyers, and to hire the right sales professionals, all leading to greater and more consistent revenues. Dave is the author of the Amazon best-selling business book: How Winners Sell: 21 Proven Strategies to Outsell Your Competition and Win the Big Sale, (Dearborn Trade Press, May 2004). For more information go to his website, www.HowWinnersSell.com

September 24, 2008

Now Is The Time to Suit Up for Battle

Filed under: business,Economy,motivation,sales,selling,small business — Paul McCord @ 6:00 am
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I’ve received several emails and phone calls from clients wanting to know what they should be doing right now.  Should they be battening down the hatches?  Shrinking their sales teams?  Waiting to see what happens in Washington this week?  Heading for the mountains with food rations and ammo?  Others indicate they feel too depressed and fearful to get out of the office and into the field-what good will it do anyway?

As Wall Street smolders, Congress grandstands, and the business community frets, our lives continue.

Are you spending more time checking the news and than finding prospects?  Are you more worried about the economy than your pipeline?  Are you frozen in place, mesmerized by the teetering financial markets?

The spectacle in Washington and New York is important.  What’s going on is going to impact all of us-and we probably aren’t going to like the impact one way or another.  However, no matter our view of the proceedings, we have to continue to sell, to find prospects, to put food on the table.

We must maintain our focus.

When it’s all said and done, we’ll still be doing what we’re doing today-although, admittedly, it may be harder.

Although the future is murky, the present isn’t-our job is still intact, our responsibility today is the same as it was days, weeks, or months ago.  We still get paid the same way.

More importantly, there are still prospects out there.  There are still individuals and companies making money, needing products and services.

There are still prospects out there working hard to grow their families and grow their businesses.

We must do the same.

Put aside the newspaper.

Turn off the tv and radio.

Forget the Internet news sites.

Ignore the hysteria.

I don’t mean forget the issues or stick you head in the sand.  Certainly there are fears of recession-maybe even worse.  But when the work day starts, we have to get to work.

We have to concentrate on our business and let the rest go.  We must focus our efforts on our prospects, our clients, our sales.

If the world comes to an end during the workday, we’ll find out soon enough.

For many of us, this will take a great deal of discipline and self-control.  Certainly we’re all concerned about the economy, our jobs, and our families.  Even though the future may be murky, we know what we must do today.

For those of us who have lived through the turmoil of the economic crisis of the 70′s and the Savings and Loan debacle of the 80′s, we have some history to help bolster us.  For those that didn’t, take some solace in history-this isn’t the first crisis-and it won’t be the last, since we never seem to learn.

Set your focus on developing and expanding your sales business.  Take heart in knowing there is a very good possibility your competitors will be sitting at their desks fretting over the economy, watching every twist and turn of the proceeding in Washington, skipping a heartbeat with the slightest up or down of the big board.  Take advantage of an opportunity to act while your competitor is stagnant.

The more you allow yourself to wallow in fear and become sluggish with worry, the harder it is going to be to break out and get back to business.

Now is not the time to lose your focus.  Now isn’t the time to wallow in self-pity or to succumb to fear.  Now is the time to suit up for battle, to hit the streets harder than ever,  to take advantage of your competitor’s lose of focus.

September 22, 2008

Why Decision Makers Hate Cold Calls

Filed under: cold calling,marketing,Personal Marketing,prospecting,sales,selling,small business — Paul McCord @ 7:24 am
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The simple answer to why decision makers hate cold calls is cold calls are one of the biggest time wasters for them.

Decision makers hate cold calls and have no interest in taking your call because all you do is waste their time.  Period.

Now, you don’t see it the same way.  You believe you have something of value to offer the decision maker–actually, you want to see if you have something of value for them.  You have to qualify them and that’s one of the things you’re hoping to begin to do while speaking with them.  All you want is a couple of minutes of their time to set an appointment and learn a little something about whether or not they’re a qualified prospect.

To you, all you’re asking is just three, four, maybe five minutes of their time and a short little 10 or 15 minute appointment.  No big deal–just a moment of their time.

But look at what you’re asking from their point of view:

1.   You’re not the only call they’ll get that day. They’ll get 5, 10, 15, maybe more cold calls on any given workday.  You only want 5 minutes of their time?  Well, that 5 minutes can add up to a half an hour, an hour, two hours or more if they spoke to everyone who called.  Everyday.

2.   You only want a short 10 or 15 minute meeting.  Sure.  They understand that you’re asking for 10 and intend to stay 45.  They learned the BS about the 10 minute meeting their first week on the job.

3.   You just want to ask a few questions to gather information to grab their interest to set an appointment.  You sound like every other salesperson who calls.  That’s what they all want.  They want the decision to educate them about why they called, that is, to give them a reason to try to set a meeting with the decision maker.

4.   When they politely say ‘no,’ you won’t accept it. Instead you try to probe, to flush out the objection, to give more reasons to meet with you.  Finally, they get mad enough to slam the phone down or tell you in no uncertain terms ‘NO.’

5.   When you call, you have nothing of interest to them. They’re not thinking about your great new copier because they still have 2 years on the lease of their current copier.  They’re not thinking about replacing their phone system, they’re thinking about the server that just crashed.  They’re not thinking about a new accounting system because they’re thinking about the big deal they just lost that morning.

How would you like to go through that 5, 10, 15 times a day?  Everyday?  Without fail? What would be your resolution to the problem?  Would you take those calls?  You would do the same thing they do-not take any calls.

And decision makers have made it as obvious as possible that they don’t want your call. They’ve put gatekeepers in place to keep you out.  They’ve got voice mail to filter who they want to talk to and who they don’t.  They put signs on the door that say ‘no soliciting.’  As soon as they discover you’re a salesperson they say ‘no,’ and hang up.

Yet, you think-you hope-that you’re the exception.  That they’ll take your call.  That they’ll want to speak with you despite the signals they’ve given.  That you’re different from other 5, 10, or 15 salespeople who will call that day.

Cold calling is viewed by many salespeople, managers, and companies as the quickest, easiest, and cheapest way to find prospects.  It isn’t.  It is in many ways the most difficult and expensive because when you cold call you’re trying to connect with someone who has already indicated as plainly as they possibly can that they don’t want to speak with you.  In order to overcome that, you have to make massive numbers of calls in order to find someone, anyone you can corner.

If you choose to cold call, you’ve a hard road ahead of you.  Few top producers waste their time cold calling because it is so ineffective and costly.  However, if you do choose to cold call, invest in getting the best cold call training you can.  Your investment will pay off with greatly increased results-you’ll still waste a lot of time; you’ll still face a tremendous amount of rejection;  you’ll still have to eventually find better ways to connect with prospects; but at least make your efforts as profitable as possible.

July 23, 2008

Selling Like a Dog

Filed under: sales,Sales Process,selling,success — Paul McCord @ 7:49 am
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In just under 30 years in sales I’ve had the opportunity to meet thousands upon thousands of salespeople. Some have been very good, many not so good, and a few phenomenal. But there are two that I know that are simply the best salespeople I’ve ever met. They work as a team and their closing ratio is well over 90%–most of the time with additional add-on sales to boot. I can honestly say that I’m not aware of a single serious prospect that they’ve failed to approach—ever. And they have an incredible ability to always be in the right place at the right time.

Many times we tend to overcomplicate things. We analyze things to death. We search for the smallest nuance, the tiniest little thing that might give us a bit of an edge, a little bit of an upper hand in nailing down a sale. We sometimes lose sight of the basic nature of selling which is to find a prospect, develop a relationship, make our case, overcome their objections, and close the sale. That’s the basics of a sale no matter what we sell. Of course there are twists and turns, some more complicated than others. But in the end, that’s what we all do.

Mr. B.J. and Ms. Chloe understand this concept better than any other salespeople I’ve ever met. More importantly, they don’t try to complicate it and they practice their craft religiously and are constantly honing their skills. And for their diligence, their highly honed skills, and commitment to being where their prospects are, they are rewarded with a fat income.

So, who are these top producers and what secrets have they learned?

Mr. B.J. is a miniature dachshund and Ms. Chloe is a miniature Yorkie. OK, yes, they’re dogs. Don’t let that fool you. They are also highly skilled salespeople with the highest close ratio I’ve ever seen, with a sense of timing we humans can only envy, and with a dogged persistence in asking for the order that puts us human salespeople to shame.

But our lessons come from their sales process. As mentioned previously, it is basic. No fancy tricks, no deception. (In the spirit of full disclosure I have to mention that in their sales process there is tons of manipulation which I don’t advocate, although I have to admit it does work wonders for them.)

Their Process:

1. Prospecting: Mr. B.J. and Ms. Chloe are always prospecting. They have two prospecting methods—cold calling and waiting for the occasional walk-in prospect. Since they don’t like to rely on the happenstance of walk-ins, they spend a good deal of time cold calling.

Cold calling consists of keeping a close tab on the neighborhood for any prospect—prospects being anyone outside, especially if they happen to have something to eat with them, although having food isn’t necessary.

Upon spying a prospect both are eager to introduce themselves. They wait for an appropriate opportunity and approach for the introduction. Since our block is a favorite for walkers and joggers throughout the neighborhood, they are in a constant prospecting mode, meeting dozens of potential customers daily.

If they are in the house, they are ever aware of anyone going into the kitchen. The kitchen is where sales are made and they make sure that at least one of them has the kitchen covered at all times.

2. Building relationships: Upon meeting a new prospect they concentrate on establishing a relationship, with the initial emphasis on understanding and addressing the prospect’s needs and wants. Relationship building typically entails a great deal of licking and kissing, demonstrating their sincerity and trustworthiness, as well as their eagerness to please.

They don’t rush the sale. They are content to move at the prospect’s speed, allowing them to become comfortable with the relationship before pressing for an order.

3. Making their presentation: For B.J. and Chloe, moving from the initial connection stage to the presentation stage can sometimes be a bit abrupt, somewhat like some of our less skilled human salespeople–although in this case it appears to be quite effective.

Their presentation tends to consist of sniffing the food or drink the person may have, smelling the prospect’s hands or breath for traces of food, or, if called for, dissolving into pathetic, irresistible sad-eyed looks.

4. Asking for the order: Once they’ve made their presentation, they ask for the order with lots of jumping up and down, barking and whining, and running around the prospect. No one ever fails to understand the request.

5. Overcoming objections: Neither B.J. or Chloe are willing to accept a no. An objection simply means they have not made their case persuasively enough. Upon hearing no they simply brush it off and their kisses, loving, jumping, barking, running around the prospect, and their big doe eyes become even bigger, their mournful looks become even sadder.

It takes nerves of steel to resist them and few do it successfully.

6. Asking for the add-on order: Once the prospect has bought and provided a treat, they have opened themselves up for the add-on sale. The add-on tends to be a more subtle sale than the initial sale, taking the form of nudging the bag the original treat came in or rubbing on the prospect’s leg.

7. Maintaining relationships: After they secure a new client, they make sure they follow up with regular visits and a consistent flow of kisses and leg rubs.

Their sales process is incredibly simple and straightforward. Their reward is a consistent flow of treats from our neighbors, walkers, joggers, and of course my wife and I. They’ve even managed to teach some of the neighbors what their favorite treats are (dried chicken strips, unshelled peanuts—they love to shell the peanuts themselves although it makes an incredible mess, and string cheese).

We may not be as cute as Mr. B.J. and Chloe. We may not be able to manipulate (and manipulation is never a valid part of selling for us humans) prospects as they do. But if a dog that can’t speak can follow this simple process and make tons of sales, we should be mindful that this isn’t rocket science. Their secret is simple—they meet lots of prospects, develop relationships, make a compelling presentation, overcome the objections, and ask for the order.

Yes, our sales are more complicated. No, we don’t have the cute factor working for us as they do. But we have the same opportunity Mr. B.J. and Ms. Chloe have. We have the same time to work with—they get all of their prospecting and selling done in about 6 to 7 hours. We have the same process. All we have to do is to be as committed to our success as they are to theirs.

July 21, 2008

Netting a Return on Networking

Filed under: business,marketing,Networking,Niche Marketing,Personal Marketing,prospecting,sales,selling,small business — Paul McCord @ 9:06 am
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Networking.  For many, if not most, salespeople and managers that word evokes images of the Chamber of Commerce networking nights, the breakfast lead exchange groups, and pestering mom, dad, the black sheep uncle, and anyone else that might be able to cough up lead.

That word may also conjure up memories-maybe really recent memories from like, yesterday-of wasted time, a room full of no real prospects, dad’s agonized tone of voice that belies his smile and can’t hide his unease with the request to give a referral to his friends and acquaintances.

Although there are many good books on networking, many salespeople are still spending a good deal of time and effort seeking to network in the wrong places, with the wrong people, and with the wrong goals.  They view networking as a grazing activity, seeking out venues where they can find a sizable group of men and women, and spit out their ‘value proposition’ to as many of them as possible in as little time as possible.  Favorite haunts tend to be the local chamber of commerce; the networking events of various local business associations and groups; lead exchange breakfast groups; and the proverbial family and friends.

Not surprisingly, few salespeople who approach networking in this manner find their time and effort to be well spent.  Grazing for contacts and leads generally doesn’t work because it violates some key aspects of business and human nature.

Location, location, location.  The old real estate adage applies to networking as well.  Where you network is of prime importance.

Although easy, floating into the chamber networking event isn’t likely to produce results.  In most instances, these events are overwhelmingly dominated by other salespeople who are also looking for the opportunity to meet new prospects–and who are not the least bit interested in being sold to.  Instead of finding yourself in a room of 125 prospects, it is far more likely to find yourself in a room of 100 salespeople and 25 business owners and managers-of which only a very small handful would be quality prospects for you.  Certainly you can meet prospects.  And certainly there are sales made from the contacts developed at chamber meetings.  But the return on time and energy investment is usually extremely small.

Lead exchange groups can be very viable opportunities for those selling the right products and services.  A mechanic or quick print company might find a lead exchange group to be an extremely valuable source of new business.  On the other hand, a salesperson selling enterprise solutions or a management recruiter would more than likely find little if any success in one of these groups.  Nevertheless, I’ve know management consultants, copyright attorneys, and financial services salespeople who sell money management services with a minimum portfolio size of a million dollars who invested their time and energy in these groups before they discovered it was a poor match for their services.

This is not to say that networking through groups can’t be worthwhile.  It can.  You just have to spend your time and energy in the right places.  Where are the right places?  That, of course, depends on what you sell, but whatever you sell, the right place is where you’ll find a large number of legitimate prospects and that tends to be in specialized organizations and associations.

If you sell high end printing equipment, you want to spend your time where prospects who purchase high-end printing equipment gather-say the local associations for architects, manufacturers, or design companies.  If you sell financial services, you would spend you time where there are likely a number of wealthy prospects.  You want to be where your prospects are, it’s that simple.

Networking general business groups tends to be low return; networking specialized groups where your prospects gather tends to be high return.  Although this is common sense, it goes against the grain of what most salespeople do.

Human Nature: Networking events are usually a terrible time to try to market yourself because you’re going against the grain of the objectives of most of the participants.  There will certainly be a few participants at these events whose only objective is to meet new people or to mingle with friends, but most are there for one reason-to find and connect with prospects.  And how do they intend to do that?  By spending their time talking about themselves.

Probably more than 80% of the contacts you make at a typical networking event have little interest in hearing your story because that’s not what they are there for.  They are there to get their story out.  Their networking methodology is to float from person to person until they find a live target and then to try to wow them with their value proposition and set an appointment.  This is hardly an atmosphere conducive to finding and connecting with quality prospects.

Even if you invest your time in organizations and associations that are full of your prime prospects you can’t go with the intent of collaring prospects and spewing forth your value proposition, your product’s benefits, and how great you are.  Networking is a process, not a one-time event.  Networking is about developing relationships, not grazing for low hanging fruit.

To successfully network takes time, commitment, and a sincere desire to get to know-and help-people.   Networking isn’t a short-term sales generator; rather it is a long-term business builder.

Networking in an organization or association requires a commitment on your part to the organization.  Thinking you can just show up at a networking event and have an impact is going to be disappointing.  But becoming involved-becoming a part of the group can generate a great deal of sustained business because it caters to the way human beings think and how they respond to others.

Humans have a tendency to view their own problems as somewhat unique.  Intellectually they recognize the universality of their own issues, but emotionally they view their problems as distinctly their own.  This tendency to view problems as unique can be one of the most powerful opportunities a salesperson can take advantage of.

Although few problems a trucking company encounters are truly unique to the trucking industry, most decision makers in trucking companies view their industry’s issues as unique to the trucking industry.  Likewise, most decision makers in the printing business view their issues as unique to the printing industry.  This isn’t to say that the issue per se is unique but that the particulars of the issue are industry unique.  If the particulars are unique, then the solution is undoubtedly somewhat unique also.  If the particulars and the solution is unique, then it is natural that the decision maker wants to work with someone who really ‘understands’ their issues.

That ‘understanding’ is where your opportunity comes in play.

By joining and becoming a part of their industry’s association, you become one of the team-in other words, you’re perceived to really ‘understand’ the ‘uniqueness’ of their problems and issues and consequently you understand the solutions they need.  People want to work with people they believe recognize and understand the uniqueness of their needs, issues and problems, not someone who treats every business and every situation in the same manner with a canned ‘solution.’  The heart specialist can charge more and is more highly respected than the family generalist because she has a unique understanding of the issues and solutions of the patient.  When seeking a divorce, most people seek out a divorce lawyer rather than a generalist because they believe the specialist has knowledge and skills the generalist doesn’t.

By becoming a part of the team you put yourself in the position of an industry specialist-you ‘know’ and ‘understand,’ and that knowing and understanding sets you apart from your competitors.  You go to the top of the list when one of the members of the organization needs your services.  You become an expert, not a generalist.

The key to successfully networking within these organizations and associations is to become an actual part of the group.  You can’t just show up at networking events-if you do you’ll be viewed as nothing more than an opportunist.  You have get in and work with the group-volunteer for committee work, help on fundraisers, pay your dues-both in terms of money and sweat.

It’s About the Prospect, Not You: Networking is about relationships and relationships are built on mutual respect, understanding, and a sincere desire to know the other person.  To connect means to bond with the other person and bonding takes time.

Most people love to talk about themselves and they tend to naturally like and respect those people who allow them to do that.  Instead of spending your time talking about yourself and your value proposition, spending the vast majority of your initial meeting-even your initial two or three meetings-learning about the other person will pay great dividends in the long run.  Don’t rush to talk about your value proposition, your products or services, what you do for companies, or even your background.  Concentrate on getting to know the person in front of you-there will be plenty of time later to get to you and what you do.

When you let people talk you learn a great deal about them, about their likes, their history, their wants and needs, their hopes and dreams-and very quickly you learn whether or not they are viable prospects.  The more they talk, the more you learn.  The more you learn, the better opportunity you will have later to direct the conversation in directions that naturally lead to how you can serve them.

Most salespeople spend far too much time talking and far too little time listening.  This is especially so when networking.  Learn to keep you mouth shut and your ears open.  Allow your new acquaintance to lead the conversation by doing exactly what you want them to do-talk about themselves, their business, their needs.  If you remember, Peter Faulk as Columbo didn’t speak much, asked a great many questions, and always got what he wanted in the end because the suspect always ended up telling him what he needed to know-either directly or indirectly.  Turns out selling is similar-prospects always tell you what you need to know in the end if you can keep you mouth shut, ask lots of questions, and like Columbo, know how to listen.

Networking can generate a tremendous return on investment if done correctly.  By just going where your prospects go, understanding the natural tendency of humans to view their problems and issues as unique and becoming that uniquely qualified specialist who understand their issues and the solutions, and allowing your prospect to talk will open a lot more doors than trying to graze the low fruit at artificial networking events.

July 17, 2008

Guest Article: “Maximizing Your Price in a Soft Economy,” by Mark Hunter

Filed under: business,sales,selling,small business — Paul McCord @ 7:15 am
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Maximizing Your Price in a Soft Economy
By Mark Hunter

Establishing maximum value for your price is never easy.  In today’s volatile economy, it’s even more of a challenge.  For most companies, costs are increasing, yet the ability to pass them along to the customer is fraught with numerous roadblocks.  The customer’s response to a price increase is rarely positive, with the usual line of objections that go along with it.  In addition, there are the concerns that a competitor’s price may undercut yours or that the customer may choose to go down a different path instead of buying from you at all.  As big as these issues are, they pale in comparison to the number one roadblock to maximizing your price point:  the confidence of the salesperson.

The main reason why companies do not capitalize on their potential revenue is because their salespeople do not have the confidence to ask for and receive the highest price point.  If a salesperson is secure in what they are selling and in knowing how the customer will benefit from their products/services, then they will be confident in asking for and getting the desired price point.  The problem is that many times the salesperson lacks confidence in at least one of these areas, resulting in their inability to make their sales quota.

To rectify this problem, it’s important to examine how the salesperson first developed a lack of confidence in their ability to maximize their price points.  Generally, it stems from a sale they perceived to be lost because their price had been too high.  On the surface, their assumption probably appeared to be correct.  However, in reality, it just seemed that way because the right price-value relationship had not been established.   If the salesperson had executed a proper sales strategy that allowed both himself and the customer to see the product’s/service’s true value, this could have been avoided.  It needs to be communicated that in a B to B environment, the benefits are to both the buyer and the business they’re buying it for.  In a B to C environment, the benefits are to both the buyer and to the person(s) who will actually use the product or service.  When the salesperson and the customer understand this, it can help erase the uncertainty that the price may pose.

Let me give you two quick examples.  If a person works for a mega-global company and is buying widgets, he’d have no problem spending a little on them if he knew he was buying them from a reputable company that has experience selling to other mega-global companies.  In essence, the customer is looking for confidence and is willing to pay for it.  In a B to C situation, because the customer doesn’t want to look like a fool for their purchase, they want the salesperson to provide them with enough emotional benefit to allow them to convey to others that they made a great decision.  In both situations, an inexperienced salesperson is going to lose the sale if they don’t take the time to use questions that encourage the customer to fully express their needs.  In general, new salespeople often lose the sale shortly after they’ve stated their price.  Thus, it’s only natural for them to believe that the price was the determining factor.  However, when digging below the surface, the price was not what prevented them from closing the deal.  Rather, they lost the sale because they didn’t ask enough questions to fully establish the needs of the customer.

Top-performing salespeople ask questions that allow the customer to elaborate on their needs and then demonstrate their listening skills by asking appropriate open questions and probing deeper with great follow-up questions.  They use the information that they learn to better explain how their product or service can be beneficial to the customer.  In my 25 plus years of selling, I’ve learned that the customer’s real needs, hurts, and wants don’t often surface until you’re demonstrated genuine interest in what their thoughts and goals are.  Ironically, this means that you can throw out their initial comments, as it is rarely the need they are looking to fill.  If you expect to base your price-value relationship on what you first hear, you’ll never come close to achieving your maximum price point.

In summary, today’s economy is full of opportunities for top performing salespeople to ask really good questions that get customers talking.  This allows both the customer and the salesperson to see, feel, and understand what their true needs are.  When the salesperson can experience this across multiple customers, they will begin to develop the assurance they need to be able to confidently convey the maximum price point their company expects them to receive.

Mark Hunter, “The Sales Hunter,” helps individuals and companies identify better prospects, close more sales, and profitably build more long-term customer relationships.” Few people have the breadth of sales experience that Mark Hunter, “The Sales Hunter” has experienced.  Visit his website at www.thesaleshunter.com.

April 21, 2008

Cutting Edge Business Training at a Cutting Edge Site

Filed under: career development,management,management training,sales,sales training,selling,small business — Paul McCord @ 6:22 am
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Today my friend Lee Salz of Sales Dodo fame launches a new business site designed to help salespeople, managers, business owners, professionals, and other business people increase their efficiency and effectiveness.  Business Expert Webinars offers business only related webinars that cover the spectrum of business topics.

Lee has gathered together an incredible group of over 120 hand selected top experts and gurus from around the world to offer the best webinar training courses you can get are extremely reasonable cost.  These one-hour courses are not the typical “come on” to sell books, DVD’s, CD’s, or anything else.  These are strictly hard-core training courses taught by leading trainers and consultants in their respective areas.

Some of the experts Lee has lined up include Keith Rosen, Jill Konrath, Paul McCord, Patricia Fripp, Dr. Gregory Stebbins, Anthony Parinello, Jeb Blount, Jonthan Farrington, and many others.

There are currently over 700 webinars scheduled through the end of the year with the webinars beginning in May.

Whether you’re in sales or HR, accounting or purchasing, whether you work for a Fortune 50 company or are a one person shop, Business Expert Webinars has seminars for you.  Likewise, if you need training in negotiation, making presentations, marketing, business technology, or virtually any other aspect of business, there are webinars designed to help you become more productive.

Visit the Business Expert Webinars website to get and idea of the incredible offerings there—and I think you’ll be amazed how just how reasonable the registration fee for these world-class webinars is.

April 18, 2008

Guest Article: “Are Your Policies Hurting Your Business?” by Kelley Robertson

Filed under: Client Relationships,management,small business,trust — Paul McCord @ 5:59 am
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Are Your Policies Hurting Your Business?
By Kelley Robertson

A customer’s purchase is overcharged by $10.00. The store policy is clear… “No cash refunds” so the sales associate refuses to issue the refund even though the mistake was hers. The customer was told he would have to accept a store credit or wait for a cheque to be issued by head office.

A customer wants to exchange a sale item she bought three hours earlier but the store policy states, “All sales are final.” The employee adamantly refuses to exchange the item for the customer. What is the likelihood that these customers will buy from those stores again? I think it would be safe to say they won’t.

We all know that policies are instituted for a reason– to protect the company and reduce the risk and liability. However, in many situations, policies are put into place to manage a tiny portion of the business –people who look for ways to exploit your business or who try to get something for nothing. Unfortunately, these policies are designed to control the minority rather than the majority. And, as a customer, I highly doubt that you like being told, “That’s our policy.” There is no question that some people will take advantage of liberal and flexibly policies. However, my experience has taught me that these individuals are far and few between.

Case in point; when I published my first book, I offered an unconditional money-back guarantee to anyone who did not feel the concepts would help them improve their business. My publisher was distraught about this decision, telling me that I was setting myself up to be taken advantage of. Later, I extended this policy to the products I started selling on-line. In the last four years I have sold over 7000 copies of my book and thousands of dollars of other products but I have only issued 2 refunds. Was the risk worth the reward? Absolutely!

In another situation, a participant in one of my public workshop expressed his disappointment because the program did not address his specific expectations even though full details of the program were provided before he registered. While I considered the possibility that he was trying to take advantage of me, I still offered a refund because it made good business sense.

The easier you make it for someone to do business with you, the more business they will generate, providing of course, you offer a good product at a fair price. I firmly believe that flexible policies can help a business increase their market share.

Here is something else to consider. When your policies change (which is not uncommon), don’t force existing customers to adhere to the new policy immediately after it has been implemented. Give them a grace period to help them adjust to the new procedures.

I also think it is important to give employees some latitude. I’m not suggesting that you allow everyone to make their own decision but I do know from experience that most people will make good business decisions if given the opportunity.

Many people are hesitant to do business with someone they have not purchased from in the past. And for good reason, they have been sold goods and services that have not lived up to their expectations. Reduce their concern and hesitation by making it easy and risk-free to buy from you.

One of my first clients expressed concern about doing business with an unknown vendor (me). When she asked what would happen if she wasn’t satisfied with the program I was going to develop for her, I told her that she wouldn’t pay. I even agreed to include this in my contract with her. Several years later, her company is still a client and I have since extended this policy to all new clients.

Another aspect to consider is the fine print you include in contracts. Why force your customers to review paragraph upon paragraph of text that can only be read with a magnifying glass. State your terms up front and believe that the more fine print you have, the more you are trying to hide from your customer.

I remember my wife talking to a computer company we were leasing from after we discovered that we had made two extra payments even though the lease had ended. She was told, “Your contract clearly states that you are responsible for contacting us to terminate the lease.” I have also seen this type of clause for extended warranty programs. Some companies offer a rebate on the warranty if you do not use it. However, the caveats usually require the customer to submit the original receipt within 30 days of the warranty expiration.

Evaluate the policies you have implemented over the years and look at them from a customer’s perspective. They may be costing you business.

Kelley Robertson works with businesses to help them increase their sales & profitability and motivate their employees. Receive a FREE copy of “100 Ways to Increase Your Sales” by subscribing to his newsletter available at www.RobertsonTrainingGroup.com. Kelley speaks regularly at conferences, sales meetings, and corporate functions. For information on his programs contact him at 905-633-7750 or Kelley@RobertsonTrainingGroup.com.

April 14, 2008

A Message to Small Business–Assure Your Businesses Liquidity Now

Filed under: Economy,small business — Paul McCord @ 7:18 am
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The economy in the words of former Federal Reserve Chairman Alan Greenspan is in the “most wrenching” economic crisis since World War II. Current Chairman Ben Bernanke believes the economic stress being put on the financial markets is similar to that of the Great Depression (he does not however think this recession is in any way close to the Great Depression).

Tight Availability of Credit

Bernanake is proposing stringent monitoring and oversight of financial institutions including analyzing bank’s capital ratios and the way those ratios are calculated. His aim is to strengthen lending institutions for the long-term.

His proposal, however, can put increased pressure on banks to decrease lending activities. Last week Bloomberg reported that Wells Fargo, Citi, Bank of America, and other institutions are facing serious capital ratio problems that will put pressure on them to limit their lending activities in the coming months—even to the most credit worthy of customers.

According to Bernanke, large corporations are well positioned to weather this credit storm, as he believes they are cash heavy at this point. But what about small and mid-size companies? Are they cash heavy? Are they prepared to go 6 months, 9 months, a year or even longer without access to loans for expansion, operations, or to take advantage of market openings?

A Convenient Answer

This impending crunch on the availability of credit doesn’t have to be weathered credit free. Small businesses can prepare themselves for this eventuality through acquiring a line of credit now that will guarantee them access to funds in the coming months should they need them.

Although most small and mid-size companies don’t need credit now, most don’t know if they will be in need a year from now. It is difficult to look ahead 9 months or a year and know for certain that new business opportunities or other needs for cash will not have arisen.

Yet, no one wants to take on an obligation if they don’t need it. Why incur debt on speculation? Why pay interest on dollars you don’t need? Borrowing and paying interest for dollars to sit in a bank account doesn’t make sense for the vast majority of businesses. And I certainly wouldn’t recommend it.

Nevertheless, preparing for the eventuality of tight or no availability of credit makes sense. Insuring that your company is in a position to continue in a tight economic climate means preparing now rather than waiting until the need arises and finding out you can’t get the funds you need.

Opening a line of credit now can help insure your stability and even growth in the months to come. Acquiring a line of credit will probably cost nothing—no application fee, no interest until and unless you access the funds, no cost what so ever. But those funds will be available to you for future use should you need them.

A little planning now may save you great distress in the future. Most will probably never access the funds, for others the funds will allow them to take advantage of new opportunities, and for a few those funds may be the difference between keeping the doors open or having to close shop.

Discretion in acquiring and using credit is more important now than ever. However, discretion in assuring funds are available is equally important.

No matter how stellar your credit or how solid your relationship with your business banker, don’t assume monies will always be available to you. If lending funds don’t dry up, you’ve lost nothing. If they do and you need funds, you’ve assured yourself of their availability.

Don’t allow your business to be hindered or jeopardized by a lack of foresight and planning. Calling your business banker this week might be a good idea—especially if you don’t need the monies right now.

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