TIME is MONEY

We are all getting busier, with less resources or personnel support while expectations are sky rocketing, attention fleeting while the need to generate more revenue is critical.

Like many of my Blogposts, there is a common theme evolving -- how organizations and sales professionals should collaborate to achieve BOTH of their objectives  while striving to gain  RESULTS.

A challenge is typically asserted on which accountability metrics are important to operations and sales.  Typically, for operations it is profitability and for sales it is revenue.  In order to drive revenue, sales professionals should have realistic activity mandated.  All top sales organizations have various activity metrics to ensure that even entry level sales reps can achieve some success.  There are a few factors that could be taken into consideration to establish perameters :

1. Sales Cycle
2. Geographic territory
3. Vertical targets
4. Cost of product or service
5. Level of decision maker required
6. Seasonal variables
7. Competition
8. Pre-Sales support
9. Marketing program
10. Lead time between sale and delivery
11. Budget, plan, quota or target

I will get into the 11 points above in future blogs.  However, before you ask sales to meet the minimum activity metrics, after examing the parameters, your organization should next ask itself what tools or considerations are being taken into account to boost productivity or demand results.  For example:

1. Training (Company provided or endorsed)
2. Skill Level (Experience in sales or industry)
3. Compensation (Commission versus salary plus bonus)
4. Marketing Program (sales material, advertising or leads)
5. Sales Timeline  (from sale, to implementation, to commission or bonus payment)
6. Tracking Tools (CRM system, manual, activity reporting)
7. Sales Management (Coaching, mentoring, meetings)
8. Support (proposal template, clerical, analysts, diagnostics)
9. Territory (geographical or verticle/by industry)
10. Sales Budget
11. Communication (customer service, computer, e-mail, wireless, cell phone or iPhone/Blackberry)

It is easy for organizations to hire and plunk sales reps in territory and cross their fingers that they've found a superstar.  Yet, without analysis of factors that could impact success or inability to provide the necessary tools it shouldn't be surprising there may be a  lack of results.

So, before you kick your rep out the door and ask him/her to sink or swim, examine what you are doing to facilitate their success?  After all, time is money!

Cool calling

 I am an advocate of cold calling.  Cold calling IS necessary in today's uncertain, competitive climate. To rely on warm leads aka referrals is simply unrealistic. My cold calling techniques change based on who/what I am targetting, but I'll try to give you some ideas on how to tackle it and take the COLD out of CALL:

1) INTERVIEW  existing satisfied customers

• Your best source of informaton is already using your services
• Take the stance that your are new and interviewing them
• You'd be amazed how many time you hear from them how nobody else has taken the time to ask
• They may ask you why you are doing this, and end up offering referrals
• They will want you to succeed now that you've taken the time to understand their success
• Don't forget to ask for that "testimonial"
• Make sure you put some of those quotes on your website
• Ask for examples of ways your company/service/product has helped them
• Use those as "case studies" on your website on how you solved business issues

2)  NARROW your targets

• Visit website, pay special attention to company announcements, "in the news" areas

3) PERSONALLY visit prospect's office/place of business

• Hand business card right away - Be upfront about who you are and state that you are just doing research or there to ask questions
• 9/10 times the receptionist knows more than anyone what is going on in the company
• Be respectful of the gatekeeper, their time, be pleasant, avoid sales pitch, be confident
• Use their nametag or nameplate or ask for their name, people are always more receptive if they hear their own name
• Observe if they have to take calls, are hurried, act accordingly
• Go with the attitude that your objective is not to sell something TODAY
• Be honest:  you are there to drop off information and confirm your information/contact
• Ask questions in an interested, non-threatening manner
• Observe (i.e. Trade Magazines) and/or gather material ( i.e. Annual Reports
• Share some of the information you've gathered  to create comradery
• Confirm point of contact -- where so many reps fail -- another gatekeeper is not who you're looking for -- ask very specific who makes the "decision" for your product/service is helpfu

4)  Have a MARKETING kit with you

• A flyer is not a marketing kit
• No need to have a letter
• Information on your company

5) Give kit, saying you want to drop it off in advance to follow up with whomever is in charge of what you're looking for, asking for confirmation whether it is the person you sourced -- specifically ask for a business card, if not, their full name, title, telephone and e-mail

6) E-Mail contact that you're following up the package that you left off because you appreciate how busy they are and respect their time, what you want to share (remember 1?  share those stories or how you helped them)... then say  you will follow up by telephone at a certain time to arrange a meeting.  If you haven't been able to access e-mail, resort to snail mail ... except hand write the envelope (greater chance at it being opened) and mark it CONFIDENTIAL.

7) CALL them at that time (don't fail at this)
 

8) They may be EXPECTing your call or ready to refer you down the ladder.  This depends highly on how you've done so far.  Sometimes there is someone else that does make that decision.  If they have a subordinate, you want them to refer you down the ladder.

9)  If they are REFERRing you down, confirm that they will be passing your package over to that person.  Also ask when would be best to follow up, if you can push your luck ... have them tell that person you will be calling at a specific date or time.  They may offer to have them call you back (best).
 

10) They may AGREE to meet with you at that point or ask you what your value proposition is over the phone.  The higher up you are, the more direct they are because they despise people who waste their time or can't help them.  Remember 1 again?  You can clearly articulate  your value proposition (solve their business need, fix a problem, give them insight,  etc.)
 

11) The  person who has been "topped down" will  meet with you because their boss handed your package to them, told them you would be calling or have them calling you (best).  This all points to a direct request from the boss.
 

12)  If you get their voicemail:  State who you are (you don't have to say company), that you are following up after leaving information with *insert name* to pass on and that as promised you are calling  to schedule a brief 20-30 minute meeting (if you ask for more, you're nixing your chances) to share ideas that will improve (what benefits have you come up with?).  If you have to call two or three times, don't worry.  Keep reinforcing that you are following up, what your benefits are, and also express empathy for how busy they are after the 2nd or 3rd call.  I spend more time on this on my other Blogpost:  "How many times do you call?"
 

13)  Up until this point, you really haven't even attempted to sell anything.  You're objective in cold calling:

•  Pre-qualify (have a general idea they will benefit from your "pitch")
•  Confirm who the decision maker is (not another gatekeeper)
•  Create enough interest that they will agree to meet with you

There are several steps in cold calling.   There are numerous hypothetical situations that haven't been addressed.  The point is, statistically most sales people give up after one drop in or telephone call, maximum three at most.  That is why only 20 percent of all sales people are successful.  The other 80 percent won't bother to even follow up, want a magical formula to guarantee results or may just be too lazy. 

I will share my biggest secret for free:  The attitude is about having FUN!   Imagine you're a bumbling inspector or searching for the key for endless wealth.   Your finesse will come from practicing, failing, trying a new approach, failing, trying something else, failing ..... THEN  noting what has worked and why.

If you want to give up after 3) you may want to reconsider your occupation .... because treasures can only be found after DIGging!

Failure to follow up equals failure

EVERYONE's perspective on how they personalize follow up is valuable because every sales situation is different, yet if you try a consistent, methodical approach to follow up you will increase your success rate.

For example, to put my money where my mouth is, I've started a new business development position in a completely new industry to me, with another one of Canada's largest organizations.  This large organization is retail-based and has not introduced direct business development into their culture until recently hiring a business development team of veterans for each city. 

They tell me that they consciously hired people of a "certain vintage" purposely:  no babysitting required, they outline the metrics required and let experienced pros do their magic.   Four weeks in,  I've came out of the gate quick, so quick the executive VP sent me a personal note just Friday.  By my 2nd week I signed up the most that week with 13 new customers, the next closest was 6 in Ontario (a much larger market by Canadian standards).   Then I followed up week three with 9 and by week three this program had increased sales by 40 percent.

How did I do this?  Personal cold calling is the name of the game.  There is very few pre-existing customers so I had to start with a  methodical, consistent approach:

1. Cold Call (in person) leaving a package (warm, friendly, nonassuming)
2. Confirm who the decision maker is and express there will be follow up to meet at a convenient time
3. Follow up by telephone -- stating  I am following up the package and would like to sit down with them to review how others have incorporated this service and saved themselves time and money.
4. Follow up by e-mail -- expanding upon how others benefitted i.e. specific time and cost saving examples along with value adds that were discovered after the original intent was time/money
5. Schedule appointment
6. At appointment:   Ask questions; listen to answers, define needs; reinforce the reasons others signed on and their positive experiences
7. Close by getting them to agree or sign up for the service or purchase product
8. Follow up by electronic means to ensure they have my contact information along with the rest of the team they will be working with -- it's an electronic age and most people will respond in this manner
9. Have the associate(s) who implement and execute the service telephones to introduce themselves (provide them with a script if you think they're uncomfortable) 
10. Have the associates follow up with you that they've made contact and notes from comments (sometimes customers or prospects are more comfortable communicating with non-sales types)
11. Follow up AGAIN to touch base to see how they liked the first order/process
12. Learn from those that have become customers as to why they like the product or service to use as amunition with others

Hmmmmm that's definitely 10 touches just to get going.  Sometimes  I get to 3 with no return call -- the time when most sales people quit.  That is why I try 4.  After that, I will file  it for a month or so, never assuming that they don't want to talk to me ... just that I haven't struck a cord with their needs, their too busy, already  know who to call when the need arises or I will assume I will give up.  Yet I will continue to touch base periodically (diarize for 6 weeks or so) about new developments until they tell me o stop. If I'm doing that properly those communication follow ups will be relevant and of interest.

 While my immediate success rate has been rapid, there are steadfast tips you can learn from:

1. One of the most important elements is planning.  I plan my day as the other one ends.  I decide where I am going to call.  It also allows me to do e-mail or telephone follow up by creating a list of things to do.  That can mean, my next day will work around an appointment.  It allows me to get a decent sleep without thoughts of what I must do or forgot to do that night.  It also starts my day in high gear.
2. Sometimes gender and/or age may translate into being more relaxed.  That is irrelevant if you appear to be confident, conversational, not pushy, or follow their cues to get to the heart of why you're there
3. Take the time to present a professional polish (you better believe how you look conveys more than what you are selling)
4. Only use mints, NEVER gum:  one of my pet peeves with sales people - if you don't chew like a cow, you probably communicate arrogance (that is my personal opinion)
5. Always assume that you are intruding or interrupting,  beg for forgiveness, hand card first, introduce self, explain package then ask for who/best time to follow up
6. You may be amazed by how many business owners/decisions makers will sit down with at that precise moment or schedule an appointment on the spot
7. If they agree to talk, take the time to explain what you are offering, how others have benefit, interject questions, listening/watching body language for feedback to continue
8. If you see they are starting to zone out, ask a "following me" question or offer to come back another time
9. Don't be afraid to suggest saving  time by committing then/there
10. If they hedge, or are not expressing objections, asking questions, ask when you can come back to see them after they have had a chance to review
11. A non-aggressive, tactful approach oftentimes causes them to sign then.
12. Back to 9 above
13. Follow up with electronic means to contact
14. Follow up on how they like the service/product
15. Don't be surprised when they start calling with questions that turn into additional opportunities or referrals
16. ASSESS your results.  You can zero in on a market or niche based on where your success is coming from.  Is it seasonal?  Is it because its budgeting time?  Is it because they have budget to spend?  Is there a specific industry/prospect profile that closes more readily?  Is there a better time of day to call that is less intrusive?
17. Remember:  ALWAYS show up or call when you say you will
18. Send a personalized thank you note/card/postcard (NOT an e-mail) after an important meeting, when a customer buys your service or product OR after a referral ... this is so important, yet a forgotten art

The standards on activity for many organizations are not always defined, yet it is for us.  To cold call less than 10 a day is unacceptable.  We're launching a new program so it isn't like we have a lot of account management excuses to fall back on.  The high benchmark is 20 calls a day.  All calls tracked MUST be in person.  No telephone calls, e-mails are included.  Initially, I thought that sounded excessive but the organization wouldn't be who it is without doing its homework first.  I have discovered that it keeps me better focussed and I maximize my "in front of customer" time.

Typically results have been determined by activity and results.  Now, my experienced boss who was hired because of his direct industry experience, who also set the activity metrics,  further defines results by saying  that they'd rather have 10 cold calls a day with more sign ups than 20 cold calls a day with no sign ups.

Yet again, if you make the minimum calls and get the sign ups that should be suffice right?  Well, not exactly because if they don't engage the service, sales won't increase.  You will only have met activity and maybe even sign ups.  I've just reinforced what we're always told in sales:  Follow Up!   Hah!  If you exceed activity metrics there is also a good chance that you're skipping follow up which translates into less closing.  To make matters more confusing, if you don't have effective follow up, the engagement may be lacking when you try to sell too fast, which equates to less revenue increase.

If you spend less time following up, your chances of failing to increase sales are greater.

LOVE what you DO: Apply sales basics to your Blog

If you've bothered to read "About Me" the required boasts about accomplishments is suppose to help establish credibility or prove to you that I am an authority on the subject of which I speak.

One element I always look for when I look at the gazillion of sales blogs or websites is testimonials or background on the blogger.  Basically, asking the question:  "what does this person have that I can learn from?"  Granted, there are those like Anthony Robbins who we really don't question that any longer because his claim to fame is selling himself.  Likewise, there are very successful real estate tycoons, but none measure up to Donald Trump, who really excels at selling himself.  Yet, it never ceases to amaze me that so many master Bloggers don't back up their authority on the subject by quantifying their results.   That is where my point to this Blog starts.  I am open to examination.  Why?  Simply because I have proven success yet am constantly stretching my learning and qualifications.   If I don't expose my ideas and look for challenges to those ideals, then I have failed myself.  I have stopped learning from others.

There are several critical elements to sales success.  So here I am to apply some of those critical elements to my Blog.  First of all, I had to establish an objective.  Okay, fair enough.  My first Blog did exactly that, even if I've narrowed it further to keep me on track.  It really started out with genuine positive feedback from comments on sales philosphy on Linked In.  Thus, the objective emerged:  share ideas, tips and advice.

Next, define goals.  After taking and exceling at the Google Analytics Basic "Search Engine Optimization" (SEO) and "Search Engine Marketing" (SEM) right around the time I started the Blog, I  realized that I wouldn't be able to be an authority on sales, without understanding all the key elements impacting sales today.  The most relevant is Social Media.  It is changing traditional sales methodology at lightning speed.  To assume that all the same techniques that I applied a year ago, five years ago or more, are applicable today without incorporating Social Media into the equation is naive on my part.  Therefore, I realized that the GOAL I needed to set was to learn:  "how social media impacts sales by using my own Blog as a conduit to gain that insight". 

Thirdly, research competitors or learn from the experts.   If you are with an organization or product/service just starting out just like I am with my Blog it can be quite intimidating to tackle those giants already established before you.  However, I took the time to look at them, research a bit and learn from those already successful (one of my guiding principles).  I've used this tactic so many times.   In my case, I interpreted that many blogs promote sales techniques yet underline you should hire them or buy something, usually a book or course.   If you look objectively and absorb the most successful traits that you can relate to, you can immulate them into your phychic outlook to turn that goliath obstacle into an advantage. 

Next differentiation.  Many giants are so caught up by their size or their own "press" that they fail at self-examination.  A starter has the advantage after they microscope their competitors and analyse them they can uncover a nugget from where they might find an area where they differentiate themselves.  Differentiation  gets easier after you go through the steps of setting objective, goals, followed by research.   I applied the links among objective, goals and research to decide to " share what I know without an ulterior motive (i.e. seek speaking engagements, sell a course or book)".   There was my differentiation that I believed would set me apart from many sales bloggers.

Finally, and not the least important - measurement.  You cannot tell how you're doing without some sort of measurement stick. In real sales situations, you are measured by increased sales, new customers, improved profitability, expanded sales base, etc.  In the world of social media it is how many Twitter followers you have, even better, quality is measured by reTweets. With blogging, it is by followers, yes, but more when  you can check stats to see if you have traction by views or click through rates.  Don't forget to click not to count your own page views!  I like to monitor whether I am providing value -  I interpret from comments, feedback or sharing.  I post my results so others can watch my progress and because I KNOW there will be progress, I am not afraid to share.  Next, after I have established myself for a year, I will measure how I stack up against other sales Bloggers. 

Geez, I almost forgot the most important of all.  Not only does it take what I learn from the blogging pros by having a catchy title, it also communicates what I also learn from the icons of business -- LOVE WHAT YOU DO!

"The Apprentice" Class(less)room

Image by OPEN Sports via Flickr

Do you ever wonder why you're not politically savvy or want to learn how NOT to behave under pressure?  If so, then I recommend you watch this Seasons "The Apprentice" (switched from Sundays to Thursday nights) featuring Donald Trump.

There is tons to learn by watching how participants fail to plan, lack of goal setting, poor deligation, mediocre support of others, shortage on execution and (my favorite) sensitivity to criticism -- all attributes we need to work on personally or professionally, regardless of whether you are a recognized leader.


After watching the celebrities on the Celebrity Apprentice version, I conclude that they're somewhat more sophisticated in presenting a more positive image and try to promote themselves in a positive light ... yet eventually the gloves go on and their weaknesses are magnified (inset Dennis Rodman with Donald Trump).

With this season, they didn't wait. The cattiness of both the men's and ladies' teams came out right away. In fact, the girls didn't even wait until they'd found out whether they won before they started to turn on each other.   In fact, I can see why many of them are out of work.  Their attitudes, lack of support towards their project managers and team playing is obvious on the most outspoken participants.


I like to see whether I agree with The Donald's decision. I was getting him when he gave the first one to Peirs based on results, then he contradicted that by giving it to Joan Rivers instead of Annie Duke in the 2nd one. I agreed with Brett Michaels who was THE best winner so far because he got results, was a team player and didn't create animosity to win (unlike the previous winners).


I haven't been as enamoured of Lord Sugar's decisions that have been more based on how much support the project manager or fired person is getting from his/her team. People instinctively (especially women) recognize who is a threat. The Donald has been letting those clouded politics influence his decision. If he'd done that on the Celebrity Apprentice, Annie Duke and Piers would have been eliminated early on.


If I were a candidate on this season, it is more like watching Big Brother -- where who your alliances are more important than how you finish the task. In business, a strong leader gets buy in from everyone. Unlike real life business, on The Apprentice you are stuck with your team.  The Donald himself is able to build his own team that will compliment his strengths and minimize weaknesses (which he perhaps does not think he has any, which is a weakness in itself).   Best shown by being flanked by two of his children, Ivanka and Donald Jr.


I find Ivanka Trump to be very astute and I agree with her comments and observations. I like to think I relate to her the most. The ability to be direct and honest, yet focus on people's conduct rather than them personally is an art she sets herself apart from candidates and even her father.  On the other hand, Donald Jr. is somewhat wishy washy, or a prime example how the right support and coaching can increase one's strength or potential.


The best part of this season, of which I am envious of,  is each winning Project Manager gets to sit down with successful business leaders for an informal coaching session -- I would love to be a fly on the wall!  Somehow though, from what I've observed so far, it may be wasted because the greatest weakness by most candidates, winners or losers, is poor team play, engaging, respecting and listening to others.

If you're SEO you may be SOL

Communicating with acronyms is like using a blow horn with a jet airplane flying overhead.  ~Jeannette Marshall

Remember when we were kids and our parents spelled things between each other so that we couldn't tell what they were talking about?  That was a great tactic before a commitment was made for us all to go for "i-c-e  c-r-e-a-m".    Then we clued in eventually to understanding what that spelling meant.  Next thing, they'd use acronyms for cussing like SOL meaning I was "sh** outta luck".

Today, everyone tosses around acronyms like we should be able to look them up to find their meaning.  Out of curiousity, I went to Wikipedia to see what I would get if I input SEO and it came back with nine (9) variations of what SEO could stand for.


Whenever you work at a large corporation, or otherwise, it is easy to fall into the trap of using acronyms.  Is it because it communicates authority on the topic or is it laziness?


Never ever ASSume that the listener or audience knows what ABC or XYZ means.  Communicate as though you are saying it for the first time.    If you are a SEO specialist, then say something like you "help others increase awareness though their website by marketing".   That way, you may just gain the attention of decision makers outside those in the SEO business.  I have no research to substantiate this, however, I would predict that if you blast or Tweet about increasing SEO return the chances are you will attract other SEO specialists.  Is that what you want?  Or, do you want decision makers who have heard that "SEO" is something that they may need to know about and increase your click thorugh rate?


The more you talk in riddles, and that means acronyms, the more you are possibly alienating those that don't want to be embarrassed by having to ask what they mean.  Yes, it will impress your peers but is that really who your message is targetted at?  Try avoiding acronyms and convey the message for what it is.   I worked at a major sales organization where the culture was so strong that when they were speaking in front of customers, they used all the acronyms they were comfortable using.  Problem was, the audience was too polite or didn't care to ask what they meant.  I believe that acronyms communicates arrogance at times.  When you place them aside, it is amazing how receptive your message will be.


Communicating acronyms is like using a blow horn with a jet airplane flying overhead.  Yes, you are saying something, but it is being drowned out by another noise.   If you really want to stand out, for gosh sakes, just say what you mean in plain English.


***


A read a great Blog on social media   http://tinyurl.com/3y6ynft The Seven Deadly Sins of Social Media -- this can apply to anyone or any organization that is considering marketing through social media (see, that makes more sense than just putting SEO).

You Can't Snow the Snowman: Let Sales Managers be Sales Managers

Sales, more than ever, needs leadership that leads by example.  Why?  Sales professionals are a  quirky, ego-driven group who value success to benchmark -- over achievement on targets, plaques on the wall, etc. At the minimum, sales management has to establish credibility with the team that they're leading.

The challenge to many organizations, however, are those great attributes don't always translate well into sales management.  The  best salespeople don't always make the best sales managers. Managing sales people has to be one of THE most challenging group there is.   It's a rollercoaster ride, regardless to the extent of sales background.

Bluntly:  It is a waste of time and resources having a sales manager as a figurehead.  Very often, everyone wants to jump in the sales game once they smell a live opportunity.  Yet what happens long before that?  Sales reps do know how to survive.  What other occupation is there that potentially pays you nothing or very little unless you produce results?  That survival instinct, allows them to get the heart of opportunities for sales ... at times, that means who will give them the answer they want the quickest.  Many organizations fail their sales managers from this syndrome because at the heart of good intentions is communications or priorities from multiple direction.   The best opportunities sometimes come after a painfully long process or so quick you have to jump on it.  Have a sales manager who is equipped to handle both scenarios with authority.

Let Sales Managers be sales managers and do what you hired or promoted them to do.  What should they do?  Actually, there is a ton!  They manage and hire sales people, right?   What many fail to realize is that there is a lot that has to happen long before that live bait has been hooked.   Included on their job description would be establishing territories and budgets, outlining cold calling or activity metrics, forecasting, qualifying, mandating that CRM (Customer Relationship Management) systems to be updated, analyzing dashboards,  approving proposals or estimating, authoring or proofreading presentations, reviewing sales business plans, even networking and distributing leads fairly.  Did I forget to mention that someone has to enforce those best practices, maintain focuss, coach or motivate, hold accountability in check, and lead by example?

  If the sales manager's boss jumps in at the last minute or to give authority, then why wouldn't a sales rep just go to them to begin with?  After all, salespeople are showman who like to make sure the boss' boss knows they've got a live one!   Essentially, what can happen is that the sales manager's authority is undermined, corners can be cut.  Sales management WORTH can be directly attributed to the support they receive from their managers and organizations,  not just the revenue that is being generated TODAY.  Yet planning, analyzing and forecasting eventually leads to "today".

 Strong sales managers means you can identify and attract talent.  Human Resources and even executives can be tricked into thinking they've found the perfect sales rep because they've been won over by that polish,  articulate smooth talk, sales-ease babble, hunting tactics, fish stories and geez, so damn personable to them they must be able to sell.   Did you see how shiney the shoes were?  Must be "the one". Then there is the snowman.  The true sales manager that can cut through all the decoys and ask for proof, role play with situations, or just know by asking a candidate or employee what they do to be successful, or questions within questions that can cut through the snowjob.

 There are numerous discussions on bad sales managers or whether you should promote your top performer to be a sales manager.  My recommendation would be to focus on what a good sales manager should do and be allowed to do, with your support.  Introducing the sales manager role into an organization can be a challenge from both sides.  Primarily, letting go by those that want to keep their "finger on the pulse".  Mixed-messaging causes more harm than good. You have to believe in the management you have in place, experienced or otherwise.  Build trust between you so that they won't overstep financial risk and have the skills to analyse potentially.  You need to comprehend that you hired them because you believed in what they could do, agreed upon what results would be expected, established timelines and gave authority perimeters.  You both have synergies in styles, expectations and messaging -- so back them up!!

Now you have a few ideas on what a sales manager should do.  Are you going to jump in or trust them to do their job? 

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Forecast, project or dart board?

There is much to be said about the debate amongst operations, service and sales regarding forecasts.  All have viable arguments or points of view.   Operations and service  need accurate forecasts to ensure they have the right amount of personnel, inventory and resources to support the sales efforts.   Yet, sales hedges on putting their name on a number.  All points of view need to create a balance  to manage success between the organization and its customers.

I have spoken to numerous entrepreneurs, executives, operations personnel, managers, sales reps and been on both sides of the table.  Even though I have been on the sales side longer, I favor accurate forecasting.   The reason is logically because I care more about delivering on promises to my clients than not getting it right or avoiding accountability.  I "get it" that operations is not a never-ending money train either.  The compromise is to come up with a forecast that balance everyone's needs.  It is also important to note that  it takes significantly more expense, resources and time to generate one new customer (something like 75%) than it does to keep existing customers happy.  Yet, most organizations spend a great deal of effort on winning new customers, especially during uncertain times. 

Forecasting is particularly critical if you are focussed on gaining new customers or when economic conditions are unpredictable.  Organizations are caught between laying off employees prematurely or out of panic, leaving themselves short when a customer does need the added resources or services available.  We know that scientists have confirmed that the chicken did come before the egg.  Forecasting is the chicken and needs to be in place before anything else can be established.  Every organization, with one employee or one thousand, needs to establish where their revenue will come from.  "Forecasting" is just that.   Very few organizations have the cash flow or can survive by what I call "Field of Dreams" mentality:  build it and they will come.

Even without sales professionals on staff, setting realistic goals on attracting and retaining revenue can determine the success or health of your business. 

Unless you are in a large corporate sales environment, the culture for forecasting tends to be less of a requirement.   Yet, from formulating or guesstimating best estimate on each sales professionals predicted revenue by year, by month or even by week will help operations and support their efforts.  It is sometimes called "accountability".  Many sales professionals are uncomfortable with this as they consider it will reflect badly on them if they are off the mark.  However, not assessing their own performance will likely restrict their success anyhow.  Here are a few suggestions I would offer:

• Understand the full annual territory revenue value, then break down by customer, by month
• Record the projected new customers by annual value, by month, considering purchase date
• Assess percentage or ratio of revenue between existing customers and new customers
• You can take last three months, projected next month that includes new customers, and same month from previous year.  Total all 5 months, divide by 5 to get a forecast amount.
• Organizations should post results by week, by month or provide access by reps for cross-checking.

The above is a simplified formula to start with.  It is just as important to go back and track your success, boost or modify against actuals.  What I love about doing something like this is, it is just like golf -- you really are competing against your OWN score.  When YOU set the goal, YOU have more of a tendency to make it happen.  If you take it more seriously, you will assess your close ratio.  How accurate are you at predicting your own success rate?  Does it mean you have to make more calls to increase your success rate?  It can also prove to be one of the single most motivating tools you can have.  If your personal goals are aligned with your forecast, you will increase your chances of meeting/exceeding your forecasts.  (Remember that new car, a trip, house, marriage, baby, early retirement ..... etc.)

I won't dwell on it too long because I want to emphasise all the many advantages to forecasting, however, organizations can be their own worst enemy.  For example, they may project what the forecast has to be and then divide it amongst the sales team.  That projection could be based on operational expenses, factoring in commissions, and then profitability.   I can put forth my theory that many private organizations don't share the numbers on projections or post actuals because they don't want everyone to know those numbers ... in other words how much money the owners make.   Some share only lump sums or maybe only larger corporations emphasise profitability to leverage forecast requirements under a budget, target or plan.

What this all comes down to is accountability.  If you are a sales professional, you should have a handle on where your revenue will come from.  Sales reps should up the ante through increased activity if a customer or prospect doesn't come through.  Where the true value comes from is when you, after practice, become  more accurate with time, like golf.    Organizations would win by recognizing accurate forecasting.  Both sides benefit when there are real numbers to work from.  The customer wins the most by having the high level of service and product they envisioned. 

Accurate forecasting eliminates mistrust from sales who spin tales to save face or ease pressure of unachievable projections.  Organizations reduce buffering or stretching numbers.  If an organization feels they have to set the budget higher to stretch their sales team, then they may have a completely different issue to consider.  One might be to buy a dart board.

Feedback is learning.  Please comment, share or provide your own opinion on this Blog.

When the going gets tough, the tough go HUNTING!

Can you imagine if we all went to sleep tonight and woke up tomorrow morning in the caveman era? If we don’t starve first, we’d be bruised from fighting each other to get the only small morsel of food left! Ugg.

In today’s world, the terrain is wider from globalization, yo-yo financial uncertainty, or confusing tools.  Guess what? Nothing has changed. Everyone is STILL fighting for that small morsel. Today’s hunters come in all forms, genders and technical know how.

That small morsel of food is smaller and more evasive and it is called “customers”. With many economies soft, organizations limping along, the spotlight on sales and marketing is brighter than ever before. Organizations should be looking for hunters, not farmers, and least of all order takers. Sales professionals have evolved into order takers because they leave the office to existing customers’ offices -- that is not hunting. Organizations can hire additional customer care personnel at a fraction of the cost to take care of existing customers (wasn’t it Sam Walton who said it best: “Take care of your customer or else your competitor will”?)

With eyes shifting between sales and new customers, forward thinking organizations are investing more in technology or tools to maximize results. Those clever, slick sales rep can be so personable, chat about sports stats or baffle everyone with sales-speak. Now, survival instinct kicks in to realize who they really need are hunters to keep that food, keep up the cave … rocks in the pocket are less important.

Organizations are reading books, talking to sales trainers, bringing in guest speakers -- all  from people who were once sales pros but make a better living telling a BIGGER story!   The organizations start believing they might have grasped some of it, start asking their own sales folk what they’re doing. Out comes the baffling speak that sounds somewhat logical. For added drama, sports score stats are now replaced with sad stories about the economy or what support they're not getting or they would do better if they just had this or that. It all makes sense, sorta.

Just ask people about cold calling and you will get a variety of definitions. If it’s your sales reps, they will tell you that cold calling went out before Glengarry Glen Ross went to DVDs.  There are now bloggers and sales sites saying you don't have to cold call anymore for backup.  That is just wrong!

As the economy has become uncertain, ongoing changes guaranteed, you HAVE to keep the " bucket full" to protect against the unfortunate event that existing customers slow down or halt completely.

What organizations need today, as always, are hunters. True hunters are cold calling, making appointments with nonbuyers, qualifying prospects to test opportunity potential, predicting reasonable success ratios, creating unique presentations and proposals that address unique needs, then following up effectively to close. Time spent should be minimum 6 hours a day out of the office in front of prospects. Time for 2/3 of their efforts on new business development with 1/3 on existing customers. Time to reverse the lazier habits, one being calling on the same customers that are already doing business, easier to get in front of and some times can be upsold.

The challenge many organizations face is understanding what they should realistically be able to ask for combined with what should be expected in return. Taking a cue from the top sales organizations’ culture, it would be to set up "best practices" whereby every sales rep is given daily goals broken down by cold calls, in person calls, presentations, proposals and service calls. Based on the cost of what they’re selling does impact the sales cycle and can reduce some of the numbers. However, establishing “best practices” sales metrics on activity is the most assured way for an organization to establish realistic goals and evaluate their return on investment.

The best recommendation I can give to organizations, especially smaller ones who may not be comfortable understanding reasonable expectations from their sales team would be to consider a CRM system.  After working with Goldmine, ACT!, customized systems, the one I favor is Salesforce.com.  The benefits are as follows:

• 24/7 accessibility, from home, office, anywhere
• E-Learning sessions for users, managers, administrators
• Integrates with all members of the team -- sales, customer service, technical and other support
• Everyone connected to the same system -- speaking the same language, internal communications
• Managers can assess dashboards, do forecasting, etc.
• Allows benchmarking top performers activity
• Keeps everyone honest

Top sales pros understand the value of CRM systems, or other means of documenting activity, planning/forecasting.  They do NOT consider it "big brother".   Organizations understand the value gained from the ability to accurately forecast, predict ROI, and proactively implement contingency plans.

Cold calling, like hunting, will stay around even if the cavemen haven’t.

The rules haven't changed in sales basics

People buy from people. That hasn't changed over many generations. Yet, how we interact with customers and prospects certainly have.

Professionally, I just had to take the "Introduction to SEO/SME" online course by Google that I was fortunate to gain access because it was a qualifying step to exceed 75% to move on for an interview with one of their partners.  Ironically, the talent scout told me after I'd passed that in less that a week, he'd had to tell 4 other people ACTIVELY in the field that they wouldn't move forward because they didn't pass the test.

I am sharing this because I actively started a BLOG even before that, signed up to TWITTER around the same time. Next up will be FACEBOOK. I, like so many others, considered these avenues for keeping in touch with family/friends.   I look at it humorously at times to see what is really going on in my teenagers lives.  Ask them in person and everything is cool.  You don't have to wait to ask on Facebook, they're prepared to tell  a world of aquaintances, even strangers, what is on their mind.

What startled me recently was a study released just over a week ago that by 2014, Social Media will replace e-mail. What startled me more was the parents dinner a couple of weeks ago while we were out of town for a soccer tournament with our 16/17 y/o daughters -- we were told then that "e-mail is old fashioned". We all were shocked, with our Blackberries and iPhones, close at hand.  How could that be?  Yet if truth be told, if did want to reach them, they won't pick up the phone but they'll respond to a text.   Pretty soon, I will have to read their blogs to find out what really is going on in their heads, where our parents could just simply ask us, even if we still edited what we told them. 

Yet it hasn't changed in sales or business.  People still  buy from people and face to face is ALWAYS best!! However, as sales professionals keep trying to get in front of key decision makers, it is becoming more challenging when there are more shields for us to penetrate or for them to hide behind.  It's no longer just the Gatekeepr.

Time to roll up your sleeves and get back to the basics of sales. You have to create a compelling business reason or establish value in order to earn the right to see a decision maker personally.  That hasn't changed.  Unfortunately, with all the new media, ongoing changes, if we think we're confused, imagine how much more e-mail/social media/tweets our prospects are weeding through, eating up their time, allowing them even less time to meet with sales professionals.   The circle is more crowded.  Decision makers need us to help them weed through the good, the bad and the ugly, now more than ever before.

A good ole fashion approach letter, on letter head, with handwritten addressee, a real postage stamp (not from a metre) would be such a relief, I'm sure they'd welcome something other than a flyer or e-mail to read!!  You still have to go further and be able to say how you are going to make their life easier, save them time, improve the bottom line, increase revenue ... before they even consider the less precious moments they have to spare.

I just put forth my opinion on sustainability (previous BLOG Hogwash, Brainwash, Greenwash or Lipgloss) that's another issue that is clouding key decision making criteria that is causing debate on how valid it is.

SUSTAINABILITY: Hogwash, Greenwash, Brainwash or Lipgloss?

Do you consider sustainability Hogwash, Greenwash, Brainwash or Lipgloss? 

Depending on where you stand, you might sit under one banner.  A Hogwasher may be someone who may be more of a traditionalist who views it just another thing that people are hyped up about that will soon settle down or be replaced by something like 'social media'. 

A Greenwashers may consider those on the GREEN bandwagon, tree huggers, or creating hype or scaring people with "global warming" warning. 

A Brainwasher could be someone who thinks that they've always considered themselves kind to their environment so they don't need someone preaching to them how they are suppose to do something differently.

What about a Lipglosser?  I would say they are in a position that dictates that they cannot ignore that sustainability is an important issue to many, so they better promote themselves or their organization as a caring one.  Don't take my word for it.  Look for yourself, to see how many free images with palms open holding dirt or a seedling to be sure you don't forget to include on your messaging.

Don’t get me started on acronyms as that is being saved for another blog. The idea of sustaintability is something that I hold dear to my heart and yet I wonder if it has been glossed over, compartmentalized like I just did, like so many things, because it’s so timely or “sexy” in referencing.

Let’s get it out in the open and then take each step. What does sustainability mean as it relates to business and marketing.

If you want to understand how the environmental issues are impacting businesses, it is far easier if you have a scientific brain to process "how to reduce carbon footprint"  or ask an organization if it has to pay "carbon taxes" that starts to create dialogue on things that impact their bottom line.    Those that say environmentalists are "tree huggers" was probably have said  the Beatles were a long haired bunch of hippies that wouldn't last in the 1960s -- yet look at how much influence their music and lyrics hit us everyday - on the radio or in advertisements.

To ignore that environmental-influenced buying decisions better not watch CNN or updates on what is happening in Iraq or how BP's Gulf tragedy.  Of course, they impact global financial markets.  We just don't do much about it until it's time to gripe at how much we have to pay at the pump.

Interestingly, as I have conversations with some key decision makers they strike social media and sustainability as something that is appealing today, that will have its time, but go on to other issues. Their previous generation probably said that about the internet.  Then they want to go back to strategies on increase revenue, reduce costs or streamline process.

To ignore environmentally influenced buying decisions is like ignoring how social media will impact how we communicate. So far, many of us, me included, attributed social media as a means to communicate our going ons with friends and family.

You see, there are ways in which to communicate, that relies on anything than paper. Online information has been around as long as Google and inquisitiveness.   There are many solutions available.

Social media really is a means to help the environment. It CAN reduce our footprint. By communicating online, via e-mail or social media, you are not printing on paper. Ironically, the most vocal on sustainability are paper companies. There is the FSC, another acronym, that says that you are printing on environmentally friendly paper or with environmentally friendly printers. It is certainly a start. Yet to think that the main pushers of FSC certification are paper manufacturers is quite crazy! They promote paper products that have less impact on the environment.

So now qualified printers have to prove that they use less environmentally impacted inks and papers to cooincide with your organizations’ sustainable program, but certifying that they are FSC certified?  I've seen it live where someone thinks FSC is ineffective or how I would categorize as "Lipgloss".

As a seasoned business owner or sales professional, take the time to ask your clients or prospects what their personal views are on sustainability.  Ask deeper questions on what corporate initiatives they have in place for sustainability -- don't be surprised if many say they "recycle their paper more" as their contribution.  If you want to find interesting data to introduce sustainability dialogue, just Google "toxic toners"  and you will find a hornets nest after a study in 2007 after Queensland University of Technology Professor Lydia Morawsky released a  study saying that office laser printer could be damaging to your health.  Professor Lydia Morawska found that melted printer toner turns into tiny liquid particles that can be breathed in ...  the debate continues still.

Creating compelling business discussions can create value to those you are finally getting a chance to meet face to face and do something other than a feature/product dump.  Sustainability is not Hogwash, as organizations examine their own corporate culture or what they deem necessary.   I just ask that we refrain from Lipgloss --  for the sake of a marketing campaign --do it for the sake of what it means – reducing your footprint.  Ask your customers what you, your product, service or organization can do to help.

This customer is so rude!

A question was posted on LINKED IN by Desmond: "What's the most professional way of overcoming a client's professional discourtesy? i.e. Not returning phone calls, emails, or failing to follow through on committments, etc."

My response is that it is YOUR perception and not the clients that they are being discourteous. Are they really a client or are they a prospect? It sounds more to me that they are a prospect with a proposal you've provided and now they’re stalling. Why I say that is because if you have a true client/sales rep relationship, you will have gained permission to be on their active response radar.  You may not have earned the right to say they're being discourteous if you haven't established TRUST  (see earlier BLOG Who can you TRUST?).

I would turn the lack of response back on myself, asking myself why they may not be returning my calls or e-mails or whether I've established myself as an equal business partner.  That is someone with whom they are more inclined to take my calls because they associate me with "value".   It would tell me that am not yet considered someone who is there to help solve their problems or bring them information/services/products that they are looking for.

If they are a prospect, and they aren’t responding in the way you think they should, then I’d be certain that you have not given them a compelling reason for them to talk to you.  If buyers sense the only reason you are calling them is to "sell" them something, most people are programmed to avoid emails/phone calls from sales reps if they are not in the market for what you are selling or regardless if they've asked you to give them the proposal.  Face it -- circumstances can change from the time you were asked to prove the proposal.

Personally/professionally I always try to return calls and communicate that my needs are being taken care of at present, however, welcome updates to product offerings for such a time as I am researching/looking. Many buyers don't think the same way.  Consider the fact that some decision makers are simply busy, having less time to respond to every e-mail or telephone call.  Have you tried a real letter by snail mail, that shows that you've taken extra time on your end just after the meeting but before the proposal reminding them of the reasons why they considered you in the first place,  based on real results/improvements they'll have ($ or %)?

Desmond went on to highlight what perceived delays that gave cause to the perception they were being rude:

1. Agreed to pay on a certain date, and still hasn't;

2. A deposit is involved, but now they're asking for a free sample or preview

3. They agreed to call back with critical information to meet the deadline, and doesn't, but expects you to maintain your stated deadline

4. They fail to meet commitments for appointments, phone calls, follow ups, information repeatedly.

Desmond is right that they maybe stalling, however, I emphasize finding out the real reason. My first reaction, would always be direct and don’t skate around asking direct questions. There is always a logical explanation to what you perceive as a delay. An example could be to ask them if there is someone else in the organization that you should be talking to review the information with? Or come right out and ask "what is preventing them from making the deposit", or "how their schedule has changed from what was agreed on".

There are many disreputable organizations out there.  They cause viable business reasons as to why you may be asked to provide them with a sample or preview -- which can cause a stalemate or chicken/egg syndrome. Ask how the sample or preview is going to help go to the next step?  It may show that they don't have as much decision making authority as they've led you to believe and that there is someone else behind the scenes.  I would do what I could to  provide a "trial" or "sample" because hesitation on my end may communicate lack of confidence in what I'm trying to get them to buy.  If samples/previews are out of the question, then provide testimonials and references at the minimum.

If they're stalling on a deposit - that is telling you they may not have the money, have the ability to send the check or you are not dealing with the decision maker, but a gatekeeper.  You may have to face that you are wasting your time. Give yourself permission to let go.  Recognize that not every prospect is a good one and move on.  Spend  time with those you share a give/take healthy exchange.   Effective qualifying is why top performers get results (see BLOG What is Qualification in Sales?).  Be thankful to free up your time to spend with those that value what you are offering or can meet your criteria such as a deposit.

One of my first jobs in sales, I was asking questions of a veteran operations person ... and every answer came back to me that "clients lie".  (This may be a little over the top yet your support team can sometimes think this more often then they are telling you).  Relax, it is very common that people don't get back at agreed time but expect you to maintain the original deadline.

You may be forcing the issue because it is you or your organization’s target that is the deadline, not the customers. Sales gimics such as “first 100 customers” or “buy now and save” are to try to get a high conversion. I’d like to find a situation where if you have money in hand, all matters qued up, your sale will be turned away (of course, there are real circumstances, but far fewer, that actually are REAL deadlines). Give credit to buyers, consumers or decision makers that they are smart.

If you want to really establish long term relationships, I suggest you portray yourself as patient, empathetic and try understanding the real reason for the the perceived “rudeness”.  If nothing else, the customer REALLY does have a legitimate reason for 1-4.  It is your perception that they are not meeting what you need.  

Bottom line -- the CUSTOMER establishes the criteria/timelines/delays .... never the sales rep or their organization.

TWITTER:  http://twitter.com/OptioneerJM

Who can you TRUST? Trustworthiness is the most important characteristic to have in sales

I participated in a discussion forum generated from the question posed on what really counts when selling print? The same answer applies to most any form of sales: TRUST.

If you ask most customers to choose, they will say either/or Quality and Service, with price being last. Other attributes emerging in today’s technological environment will require adding technical know-how, business savvy, produce results, etc.

There is only ONE thing  that is important in selling and that is TRUST!

I like to back up my comments with examples. Think financial/security printing. The customer has to TRUST that you will deliver on time, accurately.

One of my former sales managers,  cited a survey results asked of decision makers. The most important characteristic in their relationship with sales folk is the ability to TRUST.

A contributor to the discussion made a great point that you cannot establish TRUST without engaging EMPATHY. In my opinion, empathy transpires from asking the right questions. I agree with this, but it is still a bit more. You have to be able to DISCUSS what their issues are – no different than what you do in your personal relationship building. You ask questions to get familiar with the individual, you establish empathy for their problems, you offer suggestions that are appropriate, you discuss what you know/they know and from that you decide that there are many things you have in common that you decide you would like to keep in touch. That grows into association and then if you’re lucky – mutual TRUST, respect and friendship.

When your discussions with clients start out by "I was wondering if you could ..." or "How soon would you be able to ...." or "I need ...." -- definite signs that you've established TRUST. Those words come along with anxiety for production typically .... so be sure to have a strong team on side to help you deliver on your promises.

On the flip side, the biggest deal-breaker with decision makers by sales professionals is “over promising and under delivering”.

One way to ensure you can build TRUST is by being able to work with your T-E-A-M – your TEAM are those that help you deliver on what you promise. You'll find the most successful reps gain the respect of their team, if not always favored by their demands. There can sometimes be a fine line between coming across as being unreasonably demanding to your support TEAM and being able to communicate effectively how much you need their help to deliver on promises made by you based on what your customer’s needs are. One of the best ways to ensure this, is to engage them, if possible, BEFORE you make any commitments.

When you set up your support team for success, you will find they will leap over tall buildings to get your customer what they need. It’s their pride in delivering and by including them and sharing the credit with them, will almost guarantee you will deliver on promises. Then, you will be able to trust.

Many organizations believe that their sales reps need to be technical. Yes, you do …. to a point. Another great manager, who WAS fun, Jim Thom, used to advise me not to get too caught up with the technical side with my clients (as long as I understood): "It doesn't matter if there are chickens in the back doing the work, as long as its done on time, great quality, at the price agreed".

Others define successful selling interpreted by being able to sell at C-Level (in layman’s terms the executive or highest level decision maker). When you being too technical at the C-Suite, chances are they will not be technical. What will happen then is they will bring in the troops of IT Managers who won’t miss a chance to show off their talent (which they have in their space a great deal of, one of which is avoiding sales people at all costs).

Another way to help establish TRUST with C-Level is to portray that you, too, are high level. Most people like to deal with those in “the club” or those they consider equals. If you don’t ask the right questions or you take the chance to be in front of them to do your feature or benefits dump, see how quickly they will bring in a manager’s who will grind you on price.

If you want to qualify or test the strength of your trust, try asking a question like “what keeps you awake at night?” Most people are honest. If you are trying to form a winning business relationship, you will try to help them solve some of those issues even if it means calling in the troups to help you deliver. Don't forget to share the glory!