Be Your Business

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Every business would like to grow sales and profits. The future of the business and the livelihood of its employees depend on it. So, as business owners, we go to networking events, make phone calls, send out mailers, and even spend time on social media. Yet growing the business is never as easy or simple as that.

Making prospects aware of your products and services is important. If you don’t do it, no one else will. But that’s only one part of the equation. There’s something far more important that needs to be done first.

When a doctor goes into surgery, steps must be taken beforehand to prepare the patient. No patient would want the doctor to arrive on the day of surgery and begin poking holes and cutting skin at random to find the issue causing the problem. Yet many businesses go about prospecting and looking for new customers in the haphazard way of the unprepared surgeon.

To win more business, first you must isolate the pain points. What’s the problem your business can solve for your prospect? The more descriptive and specific you can describe the pain, the better. Yes, it takes a little effort to find specific problems for each type of potential customer, but you should notice trends and common traits you can use to attract a wider group of prospects.

After you’ve identified the major pain points, you can present the solution your business provides to solve the problem. Now it’s time to communicate this message.

Having a focused message before you market helps attract and retain the types of customers you want in the first place. The tighter the message, the better return you’ll get on your marketing spend.

Not many prospects care how many years you’ve been in business, how pretty the customer lobby is, or how incredibly innovative and cool your brochure or website look. Your prospects care about themselves. They worry about their problems. Outline what those issues are, and then tell them how you will make their problems disappear.

Oftentimes, your prospect may not even be aware of the problem. It’s your job to show them. Maybe you can save them time or money solving a problem they didn’t even know about. This is how you can make your print communication and all your other marketing messages more powerful. Identify the pain and show them how you can make their lives better by engaging your business.

It’s your knowledge and awareness of specific problems that will earn the trust of your prospect. Customers are attracted to businesses that best educate, communicate, and present expertise in the problems they want to solve. The best way you can do that is to not just represent your business but BE your business.

Being your business essentially means focusing on your brand and what it communicates to your marketplace. Your brand is more about your message than your logo. It’s more about content than design. Once you have your message finely tuned to what your audience is seeking from your business, only then will prospecting and growing your business feel like swimming with the current rather than against it.

5 Words That Can Change Your Business

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140259547Behind the scenes of your business, you make products or deliver services. But on the front lines, where interactions with customers occur, you have to deliver more than that in order to have a dynamically growing company. You must deliver a promise and hope.

The promise revolves around the benefits your actual products and services deliver. The hope is what can set your business apart from all the other companies that promise to deliver the same things you do.

People want to believe in your company and what you can deliver, but many have become jaded due to the culture of over-promising and under-delivering that is all too common in the marketplace. To get past this wall of skepticism, you have to deliver more.

Companies like Coca-Cola, Apple, Starbucks, and Disney World took off when they figured out they were selling much more than a soft drink, computer, coffee, and theme park rides. These businesses understood that in order to stand apart from their competitors, they had to tell their brand stories in a way that resonates with customers.

Coca-Cola sells refreshment, happiness, and harmony. Apple sells a delightful user experience to consumers in a hip, cool way. Starbucks sells the “third place experience” — a place to get away outside our home and business. Disney World sells memories that last a lifetime.

The common theme among the great brands of the world is that they have found a way to transcend beyond their products by asking this simple, yet powerful five-word question:

What are we really selling?

People aren’t really interested in what you sell, but they may be very interested in the benefits you can deliver. These benefits in turn must be told in a way that attracts and connects with your target audience.

How You Can Apply This in Your Business?

You’re probably thinking to yourself that this may do wonders for big brands, but how does it apply to my small business?

  • Take a step back from the day-to-day operations of the business, and think about what you’re really selling. Railroad companies thought they were in the rail business, when they were really in the transportation business. Think about the larger implications around the results you deliver to your customers.
  • Next think about this question: What do my customers really want from our products and services? Ask your best customers why they really do business with you. Look for common themes in the answers.
  • The final step is to take the concepts you’ve arrived at and focus on what would move your best prospects to buy what you sell. Put yourself in their shoes. Ask some friends and associates if your idea would move them to act. Then test your ideas by presenting them in your ad copy in print, on the web, and in all your other marketing channels. Test until you find the winners. The sales result will show which one is the winner.

Take these five words: “What are we really selling?” Print them out and put them in a prominent place you can see every day. Your answer to the question will form the core around which your business and your marketing should revolve. Answer this five-word question in a way that exceeds the experiences your target market is seeking, and you’ll see your business grow like magic.

Do You Have a Foot-In-The-Door Strategy?

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There’s an extremely powerful strategy to grow your business called the foot-in-the-door (FITD) strategy. FITD plays on psychology to get to the sale. This strategy works well because it gets past the prospect’s natural resistance to being sold.

The process starts with getting a person to agree to a small request that doesn’t take them outside their comfort zone. From there, you build up to larger requests and bigger yeses.

Savvy business owners, marketers, and salespeople have used FITD in one form or another for years, whether they have knowingly defined it that way or not. Some may refer to this strategy as a “loss leader.” The difference is that a loss leader typically involves selling something, often at a very low price or below cost. Retail businesses have used loss leaders successfully for many years. FITD works best when the first offer is for something free.

<strong>Examples of FITD</strong>
If you’ve ever been to the mall food court around lunch or dinnertime, you’ll often see savvy restaurant owners assign an employee to offer a small sample tasting of some of the food items on their menu. When passersby accept the sample and taste it, they’ve taken the first tiny step toward a possible yes.

One interesting side note with this example: Notice that the employees handing out the samples aren’t going all around the mall or outside in the parking lot at various hours of the day. They pass out the samples to people walking through the food court at lunch or dinnertime. The marketing takeaway: offer your services to people who are most likely to need what you sell when they need it the most.

FITD has been used for many years by door-to-door salespeople in many industries, from the person offering to clean a dirty spot on the carpet to the days of the encyclopedia salesperson (remember those?) who would offer a free three book starter set.

Perhaps the most notorious example is from the timeshare industry. In exchange for 90 minutes of your time, the FITD offer is a free resort stay or perhaps Disney World tickets. Does it work? Billions of dollars in timeshares sold would seem to indicate a big yes. These techniques are meant to persuade and work extremely well. The danger comes from unscrupulous sellers who abuse the power.

FITD has been used in the pharmaceutical industry with enormous success. Pharmaceutical sales representatives leave samples of the drugs their companies sell with the appropriate doctors. The physicians in turn give their patients a free sample along with a prescription that will lead them to become a customer of the pharmaceutical industry.

<strong>What kind of FITD should you offer?</strong>
Your best FITD strategy should probably be not to “sell” anything at all. Only 2% of prospects are ready to buy at any time and less than 1% will typically buy anything on the first contact. Put yourself in the shoes of your ideal customer and ask yourself: What would I need (if I were a customer) to choose this company over the competition? What service or product can you use to let prospects ‘test’ you out that will put your best foot forward and help you make the best first impression?

<strong>Conclusion</strong>
The FITD strategy is an extremely powerful technique. If you’re not currently using it or have used it in the past and forgotten about it, it’s time to visit it again. Put together a plan to utilize FITD in your favor.

Selling successfully for the long term requires building trust with your prospects and even existing customers. The FITD strategy allows you to begin building that trust. But be careful. If it’s done incorrectly or not done at all, then you may experience the door-in-the-face result which is what you want to avoid.

Educating Your Way to a Sale

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Your target audience is being bombarded by sales and marketing messages every day. Some estimates state that a person is exposed to more than 3,500 messages on average every single day! No wonder we develop strategies to filter out the hype and all the noise so we can get our work done. Otherwise our days would be consumed with sales presentations and various pitches to buy something.

This constant barrage of marketing has taken a toll on salespeople, too. Traditional sales methods that once worked well have been losing traction and are not effective anymore. But you still need to sell — and you need to get your message across to your prospects. How can you do that without alienating them at the same time? One way to do that is to educate and help your prospects instead of simply selling them.

Educating your audience with relevant and useful information that will help them make a more informed buying decision allows you to establish yourself and your company as an expert who provides value before ever asking for a sale.

Establishing trust in this manner brings respect. Trust and respect open the way for your prospects to listen. Listening gives you access to valuable time your prospects reserve for those they believe will not waste it with hype and useless pitches.

To decide what kind of information your prospects find useful, you need to put yourself in their shoes. Developing a buyer persona on your most ideal prospects lets you get insight into the information, ideas, and advice that could make a positive difference in their lives and actually help in their decision-making process.

Selling is not a bad thing. Short-term thinking while selling, however, is not sustainable selling. Long-term selling is about nurturing, gaining trust, and establishing rapport. Doing this will lead not only to a first sale but also to a relationship that will garner repeat sales and referrals.

Establishing a strategic sales funnel allows you to introduce your products and services as a solution to a prospect’s problem at the appropriate time. Nurturing relationships will lead to sales more naturally and organically, instead of taking a straight, forced path with a low chance of making a quick close.

One great example of this can be seen by walking into any Apple retail store. From the moment you walk in, the Apple employees are trained to educate you about the products in the store. No pushy salespeople. They actually want you to touch and test all the products on display.

In the back of the store, the “Genius Bar” provides technical help and in-depth training to encourage users to use Apple products. This in turn leads to more sales. Over 50,000 people visit the “Genius Bar” every day, and the majority who have used the services state that they are more likely to buy another Apple product as a result.

Educating your prospects and your customers is a long-term business sales strategy. It requires some time and resources. But if it is done well, the results will far outweigh the costs.

Finding Your Next Great Employee

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“To win in the marketplace you must first win in the workplace.” – Doug Conant, CEO of Campbell’s Soup

Great companies need outstanding employees in order to grow. The problem is finding and retaining that caliber employee. Most small businesses don’t fully understand the process of hiring top-notch employees.

“Effective organizational leadership is simple: 1. Have a vision of where you want to get to. 2. Clearly and persuasively communicate that vision to employees. 3. Be consistent in your behaviors as you strive to achieve that vision.” – from A Roadmap for Employee Engagement by Andy Parsley

Many make the mistake of hiring an employee without clearly thinking the process all the way through. They neglect to think about what they actually want from the new hire. Hiring in this way sets the new employee up for failure before they ever walk in for their first day of work. This turns out to be a waste of time and resources for everyone.

To help avoid this, you need to go through the interview process. The first and most critical step is to write an advertisement that attracts great people in the first place — one that encourages the kind of candidates who want to work for your company.

Thinking this through will also make you consider the short-term and long-term responsibilities and tasks required for this position.

The challenge of finding great job candidates starts with the ad itself. Mediocre job ads attract mediocre workers. To improve your placement ad, you should incorporate the following in the description.

  • Make your company sound innovative and interesting. This will help attract more dynamic applicants who want to work for a fascinating company.
  • Let the applicant know with whom they will most likely be working. Candidates will look forward to learning from someone who is the expert in their field.
  • If the location of your company is a plus for applicants, make sure to mention it. The more benefits you can mention in the ad, the more attractive your ad becomes.
  • Make sure to mention that the position offers growth for the right candidate. Everyone wants to know that they can grow with the company. This also implies that they will be able to make more money as they grow.
  • Include the total compensation and benefits in the offer. Paid holidays, flexible hours, and other perks can be very attractive.
  • Mention that the position requires hard work and dedication. This can help filter out the lazy applicants before time is wasted with the interview.
  • The ad should stand out from all the others. If you want creative, superstar applicants, the ad should be creative, too.

Finding and retaining top talent is one of the most important tasks for any growing company. A strong recruitment ad is just the start but one that can’t be overlooked. Include these tips in your next ad, and hopefully you will attract the type of superstar employee you desire.

Where are the budding stars at your company?

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The answer is simple: They’re everywhere. And it’s up to you to find them.

In his biography of Bill Russell, author Murry R. Nelson writes about the NBA legend’s athletic struggles in high school and about one teacher/coach who helped to bring out the best in the young man others had overlooked and taken for granted.

After failing to make the school’s football team, Russell decided to try out for basketball instead. There were 15 spots available on the junior varsity team, and Russell, who had never played organized basketball before, was number 16 on the depth chart. But his coach “saw something in him as a person” and allowed him to split time with another player in order to make the team. He also helped Russell join the local Boys Club, where he could “practice his game on an indoor court.”

“In return for the faith and ‘investment’ [the coach] made in him,” Nelson writes, Russell “provided a constant drive and energy on the basketball court.” What’s more, he began practicing hard throughout the year and was able to make the varsity team his senior season.

Bill Russell would go on to enjoy a Hall of Fame career in the NBA, where he led the Boston Celtics to 11 NBA titles over the course of 13 years.

Just as faith from a coach helped to mold a young Bill Russell’s career path, guidance and mentoring are valuable training tools in business, too. Providing team members with the resources and skills training needed to succeed at their jobs can make a difference not only for the individuals you’re helping but also for the company (and team) as a whole. After all, who knows what potential “all-stars” might be waiting to be discovered on your team. All they need is a chance to shine.

5 Keys to Getting Past the Gatekeeper

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In business, the term “gatekeeper” refers to the person who has the authority to control access to the decision maker in the company. The gatekeeper guards and monitors traffic to the person in charge. In most companies, getting an appointment with the decision maker requires getting past the gatekeeper.

Selling to the decision maker requires learning the art and skill of gracefully getting past the gatekeeper. Here are five keys to help you get started:

Key #1: Speak with authority.
Whether you’re the CEO of your company or not, you need to speak with confidence. You want to be perceived as a person of authority making the call. Speak with authority, assurance, and self-confidence. Gatekeepers are trained to keep salespeople out but are much more likely to let an authority figure through.

Key #2: The gatekeeper is your friend.
The gatekeeper can be your ally if you treat them with the utmost respect and courtesy. Remember that they have a job to do and that they may even have the power to make decisions on whether or not to buy. It’s vital to recognize from your first contact that dealing with a gatekeeper can be a make or break proposition.

Key #3: Ask for help.
Everyone likes to feel useful and helpful. People like to help others, but few like to help a salesman. Put yourself in the position of a person needing help instead of a pushy salesperson. You can quickly disarm a gatekeeper by asking questions to help both of you. You want to speak with the correct person, and they don’t want anyone wasting the time of the person they are protecting.

You can accomplish this by asking a simple question right at the beginning. For example, “I provide (your services) and believe that (decision maker’s name) is the person that I should be speaking with. Is that correct?”

By asking for help in this way, you have gotten to the point quickly and have empowered the gatekeeper to either begin the conversation by asking you to set an appointment or by directing you to the right person.

Key #4: Referrals are a big help.
Obviously, having a name to use as a referral to the decision maker can help pave the way in getting past the gatekeeper. Another, less used referral method occurs when you make an initial call to a company and someone informs you that you should be speaking with someone else (and gives you that person’s name). Using the name of the person you spoke with as a point of reference when calling the person they referred you to can help to break the ice and move you past the gatekeeper.

Key #5: Make it fun.
Very few people will admit that they actually enjoy making a cold call. You can help take the drudgery out of it by setting goals for yourself and building momentum from there. Begin by setting up a variety success metrics, such as finding the right decision maker’s name, determining the best times to call, leaving your name and number for a call back, and making a small connection or bonding with the gatekeeper. Success can mean more than getting through to the decision maker and setting up an appointment. Celebrate the smaller victories along the way.

There’s truth in the adage that cold calling is a numbers game. The more calls you can make, the more chances you’ll have of getting appointments and closing sales. Likewise, the more positive contacts you can make with a gatekeeper, the better your odds of turning that person into an ally who will let you through to the decision maker you’re hoping to reach.

Are You a High-Margin Business?

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Achieving profit is the real goal of being in business. Profits are what allows a business to invest and grow. Some businesses have higher profit margins than others. That can be due to the type of industry, the competitive landscape, and economic conditions.

There’s often a direct correlation between the margins a business can charge and the amount of pain their products and services help to ease in the minds of the customers who buy them. Increasing this real and perceived value will directly impact profit margins.

Most businesses have a mixture of customers. To become a high-margin business, your goal must be to move the needle from lower-value customers to higher-value ones. The first step is to identify the types of customers your business attracts and pursues. Here are a few general characteristics to consider.

Low-Value Clients:

  • A large number are required in order to sustain profitability
  • Typically cause the most headaches
  • Want you to lower your prices
  • Make you feel like a commodity
  • Position you as the lower-value provider
  • Can and will leave you for a lower price at any time

High-Value Clients:

  • Provide greater profitability, so fewer are needed to help you reach your financial goals
  • Generate higher value with fewer headache
  • Help position you as an authority and valuable partner vendor
  • Give you higher credibility in the eyes of your other prospects

So how can you increase your perceived value?

  • Educate – Sell by teaching and sharing your expertise. Nothing is more powerful in positioning you as a business that is worthy of higher fees than actually showing how your products and services solve problems for your customers.
  • Show Results – Include testimonials and success stories from your past customers to help prospects understand what kind of real-world value you provide. Third-party validation works much better and is more believable than the same information stated as your own.
  • Offer a Powerful Guarantee – Guarantees not only help remove some of the doubts your prospects may have but also show that you believe in your products and services enough to stand behind them. Strong guarantees and warranties allow you to justify charging higher margins.
  • Get Endorsed – When possible, get an endorsement from a well-respected and known personality who can verify the quality and value you bring to the table. Your prospects will know that such a person would not vouch for a shoddy business or service. This increases the perceived value of your business in their eyes.
  • Promote – Promote your awards, achievements, membership associations, charitable contributions, and any other resources that will speak to your involvement in the community and the values you bring. Each of these builds further trust in the eyes of your audience. Each bit of added trust allows you to charge higher fees and margins in your business.

By increasing both the real value for your customers and the perceived value seen by your prospects, you will be able to increase your profit margins. Lots of companies can solve problems for their customers. Those that are able to tell the story of what, how, and why they solved those problems — and to do so in a way that resonates with prospects — are the ones that achieve higher margins.

Is Your Business Sellable?

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One of the goals of every business owner should be to build a company that is worth selling. Whether it is actually put on the market or not is another matter.

A business that is worth selling is growing, vibrant, and healthy. That’s why it’s in the best interest of everyone involved in the company to continually work toward building a sellable business.

Many metrics are used to measure the worth of a sellable business. One of the key metrics is the ability of the business to generate recurring revenue.

There are several ways to achieve a consistent, recurring revenue stream. Not all will work for every type of business, product, or service. Here are a few ideas to consider, depending on the types of services and products you provide.

Long-Term Sales Contracts

One method of building recurring revenue is to offer contracts that tie a client to a long-term engagement. A customer could be enticed to sign a contract if they are offered preferred pricing and services. An example of this can be seen with most cell phone contracts. The multi-year contracts are offered as a way to get a free or discounted cell phone in exchange for signing a two or three year contract. The buyer gets the cell phone quicker, and the cell phone provider locks in a guaranteed, predictable revenue stream.

Service and Maintenance Contracts

Some businesses can offer service contracts for after-sale support. For example, an IT company will charge for installing and setting up a network in a business but could also charge a yearly support fee to keep the network up and running free of viruses. Maintenance contracts can be a great source of additional revenue throughout the year. In many automotive dealerships, the service bays bring in much higher profits than the car sales departments.

Product and Service Training Fees

If your product or service involves a learning curve, customers would get more value from their purchase if you also offer training and certification after the sale. Product training becomes a true win-win, as the customer gets better use of their purchase, while you get additional revenue from an existing client. Many software companies offer training for their products to help their buyers understand and use the software to its potential.

When your business can generate sales from multiple revenue streams that support each other, the risk to a potential buyer is reduced dramatically. The business becomes a much more attractive candidate.

Predictable, recurring, multiple income streams make a business seem less risky to a potential buyer. So the sooner you start building recurring revenue streams in your business, the better your position will be if and when the time comes to sell.

How to Be the Master in Your Field

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Pablo Picasso created paintings the world has marveled at for decades. Looking with awe at these masterpiece creations, it would be perfectly logical to imagine that the distinctive brush strokes were made by someone with a natural gift — a gift not achievable by most.

Although Picasso’s talent is undeniable and his style unmistakable, that genius was actually developed in a surprising way that many don’t realize.

From the time Picasso was a young boy, he was formally trained by his father in oil paintings and figure drawings. And what method did his father use to train young Pablo? Jose Picasso was an artist who believed the best training for his son required formal and disciplined copying of the masters’ work. For many years, young Pablo Picasso fervently reproduced paintings, drawings, and plaster casts of the masters. He not only copied religiously but also experimented with a variety of styles, theories, and ideas, until he developed his own voice and distinctive style.

So what does this have to do with business?

The ideas of meticulous practice and of learning a skill by emulating the leaders in a field are not as common today as they were in the days when apprenticeships were more common. In a world that craves instant gratification, people often overlook the hard work required to develop any talent and simply assume it just comes naturally to those who are gifted.

The good news is that there is a short-cut. The bad news is that even the short-cut requires some sweat equity.

Not everyone can become a Pablo Picasso. Not entirely because of the natural talent gap (though that’s part of it), but also because of the not-wanting-to-put-in-the-hard-work-required gap.

There’s incredible power available to you in muscle memory. Muscle memory is “consolidating a specific motor task into memory through repetition.” When any task is repeated over and over, a muscle memory is created which allows one to perform the task almost effortlessly.

Olympic and professional athletes, concert pianists, and all other performers in the top of their field are perfect examples of muscle memory in action. They have practiced and performed so often that their performances seem to be effortless. That is the power of muscle memory.

Muscle memory can also apply to business mastery. It requires finding the leader in the field, analyzing and dissecting what they have done, and then recreating and reproducing those skills, often while adding your own unique style and flair. Practice often until muscle memory takes over. If it worked for Pablo Picasso, it can work for you.