Selling To Small Business

Finding Sales where you least expect it

2008-07-03T09:59:00.000-07:00

Guest Contributor: Albert Luk
Albert's Posts - Albert's Site

We replaced our photocopier in the office last month. While, in and of itself, this may not be a big deal, it was quite instructive in how big businesses miss the easy sale because they pigeon-hole their thinking into only sales people should sell. In fact, every employee should be a salesperson for your good or service. Let me explain.

We leased the photocopier two years ago when the office had 4 people in it. Unbeknown to me (since this preceded my arrival and I am not in charge of the office machinery regardless), the photocopier was refurbished and the needs of an every growing office soon out-stripped the capability of the photocopier. If you are in the office equipment business, you know that heavy use of machinery not intended for such volume leads to predictable results.

Paper jammed. Parts overheated. Toner spilled.

After a while, everyone in the office knew our photocopy repairman by first name. Since the machine was on warranty, I suspect the company was losing money on the warranty considering the cost of labor, travel (gas prices being what they are now) and parts. Our office, now over a dozen people on a busy day, simply outgrew the photocopier. Of course, no one was happy- neither customer, frustrated by frequent break-downs as symbolized by toner stains on the carpet from one repair job (a literal black spot on the vendor), nor vendor, perplexed how a simple photocopier could consume so much time, energy and money.

Do you know how we ended up with a new photocopier? The repairman, completely at wit's end at this point, suggested that there was a new model that would cost us less to lease but do more. It took us a second to say yes.

The point of this story is that easy sales can sometimes be made by non-sales personnel since they are on ground more often than a periodic sales call and can assess client needs better. The repairman knew of our need, having lived it with us, and knew the solution. Since the context which we knew him in was non-sales, we didn't have our "sales defenses" up when he made a sale- which wasn't so much a sale than a solution to everyone's problem.

In fact, if that repairman had said something sooner, the vendor would have had a quicker sale. But the repairman is not trained to think in that manner- sales people sell, repair people repair. However, what if repair personnel are trained to sales situations and offer a situation right then and there in a non-salesy manner or pass this opportunity to sales staff? Would a business be more effective than a salesperson grinding out 6 meetings to make the same sale?

No one wants every employee in a business to be a sales-person but if you silo off your employees to functional job descriptions they won't help you trouble-shot issues and present sales opportunities. Training non-sales staff to be on the look-out to find ways to create solutions for clients is just another way to increase sales in tough times.

Let her stick!

2008-07-02T13:01:00.000-07:00

Guest Contributor: Shannon McCaffery
Shannon's Posts - Shannon's Site

I'm taking a bit of liberty here by taking off the famous line of "let her rip." So "let her stick," is an incredible way that you can get your new clients to stay with you and your products or services.

What is a "stick letter?" It's just one strategic way of reducing your refunds. It's definitely something that you send to someone AFTER he or she buys your product or service. Do you ever send a thank you letter? Well a “stick letter” is just another thank you letter on steroids because it truly "sticks."

The whole key after a client buys your product or service is you want them to NOT return it, or want a refund. This letter is more than a thank you, it not only thanks them for buying the product but it reiterates all the awesome benefits to get them all excited about having your hot product in their hands.

Also if it might take some time for your product to show results to them, this letter will help encourage and motivate them. You spell out for them not go give up and give them specific steps on where and how to start using your product. Let's look at a good example of how to word this from Dave Dee, Info Marketing guru- "Now, don't you give up. People are going to be telling you
that you can't do it. Your friends are going to say, 'this isn't going to work.' Don't believe them, believe in yourself!" Dave wants to get them all fired up and remember why they bought this product in the first place.

The deal is you want buyers remorse to disappear as quickly as it came into their mind. Let's face it after people make large purchases they often question, 'did I make the right decision to buy this expensive program, product or service?'

By sending them your "stick letter" you're erasing that remorse from their consciousness and reassuring them that they made an awesome decision for buying your product or service.

Take out your pen and let her rip on that "stick letter."

Here's to your success!

My Name Is...

2008-06-26T13:20:00.000-07:00

Guest Contributor: Deb Kolaras
Deb's Posts - Deb's Site

In sales training, we're taught to use the name of the person we're trying to do business with, not only to help ourselves remember their name, but to let the client know we're in tune, we "know" them. Some big companies are beginning to take this concept to a whole new level - by
making items with the client name right in it. What kind of impression do you think that makes? A lasting one, I believe.

Now You're Getting Personal

In recent months, I've received offers in the mail from several large firms, each used my company name in a website, making me feel kind of special. Imagine my delight when I saw, " Order online at your very own website we've built for you, www.xyzwidgets.com/bizcoachdeb." Not only memorable and clever, it makes you feel like the vendor took serious time to do their homework and build such a spot for little ole me. Honestly, I couldn't resist seeing what they had there for me to spend my marketing dollar on.

Let's Talk About Me
Getting samples in the mail is nothing really new, pen and giveaway companies have been doing it for years. What's changed in the last couple of years is getting these samples with your name already on it. Not every company does this, but I would venture a guess that the ones that do,
see a ROI when the customer likes the sample. Why? Because every month, new things arrive to me with my name on it. With annual sales well over $15 Billion, someone knows the niche very well. When a calendar or highlighter arrive with my name on it, I'm far more likely to keep
it and also to order, after all, haven't I just seen the item as close to finished as it might be? If I tend to like it, I'm betting my client will like it, too.

Want to make a lasting impression on your small business client? Keep their name in the forefront of your mind and whenever possible, use it to their advantage. If you're selling a new brand of notepad, brand it with their name and give it as a sample. Selling a new line of flash memory sticks? Same thing. Be creative and think of the possibilities; they're literally endless. Remember that website idea? What if you made a site for your client, highlighting things you know they need and use? Your client will appreciate the added touch and care you took getting to know them.

A Little Bit at a Time

2008-06-19T13:10:00.000-07:00

Guest Contributor: Mark Nissley
Mark's Posts - Mark's Site

In the previous three posts, we recognized that small business owners are akin to rock stars. We then began talking about the pitch, and the key points of grabbing the attention and financial interest of our rock star small business owner. The first is to make their life simple. Don't promise to make their business better- you'll get the cold stare. Promise to make their life better.

The second point is equally as simple and direct. Don't promise them the moon. Don't promise them a fortune. Don't promise them instant fame. A rock star, unless they are an American Idol, played 642 dirty bars before meeting you. They bloody well know that it takes work to get where they want to go. The promise of instant fame is for the young and naïve. However, a few nights opening for Cold Play, they might be able to do something with that. They can see where that might go.

And so it is with our small business owner. They've been around the block a half dozen times. They've sold their soul a few times. They are battle hardened. Don't promise them you'll make them an Inc. 500 winner. Don't promise them you double their ROI. If you tell them that you can do either more than a little bit, they won't believe you. You'll get the stone cold stare. Talk about hours per month, or hundreds of dollars per week, or handfuls of customers. I don't care what you can do, or how wonderful your product is.

You see it is very important to under-promise and over-deliver to a small business owner. If you do over-deliver, you will have their full and undivided attention. If you under promise, you will have their respect. And if you take it step by step, you will gain a long term customer that will be your strongest advocate an d referral source.

This may be tough with your aggressive sales quota. You may be able to find some young and naïve small businesses. And they'll never refer anyone because they will probably go out of business. And chances are, you'll get branded as a scam in the small business network. Hopefully you have a strong enough customer base that you can convert your strategy to a slower long- term penetration. If not, are you in the right seat on the right bus? It's just that short and simple.

Selling to Small Businesses in Down-Times

2008-06-04T08:45:00.000-07:00

Guest Contributor: Albert Luk
Albert's Posts - Albert's Site

In We are halfway through 2008 and it is clear that the economy is going through some adjustments. The days of easy sales are pretty much over unless your clients are in the oil and gas industry. Small businesses have always been the harbinger of economic tidings- they know when things are going good or bad before big companies do; small businesses simply don't have the resources to see how things will go. They have to adjust quickly to changes in the economic environment.

How does that affect someone who sells to small business?

1. Lowering the price is not the answer (even if headquarters will let you).

Competing on price is a dangerous game. Wal-Mart has no natural competitors for a reason: more often than not, a business with a unique value proposition of the lowest price doesn't survive for long: low prices do not attract customer loyalty, someone will always offer a lower price and what you make up in revenue you lose in profit (which is what the boss is really concerned about). Stick to what works- offering valuable service and building on your relationships.

2. The major threat is not small businesses will buy less but they will take longer to pay for it.

Receivables cycles always lengthen during down-times. People want to max out their financing and it becomes a cascading effect: as small businesses are stretched on their receivables so will their suppliers. If you offer a product with vendor financing, consider adjusting your financing rather than your pricing. Lengthen the amortization to reduce the monthly carrying costs or waive interest for the first month. Small businesses still need your product. They just don't have the same cash flow to pay for it. So alleviate that pain with creative financing.

3. Stop selling and start servicing.

Have you ever heard "you only call me when you want to sell me something?" If you have, you are on the cusp of losing a customer because you do not have a relationship with your client; they are merely another sales call. Statistically, the average length of every recession since 1957 is approximately 8 months. That is a little less than 3 sales quarters. Rather than use those 3 quarters trying to make a sale that may not happen, use that time to tell your client you are there for them and find ways to add value to them beyond selling a product or service. A simple coffee where you do not sell at all could mean a lot. Over the long term, using the down times as an opportunity to strengthen the relationship could pay off in spades down the road.

No one has all the answers in down-times. The leads are not as numerous and the sales cycles lengthen for small sales but that is part of the process. The key is to stick to what made you a good salesperson to small businesses in the first place and not to change your approach 180 degrees to what is, in the long run, a small bump in the road. Best of luck.

How do you stand out from your competition?

2008-06-03T09:58:00.000-07:00

Guest Contributor: Shannon McCaffery
Shannon's Posts - Shannon's Site

Knowing how you stand out from your competition and what makes your products or services unique from your competition is key. This gets to the real question of what's your USP or Unique Selling Proposition? Is it compelling enough to your audience to buy from you?

A USP is the reason why your customers or clients should be using your products or services versus doing nothing at all. This may sound harsh, but it's true, the reality is your potential customers or clients don't have to do business with you, they can simply do nothing at all or go elsewhere.

Your USP has to be so compelling to your audience that they decide to purchase from you. Let me give you an example, if my USP is "We're bigger and better than the competition." This is good, yet we need to dig down deeper. The best way we'd go about this is by using the words "so that." You're bigger and better so that- you can handle more clients in less time, so that- you do projects quickly and more efficiently so that-... and you can basically keep going. By using the term "so that," you can really sharpen your USP to get at the heart of what you do for your clients. Look at GE's USP- "Imagination at Work," or Dominoes original USP- "Delivered to
you in 30 minutes or it's free," or Verizon Wireless- "From America's Most Reliable Network." These USP really get at the heart of what they do well.

In order to get at the heart of your USP you need to really study and understand the pain your customers feel and address that pain with specific language. A good example of that is an oldie- "M&M's they melt in your mouth, not in your hands." This gets to the real benefit that people who eat chocolate don't want to get it all over their hands- M&M's- problem solved. (Hence this was perfect back in WW II when it was invented, so soldiers wouldn't get chocolate all over their hands in the battlefield.)

How do you go about finding that USP for your products or services? One way is to go right to your clients or customers and ASK THEM why they use you, and focus on your uniqueness. What pain or problems do your customers have that you're trying to solve? What makes you so unique that they would rather buy from you than someone else? Take a pen and paper and start your list, or call/email your current clients today and write
or rewrite your USP!

To Your Success,

Shannon

Being Small Doesn't Mean Being Invisible

2008-05-22T11:47:00.000-07:00

Guest Contributor: Deb Kolaras
Deb's Posts - Deb's Site

Care to take a guess as to how many small businesses get started each month here in the U.S.? According to a study done by the Kaufmann Foundation, more than 465,000 entrepreneurs hang a new shingle out each month - that number is not a misprint. With such a staggering figure, even during obviously slim times, the opportunity to reach these businesses remains very strong. So how best to make sure you are not overlooking them? Start first with acknowledging them, regardless of their size or where they are on the map.

Location, Location, Location

Recently, I tried unsuccessfully to do business with a large, international office supply company whose headquarters are rather close to my own. After jumping through what I consider "needless hoops", I was virtually kicked to the curb because my business is home-based. Why that matters, I don't know, but I was given little to do other than finding my way to another supplier. Of course, it's a little disheartening; I have an excellent credit rating and have been in business more than a decade, but this didn't appear to matter. Instead of dwelling on it and going to the top to complain, I calmly dialed my other supplier who has always regarded me as a business they wanted to serve, irrespective of my size or location - my bad for looking for a deal. To me, this is the perfect example of what not to do as a large corporation - why on earth would you care where the client is located, as long as you can ship or deliver there? Better yet, wouldn't this actually be a great niche to hit, given the enormous amount of growth in the small business sector? Oh, and did I mention the other supplier is a nationwide supplier in their own right?
Don't Fence Me In There is profiling of all sorts going on in the business world and really, I think it's offensive as a small business owner to answer silly surveys and questions about my spending habits and what I see my business doing over the next 5 years - it's really none of your business, even if you think you're entitled to know. What should be your focus is concerning yourself with my needs and concerns as they are presently; rather than ask a client if they're buying a printer this year, why not find out how things are going, really going? Why not offer options that don't always mean upgrading to some new, more expensive item that you want the client to buy? How about proactively presenting simple solutions to common problems, some of which might be entirely free? Why not think about their bottom line, versus yours? If you can do these things and offer them more affordable, unique alternatives, even if it means referring them, you will earn their trust and their business. If you're only looking to move them into the next new widget they really don't even need, you're just another salesman they will not want to avoid.

Size Really Shouldn't Matter

While it might help you fix on a potential number you can expect in sales over a year, it does little for your client when you ask how many people they have employed at their company. Whether they have 1 or 50, they still control the purse strings and your company will only gain their business by treating them like they were the largest VIP account you could ever have. Dispense with looking at a company and discounting them because of their size - small businesses are connected to other small businesses; they share information, good experiences and they talk amongst themselves - they also tell each other who to stay away from, I know I do every day. If your business has a model that simply doesn't want smaller clients, at the very least, refer them to another company that is willing to serve them no matter their size or location.

Small businesses across the U.S. want to do business with companies that treat them as important and worthwhile players. For your company to be successful in reaching them, put yourself in their shoes and walk around awhile; you might find that by adjusting your offerings to accommodate companies on the smaller scale, you'll actually be making more room for growth for them and more profits for you.

Make Being a Rock Star Easier

2008-05-21T14:07:00.000-07:00

Guest Contributor: Mark Nissley
Mark's Posts - Mark's Site

In the previous two posts, we took a look at the importance of the story of a rock star. Now that we've recognized that, it's time to make our pitch. This is much simpler than most might imagine, and I believe, a very different tactic than selling to large organizations or fortune 500. There are three important points. I'll address the first in this post.

Rock stars want one thing: to be a rock star. There are many facets of this persona, but basically it's about the music and the lifestyle. Most don't want to be bothered with the logistics of touring, the newest technology in stage design, nor the managing of their money. If you want to get a rock star to buy into an idea, it's usually got to be something that makes there life easier or promotes their lifestyle as a rock star. This is where agents and managers make their money.

And this is where you'll make your money. In a way, small business owners are the opposite of a rock star. They are saturated with the details of running their business. But ultimately, most business owners want to be treated like a rock star. That's where you come in. You are going to be the manger that makes their life easier. If your product can do this, you are golden.

Have you ever told a rock star how to make their music better? Imagine the response you'd get. If not an explosion, I'd guess for a stone cold glare. On the same token, don't pitch a small business owner that you'll make their business better. It may be true, but they don't want to hear that. They gotten themselves to this point, thank you, they know their business. They don't want to waste their time with some "expert". They'll tell you so, or you'll get the stone cold stare.

No, what a small business owner wants to hear (at least at first) is how you will make their busy life a little less busy and a little less expensive. Tell them how your product will take tasks off their list. Tell them how your product will help them talk to less people every week. Tell them how your product will help manage their business, so they can manage less. Tell them how your product will help them immediately have a bit more time to go to their kid's soccer game. And tell them that it can do this tomorrow. This is the language of a small business owner.

If you go in with the "next big thing", the comprehensive business solution, or any solution that may require more work from them, or a big learning curve… well, you'll see that cold stare again. This is not to say that you can't sell these, but take a look at HOW you are selling them. Work up to your big products by presenting things first that make their life easier. We'll talk more about this in the next post: "Bar by Bar". The important thing presented today is that you examine and reshape your presentation, to get your foot into the door. Make the small business owner feel like the rock star they really are by living a life of a bit more, and immediately.

Becoming The Clients' Most Trusted Advisor

2008-05-08T09:41:00.000-07:00

Guest Contributor: Michael Hepworth
Michael's Posts - Michael's Website

Most businesses, tend to fall in love with their product or service, rather than falling in love with their clients. If you sell to small business this can hurt you!

The first sign that this is happening is a tendency among sales people to say to themselves; "What do I have to do to get this customer to buy?" With this attitude, there is a tendency to become manipulative and coercive or just plain boring as you spend time talking about yourself.

Neither of these approaches works well with strong minded entrepreneurs and business owners. No one wants to be manipulated or taken advantage of.

A more appealing approach is to make the business owner feel you care, that they are important to you and that their well being matters to you.

To accomplish this, suppliers have to review their purpose. If train your staff to believe your firms purpose is to contribute great value by giving them the results they are looking for rather than to simply take their money, you'll begin to see an interest transition in your customer relationships.

The objective is to enter every customer relationship with a commitment to leaving their customers better off than when they found them. This commitment changes the way you interact and the way you sell and often changes how you package what you sell.

This may seem a little soft, but typically companies that adopt this approach find
That positive word of mouth spreads rapidly, clients are more loyal and sales are easier to close. Think of examples like Nordstrom, Ritz Carlton and four Seasons.

This does not have to be the domain of high end retailers and hotels, but can infuse every business.

If your product or service is of high quality and delivers on your promise, then it is likely that it is in your customers' best interest to buy more, because it will enhance their situation. Thus it makes sense to buy more because there will be a better pay-off.

One of the unexpected benefits of this strategy is that employees and managers are no longer ambivalent about what they do. They love what they do, because ant some level helping others is hard wired into most human beings. Their jobs become easier and your customers love them because they care so much. More importantly your customers will love you and your business because of what it stands for.

2008-05-06T14:07:00.000-07:00

Guest Contributor: Shannon McCaffery
Shannon's Posts - Shannon's Site

The key to your future riches in closing your prospects, is knowing their hot buttons. If you're a big business looking to work with smaller businesses and help them with specific aspects, you better know their lingo and be able to speak their language. You see the more you know not only about who your prospects are, but what's their emotional hot button, and what keeps them awake at night.

Here's a terrific exercise for you and the first big step to getting at their hot buttons. Take out a sheet of paper and start writing.

Think about who your top 10 clients are right now. Then I want you to answer these 5 questions about them:

1) What kinds of advertising do they respond to? Is it direct mail, phone calls, personal visits, irresistible offers, or maybe a combination of these.

2) What do they read and where do they get this stuff? You need to check out newsletters, consumer magazines, industry newspapers, trade publications, and community newspapers

3) What trade shows do they go to? Do they go to local community events, national conventions, state fairs, local consumer shows, etc.

4) How did your past clients hear about you? Was it word of mouth, a flyer, direct mail piece, telemarketing, internet, email or an ad stuffer

5) What clubs, groups or associations do they belong to? Write down any associations, clubs, business groups or networking groups they attend.

After you've answered these questions, I'd suggest you sign up and maybe attend some of these clubs, associations or trade shows. I'd even say you might want to subscribe to the publications and maybe even contribute to them with writing an article or placing and ad. When you immerse yourself in their world, a light bulb will go off, and you'll know how to appeal to them in a much more meaningful way. The more you know about your prospect and us it in your advertising, the more you will attract the right prospects and be able to close them.

To Your Success
Shannon

Communication Breakdown - Part Two

2008-04-24T09:36:00.000-07:00

Guest Contributor: Deb Kolaras
Deb's Posts - Deb's Site

Last month I gave you some ideas on keeping the verbal lines of communications open with your customers. As promised, this time I'll be covering some ideas on staying in touch in writing, a lost form of communication for some businesses. Whether electronic or paper, written communication is still one of the best ways to reach out and stay in touch with your customers. How you do so will determine many things, among them, the quality of the relationship you maintain with your customers.

We're All Human

The basis for solid business communication is the understanding that a critical element in the process is the human being. In her book, The Voice of Authority, Dianna Booher reminds us that, "New technology appears and disappears from the scene. The one constant is human interaction." When you add this important aspect to your communications, you create a more concrete bond with the customer. Relate to them as a person and you become more real to them, rather than just another company trying to win their business. This doesn't mean you drop all the professionalism and get so informal as to confuse your customer - it simply means adding a caring, human tone to your correspondence, one that an every day text message might miss.

Get Personal

Personalizing your written business communications has been shown to really add to the bottom line. InformationWeek conducted a study of 375 business managers and IT managers; of those that personalize all communications with their customers, 39% report a significant increase in their e-business revenue. There are similar studies in the paper world, but the reality is if you can reach the customer on a more personal level, they respond. And personalization isn't just about using someone's name; mailed letters, handwritten thank you's, even a brief note attached to an article you found - these are all smart ways of staying in touch with your customer in a more meaningful way and building a relationship centered on the customer and their needs.

Electronically Yours

While electronic communication might be one of the easier ways to stay in touch with your customers, it can also spell disaster if you do so too infrequently or not frequently enough. A key consideration needs to be the relevancy of your correspondence - are you keeping the customer at the center of your offer or are you bragging about your company? The latter will likely end you up in the trash. Electronic newsletters and offers must be something your customer can use and should be sent at least quarterly to stay top of mind with them. These pieces need to be concise and mindful that your customer is running a small business; they might not have much time to read a long piece. Provide links for them to get more information and always give them a way to opt out of your mailing. If you're having a sale, make it easy for them to order and leave out the gimmicks - that goes double for rebates. Small businesses don't want to sift through the ins and outs of an offer. What's the best way to determine how often to send offers or information electronically? Ask your customer!

Communicating with your customer is the building block for establishing a lasting relationship with them. Be there throughout the sales cycle and long past, keeping them up to date and aware of changes, great deals and ideas that will help them continue to thrive. Doing this makes you a resource for them and creates a repeat customer for you.

Recognizing a Rock Star

2008-04-17T20:03:00.000-07:00

Guest Contributor: Mark Nissley
Mark's Posts - Mark's Site

In a comment posted to my last entry, a reader noted that so many "stories are the same". That is so very true, even with rock stars- one more boy from south central LA; one more girl from Topeka, Kansas; one more aged star launching a comeback tour. There isn't story we haven't heard before. I often wonder how many iTunes tracks can actually be sold from singer-songwriters singing soft, halting guitar ballads about love and loneliness. Apparently, the answer is a staggering amount.

There are two very similar reasons. First, people want to hear it. They have an emotional connection to it. They like to hear something that reminds them of their youth, their passion, or their softer side. It reminds them of a part of themselves. Second, there will always be young males and females making the music, because there will always be youth, heartache, and beauty. People will sing about. And because everyone experiences those things, at least some of us will listen to it. See reason number one.

Small business has the same connection with most Americans. It is the American way. Everyone either has done it or would like to do it one day, if only... It is about taking risk, seeking independence, and taking care of your life. When they tell their story to the average American, they get quiet looks of admiration and respect. They are accustomed to this position in life, despite where it has actually gotten them on the totem pole. They have fought the good fight or are still fighting it.

A small business owner may have a similar story to the one you heard yesterday. The fact is that their story has subtle differences from the other. Those differences indicate the most important struggles that the business owner overcame. Despite the similarity of today's story to yesterday's story, that story is very real. It impacted the business owner in dynamic ways and changed who they are. Listen carefully: it IS who they are. A story like that has soul, funk, a bass line and a harmony. It might sound like last year's hit, but it is this year's hit, and more importantly, it is your potential customer's hit. Until you recognize and revere that story, the story of a rock-star, small-business owner, you will never be truly effective at selling to small business. You'll just get lucky sometimes.

If you want to build a relationship with a small business owner, take the time to hear their story. They always love to tell it. If they don't offer it, look around, it is probably on the walls of the small front office. Ask questions about pictures and awards you see. Be impressed. You should be. And then ask the big Hollywood question, "What gave you the idea for this business? How did you get started? Could you tell me how you got this GREAT idea?" Then sit down and let them tell you a story. When they are done, recognize their accomplishments (that they are, indeed, a rock star) and note how impressed you are that they got to this point.

If you have the time in your sales cycle, spend your entire first call listening to the story. Then say "Whoops! Look at the time! I have to go! Mind if I come back next week?" Without even pitching your pitch. I guarantee that when you return next week, they will look at you with more open eyes. They may even ask to hear your story!

Connecting Your Way to Small Business Sales

2008-04-03T14:28:00.000-07:00

Guest Contributor: Albert Luk
Albert's Posts - Albert's Site

In the last two posts on the effectiveness of referral marketing and on building a small business referral network, I made mention that referral marketing is the most effective strategy to selling to small business and that building a referral network is more of a function of personalities than job titles. Today, I wanted to provide some brief comments on finding the "right" connectors into the small business world.

At the risk of embarrassing the host of this blog, and to reiterate last month's post, Evan Carmichael is a Connector to the small business world. However, Evan is not a member of the Big Three (defined last month as an accountant, lawyer and banker). Evan is a connector because of his personality and not something he puts on his resume.

I met Evan through cosmic accident; as I recall, he was on an advisory board for an organization I was a member of which had taken my annual membership dues and not provided me any service. Evan was the poor soul who fielded my complaint. In a round about way, bad customer service was the impetus for our initial meeting.

As my brief story indicates, finding Connectors is more of happen-stance than by design. There are no databases of Connectors (and one would be leery of anyone who advertised to their world they were connected). You cannot buy a list of Connectors in North America. You cannot join a group of Connectors (they probably know each another anyway so forming a group would be redundant). Instead, you will most likely meet them through some other contact rather than finding them yourself. They are Connectors after all- eventually, they will know someone who knows someone that knows you. As Woody Allen says, 90% of life is just showing up.

Most good salespeople I know end up meeting a Connector because they socialize a lot. In order words, Connectors are found more by chance than strategy. If this conclusion is not extremely analytical, it is because the basis of human interaction is by nature emotional and good people end up finding other good people by circumstance and accident rather than by some strategic and conscious decision.

We tend to downplay the human aspect of business but, in a world where choice has become nearly unlimited, it is this facet which truly binds people together in commercial enterprise. For example, Warren Buffet could donate his multi-billionaire empire to hundred of charitable foundations but chose Bill Gates'. It is not because Gates knows how to sell software. Instead, Buffet and Gates are bridge partners, share common world-views and are friends.

To continue this thread of un-analytical thinking, Connectors help "nice people" get ahead. Thus even if one were, by strategy, end up meeting a Connector, it is not conclusive that a Connector would be your champion to the small business world. I am by no means a Connector but I will champion someone who I feel is a good human being and will make a difference. I am sure most of you would do the same. With a Connector, such championing would be increased a hundred times what I could remotely provide.

At the end of the day, Connectors help you for the same reason that a client buys from you: you articulate a client problem you can solve and you are a trusting individual. Thus, connecting your way to small business sales comes down to the fundamental basis of why anyone would want to buy from you in the first place: will you help your clients in an honest and trusting manner? Can you build a long-lasting and trusting relationship?

If you can, the Connectors will find you. They are Connectors after all.

Communication Breakdown - Part One

2008-03-26T08:11:00.000-07:00

Guest Contributor: Deb Kolaras
Deb's Posts - Deb's Site

Before you start belting out Led Zeppelin, consider the meaning of the statement and how far reaching it can be. If you're a big business trying to reach small businesses, how well you communicate with your prospects will determine whether or not they become an actual client. A survey performed recently by Public Agenda (a nonprofit research are of the Pew Charitable Trusts) indicates a staggering 94% of respondents consider reaching a company voicemail system, versus a human voice, "extremely frustrating." It seems the bigger the company, the further removed they are from their clients. Big business has spent enormous amounts of money building elaborate communication systems and this could be the kiss of death as you prospect for new small business clients. So what steps can you take to bridge the chat gap with your small business prospects? In the first of this two-part series, I'll outline some key communications ideas you can implement to keep in close touch with your clients, both prospective and active.

Can You Hear Me Now?

For the most part, voicemail sounded like a great idea. In use since about 1975, many in corporate America looked at it as a way to trim costs and presumably lead callers where they needed to go. It seemed like the perfect answer when layoffs and "down-sizing" became a common part of the business vernacular. Today, most will agree it's maybe done more harm than good when it comes to keeping in touch with clients. Be honest, how many times have you got stuck in "voicemail hell", just hoping someone, anyone would pick up your call and get you the help you needed? My guess is everyone has had this experience, but what's important to glean here is this: the further away from your customer you are, the more accessible you need to be. Let me say this again for the people in the cheap seats - the further away from your customer you are, the more accessible you need to be. This means if you're doing business remotely with your customer, you need to give them access to you by any means possible. Why? Because whether you want to admit it or not, it's fairly likely your customer is being pursued by a local vendor or ten; someone who drops by, makes calls, returns calls, and pays attention to them. Almost sounds like a romance, right? It sort of is.

Get Closer, Really, It's Okay

One way to stay in better contact with your customers is simply to give them every method possible for getting in touch with you. It's important to have this personal contact with your client, it builds rapport, trust and a relationship they come to rely on. Once you do this, though, you must be committed to this one critical credo: be accessible no matter what. If your customers contact you by phone, try to answer it and if you can't, make certain you have a great voicemail message that is current and lets them know when they can expect your return call…and make sure you call back, even if it's just to confirm the call and let them know you'll get the answer they seek. The goal really is to prevent them from going to voicemail or worse, from missing you altogether and never leaving a message.

Virtually Yours

Being a major advocate of answering calls whenever you can, I know there are times when it's nearly impossible; you might actually be in a meeting with another client or you're in flight. Whatever the reason, there is another way to give your client the attention they need and the human contact they crave - enter the Virtual Office Assistant (VOA). This is not an entirely new concept; it's more of an updated version of an "answering service." Your VOA can answer your calls in live-time, transfer to you or someone else in your organization, and even offer answers to typical questions some callers might have, such as pricing or providing a fax number. This solution is fully customizable and offers your client a human point of contact first, with the second option of voicemail, only if necessary. Google "virtual office" or "virtual assistant" to learn more.

There are many great and innovative ways to communicate with your clients, but the one thing it all boils down to is the connection they have with you, the human being. By offering your clients multiple ways to stay in touch with you, you're telling them they're important to you and you want to serve them. As they continue to grow their small business, you will become the resource they keep as their secret weapon.

Check back for the second part of this series where I'll be covering written communication ideas for connecting with your clients.

The Story of a Rock Star

2008-03-20T19:04:00.000-07:00

Guest Contributor: Mark Nissley
Mark's Posts - Mark's Site

In a former life, I was in the music industry. I met the right star at the right time, and my entrepreneurial spirit did the rest. I was a part of an innovative group that developed new versions retro grass roots marketing and distribution. We dabbled in internet distribution before most people knew what the internet was. We had some star power behind us and we had a lot of fun!

To the public, the star is everything. In the industry, the star is simply the leading edge marketing tool. They are the story and the talent that leads consumers to products. Talent is important; the star has to have a great media presence, a great voice, inherent performance compulsions, and a moderate ability to think on their feet. Talent in one area is not hard to find. Talent in all areas is in abundance in every major city. But talent with a great story is rare. These are the stars. They sell products.

I was fortunate to work with one of the best star stories of the last decade. I first met this star before her 20^th birthday. She lived in her van, and sang nights at a coffeehouses and bars. She was fortunate enough to get a spot in a San Diego club and was surrounded by some leading talent of the early nineties. She studied them and learned from them. There were more talented people around her, but she was the one to receive a big contract. She had one of the biggest debut albums of all time, with a number of subsequent albums.

There are many aspects to her story that can illustrate the points that I am getting to, but I'll just share one. I attribute a single reason this songwriter became a star. While all the very talented musicians around her spent their time between and after sets, hanging out back stage and drinking (among other things), the teenage girl did something different. She met her fans and really talked to them. She told her story at every show. She positioned herself at the exit and shook every patron's hand. She asked people if they liked her music. She asked people to come back and see her. One of those hands she shook was an executive from Atlantic Records. They came back to see her, and brought a contract.

This is my first contribution to this blog. They are a few analogies I will draw from this story over the next months. The basics are these: Every small business owner is a rock star. Every small owner has a story and some degree of talent. Every small business owner wants you to know their story, not just their "music". Later we'll talk about how every small business owner only wants to sing and tell their story, just like a rock star. If you are going to sell to a rock star, you must understand these things. Finally, we'll talk about how to take this and shape into a sales strategy. We'll talk about how to convince a rock star that you are the best agent. And if you are still reading, we'll talk about how to get a rock star to sell product.

Social Media: Your Ticket to Small Businesses

2008-03-10T12:51:00.000-07:00

Guest Contributor: Lewis Green
Lewis' Posts - Lewis' Blog

Entrepreneurs and small businesses are learning that using social media tools is an inexpensive way to build their brands and market their wares. Since reaching people where they live and work is critical to marketing success, if you aren't executing on a social media strategy, you are missing an opportunity to sell to small businesses.

When I first began the blog in 2005, he had a formidable goal of attracting customers for his fledgling business, but no plan to back it up. Not surprisingly, I generated little traffic and few business leads.

Instead of giving up, however, I took the time to study social media, then implemented a detailed strategy for attracting and maintaining a solid readership base. As a result, I turned my inexpensive blog into a major source of lead generation, triggering a 40% increase in my client base, which is made up mostly of small to mid-sized businesses.

The Campaign:
BizSolutionsPlus, my company's re-engineered blog, launched in July 2006. Its new strategy focused on building relationships of trust, credibility, and respect instead of promoting products and services or building a direct mail database.

I pinpointed the readers with whom I wanted to exchange ideas: current and potential clients, entrepreneurs, other marketers, and bloggers. I set out to cement relationships with those groups by...

1. Writing about shared interests, such as best practices, and ideas for creating good business through a strong display of values

2. Soliciting reader feedback in as many ways as possible, often ending posts with questions phrased to provoke thought and conversation

3. Responding to every reader comment directly by email or telephone, and adding remarks to the blog's comment record

4. Following web traffic patterns in order to identify the most popular topics, then tailoring future posts to readers' interests, as determined through tracking, blog comments, and other feedback

To generate readership and drive traffic to the BizSolutionsPlus blog, I used the following:
• Blog directories: Green engages the power of social networking by listing or otherwise promoting the blog on Facebook, PlaxoPulse, MySpace, LinkedIn, Digg, and BlogCatalog, among others.

• Amazon.com: As an author with a book for sale on Amazon.com, Green is allowed to include his blog on the page promoting his book.

• Linking to other blogs: By sharing links and comments, Green aligns himself with other blogs he deems interesting. Dubbed "link love," such a strategy can improve a blog's Google rankings, which are in part based on how many links a blog has. Nonetheless, Green is careful to select only frequently published, well-written blogs.

• Commenting on other blogs: Green also posts comments on other blogs, which allows him to gain visibility with those blogs' authors as well as their readers.

• Guest blogging: Green has been invited to write guest posts for a variety of blogs, including Dell's ReGeneration blog and MarketingProfs' Daily Fix. With the same respect given his own readers, Green tries to respond to every comment received. He also shares the links to these posts on his own blog.

• Offline marketing: The blog's Web address is listed on all L&G Business Solutions marketing materials, and Green often provides that address to potential clients instead of his company Web site's. Furthermore, he mentions the blog every time he is interviewed about his book.
Lessons Learned:

• Think of your fellow bloggers as partners, not competition. Share ideas, swap links, contribute to each other's blogs, post comments-whatever you can do to build a positive presence and make yourself heard. By doing so, you might establish some great contacts—and possible referrals-in addition to increasing your readership.

• Encourage feedback and listen to the resulting comments. To ensure that you are consistently meeting your customers' needs, it is important to listen, learn and evolve. In listening to my readers, my subject matter becomes more focused, and the services we offer improved. I constantly solicit customer opinion by asking specific questions in my posts, prompting conversations among my readers.

Getting Started:
Typepad and WordPress offer inexpensive services to get you started. Although you might have the capability to host and build your own Blog, I recommend these services because of their cost-savings, ease of use, and their content and promotional value-added functions. However you build your blog, they key to success lies in your strategy and its execution.

Selling to Small Business: Tips on Building Your Small Business Referral Network

2008-03-06T12:26:00.000-08:00

Guest Contributor: Albert Luk
Albert's Posts - Albert's Site

Last month, I wrote about the effectiveness of referral marketing in selling to small business relative to cold calling . I wanted to build on this post by providing some tips on building your small business referral network.

My first tip- read Malcolm Gladwell's "The Tipping Point" if you haven't already. If you have, you may want to read it again. The "tipping point" may be one of the most over-used business terms today but Gladwell asserted an interesting hypothesis on why any phenomenon spreads. I propose that in the business world "phenomenon spreading" (if I may short-hand Gladwell's thesis) and referral marketing are one and the same- you are the phenomenon and it spreads most effectively through referral marketing.

I am not going to do Gladwell justice in the space that I have (and errors in paraphrasing his thesis are my own) but the book focused on three different types of personalities which are fundamental in the spread of any idea (and remember again that for this blog the "idea" is you and the product and service you sell):

1. Connectors- in a nutshell, these are people who know a lot of people and, more importantly, will connect you with their network.

2. Mavens- Yiddish for one who collects knowledge- the trend spotters. The people who tells you about a new trend. Gladwell describes them as "the information brokers"

3. Salespeople- this is pretty self-explanatory, these are the people who persuade everyone else that the idea is worth embracing, exploring and, in the business context, buying. If you are reading this blog, YOU are the salesmen

It is not a huge leap of logic to state that a Salespeople needs to have good relationships with Mavens and Connectors in order to build a good referral network. Mavens tell Salespeople what the small business world is thinking and Connectors put you in touch with your ideal clients. Connectors, Mavens and Salespeople are not mutually exclusive; one can be all three although it is rare.

But did you notice something? Gladwell's trinity of important phenomenon spreaders concentrates on personality types and not functional job descriptions/skill sets. Gladwell doesn't state that lawyers and accountants are more likely to be Connectors. He simply writes that Connectors have certain DNA which inherently makes them Connectors. A few designations or degrees does NOT make one a Connector or Maven or a Salesperson.

Why, then, do some salespeople build or expand a referral networking focusing on job descriptions/skill sets rather than personality types? I am often amazed that salespeople attempt to build a small business referral network by first approaching lawyers, accountants and bankers. From what I am told by some salespeople, in conventional sales thinking, these "Big Three" professions are connectors to small business clients because they have a lot of clients.

However, this belief overlooks two fundamental issues. Firstly, what binds the Big Three together is confidentiality to their clients and their clients' affairs. As a lawyer, I cannot divulge my client's names much less whether their business is "ideal" for a particular good or service; in doing so, I am indirectly telling a salesperson that my client is doing well or poorly. Our post 9/11 and Sarbines Oxley world has made most professionals particularly conscious of the concepts of privacy and regulatory sanctions in breaking such duties. Thus, there are structural barriers to approaching the Big Three to build a small business referral network.

Second, and as I have mentioned above, a strategy to build a small business referral networking using job titles as a defining criteria is misguided. Connectors are connectors because of who they are and not want they do or where they went to school. Certainly, particular professionals come into contact more than others but just because someone knows a lot of people does not necessarily mean they will connect you to them. It is a logical fallacy to think lots of clients = Connector.

In a similar vein, I know of some salespeople who try to get their best clients to refer them to their friends without success. However, it does not stand to reason that being a good client or having a profitable business is going to mean they are Connectors. This is not a function of their purchase orders or profitability but of their personality. Perhaps your client is profitable but a dour personality. Meanwhile, your less profitable client may be a poor business person but a great Connector for you.

The point being that starting or expanding your small business network is not a function of what they teach us at school- job titles, education and pedigree do not matter as much as conventional thinking believes. Instead, focus on the personalities.

The question to be asked should move away from "does this type of person do something that brings them in contact with a lot of my ideal clients?" to "who do I know who knows a lot of people who may be ideal clients regardless of what they do?" As someone once said to me- the next person you meet may not be in business or even need a lawyer but they may have a cousin who does.

Next month, I will provide some tips on finding Connectors.

What big businesses should know about marketing and selling to small businesses

2008-02-25T11:18:00.000-08:00

Steve Patrizi, Director Of Advertising Sales At LinkedIn Corporation, posted a simple and powerful question in LinkedIn Answers:

According to the U.S. Small Business Administration, there are more than 26 million small businesses in the United States (defined as having fewer than 500 employees) representing 99.7% of all employer firms - clearly a significant market and one that many larger companies are interested in targeting. What are some of the key strategies that larger companies should (or already do) employ in marketing, advertising and selling to this important segment?

Some of the responses included:

Fran Simon, Vice President, Special Projects at Teaching Strategies, Inc.

Large B2B companies focued on the business needs of smaller companies need to listen to their clients for information that will guide product development and service offerings. What works for a multi-national congomerate won't always work in a smaller company. The clients are the best source of information about what works and what does not. The challenge is to find meaningful ways to gather the information and then to turn the information into viable business models and products. Product offerings for smaller businesses need to include products that can scale to size and be priced accordingly. Reps for large B2B companies need to understand that potential clients in small businesses believe in relationships. They want to FEEL as if they are just as important and valuable as larger clients, even through that might not actually be the reality.

Salman Khan, Owner, Salman K Khan Business Coaching Services

From my experience, address the needs of the small business owner. Most of the time it comes down to "show me the money". Any business that can create "value" for the small business will win. Small businesses are constantly bombarded with people selling them stuff. Also, many large businesses compete with small businesses. Strategic partnership where a mutually beneficial relationship exists would be the way to go.

Rich Taylor, Director, Business Development at Ipsos North America

The big businesses who market well to SB know that the most important thing is to establish an emotional connection. American Express stands alone as an incredible SB marketing success not becuase it's a better product, but because they established a feeling of "prestige" and "respect" for their brand. Similarly, Avis solidified it's place in the car rental market by appealing to SB owner's work ethic (We try harder). Dell outgrew IBM, Gateway and others by making it "Easy as Dell" for SB owners. Far too many companies focus only on product and service messages to SB owners. In doing so they believe simply offering the prospect something he/she needs will be enough to persuade them to buy. Not so. While the prospect may in fact need what the company has to offer, SB owners are generally an extremely cautious bunch. They can't afford mistakes that waste time, money and precious resources. As a result, they delay many rational decisions (sacrifiice) until a decisoin feels right. Appealing to the emotional needs of SB owners (and managers) is a big key to success. More big businesses would be well served by trying to connect with the underlying feelings and emotions SB owners have.

Regina Jaslow, Marketing Turnaround & Growth Specialist / Rainmaker

Small businesses usually have do not have much manpower nor deep pockets, and are constantly squeezed by large competitors. Big businesses selling to small businesses need to create convenience or ease of buying that does not consumer precious time, offer delayed payment plans or other creative ways to delay/lower cash outflows, and provide solutions to boost revenues and profitability so that the small business can compete more effectively (e.g. buy at same cost as large competitors, offer separate unique product/services lines that are specifically never sold to large firm, offer marketing support such as co-marketing or tap in-house creative services) against the large firm.

Deb Kolaras, Copywriter & Small Business Coach

Some key strategies I see that could be advantageous:

-Not making the small business FEEL small even if they are
-Making it easy to business with them
-Making sure their point of contact has the authority to act on behalf the company
-Quick turn around on ordering and returns
-Hands on care and attention
-Really understanding their position in the market place and helping them claim more market share
-Being mindful of their time and resources

There's so many ways, the list is endless.

Becky Smith, Founder and CEO at TriageTraining Group

As a small business owner, I award my business to the firms whose expertise fills gaps in my own "bench strength" - Historically, large firms feel they've done all they need to do when their product "works as promised" and they focus on legalistic or technical aspects of Service Level Agreements or contractual promises. The real traction begins when they treat my purchase's "works as promised" confirmation as table stakes and go the extra mile to ensure that it "works as needed". The same is true for the training and on-boarding I get. Most large companies feel like they've done all they need to do when they tell me/show me "how it works" - the great ones help me apply it in very process-specific ways and ensure that my comprehension rolls up into powerful mastery for "How we use it here".

Mark Nissley, Driving Performance in Growth Organizations

There are many great answers here. I'd echo the comments about making an SB owner or manager feel important. They want people to know that they are a "rock star", that they overcame insurmountable odds to get where they are and deserve a gold medal for the effort. I have three sub-points to add: 1. To support the "rock star" perception, it is important to treat the SB owner as an "award winner". The sales presentation should be driven by overwhelming value of "red carpet" items that the selling company is "awarding" the SB for its greatness. Structure the sales presentation to give away ancillary components while selling its core component, or vice versa. The important thing is to give great value as a reward for just being an SB. 2. The sales person must present immediately how they are going to promote the small business as a big business. The #1 concern on a SB mind is how to grow revenue. They see any promotion as meeting this end. That promotion should portray their business as an "impressive" company, this is almost more important, than the actual bottom-line value. Presitge, such as noted above with AmEx, is a brilliant way of doing so. SB owners want to see there name in equality with a Fortune 500 company. For example, in the advertising business, they want to see their ad rotated with IBM's ad, or beside it, and every bit as pretty. 3. Pick a niche service. Small business owners are very suspicious of comprehensive business solutions. (If a comprehensive business solution existed, they would have thought of it themselves, right?) Then offer the greatest value in that niche. See points above.

Referral Marketing: The Best Way to Find Small Business Clients

2008-02-11T10:25:00.000-08:00

Guest Contributor: Albert Luk
Albert's Posts - Albert's Site

Happy New Year! I hope 2008 will be a healthy and fruitful year for you.

Before the holiday, I started getting a lot of cold calls- from investment advisors, equipment providers and software providers. I did not return any of their calls. Why? I did not know any of them nor was I inclined to start a business relationship in an extremely busy period of time for me, both personally and professionally.

I do not believe I am alone in this thinking; we already have multiple priorities during the holiday season. Simple practicality dictates we would not have an opportunity to return a call from someone we don't know. The morale of the story being sometimes doing less is more. If you are targeting new small business clients, best to wait until they have some time to return your call.

However, on a much larger contextual basis, these calls got me to thinking- does cold calling even work anymore? A 2005 Small Biz Trends survey appears to confirm what most sales/marketing professionals know: cold calling continues to be in the arsenal of small business marketing tools but it is relatively ineffective compared to referral marketing. In fact, the survey finds that referral marketing is over 100% more effective than cold calling.

This leads to the obvious question- why do people still cold call as a means to selling to small business? I would argue that perhaps, counter-intuitively, cold calling is "comfortable" compared to referral marketing. I use the term "comfortable" in a relative sense. Cold calling is an extremely difficult sales strategy. The process is rife with voice mails, gate-keepers and rejection.

Having said that, cold calling is "comfortable" in the sense one doesn’t have to leave the familiar surroundings of the office, fight traffic to make appointments or develop the patience to listen to truly listen to your potentials in a face-to-face meeting. Cold calling is, in many respects, a one way conversation- one pitches off a script with a call to action to arrange some type of appointment. The sales person is in the dominant or control position once contact is made. Dominance or control can be extremely comfortable positions for all of us.

Conversely, referral marketing can be viewed by some as being out of comfortable zone- some meetings are in distant locations, the agenda may not be as structured as a scripted call and there are the inevitable "moving parts" to a face-to- face referral marketing strategy (last minute cancellations, time changes, traffic, emergencies etc. etc.). Referral marketing can be more difficult than cold calling.

If there is one piece of advice one can take from this post it is GET OUT THERE. Get out of the office. Get off the phone. Get out of comfort zone. Initiate a strategy to put yourself in the face of your desired small business clients in 2008.

Next month I will address a related topic- building a connector network to maximize the benefits of referral marketing.

"People Don't Buy What They Need, They Buy What They Want!"

2008-01-10T12:41:00.000-08:00

Guest Contributor: Michael Hepworth
Michael's Posts - Michael's Website

Owner operators are one of the most time starved groups in the world. Mostly because they have a tendency to see time management as a process of cramming ever more activities into whatever number of hours they are prepared to work. Many never discover that success is more about deciding what to give up rather than figuring our how to do more.

This is compounded by the volume of information we are all exposed to every day. Some reports have it that the average decision maker deals with more than 30,000 commercial messages a day. We have information coming at us in every conceivable form: TV and Radio ads, newspaper ads, the internet, billboards, packaging, trucks and direct mail.

Herbert Simon - Winner of Nobel Prize for Economics summarized the impact of this information overload perfectly:

"What information consumes is rather obvious: it consumes the attention of its recipients."

"Hence a wealth of information creates a poverty of attention and a need to allocate that attention efficiently among the overabundance of information sources that might consume it."

This means that the busier your target audience, the harder it is to reach them. They have no time or interest in self serving mass media promotions. To stop them in their tracks and gain access to their minds, you have to talk to them about the issues they are dealing with, the things that keep them awake at night. Show them how you can help them make more sales, give them more time for themselves and their families, how they can make more money and they will listen.

When selling to small business, it is important to remember the old marketing adage: "People don't buy what they need, they buy what they want," and most times people don't want a product or a service, what they want is an outcome.

I may need an accountant, but what I want is to pay fewer taxes.

Show them how you can help them get what they want and you'll almost certainly get what you want!

Away for December

2007-12-05T08:58:00.000-08:00

Dear readers,

I'm leaving this week to get married in the Caribbean and will be away for most of December. It's a very exciting time for me and I hope you can understand that we won't be publishing new posts for the rest of December.

We have a number of new initiatives planned for 2008 and I look forward to seeing you come back!

Happy Holidays!

Evan.

Small Things Count in Selling to Small Business

2007-12-05T08:49:00.000-08:00

Guest Contributor: Albert Luk
Albert's Posts - Albert's Site

I recently discovered that my financial broker, a large multi-national company, has a department devoted solely to transfer requests. All day, clerks sit and deal with requests to transfer money in and out of other financial institutions. I would suspect, after a while, the clerks would be quite good at these forms.

Small business owners do not have this same luxury of being so specialized in their tasks. Owner-managers have to be schizophrenic- they do everything from strategic planning to taking out the garbage. Their typical day is a jam-packed and they don't have too many waking moments to think things through.

Thus, I am often surprised when companies that sell to small business make small business owners take time out of their already packed day to think about a sale. The best way to a sale is to present a trouble-free sales proposition to their potential client. So why do businesses not do that?

Let me give you a real life example from Malcolm Gladwell's book The Tipping Point (a great general interest book with practical business applications). In his chapter about the "stickness" of trends, Galdwell summarized a study where university students were more likely to get immunization shots if the informational piece on the subject had a map to the health centre. The key factor was always the insertion of the map; no matter how different the copy was written, a higher percentage of students obtained immunization shots if there was a map present.

What I got out of that study is that people know what to do (i.e. go to the health centre to get an immunization shot) but small things help jog their memory and serve as an impetus to a call to action (i.e.: here is a map as your call to action). More often than not businesses presume that SME's have enough time to think through the smaller things in order to take the call to action.

Let me give you a few practical examples of companies missing the small things:

Email/newsletter campaigns that set out the benefits of a product or service but do not imbed in the copy who to call to find out more information. Instead, the phone number is buried in the footer of the email/newsletter.
In the financial industry, failure to set out what steps are required to actually purchase the product being pitched. Do I call an advisor or broker? Can I buy through my existing accounts? What paperwork is required?

Products/goods aimed at multiple markets but the company fails to obtain a 1-800 number to support sales calls or fails to put in the address of the local office where there is one.

One of the best examples I ever saw of a company thinking of the small things was a financial firm that gave a prospects a checklist of what would happen next when they became a client- simple, effective and trouble-free for the client.

Next time you are thinking of making a sale think about the small things to increase your effectiveness. This my last post this year so have a great holiday season!