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“Untrainable” is a Decision

Recently, I participated in a panel discussion at a convention where I heard the most amazing statement I’ve ever heard at one of these events.  A fellow panelist looked at the audience and said, “What you have to face is that 70% of your sales reps are incapable of growing your companies.  They’re untrainable, they’re gray, and they’re incapable of learning new technologies that will drive this business into the future.  23% are acceptable and 7% are elite.”

Wow.  My mind locked – as everyone else’s did – on that “untrainable” comment.  Asked to clarify, he explained that the industry in question had an aging sales force that was incapable of learning new technologies.  By this point, you might be expecting this comment to come from someone in his 20s or 30s, correct?  You’d be wrong.  I don’t know exactly how old the man was – I didn’t ask and he didn’t volunteer – but he couldn’t have been a day under 60, and therein lies a number of interesting points.

As much as I disliked what he said (and frankly, him), he wasn’t totally wrong.  I encounter people in the sales and sales management world every day who have picked a date where their learning and evolution simply stopped, and they won’t learn any more.  Put new technology in front of them, and they simply shake their heads in refusal.  They have an unshakable belief in their old people skills, and they think that’s enough.

I see the same thing in training sales techniques; many more seasoned salespeople simply refuse, during training, to even entertain the thought of learning new ideas, skills, or approaches.

I see it in managers who won’t update their hiring techniques and methods, even though hiring has experienced several sea changes in environments from regulatory to the technical tools we can bring to the table.

And yet…..

I see sales reps in their 60s who use LinkedIn more effectively than reps 40 years their junior.  They’re a whiz at CRM, know how to use it to enhance every sales call, and only gripe if for some reason they can’t pull up the customer’s most recent activity in the car, on their smartphone, before walking in.

I see sales reps in their 40s, 50s, and greater who can’t wait to learn new sales approaches and techniques so they can integrate them with the hard-earned skills of a long career.

I see senior managers who are constantly researching new ways of hiring, leading, and coaching their employees to better results.

When I was in my 20s, I used to hear about ‘age discrimination’ in the workplace and thought it was something imaginary.  After all, who wouldn’t want someone with a 20-year track record over someone newer to the workforce?  Now I know better.  I talk to salespeople, and managers, in their 40s and upward who have been pushed out by youth movements (which sometimes are cost reductions), and have difficulty being hired.

Here’s the problem that I have:  I don’t think, for a moment, that 70% of the sales reps in that industry, or any other industry, are untrainable (and I said so in the discussion).  If I did, I’d probably get out of the sales training business.

What I do believe is that too many people render themselves untrainable by a simple refusal to update.  If your evolution stopped in 2000, 2005, or 2010, you’re behind the curve, and you have a lot of ground to make up if you want to stay vital.  That’s on YOU.

I do believe that one reason that many managers find more senior reps to be ‘untrainable’ is that they simply haven’t tried, or haven’t tried very hard.  I didn’t get a chance to ask my follow-up question at the discussion:  “How many of you have given a strong effort to train senior reps in new technology or skill – and failed?”  I have a feeling that the number of those who have tried would be small, and the failures would be smaller still.

If you’re managing a ‘graying’ sales force, I think you owe it to yourself, and to them, to give them every opportunity to succeed in today’s technology and Internet driven sales environment before simply casting them aside (as the other consultant was advocating).

And finally, if you’re hiring salespeople, don’t overlook this demographic.  I’ve helped my clients make hires in this space in the last five years, and some are setting records now.

How to Be Disruptive

Business magazines, books, and articles use the word ‘disruptive’ quite a bit to describe an ultimate goal – the domination of an industry or the building of a virtually competition-proof customer base.  It’s an admirable goal and we all want that, don’t we?

The problem is that being ‘disruptive’ in this sense requires the Big Idea.  You have to invent the next iPhone, the next Uber, the next Facebook, etc. It’s a great goal and a great ambition – but I often wonder how much time and energy gets squandered attempting to be “Disruptive” (capital-D), when you could have a lot of success being “disruptive” (lower case-d) by changing the way you sell what you already have.   Yes, you can be disruptive in selling, and let’s talk about how.

In selling, disruption happens when customer paradigms are changed.  What this means is that, for disruption to happen, customers must not only evaluate YOU, but your COMPETITORS, through a different framework than before.

To change paradigms, change the conversation.  In every industry, there is an ‘industry standard sales call.’  It goes something like this, from the salesperson’s perspective:

“So, how are you using my competitor’s products?”

“What do you like about them?”

“What do you dislike about them?”

(By the way, there’s nothing wrong with these three questions – I teach them too – but most salespeople are done at this point; if you learn my program, you’re just getting started.)

“In a perfect world, what would you like to change?”

“The price question.”  I refer to it this way because it’s phrased as everything from “What are you paying now?” to “What’s your budget?”

By now, the customer’s mind is set that there’s really no difference between the person in front of him and the person that sold him whatever he’s buying; hence, there’s only one variable.

If you have the same conversation your competitor has, the only way to differentiate yourself is price.  When salespeople say to me, “But Troy, in my industry, everything boils down to price!” they’re probably right – but they’re also not changing the conversation.  They’re asking the same old questions that their competitors ask, getting the same old answers, and leaving themselves only one place to differentiate.  Price.

So, how do you disrupt?

Ask questions that your competitors don’t ask.  Be inquisitive to the point of OCD.  Know everything you can know about your customer – or THEIR customers.  Use lots of questions that begin with “why.”  Make your prospect dig deep in his or her head for answers that your competitors don’t hear.

Research things that your competitors don’t research – and your customers might not, either.  If you’re going into a business that deals with the public, you should know their Yelp ratings (as well as other review sites) to the decimal point.  You should be able to quote from some notable reviews, or have them printed out and with you.  Are you selling recruiting services?  Be prepared to discuss your customer’s comments on GlassDoor, and how that affects their hiring picture.  Be Brave.  Some salespeople are scared spineless to confront a customer with a low Yelp rating or a bad review.  Don’t be that salesperson.  It’s reality and we sell in the real world.  Maybe there’s a ‘hook’ there that can get you in the door.

Tell Stories.  Stories, as I’ve said before, are one of the most powerful means of communicating customer success – and precious few salespeople know how to do it.  Learn, and get good at it, then use that skill constantly.

Tell them “No.”  Few things are more disruptive than a salesperson who tells a customer “no,” particularly if the customer is asking about price.  “Can I get a lower price?” is usually followed by weasel words like, “Well, I’ll have to check with my boss….” Or “If I could, would you?” This nonsense plugs you into the exact same size hole as your competitors.  Tell them “no,” and mean it.  You have different and better value than your customers; be proud of your price.

Try things.  This sales mindset virtually mandates that you try new techniques and discard the ones that don’t work.  Don’t worry – unless you do something truly offensive, no failure is permanent.  Try new presentations, new benefits, new questions, etc.  Your customers will let you know what works.

I’ve said before that FEAR is the obstacle of all good things in selling.  I mean it.  The reason this approach isn’t tried more often is that it’s safe to go with what’s ‘proven.’  Taking this approach means stepping out of your comfort zone as well as your customer’s, trying new techniques and skills, and making note of what works and what doesn’t.  In essence, you’re letting your customer be your sales coach – and with this comes risk of failure.

The reward, however, is being much, much more than the average salesperson.  The reward is being one of those people that dominates their industry, that is attractive to customers, and that builds bullet-proof customer relationships.  Do you want to be that person?

Seven Core Competencies of Today’s Sales Manager

Seven Core Competencies of Today’s Sales Manager

Many years ago when I was a salesman, one of my greatest ambitions was to become a Sales Manager.  I figured that I’d love the job.  You’ve heard the expression, “Be careful what you wish for?”  This was not one of those times.  I loved being a Sales Manager.  I loved leading a group of salespeople, developing them, watching them grow, and watching the results come up.  In fact, I still love it – it’s just that I get to love it now with many companies at once, rather than one at a time.

It’s been over twelve years since I’ve led a sales force, and the most amazing aspect of those twelve years is how much the job of Sales Manager has changed.  Some of those changes are due to technology, some are due to changes in people, some are just due to changing times.  What is disturbing to me is how many Sales Managers aren’t changing with the needs of the job.  Today’s Sales Manager has different requirements than even twelve years ago.  Let’s talk about the core competencies that will make a Sales Manager successful in today’s world. These are presented in no particular order.

  1. Training and Development. This is still the prime skill set of Sales Management.  The ability to contnue to train and develop salespeople – both initially and on an ongoing basis – is the core of Sales Management.  If you’re a Sales Manager, your job on any given day is to ask yourself, “How can I help my salespeople – or even one salesperson – to be better and more skilled at the end of this day than they are at the start?”  And then, by the end of the day, have an answer to the question.
  2. Understanding of Process. Yesterday’s Sales Manager did things on gut feel; today’s must understand the value and execution of processes and road maps.  Whether we’re talking about hiring processes, sales processes, or coaching processes, the top sales managers understand that good processes (continually refined) are key to increasing productivity in every phase of their sales force’s development.
  3. Talent Acquisition. Note that I said “Talent Acquisition” instead of “Hiring.”  There’s a difference.  Today’s sales manager is always working to upgrade his or her sales force through finding and acquiring new talent and skill sets.  This means being open to the approaches of other salespeople at networking events, trade shows, and even when being cold called.  Although sales managers will excecute hiring processes when needed, they’ll always have their ears and eyes open.
  4. Understands the Science of Hiring. This goes along with talent acquisition, as I mentioned above.  This is a relatively new development.  Fifteen years ago, our primary hiring was on our gut and instincts – and we were wrong more than half the time.  In today’s world, we have scientifically valid psychometric assessments that can bring our hiring accuracy to 80% and above – IF the manager understands how to use them.  Too many managers don’t; many are unwilling to even try.  If that’s you, you’re behind the times.
  5. Is CRM Savvy. By “CRM Savvy,” I don’t mean that the Sales Manager can program CRM, but that the Sales Manager knows how to0 use CRM as a tool for getting the most out of his or her sales force.  That Sales Manager also knows how to manage the sales input into CRM and makes sure that the CRM system is working well.
  6. Is Social Media Savvy. Like it or not, social media is part and parcel of selling and managing salespeople.  It’s a conduit for learning about the competition, about the industry, and disseminating your message to your customers.  One of the best sales managers I know spends the first 20 minutes of each day on social media, on the topics that I mentioned above.  Some days he learns things that turn into sales, and some he doesn’t – but the ones where he does pay for the ones that don’t.
  7. Is Constantly Learning. Here is the scary part for some.  What I’m talking about here are the core competencies of a sales manager TODAY, and as far into the future as I can see.  And you know what?  There could be some Earth-shattering development tomorrow that could change everything….and as a sales manager, you absolutely must be able to change with the times.  I meet many sales managers where my only question is WHEN their learning stopped.  1980?  1990?  2000?  2010?  Whenever it is, if your learning has stopped, you’d better start again.    Your company and your team depend on it.

You might think that I wrote this column for the Sales Managers out there, or for the business owners who employ them.  And, partially, I did.  But I also wrote this for those of you who maybe were where I was in 1997 – working toward that first Sales Management job.  I got it in 1998, but nobody told me what the core competencies were.  I had to figure them out.  Hopefully this shortens your path.

 

 

How to Find the Decision Maker

One of the questions I always get, in nearly any sales seminar or training program (whether the subject matter is related or not), is, “Troy, how do I find the decision maker?”  This is one of those questions that has bedeviled sales reps as long as there have been sales reps, and it shouldn’t.  Actually finding the decision maker in any organization is one of the easiest things you’ll ever do (as I will explain below).

The problem isn’t finding the decision maker.  It’s having the courage to approach the decision maker.  What these salespeople are asking really isn’t “How do I find the decision maker,” it’s “How do I find someone who can help me that I’m not afraid to go after?”  That’s the bigger issue, isn’t it?  The obstacle of all good things in life and in business is fear.  With that said, let’s find that old decision maker, shall we?

First, let’s define our terms.  A Decision Maker is someone who can green light a purchase, or make a change in purchasing decisions, without having to ask anyone else.  I’m always talking to salespeople who claim to have “found the decision maker – he just has to ask his boss.”  Then the boss is the decisino maker, and you’ve been dealing with an influencer.

Now, with that said, let’s understand how purchasing power is allocated in a company.  The power to unilaterally green light a purchase, without having to ask someone else, begins in the corner office and emanates out only as far as the person in the corner office wants it to.

This is a tough concept for many salespeople to get and to implement because of that old ‘fear’ factor again.  Are you dealing with the President or CEO?  Then you’re dealing with the Decision Maker.  Beyond that, you can’t be 100% sure.

Typically, people whose title starts with a “C” are decision makers.  That means, “CEO,” (Chief Executive Officer), “CIO” (Chief Information Officer), “CFO” (Chief Financial Officer), etc.  The exception is when companies give these titles out like candy.  I’ve seen a receptionist titled “Chief First Impression Officer.”  I’m guessing that receptionist, no matter how competent, probably doesn’t have much purchasing authority.  There’s another exception to this, which I’ll deal with in a moment.

People whose title start with a “V” probably have some decision making power.  That is to say, “Vice President of….”  One exception to this would be the banking industry, where half the people in the building are Vice Presidents.  VPs seldom have full purchasing power, even over their own departments and budgets; ‘major’ purchases will still need to be kicked upstairs.

People whose title ends in “Manager” seldom have much purchasing authority, except in very small businesses, or when their title is “General Manager” or “Plant Manager.” Middle managers hardly ever can purchase anything significant.

The final note is this:  Only Presidents, CEOS, and sometimes General or Plant Managers have purchasing authority over more than one department.  This is important if you’re trying to sell cross-departmental solutions.

If you read my articles on “Fred,” (and if you didn’t, go read them now), you know that Fred – your IDEAL customer – always has purchasing authority.  You also know that successful salespeople spend 2/3 of their time or more on Fred.  Here’s a little self test:

How much of your time is spent talking to departmental managers?

How much is spent on departmental VP’s?

How much on departmental C’s?

How much in the corner office?

If you really want to succeed, it should look like this:

Department managers:  10% or less

VP’s and departmental C’s (the roles tend to be similar): 25% or less

The Corner Office:  66% or more

If you’re not getting the results, you need to change your call patterns.  Call on the people who can buy.

NEXT STEPS:

Attend my “21st Century Selling” Boot Camp in Overland Park to learn how to SELL the Decision Maker!

or, if you can’t make it….

Buy My Audio Sales Training Package!

 

Three Steps To Improving Your Customer Service

Sometimes, it’s the simplest things that can change a customer’s experience for the better or for the worse.  I had an example of this a couple of days ago.  A couple of months ago, I bought a used Harley-Davidson Road King.  I love this bike.  I purchased it from an independent (non-Harley) dealer, and bought an extended warranty (again, non-Harley).  On a road trip over the weekend, I had a minor problem with the shifter.  Minor in that I was able to make a few roadside repairs and keep the road trip going – but the ultimate fix would be a warranty job.

Since I hadn’t used this warranty yet, I didn’t know where it was accepted and where it wasn’t.  You’re thinking that I probably should have ascertained this before buying, and you’re right – but I get as excited about buying as anyone else.  So, I decided that the easiest thing would be to go to the company’s website and use their dealer locator.

They didn’t have one.  No way to plug in my ZIP code on their website and find the closest place to get a warranty job done.  OK, no problem.  I’ll call them.  Here’s where it got frustrating.  I first spent nearly five minutes navigating menus (press 2 for, etc), and finally ending up with a receptionist who would direct me to member services…..which put me right back to the receptionist.

Now I’m getting irritated.

After another call, I ended up with a customer service person.  Good deal, I thought.  I’d just explain the situation to her, she could look on her computer, and tell me where to take my bike.

Wrong.

She got flustered, and said that there was really no way for her to find the information but she would talk to people in the company and call me back.

An hour and a half went by.  Now I’m thinking what you’re thinking – I bought a worthless warranty.  There are no Harley dealers in Kansas City that will take my warranty, and now I’m going to have to get a refund on the warranty, perhaps with my lawyer as help.

Finally she called me back, but without any information.  She was having trouble finding out what I wanted to know.  So, I made a suggestion.  How about I tell her the names of the dealerships in Kansas City, and she could tell me if they took the warranty?  She wrote down the names and promised a call back.

Another hour went by.  Now I’m mad.  You would be too.

When the call back came, it was from the Operations Manager, who told me that, as it happened, the closest dealer to my house did in fact accept their warranty.  I thanked her for the information, but asked her why in the world it was such a hassle to find out?  She had no good answer for me.

As I hung up, I reflected on all the times that companies make customer service harder, not easier, by making obvious information difficult to get at.  Take a good hard look in the mirror.  Do you do that?

Here are THREE STEPS to improving your customer service, and creating an experience that will leave your customers with a smile.

  1. Make a list of the most likely information that customers will need when they call your company. (FAQ’s)

  2. Make a list of the most likely people to get that customer call.

  3. Equip the people in #2 with the answers to #1.

  4. You’re done.

As a customer, the most frustrating aspect to dealing with any company is an inability to get answers.  So, why make it difficult?  This is an easy project, and yet I’ll bet that 2/3 of those reading this (at least) have never done it.  And, when your customers struggle to get information, they begin asking themselves “What else?”  As in, “If this is this much of a problem, what else will be problematic?”

Oh, and the story has a happy ending.  I took the bike to the dealer, it’s fixed, the warranty worked, and I’m happy.  But I’m not delighted about the experience and the time wasted, and if I were asked advice on buying the warranty, I’d give less than an unqualified recommendation.

Gawrsh, We’ve Got Great Service!

Every day, salespeople commit suicide – or at least, professional suicide. The scenario goes something like this:

Skeptical Customer: “So, why should I buy from you? We’ve been buying from (company X) for years.

Earnest Salesperson (smelling the sale): “But, we have great service!” Or, if Earnest Salesperson decides to put a little extra oomph behind it, “We have the best service in the business!” Earnest Salesperson confidently smiles at Skeptical Customer, knowing that at any moment Skeptical Customer is going to reach for his checkbook. Instead, Skeptical Customer yawns and says, “Yeah, but everybody says that. Why should I buy from you?” And another sale dies before its time.

I see this, too, when I speak.  I often ask attendees why customers should buy from them, and of course the first answer is, “We’ve got great service!”  I yawn.  Then I ask for a show of hands of everyone in the audience who does NOT believe that they provide great service.  No hands go up.

It doesn’t have to be that way, but it is that way more often than salespeople would like to admit. Why do we do this to ourselves? Answer: because, Einstein, you – or your boss – don’t have a better idea. Want the truth? Everybody says they have the best service. When everybody says it, it’s meaningless. And yet there are businesses – lots of ’em – where service is the main differentiator between competitors. There are also buyers – again, lots of ’em – who make service the main criteria in their buying decision. Sales result when salespeople communicate “great service” to a buyer who wants to buy “great service.” Of course, to make that sale, your “great service” proposition has to stand out from the white noise of your competitors promising “great service.” Making your “great service” stand out from your competitors – and making it mean something – is a three step process.

To effectively sell a promise of “great service,” you must do three things: first, you must Define exactly what that great service means to the customer; you must Offer Proof of your specific service; and you must Have Consequences for failure to provide that service. Sound tough? It is – but it isn’t. Some of America’s best companies have been built on this simple philosophy.

First of all, Define your great service. Preferably, you’ll do that by offering something that your competitors don’t. Start out this way: get your key people together. Include salespeople, customer service people, department managers, and anyone else whose primary responsibility is dealing with the customer. Go around the room and ask each person to come up with one specific thing your company does to add value to its product or service offering. Then, next to each thing, write the benefit to the customers. Make this a no B.S. meeting – only list those things you really do consistently, not the things you only do on your best day when all the stars are aligned properly, and the boss is in a good mood.

When you have all the ideas in the room, you have a nice feature-and-benefit list for the sales department. Now, on the board, go over each item and ask which competitors do the same thing. When two or more competitors do it, erase it. It’s good for the salespeople to know, but it’s not your “great service” offering. You should be able to come up with one or more things that make you unique, are specific, and have tangible benefit to the customer. (If not, get to work and figure out something you can do.) You have now defined your service offering.

Next, you must Offer Proof. A good way to do this is with a specific written service policy. A better way to do it is with written references from happy customers who have received quality service from you. Either way, salespeople should carry a “brag book” and be prepared to prove their “great service” promise.

Finally, you need to Have Consequences for not living up to your service promise. The most common form of this is a money-back guarantee, but it doesn’t have to be the only consequence. Other forms of consequences for failure to provide service could include merchandise or merchandise certificates, some sort of gift to the customer (such as a catered lunch for their employees), or other “make good” gesture. The key here is that the consequences need to be part of your written service policy, and they should be presented to the customer as part of the service presentation, rather than decided upon after the fact.

In real life, there are several excellent examples of how this type of service promise can help to build a company. Perhaps the best one is Domino’s Pizza. Now, I can’t think of anyone – including Domino’s founder Tom Monaghan – who would say that Domino’s is the best pizza you can buy. Monaghan’s concept was that, if you called Domino’s for a pizza, you’d have it in 30 minutes or less (thus Defining his “great service” proposition). Domino’s made that service proposition part of its advertising (Offering Proof with their written policy), and gave you the pizza free if it took longer than 30 minutes (the Consequence for failure). This simple promise grew Domino’s from a single college-town pizza joint to one of the largest fast food companies in America. Domino’s was eventually forced to drop this policy due to a couple of lawsuits resulting from overzealous delivery driving, but it’s still rare to get a Domino’s pizza in less than 30 minutes.

Domino’s service promise has been copied in one form or another by restaurants from coast to coast. One common version is where a restaurant usually known for dinner will institute a “timed lunch” offering, where lunch is guaranteed to be served within a certain time from ordering, or it’s free. Another version is the “quick oil change” outlet that guarantees a full oil change and fluid check within 20 minutes, or it’s free. Both service promises are targeted at busy people who don’t have time to linger over small tasks.

Let’s put the three-step process to work for a hypothetical business. Whenever I go new car shopping, I’ll always ask the salesperson, “Why should I buy here when there are several other dealers selling the same car?” The salesperson will enthusiastically reply that they have – you guessed it – “great service.” No sale. But what if the car dealer put some meat into the promise? A program could be started where the salesperson could honestly reply, “Because buying a car here gets you extra privileges in our service department. When a car that’s been purchased here is brought in for routine maintenance, we guarantee that the maintenance will be finished within X time, or it’s free, no matter what. With or without an appointment, we put you to the head of the line if you buy your car here. Here’s a copy of our service policy.” Now, there’s a service promise that means something.

Service promises don’t have to be elaborate. If your company gets a lot of phone calls for service or support, how about a promise that the phone will be answered by a real human being who is empowered to help? The cable TV company’s promise that “our person will be there between 8 A.M. and 6 P.M”. doesn’t mean much to me – but the air conditioning repairman’s promise that he’ll be there at 4 P.M “and if you don’t mind, allow me a half hour either way” does. Make it matter to your customers, and it’ll matter to you.

Of course, every business doesn’t necessarily have to have a service promise. Businesses that differentiate from their competition on price (like Wal-Mart), by product (like Apple Computers), or by emotional appeal (like a sports or entertainment business) don’t usually provide service promises – but if yours does, make sure to define it. Your salespeople and your customers will thank you.

What Your Customers Really Want From You

It always amazes me when I talk to salespeople about their own stories of dealing with other salespeople as customers.  The stories are fun because salespeople, when they are on the buying side, can spot and recognize heavy handed sales tactics and techniques before they are used.  Not surprisingly, those techniques annoy the salesperson just as much as any other customer.

But here’s the part that really throws me:  After telling me a story of how a sales technique annoyed him when he was the victim, the same salesperson will tell me a story of using that technique on a customer!  When I press the salesperson a bit, asking why he uses the technique if he knows it annoys the customer, I usually get something like, “Oh, that’s just part of selling,” or something like that.  That’s like saying that the Inquisition was just a part of visiting Spain.  It doesn’t have to be that way.

I had my own recent experience in dealing with an obnoxious salesperson.  I decided, about a month ago, to buy a Harley-Davidson.  This decision wasn’t arrived at lightly.  I rode the big touring bikes from every major manufacturer (and there are a lot of them) before deciding on the Harley.  The truth was that the Harley just fit me ergonomically better than any other bike, and that I did have a desire to buy American, which tilted the scales a bit in favor of three brands – Harley, Victory, and Indian.  Since I was buying a used bike, under a certain budget, that locked in the H-D.

I visited a dealership here in Kansas City which will remain nameless to protect the guilty.  When I arrived, I was met by a salesman who was, in fact, a nice guy.  I told him that I was interested in used Road Kings between the years of 2009 and 2011 for technical reasons (I’ll not bore you here with those details, but the salesman did ask and agree with my answers).  They had one.  In dark red metallic, and I love red.  I asked him the price on the bike, and he explained that he didn’t have the price on him, but we could go inside and ask.  So far, so good – back when I was selling cars, I didn’t always have the used car price list on me, either.  We went inside, and that’s when the trouble started.

When we went inside, I was introduced to the sales manager – who shot my salesman a look that said, “Watch me put this guy away.”  Uh-oh.  I asked him the price on the bike, and he asked me if I was going to trade anything (Old sales tactic alert – always answer a question with a question). I said that yes, I would probably trade my Honda Valkyrie.  He said, “That’s quite a move up in bikes (Old sales tactic alert – subtly insult the customer’s trade in to devalue it in their mind).

I told him that I wasn’t sure if I was trading or not but I wanted to know the price on the red Road King.  He then asked me if I planned to pay cash or to finance.  I told him that I didn’t know, but I had the capability to do either.  He then said, “Well, if you’re going to trade, you don’t care about the price, you just care about the difference figure, and if you’re going to finance, you just care about the monthly payment.  What monthly payment are you looking for?”  (Old sales tactic alert – redirect the customer’s attention from pricing.)

By now I was getting frustrated, because I’d asked for the price – twice – and not gotten it.  I said, “Look, let me help you a bit.  I am today’s informed consumer.  That means that I’m smart enough to understand that a payment is a function of the price of your bike, the allowance on my bike, the interest rate, and the term, and I’ll want to know about and address each of those components separately.  The good news for you is that I have a want for that specific bike, and that I have complete ability to pay.  The only thing separating us from a deal is your candor in the conversation.  We start with the price on the bike.”

He said, “Well, but what if I could give you way more for your trade-in than you ever thought you could get?  Then the price wouldn’t be so important, would it?”  (Old sales tactic alert – couch an improbable ‘dream scenario’ for the customer with the old “If I could, would you” phrasing.)

Now I’m mad but I’m giving him one more shot.  I said, “Look, let’s hit reset on this conversation.  We’re going to treat each other like intelligent, rational adults.  I’m going to ask you questions and you’re going to answer them in a straightforward manner, and vice versa.  The question on the floor is, ‘how much is that Road King,’ and if you tell me you don’t know, then you are either stupid, incredibly bad at your job, or dishonest.  Which would you prefer?”

He responded, “Well, I don’t understand why you’re fixated on the price when the payment is what will matter to you.”  At that point, I handed the salesman his card and told him that he should save it for someone who will use it, because I will never set foot in his dealership again.  And I won’t.  Of course, the last old sales tactic was that the salesman tried to stop me as I was leaving the parking lot.

I honestly don’t understand how salespeople – and sales managers – become so locked into old, crappy, and abusive customer tactics that they can’t mentallly adjust when those tactics are so obviously losing a sale.  I could have had a deal done on that bike in 30 minutes.  Yes, it was frustrating for me.

My story has a happy ending.  I went into an independent dealership called Superstar Cycle Center, found a used, ex-sheriff 2010 Road King in green and white, and did a deal that left both myself and the dealer happy.  That’s the way it should be.  At Superstar, the salesman was straightforward at every step of the process, answered my questions, and even helped me research a couple of specifics on cop bikes that I wanted to know.  Result – I’m a happy rider.

So, what do customers really want from you?  A pleasant buying experience.  Buying things should be fun, and if you take all the fun out of it through hackneyed and far outdated sales tactics, you’re living in a much less successful version of the past.

People Buy From Winners!

“Hello, I’m XXXXXX with XXXXXX company.  I do XXXXXXX.  We’re not experts in this field, and I don’t know if anyone is.”  So started an Infomercial that I heard at a recent speed networking event.  (The X’s represent removed data to protect the guilty.)  I don’t know if my jaw really dropped, or if it just felt like it did.  I couldn’t stop wondering how he expected anyone to buy from him, or even be excited about giving him referrals, if his opening comment was on his LACK of expertise in his chosen field.  As it turned out, I didn’t see anyone who was particularly excited.  He spent most of his morning wandering the room by himself.

An old friend of mine used to refer to this as “shyness tripping,” sort of an opposite of ego tripping.  In her mind, “shyness tripping” happened because someone was so afraid of criticism, they decided to readily self-deprecate before anyone else could criticize them.  In one’s personal life, this isn’t the greatest strategy; in business, it’s fatal.  Nobody wants to do business with someone who doesn’t know what the hell they’re doing, and they especially won’t if you admit to it.  I’m sure that the person who delivered this Infomercial mistakenly thought that humility would make him attractive to other business partners.  If you’d like to see what traits really do make you attractive to potential customers and referral partners, read on.

Confidence:  Shyness tripping repels people because they don’t want to be dragged down with you.  Confidence attracts people who believe that your upward mobility can rub off on them, or that you can be a profitable business partner.  About what should you be confident?  Your expertise, for one.  Know your business and your work, and don’t be afraid to communicate it.  For another, your ability to produce positive results with those that surround you.  In any group environment, you can tell those that have “it” and those that don’t.  That “it” is usually confidence.

Success:  At one time, there was an ethic that held that you should downplay or disguise your own success in business, the thought being that “people don’t want to think that you make more money than they do.”  I’m here to tell you that this is the wrong way to go about it.  Portray yourself as the least successful person at a networking event or in a sales call, and it will be a self fulfilling prophecy.  If you can’t produce success and profit for yourself, you can’t do it for anyone else, either.

Professionalism:  Your own personal image matters.  I’m not referring to “attractive” or “unattractive” here; I’m referring to personal dress and grooming habits.  Dress professionally, groom carefully, look up-to-date (no 1970s pompadours or comb-overs, thanks).  And – this is big – DO NOT marinate in cologne.  That scent that you think attracts people has just as much chance of repelling them.

Preparedness:  At networking events, you’ll always see people who didn’t bring enough business cards (even though they have been instructed to bring a certain amount) or who didn’t bother to practice their Infomercial.  Don’t be that guy.  Being on your game at these events means that you are able to make the best use of your speaking time allotted, and that your presentation is clear and impactful.  Look unprepared, and you will not be attractive to business partners.  In a sales call, it’s incredibly common to see people who leave key pieces of information ‘out in the car,’ etc.  Bring what you need to sell.

The difference between “someone others would like to do business with” and “someone others avoid like the plague” isn’t impossible to achieve.  It isn’t even tough. It’s just a matter of being a pro, and showing it.  People feel sorry for underdogs – but they buy from winners because they assume that there’s a very good reason that winners keep winning.  Be one of them.

Are You Doing What is Urgent, Important, or Valuable?

What if I told you that most sales forces underperform?  And when I say “underperform,” I mean anything from “doesn’t quite achieve its potential” to “complete and utter waste of time and money.”  Maybe your sales force falls on that continuum.  If it does, I can tell you why – it’s the same reason that I’ve seen in every underperforming sales force.  Most salespeople spend most of their time making useless, agenda-free and objective-free calls on people who cannot buy or whose purchase would not be impactful even if they could.  That’s a big issue, isn’t it?

I’m often asked (by managers who have the above problem) about doing a program on “time management” for salespeople.  To me, time management is a pretty elementary subject.  Years ago, I took a time management course and in it, we spent significant time discussing the difference between what’s important and what’s urgent – the idea being that we spend too much time doing what is ‘urgent’ versus what is ‘valuable.’  That’s probably true.  But there’s a deeper level that goes far beyond simple “time management” and into “professional discipline.

That issue is “value.”  We, of course, think of “Value” when we’re selling or proposing, but oddly enough, not when we’re building our schedule.  If most people spend more time doing what is urgent than what is important, they spend even less time doing what is VALUABLE.  Can you think of a more ass-backwards way to try to achieve your objectives?

Let’s define our terms.  The three words – Urgent, Important, and Valuable – can mean different things to different people.

“Urgent” means “requiring immediate action or attention.”  “Immediate” might be a bit of an exaggeration, but certainly “urgent” implies a short timeline.

“Important” means “likely to have a profound impact on success, survival, or well-being.”  Something that is “Important” is something that absolutely HAS to be done but could have a flexible timeline.

“Valuable” means “worth a great deal of money.”  In other words – this is what you’re really paid to do.

To put it in context, let’s think of a typical outside B2B salesperson.  This salesperson might have to balance:

An ‘urgent’ duty like making a delivery to a customer who is out of product.

An ‘important’ duty like completing a report to a supervisor.

A ‘valuable’ duty such as making sales calls on a Fred.  (Don’t know what a Fred is?  Read this article.)

Sounds simple and easy to balance, right?  Here’s what happens, though.  Salespeople too often elevate non-urgent tasks to “urgent” status, de-prioritize “important” tasks, and the “valuable” never happens.  How should you deal with this?

  • Commit to spending at least 50% of your time on things that are Valuable – i.e. face time with Fred or tasks that facilitate face time and selling to Fred.
  • Do what is Important a bit ahead of schedule.
  • Delegate Urgent tasks when you can – you’ll be surprised at how often those things can happen without your personal involvement.

Sales Managers face a similar dilemma.  An “urgent” task might be smoothing over the feelings of an upset customer, while an “important” task might be forecasting sales for the C-suite, and “Valuable” tasks would be the time spent coaching and developing salespeople.  Whatever your inputs, the resolution is the same.

  • Delegate “Urgent” tasks when you can.
  • Do what is “Important” ahead of schedule.
  • Spend at least half your time on what is “valuable.”

If you follow this recipe (whether you are a salesperson, sales manager, business owner, or solopreneur), you’ll be amazed at the results you can get.

How To Write a Sales Letter

One question I get asked a lot is, “Troy, is there still a role for direct mail communication in sales?”  My answer is “Yes.”  First, however, I want to make one very important point:  The very best sales letter, brochure, or marketing piece is no substitute for even an adequate face to face sales call.  Written sales communications should be designed to facilitate the sales process, not replace it.

With that in mind, let’s think about our objective for a sales letter (for brevity’s sake, I’ll refer to all written sales communications as letters).  The purpose of a sales letter (or for that matter, any form of sales communication) is to advance the relationship between seller and customer.  Period.  The litmus test for anything you’re about to send out, therefore, should be: Does this advance the relationship in any way?  If it does, you’ve got a good start.  (This is true for letters to prospects, as well – if the letter makes it more likely that a prospect will see you, it has advance the relationship.)  Following are some ways a good sales letter can advance customer relationships:

Educate the customer.  This is perhaps the all-time best way of advancing a customer relationship.  If you can impart some piece of knowledge that helps your customer do a better job of running their own business, you win.  If you’re selling to end users, think about ways to teach your customers how to better use your products and services; more successful implementations reflect on your knowledge and expertise.  If you’re selling wholesale, consider teaching your customers better ways to sell, market, and price your products.  If you sell to a vertical market, consider regular communications that help your customers identify industry trends quickly.  You get the idea.  If you hadn’t already figured it out, “Educating the Customer” is the primary purpose of the HotSheet.

Tell them about new products or services.  Most companies add products and services from time to time, yet many of those same companies forget to tell their customer base about the new products and services.  If you’ve ever had a customer say, “Hey, I didn’t know you did that, too,” you’re probably one of those companies.  Remember – our objective with each customer is to sell them as much of our stuff as possible.  A letter announcing new products helps advance the relationship by letting them know everything you could be doing for them.  Make sure you remember to talk about the BENEFITS of the new products, as well.

“By the way, we also sell:”  This is a close relative of the “new stuff” letter.  If you sell multiple product categories or lines, your first sale usually will not cover the entire length and breadth of your product line.  You still want your customer to know what you do, so after thanking them for their first purchase, send out a letter saying, “You might not be aware, but we can also serve your needs in these ways,” etc.

Personnel change notifications.  Although it’s not pleasant, turnover in sales and service can’t be helped.  If your outgoing salesperson has a large customer base, it’s probably going to be difficult to call them all (either by phone or face to face) before one calls in asking for Joe, who no longer works for you.  Be proactive and let your customers know who will be taking care of them after the current person’s departure.  Personnel changes tend to induce fear in customers (that their needs won’t be taken care of), so the more proactive and reassuring you can be, the better the relationship.

Of course, the types of written communications you might want to do encompasses much more than I have space for here, but if you give each letter the litmus test discussed above (does it advance the relationship?), you will be far ahead of those companies that send out communications that do nothing for either the sender or receiver.