Is Your Growth Pigeonholed?

Filed Under (OP News & Views, OP Sales Training) by Don on 07-02-2013

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In case you’re wondering what pigeonholing is, it has to do with missing opportunities due to carelessness or many times laziness.  In my continuing review of sales rep performances I continue to find that many reps get into a comfort zone selling only one kind of product group.  This could mean his/her devotes most, if not all, of their time selling office products, or toners or maybe it’s furniture.  Typically the excuses I hear are:

  • We’re not competitive
  • I can’t make any money on it
  • I don’t like it therefore my customer won’t like it
  • I don’t know/understand the product (i.e.: I don’t want to)

Obviously product knowledge is easily remedied; the other objections are simply excuses.  Thinking about my previous experiences in sales I can understand how easy it is to become comfortable selling a certain product.  Many years ago I was comfortable selling roll thermal paper for fax machines and avoided most everything else.  I was making money on it and I was comfortable.  The plain paper fax machines starting eating into my commissions but I was behind and my stubbornness cost me sales.  A good business friend of mine quickly gave me some good advice.  He told me over lunch one day that nothing in an office environment should ever be out of bounds for me to sell, and if I didn’t sell it find someone that I could trust to sell it to my client/customer.  I took that to heart and the following week I sold 10 microfilm machines that I sourced from a trusted supplier and made a big commission.  My source installed and serviced the equipment and I sold the supplies.  When the customer renewed their service agreement my source spiffed me because I maintained the relationship with the client.

It was a new day and I then knew I would never be pigeonholed into one category of product again.  I know someone even now that refuses to sell furniture.  Other reps are getting $100K furniture jobs and this rep continues to sell supplies at low margins.  It doesn’t seem to matter how much product training I offer the rep refuses to sell the product because it is out of their comfort zone.  Same thing applies to the janitorial market as it becomes more open to independent dealers.  You need to understand towels, cleaners, soaps, dispensers, etc.  A lot to learn I know but it further enhances your relationship with your customer as a resource and business partner, not just the lowly sales rep.  This is just my personal opinion but if a rep isn’t willing to grow with the products available to sell and refuses to utilize the relationship with the customer they are doing a disservice to the company and should no longer be employed.  It’s all about personal growth and responsibility.  This is an on-going process that needs to be continually evaluated by the rep and their management.

 

“To exist is to change, to change is to mature, to mature is to go on creating oneself endlessly.”– Henri Bergson

Are You Selling Solutions or Products?

Filed Under (First Impressions, OP Sales Training) by Don on 27-06-2012

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Websites sell products but people sell (provide) solutions.  How do you talk to your customers?  When you make your calls do you spend most of your time talking, or listening?  In order to provide value you must give your prospect/customer a reason or justification to do business with you.  This is accomplished by providing a solution to a problem the customer/prospect has.  A problem that you have uncovered by effectively listening and asking open-ended questions.  No tricks or gimmicks.  I know a sales rep that asks me every time I see him, “What is the best gimmick I can use to open accounts?” I keep telling him that gimmicks are a waste of time but providing a solution to a problem will win the business every time as long as you can deliver on your promises to solve said problem(s).  If you’re already selling to the customer are you taking the time to develop relationships with the empowered buyers in the office?

An account won on price is an account lost on price.  However, if you sell a solution you have proven yourself to be someone who desires to be a true business partner and help your customer grow their business.  Regular business reviews will help uncover new opportunities, a subject I have discussed many times here.   Here are a few things to consider:

  • Do you know what your value proposition is?
  • Are you developing relationships throughout the customers office?
  • What do you do differently than your competition?
  • How often do you communicate new products and ideas to your customers?
  • Websites sell products, people sell or provide solutions. Which one are you?
  • Who do you have your business reviews with? If it’s just the buyer you’re missing a golden opportunity to show the value you present.
  • Are you making full use of your CRM program?
  • Have you completed an Account Analysis worksheet to identify the business opportunity in each of your accounts and prospects?

My last question involved an Account Analysis worksheet.  If your manager or company doesn’t have this email me and I’ll send you a copy.  It is widely available from the major wholesalers but I will gladly email you a copy if requested.  So stop selling products and start selling and providing real solutions.

The last word:  “Inaction breeds doubt and fear. Action breeds confidence and courage. If you want to conquer fear, do not sit at home and think about it. Go out and get busy.” –Dale Carnegie

Five Tips to Grow Your Business

Filed Under (OP News & Views, OP Sales Training) by Don on 03-05-2012

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Here are five tips to help you grow your business.  You should already be doing most of these but I hope the suggestions will help you find a new avenue or idea.  Feel free to share any suggestions you have!

  1. Communicate – Use every means at your disposal to reach out and touch your customer. E-Mail, text, statement stuffers, box stuffers, e-newsletters, weekly email blasts, social media.  Be diligent and deliberate and most of all be consistent!  Offer your value message and your brand in everything you do.
  2. Account Penetration – On average you only get about 30% of the total spend in your customers office.  Are you asking about janitorial and breakroom products?  How about stamps, printing, furniture and technology products?  From the reception room to the warehouse you have products to meet their needs.  Take off your blinders and see what you are missing!
  3. Befriend everyone – Be personal and take the time to meet and greet every one possible in your customers office.  From the janitor to the CEO and everyone in between.  You will be surprised the little tidbits of information you glean or the account you might save from your ‘friends’ in the office.
  4. Business Reviews – While this should be a staple in your sales strategies I’m constantly surprised by the reps who never do this with their accounts.  It offers up a treasure trove of information and opportunity and builds upon the relationship with the customer.  Do this twice a year with most accounts.  Accounts with more than 100 employees may require a quarterly review.  Make a big deal out of it and invite the senior managers, order placers, buyers and anyone else you can to the meeting.  Provide lunch and show them how much money you have saved them and share any ideas you have on how to save them even more money.  Bring your manager and if possible your customer service rep in on the meeting and make a positive impression on the value your bring to their business.  Bring a good PowerPoint too, it is absolutely necessary for success with the “C” level managers.
  5. Margin Management – The big boxes do a fantastic job in this arena and have proven success in increasing their margins.  Most reps set up pricing and don’t think about it until contract renewals come around again.  The big boxes manage margins monthly and in some cases weekly.  Changing your product mix and adjusting margins effectively will grow your profit margin and potentially increase your business.  Utilizing the many price matrices available can be a big asset here too.

That’s my five quick tips for growth.  I’m certain you can think of many more.

The last word: “Effective leadership is not about making speeches or being liked; leadership is defined by results not attributes.” -Peter Drucker

From Reception Desk to Receiving Dock, Do You Really Know Your Customer?

Filed Under (OP Sales Training) by Don on 26-05-2011

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The ease with which we communicate to our customer via email, text messaging and other digital forms makes a lot of our customer contact very impersonal.  Of course this is widely accepted in our age but at what cost?  The result is we fail to reach all the potential purchasers and users of the products we sell.  Recent statistics show that 35% of the non-regular purchasers of business products go outside of the normal purchasing channels of their company and submit for reimbursement later.  By avoiding the personal customer interaction we are missing on opportunities to further build and strengthen our relationships within each of our customers/clients offices.  Not to mention keeping an eye out for the stray competitors shipping carton hiding out somewhere in the office.

What’s the remedy?  Sales people need to take the time at least once every six weeks at the most to physically visit the customers office and take time to meet and greet everyone possible so the staff knows who you are and what services and products you provide.  If possible hand out product samples and a business card and let the staff know you are available for product questions and support, presuming this is agreeable with your primary buyer.  On a recent field sales call with one of my reps upon ‘socializing’ with some of the office staff I learned that they were discharging their janitorial crew in favor of doing it with in-house associates.  This information allowed us to open a conversation on providing their JanSan products and dispensers.  The call ended up very productive and we landed a very nice piece of new business that we didn’t have before.  Remind your outside reps of the importance of really knowing your customers and you may find your sales increase and your business solidified.

The last word: “Alone we can do so little; together we can do so much.” Helen Keller

United’s Vision 2011 Event Brings a Crowd

Filed Under (OP News & Views) by Don on 23-05-2011

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I was fortunate to once again attend United Stationer’s Vision show/event this year held last week in Orlando Florida.  Their previous event was held at the same location last in November 2009 and I must say that in my opinion this show had more attendees than previously.  The location at the Rosen Shingle Creek Resortis a beautiful facility and the grounds and golf course are second to none.  United does a great job on their event and this is the fifth United Stationer’s show I have attended.  I have not had the privilege to attend an SP Richards show so I can’t compare theirs to United’s but I have never been disappointed at the event hosted by United (USSCO).

I spent a lot of time this year speaking to other dealers from around the country and I’m never disappointed with the humble temperment and genuine good-heartedness of most dealers.  One very noticable difference this year was the number of attendees in their 20′s and 30′s.  I’ve thought for many years that our industry didn’t do a very good job of attracting workers in this age group but this year proved me wrong.  I heard very little negativity from dealers regarding the economy and most told me that they have learned to do business on a different scale than in years past.  They are reaching out utilizing different methods than before and don’t fear the big-box competitors.  I think the issues the last few years regarding some of the big-boxes have made many dealers realize that we/they can compete on price and when it comes to service we (independent dealers) blow them out of the water.  I’ll discuss some of the other things I learned during future posts so visit here again in the next week.

My compliments to United Stationers on a great show, excellent seminars, and to our host site for great food and a spotless facility.  Kudos to Hewlett-Packard for their Tuesday night party and to all the vendors for their support and participation which makes the event possible.

What was my biggest take-away from this years event?  Jay Baer and his discussion on social media.  Do you participate in Twitter of Facebook as a business?

The last word: “If you live your life in the past, you waste the life you have to live.” -Jessica Cress

Challenges, Disappointments, Opportunities

Filed Under (OP News & Views, OP Sales Training) by Don on 09-03-2011

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Such is life in sales.  Although the economy seems to be the biggest disappointment, we as sales people are our own biggest challenge.  With gas approaching four dollars a gallon it is easy to make the excuse “I can’t afford to go out and make sales calls”.  But sitting at home making excuses doesn’t bring in any new business, grow your existing business or continue to build your business relationships.  You need to work smarter, get better organized and remain focused on your goals.

Thinking of working smarter, we rolled out to our group not long ago a data mining program that I am truly impressed with.  If I would have had such a program years ago when I was an outside rep it would have made my life and job so much more productive and easier.  After many months of discussion and consideration we added the Sales-i program to our back-end system.  Sales-i sorts and extracts customer and product information from our system we could never access before.  We always knew this information was there but didn’t have a way to extract it, Sales-i does that and much more.  It is more than a usage report, it categorizes the product categories and tells you how much business potential you are getting or missing in each account.  It shows you your margins on products and you can set up alerts that will email you when your customer hasn’t made a recent purchase, or about anything else you can imagine.  If you have a sales team I highly recommend that you take a look at Sales-i.

I would also like to give two thumbs up to our Salels-i trainer, Jeff Gardner from Maximum Performance Group. I had Jeff come to our office for hands-on training for our team and it made a huge difference.  Jeff is more than a trainer, he is also a sales person at heart and understand the challenges the OP sales rep has.  Jeff was a worthy investment and a fine person to have support your team.

There are many opportunities out there as there are challenges to meet them.  Disappointments, well we all have some.  Customers don’t seem to have loyalties much any more, sales people want all the commissions without doing the work, and I still hate selling copy paper.  However, I’m spending more time coaching and field training our reps which I love to do.  It gets me out of this miserable office (I hate being tied to a desk!) and I love to meet new people and help the reps with prospecting and developing new business within existing accounts. Remember, work smarter not harder and utilize the tools available to help you get new business and remain at the top!

The last word: “You are the only person on earth who can use your ability.”Zig Ziglar

Toughest Question Ever!

Filed Under (OP News & Views, OP Sales Training) by Don on 20-09-2010

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Some reps have said I’m a demanding manager.  Not a tyrant by any means, nothing of the sort.  I simply have high expectations.  I have high expectations of myself so it stands to reason that I have high expectations of others.  I’ve learned over the years that if you expect the best from yourself and from others, people will typically make the extra effort to be successful and do a good job.  No matter what the job is.  I discovered that owning a small business was very demanding and it was challenging meeting my personal expectations.  Those days have gone and now I’m on the other end of the ‘food chain’ again. :)

A manufacturers rep told me one day that I was a demanding customer.  I asked him why.  Because he (the mfrs rep) failed to follow-up with a request I had made not once, but on three separate occasions in an effort to get some information to help one of my staff help with a customer sale.  That makes me a ‘demanding’ person?  I simply smiled and told him that if I was as tough a customer/manager as he implied then I would have called his superior after the second request was ignored.  If this makes me a demanding person, then I’m proud of it.  If you are like me then you can relate to how much emphasis I/you place on giving outstanding customer care/service.  You can’t build long-term personal relationships on crappy customer service.  You don’t build loyalty with crappy customer service.  Instead you bust your behind doing what other people fail, or refuse, to do to give your clients the service they deserve.  Don’t you think YOU deserve that same level of service from others?  How about from the company you work for?

How does this relate to the topic of this post?  Oftentimes when I talk to other sales people I like to ask a tough question. 

Here it is: Would you buy product from your own company?

Many, many times the answer is “no”.  The reason is not usually because of a defective or faulty product.  It usually stems from poor service from other areas in the business out of their control or influence.  Their internal customer service fails in some way, or sometimes their accounting personnel has poor people skills or worse yet, unprofessional collection procedures.  Sometimes it is the delivery or warehouse staff or some other distribution issue directly attributed to their company.  While a one-on-one with the reps manager may bring attention to the issues, most often the problems are never corrected.  If you have, or currently experience these kinds of problems then I’m preaching to the choir so to speak.

So I ask you again, “Would you buy products from your own company” and still feel confident that you will have a great buyers experience?  Think about it.

The last word: “Success means doing the best we can with what we have. Success is the doing, not the getting; in the trying, not the triumph. Success is a personal standard, reaching for the highest that is in us, becoming all that we can be.”-Zig Ziglar