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Posts Tagged ‘Sales’

Trust-based™ Selling and Business Development Speech for MIS

Friday, July 30th, 2010

Marketing Institute of Singapore (MIS) Speech July 29, 2010

A brief overview of the challenging current selling and buying environment and how to deal with it. For presentation download: Trust-based™ Selling and Business Development

Please send an email to: trip.allen@egyii.com if you are interested in the article, Trust: The Core Concepts, which covers the 3 models that will help you develop trustworthiness and the article Can Trust be Taught?

For more information on the Marketing Institute of Singapore, please click here MIS.

Thank you for attending.

Trip Allen, Team Egyii, Singapore

Let Them Take No Prisoners

Monday, June 14th, 2010

Create the relationship first. Create an immediate strong relationship. Understand common goals and interests. Ensure that you gain concession- must be a neutral gain for both. You must bond and you must be sincerely interested in the person. You must understand the pain that could lead to resistance. Be proactive- lead first. Collaborate. Get person to talk and get him/her to talk first. Show empathy. Listen through active listening. Establish credibility. Encourage safety. Find out as much information as you can about the person and their situation.

What is this? Suggestions on building powerful business relationships from the get-go?

Nope.

These are tips for hostage negotiators. Hostage negotiators have an insane job which is to save the life of a hostage from an irrational hostage taker.

hostage

Wow.

Sales people and executives also have tough jobs- winning over both internal and external clients. Similar to the hostage negotiator, but one makes the difference between life and death.

So why can’t executives and sales people consistently exhibit these traits? Shouldn’t they do it naturally- like the hostage negotiator?

The problem is focus. Lack of focus. Business people are too focused on the business, themselves, their numbers, the outcomes, the sale, Etc. This is detrimental. It does not build the relationship needed to be successful.

Think about it. The hostage negotiator HAS to be focused. It is a matter of life and death.

So, sales people and executives have to think like the hostage negotiator. Think of it as a matter of life and death- not for the hostage in this instance, but for themselves.

Trip Allen, Team Egyii, Singapore.

The Weapons of Influence

Tuesday, March 30th, 2010

Influence: The Psychology of Persuasion by Dr. Robert Cialdini. A book review.

Persuasion

Dr. Robert Cialdini is Regents’ Professor Emeritus of Psychology and Marketing at Arizona State University and author of the best selling book, Influence: The Psychology of Persuasion. His extensive scholarly training in the psychology of influence, together with over 30 years of research into the subject, has earned Dr. Cialdini an international reputation as an expert in the fields of persuasion, compliance, and negotiation.

Cialdini begins (and keeps the theme consistent throughout) with explaining what influence and persuasion really are: exploitation of instinct (he calls it the click, whirr phenomenon, which he covers in the book). He explains how people generally operate on a “fixed-action” pattern which is manipulated through some kind of “trigger feature.” Psychologists have determined what many of these trigger features are and Cialdini lays them out in the book, calling them “weapons of automatic influence.”

In his book he cites great examples of studies and stories based on the six weapons, which are detailed as follows…

1. Reciprocation: People are more willing to comply with requests (for favours, services, information, concessions, etc.) from those who have provided such things first.

For example, in my neighbourhood, a restaurant called District 10 offers free pizza with happy hour beer prices. This works on me because 1) I usually stay past happy hour 2) I frequent the restaurant more often because they have given me something upfront and I actually like the staff (see item 6, Liking/Friendship).

Reciprocity, through listening, is an important subject matter in the Trusted Advisor philosophy. See Trust Tip 35: Reciprocity, Sales and Suicide Hot Lines.

2. Commitment/Consistency: People are more willing to be moved in a particular direction if they see it as consistent with an existing or recent commitment. Once we have made a stand or position on an issue, we are then more willing to say “yes” to a request that is consistent with that commitment.

Consider how small that commitment can be and still motivate change forcefully: a Chicago restaurant owner was beset by the problem of no-shows—people who made table reservations but failed to appear and failed to call to cancel. He reduced the problem by first getting a small commitment. He instructed his receptionists to stop saying, “Please call if you change your plans” and to start saying, “Will you call us if you change your plans?” The no-show rate dropped from 30% to 10% immediately.

3. Authority: People are more willing to follow the directions or recommendations of a communicator to whom they attribute relevant authority or expertise.

One study showed that 3 times as many pedestrians were willing to follow a man into traffic against the red light when he was merely dressed as an authority in a business suit and tie.

4. Social Validation: People are more willing to take a recommended action if they see evidence that many others, especially similar others, are taking it.

One researcher went door to door collecting for charity and carrying a list of others in the area who had already contributed. The longer the list, the more contributions it produced.

Dr. Cialdini also quotes Cavett Roberts’ advice to sales trainees, “Since 95% of people are imitators and only 5% initiators, people are persuaded more by the actions of others than by any proof we can offer.”

5. Scarcity: People want what they can’t have and people find objects and opportunities more attractive to the degree that they are scarce, rare, or dwindling in availability. Even information that is scarce is more effective.

One example is a US beef importer who informed his customers (honestly) that, because of weather conditions in Australia, there was likely to be a shortage of Australian beef. His orders more than doubled. However, when he added (also honestly) that this information came from his company’s exclusive contacts in the Australian National Weather Service, orders increased by 600%!

Stephen Worchel did a cookie experiment and found that cookies with a few in the jar were rated as more desirable than cookies with plenty in the jar. The testers admitted that they tasted the same.

As Cialdini says, ” The joy is not in experiencing a scarce commodity but in possessing it. It is important that we do not confuse the two.” Hence all the scarcity tactics.

6. Liking/Friendship: People prefer to say yes to those they know and like.

For example, research done on Tupperware Home Demonstration parties shows that guests are 3 times more likely to purchase products because they like the party’s hostess more than because of their liking of the products.

He also cites Joe Girard as the world’s greatest car salesman. He was General Motors best salesman 12 years in a row, selling 5 cars or trucks every day that he went to work. He says that he offers a fair price and someone that they like to buy from (ie. good looking/ good presentation/ flattery/ same as them/ on their side).

Conclusion: The book is well worth the read if you are interested in ways to influence and to understand what influences people. In fact, Fortune Magazine lists Influence: The Psychology of Persuasion in their “75 Smartest Business Books.”

Influence: The Psychology of Persuasion ISBN 0-688-12816-5

http://www.influenceatwork.com/

Trip Allen, Team Egyii, Singapore

Sales objections, price objections, etc..a simple solution

Tuesday, February 9th, 2010

So many objections, so many solutions

Why are we always confronted with so many objections that stall the sale? And when we are, they become very difficult to resolve. There are many ways to confront objections and everyone often has their own “manipulative” techniques to counter….

Sales Objections“If I can do that price do we have deal?”

“Is that the only thing holding back?”

“What do I need to do to earn your business?”

“If I can offer a solution would you be willing to buy today?”

How well do these objection handlers really work?

Very often objections are based around price. When you reach a price objection, here is a tip:

“Is it a budget issue?” (can you afford it?)

or

“Do you see value in the solution?” (to discover if they are objecting on value not on price)

From there you have an idea where you stand. This advice is valuable in its time and place, but why reach this position in the first place? If you had done your work earlier, chances are this won’t happen.

The value of transparency in dealing with sales objections

As part of your build-up to the sale, prior to any objections (and as a tool during your objections) , if you are completely open you probably won’t encounter these objections in the first place and will be able to resolve them when they arise.

Buying is based on emotion. After the initial assessment of you and your products (which is a very rational approach) people tend to buy on emotion (non-rational) from people that they trust.

One way to build trust is through transparency. Transparency throughout. Before. During. After.

dictionary.com defines transparency as “a state of being transparent” and transparent is defined as:

Having the property of transmitting rays of light through its substance so that bodies situated beyond or behind can be distinctly seen

Easily seen through, recognised or detected

Manifest; obvious: example is “a story with a transparent plot”

Open; frank; candid: example is “the man’s transparent earnestness”

If you are not transparent in your actions, the buyer starts questioning your motives. Once the buyer questions your motives, she starts to fear you and what you are doing. And when fear sets in, what happens? Objections.

How do we conduct transparency?

Easy. Sharing. Sharing information with the buyer lowers suspicion because it encourages collaboration and openness, and this will bring out any objections earlier in the sale. Yes it appears to be risky, and risk causes you fear. Take that risk and get over the fear, because it certainly is easier to control your fear than the buyer’s.

Taking the initial risk is tough, but worth it. It will lead you into a more powerful, trusting relationship and may even help you get that sale…. and more.

(for a great article on handling price objections, see Meeting Price Objections from Trust by Charles H. Green, Trusted Advisor Associates)

Trip Allen, Team Egyii, Singapore

Using the “Drip Method” to Build Stronger Relationships

Thursday, December 17th, 2009

 

drip coffeeWhat am I talking about here? Coffee? A hospital?

You may need both to help build stronger business relationships…but that is not what I am referring to.

The “Drip Method” is all about feeding the client bits and pieces of valuable information to “hook” them into a long term relationship.

How is this done?

To start, you need to always be:

Understanding the client’s business

Anticipating his needs

Listening to him to understand his needs/priorities

Keeping a record of those needs/priorities so you can constantly refer to them

What is next?

You use the vast world of the internet, your creative mind and your network. You then gather the pertinent information, put it all together and send “value packages” to your prospects and clients.

With the value packages of client pertinent information, you feed your prospects and clients, on ocassion, through emails or face to face, pertinent articles (preferably ones that you write in your own blogs) and verbal tid-bits of information. Make sure that every message is personalised and timely. Make sure it is unobtrusive.

What does this do? It keeps you in front of the client with their agenda, not yours. It builds a value add relationship. Simple as that.

Keep in mind that this requires a lot of thinking and research… and it takes time, but it will bring results.

By the way, I drink my coffee expresso style…

Cheers.

Trip Allen, Team Egyii, Singapore

Why does this happen? Turning a prospect into a client, a dilemma

Monday, December 7th, 2009

 (A true story)

happy-customersSuccessful.

Uneducated.

Wealthy.

Four priority bank accounts.

Four banks.

Four different Relationship Managers.

There is a fifth bank that also wants his business.

The fifth bank will get his business- if they do it right.

Why and how?

This particular “prospect” is an acquainance of one of the bank executives. The prospect is open with the executive, shares his personal life, discusses business matters and financial matters, socializes regularly with him, talks sports and even shares aspects of  his social life. He respects the bank executive for his knowledge and there appears to be no threat. He is comfortable with the relationship. They are friends. 

Interestingly enough, the bank executive is not a relationship manager- he is not in sales.

How does the bank executive do what is best for the bank, and “convert” this into a sale? That is the dilemma.

Clearly the “prospect” is an unsettled man. He has new-found wealth and is somewhat leery of the people around him. This is probably why he spreads his wealth between four banks and four relationship managers.

How many times have you come across this or a similar situation to this?  A situation where there is a bond or relationship between a client or prospect and a non-sales related executive? From my experience in my days of technology sales, quite often the relationship was between the client and the sales engineer. Is that because there was no “threat” from the sales engineer? Was he providing more value? Was he not chasing the sales for the close?  Most probably.

So why is this happening and why does it happen? And how do we turn the banking scenario around and turn it into a “sale?” I will let you figure that out on your own.

For related articles (and for a clue to why this may happen) see:

Two Simple Keys to Success in Sales

Want to Add Value in Your Sales “Process?” Try Adding Trust

The Agile Mind of a Salesperson: Motivation

Trip Allen, Team Egyii, Singapore

Tips for Success in Major Accounts Sales: Understand Your Buyers

Friday, November 20th, 2009

 

No longer can global or major accounts programmes rely on decisions being made in mother countries. Decisions now need to be made on a local, Asia Pacific level, whether it is in Sydney, Singapore, Hong Kong, Mumbai, Shanghai or Tokyo.

And no longer can account teams rely on relationships alone. They must also add value.

Adding value means understanding what is on the mind of the client and giving them the tools to meet their personal and business goals. It’s not all about bits and bytes, bandwidth or speed or bells and whistles. To meet the goals, it’s all about understanding their problems and where they are in the decision making cycle…and being sensitive to that.

Neil Rackham, of Huthwaite and SPIN, was not a salesperson, but a behavioural psychologist. He studied how buyers bought and did not focus on how sellers should sell. He built a simple yet powerful tool to understand the buying cycle, or decision making process. He added sensitivity to the buying cycle.

SPIN Buying Cycle

In the buying cycle, there are multiple stages..changes over time, recognition of needs, evaluation of options, resolution of concerns, decision, implementation. No matter where you enter the buying cycle, you need to work (by continually adding value) with your client until he enters the “recognition of needs” area. This is the crucial time to be side by side, collaborating with your client to build the solution. (Rackham  also recognises that all of this takes time, so focus on medium-long term, not short term).

Once you are at the recognition of needs phase, you should understand how the client makes the decision.

What motivates him to buy?

The client (or buyer) typically has four levels of questions when it comes to the question of motivation when buying:

1) The product and its characteristics/features

2) A solution to the problem

3) A good business partner

4) Someone we can trust

Buyers state that they want want the first or second and ocassionally the third. Most sales programmes/processes focus on levels two and three- focusing on identifying the buyers’ needs through consultative selling.

Levels one through three are rational and impersonal. The fourth level, a person we can trust, is far more powerful.

If you understand the buying cycle and ultimately what motivates your client when buying, you are one step ahead of your competitors.

There is a lot more to it than that for global/major accounts selling but understanding the crucial aspects of buying are vital.

*Derived from Trust-based Selling by Charles H. Green.

Trip Allen, Team Egyii, Singapore

(The author ran the Anixter Asia Pacific Global Accounts programme in the earlier part of this century. There are certainly a few things he did well but there are a lot of things he could have done better. He wishes he had known all of this then.)

Why it is Integral that Salespeople Create Their Own “Personal Brand”

Monday, November 16th, 2009

 

Products aren’t the only things that need marketing. People do too. How do you build your presence for your clients- to market yourself and your company?

personal-branding-seo-300x239

In a world where millions, if not billions, of people converge on a digital platform, communicate via mobile phones and meet face to face, to really establish a presence, a salesperson should create his own personal brand.

Twitter. Facebook. Linked In. Blogs. All free ways to create your extended presence.

Your extended presence  is a great way to add value to your current relationship. Post and share your content and others’. Build upon subject matter that is relevant to your clients’ needs. Base it on the last conversation you had with your client.

A few helpful hints…peruse the following; Dan Schawbel’s articles as he is the personal branding expert who pens Personal Branding Magazine and, of course,  the business guru Tom Peters, whose  article The Brand Called You was originally written in 1997.

After all, the client’s relationship and loyalty is with the salesperson, not with the company.

Heat up the branding iron.

Trip Allen, Team Egyii, Singapore

Connect through High Impact Sales Conversations

Monday, November 2nd, 2009

 

How do front-line sales professionals (Relationship Managers, face to face sales, client managers, Etc) effectively connect through high impact conversations?

conversation cartoonChallenges to achieveing great sales conversations

There is no doubt that achieving sales targets, regardless of how they are achieved, has become the principle means of measuring success in many companies around the globe, regardless of what they all say they do for their customers.

That then becomes the root of the problem.

From that, we have observed that many conversations with customers are often driven by the sales person’s self interests on the basis of a product promotion, the profitability of a product, the amount of commission or incentive the sales person will receive or urgency to hit a specific target, a business need to increase market share etc. regardless of whether or not that is the right solution for the customer

Essentially there is rarely anybody taking a look at the overall picture for the customer, or even conversational guidelines to ensure that sales staff work together in the customer’s best interests.

So how do we  connect effectively and maxmise performance?

There are many well established approaches to selling; relationship selling, customer value selling, needs based selling etc. to suit different business needs and the current economic environment. Terms may change, tough times come and go, but the best practices of having a quality conversation that focuses on the clients best interests versus the sellers to maximize sales performance is still regarded as critical to success.

This would apply to anyone who manages a portfolio of customers on a relationship basis rather than a transactional one and seeks to enhance their ability, knowledge and behaviour to deliver a meaningful sales conversation that engages the client and deepens relationships with both new and existing prospects.

What will make this work?

In order to make programme that changes the focus from “us” to “them” successful, frontline sales professionals people need to be able to:

Assess their own communication strengths and weaknesses and the impact they have on others

Adapt and respond to the communication style, drivers of emotional needs and life stage of their clients

Develop compelling value positioning statements for opening conversations with prospects and existing clients over the telephone and in person

Ask for and gather information using bridging statements and reflective listening techniques to identify opportunities to create value for clients

Summarise and align solutions to the customers’ true needs to establish greater rapport with the client

Keep the client engaged in the conversation when handling client uncertainty or resistance to opportunity

Demonstrate conversational closing statements to confidently ask for the business

For related materials please see:

Maximising sales performance and skills.

Building and rebuilding trust.

 

Andrew Sidwell, Team Egyii, Singapore

Want to Add Value in Your Sales “Process?” Try Adding Trust

Friday, October 30th, 2009

 

“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.

trust add value

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