The Sales Pro Insider Building Performance Profits and People

Want to increase your probability of sales success?  “Lost” customers may be the key!  What do you do with your former customers?  Many salespeople hit the ‘delete’ key and focus on new prospects. Big mistake!  These former customers can make great future customers.  Another tip to recession proof your sales – earn business again from customers you’ve “lost” over the years.

How valuable can this be?  A study done by Marketing Metrics shows that we have a 20-40% chance of re-engaging a former customer vs. a 5-20% chance of turning a new prospect into a customer!

Why is now a good time to focus on former customers?  The consolidations, bankruptcy filings, and workforce reductions leave HUGE opportunities for those who are ready to capture more business in this economy.

What can you do?  First,        look BACK!

1. Review your past three years of sales data. Make a list of customers who have not bought/worked with you in that time.  Then for each organization note: 
   • When was your last contact with them?
   • Do you know what/whom they are now working with?
   • On a scale of 1-10, how likely is it they would welcome contact from you again?  If the score is a 5 or higher, they are a good prospect!
   • What do you know about them that you can use to reconnect? History, experiences, challenges they had, people they work with, hobbies or any shared stories?
2. Research your primary contact at each identified organization.  Use the Google, LinkedIn, Facebook, Twitter, bizjojrnals.com search tools.  Find out what he or she has been up to!  Are they still with that company?  In the same position?
3. Review past business you did with this organization.  What product/service did they use?  What was their experience – favorable, neutral, bad? Why did they stop working with you?  Do you know? Identify whether this was a valuable customer to you/your company.  Sometimes customers can be more work than the value they brought. No sense in recontacting a customer who drained you

Second, use this background information to prepare to move FORWARD.

1. Are the reasons they stopped being a customer relevant any longer?
2. What value might you provide them today?
3. What experiences have you had since you last spoke that would help them?
4. What information would help them Right now?
5. What questions should you ask them?

Third, make CONTACT!

“Hi Gary, it has been a long time. We continue to help companies such as yours increase xyz or decrease abc.  When we worked together, we provided you with the product you needed at exceptional cost and delivery time.  With all the market changes we’ve still been able to help companies with increasing xyz.  And I didn’t forget about you!”

Then turn the focus to THEM!  Be prepared to listen…maybe there is information you don’t know about whey they are no longer a customer.  This should be addressed first.  Then you can move into a series of open-ended questions that will allow you to see if there is an opportunity to work together again.  Some examples:

• “What are you currently working on”
• “How is this economy affecting your business?”
• “What is most important to you these days?”
• “How happy are you with your current supplier?”

This works!  In the past month we’ve reconnected with former customers. And we found that some of them have done NOTHING since we worked with them.  They haven’t left us at all. And yet we haven’t done business with them in a while.  Now that we made the effort to open the discussion again, we are moving through the sales process to see how we can help them again in 2009.

This tip does take work – but the upside of the effort is HUGE!  You never know what hidden gems of business you might FIND in your lost customers.

Filed Under: Sales, customer loyalty, customer loyalty, maximize sales productivity, productivity, recession proof sales, sales process, sales productivity, sales success, sales tips

Maximizing productivity is a key objective for sales people and sales managers. Time and money is spent on CRMs, planners, Blackberries, and more technology. And, when used appropriately, technology can help us with efficiency. Yet there is more…we also need to squeeze the most out of every contact and discussion we have. We need to continuously advance the sale WITH each prospect.

An effective sales discussion starts before contact. It starts with preparation that includes identifying:

• Who, what, why and when for this contact.
• Potential objections that may be raised.
• The decision needed at the end of the contact. Some sales are closed in one discussion, many are not, and the decision might be to schedule a next meeting, introduce you to someone else in the company, provide you information or specs, etc. We need to know what our decision at the “close” of this discussions should be.

After preparation we can maximize the actual discussion with the person by using the acronym WIIFT for specific steps and a road map. WIIFT is a 5 step sales process AND a philosophy of focusing on What’s in it for Them through the discussion.

Wait. Pause and mentally prepare before contact. Review the notes you made, think about this person and company and the value you can possibly provide them. And then…

Initiate the contact. Help the person break pre-occupation by asking them open ended questions that draw them into conversation. Connect with the person before jumping directly into your product information or your business questions. Put the spotlight on them by asking about their job, their history with the company, their interests (look for clues on this one). This step might take 2 minutes or 20, pay attention to time and move the discussion to business when appropriate.

• Tell me how you ended up in this role…
• How is your day going?

And then move the discussion into business…

Investigate. Use additional open-ended questions to allow them to discuss and clarify:

• What their objectives are
• What is happening now
• What are the risks of doing nothing
• What are the rewards of taking action

The gaps between these areas is your opportunity. Use great listening skills by summarizing what you hear, taking notes, and helping them clarify their responses. Once gaps are identified and clarified, you can move to explaining how you can help them.

Facilitate a discussion where you use your expertise to educate them on how what you do/have can eliminate the gaps discovered in your investigation. The more closely you match what you do to THEM, their situation, their needs and opportuntiies, the higher the perceived value (and the less they want to wait to get what you have).
Use YOU transition statements from WHAT you have to the WIIFT (what’s in it for them).

• Our service provides ongoing technical support and in YOUR situation that means that YOU will not have 2 a.m. phone calls from your users.
• We have 20 years of experience which means that YOU will be able to use proven processes that help YOU reach your goals quicker.

To facilitate means to “make it easy” for someone else. As you share your information make it easy for them to see how what you have fits with them…involve them, let them be a part of discovering how this fits with their situation, the value they see, make it a discussion versus a “pitch”.

Collaborate. Beyond consultative selling – collaborative selling is working with someone else to accomplish something. Ask what type of objections or obstacles they foresee in moving forward. Then work through the objections WITH them as a problem solver. Finally, ask for a decision and the next step to close the discussion (and the sale).

Following a sales system brings efficiency and consistency to each discussion. It allows us to keep moving the process forward and using “face” time most productively. Then we can use our technology to capture the order, schedule the next appointment and report to our managers. Productivity will increase as we maximize every discussion.

What do you do to maximize your sales discussions?

Filed Under: WIIFT, collaborative selling, consultative selling, maximize sales productivity, recession proof sales, sales process, skills