Archive for sales
Economic Changes Call for Tactical Adjustments
Posted by: | CommentsEspecially Now, Relationships Are the Key to Good Referrals
In these uncertain economic times, my experience tells me that there are still people out there who need your services. But because they are more concerned with getting the best value for their increasingly scarce resources, they turn to the people they trust to introduce them to professionals who deliver value.
Said another way, referrals are how good business gets done when times get challenging.
Who are your best referrers?
Have you thanked them?
Have you reached out to find out how you can help them?
Are you relying on a small group of people to refer you or have you systematically positioned yourself to be the recipient of your perfect referral over and over again?
Or are you still relying on a random stream of referrals?
I’ve been advising my clients to get proactive. Especially now. Because even if only 25% of their business comes from referral, if that business dries up and goes to someone else, they are in trouble.
Take action now!
1. Audit your last 3 years of clients.
Determine to the best of your ability where each piece of business came from. What did it add to your top-line revenues? What did it add to your overall profitability? What source stands out as needing immediate attention? If it is a person or a firm, what’s the current state of your relationship?
One client who did this exercise noticed that there were several distinct groups of people who referred him business. He broke them up into areas – real estate, import/export and invited them to a luncheon at his office. He introduced them all to each other and had them share what they needed to be successful – resources, contacts, etc. He shared the same thing – and his practice grew 30% in under 6 months.
2. Connect with your referral sources.
Cement your relationships. You know what needs to be done. Do it. Don’t put it off. In the current economic climate, those relationships can be the access to your very best clients – because those sources have social capital behind their recommendations and provide social proof that you are the attorney with whom they should be speaking.
I spoke on the phone this morning with another client who had changed firms and never reconnected with old sources of referrals. She shared that just by picking up the phone and reaching out to people who used to send her cases, she increased her business immediately – one sent her a new case that morning.
Connecting frequently and consistently is the key to staying top of mind. Enlist your staff to help you make this happen.
3. Actively reproduce your best referral sources.
Take a look at the characteristics of your best referral sources. What is their profession? Do they belong to a specific professional association? Get clear about which are your best sources and begin recruiting new ones just like them. LinkedIn® is a great resource for this project. If you don’t know how to use it – Learn.
Think about what would happen to your practice and your pocketbook if you added a zero to the number of people who actively refer you your ideal client. Come up with a project to build 20-30 relationships who can keep you and your firm busy and profitable.
4. Develop a regular touch strategy.
I know you are busy. All professionals are. But the most productive have systems in place that allow them to accomplish the repetitive tasks that create continuity in relationship. The old adage “Out of sight, out of mind” can wreak havoc on your referrability. Set – or have your staff set – lunches at regular intervals. Get a system to regularly send out birthday and anniversary cards. Involve your support staff in collecting and sending clippings of pertinent articles or snippets of what they read in on-line news. The key here is to stay ‘top-of-mind’ while you deepen the relationship.
5. Train your referral sources
You know what you do. But do your referral sources? Really? Ask them what they think you do. You’ll be surprised at some of the responses. If your sources don’t know what you do and who is best to send your way, chances are referral quality is poor.
Most importantly, get clear which problems you solve that keep your clients up at night – from their perspective, not yours. “I’m a intellectual property attorney” is very different from “I help the creative protect and defend their million dollar ideas.”
Draft a document which illustrates what you do (not just a list of services) and for whom. Clearly articulate who your ideal clients are and then share that with your sources. Encourage them to do the same for you.
Building reciprocity builds relatedness. Relatedness is a trigger for referrals.
6. Develop a stable of professionals that you can refer – and refer them.
Referrals out can be tricky for some attorneys. The concern about liability is one I often hear from my clients. However, reciprocity doesn’t work if you don’t refer out. One of my clients dealt with his concern this way – when he passes a referral he uses this disclaimer – “I recommend X – s/he’s done a great job for my clients in the past. You should do your own due diligence, though, as s/he’s not always a fit for everyone.”
You do not serve all your clients’ needs. You can position yourself, in their minds, to do so by developing a stable of reliable professionals who serve those needs which you do not, and educating your clients as to their availability. Listen for opportunities to refer. Be known as a resource for your clients AND as a referrer by your key sources.
7. Repeat this process
Referral development is a process, not an event. Relationships are not event driven and credibility is something that is built – over time. If you have three to five hours a week – think lunches and breakfasts – you can easily roll this out over a year long program. It takes some planning and discipline, but the payoff far exceeds the perceived pain.
It takes something to alter results you are currently getting. The biggest hurdle you will have to conquer is the belief that you “don’t have the time” or that you are “too busy” to do something different.
The most productive and profitable firms have handled these conversations and developed the skills and the networks to consistently land the right kind of profitable business.
I encourage you to do the same.
Raymond Chip Lambert
Network 2 Networth
Your Outsourced Business Development Training Partner
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The Magical, Wholistic Nature of Social Networks
Posted by: | CommentsThose of you who subscribe to my blog know that I am as strong believer in building solid, strategic, well-thought out networks. Further, I am a HUGE proponent of LinkedIn (that’s why I teach courses on getting started with LinkedIn) because we spend the majority of our lives engaged in our professions – and the social falls out of that.
I got an email and a request to forward and introduction today that I thought I would share with you. It illustrates the magical, wholistic nature of networks. The introduction request looked like this:
Hi Chip, you’ve inspired me to explore LinkedIn in more depth! See my note to XXXX. This is a CLASSIC example how this power here.
A—-A—- R—’s note to XXXX:
Hello XXXX,
I found your profile today when I was doing a search for Bob Proctor. I love his work and get his Daily Insight email. Then, your profile shows that we have a contact in common, Chip Lambert. I also noticed that you have a Nikken site. My good friend J– W—’s wife is really into Nikken here in Arizona. You two should talk!Gotta love how LinkedIn works!
And it was quickly followed by an email to both myself and J–:
Just wanted to share this experience I have with LinkedIn this am. You and Chip have inspired me to explore it further, so I was doing some searches for people I know and admire. I typed in Bob Proctor to see what I could find. At the top of the list was a woman named XXXX. She must work for Bob’s coaching organization. Then, I saw that Chip was one of her connections! In reading here profile I saw that she is a NIKKEN rep! I contacted her and told her about (your wife) and that the two should talk.
This illustrates the power here! Literally one blind search connected several dots with people I know. (emphasis mine)
A—
While names here are withheld to protect privacy, this illustrates the power of networks. Especially online SOCIAL networks. The technology unlocks the true potential of your network because it connects the dot for HUMAN BEINGS.
We are social creatures. Our friends – social. Our colleagues – social. Our prospects – social? Our customers – social? You betcha. And if you miss that point, you are missing the opportunity of a lifetime.
Why do you think 18 million people use LinkedIn?
Why do you think the blogosphere is so enormous?
I suggest that we are in the middle of a revolution in our capacity to relate. And revolutions cause chaos, confusion, misunderstanding, uncomfortableness, skeptics, zealots, humbugs, and millionaires.
Which are you?
Jump in. The water is profitable.
Raymond Chip Lambert
Network 2 Networth
Deep Business Development
A Big Mistake in a Social Media
Posted by: | Commentsreceived a message in my LinkedIn Inbox today from someone who says they are an expert in Sales, Marketing, and Advertising.
Except I didn’t ask for it. In fact, I’d never really indicated any interest in him or what he does. We had connected via LinkedIn. Except he never cultivated any kind of relationship with me.
I may have had an interest. I may have even been a good partner for what he does.
But because he never took the time to really get to know me, I disconnected from him and sent an email explaining myself.
His email read as follows:
Thought this dynamic event might be of interest to you.
Hope all is well and you’re staying booked! I am taking a moment to write you personally to tell you about an incredible program coming up here in Atlanta with myself, Fred G. . ., and Matt B . . . This is a superstar lineup of master marketers.
It’s all about product development and information marketing. Please check it out. (his website) If you are interested we’re accepting only 80 students. Please help us to spread the word and help us get people involved. I wanted to send you and a few of my friends this personal, one-on-one note before we mass marketed the event. Please take a look at the website, its beyond your wildest expectations.
Hope everything is good and prosperous for you.
No personal greeting. A thinly veiled attempt at cordiality. A request for me to promote him and his stuff. A thinly veiled offer with an impending event – standard sales letter stuff.
And he expected me to be interested? And to help him. I don’t really know this guy.
My response was a follows:
XXX,
I’ve removed you from my connections for the inappropriate use of this platform.
Sorry that you’ve misunderstood my willingness to connect.
Chip
Do yourself a favor. Remember that the people you are connecting with are just that – people. If you want them to opt-in to receive your marketing, have them do that. Make them an offer. Make it attractive. Give them lots of value. But have them opt-in.
If you want them to help you – contact them personally. Ask for their help. See if it is appropriate for them to participate with you. Remember that this is a SOCIAL media.
Old time shotgun marketing doesn’t work in a SOCIAL context. It just pisses people off.
And you could be shooting yourself in the foot and damaging relationships than can really make a difference for you, your partners, and your potential clients.
Raymond Chip Lambert
Network 2 Networth
Deep Business Development
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It’s about the relationship . . .
Posted by: | CommentsI had a great conversation today with a someone I consider a friend who also happens to be a past client . Some things he said really struck a chord with me – given what I’ve been teaching for years now.
Bill Bergdoll of Bergdoll Insurance has recently completely overhauled his business and business model, given the shift in the economy. He scaled back his operation to the bare bones and began to circle back around to talk with clients that his agents had brought in (network development). He discovered that many of them, while having a policy, only had an auto or a motorcycle insured by his agency.
Why?
Because the agents never really thought about the people with whom they talked as a person to have a relationship with. The agents were focused on the transaction.
He said to me "I want to call them up and let them know how much money they really left on the table."
In one conversation he found that a client had several homes, motorcycles, cars, boats, etc. He was able to help that client save a considerable amount on his overall cost of insurance.
Why am I talking about this?
Because many of you are leaving lots of money on the table. Heck, as I sit here, I can see I’m probably doing the same.
And that money that’s being left on the table represents value we can bring to our current book of business. The people we already spent the time, energy, and money to acquire. You don’t even need to think about developing new sources of business – it’s already there.
In business development, it is all about the relationship.
I challenge you to look at your book. Read the CAN – PAN – FAN article I wrote. Really audit your book of relationships. And see how you might be able to deepen the value you bring your clients.
Remember that in dynamic economic conditions, it’s the dynamic that profit.
Raymond Chip Lambert
Network 2 Networth
Deep Business Development
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Social Networks and Prospecting
Posted by: | CommentsA good friend and colleague of mine, Michael Goodman, posted this question in LinkedIn Answers this week:
"Wtih all the social media available, including linked in, Blogs, twitter, plaxo, second life, et al, what is the best way to utilize all this stuff, stay ahead of the techno-bleeding edge, and really, just find another customer to tell my story to?
I can’t keep up with all the social media, web 2.0 marketing movement. Really, all I want to do is find the next customer. I am hoping someone has figured out the magical answer to taking advantage of technology and simply find new people interested in what I have to offer. Anyone?"
Now what you need to understand is that Michael is a brilliant man. In fact he’s a fantastic resource for the Sales Community as founder of the International Sales Pros Association.
His question, I posit, goes to a fundamental misunderstanding of Social Media, Social Networking and its relationship to sales.
Remember, these tools are there to help you tell your story when you are NOT able to be in front of a prospect. They help your potential prospects have somewhere to go to find out more about you than you will ever be able to disclose to them. Social media tools are a way to "tell your story" not only to the prospects you do know, but the ones you’d never be able to get to in a million years of calling on people.
LinkedIn is especially valuable. Because not only are you putting yourself out there and giving people a chance to check you out, but you have advanced search tools to do some serious targeted prospecting – AND finding a way into said prospect via referral or introduction.
Most sales people who use LinkedIn do not have any true understanding of this. Precisely because they are focused on the next transaction. I spoke about this in a different post.
Network Building, positioning, marketing, and such activities are not Sales. But done well, they position us in front of our perfect client so our likelihood of having a sales conversation goes up dramatically. And, again, when done well, it removes a lot of the barriers that sales people experience when they cold call.
Network development is a medium to long term strategy. Prospecting for sales is something that MUST be done to meet quotas. I don’t argue that either is more or less important.
The important thing here is to have a keen understanding about what you are trying to accomplish with social media, and then go to work building that – via blog, twitter, LinkedIn, Facebook, etc.
As a sales person, you will always need to tell your story to another potential client. The point with social media is can they relate to you and interact with you both before and after the sale in a way that is meaningful to them.
That’s the formula for a long-term clientele that grows virally!
Raymond Chip Lambert
Network2Networth
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An Answer to a Biz Dev Question on LinkedIn
Posted by: | CommentsAsked by Scott Whitbread
Big question. Here’s a shot from me!
1 – Build your skillsets and expertise. Being good at what you do and knowing what you are talking about is crucial for the credibility you are looking to build.
2 – Begin to read and know what the talking heads are saying in your industry as well as the vertical markets you are servicing. When you can speak intelligently to the issues that your markets are facing and really speak their language, one of the main barriers (being an outsider) disappears. Become conversant in the languages of your markets.
3 – Understand the myriad needs of your desired clientele. You are not going to be able to solve all of them. But as you build your network, look to include other professionals who can make you look like a hero for recommending them. This goes a long way toward building relationships in your markets. It also gets you known by the people who could be referring you future business.
4 – Seek to understand the sales cycle and the sales process associated with what you do. Master this. It is complex at first glance. However knowing it backwards and forwards will let you create a pipeline of business as well as create opportunities where most people cannot see them. Become a masterful sales person. This will also help you train the people who could be referring you. When you know the process and how you qualify a suspect/prospect, you can communicate that to others and grease the referral slide.
5 – Build value into everything that you do. Build a reputation for value. People will begin to search you out as you brand yourself this way.
6 – Enjoy yourself. People like to work with people they like to be around. When you are enjoying yourself and what you do, this communicates louder than anything you say. Especially if you are looking to cultivate referral business. I could go on and on, but this gives you a starting point. I’d be happy to chat with you offline if you’re serious about developing this skillset!
Raymond Chip Lambert
Network 2 Networth
Deep Business Development
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The Missed Opportunity – The Danger of a Sales Only Mindset
Posted by: | CommentsDriving in my car this week, I received a phone call from someone who had me on one of their lists. I didn’t recognize the phone number and I was on another call, so I let it go to voicemail and checked it when I was fininshed.
It was a firm out of Kentucky that does business coaching for franchises. I thought, hey, this is a great opportunity for both of us – they do setup and sales and I teach long term business development. So I returned the call almost immediately.
Turns out they were working a conference list for an upcoming event and I was on the list (how – I do not know). He was prospecting me for attending their sales pitch at the event. I told him that I would not be at the event. I proposed, however, that there might be an opportunity for us to refer business back and forth (being the Business Developer that I am).
He shut off. He couldn’t even hear me. He was so focused on pre-selling conference attendees that he couldn’t hear an opportunity for business that was right in front of him.
He hurridly tried to get me off the phone so he could get to his next call and I obliged him.
As I hung up, it struck me how blind people can be to the opportunities that are in front of them at all times.
I invite those of you who are reading this to consider that there are so many opportunities to create relationships that could send you more business than you could handle, but that you are unprepared to see them.
Take the blinders off.
Get into conversations with people who have a similar client base and see if you can create a win-win relationship with people who deliver value that you do not. It could be the beginning of a business relationship that will transform your operation.
See you next post!
Raymond Chip Lambert
chip@network2networth.com
www.network2networth.com
The Fundamental Misunderstanding
Posted by: | CommentsI met with a person from my network yesterday that saw me speak at the Scottsdale Chamber. She is working on launching her management consulting business after a successful engagement with a previous employer.
Obviously she is very good at what she does – or she wouldn’t be stepping into the world of small business.
What I shared with her that I share with nearly everyone I sit down with is that there is a fundamental difference between sales and business development.
One of the most important pieces of any business is revenue generation. Pure sales is the most important activity one can engage in – yet most people I talk with are not comfortable with the process. “It’s so uncomfortable” is the refrain I hear most often.
While sales may be uncomfortable, there are a few things that you can do to make the likelihood of a sale more emminent:
- Be crystal clear about who your perfect client is and is not – Sales people make this mistake all the time. They spend time trying to sell to the wrong people – people without a budget; people who are not decision makers; people who are simply not a prospect. Knowing the characteristics of your perfect client makes your job much easier as you can qualify the people you are talking to. Disqualifying someone is almost as valuable as qualifying them because you don’t waste your time.
- Figure out where your perfect client comes together on a regular basis and be there – there is an old maxim in business: LOCATION, LOCATION, LOCATION. Just being where your perfect client comes together can do wonders for your sales results. You not only get exposed to prospects, you also can do some important fact finding: what are the issues that your product or service REALLY solves; what does that solution MEAN to your prospects. When you figure this out, you can get into harmony with your prospects and speak their language – not yours. Try it – it works!
- Talk to the clients you already have – It never ceases to amaze me how transaction oriented sales people can be. I learned this the hard way: when you are transaction oriented, you come off like a mercenary. People are wary of mercenaries. Get into relationship with your clients. If you’ve done a good job for them, they are happy to talk with you about growing your business. Don’t wait and hope that they will refer you – educate them about HOW they can refer you.
Business Development on the other hand is a completely different mindset. Not better, not more important – just different.
Sales people miss Business Development opportunities all the time because they are so transaction focused. A caveat here – sales people need to be transaction focused because often they are operating under a quota or goal – I’m not advocating that they stop. What I am advocating is that they begin to develop a parallel mindset of Business Development.
How one approaches Business Development is a bit like the steps above – but with an added eye to creating strategic relationships. Instead of only going for the transaction of the sale, you are looking for introductions to people who could consistently refer to your perfect client. You are also looking for people who could fill holes in your various networks.
Think about this – what would happen if you found three or four key people who could refer you on a consistent basis to your perfect client? What would your business look like if there were no holes in your support system – meaning you could handle more business without dropping the ball? That to me is the beauty of Business Development. It takes a little extra effort and an expanded mindset, but the dividends are remarkable.
Back to the person I was talking with – when we looked, she actually already had people in her network that she could approach to help her grow. I recommended that she book an appointment and ASK for very specific things that would position her to close more business.
I encourage you to do the same.
Now, there is a lot more to this conversation. I’ll be writing more on it as we go.
For now, I encourage you to, at the very least, expand your looking zone.
Raymond Chip Lambert
chip@network2networth.com
