"The Navigator" News Blog

Monthly Archives: March 2015

How to Use Social Media to Completely Screw Up Your Life

Sales Blog

I read a lot of news sites to start my day, and one story I read this morning really had an impact:  “Ex-CFO Worker Who Berated Chick-Fil-A Now Lives On Food Stamps.”

The story is that, back when the controversy over the Chick-Fil-A CEO’s stance on gay marriage was raging in full, Adam Smith, a CFO for a medical device company in Tucscon making over $200,000 per year, decided to drive through his local Chick-Fil-A, get a free water, and then harangue the girl working the drive-through about the company’s political stance.  Now, this article isn’t about the politics of the situation.  It’s about posting on social media.  You should watch the video, however; it’s in the linked story.

Within days, Smith was canned by his employer, who claimed that bomb threats had been made.  In the three years since, his video has followed him around; once, he found another job but was fired within a week because the employer found out about the video.  Long story short, he’s still unemployed.

While Smith’s story is one that will cause varying reactions, here’s the reaction I want to create in YOU:  Don’t be a moron when you post on social media.  Here are a few thoughts:

  • First of all, if Smith wanted to make some sort of a political stance, he has a perfect right to do so.  As someone who consults with business owners on employing people from time to time, my concern is not that he made a political point, but that he arrogantly mistreated someone he perceived to be lesser than himself.  That’s a characteristic that will cause problems in any workplace.  I have a gut feeling that his company had already seen some of that internally.
  • Secondly, I honestly wonder how anyone could watch that video (before putting it on YouTube) and not realize that they were showing themselves to be a complete bodily orifice.  Before I post any of my videos on YouTube, I scrutinize them pretty carefully.  I’ve rejected videos because I looked too sweaty.  How could he not realize that he was showing an absolutely unacceptable way of treating people?  That smacks of poor judgement.
  • You can’t un-ring a bell.  He was seeking attention when he posted the video and he got it.  What he didn’t count on was that he couldn’t simply make the video go away; he of course pulled it from his own account, but by then others had reposted it.  There are dozens of iterations of his video on YouTube now.
  • What is said on the news story should be obvious – employers will search out your social media for indicators that you shouldn’t be hired.  One of my maxims is, “People will show you how they will fail.”  I’ve encountered many drug references, and other documentation of undesirable behavior on social media accounts.  “But that’s my private life,” you say.  Well, if you want to keep it private, why are you posting it on the Net for everyone to see?
  • “Freedom of speech” is one of the most misinterpreted phrases in the world today.  “Freedom of speech” only protects you against GOVERNMENT sanction for what you say.  The private consequences of your speech are yours to bear.
  • Finally, I wouldn’t advise him to show this video during job interviews, as he currently does.  However, there is one person in this video who should show it during EVERY job interview – Rachel Elizabeth, the drive through worker.  She handles a bad customer with complete class and diplomacy, and shows herself to be of good character.  If there’s a winner in this episode, it’s her.  I’ve been unable to find out what’s happened with her since the video was shot and posted, but I have a feeling that she’s probably doing better now than she was then.

The moral of the story is simple.  Take a moment to think before you hit “send.”  What seems like a good idea at the moment could literally trash your career and your life.

HOW TO EVALUATE A SALESPERSON

The Navigator News

One of the things that surprises a lot of clients is my insistence on doing formal annual written evaluations of salespeople. “But, they know how they’re doing,” I’m told. Nonsense. Annual evaluations are a great tool for improvement; unfortunately, too many of the evaluations used don’t really cover the important areas that salespeople should be evaluated on. Today, let’s talk about the most important evaluation you will ever have – your own self evaluation.

At the end of the day, you are responsible to your customers, your co-workers, your employer, and your family. Most of all, you’re responsible to yourself, and the best salespeople are able to accurately evaluate how they have fulfilled that particular responsibility throughout the course of the year. For those of you who have never really evaluated your own performance, never fear: I have a four-point evaluation structure that will help you develop yourself now, and in the future. This comes with one warning, however – it only works if you’re completely honest. To take your own personal “check up from the neck up,” click below and read on.

Criteria one – the numbers: Obviously, the most important measure of achievement is results. So, how have your results been? Compare your performance to your goals, and give yourself a 1-5 rating by the following criteria: Give yourself a 1 if you’ve never gotten close enough to your quota to see it. Give yourself a 2 if you’re usually under quota, but every now and then, you’ve had a breakout month and made it. Give yourself a 3 if you’re usually at or close to quota. Give yourself a 4 if you’re usually well over quota, but still miss every now and then. If you can’t remember the last time you missed quota (more importantly, neither can your boss), and you’re usually 20% or more over, give yourself a 5. Now, multiply this result by 2.

Criteria two – the funnel: You should have targets for your sales funnel activities; i.e. appointments, proposals, etc. Rate yourself 1-5 again, with this criteria: If you’re consistently 20% or more below your targets, give yourself a 1. If you’re usually below target, but sometimes make it, give yourself a 2. Those of you who almost always hit target should give yourself a 3, while those of you who always meet and sometimes exceed targets should give yourself a 4. If you’re always over by 20% or more, give yourself a 5.

Criteria three – customer relationships: In this criteria, we will evaluate the quality of your customer interactions and relationships, as this is a predictor of your future ability to make your numbers. For the purpose of this exercise, focus on those customers that generate your top 80% of business. We’ll rate your relationships in terms of your ability to retain this business in the face of adversity as well as your customers’ willingness to evangelize for you, again on our 1-5 scale. If 50% or more of your top customers are one service failure away from leaving, give yourself a 1. If 20% to 49% of your customer base is one screw-up away from leaving, give yourself a 2. If 0-20% of your base is one mistake away, give yourself a 3. If you can withstand a screw-up with all of your customers, give yourself a 4. If you can withstand failure with all your customers, AND at least 25% of them are willing to refer you or serve as testimonials, give yourself a 5.

Criteria four – internal relationships: Some people don’t believe that it’s important for salespeople to be good internal citizens of their companies. To that, I say B.S. If you’re a negative influence inside your company, you’re costing that company money in lost productivity from those who are negatively affected by your poor attitude. On the other hand, being well liked and respected can pay career dividends in many different ways. Rate yourself 1-5 again on this criteria: If a conference room or office clears within 2 minutes of your entry (because no one can stand you), give yourself a 1. If you’re usually afraid to ask co-workers or support personnel for favors because they’re not willing to grant them, give yourself a 2. If you have at least three “go-to” people that you can get favors and help from, AND have people that you avoid because you can’t, give yourself a 3. If you are nearly universally respected, and have at least three “go-to” people, give yourself a 4. If everyone is your “go-to” person, give yourself a 5.

By now, you should have a feel for the criteria. 1 is awful, 2 is bad, 3 is average, 4 is good, 5 is superstar-level. We double-weighted sales results because, frankly, that’s the most important criteria. But it’s not the only criteria. In any criteria that you ranked yourself a 1 or 2, you have work to do. Seek help from co-workers, customers, and your boss to develop yourself. Overall, here is the scale:

25 to 30: You’re either a superstar or on the edge of superstardom (or at least you think so).

20 to 24: You’re good, a cut above average, and unlikely to have job worries anytime soon.

13 to 19: You’re average. Very, very average.

7 to 12: You’re below average to the point that you’re a constant worry for your boss.

1 to 6: Unless you’re brand new with no experience, in this category, you need overnight change of either behavior or career.

If you’re truly honest with yourself, this can be a very productive exercise. Don’t be afraid to solicit help from your boss, co-workers, and your customers. If you’re committed to self improvement, they’ll be happy to help.

Take the Second Shot!

The Navigator News,

I get a lot of inquiries and solicitations asking me what my “#1 tip” for increasing business is. This, of course, is a very complex subject that requires a lot of detail. But there is one quick tip I send along that can help people in any phase of business or even their lives. And that is:

Take the second shot.

We’ve all heard the phrase, “Persistence pays off.” Most people interpret this to mean that “persistence” means aggravating and annoying people to death until they buy to get rid of you. Many things, including fear, keep people from going down this road. However, there’s a nice medium ground, and that is what I call the “second shot.” The second shot means just that – it means trying twice to make good things happen.

The reason that I focus on a second shot, rather than a third or fourth, is that most salespeople are easily put off. While the public image of salespeople is that of the bulldog that never lets go, the truth is far from it; most salespeople are perfectly willing to take the first “no” rather than battle a bit for the win. That’s a shame, because a lot of business and opportunity lies beyond the first “no.” Let’s look at this in context.

The context will be the teleprospecting phone call, which as you know, I still believe is the core skill of B2B new business generation. Let’s imagine a call from a salesperson selling copiers:

Salesperson: “Hi, Mr. Prospect, this is Salesperson from Pretty Darn Awesome Copier Company. Our manufacturer has just released some new technology that can drastically reduce your per-page cost while actually increasing the quality of your paper documents. Could we meet next week, and see if there is a fit between your company’s needs and this new technology?” (NOTE – this is an imperfect call – there’s a step missing – but it’s typical of a decent teleprospecting call.)

Prospect: “Sorry, I’m not interested.” Now, about half the time that a customer says this, they’ll hang up on you. No second-shot opportunity exists on those calls. But, half the time, they’ll hang on and wait for the salesperson to say something weak like, “Uh, thanks anyway.” If you say that, you’re done. Instead, let’s take the second shot.

Salesperson: “I don’t blame you for not being interested. I’ve sold a number of these machines already, and I’ve found that the customers didn’t really have any interest until they understood what these machines could do, how they could reduce expenses and at the same time build your customer image through better documents. Would it be worth, say, 20 minutes of your time to at least know what those customers now know? If there’s a fit, I’ll tell you, and if there isn’t a fit, I’ll even tell you that. Fair enough?” Second shot taken. You’ve now given the prospect a better window into why he/she should take the appointment, and perhaps even aroused a bit of curiosity. Here’s the thing – whatever your chance is of getting the appointment on the second shot, it’s better than the zero you’d have if you bailed out at the first ‘no.’ A good rule of thumb is that whatever your ratio of contacts-to-appointments (let’s say you get 1 appointment in every 5 contacts normally), you’ll increase that 20 to 30% with a good second shot effort.

Of course, even though this sounds good, it doesn’t come for free. You have to have a game plan. You need to anticipate common objections, have responses ready, and be very focused on the conversation. That requires a lot of thought and preplanning, and it also requires a focus on generating an appointment, not a sale.

This technique doesn’t limit itself to cold calls, either. Final objections, job hunting, getting a raise, getting a date – all of these can be improved by focusing on the second shot. Just keep in mind these steps:

  1. Be prepared. Know the objections and the common responses.
  2. Create a “win” for the other party by accepting your second shot.
  3. Take extra shots with great care. Two makes you persistent, more can make you a pest, depending on the situation (the farther into the sales process you are, the more persistent you should be).
  4. Finally, remember that there are some objections that cannot, and should not, be overcome. Use good judgment, and don’t sell bad business.

Most non-salespeople reading this article would think that it’s completely unnecessary; salespeople always do this, right? Nonsense – most salespeople are easily put off, because they fear pushing farther. Don’t be that guy or gal, and you’ll be more successful.

The Three Levels of Customer Relationships

The Navigator News

If I ask salespeople how they describe themselves, one of the most common ways would be as a “relationship salesperson.” Unfortunately, “relationship selling,” which should be one of the most meaningful phrases in selling, has become meaningless through overuse.

When I drill down on what these candidates mean by “relationship sales,” 90% of them give me an answer that is some variation on the Stuart Smalley Affirmation on Saturday Night Live: “I’m good enough, I’m smart enough, and gosh darn it, my customers like me!” Well, not to diminish the importance of being liked by your customers, but there’s a lot more to successful relationship selling that that.

Successful relationship selling has several different elements, which we will get to in a moment. But, for me, the key questions to the quality of a relationship are:

Can you monetize the quality of your relationship with your customer? This is selling, after all, not running for Homecoming King (or Queen). Being liked is great, but if you can’t turn that into money, you are not engaged in “relationship selling.”

Can you maximize your business relationship with your customer? By “maximizing,” I mean the ability to extract all, or nearly all, the potential opportunities with your customer. If they’re buying stuff they could be buying from you, but buying it from a competitor, you’re not “maximized” within that customer.

Essentially, there are three different levels of customer relationships, and most salespeople will have customers in all three:

The Loyal Customer: This is the Holy Grail of customer relationships. When they buy, they buy from you. When competitors call, they not only don’t buy from them; they don’t entertain proposals or appointments. You have contacts at all the appropriate levels within the company, you are able to maintain good profit margins. Moreover, Loyal Customers evangelize for you; when they hear of others that could make use of your services, they recommend you freely and willingly. Ideally, you should have a game plan for any customer who is NOT this level to move them in this direction.

The Habitual Buyer: The Habitual Buyer can be deceptive; Habitual Buyers sometimes look like Loyal Customers. When they buy, you are their default source. However – and this is an important distinction – you have very little leeway with a Habitual Buyer. Mess up a delivery (and, let’s be honest, we all sometimes make mistakes), and you lose their business. Raise a price, and you reopen the buying decision. Often, Habitual Buyers will also screen you from getting multiple contact levels within the company, and will be much more guarded in their dealings with you. The dangerous part about Habitual Buyers is that salespeople can be lulled into thinking that they are Loyal Customers – then a competitor picks their pocket, seemingly out of nowhere.

The Occasional Buyer – The Occasional Buyer is just that. They shop you every time, and typically have no real pattern to their purchases (although if you’re losing business on price, Occasional Buyers will be where you lose it). The Occasional Buyer has no real affinity toward you or your competitors; you’re just a place to get stuff, as are your competitors. Most of the time, if you’re dealing strictly with a purchasing agent, the customer is an Occasional Buyer – which is as good an argument as any against dealing strictly with purchasing agents.

The true “relationship salesperson” will have more customers at the Loyal Customer level than other salespeople; more importantly, they will have a game plan in place for advancing Habituals to Loyals, and Occasionals to Habituals. Getting there isn’t easy; it involves a lot of hard work and preparation, and focus in the selling process. It also involves a level of honesty that is uncomfortable. Ego-driven salespeople (which is most of us) want very badly to think that all of our customers are Loyal Customers; recognizing that many are not is tough. But if you want a good way to build your business in 2015, identify all your major customers by the three levels above, and then create a game plan to move them up. Your boss – and your wallet – will thank you.

Who Should You Be?

The Navigator News

A few weeks ago I attended a conference that featured a “motivational speaker.” You should have seen this guy. He had a loudly printed sport coat featuring the New York skyline. A tie with rhinestones in it (I didn’t even know they made those). A big belt buckle, cowboy boots, and bright yellow pants. His advice was this: “You have to be ALWAYS ON in this business! If you’re not, someone will spot you in an off moment and you’ll be exposed.”

He then began getting in people’s faces, yelling, “Are you ALWAYS ON?” And the person would yell, “YES!” and he’d move on to the next. It was like a tent revival meeting. Then, he turned and spotted me….and suddenly I realized that I had chosen the wrong seat for the morning’s festivities.

He high-stepped over to me, reading my nametag, and yelled, “Troy, are you ALWAYS ON?” I did the only thing I could. I clenched my fists. I got into my best power stance. I looked him square in the eyes. And I yelled, “NO!” And he stammered, “Uh, beg your pardon?” Then he got himself back together and yelled, “What do you mean, you’re not ALWAYS ON?” I said back, in a normal tone of voice, “I’m always ME.”

You see, as goofy as this guy was, he did have a point. When you’re “ON” in any environment where you’re observed – such as selling or speaking – you set a standard to live up to. And when you’re not at that standard at other times when you’re “off stage,” you do become inauthentic. Inauthentic is the worst thing you can be. More than once, after I’ve been speaking at conferences, I’ve had people approach me at various settings – over lunch, even by the pool at the hotel – and have a conversation. And they’ll say, “Gee, you’re the same guy out here that you were in the room.” I tell them, “No, I’m the same guy in there that I am out here.”

Like the old saying goes, “Be yourself. Everyone else is taken.” That goes for salespeople too. Of course, you should be the very best version of yourself that you can be, but don’t have a “sales personality” that you put on like a sport coat. What does “Be the best version of yourself” mean? Simple.

  • Constantly learning: You should be constantly learning about your customers, your products, and your sales skills. Your goal should be that you are just a tad bit better on every sales call than you were on the last one. Customers will perceive your professional growth and they will appreciate it.
  • Personal grooming: We can’t all be Brad Pitt or George Clooney. Or, if you’re a woman, well, just pick your own personal equivalent of Brad or George. But we can be the best we can be. I can’t count the number of times I’ve seen salespeople making sales calls with wild, unkempt hair, unshaven, or in clothes that looked like they were slept in the night before. Come on. Put some effort into it. If you can’t be your best in front of the customers, you shouldn’t expect the customers to give you effort. Every salesperson ought to carry a small grooming kit with them in the car. When I sold industrial supplies, I kept a spare clean shirt, just in case.
  • Be prepared: I’ve written about this before, but it’s vital that you be prepared with whatever you need to take the sales call to its logical conclusion. And yes, that likely means you’ll need to carry a briefcase. That’s OK. When you carry a briefcase you mean business.
  • A game plan for the call: As I explained in my Teleseminar, “The Purpose Driven Sales Call,” you should have call objectives for every call, and be prepared to execute them. That means having questions prepared, any presentation materials prepared, etc.

None of this means that you have to be anyone besides yourself – but being prepared and professional means being the best version of yourself. That’s what you should be shooting for. And unlike the speaker, you’ll never have to worry about being “Caught.”