Tweet

How to Win More Sales Must Include the Answer to this Simple Question

Written by: Leanne Hoagland-Smith

Article Overview: If you are in business can you answer who is your client? Sure, you may be thinking it is everyone I have invoiced and possibly what a dumb question. Yet, are you sure that your clients are only relegated to those you have received payment for your goods and services?

How to Win More Sales Must Include the Answer to this Simple Question

If you are in business can you answer who is your client? Sure, you may be thinking it is everyone I have invoiced and possibly what a dumb question. Yet, are you sure that your clients are only relegated to those you have received payment for your goods and services?

The reason I ask this question is when you take the 30,000 ft viewpoint of your business and the marketplace, you may realize that your clients extend beyond those who have fattened your bank account. Ram Charan, in his book "What the Customer Wants You to Know," suggests that you must know your clients' clients. He believes that you need to follow your products and services all the way down the supply chain. For then and only then can you truly understand who your client really is.

This perspective is quite fascinating and quite daunting at the same time. Maybe you are thinking that you hardly have time to know your clients less alone their clients. And even if you did have time how would you find out who your clients' clients are?

The answer to the first question suggests that you must in place a simple customer management system when you can keep in touch with them on a regular basis. As to the second question, that answer is just to ask.

What I have observed in business is that many businesses do not know who their customers really are. This lack of knowledge creates missed opportunities.

Your customers come first as external (paying and non-paying) and internal (employees both currently employed and previously employed). The latter is far easier to determine than the former.

External customers can be separated into these 7 distinct categories:

1. Active paying (those who buy every 90 days or less)
2. Active non-paying (those who buy when the need arises)
3. Non-active (those who have not purchased in the last 1 to 2 years based upon your customer metrics)
4. Lost (those who are now buying from someone else)
5. Direct Referral (those who refer new customers to you, but have never purchased your services)
6. Centers of Influence (those who connect you with others reducing the number of connections and may also may direct referrals)
7. Undefined (those who may mention your name in passing and you never physically connect)

Now looking at this list, does this change you view:

* Incoming callers?
* Incoming email?
* Business networking eventa?

An old expression goes when you change how you look at things, the things you look at will change. In today's local to global marketplace, the ability to see things differently will separate you from everyone else and provide you with several competitive advantages including: increase sales; reduced costs and loyal customers.

Related Articles
  Quit Making Your Insurance Prospects Feel Stupid
  Three Questions to Increase Sales to Improve Your Business Results and Business Success
  Did you meet your sales goals through June?
  The Art of Asking Better Questions For Better Clarity, Focus and Greater Wealth
  The Hidden Importance of Listening

Article Tags: customer management system, distinct categories, dumb question, external customers, lack of knowledge, marketplace, metrics, perspective, ram charan, referral, supply chain, viewpoint



Related Forum Posts
Online Sales and Marketing vs Traditional - Hi Evan, I am noticing that many of the posts in the Sales/Marketing section deal with online marketing, SEM and and SEO and Affiliates. I was wondering if it might be a good idea to separate that section into two; 1) Online Sales and Marketing; 2) Traditional Sales and Marketing
Re: Tactics for Blog Traffic - Include bookmarking too.
Re: Online Sales and Marketing vs Traditional - [quote="ltrahan":31w9r2iz]Hi Evan, I am noticing that many of the posts in the Sales/Marketing section deal with online marketing, SEM and and SEO and Affiliates. I was wondering if it might be a good idea to separate that section into two; 1) Online Sales and Marketing; 2) Traditional Sales and Marketing[/quote:31w9r2iz] I second the request...
Re: New Infographic: Top Ten Reasons to Partner with Someone - I like it. Simple yet informative. I also RT'd it for you.
Re: Is being too connected pushing your business forward or back - Good advice, Terrycan! Simple but necessary.


Share this article with your friends. Fund someone's dream.

Leave a comment below or share on the left and you'll help support entrepreneurs in Africa through our partnership with Kiva. Over $50,000 raised and counting - Please keep sharing! Learn more.

Tweet

Newsletter

Get advice & tips from famous business
owners, new articles by entrepreneur
experts, my latest website updates, &
special sneak peaks at what's to come!

Name:
Email:

Popular Articles

Halloween Howl Seven by Author Paige Agnew

Creating a Better Place to Work

Suggestions

Email us your ideas on how to make our
website more valuable! Thank you Sharon
from Toronto Salsa Lessons / Classes for
your suggestions to make the newsletter
look like the website and profile younger
entrepreneurs like Jennifer Lopez.