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“We need to constantly be adding value to our client base,”  a comment said recently by a business leader in the South Asia territory for a major US medical company.

Yes I agree wholeheartedly. But how do salespeople and support teams add value?

Value add can be defined in numerous ways, for example…

Offering the best solutions to a clients’ problems

Support throughout the whole sales cycle- pre, implementation, post.

Overall by positioning the product, the comapny and the salesperson himself

…and more

Value add as defined  by Tom Reilly, who wrote the book Value Added Selling ….”the only differentiation that may exist in this competitive comparison could rest with the salesperson.  Two Fortune-100 companies surveyed their customers to determine how much value their salespeople contributed to the sale; they discovered that 35-37% of the value that customers receive comes from the salespeople with whom they deal. Value added salespeople don’t make sales calls; they go on job interviews with customers. They ask customers to hire them to be their personal representative with the supplier’s company.”

So Tom’s definition of value add  is the salesperson as the company differentiator. I agree.

But, building trust through trustworthiness is also a value add. How? By putting the client first.

When you put the client first, the client sees that you care about him and his interests and not just about pushing a product or service.

And, as Charlie Green says in Trust-based Selling “It is possible for selling to be a genuinely value adding, beneficial process for the buyer AND seller alike.”

You just have to align trust properly. And if you align trust properly, it will be your value add and the differentiator.

Trip Allen, Team Egyii, Singapore

There are  two things that typically motivate a salesperson- money and personal success. (Personal success = achieving goals, positioning a product you admire in an industry you like, building personal and business relationships, Etc)

I will be touching on building successful relationships as the important aspect of personal success in this article.

Money

Most people assume that all salespeople are driven by money, and most salespeople say they are purely in it for the money (just to pound their chests and impress their boss).

Money is a big factor for sales, otherwise why would anyone put up with the daily grind of forecasting,  threats from management when the numbers are not met, getting down on your hands and knees begging for a deal, Etc.

Relationship Success

Many salespeople are in sales because they love the people aspect of it. They like to connect, build a relationship, add value and become a trusted advisor. They like to walk hand-in-hand with the client, bringing them the best advice and solutions available. Overall, they feel a great sense of accomplishment – it is a great feeling. There are great advantages to this as it builds loyalty and therefore better medium to long term business. And it builds friendship.

Money and Relationship Success

In many instances, salespeople are driven by both motivators. Is this the best of both worlds? Maybe.

In Conclusion

So, as much as many would like not to believe,  sales and salespeople are not all about money. And money may not be the best single factor for motivation because  there are alternative methods of obtaining money through commissions and bonuses without having to bury yourself with the company dogma and the personal quota pressure.

These alternative methods of obtaining money (and rewards) can be found through other personal drivers (or personal successes), which ultimately lead to sales and therefore commissions (=money).

But if it is all done right, then money can be one of  the many rewards.

Do you see or know of any other things that motivate salespeople?

Do you think it is best to be motivated by money or personal satisfaction or a combination of the two?

Please comment.

 (You may also be interested in Why Don’t Companies Focus More on Relationships?)

Trip Allen, Team Egyii, Singapore

The Connectors: How the World’s Most Successful Businesspeople Build Relationships and Win Clients for Life

 I was encouraged to read “The Connectors” as this fits hand in hand with our philosophy: It is all about the relationship. It also fits well into and has many parallels with trust and The Trusted Advisor programmes.

Maribeth’s reinforces her book and beliefs with loads of timely tips, exercises and stories to back it all up.

Deeper inside, The Connectors presents a five-step methodology that helps you build the kind of high-quality relationships that lead to lifelong clients, repeat customers, more business and endless referrals. The five step methodology is a follows:

Develop a “What’s in it for them” mentality

Listen

Important questions to ask that attract connections

Get the sale to close itself- soft sell tactics

Create a memorable experience

Inside, you’ll learn how to:

Stop networking and start truly connecting

Create loads of referrals and an army of happy customers

Become a “connector,” even if you’ve never been a “people person”

Find your social IQ—and improve it

Put relationship-building principles to work daily

Focus on others and reap the rewards yourself

Ask the right questions—and sell without selling

Differentiate yourself through the impact you have on others

Use speaking skills to develop relationships

In addition, The Connectors includes a wealth of valuable relationship-building technology tools, including tips on using software, the Internet and social media; smart strategies for keeping in touch; speaking tactics that really work; and self-coaching exercises that will change the way you develop relationships.

I contacted Maribeth and asked her why she wrote The Connectors. Here is her response:

“I wrote this book because I have the great fortune in my business to see some incredibly successful professionals use and cultivate relationships in their careers. In fact, in most cases, their ability to connect with others was the key determinent to success. I didn’t want to prove the business relationships were important, I knew that, I wanted to find out how they do it. I interviewed hundreds of CEO’s, entreprenuers and professionals for the book to find out the how to’s so we can all learn how to have even better and more powerful business relationships.”

Connectors is a very timely contribution to today’s tough time in business and relationships. I highly suggest it, whether you are old or new to the wonderful world of building important relationships through “connecting.”

To purchase, contact Amazon.com.

Trip Allen, Team Egyii, Singapore

Dealing with Damage Control

Salespeople often feel at a loss when faced with disappointed, upset or angry clients. As an example, a relationship manager in banking dealing with a client whose investments have “soured” in the current economic climate.

What happens?

As a result of these situations, salespeople in general tend to stiffen and panic either on the phone or face to face. This state effectively shuts down the thinking processes and they find themselves lost for words. Just when the client is looking for calm understanding and reassurance, salespeople send signals of discomfort.

Suggestions

You want to enable your salespeople to feel confident about dealing with disappointed clients so that their demeanour is appropriate for the situation.

You want to equip your salespeople with the skills to respond to challenging situations so that clients feel confident about continuing to do business with your company.

Both of these aims work together: by knowing how to respond appropriately to clients, your salespeople will feel more confident and present a calmer, more professional demeanour; and by feeling more confident, they will automatically send the right signals to clients thus reassuring them about your company.

How to Implement the Suggestions

In order to build the confidence, the salespeople need to:

Build confidence in themselves by managing beliefs about:

Themselves (the salespeople) – how they see themselves is critical in achieving confidence.

Their clients – how the RM’s perceive their clients, especially during a downturn when clients are feeling negative towards their suppliers or advisors, also affects their level of confidence.

How salspeople’s clients perceive them – the salespeople’s beliefs about how their clients perceive themselves determines how confident the salespeople feel.

Deal effectively with disappointed clients by:

Responding to negative emotions in a client through pacing and leading. Pacing is done by showing your client that you accept and validate their emotion by mirroring them. Leading is the practice of gradually changing one’s energy level and behaviour such as slowing speech, speaking more softly and changing posture and body language.

Listening for understanding followed by listening to decide if you want to do anything about what you’ve heard. If action is required, a series of questions will be necessary.

Taking responsibility and moving ahead to solve the client’s problem(s). This includes the necessary empowerment and confidence to make the client feel comfortable.

Overall Results

The results below will occur if you take the above actions.

Clients will experience being handled professionally and appropriately during challenging times

Clients will feel sincerely listened to, understood and their emotions and disappointments acknowledged and taken seriously by your company and the salespeople

Salespeople will have a greater sense of empowerment and will therefore gain satisfaction from increasing their capabilities in challenging situations

Your company or financial institution will retain more clients and will receive positive word-of-mouth

Your company or financial institution will stand out in the marketplace for having salespeople who are highly professional

For more information see building and fostering client relationships.

For more blogs on a similar subject matter see relationship management.

James Irvine, Team Egyii, Singapore

“It’s all about long-term professional relation building. Leverage & greed were the cause of the financial crisis.” JP Cuoni, CEO EFG Bank

Jean Pierre Cuoni, Co-Founder & Chairman of Swiss based EFG bank, saw the light early on in the private banking industry.

Mr. Cuoni retired in 1994 from Coutts as the CEO, and held numerous senior positions at Handelsbank NatWest and Citibank.

In 1995 he and Mr. Lonnie Howell set up EFG bank.

Mr. Cuoni, in the business since 1960, realised that little had changed in private banking. He said (and still says) that banking is personal and all about relationships, relationships that lead to trust and confidence in the bank relationship manager and the bank itself.

However, in the 1990′s, he started to see things fall apart in the banks’ operations. The banks were changing the way they operated. “Hedge funds, structured products, funds of funds, alternative investments… All these are new products that only started in the 1990s.”

The business was becoming less personalized and was lacking the proper client focus.

So, in response to the shock of this, EFG was born.

EFG is very unique in the way it operates. EFG woos older, experienced bankers who are looking to be on their own, however, would like an infrastructure to support them. They use their skills to become “private bank entrepreneurs”- running their own business off of EFG’s physical platforms.

This, combined with a caring philosophy and approach to clients and relationships, has lead to a huge success. Although business is down, as we all expect, EFG continues to flourish ahead of many of the “fallen” banks who focused purely on the bank’s motives (vs the client’s motives).

On a local level, I have met Mr. Kees Stoute, Managing Director of EFG Singapore. Mr. Stoute worked his way up in the  banking business from roles in IT and as the COO and MD in other banks before joining EFG. Why did he make the change to EFG? He saw EFG was following  the core beliefs and principles that make a bank successful.

I had a conversation with Mr. Stoute on trust, an integral part of both his and EFG’s business philosophy. The following is an excerpt from that conversation:

“Trust is not a soft skill. It makes the difference in the business. Trust is the core of business,” said Mr. Stoute.

EFG is and should be the model bank of the future.

For more information on EFG Bank, click here. You will be greeted with the following important message:

“What is the essence of private banking?

Relationships, and the conditions for them to flourish. A nurturing environment, that enables our people to excel at crafting solutions for you.

To us, the fundamental building blocks are people.

Professionals of the highest calibre, free to act in their clients’ best interests. Who strive to eradicate life’s inconveniences; who simplify complexity.

Welcome to EFG Bank, truly a private bank unlike any other.”

Trip Allen, Team Egyii, Singapore

Many people believe that improving your performance at work involves attending a training course such as ‘Communicate with More Impact’ and hey presto, they will change!

To really improve our performance, we need to address the whole person, not just one behavioural part of it. For example, you cannot effectively change a behaviour if you have a belief that contradicts it. If I want to be great at connecting with people but have a belief that nobody can be trusted, then I will find it very difficult to achieve my goal.

So let’s look at this ‘whole person’ that is you. You can be seen on five different but related levels. At the top is your identity, which asks the question ‘Who am I?’. This is where you determine your role in a particular context, and decide your mission. If you are unclear about your purpose in life or in a particular situation, then you will find it difficult to motivate yourself and to focus on the right action to take.

Second on the hierarchy is your belief system. Your identity and mission will naturally affect your beliefs and values. Change your identity, and you will have to change some beliefs. These beliefs and values determine what you do and how you do it. You can have beliefs which open up great opportunities for you, but you can also have beliefs which severely limit your performance and achievements.

Third on the hierarchy is your capabilities, which give you the skills and knowledge you need to achieve your purpose and fulfill your role in life. They form the level of competence you need to perform at the level you want in order to achieve your goals.

Your capabilities help to determine your actual minute-by-minute behaviour or actions that you take in order to move you towards your goal and achieve your purpose. So your behaviour is fourth on the hierarchy. It is often assumed that our behaviour is something we can change through learning or willpower, but as you can see from this holistic picture, our behaviour is determined by what we are capable of doing, which is determined by our belief system, which is determined by our sense of identity and mission. To be really effective at the level of behaviour, you want to make sure that what you are doing is in alignment with your capabilities, beliefs and values, and identity or role. When these are in alignment, then you are congruent, and you feel strong and confident.

Last but not least is the environment, the fifth level in the hierarchy. We often say ‘I was just in the right place at the right time’, which emphasizes the importance of context for success. You can have the right behaviour, skills, beliefs and sense of purpose, but if your environment does not support these higher levels, then you are unlikely to succeed. And you can have some control over your environment. This writer spent many years working in an industry that just didn’t suit his temperament or talents, and try hard as he might, he didn’t achieve success until he entered a new industry.

So pay attention to yourself. Listen to your still voice which suggests a purpose for you. Change a belief if it was useful when you were small but serves you no purpose other than to hold you back today. Look at your skills and competencies. Are they going to be the right ones or enough to help you achieve your purpose? And become conscious of your behaviour. Get out of auto pilot mode and function as if on manual pilot, with greater self awareness and attention to what you are doing all day long. And finally, make sure you are in the right place for you, or that your arrange your environment to support you rather than work against you.

For more information see Self Management & Relationship Management.

James Irvine, Team Egyii, Singapore

How important is trust, trustworthiness and being a trusted advisor to your clients? Important enough to hold off the wedding for one late, but important, guest.

The following true story came directly from the mouth of a very senior private bank executive at a UK based (with large operations in Singapore) bank.

He was accentuating the importance of his relationship with a dedicated client.

“The wedding was to be a large Indian wedding- large as most Indian wedding are. This wedding happened to be on the mystical island of Bali.”

” So we packed up our bags and boarded the plane, ready for a relatively short trip to Bali.”

“Low and behold, the plane was late taking off. We would inevitably be late. What to do? This was my best private wealth client. This could embarrassing and more importantly, could seriously hurt my relationship.”

“We arrived about 30 minutes late, sped to the hotel to change. Of course, in Bali, the traffic can be horrific, and it was. After speeding to the hotel, bouncing off the traffic, we arrived one hour late. What was I to say?”

“When we got there, hundreds of people were waiting  for the wedding to start. Why hadn’t it started?”

“Well, my friend,” said the father of the bride, “we have delayed the wedding for you. You are an important guest.”

Wow. Trust can go far. 

This is a classic case of what happens when one is the trusted advisor.

It goes beyond the business relationship.

(for more on how to achieve the Trusted Advisor status based on the four levels of client relationships, see the following)

Trip Allen, Team Egyii, Singapore

(I am have just come back from United States as we speak so this write up is timely. These are general comments on business and society in the United States, which certainly afffects the whole world,  as I see it today. )

Values drive beliefs and beliefs drive actions. Most of us are aware of this.

The Allen/Coolidge family (my relatives) followed three (amongst many) important personal, work values and beliefs:

The “Protestant work ethic.” The Protestant work ethic is “based upon the notion that the Calvinist emphasis on the necessity for hard work is proponent of a person’s calling and worldly success is a sign of personal salvation.” (Wikipedia) Max Weber, a German economist and sociologist, penned a book called The Protestant Ethic and the Spirit of Capitalism. He believed that the Protestant work ethic (under Calvinism) was the driving force for capitalism. Capitalism (whether you like it or not) has clearly brought America its success, wealth and abundance today.  An interesting article to read on thsi matter is Whatever Happened to the Work Ethic?by Steven Malanga of City Journal.

Honesty. “Honesty is speaking truth and creating trust in minds of others.” (Wikipedia) Speak the truth. Never lie. Honesty is so vital to my family values and beliefs, that, my Grandfather, as a state Congressman, quit politics due to his belief in the lack of honesty in government.

Loyalty. The definition of loyalty is “feeling of duty: a feeling of devotion, duty, or attachment to somebody or something.” (Encarta) Loyalty was and is used across the board for our personal/family and business matters. Unfortunately, the term “loyalty,” from a business perspective, has been diluted with loyalty programmes for repeat buyers. This is not loyalty- this is convenience  for the buyer. Real loyalty, like trust, is personal.

With these values and beliefs, all we Americans prospered and continue to prosper. We need to continue to lead in such manner.

OK maybe I am a little old fashioned. But a lot of these and other important values and beliefs have been diluted or lost over a short period of time (sometimes I even tend to sway off track).

Many influences around us have affected these values and beliefs including:

Our immediate surrounding personal and business environments

The need for instant gratification and results (short term Vs. medium to long term thinking)

Greed

Transactional based scenarios

Think of “me” vs thinking of “you” 

…and more.

I believe that working hard (and of course smart), honesty, and loyalty are important in our personal and business relationships. Let’s go back to basics. It certainly is a lot easier.

Trip Allen, Team Egyii, Singapore

“Trust-based selling is not tied to any particular process; instead, it depends on attitudes and values based on principles. It is a human process” Charles H. Green, Trusted Advisor Associates.

Prudential Life: A Trust-based Selling success story*

A few years back, Priscilla Myers took over sales and marketing for Prudential’s (US) life insurance agency business. She had no prior experience in sales whatsoever. Prudential’s chairman at the time said “It’s about people. You’ll figure it out.” That she did.

Within 6 months, Priscilla violated four common sales principles. First, she announced in a price competitive business, that Prudential would not compete solely or primarily on price. Then, she de emphasized quotas to her sales force. On several occasions she agreed with customers who said Prudential’s valid proposition to them was inferior to a competitor’s. Finally, she developed non-legally binding sales agreements with her key customers.

All of these sound like suicidal policies in today’s cutthroat business world. Yet, Priscilla’s unit achieved growth of more than 40 percent in the first full yer, well ahead of plan. Second year results were even better. What did she do?

She believed that she needed to build a long term relationship with the client. To do that, she worked with (not against) the client, looked at the big picture and focused on the long term.  She also saw things from the client’s perspective and all agreements were built on a mutually beneficial basis.

Priscilla didn’t use a set of clever sales tactics or a magical sales process. Nor did she focus on a competitive strategy. Her actions emerged from a deep belief  that, if she focused on helping her customers, her needs would be met as well.

Priscilla was customer focused for the sake of the customer, not for the sake of getting the sale. She was willing to be transparent, she adopted a medium-long term and collaborative approach. Priscilla did something “radical.”

That is Trust-based Selling- and it works.

(*based on a true story and an excerpt from Trust-based Selling, by Charles H. Green, Trusted Advisor Associates)

Trip Allen, Team Egyii, Singapore

Sales professionals often need the proper support and feedback of management to be successful. Sales managers want to support their team members; however, the methods used by the managers can at times be more harmful than helpful.

Why is that?

Often there is a lack of clarity and focus between the manager and the sales professional on the behavioural expectations

Coaches often don’t understand the behavioural change process and therefore cannot gain the commitment of their staff to want to take action

Managers don’t observe their performers ‘in the game’ enough to know how to identify and target key behavioural development opportunities

The typical approach to coaching someone is to “tell” the salesperson what to do vs. asking effective questions to help lead the salesperson to improved performance

What to do about it?

Managers need to be equipped with the right sales coaching skills by understanding how to be an effective coach. They need to  learn skills on how to conduct coaching sessions that develop the key skills and that help change the behaviour of others.

How is this accomplished?

Managers need to:

Build their attributes of an effective sales coach required to create a positive coaching experience

Recognise individual differences in approaches to learning and adapt the coaching discussion to suit the needs of the individual

Identify exactly what skills and behaviours managers expect from their sales professionals in order to achieve the desirable outcomes

Enhance observation skills for assessing and identifying key behaviours, client engagement skills and sales activity at critical stages of the sales process

To provide positive and corrective performance feedback that builds and maintains self esteem

Enhance coaching communication skills (asking and listening) in order to  increase personal commitment to individual development opportunities

Demonstrate competence in the delivery of a  coaching model

Be able to set and monitor personal development plans to reinforce behavioural change after the coaching session

For more information, see maximising sales performance and skills

Andrew Sidwell, Team Egyii, Singapore