Jeff Garrison

Discover how to Explode Sales for the Small Business and Sales Professionals with Sales Habitudes! 

Your Sales Value Proposition Must Have F.O.R.M. (Bonus Post)

Following is an example of how one might put the ideas from the previous four posts into actions.

Remember,Crafting your sales value proposition or "elevator statement" well is perhaps the most crucial element in a systematic business development program.  If done well, it becomes the foundation for all of your branding, networking, and other marketing efforts.

It actually changes the direction that your conversations go with prospects and clients!

If done well, it has F.O.R.M.

It is Focused.  You Own It.  It is Relevant.  And it is Magnetic.

Think about these two value proposition and how they stand up to the F.O.R.M. criteria.

Ask many bankers what makes them stand out and more often than not they will say,

“It is our people (or customer service) that makes the difference”

So, on whom does the bank focus?  Everybody?  Nobody?  What’s the difference?  Every bank can honestly say that their people (or customer service), for better or worse, makes the difference. 

How do you “own that?” 

By the way, does that make you money or save you money or is that emotionally compelling in a way that matters?  It is only relevant if the business owner who hears it has had a terrible people experience somewhere else.

Finally, there is nothing magnetic in that value proposition.  Does it provoke questions or inquiry?  In any way does that statement motivate a business owner to do business with one bank versus the one next door?  In other words, is that statement inviting?  Not really.

As a business owner, don’t you expect every bank to provide good customer service?  Don’t you expect every bank to not make mistakes with your account and to fix it if they do?  Of course! 

These are the “table stakes” of business.  If you want to play the game, your ante is good customer service.

What if a banker answered this way when asked the question, “What makes your bank a good choice for my business account?”

“We conduct a Small Business Academy.  Every business customer of ours can attend a variety of small business seminars on topics such as marketing, sales, customer service, hiring practices, inventory management, accounting, and more.”

This certainly has F.O.R.M.  Run through the criteria for yourself.

Can you see how this two sentence value proposition impacts your entire perspective as a prospect? 

Can you see how it will impact the kind of provocative questions that the banker might ask a prospect when networking?

Can you see how it changes the number and quality of referrals that might come to the banker?

Can you see how it might impact their marketing campaigns?

No more free toasters for these guys!

Other b2b value propositions that fall flat include …

    “We really get to know your business”

    “We are your one-stop-shop for …”

    “We can handle all of your __________ needs.” 

What are your thoughts about your own business?  Some get very excited by the challenge of getting in F.O.R.M.  Many are frustrated.  Share your thoughts below or feel free to email.

Your Sales Value Proposition Must Have F.O.R.M. (Part 4 of 4)

Crafting your sales value proposition or "elevator statement" well is perhaps the most crucial element in a systematic business development program.  If done well, it becomes the foundation for all of your branding, networking, and other marketing efforts.

It actually changes the direction that your conversations go with prospects and clients!

If done well, it has F.O.R.M.

It is Focused.  You Own It.  It is Relevant.  And it is Magnetic.

Being Magnetic

Compelling, attractive, or even interesting are other ways to express magnetic.  Although your value proposition should be clear and not cryptic, it should also be provocative.  For example, it should cause people to reflect at least for a moment or to ask you a question.

They should be thinking things like, “I need to learn more” or “that could change things for my business” or “that’s the way everyone should be doing it.”

More importantly, YOU need to be Magnetic.  You need to be comfortable with your message and confident about what you are saying.  

Is your value proposition magnetic enough that people ask you questions?

Laid Back Networking V

The fifth quarterly BYOB Laid Back Networking Event organized by Sales Habitudes LLC and the gang at McLellan Marketing Group is next week and everyone is invited.  If you're doing business in Central Iowa - you're going to want to be there.

We're talking casual conversation, some great networking, and the chance to connect with people you haven't seen in awhile.  No agenda, no speaker - just some chatter and coolers to keep your beers cold.

We hope to see you there! 

Details:
Tuesday, February 9th from 5:00 to 7:00 PM.
McLellan Marketing Group's office (1430 Locust Street, DSM)
Parking along side the building and street parking

Your Sales Value Proposition Must Have F.O.R.M. (Part 3 of 4)

Crafting your sales value proposition or "elevator statement" well is perhaps the most crucial element in a systematic business development program.  If done well, it becomes the foundation for all of your branding, networking, and other marketing efforts. 

It actually changes the direction that your conversations go with prospects and clients!

If done well, it has F.O.R.M.

It is Focused.  You Own It.  It is Relevant.  And it is Magnetic.

Being Relevant

To be relevant to your audience in business, your value proposition must promise, to do one of the following things.

1. Make money for your prospect
2. Save money for your prospect
3. Minimize a negative emotion such as fear
4. Maximize a positive emotion such as joy, pride, or peace of mind
   

Here are some small business examples:

Suzanne Hull of Contemporary Business Solutions will make money for you by helping you to promote your next event with social media and at the same time save you money because promoting with social media can be very inexpensive.

Mike Sansone of Converstations will make money for his clients by helping them to attract a community that follows their business on-line.

Nathan Wells of Mass Mutual Insurance minimizes the fear of his business clients that they may not be able to retain their key employees as the economy heats up and hiring takes off.

Todd Guske of Guske & Associates promises feelings of joy and pride by producing highlight films for high school sports in addition to his video production for corporate clients.

Being Relevant is generally easier than being Focused and Owning It.  Just make sure that you are communicating the value of what you do rather than just describing what you do.

Your Sales Value Proposition Must Have F.O.R.M. (Part 2 of 4)

Crafting your sales value proposition or "elevator statement" well is perhaps the most crucial element in a systematic business development program.  If done well, it becomes the foundation for all of your branding, networking, and other marketing efforts. 

It actually changes the direction that your conversations go with prospects and clients!

If done well, it has F.O.R.M.

It is Focused.  You Own It.  It is Relevant.  And it is Magnetic.

Owning Your Value Proposition

If your brand as described in your value proposition is true and accurate when you substitute the name of a competing business owner or sales person, then you don’t “own it.” 

This is probably not as hard as you think.

You must discover the value that you provide that is unique from others.  Often times your difference is not your actual goods, services, or price.  What you may own is how you can help prospects realize greater value from you or your company’s expertise, even with products and services that are not necessarily unique.

For example, in working with a financial services representative in another city, we were able to uncover something pretty unique regarding her position in a market in which it is hard to stand out.  We discovered that some of her best clients are employees of a large university.  She told me, "I know their [university] benefits better than anyone."

That single statement has turned into a sales value proposition specifically targeted at that market.  There are several hundred prospects that she can approach by letting them know her unique ability to quickly identify gaps in their benefit and retirement plans due to her expertise.  (There is a very powerful way to ask for referrals in this situation.  Look for a future post or email me if you want to know now.)

To increase her target market, she will expand her expertise beyond the one university to professional educators meeting a certain profile.

In addition to being unique, your value proposition must be something about which you can be passionate.  It will hard to maintain your competitive edge described in your value proposition if it does not excite you. 

Finally, to own it, what you say must be honest.  If your claim to provide a certain value is not true, you will get crucified in today's Word of Mouth society.  You definitely don't want to be talked about on twitter, facebook, blogs, or Linked In for the wrong reasons.

As you may have gathered, perhaps the most difficult part of "owning" your value proposition is having the courage to narrow you focus.  You must believe that it is more profitable to capture significant market in a narrow market than insignificant market share in a broad market.

Your Sales Value Proposition Must Have F.O.R.M. (Part 1 of 4)

Crafting your sales value proposition or "elevator statement" well is perhaps the most crucial element in a systematic business development program.  If done well, it becomes the foundation for all of your branding, networking, and other marketing efforts. 

It actually changes the direction that your conversations go with prospects and clients!

If done well, it has F.O.R.M.

It is Focused.  You Own It.  It is Relevant.  And it is Magnetic.

A Focused Value Proposition
In the world of small business or b2b sales, your value proposition needs to be focused on a narrow market rather than a broad market.  Without narrow focus, you can’t Own It, be Relevant, or Magnetic.

Al Ries, one of the world’s best known marketing strategists, put it this way in his 1996 book, Focus: The Future of Your Company Depends on It.

The sun is a powerful source of energy.  Every hour the sun washes the earth with billions of kilowatts of energy.  Yet with a hat and some sunscreen you can bathe in the light of the sun for hours at a time with few ill effects.

A laser is a weak source of energy.  A laser takes a few watts of energy and focuses them in a coherent stream of light.  But with a laser you can drill a hole in a diamond or wipe out a cancer.

When you focus a company, you create the same effect.  You create a powerful, laser like ability to dominate a market.  That’s what focusing is all about.

 

Consider this simple example.

You can sell pet food in your market for dogs, cats, rabbits, fish, and various rodents.  Dog food sales make up 50% of your gross sales.  Your customers think of your store as a clean, conveniently located pet food store with friendly people and competitive prices.  However, if your prices go up, if they find an alternative closer to home, or if they can buy the brands of food you sell where they buy their groceries, you will likely lose them as customers.

On the other hand, you can FOCUS on just the dog food market.  Everything about your store, especially your marketing and branding, is all about dogs and supporting dog lovers and the nutritional needs of their pets.  Your customers won't think of you as a pet food store, but rather a dog food store for people who really love their dogs.  Your customers will think of your store as a place where they can identify with other dog lovers who are experts in the nutritional requirements of dogs in the various stages of life.  It is a place where they can come and talk about their dog with people who know and love dogs.  These people will drive further and pay more for that experience.  (Incidentally, you can also quietly stock pet food for other animals at the back of the store for the convenience of those who must suffer the ownership of lesser pets.)

So, the question is, if you narrowed the focus of your pet food store to just dogs resulting in dog food sales being 95% or more of your sales, would your overall sales increase?

Also, would you get a higher ROI on your marketing because your efforts are more narrowly targeted thus decreasing customer acquisition cost and branding cost?

Think about it.  Metaphorically speaking, are you spending the same amount of money, time, and effort trying to acquire customers who buy "a $7 bag of gerbil food" as you are for customers who buy "a $40 bag of dog food?"

Can you narrow your focus?

 

Sales Goal Setting

My approach to goal setting may be a bit different than most and I am sure to get emails and comments.

Start by Setting Low Goals!

This is especially effective if you are a business owner trying to fit business development in to your everyday chaos.

Follow This Plan

First of all, you can only control activity, not outcomes.  So don't plan outcomes.  For example, don't plan to "schedule a meeting" with a client, plan to "call them for an appointment".

Identify the daily sales activities that you must do on a daily basis to succeed.  (Email me for a free list if your are not sure where to start.)  For tomorrow, make a plan that includes these activities, but make the level of activity so low you can't fail to complete the plan.  When you execute your plan, give yourself an appropriate reward.  (I crack open a Guinness.)

After a few days, increase the amount of activity that you plan by a little bit.  Get it done and reward yourself. 

Over time, keep increasing the amount of activity until you discover a your daily maximum.

Here are the reasons I suggest this plan of action.

You Need to Build Planning Muscles.

If the failure to plan is not the number one reason that sales people fail, it is at least in the top two or three.  If you don't plan and schedule your sales activity each day, then eventually you will fail.  On the flip side, if you plan too much and don't execute them, you also fail. Either way, planning is not working for you!

This method helps you to establish the habit of planning.  You also learn the skill of making a realistic plan based upon the amount of time that you have.  Some days you will know going in that you have less time than other days for sales activity and you can plan appropriately.

Note that it should be the rare exception that you don't plan at least a bit of business development activity every day.  Just like going to the gym once every week or two won't get you in great shape, inconsistent sales activity barely gets any results.

You Need to Build Execution Muscles

Lots of business owners and sales people tell me they plan, but when I look at their plans, I see a lot of activity on today's plan carried over from yesterday.  They have no idea what is realistic because their plan is really just a giant to do list.

Finish your daily plan daily!  By the way, the last activity on the daily plan ought to be to plan for tomorrow. 

You Need to Build Positive Associations with Planning and Execution

I don't care how easy your plan is to accomplish. If you plan five days in a row and execute the plan every day, you will have done something that only a small percentage of business owners and sales people have ever done. 

You should feel great about yourself!

You Need to Build Your Confidence in Planning and Execution

Keep planning and executing every day and you will quickly start to see consistent results in terms of business development and sales.  After three months to six months, planning will be as habitual as brushing your teeth.  If you realize you forgot to plan, you may feel compelled to get out of bed to make your plan.

Finally, You Will Have Build a Pattern of Successful Planning and Execution

You may be thinking you don't have time to set low goals.  "Low" is subjective.  Just don't set daily activity goals that you will fail to execute more than 10% of the time.

You may be thinking that you can't afford to wait for your sales people to build their muscles.  Wrong, you can't afford to have them setting themselves up for failure most days.  Following this plan will foster the development of sales people that are far more effective, reliable, and happier than those of your competitors.

Tell me your thoughts.  Is this crazy or might it just work?

Do you have a daily sales plan?

Managing Sales Activity for Success

Know, Like and Trust (Part 2)

You trust me. They trust me. I trust you. I trust them. You trust them. They trust you.

I was startled as I read these 6 sentences.

Weave them together in our lives and we weave our golden fleece. A golden fleece we can share collectively. Doncha think?

Like, Jason and his ship of heroes, we all seem to be on a journey seeking the golden fleece of a community based on trust. Who can we trust? Where can we trust? Why should we trust? How do we know we can trust? Hmmm?

Trust is the golden fleece for business, too. Trust from me is tantamount to a blank check. A vendor asked me the other day what was my budget for a project. I had no idea. Why? I trusted that vendor to tell me what I needed to spend to achieve my desired results. I trusted that vendor with this information. I was right. He told me what I needed to spend to achieve the desired results.

Another vendor may have seen that as a grand opportunity. They think to themselves: Here is the lamb in the marketplace taken to slaughter, er, sacrifice. A quick profit, a bit more cash-flow, this month and we’re done. True. And literally. Sacrificed at the same time are the future cash-flows from future clients who came to trust this same vendor from our word-of-mouth recommendations.

Some may read this as simple, even quaint. You think The ruthless world of business sacrifices trust early. Your observation would be accurate.

And therein lies the advantage. Trust is now THE key differentiator. Trust is a key value-add. Trust adds margins. Trust and its sidekick Respect are the top three decision-making factors for purchases.

Those margins come in the form of less need to compete on price and the resulting higher numbers of customer referrals and the reduced need for advertising.

Now. Ok. You’re sold. You trust me. How do you do it? How do you weave your golden fleece of trust?

It all starts with each of us. Always. Trust, integrity and respect may be the ultimate proof of this axiom. Here are a few simple steps to expand, renew, rebuild, repair or build a reputation of one that can be trusted:

What would you tell your mom?

Simple, quaint. But as I read these stories of corporate ethical lapses, big and small, I always wonder: would they tell those stories to their moms? Would they, could they, sit straight-faced and say No, mom, those interest-only loans you are barely able to afford now...are risk-free. Interest rates will never rise AND property values will always increase by 25 - 100% a year. You are safe. Besides, I would never put my quarterly bonus ahead of your long-term financial needs.

So. Moms are always smarter than they let on. Assume your mom knows all. Would you tell her what you just told that customer? No? Then don’t. Tell that customer, employee, vendor or partner, investor or stakeholder the same truth you would tell your mom if your mom were in their shoes.

This appeal to your heart doesn’t work? Ok.

What story do you want others to tell about you...today?

This gets to legacy. But legacy has the sheen of something...down the road. Legacy implies, A compilation of your life’s achievements with some convenient editing in the mix.

No. The question is:What story do you want told about you today?

Oh, are prepared to read this story ...on every social media forum you know and 3-4 others you do not know? And these would your story told in the eyes of your customers, employees, vendors and partners...your stakeholders. These are the ones whose word-of-mouth, and purchases, make your brand.

Too many companies are shocked, shocked, they say to see what’s written about them on the web. For some reason, they think...who knows.

But, we all talk. We have done it all of our life. In fact, we celebrate our first words as a bellwether of progress. And then we’re off and running and we can’t stop. What do we talk about most? Well, in business, we talk most about those companies who disappoint us the most. Negative word-of-mouth is far more extensive, far more exciting, and shared by far more people, than positive word-of-mouth.

So. What story do you want others to tell about you...today? The story like my vendor will write with me? Or another story? Don’t forget: it is our choice, it is our creation.

What movie do you want to direct and then review at the end of your day?

We review (and wish we could edit, often) the movie we created each day with our actions and conversations. We do this as we sit quietly or wait for sleep to rescue us.

What movie do you want to direct and then review at the end of your day?

Again, it is our choice, our creation.

Listen.

Our truth is always heard through the filters of our audience. Too often, our truth is spoken to our questions. That may not be the truth nor the questions of our audience. Their questions, their comments, help us see their truth. So, we can honor it and speak to it. Listen.

Shipmates.

We cannot do this alone. Technically, ok, maybe. The illusion of the self-made anyone aside, those first 6 sentences for this post are written only with others. The others are our shipmates. Like Jason and his pals, the Argonauts, we all need each other’s help. We each have tools and resources, strengths and skills, to help each other. Otherwise, it is far simpler to do it ourselves.

I’m going to list those who I consider a shipmate on my journey. This may surprise them. But every day is a good day to surprise those who have inspired you. In no particular order: Seth Godin, Jackie Huba/Ben McConnell, Steve Farber, Steve MacGill, Ed Welch, Erika Andersen, Susie Poirier, Stephen Lynch, JC Garrison, my wife aka The Puhwincess, Hearts Club...I leave out many. I apologize. I’ll recognize you at a different date.

Now, speaking of Jason, his Argonauts and their journey...we have a similar journey. But, our journey differs from theirs in one big way. The fleece we seek is not found out there, wherever there is. It is found...in here (double chest bump like the athletes do), where our hearts and minds, our integrity, our families and friends together are found. And it’s value is far greater.

Disclaimer. This part three of a series with Jeff Garrison, the owner of this blog. Here is his first post on this series. His post inspired me. Jeff inspires me. You will be inspired, also. I read 3-4 times. He offers inspiration, great advice and actionable resources. You should read it 3-4 times, or more, too.

This became possible because I know Jeff. Mike Sansone introduced us. Over time, and with social media, I got to like Jeff. And over time, I trusted Jeff. Jeff's a shipmate. We have no titles on this ship, other than shipmate. But, Jeff pushing for this series makes him a valuable shipmate. Invite him to join your ship on your journey.

Know, Like, & Trust (Part 1)

Zane Safrit and I have corresponded about the simple truth of Know, Like, & Trust and decided to each take a whack at it with our keyboards.  Part 1 will address getting to Know and Like someone and Zane will write about Trust in Part 2.

Generally, we all desire to be known and liked.  As business people wanting to influence the market, we need to appreciate the rule that people prefer to say yes to individuals they know and like.

Becoming known is fairly easy these days with the number of networking opportunities and the number of social tools such as LinkedIn, Twitter, facebook, YouTube, and podcasts.   So, how do we go from being known to being liked? 

Let's look at what research tells us about liking and how we ethically employ this information to establish better relationships.

Physical attractiveness seems to create a halo effect that causes us to attribute other positive traits to people such as talent, kindness, and intelligence.  Fortunately since most of us are average, there are many other factors.  This is good to know so that we don't allow ourselves to be unduly influenced by someone because of their extraordinary good looks.

We like people who are Similar to us.  This could be in the area of opinions, personality traits, dress, background or lifestyle.  So open up a little bit.  Don't compartmentalize your "business self" and your "non-business self."  Let people get to know you. 

A lot of people resist this idea, especially online.  Who has not heard someone say, "I don't get Twitter (or facebook).  I don't want to know what someone had for breakfast."  Neither do I.  But if they are eating at my favorite restaurant, I would find that interesting.  Your online profiles and the conversations you participate in are perhaps the best way to show who you are and to develop relationships based upon similarities.  Furthermore, when you run into people "in real life," there is more to talk about.

Praise and Compliments, when not crudely transparent, enhance liking.  Learn to see people in such a way that you are able discover their unique quality and virtue.  Then look for ways to tactfully acknowledge it.

One of the most powerful ways to compliment someone's intelligence or perspective is to listen to them speak and to ask questions to clarify and enhance understanding.  Another is to introduce them to others in your network and share their successes.  Online you can comment on their blogs, tweets, and facebook page.

Familiarity through repeated contact enhances liking.  Simply put, get engaged and stay in front of people.  Go where your prospects and customers are.  If they are networking at the local Chamber of Commerce meetings, show up and talk with them.  If they Tweet, you Tweet.  Send a regular newsletter and include your picture.

Mutual and successful cooperation enhances liking.  Volunteering with the Chamber of Commerce, being a member of a Rotary Club, or being on a non-profit board are all places where you can find opportunities for mutual and successful cooperation.  From a sales or customer services approach, we should frame the issues in a way to promote the mutual cooperation to solve a client's need.

Finally, Association with positive things enhances liking.  This could be an event such as a Halloween party a friend of mine has every year for his friends, neighbors, and clients or the Central Iowa Bloggers meet up the first Friday of every month or something simple like lunch.  Breaking bread together has an unexpectedly powerful effect on liking.

As you can see, one can employ a strategy and tactics to enhance liking in their target market and it can be done with integrity and by being your real self.

For an in-depth treatment of these ideas, pick up Robert Cialdini's book Influence: Science and Practice.

Finally, share with us your thoughts and ideas regarding liking.

Photo on flickr by Liverpool Chamber of Commerce

The Problem is the Opportunity: Branding

Recently I was working with a sales person who is early in her career as a financial adviser.  I asked her what makers her different from others.  Why would somebody buy from her as opposed to one of her competitors.

"That is the problem," she responded.  "We are all selling the same thing."

That statement is usually followed by, "It's really all about relationships."

The "problem" here is truly the opportunity! 

Everyone can BRAND themselves in a different, inviting, and relevant way to their target market.  It is not necessarily easy to hit upon that thing that resonates with people and will make them gravitate to you and it takes sustained effort over time, but everyone can establish a brand.

First, pick a niche.  What subset of your target market can you focus on?

Second, determine what unique knowledge, skills, resources, and experience is uniquely important to that subset and start developing those areas in which you are deficient.

Third, start telling this subset of your target market about your unique focus. 

Fourth, stay focused.  It will take time before this pays dividends.