Category Archives: Sales Strategies

The Challenger Sale, Good or Bad Advice? Part 1

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One of the most controversial sales books to come out in recent years is The Challenger Sale: Taking Control of the Customer Conversation by Matthew Dixon and Brent Adamson.

In a nutshell, the authors argue that the key to successful selling isn’t relationship building as we know it, but challenging your clients to make a buying decision. This is done by finding clients who can act quickly, delivering insight, teaching something new, tailoring your message, and taking control of the sales process.


Based on a study of thousands of sales professionals, the authors found there are 5 categories of salespeople – Relationship Builders, Hard Workers, Lone Wolves, Reactive Problem Solver, and Challengers.

Of the five categories, the Challengers consistently come out on top in exceeding their sales goals compared to the other types of salespeople. This is especially true in long and complex sales cycles.

In this first post, I will present videos taking the pro side of the Challenger argument. In the second post, I will offer you the con side of the argument. In the third post, I will offer you a mixed point of view. In my final post, I will offer you my opinions about the book.

Below is a video from Perry Holley about the Challenger Sale. Mr. Holley admits that he has been mostly a Relationship salesperson. However, he now agrees that the Challenger approach is better. He points out that of the five categories mentioned above, the Challenger salesperson was 40% more successful than the Relationship salesperson. The key difference is that while the Relationship salesperson focuses on relieving tension with clients and being in the customer’s comfort zone, the Challenger salesperson focuses on using insight to create constructive tension in the sales process, and pushes the customer out of his comfort zone. Without tension, Mr. Holley argues, clients may not upgrade your services, or just issue an RFP (request for proposal) and see what other vendors have to offer.

In short, it is better to be respected than liked as a salesperson.

Here is his video –

Below is a video from InsideSales.com with Matthew Dixon discussing his book in detail. He argues that customers today are savvier in making buying decisions because of the wealth of information online. Thus, they don’t need to rely on salespeople as much as they use to. That being the case, what customers are seeking today from salespeople are those who can offer value by providing them unique perspectives on the marketplace, helping them avoid making mistakes, educating them on the best solutions, and making it easy for them to buy from you. Customer loyalty is based on the idea that what is important is not what we sell, but how we sell it. The Challenger sees relationships as a means to an end, and that they are actually better relationship builders than the Relationship salespeople because the relationships are founded on insight not on being agreeable.

What I found most interesting is that in a highly complex sale, the Challenger is 54% more likely to close a sale vs. just 4% by the Relationship Builder.

Here is the video below –

What to do after exhibiting at a trade show

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You just returned from your first trade show. You are both tired and excited. You have plenty of leads to call. You are anxious to start dialing.

But before you start making any calls, what did you learn from the trade show? What were the key takeaways?

It’s always a good idea to sit down with others who attended the show with you and analyze how well you did, and how you could improve at the next show.

trade show, exhibit boothsHere is a checklist of what you should discuss –

1). Did you obtain the number of leads that you expected? If you have gone to the same trade show in the past, that should be a good measuring stick on how well you did. If you fell short this year compared to last year, what happened? Was attendance down compared to last year? Were you in a bad location? Was your booth too small? Did you have enough people managing the booth this year compared to last year? Could you have done a better job publicizing the event prior to exhibiting at the show?

If this is the first time your company attended the trade show, did it meet your expectations? If not, what do you think happened? Would you attend the same event next year?

Sometimes it’s not the quantity but the quality of the leads that matter. Sure, maybe you had fewer leads than expected or the year before, but if you need a better job this year qualifying your leads, you may actually obtain better sales.

2). Exhibit Booth Location. Were you in a location with good walk-thru traffic? If not, is there a better location that you can select for next year? At most trade shows that I’ve attended, the prime location is always near the front entrance. However, that location is usually expensive. The next best location is at a corner, or near a heavy walk thru areas like the restrooms or food court area. Depending on the number of exhibitors, booth location may not make much of a difference. For example, I’ve attended trade shows where you only had 15 to 20 booths. So no matter where you were located, you would expect prospects to eventually stop by.

3). Exhibit Booth Size. Was your booth large enough to attract more prospects? If not, does it make sense to make the booth larger next year? At larger trade shows were you have 50 or more exhibitors, and 5,000 plus attendees, size does matter. Depending on the length of the trade show, not all attendees are going to have time visiting each booth. So if you have a larger booth, have more displays, and have more literature, you stand a better chance of attending more prospects.

4). Pre Show Publicity. Did you do enough to publicize that your company was exhibiting at the trade show? Did you promote the event well on your website? Did you send out enough emails to your clients and prospects before the show? Did you use social media (e.g., Twitter, Facebook) effectively prior to exhibiting at the show?  If you were lucky enough to obtain the attendee list prior to the show, did you do an effective job publicizing your booth? Would it have been a good idea calling attendees prior to the show?

5). Enough Booth Coverage. Did you have enough people working the booth this year? Did you have too many attendees walk away because there weren’t enough employees managing the booth to help them?

I hope the above checklist will help you in future trade shows. Please let me know if you have any suggestions.

 

How to prepare for a trade show

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You paid your dues. You worked hard in the inside sales department. Now it’s your turn to join some of the senior sales reps to your first trade show with the company. Great! But wait – how do you prepare for a trade show?

Besides making a list of what to pack and places to see while attending the show, you need to come up with a game plan. Hopefully, your company has attended enough trade shows that they have a good sales and marketing plan in place. But what about you – the first-timer? How are you going to be successful? How are you going to obtain good leads and shine in front of your colleagues? How are you going to look good in front of your prospects and clients?

Here are some tips –

1). Research the show – study the agenda, workshops, and speakers. Get a clear sense of the type of prospects who will be attending the show. Also, review YouTube clips or videos of previous shows. These days, most show organizers post videos of past shows to promote the event, and to encourage more attendance and exhibitors for future shows.

2). Talk to your colleagues – get their advice on how to do well at the show.

3). Notify your clients and prospects that you are attending the show – yes, you expect your employer to announce that your company will exhibit at the show, but you need to take a more “hands-on” approach. You could send out a short email to your clients and prospects announcing that you will be attending the event, and encourage them to stop by. You could casually trade show exhibit boothbring it up in conversations.

4). Schedule important meetings – if you have major clients or prospects that you know will be attending the event, schedule a meeting with them while at the show. Or better yet, invite them out to dinner.

5). Ask your prospects and clients for advice – if you know that some of your prospects and clients will be attending the show, ask them for their advice. What do they hope to get out of the show? Why are they attending the event? And more importantly, is there anything you can do to help them while they are at the show?

6). Find out if your competitors are attending the show – for the record, I really don’t worry about competitors – I worry about making sure I’m doing a good job for my clients. With that said, it doesn’t hurt to know if your competitors are attending or not. This way you can be prepared if someone comes up to you during a show and says “your competitor at the booth two rows down claims your product isn’t any good, what do you have to say about that?” Hopefully, you have been in sales long enough to know how to handle this question.

You also need to be prepared if your competitors come to your booth. Now, hopefully, your competitors will be professional and polite. I’ve attended trade shows will competitors will stop by briefly at our booth, shake hands, and wish us well. In short, we exchange some pleasantries, and then we go about our business. On the other hand, I’ve attended a couple of events where competitors will act like total jerks. In that situation, you need to remain cool, be polite, but assertive enough to ask them to leave. After all, you have a limited time to gather leads, so wasting it with competitors is not good time management nor good business.

I hope my tips are helpful.  Please let me know if you have any tips that you would like to share.
photo credit: MedicalTourismAssociation via photopin cc

What would you do with 10,000 sales leads? Part 3

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social media for sales peopleIn parts 1 and 2 of this post, I discussed what I would do if someone gave me 10,000 sales leads to call.

In this post, I will discuss the social media strategies that I would deploy to help our young salesperson.

Background: The firm in question has a great website. Nice pictures of friendly employees and plenty of information about the company. However, I notice some immediate problems.

1). No marketing content. There was no marketing content for prospects to download. No e-books, no newsletter to subscribe to, no white papers or case studies could be found. This is a big mistake. While I’m a big fan of cold calling, you are leaving money on the table by not providing prospects the ability to download content. Why? Because you are hurting yourself by not obtaining contact information, email addresses and phone numbers that you can use to follow-up later.

2). No social media. The firm was not on Facebook or Twitter – two major social media sites that companies must be on these days to enhance their brand and drive more traffic (and leads) to their website.

A website with no marketing content or social media is like a retail store with no free samples or follow-up cards.

What are the two key takeaways from this post?

1). Have a plan in place. Don’t make cold calls until you know why are you calling, who you should be calling, and what value you have to offer. I would rather make 30 good cold calls a day than 100 bad ones. Don’t be a busy fool – be a professional salesperson.

2). Get your social media house in order.  It’s a lot easier to obtain and contact inbound leads through social media than by cold calling a long list of prospects. Cold calling is just one tool in your arsenal to obtain orders. And while there is a debate within the sales community on whether cold calling is effective or not, you should at least have a good social media presence and plan in place. To twist an old saying, you can catch more flies with honey than chasing after them with a net.

Please let me know if you have any comments or suggestions that you would add.

What would you do with 10,000 sales leads? Part 2

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In part 1 of this post, I asked the question “What would you do with 10,000 sales leads?” In part 2, I will provide you with more of my suggestions.

6). Do some research. Prior to making a cold call, do some quick research on your prospect. You don’t have to be a professional research associate. Just take a few minutes to read the prospect’s profile on LinkedIn or some other site. What is his title? What are his responsibilities? Can you find a hook, e.g., did he work for a company that is now your client? Or, did you find an article that his company is having a problem that your service can solve?

7). Develop a cold calling script. As a rule, I’m not a big fan of using scripts. However, when you are new to an industry, it’s always helpful to have a script handy when making first-time calls. Eventually, you will develop your own natural voice, and throw the script away.

Below is a list where you can find sample cold calling scripts –

www.profitbuilders.com
blog.close.io
cdn2.hubspot.net

8). Develop a voice mail script. What type of message are you going to leave if you don’t reach the prospect? The last thing you want to do is embarrass yourself by leaving a fumbling or long message that screams out “please delete me.” You need to know in advance what you are going to say. Everyone has their own variations. Just use your natural voice, but sound confident and strong at the same time.

Below is a list where you can find sample voice mail scripts –

www.salesgravy.com
blogs.salesforce.com
sales.about.com

9). What is your goal? Why are you calling prospects? In the case of our young salesperson, his goal was to set appointments for his company’s consultants. Once the appointment was set, the consultants would do the heavy lifting. You may have a different goal. Maybe you want the prospect to trial your service for 30 days. Maybe you want the prospect to watch a demo. Maybe you want to qualify the prospect to determine if he needs your service. Regardless of the reason, have a goal in mind. You don’t want to fall into what’s known in the industry as the “busy fool syndrome,”  i.e., doing a lot of make-work and activities that don’t lead to any concrete results.

For example, I once worked for a company that had a very strict outbound call policy – you were required to make at least 50 calls a day. However, there was one salesperson who almost consistently didn’t meet his call quota, but he always generated more sales than the rest of the sales team. His secret? He did some research before making calls and he had a set goal in mind for each call he made. (Despite his success, he has still fired anyway for not meeting his daily call quota).

Do you want to be a busy fool or a successful salesperson? Have a goal in mind.

making sales calls10) Start making phone calls. OK, you have a client profile in place. You have reviewed your prospect list and will begin targeting who you consider being the best prospects that meet your client profile. You have cold call and voice mail scripts in place. You know what your goal is. You also know that you need to do some quick research before making each call.

Now comes the fun part – making phone calls.

I can write several posts on how to make cold calls (which I will later). But for this post, let me give you a quick and dirty approach.

First, the best time to reach prospects is early in the morning and after work. This way you will bypass the gatekeeper. Sure, you can leave voice mail messages, but your ultimate goal is to talk to a live person.

Second, there is a big debate in the sales community on how many attempts you make, but depending on the industry you are in, and the types of services you are selling, I would make at least 6 attempts – but spread those attempts out over a period of time. Don’t be a pest and call every day. That’s rude and unprofessional. And when I mention attempts, I’m also including sending emails and sending direct marketing material.

Third, don’t just rely on phone calls. Send emails too. Keep the emails short and to the point. Offer some value. Maybe attach a case study, white paper or an interesting article that is related to your prospect.

Fourth, in some cases, send some printed material, and include swag – may be a magnet, a pen, a mouse pad or something with your company’s name and contact information.

Fifth, after making several attempts, if you are not getting anywhere, put them on your back burner call backlist, and circle back in a month or six months (depending on the size of your prospect).

It would also be a good idea to have your employer or someone senior listen in to some of your calls and voicemails. They can offer you some valuable advice and pointers to help you.

In part 3 of this post, I will make suggestions on social media strategies.

What would you do with 10,000 sales leads? Part 1

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What would you do if you received 10,000 sales leads to call?

That’s exactly what happened to a young salesman who started working for an environmental consulting firm in Maryland a few months ago. He was the only salesperson – and probably the first one ever hired – by the firm. In the past, the firm probably relied mostly on referrals, word-of-mouth, and bids to obtain business. Now, the firm decided to become more proactive and mount a cold calling campaign to obtain more customers.

making cold calls in salesAfter making several cold calls for a few weeks, the salesman became frustrated. He wasn’t reaching anyone and his prospects were not returning his phone calls. Furthermore, it appears based on his company’s website, that they didn’t offer any marketing content to share with others, and had no social media presence. With that in mind, the salesman decided to post his problem on a LinkedIn sales discussion group and requested our help.

What would you do in his situation?

Here are my suggestions –

1). Develop a client profile. Before making any cold calls, examine your existing customers. Why are they buying from you? Why do they like your services? Do you see any patterns in the types of customers using your services? Do your customers fall into specific categories, e.g., small, mid-size or large companies? Do you see a pattern in the geographic locations, e.g., more Northeastern vs. fewer Southern-based customers? What are the positions of the people who are using your services? Are they C-Level or lower?

2). Talk to your top customers. Make a list of about 10 to 20 of your largest and best customers and talk to them. Why do they like your services? What recommendations would they provide on how to persuade prospects to order from you? What attracted them to your company? This doesn’t have to be a long process. Maybe 30 minutes per customer tops. Your goal is to gather ammunition that you can use when making cold calls. For example, if a prospect doesn’t want to order from you, you may say “well, some of our top customers had similar problems like yours, but once they began to using our services, they really appreciated what we could do for them.” Also, if you don’t already have these, now would be a good time to gather some testimonials that you can display on your website. And finally, by talking to your top customers, it will give you a better understanding of your industry and how your company helps its clients.

3). Talk to your employer. What advice can your employer offer you to help you make better cold calls? What are some of the common problems or pain points faced by prospects in their industry?

4). Know your industry. Sure, you may be new to the industry. You may not know all of the buzz words or technical phrases yet. Well, start learning. Ask your employer for advice on which industry publications and blogs you should follow and read on a regular basis. You don’t have to be an expert in the industry – but just know enough so that you don’t embarrass yourself when speaking to a prospect. Also, while studying your industry, make note of any potential prospects to contact later.

5). Review your prospect list. Now that you have a good understanding of your existing clients and industry, review your prospect list. Check off the prospects that you feel have the highest potential for ordering from you.

In part 2 of this post, I will continue listing my suggestions.