If you want to close more prospects and close them faster, then you’ll want to know what I uncovered after 20 years of studying what prospects buy and don’t buy. You’ll likely be surprised that what you’ve learned about having prospects take action is wrong.

Here’s what you’ve learned:

1. Use a fact-finder to learn about the prospect’s situation

2. Explain the prospect the features and benefits of your product that fit their situation

3. Add an element of urgency (e.g. the premium increases if you wait)

4. Close

When you understand what’s wrong with the above sequence, you’ll see the easy changes you can make for a colossal increase in results.

Use a fact-finder

The fact-finder provided to you by a financial services firm is off the mark. It probes for facts about the prospect’s life such as the ages of their children. Once you learn that they have a child that is eight years old, you’re supposed to talk about your college funding products and services. But your prospect may have no interest in this for several reasons:

• Maybe the grandparent will fund college

• Maybe he does not think his child will go to college

• Maybe he’s not concerned and figures his child will get aid or attend an affordable community college

Where fact-finders fall short is that they don’t inquire about the prospects desires. The prospects need are irrelevant as no one buys what they need; they buy what they desire. The question you really want to ask is, “How to you feel about funding your child’s education? Does the potential affordability worry you?” If there is no worry, then don’t pitch college funding products and services. (Noteif you think that your prospect should be worried, there is a way to educate them but it’s not by telling them the facts about college affordability. You can read how to educate clients at (put URL of article here with entry page).

Explain the features and benefits of your product

The only feature or benefit of your product that counts are the ones your client cares about. Soon, I will purchase a new car. There are only two things I care about

1) I want a car that uses as little petroleum as possible because I don’t want to poison the air for your grandchildren and I don’t want to send any money to oil-producing countries that breed terrorists.

2) I need to carry a lot of stuff when I shop a Home Depot

Everything else about the car is irrelevantit does not need to look cool, be a status symbol or have a powerful engineall of the things that car sales people spout.

Just as important is when the benefits of your product occur. People are not interested in future benefits but that’s mostly what you discuss (the death benefit, the payoff during retirement, the payoff when illness occurs, etc). People care about the payoff today, not what they get in 30 years. In other words, people buy because

1) They feel better right now if they get the item

2) They feel smart

3) They feel responsible

People buy because it makes them feel good to do so, they get an immediate payoff. If you sell the immediate payoff rather than the future payoff, you close more sales.

Add an element of urgency

This typically makes the prospect feel pressured, not motivated. You need to address the prospect’s “caveman” gene, their biological mechanism to procrastinate. In fact, you can tell the prospect about the caveman gene when you see them hesitate.

We evolved from cavemen and we were programmed to stay in our cave for safety. To leave the cave risked getting eaten by lions and tigers and bears. So we stayed in the cave until we were compelled to leaveto avoid starvation. We quickly left the cave, got our kill, and scurried back. We are programmed only to take action if we are very uncomfortable. Our brain still thinks that if we take any action, it’s dangerous so it continually tells us to do nothing unless we are starving or experiencing great discomfort. Given that your caveman gene has operated all of your life, do you think this has caused you to miss opportunities? Do you agree that this (product or service) makes logical sense and you hesitate but really don’t know why? That’s the caveman gene running your life. Would you like to do what’s right rather then continue to succumb to a motivation that no longer applies because there are no lions, tigers or bears to harm you?

Change these elements of your presentation and have much more success:

• Stop asking situational questions (what are the ages of your children) and ask emotional questions (are you worried about the funding for your child to go to a good school?)

• Sell the current payoff and not some future financial benefit

• Don’t attempt to create urgency but rather undermine the prospect’s natural reaction to procrastinate

Larry Klein CPA/PFS, CFP®, Certified Retirement Financial Advisor, Harvard MBA helps advisors get wealthy by being great advisors. He is co-creator of the Advanced IRA Rollover and Distribution Training and creator of the Certified Retirement Financial Advisor designation and training. Over 14,000 financial professionals use his marketing and lead systems and attend his educational programs to obtain more and better clients, serve them better, increase sales of financial products and services, increase commissions and fees, and earn more while working less. His programs are in use by brokers and planners at most major securities firms, many NASD firms, and by hundreds of independent insurance agents and captive agents with large, well-known insurance companies. Details on his winning marketing systems and his complete book on Marketing Financial Services to Seniors are available at NFcom.

Since the launch of showtheplanet.com we have been regularly
inundated by sales pitches from Internet and technology firms
from all over the globe. We would think it a positive thing -
since the world is obviously finding us - except that its quite
apparent from most of the messages we’ve received that the
person on the other end of the phone (or fax, or e-mail) has no
idea what we’re about. Even worse, most of these Internet
companies seem have no idea how to do business on the Internet.
Here are some actual examples of contact from sales people to
our office within the last month: <> Salesperson from an
internet company calls and leaves a message followed by 10
minutes of office background noise and conversations. Apparently
this person hadn’t hung up the phone. This happened two days in
a row from the same person. <> Salesperson calls and introduces
their product. This product obviously has nothing in common with
what we do. We ask: “Have you been to our site?” They respond:
“Uh…no, but….” <> Salesperson from an Internet company
calls. We are interested and ask about pricing. The response:
“Uhh…Actually, this is my first day. Can I get my manager to
call you about that?” <> Salesperson from an Internet company
calls. We ask that information be e-mailed to us. They courier a
five pound information package to our office the next day. It
contains volumes of information about why they’re such a
wonderful (public) company, but no detailed information on
prices or product. <> Similarly, we request pricing information
via e-mail from an Internet company. They respond with their own
five pound courier package. You guessed it. No information on
pricing. <> Salesperson from an Internet company calls and
introduces their product. We are interested in learning more and
request information be e-mailed to us. They call back three days
later and ask for our e-mail address. Our e-mail address and
contact information are prominently displayed on our site. These
examples wouldn’t seem as absurd if the inquiries had come from
traditional firms not yet familiar with the Internet. But ALL of
these examples came from Internet firms (Many of them public
companies - Watch your money!). The leading edge of the dot com
economy? I think not. Of course there’s always a bright side.
The more idiots out there trying to do business online, the less
competition for you. Here are three rules of thumb that, in our
not-so-humble opinion, can make or break your online sales. <>
Provide ALL the details of your product on your web site.
Include every possible detail and specification. Don’t waste the
customer’s time and they won’t waste yours. The Internet is
about information on demand and the consumer is more demanding
than ever. <> Post your prices on your web site. I repeat. Post
your prices on your web site. Nobody wants to jump through hoops
to buy your product. Most potential customers won’t inquire
about price unless your product is very specialized. <> Know
your product and your industry. If you’re not an expert,
customers will see right through you. Simple? Absolutely. Yet
it’s amazing how many companies have no clue. If you play by the
rules you will sell more. The Internet consumer can be very
generous to those who do.

So — you’ve just gotten off of the phone with a potential client. You’ve explained what you do and how you can help them — and they still didn’t end up hiring you. Where did you go wrong? You are EXPERIENCED, you are professional — and yet you seem to have a hard time turning those leads into paying clients. Perhaps you are approaching the situation from the wrong perspective. Maybe you are focusing too much on the sale and not enough on the potential for a RELATIONSHIP with this person.

Your goal during the “selling” phase is not to show off how wonderful you are — it’s to develop a rapport with the other person, to express some EMPATHY for their situation, and to help find a SOLUTION to the problem at hand. And along the way, you will need to educate the client about the benefits you have to offer if you ever hope to make a sale. So let’s focus on a few tricks for making yourself seem valuable to the client (the only way I’ve found to really “sell” yourself). I’d like to share some of the techniques I use to close a sale, from the perspective of professional organizing:

PRACTICE TELLING PEOPLE WHAT YOU DO

When I first started talking to clients, I was TENTATIVE and hesitant about my abilities — I came across as unsure about what I had to offer. But I joined a networking group and found that I was expected to give a short speech each Friday morning describing what I do and how it helps people. I also hosted booths at a couple of business expos, which allowed me to INTRODUCE myself and my services over and over again to a number of different people.

The more comfortable you can get with saying, “This is what I do and here’s how you will benefit and here’s why I’m different than the rest,” the more you sound like you know what you are doing. Start out with a one-minute “elevator speech” — what you would say to someone in an elevator when they ask, “so, what do you do for a living?” Say it over and over again until it’s second nature. And then work on a second one that focuses in on a different aspect of what you do. And another. And another. Keep going until you can stand up in front of any potential client and comfortably spout off why they should hire you.

GIVE A FREE IN-HOME / IN-OFFICE CONSULTATION

I don’t know if you do this — but as a service provider, I found it essential to building up my client base. Some people will tell you to CHARGE for a consultation — but why would I pay you to find out if you are worth hiring? Some people will tell you to do a PHONE consultation — this is fine for some potential clients, but other folks want the reassurance of meeting you face to face.

As a professional organizer, I’ve found that some people want to show me their stacks and piles and have me say that it’s not the worst I’ve ever seen. I think of a consultation not as a time when I can plan out what I’m going to do for the client — because honestly, I’ve seen their problems a million times before and it’s not that different from client to client. But it’s a time when I can AUDITION for the client — build some rapport, show off my fabulous personality (!!), dazzle them with my expertise and professionalism, and explain the way I work. But most importantly, it’s a time when I can sit in front of them, pen and contract and calendar in hand, and say, “When do you want to get started?” Much harder to turn me away, then. And you’ve made a personal connection like you just can’t do over the phone.

DON’T BE IN A HURRY TO TALK ABOUT WHAT YOU DO

Get the client to talk first. If you immediately start telling the client all of the great things that you do in your business, you will lose them in the first 5 minutes. You have to let them begin by telling you where the PAIN is. I encourage my clients to tell me how badly life sucks because they are disorganized. I empathize, saying things like, “that must be frustrating,” I rephrase their pain (when they say ,”I feel so overwhelmed,” I say “It can be hard to stay on top of it all”), and I share stories of other clients who have gone through the same thing — but I don’t solve their problem yet.

You want to do two things here — first, let them know that you REALLY understand; and second, you want them to FEEL the reality of their situation so much that you will look like a superhero when you tell them how you can take that pain away. Once you’ve gotten them to pour it all out, talk about how their lives will be better once they hire you. Don’t talk entirely about techniques and systems — talk about feelings. I find myself saying things like, “And once we get your filing system straightened out, you’ll be able to find anything you need in 3 minutes or less — won’t that take a lot of stress off of your shoulders?” — and the answer is always a grateful “Yes!”

BE PERSISTENT

Some clients need a lot of FOLLOWING UP before they are ready to hire you — especially if you offer a service that deals with a difficult or overwhelming problem like disorganization. I’ve contacted clients for a year and a half before all of the planets aligned — and their calendar, wallet, and willingness to change matched up — and we started working together. When a client says he/she wants to work with you but doesn’t have time right now, say, “Well that’s no problem. I certainly understand when your schedule gets overloaded. How about if I call you at the end of February to see how things are going?” Not, “I’ll call sometime down the road,” but I’ll call at a SPECIFIC time during a particular month. Many times they’ll say, “Well actually, you can call me in a week and I should be ready then” — or they might say February is too soon, call me in June.

But you have done two things — you’ve kept the line open and you’ve taken the RESPONSIBILITY for initiating action off of them (which most clients really appreciate). Many times, I’ll do this over and over again, calling every few months (”Hi, you had asked me to check back with you about doing some organizing in February, so I’m just giving you a call. How’s everything going?”) until they are ready. Persistence is the key.

ASSUME THAT YOU ALREADY HAVE THE SALE

When you finish your spiel with a client, don’t ever say “do you want to set up an appointment?” — instead say “WHEN do you want to get started?” Don’t give them the OPTION to say no. I always ask people, “So what’s your time frame for getting started?” That makes them think a little differently than saying, “When do you want to set up an appointment?” Or say, “Well, I’ve got Tuesday afternoon and Friday morning free next week — which works for you?” Be in charge of the situation and you’ll see a lot more leads become clients.

These techniques will in no way guarantee that every potential client who crosses your doorstep will become a paying customer. And remember, marketing and running a small business is a numbers game. The more people you contact, the more people will turn into clients. But you increase your odds greatly when you give each person the full and complete attention he or she deserves — and when you use every weapon in your arsenal to convince them of your professional value.

Ramona Creel is a Professional Organizer and the founder of OnlineOrganizing.com — a web-based one-stop shop offering everything that you need to get organized at home or at work. At OnlineOrganizing.com, you may get a referral to an organizer near you, shop for the latest organizing products, get tons of free tips, and even learn how to become a professional organizer or build your existing organizing business. And if you would like to read more articles about organizing your life or building your business, get a free subscription to the “Get Organized” and “Organized For A Living” newsletters. Please visit http://www.OnlineOrganizing.com or contact Ramona directly at ramona@onlineorganizing.com for more information.

Time management, make to-do lists, use a daily planner, learn to
say no to people when you’re busy. These are all items that
you’ll read when learning the ins and outs of time management;
but what does it really take?

Finish what you start! That may seem easy, but let me tell a
little personal story. I was sales rep for a very large
territory, I knew my product, I was good with people, and
figured I’d be very successful. What I didn’t expect was with
this big territory came a lot of phone calls, quotes, and
inquiries. Something I wasn’t used to or prepared for I guess.

So I found myself with more work then I was used to. I was
starting a quote getting another phone call moving onto
something else. Basically putting out fires as they arose. As
time went on I found I was always busy but nothing seemed to get
done. I was always on the road the phone was ringing off the
hook, but I wasn’t closing any deals, and worse I wasn’t making
any money. So what did I do?

Simple I started finishing the task I started. When I stated a
quote I’d finish it before moving onto the next one. I’d answer
the phone if it rang, but I wouldn’t stop and start checking my
email, or move onto another quote, or get up from my desk and
tour around the office. I’d finish that quote then move on.

So why is this such an important point in regards to time
management? Think about your own office life, or personal life.
Do you find you’re involved in lots of things but none of them
are coming to completion? Or you’ve got lots of stuff on the go
but nothing finishing up? We can be busy but accomplishing
nothing, and that can be worse then doing nothing at all. Moral
of the story, we can make all the lists, plans and prioritizing
we want, but finishing what we start is the first step towards
accomplishing as much as we can with the time we have.

Having control of lead flow has effect upon all aspects of a company’s operation. Sales remains a numbers game. Different types of lead generating mechanisms all have different close rates. You can only determine by testing, which lead generation method results in which sales numbers for you. Everyone has a different style, and resources and market conditions vary.

I worked with an insulation contractor who was having to subcontract work to keep busy. He had a home show coming up, and wanted more sales than the 2 per week that he was then getting from his Yellow Page exposure. I sold him a program for the show that delivered hundreds of quality leads. Unfortunately, he didn’t have adequate sales personnel or installation crews to handle the leads. He found himself in possession of hot leads that were growing colder by the day - but that wasn’t the biggest problem. A bigger problem for him was the fact that, six weeks after the show, he would be no better off than he was before, unless he instituted a controlled lead generation program. What would have made him worse off, or at least no better off, would have been to hire additional sales people and line up subcontractors, just to handle this one-time large influx of leads. After just six weeks, he would have suddenly had nothing for all of this additional manpower to do, and been unable to prevent their leaving.

All of this re-action puts tremendous wear and tear on all levels of the normal operation. Everyone seeks some kind of security. Knowing that there are consistent sales is very reassuring to all employees. It is very unsettling for employees to have to experience the disappointment that follows a period of increase that ends abruptly. Consistent sales give you the opportunity to hire your own crews, keep your sales people and buy your own equipment. The morale increase and lack of employee turn-over are immeasurable in terms of asset protection. “Nothing happens until a sale is made,” is true, but perhaps we need to revise that expression to say, “Havoc will rule until controlled, predictable sales are maintained.”

Another saying is, “We accomplish proportionally what we attempt.” While true, as well, it assumes that the full range of resources is implemented to achieve the result. Increasing leads alone, in an uncontrolled manner, will irritate customers who are not promptly serviced, as well as undermine the morale of the employees. How can you plan ahead to solidify sales? How can you educate all of your personnel as to the efforts that will be made to control income?

Daniel Wadleigh is a nationally published marketing consultant and has programs for start-up and existing businesses including effective web sites, e-mail/database, other non-internet ways to drive them to your website, and low cost ways to get more new customers.

Go to: http://www.more-new-customers.com to get free copy of “Marketing to Men vs. Women- the 8 different responses” and a Free copy of “Market Research- 7 Questions to Ask to Start-up and 7 to Ask to Improve Any Business.”

At one time there was a long-standing belief in many sales organizations that coaching of sales representatives was a fundamental sales management responsibility. Moreover, every professional sales trainer you spoke to, every textbook you read and every sales manager who had several years of experience would verify that coaching was a fundamental spoke on the sales manager success wheel.

In the early years of my sales career it was a mandate from upper management to sales managers throughout their respective organizations to learn coaching skills and employ them regularly. Furthermore, it was a requirement that they share the wealth of experience and knowledge gained with those throughout their respective teams. As a by-product incredible loyalty to sales managers became a hallmark of sales teams where the managers themselves took an active and participative role in sales team skill set development.

By contrast today, in the field skill set development is, at best, hit and miss leaving many sales people unclear how their performance is being evaluated. Little wonder sales force turnover is a reality.

One of the criteria for stabilizing a sales organization is for the sales managers to employ a set of coaching skills with their team members. The truth is every successful sales manager has learned the hard way – mostly by trial and error, often at the expense of sales effectiveness and productivity. Today’s sales manager may be of the mentality that their entire role is to supervise sales team members based on a process. (The fact of the matter is that sales managers do not really manage sales, they really are supervising the activities of their sales team members so that the sales people themselves generate sales.) For several years sales supervision has tended to be ensuring a methodical step-by-step approach was taken by sales team members so that the sales results could be achieved.

In my experience, the most significant difference in coaching a sales person for personal improvement and enhanced performance is a combination of process and content coaching. Let me explain the difference between process and content from a sales managers point of view.

To coach a sales person effectively there must be a clearly identified starting point, which is an individual sales business plan. A superb sales manager knows this well in advance of any account and territory review because it offers a template from which to function during coaching sessions. When a mutually agreed upon business plan is generated by a sales person, then completion of objectives is the step by step monitoring the sales manager takes with each rep. Within the plan are the goals, objectives and activities of the sales person the sales manager will supervise. Without a sales plan or template of expectations, each will find it difficult to measure accomplishment because the “what to do” has not been established.

The key here is that a formal and written “game” plan be developed from which the sales rep can follow and function and the sales manager can observe progress against each objective the sales person lists. This is the “what” will be done.

Encapsulated in the process portion is coaching where the manager assists the sales rep in completion of each objective. The sales manager may assist in determining if the sales rep can execute the objective alone because of successful prior experience or if other assistance is required. In the later case, this can be accomplished by discussing real world scenarios the sales person is currently facing with their accounts. If so the sales manager can model the skills that will be used by the sales rep so that in the future they can perform on their own.

The sales manager can work with the sales person in implementing the plan by providing the content, or the “how to do it” if you will. The goal is to optimize and maximize the sales persons’ skill set to deliver the greatest sales and revenue. The sales manager can provide valuable insight for the sales rep in how to approach, prepare and implement strategies and tactics not just for the customers and prospects, but also for the individuals within them.

No matter what tactic, technique or strategy agreed upon by sales manager and rep, the sales manager must be aware that accomplishing the objective is more vital than how well it was done. Simply stated this means substance over style. Once accomplished, a sales manager can coach to develop a more effective style- one where communications is bridged in a more pleasing way with customers and prospects. Coaching for better communications is a definite superior sales manager skill.

The coaching then a sales manager coach does is at two levels – the process (sales plan) and the content (skill building, or how to do it). The how to do it part may take role playing, where the sales manager acts the part of the sales person while the sales person takes on the role of the customer. Then the roles get reversed. A few attempts set in an educational and trial and error framework make the enhancing of the style portion of objective completion possible. The sales manager gives supportive encouraging feedback in these sessions to build sales person self esteem. Otherwise the sales person will never feel comfortable enough to try for themself and will be constantly asking the sales manager for assistance for the same task. The style portion of coaching, the how to do it, will bear fruit when the sales person becomes more confident in their ability to communicate effectively with their customers. At the end of the day, sales managers need to be equally effective with their sales staff in the area of content coaching too and that’s a huge differentiator when it comes to being an average sales manager and a superior one.

The sales manager must be a confidant individual and able to coach a sales person during role-playing sessions. The worst scenario happens when the sales manager intentionally avoids assisting the sales person. The salesperson must see the sales manager as interested in helping them to be able to do things for themselves. The intention naturally is that with time and practice the skill set of the sales person is enhanced resulting in more effectiveness in the customer setting. Where the effectiveness increases so will individual sales person productivity. Where productivity increases, so will sales, margins and profits.

Key: Sales managers must make an investment in their sales staffs. This investment will vary based on the experience, capability and competency of each sales team member. The real issue at stake is in coaching each and every one of them depends on individual needs. The professional sales manager must identify which area, if not both process and content need assistance. If it is in the area of process, the sales manager can lead the sales rep through a series of steps that ensures process gets developed and the sales person is comfortable implementing said process.

If it is determined assistance is required in the area of content, then the sales manager must work toward improving the sales person skills so those in turn can be successfully employed with their own customers.

Crucial in coaching sales people is the degree of trust and confidence that is built and maintained between coach and coachee. Having spent one-half of my career in corporate America in various sales management capacities, I believe that a sales person will pay close attention and take the counsel of their coach when they recognize the coach has the years of experience in a sales management role. Additionally, a sales person will need to know that the sales manager has walked the walk and talked the talk. Once recognized, objective feedback and significant improvements can take place. The reason, simply put, is respect. Personally, I know of no other word that determines the success of a coach and coachee relationship better than respect. In the case of the sales person being coached, that respect given to the sales manager comes from having ‘been there, done that’. And sales people pick up on that very quickly. Once the coaches’ credentials are established, trust and confidence get developed.

The sales manager therefore can assist the sales person on two levels. Getting the “what to do” formulated (the process) and then guiding the sales person through the steps of the “how to do it” (content) with finesse. The result is an effective sales person who well understands their goals and objectives. They also understand the appropriate sales style and proper technique to be used under any one of a myriad of different situations that may arise while pursuing their personal revenue goals.

Don McNamara is a Certified Management Consultant (CMC) and is President of Heritage Associates, Inc. http://www.heritage-associates.net

Heritage Associates is a full service sales management consulting, training and coaching company. Don also speaks and writes on the art and science of superior sales management and top sales performance. He is the author of “Visionary Sales Leadership.”

With over 30 years sales experience from the field level to executive sales management, in his career he has been an individual contributor, corporate sales training manager, regional manager, national sales manager and vice president of sales. Don is a member of the Institute of Management Consultants, where he serves as Professional Development Chair for the southern California chapter, and the National Speakers Association.

For a free e-newsletter contact Don McNamara at djmcn@heritage-associates.net or by phone (949) 230-4363.

You’re a power engineer and manager & now you have to develop business? After all your effort getting a technical education, the last thing you want to be is a salesperson!

So, you’re a manager now and have risen through he ranks with hard work and dedication to that lofty level in your firm. Recently, you discovered that small line in your new position description they never mentioned during your interview. Top management expects … maybe demands … you go out and sell your group’s expertise to prospects. What kind of long anticipated aspect of career development is that? It certainly isn’t what you expected in a management position.

Your focus has always been on doing the best job you know how solving problems for clients. You’ve been able to be the leader on many recent projects and have worked your team to a high level of proficiency. That’s what you do best and your firm has been very pleased with your work. Now, the reward is to go out and do something else … to do something you have no idea how to do … to sell?! That’s not what you thought being a manager was all about.

Before you start updating your resume, take a good look at what the role of Business Development … not sales … is all about. From our own technical background and from working with hundreds of highly proficient technical professionals in the Power Industry for the past 25 years, we know you are the ideal individual to represent your firm in developing business. Upper management sees potential in you that your peers do not intrinsically have: a high degree of technical expertise along with your “people skills … ingredients to make the full 360 degree turn to Technical Business Development Professional.

The first and most critical item to consider is your thinking about the role in Business Development. It’s really not selling. Business Development is really doing what you already know and do … keeping the client’s needs first in solving their problems. The only thing different is that you now are responsible to leverage your technical expertise and that of your team in the process of getting the projects, not just doing them. Your purpose, putting the client first in solving their technical problems, it the thinking that is the key to Business Development. Of course, you have to consider your firm’s and your own goals, too. But, if you take care of purpose first, your goals will be taken care of also.

How do you do this? It’s really not “smoke and mirrors” or motivational tricks, soft skill tactics. Business Development is a role that requires executing a system, not unlike those you already know well in your technical field. Developing business is a systematic process of leveraging your considerable expertise into revenue and involves thinking like a business person, not a salesperson. Whatever business getting method your company chooses to use it needs to incorporate this business oriented way of thinking and behaving … and you need to use it … every day and all the time in your Business Development role.

So, rather than throwing yourself into doing the next power project, consider acquiring professional development training for your management role. Certainly, some university management courses can help. But, be sure to get assistance in that aspect of your manager role that will propel you up the ranks faster than anything else you can do. Get some training in Professional Business Development.

Bill Scheessele is CEO/Founder of MBDi, a Business Development consultancy based in Charlotte, North Carolina. For the past 27 years, MBDi has assisted client firms in leveraging their high level expertise into bottom line business. Information on the company and the MBDi Business Development Process™ access: www.mbdi.com.

www.mbdi.com

1. Send out a FREE sample of your product with a special “two
for one” offer - this enables your customer to get a first hand
experience of your product in action AND the “two for one” offer
maximises your average transaction value.

2. FREE lessons on make-up, sewing, hair styling, skin care,
gardening, building a pergola/deck/retaining wall .. the list is
endless By seeing how to get the best use out of your products
they’re likely to buy a range of accessories and essential items
to help them achieve the results they’re looking for.

3. Open day … this is ideal for gardening centres or hardware
stores where they can offer workshops and demonstrations on
tasks that are specific to the needs of their customers …
landscape design, installing a sprinkler, home handyman tasks,
building etc. This is similar to the ‘FREE lessons’ idea above.

4. Hold joint promotions with other businesses. You can offer
their products as FREE gifts when customers purchase at your
shop and vice-versa.

5. Free gift with purchase - you could offer a FREE T-shirt
valued at $25 with every $50 purchase. The value to the customer
is $25 but your hard cost is a fraction of that amount so it’s
perceived to be more beneficial than a discount is (in the eyes
of your customer) and it’s much healthier on your bottom line
than offering a $25 discount.

6. Buy one get one FREE. (same benefits as above).

7. FREE mystery gift up to the value of $500 with every purchase
over $xx.

8. FREE gift for cash payments over $xx … instead of paying
the Banks merchant fees you’re rewarding your customers instead.
It’s costing you no more however it’s encouraging your customers
to buy from you and therefore will increase your sales volume.

9. Buy now, pay in 12 months time … encourages customers to
spend more than they ordinarily would have if they were paying
the whole amount now.

10. Package your products together. Cosmetics companies are
famous for this. Package some of your poorer selling products
together with your most popular lines and promote them as some
sort of package. Packaged products make customers feel that
they’re getting a good deal for buying in bulk, it maximises
your average transaction value, and it helps you move slow
selling items.

11. Bounce backs - it’s a fact that a customer is most warm to
your products and services right at the time of purchase so make
a special offer to them right when they buy - something that
compliments the product they’ve just bought.

12. Package your knowledge - create introductory reports and
newsletters and package them in with their product purchase.

13. Cross-selling checklist - this is a great way to maximise
the average transaction value of each sale. Either run through a
checklist with the customer (eg. The “building a pergola”
checklist listing all the items they’ll need) OR create it into
a special “how to” guide that includes instructions and enables
them to check off all the items they need. This does the
customer a favour because it ensures that they don’t forget an
important item and it bumps up your sales figures too.

14. FREE after sales service - cleaning or maintenance of
purchased product.

15. FREE hotline service - where they can call and ask specific
advice relating to getting the best use of their product.

16. FREE design (valued at $200) - this service quite often
involves your time only so it has a high perceived value but a
low hard cost.

If you have climbed the difficult mountain of sales to a point of success, you understand the pain of rejection. You have faced negative thoughts about your character and pushed forward. You knew you could do it and pushed past the negative forces that stood in your path. Self doubt is an adversary in our sales career that we must each over come.

A recent conversation with a struggling salesperson caught my attention this week. Our discussion began as a focus on what went wrong during the week rather than what went right. It was clear that the salesperson was frustrated, needed answers and some reassurance about outside sales. Continuing down this negative path, we changed course in our conversation and discovered hidden reasons to celebrate the successes. This was an area that the salesperson was overlooking. He had reason to celebrate and identify some areas where he accomplished his goals. From this conversation we were able to establish strategies for duplicating what worked well.

The new perspective and celebration of success was refreshing. It was probably the frustration factor in our earlier conversation that made the victory all the sweeter. So, what if there wasn’t any pain? Would the victory be lessened? It probably would be.

No Pain, No Gain
Now, that you just read about pain and frustration, imagine having no struggle in riding a bike for the first time as a child. Remember when you were taught how to ride a bike? The fear of falling captivated your every thought. You knew what the pain would be like, because, you had fallen before. The training wheels had helped steady your path, now it was time to challenge the road with only two wheels. This was a big moment in your life. The peer pressure from friends who had mastered the two wheeled monster was too strong to ignore.

It is unlikely that you met the challenge with success the very first time. Perhaps you had the steady hand of a father assisting as he raced along side with encouragement. It was a combination of things which led to your success. Regardless of how you met victory on two wheels, it was a major event in your life. You conquered a formidable task.

Have you seen the new tricycle bicycle? The tricycle bicycle is a new invention that isn’t on the market yet, you can see how this invention will change riding a bike forever. Children will no longer be faced with a challenge, because, the tri-bike will automatically change from a tricycle to a bike as the rider moves faster. As the bike slows down, the bike will transform back to a tricycle. It is a shame that the victory of riding a bike, for the first, time will diminish to an easy task that anyone can accomplish.

When you feel the weight of frustration and rejection in outside sales, remember, you must have some pain to make the nectar of success taste as sweet as it is. When you encounter tough times, look to what you are doing right and bathe in that success. Duplicate what is working and soon there will be more victories than defeats.

Steve Martinez implements sales management strategies with a focus on automating sales for printing organizations. Selling Magic teaches businesses how to automate and customize ACT or Outlook with the best practices of sales management while integrating email marketing and technology for greater profits. http://www.sellingmagic.com

This article takes the Tier Level Selling (T.L.S.) program to the next level by introducing sales force incentives to maximize the program’s results. The T.L.S. program is detailed in Part I. It focuses on segmenting and targeting customers based on growth opportunity. This puts the right focus on your “plus” accounts by pointing you to the five largest accounts with the most growth potential without ignoring the five best medium sized accounts, and five revolving target accounts for new business.

Incorporating a Tier Level Selling program without reviewing the way sales representatives are paid may lead to improved results, but these results will likely fall short of expectations. As all of us know, sales representatives are very good at following the money (most have adopted the motto from Jerry Maguire, “Show me the Money”), and if being successful at the T.L.S. program shows them more money, their hearts and minds will follow. Three different possibilities for applying compensation incentives to the T.L.S. program are described below.

The Easy Way—SPIF

The easiest way to incorporate T.L.S. into an existing sales compensation program is through the use of a Special Performance Incentive Formula, or “SPIF.” One option is paying lump sums for certain levels of revenue growth generated from each of the three tiers of accounts. Another more interesting idea is to create a “bonus” pool and pay 50% of the pool to the sales rep that generates the greatest amount of gross profit from his or her T.L.S. accounts. Pay second place 30%, third place 15%, and fourth place 5%. The objective when structuring the pool payouts is that 50% of the reps would earn some award and that the difference between first, second and third place is significant. This really plays on the competitive spirit that most sales reps have. The bonus payouts generally are paid in addition to the normal commission earned on this revenue, but only for growth. There are many options in designing SPIF’s and creativity is encouraged.

Tier Level Incentive

Another option for those of you that pay your sales reps primarily through sales commissions is the use of a tiered commission program. With this program, sales to T.L.S. accounts are paid at a higher rate than Non-T.L.S. accounts. As a warning, this option requires some homework. Either a strategic decision is made that your company is willing to increase its sales expenses as a percent of GP for sales to these accounts, or the existing commission rate must be lowered to offset the higher T.L.S. rate. If the latter option is chosen, refer back to your high school textbooks and refresh your memory and binomial equations. You can also play Robin Hood in reverse, taking from the weak and giving to the strong. T.L.S. identifies your strong accounts based on unrealized potential.

Weighted Factor Bonus

If your existing sales compensation program is fundamentally a salary plus bonus type of program, appending the existing bonus structure to incorporate revenue from the three tiers is an easy solution. Over the years, I have become quite fond of a sales compensation program we call the “Weighted Factor Bonus Program.” This program is structured to pay sales representatives (or any employee for that matter) a percent of his or her salary for obtaining pre-defined goals. These goals can be revenue based, customer based, product based, or anything that can be measured. The real neat part of this program, though, is that all the goals are measured collectively, meaning a rep cannot get paid handsomely if he does well on two goals yet fails miserably on the third. Satisfactory or above average performance must be realized in all categories for any type of significant bonus to be earned.

Generally, these programs are structured with the expectation that between fifty to seventy-five percent of a sales representative’s total income will be derived from salary with the remainder to be earned through incentives (bonus).

Dr. Eric “Rick” Johnson (rick@ceostrategist.com) is the founder of CEO Strategist LLC. an experienced based firm specializing in Distribution. CEO Strategist LLC. works in an advisory capacity with distributor executives in board representation, executive coaching, team coaching and education and training to make the changes necessary to create or maintain competitive advantage. You can contact them by calling 352-750-0868, or visit http://www.ceostrategist.com for more information.

Rick received an MBA from Keller Graduate School in Chicago, Illinois and a Bachelor’s degree in Operations Management from Capital University, Columbus Ohio. Rick recently completed his dissertation on Strategic Leadership and received his Ph.D. He’s also a published book author with four titles to his credit: “The Toolkit for Improved Business Performance in Wholesale Distribution,” the NWFA & NAFCD “Roadmap”, Lone Wolf-Lead Wolf—The Evolution of Sales” and a fiction novel about teenagers called “Shattered Innocence.”