focus | No Smoke and Mirrors

Entrepreneur Best Practice; #5 Tailor Questions for your buyers that Illustrate your Expertise and Prepare you to Serve their Needs

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When you are being served by a market leader you know it. When someone experienced in understanding the needs of their buyers, the overall buying experience is amazing. When buyers experience this kind of service they buy, and they become raving fans for referrals.

Market leaders understand the value of knowing their buyers needs, criteria, and how the very questions they ask illustrate your knowledge and expertise.

As I have shared in previous posts, I decided in March I needed to lose weight. Since March of 09 I have now lost 70 lbs. The good news is I have a tremendous amount of energy, I feel healthier and I no longer need my blood pressure medicine or my sleep apnea machine. The only bad news is I need a new wardrobe.

I was recently asked to be the keynote speaker for the Boomerz event and I wanted to buy a suit. All the suits I have are 52 jackets and I swim in them now. I could deliver my content casual, but I would prefer to be more formal. (There I go showing my old school nature again) My wife recommended I look at the local Stein Mart as they have designer suits at significantly discounted prices.

I went to a local Stein Mart and started trying on jackets to determine my size today. I was quickly approached by Howard, the floor salesman and asked if he could be of assistance. He asked …” what size are you?” and I explained that I do not know. So he quickly measured me and said you are really a 43 long, but let’s try a 44 long. As I was trying on various suits, Richard (who also worked in the men’s clothing) approached and asked me a number of questions;

What size do you typically wear? I explained I do not know as I just lost weight…

What size were you before? A 52 jacket and a 42 pant…

So you have always bought athletic cut suits? …how did he know that?

Did you typically buy Heart Shafter Marx? (How did he know?)

Did you play football? Yes…again how did he …?

What occasions will you be wearing this suit? I explained I do public speaking and training workshops and consulting…

So you will be on your feet most of the time? Yes…

Oh, this is the wrong suit for you…and he disappeared, and I liked that one…

Within a few minutes he came back with two suits I had not seen prior … (Forgive me but I thought to myself …oh great he probably just found two of the most expensive suits off the rack, and like a car salesman wanting me to take a test drive he put the new jacket on so I would fall in love with it and find the money)

The suit looked great, but felt snug…

Richard said; the suit lays exactly as it should on you; this suit is cut better for men built like you… (He must have detected my concern about the snug fit)

I can tell you are not used to wearing clothes that fit… are you? Kind of a bold question from someone who wants my money…

He went on to say …You told us early on you have lost a lot of weight…it’s not unusual when we are overweight to not have clothing that fits properly…this is how a suit is supposed to fit. Wow, they were listening to me…

He asked me to look into the corner of the mirrors so I could see the back of the suit, and he said; see how nice this lays on you? And he taught me how a suit is supposed to fit.

He asked; when you speak do you button your coat? (I never thought about it)

He went on to tell me; Gentlemen never button the top button and he recommended when I first greet my audience I have the middle button buttoned and then unbutton it as I begin to speak…( is this guy for real? Or is it that I have never met someone before who knew so much about men’s clothing as Howard and Richard?)

I decided to buy the suit they recommended and have the suit tailored…

Again, a new series of questions from Howard and Richard (I’ll spare you but you get the idea)

Howard asked …so when do you need the suit? I explained I have time its a few weeks away…

He said; no… When you pick up your suit we want you to come back and we will check everything with the actual shoes you plan to be wearing…again, amazing….I felt like I was not only in experienced good hands, but I felt like I was the only customer in the store…

As I went in the dressing room I forced myself to peek at the price and to my surprise it was the same price as the suits I originally was looking at! …He paid attention to my price target…

When I came out of the dressing room Howard handed me a claim ticket and went on to explain the date it would be ready, where it would be located that day. Again both Howard and Richard reminded me to try the suit on, bring the right shoes and if for whatever reason it did not look right they would have time to fix it as …they wanted me to feel good when I walked to the front of the room. …again wow!

I thanked them and they asked what I teach. I explained how I teach leaders how to treat customers the way they both just treated me. It turns out they both had over 25 years of experience and Richard served clients for over 30 years on a commission only basis prior to joining Stein Mart.

Since that time I have told over a dozen of my friends about what a welcome interruption it was to receive such amazing service. I told everyone about the team of Howard and Richard and if you want to have an expert serve and fit you, you need to visit them at the store on Shea near the 101 freeway in Scottsdale.

When you are being served by a market leader, someone experienced in serving the needs of their buyers, the overall buying experience is amazing.

You can identify Market leaders by the questions they ask, and their bottom line.

Market leaders make you feel like your goal becomes their goal as well.

Market leaders not only want you happy, but they want to make you a raving fan.

How about your organization….

Are your salespeople trained as well as Howard and Richard?

Are you hiring “service people” or “salespeople”?

Is your team creating raving fans?

Do your clients feel like your team members are “internal champions” for their needs …or just trying to hit a goal and make their commission?

(In hind sight I now wish I had the guts to have the pants cut without a cuff as Richard adamantly recommended, but I chose cuffs …obviously showing my lack of knowledge in the current styles.)

Remember… buyer’s like to buy…they hate being sold.

Our job as salespeople today is to help buyers buy.

Guide buyers through their buying process and be their internal champion and not just “protect the fort” of company policies, rules and reinforce “we can’t do that’s”

Thank you Howard and Richard!

I can only hope I make my clients feel as you both made me feel.

Technorati Tags: buyer experience,buying experience,entrepreneur best practices,good questions,sales consultant,sales,sales training,service,buyer needs,buyers like to buy,salespeople job today

Entrepreneur best practice #3; If Sales are Scary, You Can NOT Afford to NOT get Creative..

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Market leaders act different. They understand it’s about more than taking your customer’s money. They go out of their way to teach their clients about their products and they show their clients creative new ways to use their products or services .

Market leaders focus on the buying experience.

The net result is they deepen the bond, the trust, with their clients and their sales increase.

I needed some chlorine tablets for my pool floater so I went to Paddock Pools. I have tried a number of pool supply stores over the last eight years, but I always come back to Paddock. I could buy my tablets at Home Depot, or even Big Lots if I time running out correctly, but I prefer to pay a little more and buy my chemicals from someone who knows pools.

As I entered the store I could not help but notice a mini Haunted house to my right. I thought how cool…just like they create amazing Christmas tree displays to offset their down season sales, they also have Halloween decorations.

How smart…they created a merchandising customer experience.

As I checked out with my new bucket of chorine tablets I was asked …” Did you go inside?” I admitted the young boy still inside me wanted to, and she encouraged me to go inside and check it out. So I ducked my head and went through the cray paper streamers and went inside.

Inside there where all kinds of products merchandised to illustrate how to use them, even a spooky fireplace in the back of the room. Everything in this mini Haunted house were product’s the store sells and they showed how to use them with a little creativity.

I just had to ask the cashier how long this took to build and the cost. She said with a smile…” well we argues about how to do it for an hour, …we planned it for another, then it took two hours do when the store was slow.” I asked; “was it expensive?” …she said “no, not really.. I think we spent about $75”, (and my gut said they spent their own money and did not expense it.) I asked if I could take pictures of their handiwork and their faces just lit up with smiles.

When business is tough you must be creative. As I discussed in my post about leveraging what you have, you must assess what you have instead of doing what most struggling entrepreneurs do and that is make a list of what they need to be successful…”if we only had….we could hit our revenue numbers”.

This store, this organization, did a number of things right…

They leveraged what they had.

They stuck to their “flight plan”

Created an experience and not just a floor display

They “showed” their clients how to use their products

They “taught”their clients

They empowered their associates to be a part of the solution

They recommended I check it out

Once inside they had a create Halloween Christmas tree, reinforcing their other seasonal products

If I had young children, I promise you this display would spread in their network of friends and parents would be visiting this store, or junior would make their lives miserable until they did.

Market leaders act differently.

They understand it’s about more than taking your customer’s money. They go out of their way to teach and show ( versus tell and sell) their clients creative new ways to use their products or services and they focus on the buying experience. The net result is they deepen the bond, the trust, with their clients and their sales increase.

How about your business….

What can you do today that is creative, but is not expensive?

How can you create a customer experience instead?

When sales are scary you must leverage what you have and get creative to; “create sales velocity”.

I plan to circle back with this Paddock store and hopefully their manager will share with me the sales this year compared to last year as a % as my guess is their seasonal Halloween merchandise sales will see an increase AND their other products will as well.

Great Job to those at Paddock Pools who built this display in the store on Shea near the 101 freeway,… if you live nearby , bring the kids and check it out!

Technorati Tags: Entrepreneur,entrepreneur best practices,bootstrapping,get creative,grow sales,buyer experience,buying experience,passion,empowered employees,create sales velocity

Entrepreneur Best Practices; #2 Dismiss or Distribute “Yafo’s” quickly …

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Entrepreneurs are an amazing breed. There is nothing like the thrill of launching a new product, service, and or business that perfectly solves a market need. Entrepreneurs are wired differently. It’s as if we have radar for problems and an inner passion to connect and solve them…we can’t turn it off. I share this in my recent pod cast on the struggling entrepreneur.(Episode 101A)

Market leading entrepreneurs understand how to harness and focus this gift, this blessing.

As the biblical prophet Jimmy Buffet says…” a blessing becomes a curse if you keep it to yourself”. So it literally drives us nuts to see problems and solutions so crystal clear that it interrupts our drives home at night, our work outs at the gym, and worst of all time with our loved ones. We just can’t seem to shake it.

However this blessing left unchecked can also become a curse with out a filter. Since entrepreneurs see market needs and create solutions, they often can not turn off the opportunity identification gene. At a recent Tie meeting the entrepreneur who had the vision and launched Kaboodle, said it best;

“One area entrepreneurs must learn to manage is YAFO’S”.

Yet

Another

Frickin (edited)

Opportunity

One way entrepreneurs can build that ever so needed filter is ;” Buy a Map” as I discussed in a previous post. When you create your road map, or your “flight plan” as I have always called it, it helps you identify opportunities that are along your flight plan and accelerate your sales velocity to your desired destination. Your flight plan also helps you see that the YAFO you have just identified is too far off the current flight plan (would delay your arrival at your goal location) and helps pull your focus back to the current opportunity.

So what do you do with YAFO’s?

learn to dismiss them…quickly
create a new company to serve the opportunity if its large enough
Distribute (sell) your idea to a current leader in that space and get back to your flight plan quickly.

As I said, entrepreneurs are wired, deep in our DNA, differently. We see problems and opportunities everywhere we go. We just can’t help it. For example my wife and I were out on date night and we went to see a great date night movie; The Ugly Truth. As we were driving home, and having many discussions about the movie, it hit me; someone ought to share the “Ugly Truths “about starting and owning your own business.

Far too often the people that come to me have been sold a false, get rich quick, a four hour work week , expectation. Some accomplish this but for most of the entrepreneurs I have worked with over the past 25 years it is hard work and long hours. So I wrote the eBook you can download on my blog; 50 Ugly Truths About Owning and Running Your Own Business, and why you should do it anyway. (I literally could not sleep until I set this idea free)

Market leading Entrepreneurs implement clear flight plans, and they quickly identify YAFO’s for what they are.

How about your organization…..

Do you need a filter? Are you chasing multiple opportunities and not getting anywhere fast?

Are your efforts building sales velocity? Or chasing YAFO’s that are taking you off course?

What do you do when you find a YAFO?

A blessing can become a curse if we keep it to ourselves. However we must develop a filter, a flight plan that helps us quickly dismiss or distribute opportunities that are not in alignment with our flight plan.

A lack of focus stalls or decimates sales velocity….if you let it.

Not dealing with YAFO’s correctly delays and often derails your flight plan to your goal.

Technorati Tags: YAFO,YAFO’s,entrepreneur,flight plan,road map,focus,grow profitably,sales velocity,sales growth,grow small company

2009 Health Care Reform Initiative Lesson #7: Asking…and not listening to your market, is worst than not asking at all…

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A number of organizations are so focused to achieving their objectives that they stop listening to their market. Oh, they ask the right questions, (like they are supposed to) but they only hear the answers that are in alignment with their internal goals, understanding, and historical data. The market (your market) has changed as I discussed in my post interviewing salespeople. So asking open ended questions in your market is imperative to gaining current information and understanding the buying process of today’s market. When organizations ask, but not authentically listen, they create more damage in the trust between their team and their market than if they never would have asked in the first place.

I received an email invitation to attend a telephone town hall being held by Harry Mitchell. What the message said was;

U.S. Rep. Harry Mitchell will participate in two live telephone town hall meetings to discuss the issue of health care and health insurance reform on Wednesday, August 26, with individuals residing in Arizona’s Fifth Congressional District.

“I believe that the telephone town hall format maximizes the ability to engage respectfully on the issue with folks across the district,” Mitchell said. “Reaching more people and taking more questions provides an opportunity to constructively listen to the thoughts, concerns and opinions of people and to answer their questions about the proposals in Congress. I also want to highlight the provisions where there is bipartisan agreement and on benchmarks I believe should be met in order to gain my support.”

I have followed Harry Mitchell since moving to Arizona and what appeals to me is he seems to be a regular guy, someone I could call and have a conversation with. Someone, unlike a number of representatives in Washington, he is one of us. On his website he does a much better job than the Obama administration in clearly stating his views;

As I meet with people throughout the district, many have shared with me personal stories about health care. Like most Arizonans, I believe that rising costs and the threat of losing existing coverage is cause for great concern.

Our health care system needs reform and I believe that it should be comprehensive. Reform should not only improve access to affordable and quality care for all Americans, but it also needs to also preserve individual choice and protect competition in the marketplace. Reform should not leave individuals with fewer options, should not add to the national deficit, and should not leave doctors with inconsistent and low reimbursement rates as is often the case with Medicare.

This page closes with:

While our advances in the health care system are the envy of the world, too many Arizona families and businesses are facing skyrocketing costs, the threat of losing coverage, or denied care by their insurance companies. Reform needs to protect what works and fix what doesn’t. Any solution must first start with an open and honest conversation that gives all of the stakeholders in the debate a seat at the table. That includes you.

As legislation works its way through Congress, I will continue to review the bill and monitor its changes. I have also created this resource page where you can also read the bill, access information about the legislative process, and contact me with your thoughts.

Awesome, he clearly has done what I ask business leaders to do;

go out into your market, discover their needs and unresolved problems listen and do not try to overcome their objections…

Here’s my concern; Is a telephone conference call truly the best venue for you Harry, and your brand?

I do not think so, and I think it will be the biggest strategy mistake in your career….but I may be wrong. For me it is an interruption in your Brand. But then again all who Am I? I live in Arizona, I am a Republican, and I help business people connect with their markets which ultimately results in explosive growth. However, what this “feels” like is you are trying to control the voice of the customer. Whoever recommended a telephone conference, in my opinion, should be asked to serve in another capacity on your staff. I thought it might just be me, so I asked a number of friends, and unfortunately perception is reality and the perception is you are afraid, and you want to control the venue. The reality may be you truly want to serve more people in a better way; however the execution does not match your Brand so we are Branding you by Default.

I tried to sign up for the telephone conference but your web site said;

Note: Due to heavy traffic, we are experiencing delays with our email system. If you encounter difficulties, please return later and try again.

Did you not expect heavy traffic? Did your advisor not research what was necessary to support this venue, support you?

Here’s the problem, we the American people have lost trust. The shame is you “feel” like a great , Authentic guy next door, (like someone I wrote about ), however this teleconference “feels” like you will be “telling and selling” not listening.

It feels like you are trying to control the voice of your customers and shape a confirmation of what you already believe and not listen and learn.

When you ask buyers why they do not buy, most think it is price, or the product is not right…but what buyers tell you the top two reasons are;

#1 the salesperson did not listen

#2 they did not understand my problem

Keep in mind, as consumers, we Love to buy…we hate being sold!

I truly hope your motivation was to reach more people and provide a positive venue to address real questions. I was not able to participate but I hope to hear from those that do. However, if you are trying to control the voices of your marketplace, stop, and have someone on your staff buy you a copy of a book titled: World Wide Rave.

How about your business…

Are you asking and not listening?

Are you trying to validate and support your beliefs or are you authentically listening and connecting to unmet needs?

Are you “selling and telling” or listening and solving?

Did you attend the teleconference? How did it make you “feel”?

You see, at the end of the day how markets “feel” about you, your company, your Brand, and if you and your team authentically Listens, Understands, and solves my problems affect their purchase decisions. Each purchase is a vote of confidence.

Technorati Tags: town hall teleconference,listen to your market,find market problems,not listening to your market,brand,brand by default,Harry Mitchell

2009 Health Care Reform Initiative Lesson #1: Without a Clear Definition of the Problem You Want to Solve, You Will Experience “Scope Creep” and Your Launch Plan Will Fail

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Without a clear definition of the problem(s) you solve with your new product or service you will experience scope creep and your team will thrash around. When you thrash around you have a number of starts and stops without completely solving each individual initiative. Not only is this behavior ineffective but it is costly and often dangerous.

Fundamentally I agree, if what the news media tells us is true regarding; the number of uninsured Americans, the rising costs of care, the rising costs of caring for uninsured Americans,… that there is a problem that needs to be solved. However I do not understand the problem, or problems we are trying to solve with the 2009 Health Care Reform Initiative, nor how the over 1,000 page proposal solves them.

I see this frequently with entrepreneurs. They discover what they perceive to be an unresolved market problem and the solution is crystal clear (to them) so they launch. They take out 2^nd mortgages, they cash in their 401k, and they ask family and friends for support. (Money) They share their brilliant idea with their buddies on the golf course to validate their idea and everyone says… ”brilliant idea”. However very quickly they learn an expensive lesson when they expect (and have created the support) to sell 60,000 units and only sell 2.

Without a clear definition of the Problem you solve your New Product Launch Plan will fail.

Instead of clearly defining the problem, quantifying the need, making sure people want and will pay money to solve that problem they broaden their scope. Now they have a number of messages floating in their market that are Luke warm at best and none clearly articulate how you solve any problems for buyers in your marketplace. None are connecting with anyone.

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I read an article on BrandWeek today by Anthony Crupi titled: BMW Pumps Diesel and Anthony did a particularly good job in grasping BMW’s objectives behind what we are about to see in a new BMW ad;

“For us, it’s about changing the perception that diesel is still that noisy and smelly [technology] many people remember from the ‘70s.” “For us, it’s about changing the perception that diesel is still that noisy and smelly [technology] many people remember from the ‘70s.”

The trouble is, as a potential consumer of one of your driving machines…I really do not care Patrick (the guy in charge at BMW) what it is about “for you”.

What problem are you solving for me?

“Affluent Americans don’t want to sacrifice performance for fuel efficiency,” McKenna said. “The 335d can go from 0-60 [mph] in 6 seconds flat …That’s immediate power.”

Now you are talking!

But what about starting my diesel car at the Cleveland airport in the winters…did you solve this?

Although not as focused on the environment and fuel efficiency as I should be, I do follow the cost per gallon of fuel, and if I am not mistaken, one of the historical advantages of why consumers chose diesel vehicles was the lower cost per gallon.

On the one side you have Mercedes, who did a great job of connecting their product to; Luxury, power and torch, and longevity (they run forever)

On the other side you have VW who have raving fans of their economical diesel vehicles that are fun to drive and last forever as well. VW too is tapping consumers on the shoulder today with a message of ““Better performance AND higher gas mileage than a Prius”.

From my days in international sales I still have relationships with past JV partners in Germany that are now friends and they openly share how fun their BMW 3 series are to drive.

GO TALK WITH CURRENT RAVING FANS NOW; CONNECT TO THEIR VOICE, THEIR PASSION, CLEARLY UNDERSTAND, IN THEIR VOICE THE PROBLEMS YOU SOLVE.

What this “feels” like is you are trying to win the hearts and pocket books of “potentials” those people who are not current customers, and are not currently shopping, but thinking about diesel vehicles? So you are actively attacking their perceived problems with your solution. Your current raving fans in the US who own M5’s will pass on your new offering.

So who is your targeted buyer persona?

New buyers of diesel vehicles are more likely to swing into VW’s camp as their position is clearly defined if their need is; fun to drive, economical, and longevity. If what they want is performance and Luxury, they will swing to Mercedes who currently owns this position.

Is this Product Launch (re launch really as you are one of the leaders in diesel vehicles in Europe) an example of “Right idea but late?” We will see…

I am looking forward to see this ad, as I am a huge fan of your vehicles, engineering, fit and finish, just not a fan of your execution of marketing “messaging” as of late as I discussed in my blog post : The Expression of Joy Ad campaign by BMW; May be an Expression of Big Money Wasted http://nosmokeandmirrors.wordpress.com/2009/07/28/the-expression-of-joy-ad-campaign-by-bmw-may-be-an-expression-of-big-money-wasted/ . Business leaders follow you “Big Guys” and I would hate to see smaller businesses clouding their messaging with “creative that requires an interpreter”. (But there I go again being a ROI driven Neanderthal)

Again Patrick, you make amazing vehicles, but because of that my expectation is your messaging will also be amazing. To be amazing I want to “get it” when I see it, and not be like everyone else in a packed movie theater and groan when your ad is played.

I want you to clearly state the problem you solve for me. I do not want some “foo foo marketing creative” that requires an interpreter, because then BMW means Big – Money- Wasted to me.

How about your business….

Does a big expensive ad add value in your business?

Or do they send a message you are disconnected to the market’s true needs?

Or worst, do these big budget ads and media buys make you, as a loyal customer feel you must have over paid for their product if they can afford such Big Money Wasted?

I predict this campaign will be a flop if I need an art director to explain it to me and they do not explain their distinctive competence clearly with an emotional attachment that resonates with me.

Technorati Tags: BMW Z4,BMW,Ads,Advertising,message,messaging,problems you solve,marketing

Mentor Moment #9: Insight without Action…a waste of time and money

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As a leader in your business are you constantly challenging what is believed to be the truth in hopes of identifying unmet market needs and roadblocks to servicing your market? Or, are you busy brainwashing your team with inside out beliefs that are only true in the recesses of your gut and intuition?

One of my favorite scenes from the movies came from A few good Men, the famous “you can’t handle the truth scene.” In this passionate exchange Jack Nicholson states “you can’t handle the truth!” This scene resonates with me as I have found myself in a position far too often when I have been asked to help take a company and its team to the next level. The first thing I must do is help the team gain truth and market loser teams wish to debate the findings.

My first step always is get in your market, deep in your market,with customers, and non customers alike.

I am often referred to as a Heretic as my loyalty is not to the understood norms created inside your building, but to gaining true market knowledge to drive decisions that increase shareholder value. we will be asking a lot of open ended questions with the focus on understanding the truth. I highly recommend every business leader make it a point to intimately understand the market of today as we redefine “normal”. Once we gain current market knowledge, we undertake what often takes the most energy;the Detox of the leadership team from truths created in boardrooms and often in the “gut” of their leader.

Leaders must know what they know, and know what they do not know. You have an obligation to those you serve to gain market knowledge to insure the strategies you implement add the maximum value.

So how about you and your company….

Do you have a clear understanding of the market truth(s) of today?

Are you assuming the truths developed inside your boardroom are true? Or are you a fellow heretic constantly checking in on the market you serve to gain an intimate knowledge of its unresolved problems?

As a leader, are you playing it safe agreeing with the market (Loser) assumptions? Or, are you gathering the truth and sharing it with your fellow leaders? (market leader)

And now the big question…can your team handle the truth?

If you can’t handle the truth don’t ask for my help, as it’s a waste of my time and your money.

Technorati Tags: market knowledge,truth,market leadership,market loser,redefine normal,inside out,strategy

Are you Enabling your Sales Force or Emasculating them?

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Market leading Sales forces are singularly focused: to sell stuff.

Sales are one of the most accountable areas of the organization and often are under the constant microscope of senior leaders as they have a significant, immediate, and direct impact on the bottom line. Companies must enable their salespeople and not emasculate them. Over the past 25 years I have always preferred to hire the sales stallions over order taking geldings. Stallions require you to have a high emotional intelligence, and they will often try to get your goat, however they consistently produce and add value. While geldings wait to be told what to do, how to say it, and where to go. Stallions are saying get out of my way or I will run over you.

Market losing organizations myopically manage every sales activity and create approval thresholds that slow the sales cycle when the heat is on and the market dries up.

I thought it would be helpful to get inside the mind of a salesperson today, in this economy…so I interviewed a few and below is a summary is what I heard…

It’s simple really, as a salesperson our job is to; Sell. Yes you ask me to do all kinds of little side projects, write reports, and conduct market investigations gathering data to insure what marketing is telling the CEO is actually what’s going on out here in this mystical place called “our market.” However at the end of the day my compensation is specifically tied to: selling stuff. The more stuff I sell the more money I make. My job is to “make it happen” with whatever you folks at corporate throw over the wall.

I tried telling you the reason that last product launch failed was because you created a product because you could and not because you should…but you said I was just making excuses and I needed to “sell through objections…and hit my numbers”

My pay, my commission rice bowl if you will, is about selling as much as I can, as quick as I can, and building relationships that plant seeds for future sales. With the internet my customers are more knowledgeable than they have ever been before about our products and services, (they often know things about our company before I do these days and this really makes me look bad in my market) so my job is really to help buyers solve their problems with the stuff I sell, and help them buy from us. I don’t like to discount our product unless I have to because my commission is based on the selling price, and the more I discount the more units I will need to sell to hit my targeted compensation.

My buyers are really it playing close to the vest right now;

· My buyers have to justify every expenditure to the “higher ups” who they do not have relationships with

· C-level executives need to sign off on all orders

· I have to speak with all kinds of people I never had to sell before; CTO, CMO, CEO, CFO…

· Customers are not stocking up and they are taking much longer to buy, our programs give customers the incentive to buy volume, but they want Just In Time

· My buyers have the C-suite recommending all these competing vendors to our products and my buyers are spending time chasing these leads the C-suite read about or heard about at the country club…versus keeping a close eye on my inventory…so now I am checking our inventory for our customers

· Since you have changed my compensation, I am working twice as hard, twice as long and struggling to make what I made last year

· After the headcount reductions we had at corporate, we have dropped the ball a number of times over the last six months and I am being pulled to fix past sales issues in ;customer service, billing and quality issues ( you see I am out here, I have to stand belly to belly with these folks called “customers” and I can’t hide behind voice mail, email, or transfer them to someone else, if I do not solve these past sales issues they will not buy until the problem is fixed.

· My family life is strained, you see we established a lifestyle based on my past compensation, and when you changed it, it not only affects me, but it touches my entire family. My wife and kids felt I spent too much time working as it was however they justified it because I am a work-a –holic and we were making good money, but now they pressure me..” why work so hard after what they did with your pay..You need to go someplace where you are appreciated like XXXX used to.”

· About 70% of what marketing gives me I do not use. I know it will piss you off, but what I have been doing is writing my own stuff and using some of what Mike also created up in the North West region, you see it is old, but it works!

· I lost another customer last week because we out sourced XXXX to china. I know you said we make more profit and their cost is 1/3 of what it would cost us to make it, but if it’s junk what’s the point. Besides, I have been selling him a lot of other products and now I lost the entire account over the stuff we outsourced?…I know sell through it…

· The young “Hitler youth” you hired in accounts receivables has pissed off a number of my key accounts. I hear the CFO told him to trim 15 days off the receivables aging? Well if he keeps threatening my customers, you won’t have to worry about receivables much longer! Is it true you have him on a commission of what he collects? No wonder he put my largest account on hold for $3500 12 days past due…it’s hard enough out here guys!

· That launch of xxxxx was great, but now we are on back order and my buyers are calling to check on their orders versus buying more.

So for all of the leaders out there who never have carried a sales bag, I hope the above was enlightening.

(do you still think a monkey could do it?)

Having led salespeople for 25 years, what they said did not surprise me, but what took me back was the energy, anger even, in the way they said it. Are you listening and observing the challenges your salespeople are experiencing? Are you creating sales enablement tools to help keep conversations flowing to a sale? Or are you telling them to stop making excuses and “just make it happen”?

I was also taken back by the disconnect that seems to have grown wider when the teams became challenged by current economic conditions.

Market leaders grow closer through challenges and emerge stronger.

Market losers conduct Blame-storming that adds no value and if left unchecked cripples a team.

This disconnect should not surprise me really because I frequently speak with business owners and senior leaders who say things like;

· “I make sales come to me personally with each “deal” they want to give away “Why? “Well because, if I told them upfront the range I am willing to work in they would all sell at the lowest price, and give away the farm” [for what it’s worth this is a trust and respect issue not a pricing issue gang]

· “Saying the economy is tough is just an excuse, when I carried a bag….” (he carried one 20 years ago)

· Marketing ; “ we just spent six figures on the re-launch of xxxx and sales is not using any of the tools we developed, we need to hold them more accountable”[ no, how about understanding the market and the buying process and creating tools to keep conversations flowing?]

· I heard a marketing executive say; “sales is like water, they take the path of least resistance to a sale” [how would that make you feel if you were in sales? Does this sound respectful to you?]

· A CFO said recently; “with what we are paying them they should be working 18 hours a day.”[Really? In most organizations sales is compensated with a base and a commission. Most commission rates vary from 5% to 15%. So Mr. CFO , you should look forward to cutting those commission checks because for every nickel you pay, you get ninety-five cents]

Tough times cause the true nature of people and teams to emerge. Market leading teams use adversity to become stronger.

Market losing organizations “eat their young”.

How about your organization?

What behaviors are you seeing when your team becomes stressed?

What other comments have salespeople heard that show a lack of respect for sales?

What comments have salespeople made that show a lack of respect for other departments?

Do you feel silos (kingdoms) are healthy, or negatively impact bottom line results?

Market leading teams tear down silos and align their entire team to a specific mission and establish key performance indicators that measure what matters. Market leading teams reward cross functional behavior and crush kingdom building.

What kind of a company do you work for?

Mentor Moment #8: “Haste makes Waste”

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Is it just me…or do our fathers seem smarter as we get older? When we as individuals or organizations “haste” and drive knee jerk reactions they also create waste and often make matters worse.

I can remember my father saying “haste makes waste” throughout my childhood. He said it when I was painting our fence and I was so focused on getting done I was not aware of the mess I was making beneath the fence and would latter spend many extra hours cleaning up.

I try not to talk about politics in my blog, however a great example of “haste makes waste “can be viewed today by watching the actions of President Obama and the Democratic Party with regards to the stimulus and healthcare reform. They moved so fast to push a stimulus bill through the system that a number of those involved in signing the bill, failed to read it. As a Christian man I am to pray for my leaders so I prayed that what looked like haste makes waste was not the case. However we are well into the stimulus and it should not shock anyone that what was rushed to signature has failed to produce the promised results.

Same play, act two…the healthcare reform bill. Again we are seeing a rush to closure. When hitting a date becomes more important than what you are doing you are lost, off track and must STOP. I agree we need to reform healthcare so I am not arguing about the unresolved problem, the need. What I am concerned with is the focus on quick closure verse writing a bill that will truly solve the problem. Is this something only politicians do? Unfortunately no.

We can look in the Bible and read Samuel to learn what happened to Saul when he failed to wait as instructed and rushed into battle. Like an unruly child saying “but I want it now” (The only battle he lost, but the one that was the beginning of his end as the leader)

In business we see leaders making plans and focusing so much energy on holding teams accountable to a specific date they fail to achieve their desired results. Part of the waste can be seen as products having to be re-launched. We see businesses and Politian’s going back to their supporters and asking for more support as the initiative they hasted failed to deliver when what they need to do is Detox.

When we haste we create waste, and waste is something none of us can afford today.

How about your company, have you seen your team “haste” that resulted in “waste”?

Why do leaders seem to connect to timelines more than outcomes?

Does it really take longer to do it right, gather data, seek the advice of experts, than to haste?

Have you ever seen something hasted through that hit or surpassed its objectives?

I can hear my dad now, if he had a chance to address the President and congress: Haste makes waste…and what you are wasting is my, and my great great grand children’s’, futures. Based on the polls they do not seem to be listening, but you can listen in your business and make sure you are not hasting.

What are we supposed to do when the Heat is on and our market dries up?…SOW!

1 Comment

The bible is very clear that we are to SOW in the dry spells, in the time our business hits a dry spell, yet so many market losers do the opposite.

It was 114 degrees yesterday, here in the Arizona, and I know people say it’s a “dry heat” but that does not seem to console me…it’s hot. Simple errands seem to drain you, suck the life out of you even. For example in this time of the year all the trees are dropping their pods full of seeds. Although the animals welcome the food, they quickly make quite a mess. So there I was at 6:00 am (102 degrees) picking up pods in my yard before it got hot. How ironic that the trees are dropping seeds when we are in the hottest part of the summer, where’s natures wisdom in that? Actually it is smart because when the pods fall they are baked in the desert sun and they crack open allowing their seeds to fall into the earth. When the rains return, the seed is now in an environment to take root and grow.

I was thinking about the wisdom in this as it relates to what we as business people must do when our market becomes dry and the heat is on to hit our numbers. The Bible is very clear we are to “SOW” in these times. What does it mean to “SOW”? At Dictionary.com the definition is;

1.	to scatter (seed) over land, earth, etc., for growth; plant.

2.	to plant seed for: to sow a crop.

3.	to scatter seed over (land, earth, etc.) for the purpose of growth.

4.	to implant, introduce, or promulgate; seek to propagate or extend; disseminate: to sow distrust or dissension.

5.	to strew or sprinkle with anything.

The Bible has a number of lessons about sowing. It is very clear we are to;

“Sow in the midst of suffering”

“There may be no fruit now, but the grains of love and faithfulness you have scattered will produce a rich harvest”

“Let your eyes be on the field which you reap”

“Each will receive what he has earned.”

If you feel your market has dried up, it’s time to start sowing. Ironic however that I see a number of companies doing just the opposite; cutting back on marketing and sales travel. Market leaders are taking this time to sow.

As I explore this deeper it is often the result of not having and understanding of what marketing and sales activities actually produce fruit and what are just “ Activities”. To ensure you are sowing to produce the greatest harvest the first thing you must do is understand how your buyers buy. What makes their soil fertile, and what causes the seeds you plant to be washed away? What marketing initiatives are you doing today that are falling among the rocks and will never take root? What marketing and sales activities are you doing today that are falling among the thorns only to have sales spend time on them as “good leads” only to have the life choked out of them before they produce fruit?

The key is to know your market and more specifically your buyers.

How about your company…

How well do you know how your customers shop for your product?

What do your buyers use as buying criteria?

Where do your buyers go when they have a problem they need solved?

Who are the key influencers that impact your buyer’s ability to purchase today?

Answer the above and compare the answers to what your team is currently doing and you will be well on your way to a bountiful future harvest.