The home of the Un-Sales Manager and the articles I wrote as part of Sales Management 2.0. In this section I let my inner social scientist and sales geek loose in an effort to make the world a better place free of bad sales experiences! I also have a strong management and leadership background so I write my thoughts about faith based servant leadership and management techniques that will help you grow personally and professionally.
Eric Hudin presents You Can Make More Working Less posted at Everyday Marketing Ideas, saying, “Time management is a myth. Time doesn’t stop. There is no managing something you can’t control. What you can do is eliminate your wasted movements to become more efficient and effective.”
“It’s hell to work for a nervous boss — especially when you are the one who is making him nervous.””
Hunter Arnold presents Make More of Your Promotion posted at Make More of Your Job, saying, “Hello-
I am submitting a post which outlines some easy steps to ensure that employees are successful after being promoted. Thanks in advance for the consideration!
– Hunter Arnold”
Before you read any further on this post make sure you visit this site: http://www.dhmo.org/ This organization exists to explain the many dangers of Dihydrogen Monoxide (DHMO) an allegedly dangerous substance with a terrifying list of uses. It’s really worth quickly visiting that link if you haven’t yet.
What I learned about Dihydrogen Monoxide (DHMO)
Today I was surfing the net and ran across the DHMO (H2O).org site and nearly busted a gut laughing. It caused me to do a bit of googling and poking around to see how people were using this site as a joke or way to teach a lesson. What I found particularly entertaining is how many people in different web forums came out strongly against DHMO before even knowing what it was. Dihydrogen Monoxide is water!
This web site is an excellent (and entertaining) example of how unethical marketers, spinsters, and politicians can play on the emotions of the public. For some, their goal is to use disinformation to close a sale or sway public opinion for financial or political gain. I’m not posting this as a what to do article, but a warning or a what not to do.
You competition may be using similar tactics to take away your clients right now. It is your job to not only service your customers but to educate them. This will not only help them make the best and most informed decision possible but build a great deal of trust and advance your relationships with clients. This trust will cause them to immediately call you when they have any questions or concerns about the industry, your product or service and possibly the product and services of your company. My goal in every client relationship is for them to not just view me as a vendor, but to see me as an honest friend and trusted advisor or consultant.
I hope you enjoyed this, had a good laugh, and will pass this on to a friend. If you want to learn a bit more about how marketers use our brains and emotions to trick us I recommend Buyology: Truth and Lies about why we buy.
It was very busy this week, and finding this was one of my bright spots. -Brad
PS- I’m a runner, and I may have mentioned my DHMO addiction of Facebook to have a little fun with my friends. I’m not sure I recommend it, because some of my friends “got it” and helped me out and the ones who didn’t were pretty upset when I shared that DHMO was water. Who am I kidding… It was TOTALLY worth it. 🙂
PPS- If you thought this was funny you may enjoy this water bottle from Amazon!
Have you ever had someone on your team who is in your opinion extremely talented, but just does not seem to close as much business as someone who would appear to be significantly less talented? So have I, and I think what it boils down to is many extremely talented sales people do not close nearly as much business as they could because they stay busy, but they are not focusing on the correct things. It is not just the volume of activity that is important, it is the quality!
A few days ago, I wrote an article called Start With The End In Mind. In this article I explained how to use conversion data to plan your next week, month, or quarter. It’s a great tool, but if you remember I left out the part about dials to contact as a method to predict in this model.
The reason for that is because so many sales managers will tell their team “all you need is 100 dials a day and you will be successful!” Frankly, I just don’t think it’s true! I have seen talented sales people making 30 good calls in a day run circles around “hard workers” who diligently get in their 100 (and sometimes more) dials. Does this mean less is more? No, or at least, not exactly.
What it means is it’s not the quantity of what you do; it is the quality that will influence your success. I Googled like crazy trying to find someone else willing to put this into print specific to sales and it seems I am the only person saying this, but that does not make it untrue. I think most consultants are just afraid to tell a company I think your people spend too much time looking busy making less than productive dials when they could be doing things that are actually lead to closing deals.
To emphasize this point I will share with you one of my own personal experiences and then I will leave you with something to think about. When I was a young new sales person I had a great start and everyone was sure I would be their next superstar after a few months. After about 6 months I was proving them right when I set a new record closing 12, 15, and 18 deals consecutively when most people in the company struggled to get 10. rolling into the 4th month my director came to me to share my conversion data and explained to me how I had done so well on somewhere between 30 – 40 dial per day, and that if I had done 100 per day like he had been telling me to I would have closed another 45 deals!
The dollar signs flashed before my eyes, and of course I diligently made my 100+ dials every day, but guess what… My production actually fell to only 8 deals the next month 100% MORE input got me 50% LESS output!
What was the problem? The real problem was my manager’s manager got in the way of my productivity. You see, I, like most great sales people was a bit lazy. I wasn’t achieving higher than average numbers because I worked harder than everyone else. I had learned to become extremely efficient. I was booking more appointments with 30 to 40 calls than the 100+ club because I was not focused on making dials. I was focused on making contact and having some quality conversations. When that focus shifted so did my productivity. Needless to say, I went back to my old program the next month and was in great shape again.
So what would the better advice have been? When I see someone like this, I sit down with them share their conversion data, and plan the next quarter, but I only talk about things that matter. For a sales process that begins on the phone that is getting a live voice or a “contact”. Without contacts you can make all the dials you want and you will be right where you are now.
Takeaways: Are you focused on the important things right now or are you keeping busy? What are the most important things you need to focus on to drive sales? Start measuring these things and setting goals based on that data and you will see your numbers climb.
Sales managers, are you overly focused on activity? Think about how you can help to re-focus your team on the most important things and set up goals and contests to reinforce those things.
Later this week I will talk about how I set up contests that drive production and not activity.
This post is to announce that on July 18th I will be hosting the first edition of a new blog carnival titled: “Carnival of Sales & Management Success”. This carnival was created to help give sales people and sales managers the tools they need to be successful. I would like to cover basic sales skills, values, leadership, management, coaching, and other areas of interest to people that would like to grow to the next level in sales or sales management, without having to memorize a bunch of cheesy lines or compromise there values or beliefs. To submit an article please use this submission tool:
Do you know what your conversion data is and what it means? Most sales people don’t, and it is a shame. Understanding conversion data will help you identify training needs, and set realistic goals with a solid plan for achievement. This knowledge could, if used correctly give you a HUGE boost in income. In this article, I will explain how to use your conversion data to ensure you continue to grow your income year after year.
What conversion data will help you do is go from saying I am trying to close X deals this month and taking a WAG (Wild Ass Guess) to explain how; to using the best information available to estimate a SWAG (Scientific Wild Ass Guess). It’s not a perfect system but it is far better than just tossing out a number and saying “I’ll close 20 deals this quarter” and having no idea how! Before I raise anyone’s hackles this is not a simple increase A input to get B outcome, but that may be part of what’s required! Here is how it works.
First you need to break down your sales process into logical steps. That should look something like this: Lead – Attempts to Contact (ATC) – Contacts – Scheduled – Appointment – Proposal – Contract. Your individual process may have more or less steps, what is important is that you understand your process and are able to measure what goes in the front and what comes out the other end.
Next, you should record data on each stage for several weeks. In the previous model that data would probably look something like this:
So from this model I can immediately extrapolate that 134 leads netted me 18 deals under contract, but what else could we do with it? The next step is to divide each step into the next and see what percentage moves forward in the process. That data should look like this:
Lead to Contact: 59% Contact to Scheduled: 52% Scheduled to Appointment: 90% Appointment to Proposal: 63% Proposal to Contract: 75%
I have purposely left out ATC to contact, but we will cover that in a minute.
Now I will plug this data into my model in Excel. This should only take you a few minutes to build, but if you need help, e-mail me or ask in the comments and I will happily help you out. This is my sample model:
In my model I assumed YOU control your lead flow, but you could just as easily start yours at contact to scheduled if you do not and the effect would be the same. I also recommend you always round a decimal up to ensure you do not come up short.
Now is the fun part. I built my model to auto calculate so as you change the red or blue numbers everything else changes with it. The weekly need number will also change if you change the 12 by weeks left to some other number to suit your time frame.
This is where the fun starts. I always build two models one with “Real” conversions and the other with my goal conversions. For this fictional sales person I may say what If I could increase my contact to scheduled to 55% and my appointment to proposal to 70%? My new model would look like this:
We now have a theoretical 20 deals under contract in 12 weeks with no additional lead flow. The difficult part is figuring out HOW to increase those numbers, and that takes time, but at least now you know where to focus your training. The other route to 20 deals would be to some how put more leads in your funnel and that model would look like this:
So you can see how you could achieve gains by either increasing your lead flow (assuming quality remains the same) or training to improve your conversion in some specific areas. More likely if I were this person I would work on both a little because more efficiency with more leads = bigger gains!
I left out the ATC data, because the quality is so hard to measure. Is a call at 2AM as good as one at 9AM? Is the content of every e-mail and letter the same? I look at lead to contact as one big number to work on, but I do like to track my dials to contacts separately just to check for efficiency and test new scripts and e-mail or direct mail campaigns. But again that is another post!
Again, I want to reinforce that just saying if I generate 13 leads a week I will net 20 contracts. You have to take a strategic approach and make sure you actually hit your goal each week on all the other stages and update the model every week or so to ensure you stay on track. The primary function of this tool is to find training opportunities, and set manageable realistic goals with a solid plan to achieve them.
Please feel free to contact me with an e-mail or comment and I will be happy to assist you in building your model and coaching you on its implementation.
I was on LinkedIn tonight and I saw a post about TravelersTable.com a social networking site that encourages real time meetings between people over coffee. I did a bit more research and also found http://www.zoodango.com/ a competing site that seems to be a bit further along in the growth process. I have been on LinkedIn for quite a while, and have recently joined MyBlogLog; both of which have been very helpful to me despite the lack of real time interaction involved. Real time meeting perked my interest though because I am a true extrovert, and I love meeting new people, so I did a bit more research and found an interview with the CEO of ZooDango James Sun ( Apprentice Season 6 contestant).I think this is a compelling new way to go about social networking. It makes me a bit nervous because you never know who you will meet, but I guess that could also be the fun part of it. I am curious to see what others have to say about this and here stories from anyone who has tried it out. I am planning on signing up and will blog my own tale of adventure soon.
We all ask ourself this questions from time to time… In the book The accidental Salesperson Chris Lytle said “Management is a series of interruptions constantly being interrupted by other interruptions.” And I can not possibly agree with him more. In fact, when I look at most organizations I sometimes wonder how anything gets done at all. Look at your week and add up the number of hours you spend putting out fires and sitting in meetings you would rather not be in, and suddenly it is clear why most managers put in way more that the normal 40 hours our companies say we should be working.
In order to get all of the things done in a week we need to complete there are two simple tasks we need to do. First, make a list, and second prioritize and stick to that list.
This is what I do:
First, I write a list of everything I need to get done this week. Then I break down that list by day. And finally I prioritize the daily list based on importance with the most important tasks on top.
The next step is the key. When I get blind sided by a fire, I look at what I am working on now and ask myself “Is this issue more important than the task I am working on?” If it is, I will take a break and try to solve that issue or at least cool down the fire enough to get back to the other task. If it is not I will properly prioritize it in my list of things I need to do and move forward with the current task at hand.
One of the least used features in Microsoft Outlook is the task manager. This tool will allow you to keep lists, prioritize them, and sort them by a variety of fields. It will even let you assign them to others and follow up on the status with a click of the button. I highly recommend you learn how to use this feature. You can get started by clicking here.
The key to this system is discipline. You must have the discipline to do what you say you will, when you say you will, and be willing to hold off on dealing with an urgent but unimportant issue if the thing you are currently working on is truly of a higher priority.
I will be doing more on time management over the next few weeks. Please feel free to share your own tips and tricks by leaving comments here.
It is not very often you find a blog post that is so simple yet so completely covers a a topic that you have little more to say about it other than WOW! Thanks! Don Boykin achieved that with his post The 10 Commandments For Leadership. In this post he gives you 10 rules that if followed will, in my opinion, lead you to a highly successful career in management. Don has successfully covered in one paragraph what some have taken hundreds of pages to cover. Truly simple, to the point, effective writing.
Many sales people blow off leaving voice mails because they believe they are a waste of time and no one returns voice mail. I would argue that it is not voice mails themselves that are ineffective, but rather the method in which they are left that causes the perceived ineffectiveness. The purpose of this article is to share with you the basics building blocks needed to craft highly effective voice mails.
The first and most important thing to remember when following up on an inquiry via voice mail is we usually do not know why a customer inquired or what will be important to them until we have done a needs analysis, so I compare leaving voice mail to trolling for fish. I write five to seven different voice mails each focused on a different feature / benefit statement and then cycle through them in a planned cycle until I get a response, much like a fisherman would troll a lure behind a boat.
Here is a bare bones picture of what a good voice mail looks like when following up on an inquiry:
1st Introduce yourself
2nd Reason why you are calling
3rd Feature – hook
4th Benefit – Bait
5th When you call me back what will I do for you
To script this out more formally it should look something like this:
Hello, my name is _________ from the XYZ Company; my phone number is 555-555-5555.
I am giving you a call because you requested information from us earlier today.
My job as a YOUR JOB TITLE is to make sure that you receive all of the information and guidance you need in order to make an informed decision about… YOUR PRODUCT
(Hook) One of the great things about…(Bait) What that means to you is…
CUSTOMER NAME what I can do for you is assist you in the process of exploring (Whatever it is you do). Give a compelling Value Statement, As well as give you all information you need in order for you to make an informed decisions.
Give me a call today. I am in the office until ____ (time). Again, my name is ________ and my phone number is 555-555-5555.
Thanks again for contacting XYZ Company, and have a great day!
When you call, make sure to smile when you speak. Surprisingly, your customers can tell the difference. If you sound passionate and excited about what you can do for them, they are more likely to call you back.
This voice mail is ideal for following up on people who have inquired about your product. In a future post I will cover voice mails for the cold call, follow up calls, and general voice mail etiquette.