Understanding the Marriage of Technology and Human Behavior

 

Jan. 12, 2012

Whether you’re selling products, services or both – your marketing/sales future depends on whether you’re up-to-date on technology. That’s because it’s so intertwined with human behavior.

An interesting article in Ad Age is a timely reminder.

It’s entitled, “CMOs Explain Why They’re Flocking to Vegas for CES.” The article explains why thousands of advertising and marketing professionals consider the annual Consumer Electronics Show in Las Vegas a must-attend event.

The obvious conclusion: CES is vital for their job security. On a macro level, marketers attend CES to stay abreast of technology and the resulting human behavior – how people connect with brands.

They understand the importance of profiting from emerging human behaviors.

Not to criticize, but that’s why it’s so puzzling that Microsoft ended its 15-year association with CES as the anchor sponsor. Yes, I understand the reasons given by Microsoft. But when you own a franchise, you don’t give it away. You’ll never recoup it. And CES is the go-to tech event at the start of every year. Like soft drinks and Coke, Microsoft needs to be synonymous with new technology.

Further, it’s a chance to meet face-to-face with thousands of influential people and to stay abreast of technology. And as each year passes with new evolving technology, CES becomes more important.

From the Coach’s Corner, here are marketing resource links to keep up with your competitors –

How Small Businesses Can Capitalize on Cyber Strategies for Profit

Why B2B Marketers Like Content Marketing – Study

Best Practices to Optimize Your Brand, Manage Your Web Reputation

“Many of life’s failures are people who did not realize how close they were to success when they gave up.”

-Thomas A. Edison

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Terry Corbell is a business-performance consultant and profit professional. Click here to see his management services (many are available online). For a complimentary chat about your business situation or to schedule Terry Corbell as a speaker, why don’t you contact him today?

Do You Want to Be a Ninja Innovator? Here’s How…

 

Every company wants to be successful in this worldwide downturn. But to achieve lofty goals, certainly innovation is the key in our new economy.

To become an innovative leader and to participate in turbo-charging the economy, it’s vital to continually evaluating your organization and strategizing for success. It takes involvement by members of your entire operation, and in most cases cultivating a new culture.

That means identifying your company’s assets, processes, resources and skills.

In a nutshell, here are the main points to consider in your analysis:

Human Resources – Completely review your capabilities in human resources with a focus on your competencies and weaknesses. Determine your abilities to achieve a competitive advantage.

Consider your recruitment process, training and development, and compensation systems.

Assess the strengths and weaknesses of your organizational culture, especially your leadership capabilities.

Products and services – Evaluate your offerings in terms of breadth and mix, quality and reliability.

Marketing – Take a hard look at your image, research, development, distribution channels, brand equity, sales personnel, customer-service quotient and market share.

Query your customers. What are their viewpoints? Evaluate your customer base to see if they meet your goals for growth.

Examine your potential marketplace with a focus on socio-culture – demographic trends and tastes, economic trends from interest rates to inflation.

Operations – Evaluate your productivity, quality controls, facilities, supply chain, technology, information systems, and management strengths and weaknesses.

Financial performance – Keep an eye on profitability. Forecast your revenue growth. Assess your asset utilization, debt-leverage position, liquidity and equity position.

Competition – Compare the missions, strategies, and competitive advantages of the competitors? 

Following your analysis, there are six steps to take. 

Here’s a checklist: 

1. Using your analysis, develop a big-picture strategic action plan.
2. Make sure you have a comprehensive human resources program that encourages collaboration among teams. That means maximum delegation, empowerment, training and succession planning.
3. Encourage blue sky planning sessions.
4. Continually evolve. Leverage the insights of your devil advocates with an eye on your company’s potential. Ask the right open-ended questions for optimal creativity.
5. Practice the “Principle of Contrary Action” to keep an open mind. Dare to be bold. Consider all alternatives.
6. Keep chipping away.

From the Coach’s Corner, here are related resource links:

Developing Trends, and Solutions for Manufacturing Success

Study: Why Lean Manufacturing Principles Often Don’t Work

Link between Financial Performance and Succession Planning

Management Strategies for a Successful Turnaround

“When planning for a year, plant corn. When planning for a decade, plant trees. When planning for life, train and educate people.”

-Chinese proverb

 

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Terry Corbell is a business-performance consultant and profit professional. Click here to see his management services (many are available online). For a complementary chat about your business situation or to schedule Terry Corbell as a speaker, why don’t you contact him today?

 

The Lost Art – How and Why to Use Cold-Calling for Higher Sales

 

Are you lacking in sales revenue? Do you get enough face time with the right prospects?

Cold-calling is no longer in vogue. Many sales executives and salespersons are perplexed about getting new ways to make sales.

Obviously, a key is networking to help meet the right prospects. It’s important to start at the top. It’s easier to work your way down than it is to work your way up. And in my experience in B2B cold-calling, using the telephone to make appointments with senior executives does not work.

So what’s the No. 1 effective way to land face time with prospects? First, let’s remember that in the interest of time management and stable cash flow for years to come, it’s critical to consider the big picture — the short term and long term.  Apropos here, there’s an old sales adage, “Find a need and fill it.” 

Therefore, consider in-person cold-calling for two salient reasons:

• It works for short-term sales results.
• It helps build a foundation leading to long-term relationships. 

Why does it help long term? If implemented adroitly, you will forever be remembered from the favorable first impressions you created when the person met you.

Unfortunately, many salespeople dislike it or more accurately, they are afraid of in-person cold-calling. They and their sales managers are also worried about time-management and fuel expenses. Consultants loathe such cold-calling, too. For them, it’s undignified — it feels reminiscent of early in their careers when they cold-called “with their hats in their hands.” They much prefer referrals.

Yes, referrals are a great asset. But what if a salesperson can’t get enough referrals? It’s time to rethink the problem and solution.

In-person cold calls do indeed work.  Why? Remember, the goal is getting both feet in the door for face time. That’s why I especially keep in mind the adage, ”Do the footwork,” literally. In-person cold-calling visits work well — if the right strategies are used.  It worked for me years ago as a young salesman. It worked well when I was job-hunting. Today, it works well for me as a confidential business-performance consultant when I want to get outside for fresh air.  It’s energizing.

Three memorable examples: In-person cold-calling has worked to immediately get me in the door to see the mayor of a city, the CEO of a paint company, and an executive in broadcasting. 

The latter two were visibly impressed and made these respective comments: 

• “Geez, I wish our sales people had the ability and initiative to make cold calls!”
• “Wow, you’ve got guts.  I’m going into a staff meeting right now and cite you as an example!”

The mayor’s reaction:  “Please come in. I know your name, but how? From where?”

Yes, I’ve heard all the arguments against in-person cold-calling visits, but in my experience it does work — if implemented effectively.

Consider this checklist: 

1. Approach the process with the right attitude – an attitude to provide a valuable service or product, and an attitude of gratitude.
2. Research your prospects prior to making cold calls, so they’re not really cold calls, at all.
3. Implement effective sales techniques, including empathy for the gatekeeper.
4. Be poised with a professional appearance.
5. Speak with formality until told not to be formal, e.g. Mr. Smith, Ms. Jones.
6. Cold-call on the right days during day-parts when prospects are more likely to be receptive.
7. Be strongly branded, and present the right collateral to prospects.

Yes, get published, be interviewed in the media, use all social media including LinkedIn, join the Rotary and be an active Chamber of Commerce member, etc. But don’t be afraid to make in-person cold calls to make appointments. 

You’ll receive seven possible benefits: 

1. You get to size up the prospective organization about its structure and culture.
2. With such face time, you’ll get an opportunity to start building a rapport with the gatekeepers.
3. The prospects’ gatekeepers and decision-makers are in a position to evaluate your professionalism.
4. Sometimes, you get really lucky – you’ll be immediately ushered in to see the boss, who makes a buying decision on the spot.
5. It yields appointments, even when the gatekeeper objects – “You don’t have an appointment?”
6. If able to schedule an appointment, when you return you’ll be more familiar with the prospects’ surroundings, which means you’re more comfortable when asking questions and providing value propositions as the prelude to your follow-up sales presentation.
7. You’ve started laying the foundation for a long-term relationship.

As one who has earned every wrinkle, I still use every marketing tool including in-person cold calls.  However, I only use the telephone for follow-up.  That’s also what I advise clients.  When executed strategically, in-person cold-calling works beautifully. 

Incidentally, in-person cold-calling also works in B2C sales or if you’re job-hunting. The key in job hunting is to be proactive in cold-calling. Don’t wait for the ads to be published. Do it now.

So, in-person cold-calling does work, if you do the right footwork. After it starts working for you, don’t stop. Or, you’ll again be stuck — without enough face time for business development and the ultimate goal – higher revenue.

From the Coach’s Corner, here’s a related column – The Seven Steps to Higher Sales.

P.S. If you’re kept waiting when you show up for the appointment, take it easy and don’t be insulted. Consider this axiom: “The longer they keep you waiting, the more they want you.”

Some days, sales calls require a backbone and resilience, especially when some people are rude. Try to be understanding. Assess whether it’s an omen about how the company treats people – determine whether it’s a company that has too many problems to become your qualified customer.

As a business-performance consultant for organizations needing a turnaround, I don’t necessarily have to wait to see financials for indicators to learn what’s wrong. I first look to see how management and staff interact among themselves and customers. If they behave badly, I know it’s an opportunity for growth.

Invigorate Sales with Customer Retention, Referral Strategies

 

April 15, 2010

Avon, the No.1 direct seller of cosmetics is ostensibly implementing new strategies to accelerate sales, including a new product mix. A Reuters report also indicates another goal is to retain customers despite losing sales representatives.

Basically, for higher profits, Avon will cut back on its non-beauty products, such as jewelry and kitchen products while focusing on sales of hair and skin care items, including children’s.

This is in response to marketplace challenges. Avon’s North American revenue dropped 9 percent in 2009 after a 5 percent decrease the year before.

Avon’s dilemma serves as a reminder to review customer-retention strategies. It takes more than new products to invigorate sales.

First and foremost, if customer loyalty is not paramount at your company it should be. Businesses lose business 70 percent of the time it’s because customers feel taken for granted.

In this digital age with a heavy reliance on social media, the Internet is indeed important. But the No. 1 reason – 52 percent of the decision-making process – why people buy a product or service is what customers think of a company’s spokesperson and sales reps.

Yes, the quality of the product is important, but for customers to really feel like they’re making a smart buying decision, they want a good rapport and want to feel appreciated. That’s the best way to turn them into brand evangelists.

Here are more pointers:

• Like a marriage to enhance any business relationship, it helps to listen during 80-90 percent of conversations.
• Create an interactive dialogue and invite feedback.
• Don’t get defensive in the face of criticism even when the customer is wrong – simply take notes and use basic assertive techniques.
• Upon receiving a compliment from a customer, ask for two referrals – the names and contact information of “two people just like you who this need great product, too.”
• Provide added value without hurting the bottom-line.
• Prevent buyer’s remorse by reminding the customer of the value of the purchase.
• Say and write the magic words, thank you, at every opportunity.
• Depending on the level of purchases, make personal contact a priority.

Finally, remember women make 80 percent of all household-buying decisions. So adapt your strategies accordingly.

Elsewhere in this Marketing/Sales category are numerous related columns with proven solutions for maximum profits, including my “60 Ground Rules for Effective Client Service.”

So if you’re losing customers, improve your odds in heavy double-digits with excellent customer-retention and referral strategies.

From the Coach’s Corner, a new study reveals 73 percent of all women Internet users are heavy into social media. There are a lot of enlightening details in Website Magazine.

How to Best Profit: Word-of-Mouth Advertising, Customer Service

 

When was the last time you explored options for improving your word-of-mouth opportunities? Customer service is the No. 1 key to good word-of-mouth advertising and repeat business.

My firm’s research shows that consumers usually respond favorably to marketing after receiving five positive messages. Conversely, they will divorce your company if they have five or fewer unfavorable experiences.

So we’re talking about performance and delivery. If your company fails to meet a customer’s expectations, it’s important to respond instantly with empathy and problem-solving skills.

If customer-retention is an issue, it’s worth noting why: Customers start patronizing your competitors 70 percent of the time because they feel taken for granted. Most won’t warn you. And if customers feel your service is horrible, they’ll vehemently complain and tell acquaintances about their unhappiness for years. You might recall how Verizon learned a lesson in understanding customers from customer criticism on social media.

In the eyes of many consumers, customer service has developed a split personality. A boss is usually adamant about customer service being paramount. But the employees don’t seem to get the message. It appears companies place too much importance on sales as a profit center while treating customer service as a cost center.

Naturally, it’s important to look at business processes and understand the emerging dynamic in consumerism. Thanks to the Internet, consumers are in charge. They can easily obtain competing information about products and services, and they blog about their experiences. Your employees need to realize that consumers are serious about demanding service. Only then, will you be ready to develop and implement customer-service strategies for higher profits.

For your business to stand out to earn more word-of-mouth opportunies, here are ten reminders:

First impressions. Value perceptions about your customer service start within seconds of the first contact. In order of priority: Consumers psychologically evaluate your company by the quality of your people, your company image, product or service utility, convenience factors and price.

Last impressions count, too.

Dialogue techniques. Develop unique, value-selling propositions. You’ll want to establish a dialogue, but never start by asking a closed-ended question, such as: “Can I help you?” Great salespeople know an 80 /20 ratio of listening vs. speaking yields the best results. Use an open-ended question to entice the customer into talking.

When the customer leaves – whether making a purchase or not – it’s vital to thank the customer and close with a statement to prevent buyer’s remorse. But never close with this trite, over-used phrase: “Have a nice day.” Upon hearing that phrase 15 times a day, I’m tempted to respond: “Thanks, but I’ve made other plans.”

My questions are:

1. How boring do you want your company to be in the eyes of your customers?
2. Why would you want diminish your chances by 50 percent to make a sale?

Attitude gratitude and service. Look for opportunities to show a positive attitude. Never end meetings with customers or employees until you consider saying the magic words, “thank you.” In 98 percent of conversations, if you think about it, these events translate into golden opportunities to bond with others. That goes for emails, letters and faxes, too.

Centers of Influence. Some customers are Centers of Influence – their emphatic word-of-mouth advertising provides the prospect for a competitive edge. It’s then possible to kick sales to the next level with new cross-sell and up-sell opportunities.

Event factor. In the mind of a consumers, even the smallest of purchases represent an event  their lives – sometimes a celebration. That means the bigger the purchase a customer makes, the bigger the event. So be attentive before, during and after the sale.

Surprises. Consumers don’t appreciate negative surprises. They expect seamless service. When several steps are needed in the sale process, proactively keep the customer apprised with status reports with e-mails or telephone calls.

Commitments. Keep all promises. And you’ve heard the adage: “Under promise and over deliver.”

Common courtesies. Never miss an opportunity to say please, thank you, and the person’s name. If you’re talking to someone older than you, use the person’s last name, preceded by Mr., Ms. or Mrs. And in your e-mails and notes, use a 19th century salutation, “Dear…”

Candidly, I make it a practice to use formal greetings the first five times I meet a prospect or customer. I have two clients I’ve known since 1993 and I still greet them or refer to them in front of their employees as “Mr.” 50 percent of the time. And guess what, they still appreciate it. It also reminds them how I value them and it is an for me when I interact with them.

Referrals. The most-opportune time to ask for referrals is when a customer compliments you or your business.

Never ask: “Can you refer me to anyone?”

Instead, ask an open-ended question, such as: “What are the names of people just like you…?”

Remember good salespersons never let a customer do what the salespersons should be doing – by themselves.

Complaints. True, customers are not always right. But when they are, many companies forget it costs more to attract new business than it does to keep customers happy. If you get a complaint, the first response should be empathy.

The second should be appreciation. Encourage your employees to be resourceful in solving the problem. Give them adequate authority to act. Some calls from unhappy customers shouldn’t end with this annoying question: “If there anything else I can help you with?” Besides it’s poor grammar.

From the Coach’s Corner: If you’re a consultant, you might want to read 60 Ground Rules for Effective Client Service. Here are The 22 Do’s and Don’ts for Successful Negotiations.

“It is not the employer who pays the wages. Employers only handle the money. It is the customer who pays the wages.”

-Henry Ford

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Columnist Terry Corbell is also a business-performance consultant and profit professional. Click here to see his management services (many are available online). For a complimentary chat about your business situation or to schedule Terry Corbell as a speaker, why don’t you contact him today?