Increase Sales Profitably: Put A Collar On Non-Selling Behaviors

Increase Sales Profitably: Put a Collar on Non-Selling Behaviors

 

 

What % of your salesperson’s time is actually spent selling today? (are you sitting down?) The average salesperson is spending less than 20% of what I call “sellable time” actually doing sales behaviors today. That’s a problem, a big sales problem we need to fix to keep our sales leaders, owners and shareholders happy. In this post we will discuss how to put a collar on non-sales behaviors.

 

Meet Duke, pictured above. He is our current Lab rescue. Our family fosters Labs, and Lab mixes for the Lake Erie Lab Rescue. (an awesome non-profit organization of people who love animals) When the rescue found Duke he was a hot mess: two ear infections, could not put weight on a hind leg, underweight by about 20 lbs., lime disease, and also anemic.

 

For the last few months we developed a plan to bring him back to health so we could find him a forever home. Our plan had very specific behaviors we executed, tracked and even logged on medical forms. We gave him various medicines and a special food. We slowly started walking him and exercising him including water therapy. We put drops in his ears and basically loved on him. He was not thrilled about all these new behaviors but is a gentle old soul and went along with it.

 

The last thing we always do before adoption is spay or neuter. The surgery went great and Duke came home. To insure the incision healed we had to make sure Duke did not bother it. We corrected him many times but his nature was to lick the incision and it started to get infected. So we collared this behavior with a cone he wears for a few weeks.

 

So what does a lab rescue with a cone collar have to do with growing your sales profitably?

 

I thought you would never ask!

 

If you want to increase your sales profitably and create sales velocity for years to come you need to reinforce the sales behaviors you have seen that drive profitable sales and collar non-selling behaviors.

 

Like what?

 

If you read my content you know I have served many companies in a variety of markets both domestic and international over the last 35 years. At the fear of sounding like an attorney, the answer to what behaviors drive profitable sales for you depends. It depends on your company, markets and what your buyer’s journey looks like. That is why we do voice of the customer work and data analysis before we develop strategies and plans.

 

If you have done your voice of the customer work you understand what your buyers want and need in their buying journey. You know their buyer personas, and the value drivers for their businesses.

 

I have worked with 1,000’s of salespeople that have been on my teams and on distributor sales teams and some of the common behaviors I have seen salespeople doing include:

 

Lead Generation

Building and leveraging relationships

Qualifying opportunities

Qualifying prospects

Qualifying leads

Follow up

Making presentations

Servicing customer needs for information on deliveries

Account management

Networking

Trade shows/ Industry conferences

Territory management

Creating monthly email newsletter blasts

Training and education

Training accounts and distributors

Handling Quality issues

Helping AR collect past due funds

Searching for content

Driving and transportation

Creating new customer target lists

Lead nurturing campaigns

Writing content for industry articles and trade publications

Weekly reports

Call reports

CRM updates

Phone calls

Emails

Social Selling

Customer visits to your plant or corporate office

Applications advice

Helping customers sort parts that may have quality issues

Visiting end users with distributors

Tracking order status

Expediting ship dates

Finding out why orders did not ship on time

Dealing with product damages that occurred in shipping

Reviewing plant inventory

Personal Social Media

Personal emails

Webinar training updates

Team sales meetings

Product demonstrations

Creating content

Working with field service to resolve customer problems

Entertaining customers

Booking hotel rooms

Booking airfare

Booking rental cars

Expense reports

Family time

Workout time

Plant tours with customers

Driving late orders to customers

Picking up material and driving to your plant to help make late order re-promises

Meeting with customer engineers and influencers

Meeting with other buyers at key accounts

Meeting with C-suite executives at key accounts

Product installation and repair

Monitoring and helping with product tests

Distributor training

Distributor management

Customer audits and assessments

Computer and IT issues

Booking advertisements

Managing point of purchase

Ordering content for customers and distributors

Company vehicle cleaning and maintenance

Ordering and stocking sales tools

Creating new sales tools

Customer events and outings

 

And you thought you had a lot to do…

 

Is it any wonder when we ask salespeople why they are not prospecting for new business at current and new accounts say it is because they are too busy?

 

Is it any surprise we find the below statistics for sales teams today?

 

The Average Salesperson spends less than 20% of their time selling today

 

30% + of time searching for sales tools (or building them and that’s really scary)

 

40%-50% administrative

 

10%+ non-selling activities

 

Multitasking decreases productivity by 20-40%

 

Workers waste an average of 40% of their workday because they have never been taught organizational skills and how to focus on behaviors that matter.

 

I have yet to meet a salesperson that is not busy. We are all hard working competitive people and the top performers are seen as strategic advisors by their customers.

 

The question becomes: is your sales team busy doing the behaviors you know drive profitable sales based on the VOC work and sales analysis data, or are they just busy?

 

Here’s the deal…some salespeople believe if they are busy they are safe. So they get real busy. How do they determine what to do? There is a high probability they are doing what their sales manager did when they were in sales. They are prisoners to an out-dated sales process…Let that sink in a minute or two.

 

“You mean to tell me my salespeople are doing the behaviors my sales team did say 20 years ago? 20 years ago before we had a customer service department, the Internet, a CRM system, a formal sales process? Before we spent all that money with the consulting firm? Before invested in new IT systems? Before we invested in a marketing department?

 

Yep!

 

Salespeople, like all of us, will gravitate to their comfort zone of behaviors they like to do. If someone has been in sales for any length of time they likely spend a great deal of time in service and relationship activities.

 

One last consideration is fear. Sales people have been managed (not led, true leaders inspire and motivate they do not use fear) by fear for years. If you are fear filled the creative and strategic part of your brain shuts off. So they do not see what behaviors drive the best results so they do what they are told and stay “busy” to feel safe. They are in fight or flight mode.

 

The shame is busy salespeople lack focus and they often experience problems and not hitting their sale numbers like 70% of the sales people and then what do you do? We put them on a PIP…performance improvement plan and share what happens if they don’t improve. Then we see behaviors that really hurt the bottom lines like unnecessary discounting, extended payment terms, promises our products and services could never meet. This results in more fear, even more busy behaviors, more stress, altercations with other departments and so it goes.

 

How do we put a collar on non-sales behaviors?

 

Do your voice of the customer work

Create buyer personas

Map buying journey and what buyers need today to make a buying decision

Mirror your sales process to the buying process 

Determine the behavior your data shows drives sales velocity today

Determine the top 5 behaviors that drive the sales you want

Train your sales leaders 

Train your sales people 

Train support departments on new sales process and how they help

Establish / reinforce service expectations for support departments

Track support indicators weekly

Create leading indicator behaviors sales must execute

Measure those behaviors

Have sales report on those behaviors weekly and in each coaching discussion

Coach those behaviors on four legged sales calls with your team

Coach sales to eliminate, put a collar on non-selling behaviors 

Inspect what you expect

Reinforce behaviors you want

 

When we implemented the above in a number of companies we experienced:

  • Sales growth exceeding 20%-40% year over year
  • Gross profit increases of 6%-10% in 18 months
  • Customer satisfaction increase
  • New business increases at current accounts
  • New customers (one company realized over 200 new large accounts in 12 months)
  • Sales close rate increases of 30%-50%
  • Improved moral inside sales team
  • Improved sales efficiency
  • Reduced cost of customer acquisition
  • Improved relationships with other departments
  • Reduced marketing expense
  • Improved engagement form entire team
  • Reduced turnover
  • Reduced recruiting expenses

 

If you want profitable sales increases you must focus your sales teams behaviors on those activities that drive the maximum return. When your sales team is aligned with what buyers have shared they need and you deliver it when they need it in their buying process your team too will experience the healthy sales results above too.

 

As for Duke, he is meeting with his new forever family today. He is happy, healthy and not only walking on his hind leg but running! He did not want to do everything we had to do get him strong and healthy but we coached and trained the behaviors that would lead to this day where he will be placed with a loving family, and put a collar on those behaviors that did not support our long term goals.

Voice Of Customer Finds “Sales Secret Weapons”

Voice of Customer Finds “Sales Secret Weapons”

 

 

 

In my last series of posts I have been sharing how powerful capturing the voice of your customers (VoC) and voice of your market ( VoM) is in growing your business profitably. In this post I will share how to leverage customer voice into a “sales secret weapon“.

 

In my last post I shared how critical it is to understand the criteria your buyers use today as well as how those criteria rank in order of importance. You may be providing services and features that cost you margins that your customers no longer value. Or, you may be leading with a dated value proposition and not sharing the most important buying criteria your buyers are shopping for today and losing sales you could have won.

 

First we need to meet with our customers and prospects and understand how they shop, the buying journey they take, as well as the key criteria they must have to make a purchase. With out this information your sales team is playing what I refer to as: “feature and benefit BINGO”. They are calling out features and benefits in hoping the buyers jump up and say… yes, I need that one…BINGO! In this sales model you are relying on your buyers to figure out the problems you solve, or could solve for them. In todays market you must intentionally share the problems you solve for your customers.

 

Sales teams who have been trained to understand how buyers buy, what they need to buy, and are equipped with the right sales tool for each twist and turn in the buyer journey win sales.

 

I read an interesting article in Adweek this week concerning how sports teams use various give away items to increase ticket sales as well as encourage fans to arrive earlier to the ballpark. Fans who arrive early spend more money; it’s as simple as that.

 

What does ballpark giveaways have to do with your business?

 

Great Question!

 

Please answer the following questions:

 

What buying criteria must your buyers have today to buy?

 

What is the order of importance for these criteria?

 

How does your overall service offering compare to what buyers want and need today?

 

Some common giveaways I see companies offering include:

 

  • Time of shipment
  • Service level
  • Free freight or FOB freight
  • Payment terms
  • Packaging specifications
  • Quality specifications
  • Added value engineering
  • Marketing tools
  • On line order entry/ EDI
  • Customer sales force training
  • Technical support
  • Material recommendations
  • Discounted material costs based on your total buying power
  • Returnable freight packaging
  • Quality guarantees
  • Out going product inspection
  • Product testing

 

The list can go on and on based on your specific industry.

 

Based on your industry you have heard a number of requirements from buyers. Obviously the job of a buyer is to ask for as much as they can receive for the lowest price. The trouble occurs when your salespeople do not understand how they key buying criteria rank in order of importance for your buyers.

 

Market leading sales teams are trained to ask.

 

What I have observed more often than not is sales teams spill their candy in the lobby. They “show up and throw up” until the buyer agrees to buy. It is not your sales team’s fault. They are trying to use the tools they were given. My challenge is what if you could have sold the buyer with the ability to execute three key buying criteria and not all 12-15 your salesperson listed? If this occurs your team is incurring costs and performing features, benefits and services that are costing your team margins and are not of key value in the buying decision today.

 

For example I mentioned the recent AdWeek article. In this article it shares how major league baseball teams have taken the time to understand the voice of their customers, the fans, and in doing so identified a direct sales increase on the game nights they give away bobble heads. Bobble heads produce more results than any other giveaway.

 

Major league teams have given away all kinds of things (just like your business may be doing now) in the hopes of increasing ticket sales and getting consumers to arrive at the ballpark earlier. Things like tote bags, T-shirts, baseballs, baseball cards, towels and bobble heads.

 

When fans arrive earlier, they spend more money. It’s as simple as that.

 

The article shared the following:

 

  • Bobble head giveaways increase ticket sales 15%-30%
  • The Cubs realized a 71% increase in fans arriving more than an hour before the game

 

What I like about this information is it is simple, quantifiable and easy to execute.

 

What impact could your sales and profits see if you identified your one to three top “bobble heads” secret sales weapons your buyers need to buy today?

 

Do you agree how powerful this information would be to increase sales and profits?

 

With this kind of focus do you feel your team could execute in delivery? (I bet they can)

 

The trouble with most businesses today is they are providing a laundry list of features, benefits and services and are often not sure the top one or two that truly drives sales behavior. So what do most teams do? …. They offer them all. Just like giving away tote bags and baseballs fail to move ticket sales dials, your team may ( more than likely is)  giving things away that buyers do not value today, or do not value as much as they did in prior years.

 

How can your team know what buyers value today?

 

Capture and leverage voice of the customer and voice of the market.

 

How about your company….

 

Do you know the key buying criteria your buyers must have today?

 

What are all the features, benefits, and services your team is offering to win sales today?

 

What impact would just offering what buyers need today have on your operations efficiency?

 

What impact could knowing and ranking buying criteria have on your teams’ sales close rate and gross profit margin?

 

What additional profits could you realize by eliminating things no longer high on your buyer’s key criteria list?

 

What is your team’s one or two bobble heads that really drive sales growth?

 

I have helped companies increase sales and profits for over 30 years. I wish it was some crazy technical secret process but it really is not. If you take the time to understand your customers, capture their voice and leverage what you learn you will see what I refer to as explosive growth.

 

Why?

 

Simply put, most companies you are competing with have salespeople showing up and throwing up. They are verbally vomiting all kinds of promises to win the sale. Some are important, some are industry standard performance requirements, and some are no longer a value, and some are dated based on how we have always done things around here.

 

If you have not captured the voice of your buyers and market in the last 12 months I promise you …

  • Your sales process is broken
  • Your team is giving away things buyers no longer value
  • Your team is losing sales you could have and should have won

 

Once you capture the voice of your customers you can leverage that knowledge into a repeatable sales process  ,sales tools, and sales training that guides your sales team based on what your buyers value most today.

Customer voice helps you create your own repeatable sales process  GPS  for your sales team to close more sales profitably.

 

 

 

Increase Sales: Key Buying Seasons Surface In “Voice Of Market” Work

Increase Sales: Key Buying Seasons Surface in “Voice of Market” Work

Market leading organizations understand the power in understanding the voice of their customers and markets. In my last post I shared how voice of the market work helps identify key buying triggers. Understanding how your buyers buy, the journey they take today to a purchase and the criteria they must have to buy is critical to growing your sales profitably. In this post I will share how Voice of your Market work identifies key buying seasons for specific products.

 

I was hired to grow the sales for Gardner Denver in the rust belt region. Gardner Denver is one of the leading manufacturers of industrial air compressors and accessories in the world. Industrial air compressors support manufacturing plants by supplying compressed air to power machines and tools used in the manufacturing process.

 

The first step in my business development process was to meet with as many end customers as I could on four legged sales calls with my dealer distributor salespeople. While the salespeople asked questions about upcoming changes that may require new or additional air compressors, I asked opened ended question and listened for unresolved market problems and buying trigger events.

 

Working with one of my larger dealers: Atlas Machine and Supply we identified a common problem end users have every year from May through August: Moisture in their air. Industrial air compressors compress ambient air and one of the by products of this process is water. Buyers purchase air dryers to remove moisture before it has a chance to damage machines and tools. What buyers shared was during the summer months in the Midwest they experience humidity and it often taxes their compressed air dryers and it is often a challenge to find new dryers when one of their dryers fail.

 

We developed a proactive business development plan based on this common seasonal problem our buyers were experiencing. Our dealer produced a postcard mailer that was sent to all their current accounts as well as targeted new accounts they have always wanted to serve. It was a simple message asking if they would like a free audit for moisture to insure their plant does not have any manufacturing problems when the high humid months hit. We conducted a sales training meeting and trained the distributor sales team how to execute the sales process.

 

Our distributor sales team followed up with each account within seven days of the mailer and scheduled audits to insure their customers and prospects they always wanted to serve would not experience any service interruptions in the humid summer months.

 

Our compressed air dryer sales more than doubled compared to the same months the prior year and new compressor sales increased. Since our dealer sales were contacting buyers about a common seasonal problem and offering to solve that problem, buyers trusted the sales and service people. They demonstrated they knew the industry and common unresolved seasonal problems. The sales and service team was not focused on “selling” but “serving” the market. While conducting audits proactively, our maintenance mangers and plant mangers openly shared other issues they were concerned about. These “other issues” resulted in new incremental compressor sales, service revenue and aftermarket sales increases.

 

Do your end customers have buying seasons for specific products and services?

 

Who on your team is responsible for helping dealer distributors grow their sales?

 

Does your sales team proactively reach out to buyers to address seasonal buying trigger events?

 

Would your team like to double your product sales in key buying seasons?

 

As we approach a new year, there is nothing more strategic than understanding your buyers, how they buy and the criteria they need to buy TODAY. “Today” is the key word. Think about all the changes we have seen over the years in how buyers buy. If you have not adjusted your repeatable sales process in the last 12 months or created new sales tools …I promise you have a broken sales process and you are losing orders you should have won.

The voice of the customer, voice of the market work becomes the foundation of your sales, marketing and business development strategic plans.

If you don’t have an understanding how how buyers buy and what they need to buy today…How do you plan to hit your sales numbers next year?