DO YOU SELL FAR MORE THAN YOU CHARGE FOR?
DO YOU SELL FAR MORE THAN YOU CHARGE FOR?
By John Lees, sales & marketing specialist
“There must be an obvious and pleasing difference between outcomes created for clients compared to what is taken from them in income. This difference is called a ‘value gap’.”
What does a restaurant sell? The most common response to this question is ‘food’…but this can’t be true because going to a restaurant would then be the most expensive way to buy food. The next most common response is ‘service’ but if this were true we would be going to restaurants to meet staff! When you think about it a restaurant sells a pleasant experience, with friends, family or business associates. However, what a restaurant charges for is food and drink. The question for all businesses then is this: ‘How much of a pleasing ‘value gap’ is there between what you sell and what you charge for… compared to good competition?’ And I mean a real gap and not a meaningless motherhood statement…such as the advertising promise made by one advising firm that they offer ‘personalised advice’ to clients.
Professional speakers sell inspiration, experience and success concepts, but they charge for ‘speaking fees’. Good hairdressing salons sell style, improved image, good looks, but they charge for cuts and colours. Consultants in business sell good advice, systems and ideas, but they charge for an hourly or daily rate. All this is obvious when you think about it, but now think about this: many businesses only sell what they charge for!
For example, I know of many printing companies that charge for printing and paper, and that’s what they sell too. This is why ‘print brokers’ have come into existence; they sell more value than print and paper. Many taxi companies sell travel and charge for travel, which is why the limousine industry has blossomed and boomed in recent years – they sell superior service, comfort, cleanliness, peace and quiet. By far the majority of retailers sell products and charge for products, which is why they will continue to suffer margin declines or go out of business… while we find more convenient ways to buy basic products. This is particularly true of bookstores that sell books and charge for books, which is why so many people now buy books on the Internet. The service is better, they even offer suggestions based on previous purchases…and you don’t even have to leave home!
The challenge for every financial adviser is to be ‘underpaid at the highest price’. This simply means that you deliver far more than you charge for, and much more than was expected. If an advising firm does this then it can charge reasonable fees and escape the dilemma of ‘competing on price’. However, to sell far more than you charge for must never be seen as a tactic; otherwise you’ll become resentful of what you give compared to what you get. Either you genuinely want to get better at what you sell or you don’t; and if you do then this must be a creative and thrilling driving force every day of your life.
Ideas for ‘selling far more than you charge for’ come from understanding what customers want and need. Many years ago I ran the marketing and sales operations for ‘Schwarzkopf’, and one of the initiatives we introduced was a ‘board of clients’. Meeting three times a year with the same group of progressive salon owners meant that we received feedback on current service… plus insights into future needs. The future needs of our clients were for more productivity, not more products! And so we became the major supplier of service and selling concepts, staff training programmes, management systems and an educational forum that is still in existence after 17 years! All of this was charged for, but not at a profit; our profit was derived from selling products and the reason we became a profitable market leader in product sales was that we sold far more than we charged for…while our competitors just sold products! I have designed a simple device for advisers called ‘THE CLIENT CIRCLE’ that enables the planner to derive critical feedback and insights from the market…as I did at Schwarzkopf with the board of clients. This device is presented at sessions I conduct at conferences and PD days.
Aside from pleasing clients we must also please ourselves, in fact we must be the first to buy what we intend to sell! By this I mean that if we are not completely sold and captivated by the pleasure and value of what we sell, why would anyone else show any interest? The only thing more contagious than genuine enthusiasm is a distinct lack of it!
Here are the steps that lead to being sold on what we sell:
ß Wanting to offer more pleasure and value in our service and thoroughly enjoying this pursuit
ß Always looking for ways to improve our service offerings
ß Preparing ourselves to deliver our unique service as it must be delivered
ß Delivering the service with great skill to the point of delight and satisfaction… for those we serve and for ourselves too
The service goal then is this: ‘do what you love and love what you do’. But remember, enjoyment does not come from work, it comes from people. We either put enjoyment into our work and service or we keep it to ourselves, and if we choose the latter then the good we have to offer will be wasted. The old saying ‘giving is getting’ is true after all then. So if as an adviser you are not getting enough in revenue, you are obviously not giving enough through what you have to offer. Hence the professional challenge and obligation to…”Sell far more than you charge for!”
John Lees is a professional speaker, trainer, consultant and the author of 9 business books…specialising in sales and marketing. He has also designed many unique consulting and management tools exclusively for financial advisers. Contact John Lees direct on 02 9680 7588, or at info@johnlees.com.au
Web site address: www.johnlees.com.au
DO YOU SELL FAR MORE THAN YOU CHARGE FOR - To learn more about this author, visit John Lees's Website.
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Do You Sell Far More Than You Charge For?
By John Lees, sales & marketing specialist
“There must be an obvious and pleasing difference between outcomes created for clients compared to what is taken from them in income. This difference is called a ‘value gap’.”
What does a restaurant sell? The most common response to this question is ‘food’…but this can’t be true because going to a restaurant would then be the most expensive way to buy food. The next most common response is ‘service’ but if this were true we would be going to restaurants to meet staff! When you think about it a restaurant sells a pleasant experience, with friends, family or business associates. However, what a restaurant charges for is food and drink. The question for all businesses then is this: ‘How much of a pleasing ‘value gap’ is there between what you sell and what you charge for… compared to good competition?’ And I mean a real gap and not a meaningless motherhood statement…such as the advertising promise made by one advising firm that they offer ‘personalised advice’ to clients.
Professional speakers sell inspiration, experience and success concepts, but they charge for ‘speaking fees’. Good hairdressing salons sell style, improved image, good looks, but they charge for cuts and colours. Consultants in business sell good advice, systems and ideas, but they charge for an hourly or daily rate. All this is obvious when you think about it, but now think about this: many businesses only sell what they charge for!
For example, I know of many printing companies that charge for printing and paper, and that’s what they sell too. This is why ‘print brokers’ have come into existence; they sell more value than print and paper. Many taxi companies sell travel and charge for travel, which is why the limousine industry has blossomed and boomed in recent years – they sell superior service, comfort, cleanliness, peace and quiet. By far the majority of retailers sell products and charge for products, which is why they will continue to suffer margin declines or go out of business… while we find more convenient ways to buy basic products. This is particularly true of bookstores that sell books and charge for books, which is why so many people now buy books on the Internet. The service is better, they even offer suggestions based on previous purchases…and you don’t even have to leave home!
The challenge for every financial adviser is to be ‘underpaid at the highest price’. This simply means that you deliver far more than you charge for, and much more than was expected. If an advising firm does this then it can charge reasonable fees and escape the dilemma of ‘competing on price’. However, to sell far more than you charge for must never be seen as a tactic; otherwise you’ll become resentful of what you give compared to what you get. Either you genuinely want to get better at what you sell or you don’t; and if you do then this must be a creative and thrilling driving force every day of your life.
Ideas for ‘selling far more than you charge for’ come from understanding what customers want and need. Many years ago I ran the marketing and sales operations for ‘Schwarzkopf’, and one of the initiatives we introduced was a ‘board of clients’. Meeting three times a year with the same group of progressive salon owners meant that we received feedback on current service… plus insights into future needs. The future needs of our clients were for more productivity, not more products! And so we became the major supplier of service and selling concepts, staff training programmes, management systems and an educational forum that is still in existence after 17 years! All of this was charged for, but not at a profit; our profit was derived from selling products and the reason we became a profitable market leader in product sales was that we sold far more than we charged for…while our competitors just sold products! I have designed a simple device for advisers called ‘THE CLIENT CIRCLE’ that enables the planner to derive critical feedback and insights from the market…as I did at Schwarzkopf with the board of clients. This device is presented at sessions I conduct at conferences and PD days.
Aside from pleasing clients we must also please ourselves, in fact we must be the first to buy what we intend to sell! By this I mean that if we are not completely sold and captivated by the pleasure and value of what we sell, why would anyone else show any interest? The only thing more contagious than genuine enthusiasm is a distinct lack of it!
Here are the steps that lead to being sold on what we sell:
ß Wanting to offer more pleasure and value in our service and thoroughly enjoying this pursuit
ß Always looking for ways to improve our service offerings
ß Preparing ourselves to deliver our unique service as it must be delivered
ß Delivering the service with great skill to the point of delight and satisfaction… for those we serve and for ourselves too
The service goal then is this: ‘do what you love and love what you do’. But remember, enjoyment does not come from work, it comes from people. We either put enjoyment into our work and service or we keep it to ourselves, and if we choose the latter then the good we have to offer will be wasted. The old saying ‘giving is getting’ is true after all then. So if as an adviser you are not getting enough in revenue, you are obviously not giving enough through what you have to offer. Hence the professional challenge and obligation to…”Sell far more than you charge for!”
John Lees is a professional speaker, trainer, consultant and the author of 9 business books…specialising in sales and marketing. He has also designed many unique consulting and management tools exclusively for financial advisers. Contact John Lees direct on 02 9680 7588, or at info@johnlees.com.au
Web site address: www.johnlees.com.au
DO YOU SELL FAR MORE THAN YOU CHARGE FOR - To learn more about this author, visit John Lees's Website.
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