Topics for Today’s Program Is your company really Selling ? Do you differentiate yourself and sell your added value ? Are you selling the.
Download ReportTranscript Topics for Today’s Program Is your company really Selling ? Do you differentiate yourself and sell your added value ? Are you selling the.
Topics for Today’s Program Is your company really Selling ? Do you differentiate yourself and sell your added value ? Are you selling the right people ? Cards you all have to play An understanding of the game An understanding of Construction A core group of customers A reputation: To live up to To live down Leads from some source (Suppliers, Ads, Yellow pages, word of mouth, and etc. A crew or crews Equipment and facilities Cards everyone gets: A chance to make a first impression The benefit of the doubt. A choice on who to sell to. A choice on what to sell. A choice of business partners (suppliers). Are you really selling if you don’t carefully play these cards. Are you letting the customers play your cards for you in the way they want to. What is your sales strategy? The question is important to understand. To control: Requires you set the rules in order to differentiate yourself and you must sell your added value to succeed. To react: Because it determines how you play the game. Requires you be the low cost producer forever and share the added value with someone else. Both strategies work but doing both doesn’t. Two important sales elements Base price of the basic product – buyer always starts here. What you add to basic product – what the buyer actually is purchasing. Basic observation Most of you spend the majority of your time controlling costs, you are obsessed with being the low cost producer. Most are looking for a silver bullet idea that usually revolves around costs. In my 26 years, by observation, I would say most business failures were striving to be low cost producers. Naturally confusing because cost control is how you maintain the profit projected in your sale. The balance: To be effective we have to wear lots of hats but only one at a time. (Comments) Concentrating on Sales Sales people are a different breed They can concentrate on the sales process They don’t have the rest of the company to worry about Focus on customer needs Healthy to have customer advocate What buyers buy How many of you drive a basic (no accessories) automobile ? If not, why not. Question: Could the dealer exist selling basic model cars ? Basic car buyers are driven by price alone, yet dealers rarely have a basic car to sell. (they all up sell and differentiate with (value add) packages. My recent car buying experience Heated seats Color If we are going there, I want this on it. We spent more but without regrets. But, I did make sure the basic car was a good quality value before looking at the car. The buying process People buying a tennis court first look for the value of the basic court. You must establish that you have a good basic price on the basic court itself. but People buy what is different “Your Value add” You must have your Value Add ready to sell. Most do this but do not realize it, and it is not a conscience effort on your part to sell it. Your basic price ? It will get you the date but not the good night kiss. Is not where you will make your money. Most of your profit comes from up selling, changes, and other value adds after you have the trust and commitment of the buyer. Basic Points (Summary) To be effective we have to wear lots of hats but only one at a time. People buy what is different and unique to you. Most of your profit comes from the value add you sell. Are you spending enough of your time organizing and presenting this value add. Ways to add value. Through value of company name Through long term service Through your people Through your knowledge Through supplier support Through technology Comments (around the room) Selling in the bid process. At least: Three chances to sell in bid mode 1) Up front through the specification 2) Through options and alternatives during the bid 3) Up selling after you have the basic bid. Do these things work every time? No but they will never work if not executed. Time vs. Sales Key Accounts 10 – 20% of your account base 80% of you GP$ Receives less than 50% of your resources Time vs. Sales Maintenance Accounts 40 – 45% of your account base 10 – 15% of your GP$ Receives 30 – 40% of your resources Time vs. Sales Target Accounts (your competition’s key accounts) Gets very little attention Time vs. Sales Why Bother? Accounts – 40% of your account base Less than 5% of your GP$ Receives 20 – 30% of your resources Creates 90% of your “headaches” 30 Should you fire some of your customers If so, here’s how Tim email Questions Questions Know your competitors Know your competitors weaknesses and expose them by being different. Know his specialties and make your niche different. Match yourself up to what the customer expects ASAP. Don’t fake it, people see through that quickly. Don’t knock your competitor, let his weaknesses be exposed by setting him up so they are obvious. Proposals Always customize the proposal Give lots of detail and explain that its there so there won’t be misunderstandings Study his property, take pictures, it reassures the customer that you know what your doing USE CHOICE PROPOSALS If you know it will be bid, don’t be first to bid Never leave drawings, pictures, or other hard to duplicate information unless you have a contract Ideal Sales Calls (at least two) Qualify customer before first call Learn as much about his reason as you can Study that reason Anticipate his biggest problem (zoning, locating the court, landscaping, etc.) and you address it first Bring visual ideas to first meeting Use technology if appropriate. Come prepared to close with details and custom drawing, pictures and proposal. Be his consultant and partner with your attitude. Know the closing answers like final price, extras, when you can start, etc. Show him your work but don’t leave work without the contract. Why Customers Leave Other 9% Better Prices 9% Product dissatisfaction 13% Poor Service 69% Slice 1 Slice 2 customers Slice 3 Slice 4 Keep happy Questions Copyright United States Tennis Court and Track Builders Association 2004. All rights reserved.